I 
116TH CONGRESS 
1ST SESSION 
H. R. 389 
To authorize the Secretary of the Treasury to pay rewards under an asset 
recovery rewards program to help identify and recover stolen assets 
linked to foreign government corruption and the proceeds of such corrup-
tion hidden behind complex financial structures in the United States 
and abroad. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 9, 2019 
Mr. LYNCH (for himself, Mr. COHEN, and Mr. BUDD) introduced the following 
bill; which was referred to the Committee on Financial Services 
A BILL 
To authorize the Secretary of the Treasury to pay rewards 
under an asset recovery rewards program to help identify 
and recover stolen assets linked to foreign government 
corruption and the proceeds of such corruption hidden 
behind complex financial structures in the United States 
and abroad. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
(a) The Act may be cited as the ‘‘Kleptocracy Asset 
Recovery Rewards Act’’. 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
SEC. 2. FINDINGS; SENSE OF CONGRESS. 
(a) FINDINGS.—Congress finds the following: 
(1) The Stolen Asset Recovery Initiative 
(StAR), a World Bank and United Nations anti- 
money-laundering effort, estimates that between $20 
billion to $40 billion has been lost to developing 
countries annually through corruption. 
(2) In 2014, more than $480 million in corrup-
tion proceeds hidden in bank accounts around the 
world by former Nigerian dictator Sani Abacha and 
his co-conspirators was forfeited through efforts by 
the Department of Justice. 
(3) In 2010, the Department of Justice estab-
lished the Kleptocracy Asset Recovery Initiative, to 
work in partnership with Federal law enforcement 
agencies to forfeit the proceeds of foreign official 
corruption and, where appropriate, return those pro-
ceeds to benefit the people harmed by these acts of 
corruption and abuse of office. 
(4) Of the $20 billion to $40 billion lost by de-
veloping countries annually through corruption, only 
about $5 billion has been repatriated in the last 15 
years. 
(5) Governments weakened by corruption and 
loss of assets due to corruption have fewer resources 
to devote to the fight against terrorism and fewer re-
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
sources to devote to building strong financial, law 
enforcement, and judicial institutions to aid in the 
fight against the financing of terrorism. 
(6) The United States has a number of effective 
programs to reward individuals who provide valuable 
information that assist in the identification, arrest, 
and conviction of criminal actors and their associ-
ates, as well as seizure and forfeiture of illicitly de-
rived assets and the proceeds of criminal activity. 
(7) The Internal Revenue Service has the Whis-
tleblower Program, which pays awards to individuals 
who provide specific and credible information to the 
IRS if the information results in the collection of 
taxes, penalties, interest or other amounts from non-
compliant taxpayers. 
(8) The Department of State administers re-
wards programs on international terrorism, illegal 
narcotics, and transnational organized crime with 
the goal of bringing perpetrators to justice. 
(9) None of these existing rewards programs 
specifically provide monetary incentives for identi-
fying and recovering stolen assets linked solely to 
foreign government corruption, as opposed to crimi-
nal prosecutions or civil or criminal forfeitures. 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
(10) The recovery of stolen assets linked to for-
eign government corruption and the proceeds of such 
corruption may not always involve a BSA violation 
or lead to a forfeiture action. In such cases there 
would be no ability to pay rewards under existing 
Treasury Department authorities. 
(11) Foreign government corruption can take 
many forms but typically entails government officials 
stealing, misappropriating, or illegally diverting as-
sets and funds from their own government treasuries 
to enrich their personal wealth directly through em-
bezzlement or bribes to allow government resources 
to be expended in ways that are not transparent and 
may not either be necessary or be the result of open 
competition. Corruption also includes situations 
where public officials take bribes to allow govern-
ment resources to be expended in ways which are 
not transparent and may not be necessary or the re-
sult of open competition. These corrupt officials 
often use the United States and international finan-
cial system to hide their stolen assets and the pro-
ceeds of corruption. 
(12) The individuals who come forward to ex-
pose foreign governmental corruption and kleptocra-
cy often do so at great risk to their own safety and 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
that of their immediate family members and face re-
taliation from persons who exercise foreign political 
or governmental power. Monetary rewards and the 
potential award of asylum can provide a necessary 
incentive to expose such corruption and provide a fi-
nancial means to provide for their well-being and 
avoid retribution. 
(b) SENSE OF CONGRESS.—It is the sense of Con-
gress that a Department of the Treasury stolen asset re-
covery rewards program to help identify and recover stolen 
assets linked to foreign government corruption and the 
proceeds of such corruption hidden behind complex finan-
cial structures is needed in order to— 
(1) intensify the global fight against corruption; 
and 
(2) serve United States efforts to identify and 
recover such stolen assets, forfeit proceeds of such 
corruption, and, where appropriate and feasible, re-
turn the stolen assets or proceeds thereof to the 
country harmed by the acts of corruption. 
SEC. 3. IN GENERAL. 
(a) DEPARTMENT OF THE TREASURY KLEPTOCRACY 
ASSET RECOVERY REWARDS PROGRAM.—Chapter 97 of 
title 31, United States Code, is amended by adding at the 
end the following: 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
‘‘§ 9706. Department of the Treasury Kleptocracy 
Asset Recovery Rewards Program 
‘‘(a) ESTABLISHMENT.— 
‘‘(1) IN GENERAL.—There is established in the 
Department of the Treasury a program to be known 
as the ‘Kleptocracy Asset Recovery Rewards Pro-
gram’ for the payment of rewards to carry out the 
purposes of this section. 
‘‘(2) PURPOSE.—The rewards program shall be 
designed to support U.S. Government programs and 
investigations aimed at restraining, seizing, for-
feiting, or repatriating stolen assets linked to foreign 
government corruption and the proceeds of such cor-
ruption. 
‘‘(3) IMPLEMENTATION.—The rewards program 
shall be administered by, and at the sole discretion 
of, the Secretary of the Treasury, in consultation, as 
appropriate, with the Secretary of State, the Attor-
ney General, and the heads of such other depart-
ments and agencies as the Secretary may find ap-
propriate. 
‘‘(b) REWARDS AUTHORIZED.—In the sole discretion 
of the Secretary and in consultation, as appropriate, with 
the heads of other relevant Federal departments or agen-
cies, the Secretary may pay a reward to any individual, 
or to any nonprofit organization designated by such indi-
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
vidual, if that individual furnishes information leading 
to— 
‘‘(1) the restraining or seizure of stolen assets 
in an account at a U.S. financial institution (includ-
ing a U.S. branch of a foreign financial institution), 
that come within the United States, or that come 
within the possession or control of any United States 
person; 
‘‘(2) the forfeiture of stolen assets in an ac-
count at a U.S. financial institution (including a 
U.S. branch of a foreign financial institution), that 
come within the United States, or that come within 
the possession or control of any United States per-
son; or 
‘‘(3) where appropriate, the repatriation of sto-
len assets in an account at a U.S. financial institu-
tion (including a U.S. branch of a foreign financial 
institution), that come within the United States, or 
that come within the possession or control of any 
United States person. 
‘‘(c) COORDINATION.— 
‘‘(1) PROCEDURES.—To ensure that the pay-
ment of rewards pursuant to this section does not 
duplicate or interfere with any other payment au-
thorized by the Department of Justice or other Fed-
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
eral law enforcement agencies for the obtaining of 
information or other evidence, the Secretary of the 
Treasury, in consultation with the Secretary of 
State, the Attorney General, and the heads of such 
other agencies as the Secretary may find appro-
priate, shall establish procedures for the offering, 
administration, and payment of rewards under this 
section, including procedures for— 
‘‘(A) identifying actions with respect to 
which rewards will be offered; 
‘‘(B) the receipt and analysis of data; and 
‘‘(C) the payment of rewards and approval 
of such payments. 
‘‘(2) PRIOR APPROVAL OF THE ATTORNEY GEN-
ERAL REQUIRED.—Before making a reward under 
this section in a matter over which there is Federal 
criminal jurisdiction, the Secretary of the Treasury 
shall obtain the written concurrence of the Attorney 
General. 
‘‘(d) PAYMENT OF REWARDS.— 
‘‘(1) AUTHORIZATION
OF
APPROPRIATIONS.— 
For the purpose of paying rewards pursuant to this 
section, there is authorized to be appropriated 
$450,000 for fiscal year 2020. 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
‘‘(2) LIMITATION ON ANNUAL PAYMENTS.—Ex-
cept as provided under paragraph (3), the total 
amount of rewards paid pursuant to this section 
may not exceed $25,000,000 in any calendar year. 
‘‘(3) PRESIDENTIAL
AUTHORITY.—The Presi-
dent may waive the limitation under paragraph (2) 
with respect to a calendar year if the President pro-
vides written notice of such waiver to the Secretary 
and the appropriate committees of the Congress at 
least 30 days before any payment in excess of such 
limitation is made pursuant to this section. 
‘‘(4) 
PAYMENT
FROM
STOLEN
ASSET 
AMOUNTS.—In paying any reward under this section 
with respect to information furnished by an indi-
vidual, the Secretary shall, to the extent possible, 
make such payments using the stolen assets recov-
ered based on such information before using appro-
priated funds authorized under paragraph (1). 
‘‘(e) LIMITATIONS AND CERTIFICATION.— 
‘‘(1) SUBMISSION OF INFORMATION.—No award 
may be made under this section based on informa-
tion submitted to the Secretary unless such informa-
tion is submitted under penalty of perjury. 
‘‘(2) MAXIMUM
AMOUNT.—No reward paid 
under this section may exceed $5,000,000, except as 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
personally authorized in writing by the Secretary, if 
the Secretary determines that offer or payment of a 
reward of a greater amount is necessary in excep-
tional cases. 
‘‘(3) APPROVAL.— 
‘‘(A) IN
GENERAL.—No reward amount 
may be paid under this section without the 
written approval and certification of the Sec-
retary. 
‘‘(B) DELEGATION.—The Secretary may 
not delegate the certification required under 
subparagraph (A) to anyone other than an 
Under Secretary of the Department of the 
Treasury. 
‘‘(4) PROTECTION MEASURES.—If the Secretary 
determines that the identity of the recipient of a re-
ward or of the members of the recipient’s immediate 
family must be protected, the Secretary shall take 
such measures in connection with the payment of 
the reward as the Secretary considers necessary to 
effect such protection. 
‘‘(5) FORMS OF REWARD PAYMENT.—The Sec-
retary may make a reward under this section in the 
form of a monetary payment. 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
‘‘(f) INELIGIBILITY, REDUCTION IN, OR DENIAL OF 
REWARD.— 
‘‘(1) OFFICER AND EMPLOYEES.—An officer or 
employee of any entity of Federal, State, or local 
government or of a foreign government who, while in 
the performance of official duties, furnishes informa-
tion described under subsection (b) shall not be eligi-
ble for a reward under this section. 
‘‘(2) 
PARTICIPATING
INDIVIDUALS.—If 
the 
claim for a reward is brought by an individual who 
planned, initiated, directly participated in, or facili-
tated the actions that led to assets of a foreign state 
or governmental entity being stolen, misappro-
priated, or illegally diverted or to the payment of 
bribes or other foreign governmental corruption, the 
Secretary may appropriately reduce such award. If 
such individual is convicted of criminal conduct aris-
ing from the role described in the preceding sen-
tence, the Secretary shall deny any reward. 
‘‘(g) DETERMINATIONS
OF SECRETARY.—A deter-
mination made by the Secretary under this section shall 
be final and conclusive and shall not be subject to judicial 
review. 
‘‘(h) REPORT.— 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
‘‘(1) IN GENERAL.—Within 180 days of the en-
actment of this section, and annually thereafter, the 
Secretary shall issue a report to the appropriate 
committees of the Congress— 
‘‘(A) detailing to the greatest extent pos-
sible the amount, location, and ownership or 
beneficial ownership of any stolen assets that, 
on or after the date of the enactment of this 
section, come within the United States or that 
come within the possession or control of any 
United States person, including any foreign 
branch; 
‘‘(B) discussing efforts being undertaken 
to identify more such stolen assets and their 
owners or beneficial owners; and 
‘‘(C) including a discussion of the inter-
actions of the Department of the Treasury with 
the international financial institutions (as de-
fined in section 1701(c)(2) of the International 
Financial Institutions Act) to identify the 
amount, location, and ownership, or beneficial 
ownership, of stolen assets held in financial in-
stitutions outside the United States. 
‘‘(2) EXCEPTION
FOR
ONGOING
INVESTIGA-
TIONS.—The report issued under paragraph (1) 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
shall not include information related to ongoing in-
vestigations. 
‘‘(i) DEFINITIONS.—For purposes of this section: 
‘‘(1) APPROPRIATE COMMITTEES OF THE CON-
GRESS.—The term ‘appropriate committees of the 
Congress’ means the Committees on Financial Serv-
ices, Foreign Affairs, and the Judiciary of the House 
of Representatives and the Committees on Banking, 
Housing, and Urban Affairs, Foreign Relations, and 
the Judiciary of the Senate. 
‘‘(2) FINANCIAL
ASSET.—The term ‘financial 
asset’ means any funds, investments, or ownership 
interests, as defined by the Secretary, that on or 
after the date of the enactment of this section come 
within the United States or that come within the 
possession or control of any United States person, 
including through a U.S. branch of a foreign finan-
cial institution. 
‘‘(3) FOREIGN
GOVERNMENT
CORRUPTION.— 
The term ‘foreign government corruption’ includes 
bribery of a foreign public official, or the misappro-
priation, theft, or embezzlement of public funds or 
property by or for the benefit of a foreign public of-
ficial. 
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS
‘‘(4) FOREIGN
PUBLIC
OFFICIAL.—The term 
‘foreign public official’ includes any person who oc-
cupies a public office by virtue of having been elect-
ed, appointed, or employed, including any military, 
civilian, special, honorary, temporary, or uncompen-
sated official. 
‘‘(5) IMMEDIATE FAMILY MEMBER.—The term 
‘immediate family member’, with respect to an indi-
vidual, has the meaning given the term ‘member of 
the immediate family’ under section 36(k) of the 
State Department Basic Authorities Act of 1956 (22 
U.S.C. 2708(k)). 
‘‘(6) REWARDS PROGRAM.—The term ‘rewards 
program’ means the program established in sub-
section (a)(1) of this section. 
‘‘(7) SECRETARY.—The term ‘Secretary’ means 
the Secretary of the Treasury. 
‘‘(8) STOLEN ASSETS.—The term ‘stolen assets’ 
means financial assets within the jurisdiction of the 
United States, constituting, derived from, or trace-
able to, any proceeds obtained directly or indirectly 
from foreign government corruption.’’. 
(b) REPORT ON DISPOSITION OF RECOVERED AS-
SETS.—Within 180 days of the enactment of this Act, the 
Secretary of the Treasury shall issue a report to the ap-
VerDate Sep 11 2014 
18:06 Jan 19, 2019
Jkt 089200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6201
E:\BILLS\H389.IH
H389
pbinns on DSK79D2C42PROD with BILLS