date of the enactment of this Act and subsequent reports
shall be submitted annually thereafter. Each such report
shall be submitted in classified form.
(b) IDENTIFICATION OF FOREIGN ENTITIES TRANS-
FERRING ITEMS OR TECHNOLOGIES.—Each report shall
identify each covered entity which during the preceding
2 years transferred a controlled item to another entity for
use in any of the following:
(1) A missile project of concern (as determined
by the Director of Central Intelligence).
(2) Activities to develop, produce, stockpile, or
deliver chemical or biological weapons.
(3) Nuclear activities in countries that do not
maintain full scope International Atomic Energy
Agency safeguards or equivalent full scope safe-
guards.
(c) PROHIBITION OF SUBSIDIES FOR PROLIFERATOR
ENTITIES.—Subject to subsection (d), the following shall
be applicable with respect to each entity identified in the
most recent report under subsection (a):
(1) The Export-Import Bank of the United
States may not issue any guarantee, insurance, or
extension of credit, or approve any participation in
an extension of credit, that would be used to conduct
business with that entity.
(2) The Overseas Private Investment Corpora-
tion may not issue any insurance, reinsurance, or
guarantee, or provide any financing, that would be
used to conduct business with that entity.
(3) No license may be approved for the transfer
to that entity of—
(A) any controlled item;
(B) any other item for which a validated li-
cense is required under section 5, 6(l), or 6(m)
of the Export Administration Act of 1979 or
for which a validated license is required under
that Act pursuant to section 309(c) of the Nu-
clear Non-Proliferation Act of 1978;
(C) any other item on the United States
Munitions List; or
(D) any other item controlled for export
under the Atomic Energy Act of 1954.
(4) The Secretary of Energy may not approve
a request under section 57b.(2) of the Atomic En-
ergy Act of 1954 to engage, directly or indirectly, in
the production of special nuclear material by that
entity.
(d) REMOVAL
OF PROHIBITION.—The prohibition
under subsection (c) shall cease to apply with respect to
an entity if the Director of Central Intelligence submits
a certification in writing to the Members of Congress spec-
ified in subsection (f) that the entity has ceased to make
transfers described in subsection (b) and is unlikely to re-
sume such transfers.
(e) DEFINITIONS.—For the purposes of this section:
(1) CONTROLLED ITEM.—(A) The term ‘‘con-
trolled item’’ means any of the following items (in-
cluding technology):
(i) Any item on the MTCR Annex.
(ii) An item listed for control by the Aus-
tralia Group.
(iii) Any item listed for control by the Nu-
clear Suppliers Group.
(B) AUSTRALIA GROUP.—The term ‘‘Australia
Group’’ means the multilateral regime in which the
United States participates that seeks to prevent the
proliferation of chemical and biological weapons.
(C) MTCR ANNEX.—The term ‘‘MTCR Annex’’
has the meaning given that term in section 74 of the
Arms Export Control Act (22 U.S.C. 2797c).
(D) NUCLEAR SUPPLIERS’ GROUP.—The term
‘‘Nuclear Suppliers’ Group’’ means the multilateral
arrangement in which the United States participates
whose purpose is to restrict the transfers of items
with relevance to the nuclear fuel cycle or nuclear
explosive applications.
(2) COVERED ENTITY.—The term ‘‘covered en-
tity’’ means a foreign person, corporation, business
association, partnership, society, trust, or other non-
governmental organization or group or any govern-
ment entity operating as a business. Such term in-
cludes any successor to any such entity.
(3) MISSILE PROJECT.—(A) The term ‘‘missile
project’’ means a project or facility for the design,
development, or manufacture of a missile.
(B) The term ‘‘missile’’ has the meaning given
that term in section 74 of the Arms Export Control
Act (22 U.S.C. 2797c).
(f) SPECIFIED MEMBERS OF CONGRESS.—The Mem-
bers of Congress referred to in this subsection are the fol-
lowing:
(1) The chairman and ranking minority party
member of the following committees of the House of
Representatives: the Committee on International Re-
lations, the Committee on National Security, the
Permanent Select Committee on Intelligence, and
the Committee on Appropriations.
(2) The chairman and ranking minority party
member of the following committees of the Senate:
the Committee on Foreign Relations, the Committee
on Armed Services, the Select Committee on Intel-
ligence, the Committee on Appropriations, and the
Committee on Governmental Affairs.
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