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other interest therein, including any leasehold inter-
est.
(B) For purposes of part 3 of this subtitle, the
term ‘‘property’’ shall not include real property used
for residential purposes unless, as of the date of the
enactment of this Act—
(i) the claim to the property is owned by
a United States national and the claim has
been certified under title V of the International
Claims Settlement Act of 1949; or
(ii) the property is occupied by a member
or official of the Cuban Government or the rul-
ing political party in Cuba.
(10) TRAFFICS.—(A) As used in part 3, a per-
son or entity ‘‘traffics’’ in property if that person or
entity knowingly and intentionally—
(i) sells, transfers, distributes, dispenses,
brokers, manages, or otherwise disposes of con-
fiscated property, or purchases, leases, receives,
possesses, obtains control of, manages, uses, or
otherwise acquires or holds an interest in con-
fiscated property,
(ii) engages in a commercial activity using
or otherwise benefiting from confiscated prop-
erty, or
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(iii) causes, directs, participates in, or
profits from, trafficking (as described in clauses
(i) and (ii)) by another person, or otherwise en-
gages in trafficking (as described in clauses (i)
and (ii)) through another person,
without the authorization of the United States na-
tional who holds a claim to the property.
(B) The term ‘‘traffics’’ does not include—
(i) the delivery of international tele-
communication signals to Cuba that are author-
ized by section 1705(e) of the Cuban Democ-
racy Act of 1992 (22 U.S.C. 6004(e)); or
(ii) the trading or holding of securities
publicly traded or held, unless the trading is
with or by a person determined by the Sec-
retary of the Treasury to be a specially des-
ignated national.
(11) TRANSITION GOVERNMENT IN CUBA.—The
term ‘‘transition government in Cuba’’ means a gov-
ernment determined by the President to have met
the requirements of section 6235.
(12) UNITED
STATES
NATIONAL.—The term
‘‘United States national’’ means—
(A) any United States citizen; or
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(B) any other legal entity which is orga-
nized under the laws of the United States, or
of any State, the District of Columbia, the
Commonwealth of Puerto Rico, or any other
territory or possession of the United States,
and which has its principal place of business in
the United States.
PART 1—SEEKING SANCTIONS AGAINST THE
CASTRO GOVERNMENT
SEC. 6211. STATEMENT OF POLICY.
It is the sense of the Congress that—
(1) the acts of the Castro government, includ-
ing its massive, systematic, and extraordinary viola-
tions of human rights, are a threat to international
peace;
(2) the President should advocate, and should
instruct the United States Permanent Representa-
tive to the United Nations to propose and seek,
within the Security Council, a mandatory inter-
national embargo against the totalitarian Cuban
Government pursuant to chapter VII of the Charter
of the United Nations, which is similar to measures
taken by United States representatives with respect
to Haiti; and
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(3) any resumption or commencement of efforts
by any state to make operational the nuclear facility
at Cienfuegos, Cuba, will have a detrimental impact
on United States assistance to and relations with
that state.
SEC. 6212. ENFORCEMENT OF THE ECONOMIC EMBARGO
OF CUBA.
(a) POLICY.—(1) The Congress hereby reaffirms sec-
tion 1704(a) of the Cuban Democracy Act of 1992 that
states the President should encourage foreign countries to
restrict trade and credit relations with Cuba.
(2) The Congress further urges the President to take
immediate steps to apply the sanctions described in section
1704(b) of that Act against countries assisting Cuba.
(b) DIPLOMATIC EFFORTS.—The Secretary of State
shall ensure that United States diplomatic personnel
abroad understand and, in their contacts with foreign offi-
cials, are communicating the reasons for the United States
economic embargo of Cuba, and are urging foreign govern-
ments to cooperate more effectively with the embargo.
(c) EXISTING REGULATIONS.—The President should
instruct the Secretary of the Treasury and the Attorney
General to enforce fully the Cuban Assets Control Regula-
tions set forth in part 515 of title 31, Code of Federal
Regulations.
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(d) TRADING WITH THE ENEMY ACT.—
(1) CIVIL PENALTIES.—Subsection (b) of sec-
tion 16 of the Trading With the Enemy Act (50
U.S.C. App. 16(b)) is amended to read as follows:
‘‘(b)(1) A civil penalty of not to exceed $50,000 may
be imposed by the Secretary of the Treasury on any per-
son who violates any license, order, rule, or regulation is-
sued in compliance with the provisions of this Act.
‘‘(2) Any property, funds, securities, papers, or other
articles or documents, or any vessel, together with its tack-
le, apparel, furniture, and equipment, that is the subject
of a violation under paragraph (1) shall, at the discretion
of the Secretary of the Treasury, be forfeited to the United
States Government.
‘‘(3) The penalties provided under this subsection
may not be imposed for—
‘‘(A) news gathering, research, or the export or
import of, or transmission of, information or infor-
mational materials; or
‘‘(B) clearly defined educational or religious ac-
tivities, or activities of recognized human rights or-
ganizations, that are reasonably limited in fre-
quency, duration, and number of participants.
‘‘(4) The penalties provided under this subsection
may be imposed only on the record after opportunity for
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an agency hearing in accordance with sections 554
through 557 of title 5, United States Code, with the right
to prehearing discovery.
‘‘(5) Judicial review of any penalty imposed under
this subsection may be had to the extent provided in sec-
tion 702 of title 5, United States Code.’’.
(2) FORFEITURE OF PROPERTY USED IN VIOLA-
TION.—Section 16 of the Trading With the Enemy
Act is further amended by striking subsection (c).
(3) CLERICAL AMENDMENT.—Section 16 of the
Trading With the Enemy Act is further amended by
inserting ‘‘SEC. 16.’’ before ‘‘(a)’’.
(e) COVERAGE
OF DEBT-FOR-EQUITY SWAPS
BY
ECONOMIC EMBARGO OF CUBA.—Section 1704(b)(2) of
the Cuban Democracy Act of 1992 (22 U.S.C. 6003(b)(2))
is amended—
(1) by striking ‘‘and’’ at the end of subpara-
graph (A);
(2) by redesignating subparagraph (B) as sub-
paragraph (C); and
(3) by inserting after subparagraph (A) the fol-
lowing new subparagraph:
‘‘(B) includes an exchange, reduction, or
forgiveness of Cuban debt owed to a foreign
country in return for a grant of an equity inter-
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est in a property, investment, or operation of
the Government of Cuba (including the govern-
ment of any political subdivision of Cuba, and
any agency or instrumentality of the Govern-
ment of Cuba) or of a Cuban national; and’’;
and
(4) by adding at the end the following flush
sentence:
‘‘As used in this paragraph, the term ‘agency or in-
strumentality of the Government of Cuba’ means an
agency or instrumentality of a foreign state as de-
fined in section 1603(b) of title 28, United States
Code, with ‘Cuba’ substituted for ‘a foreign state’
each place it appears in such section.’’.
SEC. 6213. PROHIBITION AGAINST INDIRECT FINANCING OF
THE CASTRO DICTATORSHIP.
(a) PROHIBITION.—Notwithstanding any other provi-
sion of law, no loan, credit, or other financing may be ex-
tended knowingly by a United States national, permanent
resident alien, or United States agency, to a foreign na-
tional, United States national, or permanent resident
alien, in order to finance transactions involving any con-
fiscated property the claim to which is owned by a United
States national as of the date of the enactment of this
Act.
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(b) TERMINATION OF PROHIBITION.—The prohibi-
tion of subsection (a) shall cease to apply on the date on
which the economic embargo of Cuba terminates under
section 6235.
(c) PENALTIES.—Violations of subsection (a) shall be
punishable by the same penalties as are applicable to viola-
tions of the Cuban Assets Control Regulations set forth
in part 515 of title 31, Code of Federal Regulations.
(d) DEFINITIONS.—As used in this section—
(1) the term ‘‘permanent resident alien’’ means
an alien admitted for permanent residence into the
United States; and
(2) the term ‘‘United States agency’’ has the
meaning given the term ‘‘agency’’ in section 551(1)
of title 5, United States Code.
SEC. 6214. UNITED STATES OPPOSITION TO CUBAN MEM-
BERSHIP IN INTERNATIONAL FINANCIAL IN-
STITUTIONS.
(a) OPPOSITION TO CUBAN MEMBERSHIP IN INTER-
NATIONAL FINANCIAL INSTITUTIONS.—(1) Until such
time as the President determines that a transition govern-
ment in Cuba is in power, the Secretary of the Treasury
should instruct the United States executive director to
each international financial institution to use the voice and
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vote of the United States to oppose the admission of Cuba
as a member of such institution.
(2) Once a transition government in Cuba is in
power, the President is encouraged to take steps to sup-
port the processing of Cuba’s application for membership
in any financial institution subject to the membership tak-
ing effect at such time as the President deems most likely
to facilitate the transition to a democratically elected gov-
ernment in Cuba.
(b) REDUCTION IN UNITED STATES PAYMENTS TO
INTERNATIONAL
FINANCIAL
INSTITUTIONS.—If 
any
international financial institution approves a loan or other
assistance to the Cuban Government over the opposition
of the United States, then the Secretary of the Treasury
shall withhold from payment to that institution an amount
equal to the amount of the loan or other assistance to the
Cuban Government, with respect to each of the following
types of payment:
(1) The paid-in portion of the increase in cap-
ital stock of the institution.
(2) The callable portion of the increase in cap-
ital stock of the institution.
(c) DEFINITION.—For purposes of this section, the
term ‘‘international financial institution’’ means the Inter-
national Monetary Fund, the International Bank for Re-
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construction and Development, the International Develop-
ment Association, the International Finance Corporation,
the Multilateral Investment Guaranty Agency, and the
Inter-American Development Bank.
SEC. 6215. UNITED STATES OPPOSITION TO ENDING THE
SUSPENSION OF THE GOVERNMENT OF CUBA
FROM THE ORGANIZATION OF AMERICAN
STATES.
The President should instruct the United States Per-
manent Representative to the Organization of American
States to use the voice and vote of the United States to
oppose ending the suspension of the Government of Cuba
from the Organization until the President determines
under section 6233(c)(3) that a democratically elected
government in Cuba is in power.
SEC. 6216. ASSISTANCE BY THE INDEPENDENT STATES OF
THE FORMER SOVIET UNION FOR THE CUBAN
GOVERNMENT.
(a) REPORTING REQUIREMENT.—Not later than 90
days after the date of the enactment of this Act, the Presi-
dent shall submit to the appropriate congressional com-
mittees a report detailing progress towards the withdrawal
of personnel of any independent state of the former Soviet
Union (within the meaning of section 3 of the FREEDOM
Support Act (22 U.S.C. 5801)), including advisers, techni-
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cians, and military personnel, from the Cienfuegos nuclear
facility in Cuba.
(b) 
CRITERIA
FOR
ASSISTANCE.—Section
498A(a)(11) of the Foreign Assistance Act of 1961 (22
U.S.C. 2295a(a)(11)) is amended by striking ‘‘of military
facilities’’ and inserting ‘‘military and intelligence facili-
ties, including the military and intelligence facilities at
Lourdes and Cienfuegos’’.
(c) INELIGIBILITY
FOR ASSISTANCE.—(1) Section
498A(b) of that Act (22 U.S.C. 2295a(b)) is amended—
(A) by striking ‘‘or’’ at the end of paragraph
(4);
(B) by redesignating paragraph (5) as para-
graph (6); and
(C) by inserting after paragraph (4) the follow-
ing:
‘‘(5) for the government of any independent
state effective 30 days after the President has deter-
mined and certified to the appropriate congressional
committees (and Congress has not enacted legisla-
tion disapproving the determination within that 30-
day period) that such government is providing as-
sistance for, or engaging in nonmarket based trade
(as defined in section 498B(k)(3)) with, the Cuban
Government; or’’.
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(2) Subsection (k) of section 498B of that Act (22
U.S.C. 2295b(k)), is amended by adding at the end the
following:
‘‘(3) NONMARKET BASED TRADE.—As used in
section
498A(b)(5),
the term
‘nonmarket
based
trade’ includes exports, imports, exchanges, or other
arrangements that are provided for goods and serv-
ices (including oil and other petroleum products) on
terms more favorable than those generally available
in applicable markets or for comparable commod-
ities, including—
‘‘(A) exports to the Cuban Government on
terms that involve a grant, concessional price,
guaranty, insurance, or subsidy;
‘‘(B) imports from the Cuban Government
at preferential tariff rates;
‘‘(C) exchange arrangements that include
advance delivery of commodities, arrangements
in which the Cuban Government is not held ac-
countable for unfulfilled exchange contracts,
and arrangements under which Cuba does not
pay appropriate transportation, insurance, or fi-
nance costs; and
‘‘(D) the exchange, reduction, or forgive-
ness of Cuban debt in return for a grant by the