I
107TH CONGRESS
1ST SESSION
H. R. 2978
To strengthen existing Federal laws and provide law enforcement agencies
with enhanced enforcement tools necessary to combat money laundering,
and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
OCTOBER 2, 2001
Mrs. ROUKEMA introduced the following bill; which was referred to the Com-
mittee on Financial Services, and in addition to the Committees on the
Judiciary, and International Relations, for a period to be subsequently
determined by the Speaker, in each case for consideration of such provi-
sions as fall within the jurisdiction of the committee concerned
A BILL
To strengthen existing Federal laws and provide law enforce-
ment agencies with enhanced enforcement tools necessary
to combat money laundering, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Money Laundering Prevention Act’’.
(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I—INTERNATIONAL COUNTER–MONEY LAUNDERING
MEASURES
Sec. 101. Special measures for jurisdictions, financial institutions, or inter-
national transactions of primary money laundering concern.
TITLE II—CURRENCY TRANSACTION REPORTING AMENDMENTS
AND RELATED IMPROVEMENTS
Sec. 201. Amendments relating to reporting of suspicious activities.
Sec. 202. Penalties for violations of geographic targeting orders and certain
recordkeeping requirements, and lengthening effective period of
geographic targeting orders.
Sec. 203. Authorization to include suspicions of illegal activity in written em-
ployment references.
Sec. 204. Bank Secrecy Act advisory group.
Sec. 205. Agency reports on reconciling penalty amounts.
Sec. 206. Bulk cash smuggling into or out of the United States.
Sec. 207. Forfeiture in currency reporting cases.
Sec. 208. Interstate currency couriers.
Sec. 209. Anti-money laundering measures for United States bank accounts in-
volving foreign persons.
TITLE III—ENHANCED LAW ENFORCEMENT
Sec. 301. Long-arm jurisdiction over foreign money launderers.
Sec. 302. Laundering money through a foreign bank.
Sec. 303. Specified unlawful activity for money laundering.
Sec. 304. Subpoenas for bank records.
Sec. 305. Charging money laundering as a course of conduct.
Sec. 306. Fungible property in bank accounts.
Sec. 307. Prohibition on false statements to financial institutions concerning
the identity of a customer.
Sec. 308. Forfeiture of funds in United States interbank accounts.
TITLE IV—ANTICORRUPTION MEASURES
Sec. 401. Corruption of foreign governments and ruling elites.
Sec. 402. Support for the financial action task force on money laundering.
TITLE 
I—INTERNATIONAL
COUNTER–MONEY 
LAUN-
DERING MEASURES
SEC. 101. SPECIAL MEASURES FOR JURISDICTIONS, FINAN-
CIAL 
INSTITUTIONS, 
OR 
INTERNATIONAL
TRANSACTIONS OF PRIMARY MONEY LAUN-
DERING CONCERN.
(a) IN GENERAL.—Subchapter II of chapter 53 of
title 31, United States Code, is amended by inserting after
section 5318 the following new section:
‘‘§ 5318A. Special measures for jurisdictions, financial
institutions, or international transactions
of primary money laundering concern
‘‘(a) 
INTERNATIONAL
COUNTER-MONEY
LAUN-
DERING REQUIREMENTS.—
‘‘(1) IN GENERAL.—The Secretary may require
domestic financial institutions and domestic financial
agencies to take 1 or more of the special measures
described in subsection (b) if the Secretary finds
that reasonable grounds exist for concluding that a
jurisdiction outside the United States, 1 or more fi-
nancial institutions operating outside the United
States, or 1 or more classes of transactions within,
or involving, a jurisdiction outside the United States
is of primary money laundering concern, in accord-
ance with subsection (c).
‘‘(2) FORM
OF
REQUIREMENT.—The special
measures described in subsection (b) may be im-
posed by regulation, order, or otherwise as permitted
by law, and in such sequence or combination, as the
Secretary shall determine.
‘‘(3) PROCESS FOR SELECTING SPECIAL MEAS-
URES.—
‘‘(A) CONSULTATION.—In selecting which
special measure or measures to take under this
subsection, the Secretary shall consult with the
Chairman of the Board of Governors of the
Federal Reserve System and, in the Secretary’s
sole discretion, such other agencies and inter-
ested parties as the Secretary may find to be
appropriate.
‘‘(B) FACTORS.—The Secretary also shall
consider—
‘‘(i) whether similar action has been
or is being taken by other nations or multi-
lateral groups;
‘‘(ii) whether the imposition of any
particular special measure would create a
significant competitive disadvantage, in-
cluding any undue cost or burden associ-
ated with compliance, for financial institu-
tions organized or licensed in the United
States; and
‘‘(iii) the extent to which the action
would have a significant adverse systemic
impact on the international payment, clear-
ance and settlement system, or on legiti-
mate business activities involving the par-
ticular jurisdiction, institution, or class of
transactions.
‘‘(4) NO LIMITATION ON OTHER AUTHORITY.—
This section shall not be construed as superseding or
otherwise restricting any other authority granted to
the Secretary, or to any other agency, by this sub-
chapter or otherwise.
‘‘(b) SPECIAL MEASURES.—The special measures re-
ferred to in subsection (a), with respect to a jurisdiction
outside the United States, financial institution operating
outside the United States, or class of transaction within,
or involving, a jurisdiction outside the United States, are
as follows:
‘‘(1) RECORDKEEPING
AND
REPORTING
OF
CERTAIN FINANCIAL TRANSACTIONS.—
‘‘(A) IN GENERAL.—The Secretary may re-
quire any domestic financial institution or do-
mestic financial agency to maintain records, file
reports, or both, concerning the aggregate
amount of transactions, or concerning each
transaction, with respect to a jurisdiction out-
side the United States, 1 or more financial in-
stitutions operating outside the United States,
or 1 or more classes of transactions within, or
involving, a jurisdiction outside the United
States, if the Secretary finds any such jurisdic-
tion, institution, or class of transactions to be
of primary money laundering concern.
‘‘(B) FORM OF RECORDS AND REPORTS.—
Such records and reports shall be made and re-
tained at such time, in such manner, and for
such period of time, as the Secretary shall de-
termine, and shall include such information as
the Secretary may determine, including—
‘‘(i) the identity and address of the
participants in a transaction or relation-
ship, including the identity of the origi-
nator of any funds transfer;
‘‘(ii) the legal capacity in which a par-
ticipant in any transaction is acting;
‘‘(iii) information concerning the bene-
ficial ownership of the funds involved in
any transaction, in accordance with steps
the Secretary has determined to be reason-
able and practicable to obtain and retain
such information; and
‘‘(iv) a description of any transaction.
‘‘(2) INFORMATION RELATING TO BENEFICIAL
OWNERSHIP.—In addition to any other requirement
under any other law, the Secretary may require any
domestic financial institution or domestic financial
agency to take such steps as the Secretary may de-
termine to be reasonable and practicable to obtain
and retain information concerning the beneficial
ownership of any account opened or maintained in
the United States by a foreign person (other than a
foreign entity whose shares are subject to public re-
porting requirements or are listed and traded on a
regulated exchange or trading market), or a rep-
resentative of such a foreign person, that involves a
jurisdiction outside the United States, 1 or more fi-
nancial institutions operating outside the United
States, or 1 or more classes of transactions within,
or involving, a jurisdiction outside the United States,
if the Secretary finds any such jurisdiction, institu-
tion, or transaction to be of primary money laun-
dering concern.
‘‘(3) INFORMATION RELATING TO CERTAIN PAY-
ABLE-THROUGH ACCOUNTS.—If the Secretary finds
a jurisdiction outside the United States, 1 or more
financial institutions operating outside the United
States, or 1 or more classes of transactions within,
or involving, a jurisdiction outside the United States
to be of primary money laundering concern, the Sec-
retary may require any domestic financial institution
or domestic financial agency that opens or maintains
a payable-through account in the United States for
a foreign financial institution involving any such ju-
risdiction or any such financial institution operating
outside the United States, or a payable-through ac-
count through which any such transaction may be
conducted, as a condition of opening or maintaining
such account, to—
‘‘(A) identify each customer (and rep-
resentative of such customer) of such financial
institution who is permitted to use, or whose
transactions are routed through, such payable-
through account; and
‘‘(B) obtain, with respect to each such cus-
tomer (and each such representative), the same
information that the depository institution ob-
tains in the ordinary course of business with re-
spect to its customers residing in the United
States.
‘‘(4) INFORMATION RELATING TO CERTAIN COR-
RESPONDENT ACCOUNTS.—If the Secretary finds a
jurisdiction outside the United States, 1 or more fi-
nancial institutions operating outside the United
States, or 1 or more classes of transactions within,
or involving, a jurisdiction outside the United States
to be of primary money laundering concern, the Sec-
retary may require any domestic financial institution
or domestic financial agency that opens or maintains
a correspondent account in the United States for a
foreign financial institution involving any such juris-
diction or any such financial institution operating
outside the United States, or a correspondent ac-
count through which any such transaction may be
conducted, as a condition of opening or maintaining
such account, to—
‘‘(A) identify each customer (and rep-
resentative of such customer) of any such finan-
cial institution who is permitted to use, or
whose transactions are routed through, such
correspondent account; and
‘‘(B) obtain, with respect to each such cus-
tomer (and each such representative), the same
information that the depository institution ob-
tains in the ordinary course with respect to its
customers residing in the United States.
‘‘(5) PROHIBITIONS OR CONDITIONS ON OPEN-
ING OR MAINTAINING CERTAIN CORRESPONDENT OR
PAYABLE-THROUGH
ACCOUNTS.—If the Secretary
finds a jurisdiction outside the United States, 1 or
more financial institutions operating outside the
United States, or 1 or more classes of transactions
within, or involving, a jurisdiction outside the United
States to be of primary money laundering concern,
the Secretary, in consultation with the Secretary of
State, the Attorney General, and the Chairman of
the Board of Governors of the Federal Reserve Sys-
tem, may prohibit, or impose conditions upon, the
opening or maintaining in the United States of a
correspondent account or payable-through account
by any domestic financial institution or domestic fi-
nancial agency for or on behalf of a foreign banking
institution if such correspondent account or payable-
through account involves any such jurisdiction or in-
stitution, or if any such transaction may be con-
ducted through such correspondent account or pay-
able-through account.
‘‘(c) CONSULTATIONS
AND INFORMATION TO BE
CONSIDERED IN FINDING JURISDICTIONS, INSTITUTIONS,
OR TRANSACTIONS TO BE OF PRIMARY MONEY LAUN-
DERING CONCERN.—
‘‘(1) IN GENERAL.—In making a finding that
reasonable grounds exist for concluding that a juris-
diction outside the United States, 1 or more finan-
cial institutions operating outside the United States,
or 1 or more classes of transactions within, or in-
volving, a jurisdiction outside the United States is of
primary money laundering concern so as to author-
ize the Secretary to invoke 1 or more of the special
measures of subsection (b), the Secretary shall con-
sult with the Secretary of State, the Attorney Gen-
eral, the Secretary of Commerce, and the United
States Trade Representative.
‘‘(2) INFORMATION.—The Secretary also shall
consider such information as the Secretary considers
to be relevant, including the following potentially rel-
evant factors:
‘‘(A) 
In 
the 
case 
of 
a 
particular
jurisdiction—
‘‘(i) the extent to which that jurisdic-
tion or financial institutions operating
therein offer bank secrecy or special tax or
regulatory advantages to nonresidents or
nondomiciliaries of such jurisdiction;
‘‘(ii) the substance and quality of ad-
ministration of that jurisdiction’s bank su-
pervisory and counter-money laundering
laws;
‘‘(iii) the relationship between the vol-
ume of financial transactions occurring in
that jurisdiction and the size of the juris-
diction’s economy;
‘‘(iv) the extent to which that jurisdic-
tion is characterized as a tax haven or off-
shore banking or secrecy haven by credible
international organizations or multilateral
expert groups;
‘‘(v) whether the United States has a
mutual legal assistance treaty with that ju-
risdiction, and the experience of United
States law enforcement officials, regulatory
officials, and tax administrators in obtain-
ing information about transactions origi-
nating in or routed through or to such ju-
risdiction; and
‘‘(vi) the extent to which that jurisdic-
tion is characterized by high levels of offi-
cial or institutional corruption.
‘‘(B) In the case of a decision to apply 1
or more of the special measures described in
subsection (b) only to a financial institution or
institutions, or to a transaction or class of
transactions, or to both, within, or involving, a
particular jurisdiction—
‘‘(i) the extent to which such financial
institutions or transactions are used to fa-
cilitate or promote money laundering in or
through the jurisdiction;
‘‘(ii) the extent to which such institu-
tions or transactions are used for legiti-
mate business purposes in such jurisdic-
tion; and
‘‘(iii) the extent to which such action
is sufficient to ensure, with respect to
transactions involving such jurisdiction and
institutions operating in such jurisdiction,
that the purposes of this subchapter con-
tinue to be fulfilled, and to guard against
international money laundering and other
financial crimes.
‘‘(d) NOTIFICATION
OF SPECIAL MEASURES IN-
VOKED BY THE SECRETARY.—Within 10 days after the
date of any action taken by the Secretary under subsection
(a)(1), the Secretary shall notify, in writing, the Com-
mittee on Banking and Financial Services of the House
of Representatives and the Committee on Banking, Hous-
ing, and Urban Affairs of the Senate of any such action.
‘‘(e) DEFINITIONS.—Notwithstanding any other pro-
vision of this subchapter, for purposes of this section, the
following definitions shall apply:
‘‘(1) DEFINED TERMS.—
‘‘(A) BANK DEFINITIONS.—The following
definitions shall apply with respect to a bank:
‘‘(i) ACCOUNT.—The term ‘account’—
‘‘(I) means a formal banking or
business relationship established to
provide regular services, dealings, and
other financial transactions; and
‘‘(II) includes a demand deposit,
savings deposit, or other transaction
or asset account and a credit account
or other extension of credit.
‘‘(ii) CORRESPONDENT
ACCOUNT.—
The term ‘correspondent account’ means
an account established to receive deposits
from and make payments on behalf of a
foreign financial institution.
‘‘(iii) PAYABLE-THROUGH ACCOUNT.—
The term ‘payable-through account’ means
an account, including a transaction ac-
count (as defined in section 19(b)(1)(C) of
the Federal Reserve Act), opened at a de-
pository institution by a foreign financial
institution by means of which the foreign
financial institution permits its customers
to engage, either directly or through a sub-
account, in banking activities usual in con-
nection with the business of banking in the
United States.
‘‘(B) DEFINITIONS APPLICABLE TO INSTI-
TUTIONS OTHER THAN BANKS.—With respect
to any financial institution other than a bank,
the Secretary shall define, by regulation, order,
or otherwise as permitted by law, the term ‘ac-
count’ and shall include within the meaning of
such term arrangements similar to payable-
through and correspondent accounts.
‘‘(2) OTHER TERMS.—The Secretary may, by
regulation, order, or otherwise as permitted by law,
further define the terms in paragraph (1) and define
other terms for the purposes of this section, as the
Secretary deems appropriate.’’.
(b) CLERICAL AMENDMENT.—The table of sections
for subchapter II of chapter 53 of title 31, United States
Code, is amended by inserting after the item relating to
section 5318 the following new item:
‘‘5318A. Special measures for jurisdictions, financial institutions, or inter-
national transactions of primary money laundering concern.’’.
TITLE 
II—CURRENCY 
TRANS-
ACTION REPORTING AMEND-
MENTS 
AND 
RELATED 
IM-
PROVEMENTS
SEC. 201. AMENDMENTS RELATING TO REPORTING OF SUS-
PICIOUS ACTIVITIES.
(a) AMENDMENT RELATING TO CIVIL LIABILITY IM-
MUNITY FOR DISCLOSURES.—Section 5318(g)(3) of title
31, United States Code, is amended to read as follows:
‘‘(3) LIABILITY FOR DISCLOSURES.—
‘‘(A) IN GENERAL.—Any financial institu-
tion that makes a voluntary disclosure of any
possible violation of law or regulation to a gov-
ernment agency or makes a disclosure pursuant
to this subsection or any other authority, and
(b) PROHIBITION
ON NOTIFICATION
OF DISCLO-
SURES.—Section 5318(g)(2) of title 31, United States
Code, is amended to read as follows:
‘‘(2) NOTIFICATION PROHIBITED.—
‘‘(A) IN GENERAL.—If a financial institu-
tion or any director, officer, employee, or agent
of any financial institution, voluntarily or pur-
suant to this section or any other authority, re-
ports a suspicious transaction to a government
agency—
‘‘(i) the financial institution, director,
officer, employee, or agent may not notify
any person involved in the transaction that
the transaction has been reported; and
‘‘(ii) no officer or employee of the
Federal Government or of any State, local,
tribal, or territorial government within the
United States, who has any knowledge that
such report was made may disclose to any
person involved in the transaction that the
transaction has been reported other than
as necessary to fulfill the official duties of
such officer or employee.
‘‘(B) DISCLOSURES IN CERTAIN EMPLOY-
MENT REFERENCES.—Notwithstanding the ap-
plication of subparagraph (A) in any other con-
text, subparagraph (A) shall not be construed
as prohibiting any financial institution, or any
director, officer, employee, or agent of such in-
stitution, from including, in a written employ-
ment reference that is provided in accordance
with section 18(v) of the Federal Deposit Insur-
ance Act in response to a request from another
financial institution or a written termination
notice or employment reference that is provided
in accordance with the rules of the self-regu-
latory organizations registered with the Securi-
ties and Exchange Commission, information
that was included in a report to which subpara-
graph (A) applies, but such written employment
reference may not disclose that such informa-
tion was also included in any such report or
that such report was made.’’.
SEC. 202. PENALTIES FOR VIOLATIONS OF GEOGRAPHIC
TARGETING ORDERS AND CERTAIN RECORD-
KEEPING 
REQUIREMENTS, 
AND 
LENGTH-
ENING EFFECTIVE PERIOD OF GEOGRAPHIC
TARGETING ORDERS.
(a) CIVIL PENALTY FOR VIOLATION OF TARGETING
ORDER.—Section 5321(a)(1) of title 31, United States
Code, is amended—
(1) by inserting ‘‘or order issued’’ after ‘‘sub-
chapter or a regulation prescribed’’; and
(2) by inserting ‘‘, or willfully violating a regu-
lation prescribed under section 21 of the Federal
Deposit Insurance Act or section 123 of Public Law
91–508,’’ after ‘‘section 5314 and 5315)’’.
(b) CRIMINAL PENALTIES FOR VIOLATION OF TAR-
GETING ORDER.—Section 5322 of title 31, United States
Code, is amended—
(1) in subsection (a)—
(A) by inserting ‘‘or order issued’’ after
‘‘willfully violating this subchapter or a regula-
tion prescribed’’; and
(B) by inserting ‘‘, or willfully violating a
regulation prescribed under section 21 of the
Federal Deposit Insurance Act or section 123
of Public Law 91–508,’’ after ‘‘under section
5315 or 5324)’’;
(2) in subsection (b)—
(A) by inserting ‘‘or order issued’’ after
‘‘willfully violating this subchapter or a regula-
tion prescribed’’; and
(B) by inserting ‘‘or willfully violating a
regulation prescribed under section 21 of the
Federal Deposit Insurance Act or section 123
of Public Law 91–508,’’ after ‘‘under section
5315 or 5324),’’.
(c) STRUCTURING TRANSACTIONS TO EVADE TAR-
GETING ORDER OR CERTAIN RECORDKEEPING REQUIRE-
MENTS.—Section 5324(a) of title 31, United States Code,
is amended—
(1) by inserting a comma after ‘‘shall’’;
(2) by striking ‘‘section—’’ and inserting ‘‘sec-
tion, the reporting or recordkeeping requirements
imposed by any order issued under section 5326, or
the recordkeeping requirements imposed by any reg-
ulation prescribed under section 21 of the Federal
Deposit Insurance Act or section 123 of Public Law
91–508—’’;
(3) in paragraph (1) by inserting ‘‘, to file a re-
port or to maintain a record required by an order
issued under section 5326, or to maintain a record
required pursuant to any regulation prescribed
under section 21 of the Federal Deposit Insurance
Act or section 123 of Public Law 91–508’’ after
‘‘regulation prescribed under any such section’’; and
(4) in paragraph (2) by inserting ‘‘, to file a re-
port or to maintain a record required by any order
issued under section 5326, or to maintain a record
required pursuant to any regulation prescribed
under section 5326, or to maintain a record required
pursuant to any regulation prescribed under section
21 of the Federal Deposit Insurance Act or section
123 of Public Law 91–508,’’ after ‘‘regulation pre-
scribed under any such section’’.
(d) LENGTHENING EFFECTIVE PERIOD
OF GEO-
GRAPHIC TARGETING ORDERS.—Section 5326(d) of title
31, United States Code, is amended by striking ‘‘60’’ after
‘‘shall be effective for more than’’ and inserting ‘‘180’’.
SEC. 203. AUTHORIZATION TO INCLUDE SUSPICIONS OF IL-
LEGAL ACTIVITY IN WRITTEN EMPLOYMENT
REFERENCES.
Section 18 of the Federal Deposit Insurance Act (12
U.S.C. 1828) is amended by adding at the end the fol-
lowing new subsection:
‘‘(v) WRITTEN EMPLOYMENT REFERENCES MAY
CONTAIN SUSPICIONS OF INVOLVEMENT IN ILLEGAL AC-
TIVITY.—
‘‘(1) IN GENERAL.—Notwithstanding any other
provision of law, any insured depository institution,
and any director, officer, employee, or agent of such
institution, may disclose in any written employment
reference relating to a current or former institution-
affiliated party of such institution which is provided
to another insured depository institution in response
to a request from such other institution, information
concerning the possible involvement of such institu-
tion-affiliated party in potentially unlawful activity.
‘‘(2) DEFINITION.—For purposes of this sub-
section, the term ‘insured depository institution’ in-
cludes any uninsured branch or agency of a foreign
bank.’’.
SEC. 204. BANK SECRECY ACT ADVISORY GROUP.
Section 1564 of the Annunzio-Wylie Anti-Money
Laundering Act (31 U.S.C. 5311 note) is amended—
(1) in subsection (a), by inserting ‘‘, of non-
governmental organizations advocating financial pri-
vacy,’’ after ‘‘Drug Control Policy’’; and
(2) in subsection (c), by inserting ‘‘, other than
subsections (a) and (d) of such Act which shall
apply’’ before the period at the end.
SEC. 205. AGENCY REPORTS ON RECONCILING PENALTY
AMOUNTS.
Before the end of the 1-year period beginning on the
date of the enactment of this Act, the Secretary of the
Treasury and the Federal banking agencies (as defined in
section 3 of the Federal Deposit Insurance Act) shall each
submit their respective reports to the Congress containing
recommendations on possible legislation to conform the
penalties imposed on depository institutions (as defined in
section 3 of the Federal Deposit Insurance Act) for viola-
tions of subchapter II of chapter 53 of title 31, United
States Code, to the penalties imposed on such institutions
under section 8 of the Federal Deposit Insurance Act.
SEC. 206. BULK CASH SMUGGLING INTO OR OUT OF THE
UNITED STATES.
(a) ENACTMENT OF BULK CASH SMUGGLING OF-
FENSE.—Subchapter II of chapter 53 of title 31, United
States Code, is amended by adding at the end the fol-
lowing:
‘‘§ 5331. Bulk cash smuggling into or out of the
United States
‘‘(a) CRIMINAL OFFENSE.—
‘‘(1) IN GENERAL.—Whoever, with the intent to
evade a currency reporting requirement under sec-
tion 5316, knowingly conceals more than $10,000 in
currency or other monetary instruments on the per-
son of such individual or in any conveyance, article
of luggage, merchandise, or other container, and
transports or transfers or attempts to transport or
transfer such currency or monetary instruments
from a place within the United States to a place out-
side of the United States, or from a place outside
the United States to a place within the United
States, shall be guilty of a currency smuggling of-
fense and subject to punishment pursuant to sub-
section (b).
‘‘(2) CONCEALMENT
ON
PERSON.—For pur-
poses of this section, the concealment of currency on
the person of any individual includes concealment in
any article of clothing worn by the individual or in
any luggage, backpack, or other container worn or
carried by such individual.
‘‘(b) PENALTY.—
‘‘(1) TERM OF IMPRISONMENT.—A person con-
victed of a currency smuggling offense under sub-
section (a), or a conspiracy to commit such offense,
shall be imprisoned for not more than 5 years.
‘‘(2) FORFEITURE.—In addition, the court, in
imposing sentence under paragraph (1), shall order
that the defendant forfeit to the United States, any
property, real or personal, involved in the offense,
and any property traceable to such property, subject
to subsection (d) of this section.
‘‘(3) PROCEDURE.—The seizure, restraint, and
forfeiture of property under this section shall be gov-
erned by section 413 of the Controlled Substances
Act.
‘‘(4) PERSONAL
MONEY
JUDGMENT.—If the
property subject to forfeiture under paragraph (2) is
unavailable, and the defendant has insufficient sub-
stitute property that may be forfeited pursuant to
section 413(p) of the Controlled Substances Act, the
court shall enter a personal money judgment against
the defendant for the amount that would be subject
to forfeiture.
‘‘(c) CIVIL FORFEITURE.—
‘‘(1) IN GENERAL.—Any property involved in a
violation of subsection (a), or a conspiracy to com-
mit such violation, and any property traceable to
such violation or conspiracy, may be seized and, sub-
ject to subsection (d) of this section, forfeited to the
United States.
‘‘(2) PROCEDURE.—The seizure and forfeiture
shall be governed by the procedures governing civil
forfeitures in money laundering cases pursuant to
section 981(a)(1)(A) of title 18, United States Code.
‘‘(3) TREATMENT
OF
CERTAIN
PROPERTY
AS
INVOLVED IN THE OFFENSE.—For purposes of this
subsection and subsection (b), any currency or other
monetary instrument that is concealed or intended
to be concealed in violation of subsection (a) or a
conspiracy to commit such violation, any article, con-
tainer, or conveyance used, or intended to be used,
to conceal or transport the currency or other mone-
tary instrument, and any other property used, or in-
tended to be used, to facilitate the offense, shall be
considered property involved in the offense.
‘‘(d) PROPORTIONALITY OF FORFEITURE.—
‘‘(1) IN
GENERAL.—Upon a showing by the
property owner by a preponderance of the evidence
that the currency or monetary instruments involved
in the offense giving rise to the forfeiture were de-
rived from a legitimate source, and were intended
for a lawful purpose, the court shall reduce the for-
feiture to the maximum amount that is not grossly
disproportional to the gravity of the offense.
‘‘(2) FACTORS TO BE CONSIDERED.—In deter-
mining the amount of the forfeiture, the court shall
consider all aggravating and mitigating facts and
circumstances that have a bearing on the gravity of
the offense, including the following:
‘‘(A) The value of the currency or other
monetary instruments involved in the offense.
‘‘(B) Efforts by the person committing the
offense to structure currency transactions, con-
ceal property, or otherwise obstruct justice.
‘‘(C) Whether the offense is part of a pat-
tern of repeated violations of Federal law.’’.
(b) CONFORMING AMENDMENT.—The table of sec-
tions for subchapter II of chapter 53 of title 31, United
States Code, is amended by inserting after the item relat-
ing to section 5330, the following new item:
‘‘5331. Bulk cash smuggling into or out of the United States.’’.
SEC. 207. FORFEITURE IN CURRENCY REPORTING CASES.
(a) IN GENERAL.—Subsection (c) of section 5317 of
title 31, United States Code, is amended to read as fol-
lows:
‘‘(c) FORFEITURE.—
‘‘(1) IN GENERAL.—The court in imposing sen-
tence for any violation of section 5313, 5316, or
5324, or any conspiracy to commit such violation,
shall order the defendant to forfeit all property, real
or personal, involved in the offense and any property
traceable thereto.
‘‘(2) PROCEDURE.—Forfeitures under this sub-
section shall be governed by the procedures estab-
lished in section 413 of the Controlled Substances
Act and the guidelines established in paragraph (4).
‘‘(3) CIVIL
FORFEITURE.—Any property in-
volved in a violation of section 5313, 5316, or 5324,
or any conspiracy to commit any such violation, and
any property traceable to any such violation or con-
spiracy, may be seized and, subject to paragraph
(4), forfeited to the United States in accordance
with the procedures governing civil forfeitures in
money 
laundering 
cases 
pursuant 
to 
section
981(a)(1)(A) of title 18, United States Code.
‘‘(4) PROPORTIONALITY OF FORFEITURE.—
‘‘(A) IN GENERAL.—Upon a showing by
the property owner by a preponderance of the
evidence that any currency or monetary instru-
ments involved in the offense giving rise to the
forfeiture were derived from a legitimate source,
and were intended for a lawful purpose, the
court shall reduce the forfeiture to the max-
imum amount that is not grossly dispropor-
tional to the gravity of the offense.
‘‘(B) FACTORS
TO
BE
CONSIDERED.—In
determining the amount of the forfeiture, the
court shall consider all aggravating and miti-
gating facts and circumstances that have a
bearing on the gravity of the offense, including
the following:
‘‘(i) The value of the currency or
other monetary instruments involved in the
offense.
‘‘(ii) Efforts by the person committing
the offense to structure currency trans-
actions, conceal property, or otherwise ob-
struct justice.
‘‘(iii) Whether the offense is part of a
pattern of repeated violations of Federal
law.’’.
(b) 
CONFORMING
AMENDMENTS.—(1) 
Section
981(a)(1)(A) of title 18, United States Code, is amended
by striking ‘‘of section 5313(a) or 5324(a) of title 31, or’’.
(2) Section 982(a)(1) of title 18, United States Code,
is amended by striking ‘‘of 5313(a), 5316, or 5324 of title
31, or’’.
SEC. 208. INTERSTATE CURRENCY COURIERS.
Section 1957 of title 18, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(g) Any person who conceals more than $10,000 in
currency on his or her person, in any vehicle, in any com-
partment or container within any vehicle, or in any con-
tainer placed in a common carrier, and transports, at-
tempts to transport, or conspires to transport such cur-
rency in interstate commerce on any public road or high-
way or on any bus, train, airplane, vessel, or other com-
mon carrier, knowing that the currency was derived from
some form of unlawful activity, or knowing that the cur-
rency was intended to be used to promote some form of
unlawful activity, shall be punished as provided in sub-
section (b). The defendant’s knowledge may be established
by proof that the defendant was willfully blind to the
source or intended use of the currency. For purposes of
this subsection, the concealment of currency on the person
of any individual includes concealment in any article of
clothing worn by the individual or in any luggage, back-
pack, or other container worn or carried by such indi-
vidual.’’.
SEC. 
209. 
ANTI-MONEY 
LAUNDERING 
MEASURES 
FOR
UNITED STATES BANK ACCOUNTS INVOLVING
FOREIGN PERSONS.
(a) REQUIREMENTS RELATING TO UNITED STATES
BANK ACCOUNTS INVOLVING FOREIGN PERSONS.—Sub-
chapter II of chapter 53 of title 31, United States Code,
is amended by inserting after section 5318 the following:
‘‘§ 5318A. Requirements relating to United States
bank accounts involving foreign persons
‘‘(a) DEFINITIONS.—
‘‘(1) IN
GENERAL.—In this section, the fol-
lowing definitions shall apply:
‘‘(A) ACCOUNT.—The term ‘account’—
‘‘(i) means a formal banking or busi-
ness relationship established to provide
regular services, dealings, or financial
transactions; and
‘‘(ii) includes a demand deposit, sav-
ings deposit, or other transaction or asset
account, and a credit account or other ex-
tension of credit.
‘‘(B) BRANCH OR AGENCY OF A FOREIGN
BANK.—The term ‘branch or agency of a for-
eign bank’ has the meanings given those terms
in section 1 of the International Banking Act of
1978 (12 U.S.C. 3101).
‘‘(C) 
CORRESPONDENT
ACCOUNT.—The
term ‘correspondent account’ means an account
established for a depository institution, credit
union, or foreign bank.
‘‘(D) CORRESPONDENT BANK.—The term
‘correspondent bank’ means a depository insti-
tution, credit union, or foreign bank that estab-
lishes a correspondent account for and provides
banking services to a depository institution,
credit union, or foreign bank.
‘‘(E) COVERED FINANCIAL INSTITUTION.—
The 
term 
‘covered 
financial 
institution’
means—
‘‘(i) a depository institution;
‘‘(ii) a credit union; and
‘‘(iii) a branch or agency of a foreign
bank.
‘‘(F) CREDIT
UNION.—The term ‘credit
union’ means any insured credit union, as de-
fined in section 101 of the Federal Credit
Union Act (12 U.S.C. 1752), or any credit
union that is eligible to make application to be-
come an insured credit union pursuant to sec-
tion 201 of the Federal Credit Union Act (12
U.S.C. 1781).
‘‘(G) 
DEPOSITORY
INSTITUTION.—The
term ‘depository institution’ has the same
meaning as in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813).
‘‘(H) FOREIGN BANK.—The term ‘foreign
bank’ has the same meaning as in section 1 of
the International Banking Act of 1978 (12
U.S.C. 3101).
‘‘(I) FOREIGN COUNTRY.—The term ‘for-
eign country’ has the same meaning as in sec-
tion 1 of the International Banking Act of 1978
(12 U.S.C. 3101).
‘‘(J) FOREIGN
PERSON.—The term ‘for-
eign person’ means any foreign organization or
any individual resident in a foreign country or
any organization or individual owned or con-
trolled by such an organization or individual.
‘‘(K) OFFSHORE BANKING LICENSE.—The
term ‘offshore banking license’ means a license
to conduct banking activities which, as a condi-
tion of the license, prohibits the licensed entity
from conducting banking activities with the citi-
zens of, or with the local currency of, the for-
eign country which issued the license.
‘‘(L) PRIVATE BANK ACCOUNT.—The term
‘private bank account’ means an account (or
combination of accounts) that—
‘‘(i) requires a minimum aggregate
deposit of funds or assets in an amount
equal to not less than $1,000,000;
‘‘(ii) is established on behalf of 1 or
more individuals who have a direct or ben-
eficial ownership interest in the account;
and
‘‘(iii) is assigned to, administered, or
managed in whole or in part by an em-
ployee of a financial institution acting as a
liaison between the institution and the di-
rect or beneficial owner of the account.
‘‘(2) OTHER TERMS.—After consultation with
the Board of Governors of the Federal Reserve Sys-
tem, the Secretary may, by regulation, order, or oth-
erwise as permitted by law, define any term that is
used in this section and that is not otherwise defined
in this section or section 5312, as the Secretary
deems appropriate.
‘‘(b) UNITED STATES BANK ACCOUNTS WITH UN-
IDENTIFIED FOREIGN OWNERS.—
‘‘(1) RECORDS.—
‘‘(A) IN GENERAL.—A covered financial in-
stitution shall not establish, maintain, admin-
ister, or manage an account in the United
States for a foreign person or a representative
of a foreign person, unless the covered financial
institution maintains in the United States, for
each such account, a record identifying, by a
verifiable name and account number, each indi-
vidual or entity having a direct or beneficial
ownership interest in the account.
‘‘(B) PUBLICLY TRADED CORPORATIONS.—
A record required under subparagraph (A) that
identifies an entity, the shares of which are
publicly traded on a stock exchange regulated
by an organization or agency that is a member
of and endorses the principles of the Inter-
national Organization of Securities Commis-
sions (in this section referred to as ‘publicly
traded’), is not required to identify individual
shareholders of the entity.
‘‘(C) FOREIGN BANKS.—In the case of a
correspondent account that is established for a
foreign bank, the shares of which are not pub-
licly traded, the record required under subpara-
graph (A) shall identify each of the owners of
the foreign bank, and the nature and extent of
the ownership interest of each such owner.
‘‘(2) COMPLEX
OWNERSHIP
INTERESTS.—The
Secretary may, by regulation, order, or otherwise as
permitted by law, further delineate the information
to be maintained in the United States under para-
graph (1)(A), including information for accounts
with multiple, complex, or changing ownership inter-
ests.
‘‘(c) PROHIBITION
ON
UNITED
STATES
COR-
RESPONDENT
ACCOUNTS
WITH
FOREIGN
SHELL
BANKS.—
‘‘(1) IN GENERAL.—A covered financial institu-
tion shall not establish, maintain, administer, or
manage a correspondent account in the United
States for, or on behalf of, a foreign bank that does
not have a physical presence in any country.
‘‘(2) PREVENTION
OF
INDIRECT
SERVICE
TO
FOREIGN SHELL BANKS.—A covered financial insti-
tution shall take reasonable steps to ensure that any
correspondent account established, maintained, ad-
ministered, or managed by that covered financial in-
stitution in the United States for a foreign bank is
not being used by that foreign bank to indirectly
provide banking services to another foreign bank
that does not have a physical presence in any coun-
try.
‘‘(3) EXCEPTION.—Paragraphs (1) and (2) do
not prohibit a covered financial institution from pro-
viding a correspondent account to a foreign bank, if
the foreign bank—
‘‘(A) is an affiliate of a depository institu-
tion, credit union, or other foreign bank that
maintains a physical presence in the United
States or a foreign country, as applicable; and
‘‘(B) is subject to supervision by a banking
authority in the country regulating the affili-
ated depository institution, credit union, or for-
eign bank, described in subparagraph (A), as
applicable.
‘‘(4) DEFINITIONS.—For purposes of this
subsection—
‘‘(A) the term ‘affiliate’ means a foreign
bank that is controlled by or is under common
control with a depository institution, credit
union, or foreign bank; and
‘‘(B) the term ‘physical presence’ means a
place of business that—
‘‘(i) is maintained by a foreign bank;
‘‘(ii) is located at a fixed address
(other than solely an electronic address) in
a country in which the foreign bank is au-
thorized to conduct banking activities, at
which location the foreign bank—
‘‘(I) employs 1 or more individ-
uals on a full-time basis; and
‘‘(II) maintains operating records
related to its banking activities; and
‘‘(iii) is subject to inspection by the
banking authority which licensed the for-
eign bank to conduct banking activities.
‘‘(d) DUE DILIGENCE FOR UNITED STATES PRIVATE
BANK AND CORRESPONDENT BANK ACCOUNTS INVOLV-
ING FOREIGN PERSONS.—
‘‘(1) IN GENERAL.—Each covered financial in-
stitution that establishes, maintains, administers, or
manages a private bank account or a correspondent
account in the United States for a foreign person or
a representative of a foreign person shall establish
enhanced due diligence policies, procedures, and con-
trols to prevent, detect, and report possible instances
of money laundering through those accounts.
‘‘(2) MINIMUM
STANDARDS.—The enhanced
due diligence policies, procedures, and controls re-
quired under paragraph (1) of this subsection, shall,
at a minimum, ensure that the covered financial
institution—
‘‘(A) ascertains the identity of each indi-
vidual or entity having a direct or beneficial
ownership interest in the account, and obtains
sufficient information about the background of
the individual or entity and the source of funds
deposited into the account as is needed to
guard against money laundering;
‘‘(B) monitors such accounts on an ongo-
ing basis to prevent, detect, and report possible
instances of money laundering;
‘‘(C) conducts enhanced scrutiny of any
private bank account requested or maintained
by, or on behalf of, a senior foreign political fig-
ure, or any immediate family member or close
associate of a senior foreign political figure, to
prevent, detect, and report transactions that
may involve the proceeds of foreign corruption;
‘‘(D) conducts enhanced scrutiny of any
correspondent account requested or maintained
by, or on behalf of, a foreign bank operating—
‘‘(i) under an offshore banking li-
cense; or
‘‘(ii) under a banking license issued
by a foreign country that has been
designated—
‘‘(I) as noncooperative with inter-
national anti-money laundering prin-
ciples or procedures by an intergov-
ernmental group or organization of
which the United States is a member;
or
‘‘(II) by the Secretary as war-
ranting special measures due to
money laundering concerns; and
‘‘(E) ascertains, as part of the enhanced
scrutiny under subparagraph (D), whether the
foreign bank provides correspondent accounts to
other foreign banks and, if so, the identity of
those foreign banks and related due diligence
information, as appropriate, under paragraph
(1).’’.
(b) REGULATORY AUTHORITY.—After consultation
with the Board of Governors of the Federal Reserve Sys-
tem, the Secretary of the Treasury may, by regulation,
order, or otherwise as permitted by law, take measures
that the Secretary deems appropriate to carry out section
5318A of title 31, United States Code (as added by this
section).
(c) CONFORMING AMENDMENTS.—Section 5312(a) of
title 31, United States Code, is amended—
(1) by redesignating paragraph (5) as para-
graph (6); and
(2) by inserting after paragraph (4) the fol-
lowing:
‘‘(5) ‘Secretary’ means the Secretary of the
Treasury, except as otherwise provided in this sub-
chapter.’’.
(d) CLERICAL AMENDMENT.—The table of sections
for subchapter II of chapter 53 of title 31, United States
Code, is amended by inserting after the item related to
section 5318 the following:
‘‘5318A. Requirements relating to United States bank accounts involving foreign
persons.’’.
(e) EFFECTIVE DATE.—Section 5318A of title 31,
United States Code, as added by this section, shall take
effect beginning 180 days after the date of enactment of
this Act with respect to accounts covered by that section
that are opened before, on, or after the date of enactment
of this Act.
TITLE III—ENHANCED LAW
ENFORCEMENT
SEC. 301. LONG-ARM JURISDICTION OVER FOREIGN MONEY
LAUNDERERS.
Section 1956(b) of title 18, United States Code, is
amended—
(1) by striking ‘‘(b) Whoever’’ and inserting
‘‘(b)(1) Whoever’’;
(2) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively;
(3) by striking ‘‘subsection (a)(1) or (a)(3),’’
and inserting ‘‘subsection (a)(1) or (a)(3)(2) or sec-
tion 1957,’’; and
(4) by adding at the end the following new
paragraph:
‘‘(2) For purposes of adjudicating an action
filed or enforcing a penalty ordered under this sec-
tion, the district courts shall have jurisdiction over
any foreign person, including any financial institu-
tion authorized under the laws of a foreign country,
against whom the action is brought, if—
‘‘(A) service of process upon such foreign
person is made under the Federal Rules of Civil
Procedure or the laws of the country where the
foreign person is found; and
‘‘(B) the foreign person—
‘‘(i) commits an offense under sub-
section (a) involving a financial transaction
that occurs in whole or in part in the
United States;
‘‘(ii) converts to such person’s own
use property in which the United States
has an ownership interest by virtue of the
entry of an order of forfeiture by a court
of the United States; or
‘‘(iii) is a financial institution that
maintains a correspondent bank account at
a financial institution in the United States.
‘‘(3) The court may issue a pretrial restraining
order or take any other action necessary to ensure
that any bank account or other property held by the
defendant in the United States is available to satisfy
a judgment under this section.’’.
SEC. 302. LAUNDERING MONEY THROUGH A FOREIGN
BANK.
Section 1956(c)(6) of title 18, United States Code,
is amended to read as follows:
‘‘(6) the term ‘financial institution’ includes any
financial institution described in section 5312(a)(2)
of title 31, United States Code, or the regulations
promulgated thereunder, as well as any foreign
bank, as defined in paragraph (7) of section 1(b) of
the International Banking Act of 1978 (12 U.S.C.
3101(7)).’’.
SEC. 303. SPECIFIED UNLAWFUL ACTIVITY FOR MONEY
LAUNDERING.
(a) IN GENERAL.—Section 1956(c)(7) of title 18,
United States Code, is amended—
(1) in subparagraph (B)—
(A) by striking clause (ii) and inserting the
following new clause:
‘‘(ii) any act or acts constituting a
crime of violence, as defined in Section 16
of this title;’’; and
(B) by inserting after clause (iii) the fol-
lowing new clauses:
‘‘(iv) fraud or any scheme to defraud
committed against an individual or entity
(other than a foreign government or gov-
ernment entity) provided such conduct
would constitute a fraud or scheme to de-
fraud under the laws of the United States
or its constituent parts if committed in the
United States;
‘‘(v) fraud or any scheme to defraud
against a foreign government or foreign
government entity, provided such conduct
would constitute a violation of Title 18 of
the United States Code if it were com-
mitted in interstate commerce in the
United States and against the United
States government or a United States gov-
ernmental entity;
‘‘(vi) bribery of a public official, or
the misappropriation, theft, or embezzle-
ment of public funds by or for the benefit
of a public official;
‘‘(vii) smuggling or export control vio-
lations involving munitions listed in the
United States Munitions List or tech-
nologies with military applications as de-
fined in the Commerce Control List of the
Export Administration Regulations; or
‘‘(viii) an offense with respect to
which the United States would be obligated
by a multilateral treaty either to extradite
the alleged offender or to submit the case
for prosecution, if the offender were found
within the territory of the United States.’’;
and
(2) in subparagraph (D)—
(A) by inserting ‘‘section 541 (relating to
goods falsely classified),’’ before ‘‘section 542’’;
(B) by inserting ‘‘section 922(1) (relating
to the unlawful importation of firearms), sec-
tion 924(n) (relating to firearms trafficking),’’
before ‘‘section 956’’;
(C) by inserting ‘‘section 1030 (relating to
computer fraud and abuse),’’ before ‘‘1032’’;
(D) by inserting ‘‘any felony violation of
the Foreign Agents Registration Act of 1938,
as amended,’’ before ‘‘or any felony violation of
the Foreign Corrupt Practices Act’’; and
(E) by striking ‘‘fraud in the sale of secu-
rities’’ and inserting ‘‘fraud in the purchase or
sale of securities’’.
(3) in paragraph (E), by striking ‘‘or’’ and in-
serting ‘‘, or the Clean Air Act (42 U.S.C. 7401 et
seq.), or any wildlife protection offense, as defined in
section 49,’’ after ‘‘the Resources Conservation and
Recovery Act (42 U.S.C. 6901 et seq.)’’.
(4) by inserting the following after paragraph
(F):
‘‘(G) any violation of the Archeological Re-
sources Protection Act (16 U.S.C. 470aa, et
seq.), or the Native American Graves Protection
and Repatriation Act (25 U.S.C. 3001, et seq.).
(b)(1) BURGLARY
AND EMBEZZLEMENT.—Section
1961(1)(A) of title 18, United States Code, is amended
by inserting ‘‘burglary, embezzlement,’’ after ‘‘robbery,’’.
(2) ALIEN SMUGGLING.—Section 1961(1)(F) of title
18, United States Code, is amended by inserting ‘‘and
274A’’ after ‘‘274’’.
(c) WILDLIFE PROTECTION OFFENSE.—
(1) Chapter 3 of title 18, United States Code,
is amended by inserting after section 48 the fol-
lowing new section:
‘‘§ 49. DEFINITION OF WILDLIFE PROTECTION OF-
FENSE.
‘‘(a) As used in this title, the term ‘wildlife protection
offense’’ means any violation of a provision of this chapter
or of any Act listed in subsection (b), or any regulation
promulgated thereunder, that may be prosecuted as a
criminal offense.
‘‘(b) The statutes referred to in subsection (a) include
the following:
‘‘(1) the Lacey Act (16 U.S.C. 3371–78 and 18
U.S.C. 42;
‘‘(2) the Endangered Species Act (16 U.S.C.
1538);
‘‘(3) the Marine Mammal Protection Act (16
U.S.C. 1372);
‘‘(4) the African Elephant Conservation Act (16
U.S.C. 4222–23);
‘‘(5) the Wild Exotic Bird Conservation Act (16
U.S.C. 4910);
‘‘(6) the Eagle Protection Act (16 U.S.C. 668);
‘‘(7) the Migratory Bird Treaty Act (16 U.S.C.
703);
‘‘(8) the Migratory Bird Conservation Stamp
Act (16 U.S.C. 718f);
‘‘(9) the Airborne Hunting Act (16 U.S.C.
742j–1);
‘‘(10) the Antarctic Conservation Act (16
U.S.C. 2403);
‘‘(11) the National Wildlife Refuge System Ad-
ministration Act (16 U.S.C. 668dd);
‘‘(12) the Rhinoceros and Tiger Conservation
Act (16 U.S.C. 5305a);
‘‘(13) the Federal Cave Resources Protection
Act (16 U.S.C. 4306); or
‘‘(14) the Antarctic Marine Living Resources
Convention (16 U.S.C. 2435).’’.
(2) The table of sections for Chapter 3 of title
18, United States Code, is amended by inserting
after the item relating to section 48 the following
new item:
‘‘49. Definition of wildlife protection offense.’’.
SEC. 304. SUBPOENAS FOR BANK RECORDS.
Section 986 of title 18, United States Code, is
amended—
(1) in subsection (a)—
(A) by inserting ‘‘(1)’’ before ‘‘At any
time’’;
(B) by striking ‘‘section 1956, 1957, or
1960 of this title, section 5322 or 5324 of title
31, United States Code’’ and inserting ‘‘section
981 or 982 of this title’’;
(C) by striking ‘‘in rem’’; and
(D) by striking the last sentence and in-
serting the following:
‘‘(2) The United States may request the Clerk
of the Court in any district where a civil forfeiture
action may be filed pursuant to 28 U.S.C. 1355(b)
to issue a subpoena duces tecum under paragraph
(1) before the filing of the verified complaint.’’
(2) in subsection (c), by inserting ‘‘or the Fed-
eral Rules of Criminal Procedure’’ after ‘‘Proce-
dure’’.
SEC. 305. CHARGING MONEY LAUNDERING AS A COURSE OF
CONDUCT.
Section 1956(h) of title 18, United States Code, is
amended—
(1) by striking ‘‘any person’’ and inserting ‘‘(1)
Any person’’; and
(2) by adding at the end the following new
paragraph:
‘‘(2) Any person who commits multiple viola-
tions of this section or Section 1957 that are part
of the same scheme or continuing course of conduct
may be charged, at the election of the Government,
in a single count in an indictment or information.’’.
SEC. 306. FUNGIBLE PROPERTY IN BANK ACCOUNTS.
(a) IN GENERAL.—Section 984 of title 18, United
States Code, is amended by striking subsection (b) and
inserting the following:
‘‘(b) The provisions of this section may be invoked
only if the action for forfeiture was commenced by the sei-
zure or restraint of the property, or by the filing of a com-
plaint, within 2 years of the completion of the offense that
is the basis for the forfeiture.’’.
(b) APPLICATION.—The amendments made by this
section shall apply to any offense whether or not com-
mitted before the effective date of the Act.
SEC. 307. PROHIBITION ON FALSE STATEMENTS TO FINAN-
CIAL INSTITUTIONS CONCERNING THE IDEN-
TITY OF A CUSTOMER.
(a) IN GENERAL.—Chapter 47 of title 18, United
States Code, is amended by inserting after section 1007
the following:
‘‘§ 1008. False statements concerning the identity of
customers of financial institutions
‘‘(a) IN
GENERAL.—Whoever knowingly in any
manner—
‘‘(1) falsifies, conceals, or covers up, or at-
tempts to falsify, conceal, or cover up, the identity
of any person in connection with any transaction
with a financial institution;
‘‘(2) makes, or attempts to make, any materi-
ally false, fraudulent, or fictitious statement or rep-
resentation of the identity of any person in connec-
tion with a transaction with a financial institution;
‘‘(3) makes or uses, or attempts to make or
use, any false writing or document knowing the
same to contain any materially false, fictitious, or
fraudulent statement or entry concerning the iden-
tity of any person in connection with a transaction
with a financial institution; or
‘‘(4) uses or presents, or attempts to use or
present, in connection with a transaction with a fi-
nancial institution, an identification document or
means of identification the possession of which is a
violation of section 1028;
shall be fined under this title, imprisoned not more than
5 years, or both.
‘‘(b) DEFINITIONS.—In this section, the following
definitions shall apply:
‘‘(1) FINANCIAL INSTITUTION.—The term ‘fi-
nancial institution’—
‘‘(A) has the same meaning as in section
20; and
‘‘(B) in addition, has the same meaning as
in section 5312(a)(2) of title 31, United States
Code.
‘‘(2) IDENTIFICATION
DOCUMENT.—The term
‘identification document’ has the same meaning as
in section 1028(d).
‘‘(3) MEANS
OF
IDENTIFICATION.—The term
‘means of identification’ has the same meaning as in
section 1028(d).’’.
(b) TECHNICAL AND CONFORMING AMENDMENTS.—
(1) TITLE 18, UNITED STATES CODE.—Section
1956(c)(7)(D) of title 18, United States Code, is
amended by striking ‘‘1014 (relating to fraudulent
loan’’ and inserting ‘‘section 1008 (relating to false
statements concerning the identity of customers of
financial institutions), section 1014 (relating to
fraudulent loan’’.
(2) TABLE OF SECTIONS.—The table of sections
for chapter 47 of title 18, United States Code, is
amended by inserting after the item relating to sec-
tion 1007 the following:
‘‘1008. False statements concerning the identity of customers of financial insti-
tutions.’’.
SEC. 308. FORFEITURE OF FUNDS IN UNITED STATES
INTERBANK ACCOUNTS.
(a) FORFEITURE FROM UNITED STATES INTERBANK
ACCOUNT.—Section 981 of title 18, United States Code,
is amended by adding at the end the following:
‘‘(k) INTERBANK ACCOUNTS.—
‘‘(1) IN GENERAL.—For the purpose of a for-
feiture under this section or under the Controlled
Substances Act (21 U.S.C. 801 et seq.), if funds are
deposited into an account at a foreign bank, and
that foreign bank has an interbank account in the
United States with a covered financial institution (as
defined in section 5318A of title 31), the funds shall
be deemed to have been deposited into the interbank
account in the United States, and any restraining
order, seizure warrant, or arrest warrant in rem re-
garding the funds may be served on the covered fi-
nancial institution, and funds in the interbank ac-
count, up to the value of the funds deposited into
the account at the foreign bank, may be restrained,
seized, or arrested.
‘‘(2) NO REQUIREMENT FOR GOVERNMENT TO
TRACE
FUNDS.—If a forfeiture action is brought
against funds that are restrained, seized, or arrested
under paragraph (1), it shall not be necessary for
the Government to establish that the funds are di-
rectly traceable to the funds that were deposited into
the foreign bank, nor shall it be necessary for the
Government to rely on the application of section
984.
‘‘(3) CLAIMS
BROUGHT
BY
OWNER
OF
THE
FUNDS.—If a forfeiture action is instituted against
funds restrained, seized, or arrested under para-
graph (1), the owner of the funds deposited into the
account at the foreign bank may contest the for-
feiture by filing a claim under section 983.
‘‘(4) DEFINITIONS.—For purposes of this sub-
section, the following definitions shall apply:
‘‘(A) INTERBANK
ACCOUNT.—The term
‘interbank account’ has the same meaning as in
section 984(c)(2)(B).
‘‘(B) OWNER.—
‘‘(i) IN
GENERAL.—Except as pro-
vided in clause (ii), the term ‘owner’—
‘‘(I) has the same meaning as in
section 983(d)(6); and
‘‘(II) does not include any foreign
bank or other financial institution act-
ing as an intermediary in the transfer
of funds into the interbank account
and having no ownership interest in
the funds sought to be forfeited.
‘‘(ii) EXCEPTION.—The foreign bank
may be considered the ‘owner’ of the funds
(and no other person shall qualify as the
owner of such funds) only if—
‘‘(I) the basis for the forfeiture
action is wrongdoing committed by
the foreign bank; or
‘‘(II) the foreign bank estab-
lishes, by a preponderance of the evi-
dence, that prior to the restraint, sei-
zure, or arrest of the funds, the for-
eign bank had discharged all or part
of its obligation to the prior owner of
the funds, in which case the foreign
bank shall be deemed the owner of the
funds to the extent of such discharged
obligation.’’.
(b) BANK RECORDS.—Section 5318 of title 31,
United States Code, is amended by adding at the end the
following:
‘‘(i) BANK RECORDS RELATED
TO ANTI-MONEY
LAUNDERING PROGRAMS.—
‘‘(1) DEFINITIONS.—For purposes of this sub-
section, the following definitions shall apply:
‘‘(A) APPROPRIATE
FEDERAL
BANKING
AGENCY.—The term ‘appropriate Federal bank-
ing agency’ has the same meaning as in section
3 of the Federal Deposit Insurance Act (12
U.S.C. 1813).
‘‘(B) INCORPORATED TERMS.—The terms
‘correspondent account’, ‘covered financial insti-
tution’, and ‘foreign bank’ have the same mean-
ings as in section 5318A.
‘‘(2) 48-HOUR RULE.—Not later than 48 hours
after receiving a request by an appropriate Federal
banking agency for information related to anti-
money laundering compliance by a covered financial
institution or a customer of such institution, a cov-
ered financial institution shall provide to the appro-
priate Federal banking agency, or make available at
a location specified by the representative of the ap-
propriate Federal banking agency, information and
account documentation for any account opened,
maintained, administered or managed in the United
States by the covered financial institution.
‘‘(3) FOREIGN BANK RECORDS.—
‘‘(A) 
SUMMONS
OR
SUBPOENA
OF
RECORDS.—
‘‘(i) IN GENERAL.—The Secretary or
the Attorney General may issue a sum-
mons or subpoena to any foreign bank that
maintains a correspondent account in the
United States and request records related
to such correspondent account.
‘‘(ii) SERVICE OF SUMMONS OR SUB-
POENA.—A summons or subpoena referred
to in clause (i) may be served on the for-
eign bank in the United States if the for-
eign bank has a representative in the
United States, or in a foreign country pur-
suant to any mutual legal assistance trea-
ty, multilateral agreement, or other request
for international law enforcement assist-
ance.
‘‘(B) ACCEPTANCE OF SERVICE.—
‘‘(i) MAINTAINING RECORDS IN THE
UNITED
STATES.—Any covered financial
institution 
which 
maintains 
a 
cor-
respondent account in the United States
for a foreign bank shall maintain records
in the United States identifying the owners
of such foreign bank and the name and ad-
dress of a person who resides in the United
States and is authorized to accept service
of legal process for records regarding the
correspondent account.
‘‘(ii) LAW ENFORCEMENT REQUEST.—
Upon receipt of a written request from a
Federal law enforcement officer for infor-
mation required to be maintained under
this paragraph, the covered financial insti-
tution shall provide the information to the
requesting officer not later than 7 days
after receipt of the request.
‘‘(C) TERMINATION
OF
CORRESPONDENT
RELATIONSHIP.—
‘‘(i) TERMINATION UPON RECEIPT OF
NOTICE.—A covered financial institution
shall terminate any correspondent relation-
ship with a foreign bank not later than 10
days after receipt of written notice from
the Secretary or the Attorney General that
the foreign bank has failed—
‘‘(I) to comply with a summons
or subpoena issued under subpara-
graph (A); or
‘‘(II) to initiate proceedings in a
United States court contesting such
summons or subpoena.
‘‘(ii) LIMITATION
ON
LIABILITY.—A
covered financial institution shall not be
liable to any person in any court or arbi-
tration proceeding for terminating a cor-
respondent relationship in accordance with
this subsection.
‘‘(iii) FAILURE TO TERMINATE RELA-
TIONSHIP.—Failure to terminate a cor-
respondent relationship in accordance with
this subsection shall render the covered fi-
nancial institution liable for a civil penalty
of up to $10,000 per day until the cor-
respondent relationship is so terminated.’’.
(c) AUTHORITY TO ORDER CONVICTED CRIMINAL TO
RETURN PROPERTY LOCATED ABROAD.—
(1) FORFEITURE OF SUBSTITUTE PROPERTY.—
Section 413 of the Controlled Substances Act (21
U.S.C. 853) is amended by striking subsection (p)
and inserting the following:
‘‘(p) FORFEITURE OF SUBSTITUTE PROPERTY.—
‘‘(1) IN GENERAL.—Paragraph (2) of this sub-
section shall apply, if any property described in sub-
section (a), as a result of any act or omission of the
defendant—
‘‘(A) cannot be located upon the exercise of
due diligence;
‘‘(B) has been transferred or sold to, or
deposited with, a third party;
‘‘(C) has been placed beyond the jurisdic-
tion of the court;
‘‘(D) has been substantially diminished in
value; or
‘‘(E) has been commingled with other
property which cannot be divided without dif-
ficulty.
‘‘(2) SUBSTITUTE PROPERTY.—In any case de-
scribed in any of subparagraphs (A) through (E) of
paragraph (1), the court shall order the forfeiture of
any other property of the defendant, up to the value
of any property described in subparagraphs (A)
through (E) of paragraph (1), as applicable.
‘‘(3) RETURN
OF
PROPERTY
TO
JURISDIC-
TION.—In the case of property described in para-
graph (1)(C), the court may, in addition to any
other action authorized by this subsection, order the
defendant to return the property to the jurisdiction
of the court so that the property may be seized and
forfeited.’’.
(2) PROTECTIVE
ORDERS.—Section 413(e) of
the Controlled Substances Act (21 U.S.C. 853(e)) is
amended by adding at the end the following:
‘‘(4) ORDER TO REPATRIATE AND DEPOSIT.—
‘‘(A) IN GENERAL.—Pursuant to its au-
thority to enter a pretrial restraining order
under this section, including its authority to re-
strain any property forfeitable as substitute as-
sets, the court may order a defendant to repa-
triate any property that may be seized and for-
feited, and to deposit that property pending
trial in the registry of the court, or with the
United States Marshals Service or the Sec-
retary of the Treasury, in an interest-bearing
account, if appropriate.
‘‘(B) FAILURE
TO
COMPLY.—Failure to
comply with an order under this subsection, or
an order to repatriate property under sub-
section (p), shall be punishable as a civil or
criminal contempt of court, and may also result
in an enhancement of the sentence of the de-
fendant under the obstruction of justice provi-
sion of the Federal Sentencing Guidelines.’’.
TITLE IV—ANTICORRUPTION
MEASURES
SEC. 401. CORRUPTION OF FOREIGN GOVERNMENTS AND
RULING ELITES.
It is the sense of the Congress that, in deliberations
between the United States Government and any other
country on money laundering and corruption issues, the
United States Government should—
(1) emphasize an approach that addresses not
only the laundering of the proceeds of traditional
criminal activity but also the increasingly endemic
problem of governmental corruption and the corrup-
tion of ruling elites;
(2) encourage the enactment and enforcement
of laws in such country to prevent money laundering
and systemic corruption;
(3) make clear that the United States will take
all steps necessary to identify the proceeds of foreign
government corruption which have been deposited in
United States financial institutions and return such
proceeds to the citizens of the country to whom such
assets belong; and
(4) advance policies and measures to promote
good government and to prevent and reduce corrup-
tion and money laundering, including through in-
structions to the United States Executive Director of
each international financial institution (as defined in
section 1701(c) of the International Financial Insti-
tutions Act) to advocate such policies as a system-
atic element of economic reform programs and ad-
vice to member governments.
SEC. 402. SUPPORT FOR THE FINANCIAL ACTION TASK
FORCE ON MONEY LAUNDERING.
It is the sense of the Congress that—
(1) the United States should continue to ac-
tively and publicly support the objectives of the Fi-
nancial Action Task Force on Money Laundering
(hereafter in this section referred to as the
‘‘FATF’’) with regard to combating international
money laundering;
(2) the FATF should identify noncooperative
jurisdictions in as expeditious a manner as possible
and publicly release a list directly naming those ju-
risdictions identified;
(3) the United States should support the public
release of the list naming noncooperative jurisdic-
tions identified by the FATF;
(4) the United States should encourage the
adoption of the necessary international action to en-
courage compliance by the identified noncooperative
jurisdictions; and
(5) the United States should take the necessary
countermeasures to protect the United States econ-
omy against money of unlawful origin and encourage
other nations to do the same.
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