II
103D CONGRESS
1ST SESSION
H. R. 3216
IN THE SENATE OF THE UNITED STATES
NOVEMBER 22, 1993
Received
AN ACT
To amend the Comprehensive Drug Abuse Prevention and
Control Act of 1970 to control the diversion of certain
chemicals used in the illicit production of controlled sub-
stances such as methcathinone and methamphetamine,
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.
This Act may be cited as the ‘‘Domestic Chemical Di-
version Control Act of 1993’’.
SEC. 2. DEFINITION AMENDMENTS.
(a) DEFINITIONS.—Section 102 of the Controlled
Substances Act (21 U.S.C. 802) is amended—
(1) in paragraph (33), by striking ‘‘any listed
precursor chemical or listed essential chemical’’ and
inserting ‘‘any list I chemical or any list II chemi-
cal’’;
(2) in paragraph (34)—
(A) by striking ‘‘listed precursor chemical’’
and inserting ‘‘list I chemical’’; and
(B) by striking ‘‘critical to the creation’’
and inserting ‘‘important to the manufacture’’;
(3) in paragraph (34) (A), (F), and (H), by in-
serting ‘‘, its esters,’’ before ‘‘and’’;
(4) in paragraph (35)—
(A) by striking ‘‘listed essential chemical’’
and inserting ‘‘list II chemical’’;
(B) by inserting ‘‘(other than a list I
chemical)’’ before ‘‘specified’’; and
(C) by striking ‘‘as a solvent, reagent, or
catalyst’’; and
(5) in paragraph (38), by inserting ‘‘or who
acts as a broker or trader for an international trans-
action involving a listed chemical, a tableting ma-
chine, or an encapsulating machine’’ before the
period;
(6) in paragraph (39)(A)—
(A) by striking ‘‘importation or exportation
of’’ and inserting ‘‘importation, or exportation
of, or an international transaction involving
shipment of,’’;
(B) in clause (iii) by inserting ‘‘or any cat-
egory of transaction for a specific listed chemi-
cal or chemicals’’ after ‘‘transaction’’;
(C) by amending clause (iv) to read as fol-
lows:
‘‘(iv) any transaction in a listed chemical
that is contained in a drug that may be mar-
keted or distributed lawfully in the United
States under the Federal Food, Drug, and Cos-
metic Act (21 U.S.C. 301 et seq.) unless—
‘‘(I)(aa) the drug contains ephedrine
or its salts, optical isomers, or salts of op-
tical isomers as the only active medicinal
ingredient or contains ephedrine or its
salts, optical isomers, or salts of optical
isomers and therapeutically insignificant
quantities of another active medicinal in-
gredient; or
‘‘(bb) the Attorney General has deter-
mined under section 204 that the drug or
group of drugs is being diverted to obtain
the listed chemical for use in the illicit pro-
duction of a controlled substance; and
‘‘(II) the quantity of ephedrine or
other listed chemical contained in the drug
included in the transaction or multiple
transactions equals or exceeds the thresh-
old established for that chemical by the At-
torney General.’’; and
(D) in clause (v), by striking the semicolon
and inserting ‘‘which the Attorney General has
by regulation designated as exempt from the
application of this title and title III based on a
finding that the mixture is formulated in such
a way that it cannot be easily used in the illicit
production of a controlled substance and that
the listed chemical or chemicals contained in
the mixture cannot be readily recovered;’’;
(7) in paragraph (40), by striking ‘‘listed pre-
cursor chemical or a listed essential chemical’’ each
place it appears and inserting ‘‘list I chemical or a
list II chemical’’; and
(8) by adding at the end the following new
paragraphs:
‘‘(42) The term ‘international transaction’ means a
transaction involving the shipment of a listed chemical
across an international border (other than a United States
border) in which a broker or trader located in the United
States participates.
‘‘(43) The terms ‘broker’ and ‘trader’ mean a person
that assists in arranging an international transaction in
a listed chemical by—
‘‘(A) negotiating contracts;
‘‘(B) serving as an agent or intermediary; or
‘‘(C) bringing together a buyer and seller, a
buyer and transporter, or a seller and transporter.’’.
(b) REMOVAL OF EXEMPTION OF CERTAIN DRUGS.—
(1) PROCEDURE.—Part B of the Controlled
Substances Act (21 U.S.C. 811 et seq.) is amended
by adding at the end the following new section:
‘‘REMOVAL OF EXEMPTION OF CERTAIN DRUGS
‘‘SEC. 204. (a) REMOVAL OF EXEMPTION.—The At-
torney General shall by regulation remove from exemption
under section 102(39)(A)(iv) a drug or group of drugs
that the Attorney General finds is being diverted to obtain
a listed chemical for use in the illicit production of a con-
trolled substance.
‘‘(b) FACTORS TO BE CONSIDERED.—In removing a
drug or group of drugs from exemption under subsection
(a), the Attorney General shall consider, with respect to
a drug or group of drugs that is proposed to be removed
from exemption—
(2) by striking the period at the end of para-
graph (8) and inserting ‘‘; or’’; and
(3) by adding at the end the following new
paragraph:
‘‘(9) to distribute, import, or export a list I
chemical without the registration required by this
title or title III.’’.
SEC. 4. REPORTS BY BROKERS AND TRADERS; CRIMINAL
PENALTIES.
(a) NOTIFICATION, SUSPENSION OF SHIPMENT, AND
PENALTIES WITH RESPECT TO IMPORTATION AND EX-
PORTATION OF LISTED CHEMICALS.—Section 1018 of the
Controlled Substances Import and Export Act (21 U.S.C.
971) is amended by adding at the end the following new
subsection:
‘‘(d) A person located in the United States who is
a broker or trader for an international transaction in a
listed chemical that is a regulated transaction solely be-
cause of that person’s involvement as a broker or trader
shall, with respect to that transaction, be subject to all
of the notification, reporting, recordkeeping, and other re-
quirements placed upon exporters of listed chemicals by
this title and title II.’’.