I 
116TH CONGRESS 
2D SESSION 
H. R. 7181 
To amend the Sarbanes-Oxley Act of 2002 to require the Public Company 
Accounting Oversight Board to maintain a list of certain foreign issuers, 
to prohibit certain nationals of the People’s Republic of China from 
receiving nonimmigrant visas, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 11, 2020 
Mr. NUNES (for himself, Mr. CONAWAY, Mr. CRAWFORD, Mr. TURNER, Mr. 
STEWART, Ms. STEFANIK, Mr. WENSTRUP, Mr. CALVERT, Mr. MAR-
SHALL, Mr. GIBBS, Mr. GAETZ, Mr. WILSON of South Carolina, Mr. 
HOLDING, Mr. COLLINS of Georgia, Mr. DIAZ-BALART, Mr. GARCIA of 
California, Mr. COOK, Mr. KUSTOFF of Tennessee, Mr. MCCLINTOCK, 
Mr. BISHOP of North Carolina, Mr. SPANO, Mr. BROOKS of Alabama, 
and Mr. ROUZER) introduced the following bill; which was referred to the 
Committee on Financial Services, and in addition to the Committees on 
the Judiciary, and Education and Labor, 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 amend the Sarbanes-Oxley Act of 2002 to require the 
Public Company Accounting Oversight Board to maintain 
a list of certain foreign issuers, to prohibit certain na-
tionals of the People’s Republic of China from receiving 
nonimmigrant visas, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Holding China Ac-
countable Act’’. 
SEC. 2. DISCLOSURES AND PROHIBITION AGAINST THE 
LISTING OF CERTAIN FIRMS ON NATIONAL 
SECURITIES EXCHANGES. 
(a) DISCLOSURE.— 
(1) LIST OF CERTAIN FOREIGN ISSUERS AND 
COVERED FOREIGN PUBLIC ACCOUNTING FIRMS.— 
(A) IN GENERAL.—The Commission shall 
maintain a publicly available list of— 
(i) each foreign issuer, an audit report 
of which— 
(I) is prepared by a foreign pub-
lic accounting firm; and 
(II) the Board is not able to in-
spect or investigate because of a posi-
tion taken by an authority that is out-
side of the United States; 
(ii) each covered foreign public ac-
counting firm that has prepared an audit 
report identified under clause (i); and 
(iii) the jurisdiction in which each cov-
ered foreign public accounting firm identi-
fied under clause (ii) is organized or oper-
ating. 
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(B) ROLE OF THE BOARD.—Not less fre-
quently than annually, the Board shall provide 
to the Commission the information that is re-
quired for the Commission to carry out sub-
paragraph (A). 
(2) ANNUAL REPORT DISCLOSURE.— 
(A) DISCLOSURE.—Each applicable foreign 
issuer shall disclose in each covered form filed 
by the applicable foreign issuer— 
(i) that, during the period covered by 
covered form, a covered foreign public ac-
counting firm has prepared an audit report 
for the issuer; 
(ii) the percentage of the shares of the 
issuer owned by governmental entities in 
the foreign jurisdiction in which the issuer 
is incorporated or otherwise organized; 
(iii) whether governmental entities in 
a covered jurisdiction with respect to any 
covered foreign public accounting firm that 
has prepared an audit report for the issuer 
during the period covered by the form have 
a controlling financial interest with respect 
to the issuer; and 
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(iv) the name of any official of the 
Chinese Communist Party who is a mem-
ber of the board of directors of the issuer 
or the operating entity with respect to the 
issuer. 
(B) UPDATE OF RULES.—Not later than 
270 days after the date of enactment of this 
Act, and after providing the opportunity for 
public notice and comment, the Commission 
shall make any amendments to the rules of the 
Commission that are required as a result of the 
requirements of this subsection. 
(C) EFFECTIVE
DATE.—This subsection 
shall take effect on the date on which the Com-
mission completes the amendments required 
under subparagraph (B). 
(3) DISCLOSURE BY BROKERS AND DEALERS.— 
Section 15(n) of the Securities Exchange Act of 
1934 (15 U.S.C. 78o(n)) is amended— 
(A) in paragraph (1), by striking ‘‘Com-
mission may issue’’ and all that follows through 
the period at the end and inserting the fol-
lowing: ‘‘Commission— 
‘‘(A) shall issue rules that require a broker 
and a dealer to disclose, with respect to any ad-
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vice, analysis, or report of the broker or dealer 
to a retail investor regarding the securities of a 
foreign issuer, whether a covered foreign public 
accounting firm has prepared an audit report 
for the foreign issuer; and 
‘‘(B) in addition to the rules required 
under subparagraph (A), may issue rules desig-
nating documents or information that shall be 
provided by a broker or dealer to a retail inves-
tor before the purchase of an investment prod-
uct or service by the retail investor.’’; and 
(B) by adding at the end the following: 
‘‘(4) DEFINITIONS.—In this subsection, the 
terms ‘audit report’, ‘covered foreign public account-
ing firm’, and ‘foreign issuer’ have the meanings 
given the terms in section 2 of the EQUITABLE 
Act.’’. 
(b) PROHIBITION AGAINST THE LISTING OF CERTAIN 
FIRMS ON NATIONAL SECURITIES EXCHANGES.— 
(1) IN GENERAL.—Section 6(b) of the Securi-
ties Exchange Act of 1934 (15 U.S.C. 78f(b)) is 
amended by adding at the end the following: 
‘‘(11)(A) The rules of the exchange prohibit the 
initial listing, after the date of enactment of this 
paragraph, of any security of an issuer for which a 
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covered foreign public accounting firm has prepared 
an audit report. 
‘‘(B) Nothing in subparagraph (A) may be con-
strued to prevent an exchange from listing a security 
on the exchange on or after the date of enactment 
of this paragraph if that security was listed on the 
exchange or a national securities exchange before 
the date of enactment of this paragraph. 
‘‘(C) In this paragraph, the terms ‘audit report’ 
and ‘covered foreign public accounting firm’ have the 
meanings given the terms in section 2 of the EQUI-
TABLE Act. 
‘‘(12)(A) The rules of the exchange prohibit the 
listing of any security of a foreign issuer that, begin-
ning in 2025, has been identified under section 
3(a)(1)(A) of the EQUITABLE Act in 3 consecutive 
years. 
‘‘(B) Nothing in subparagraph (A) may be con-
strued to prevent an exchange from listing a security 
of a foreign issuer described in that subparagraph 
beginning on the date on which the issuer submits 
to the Commission an audit report for the issuer 
that is prepared by a registered public accounting 
firm that the Public Company Accounting Oversight 
Board has inspected, or is able to inspect, under sec-
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(9) the term ‘‘foreign issuer’’ has the meaning 
given the term in section 240.3b–4 of title 17, Code 
of Federal Regulations, or any successor regulation; 
(10) the term ‘‘foreign public accounting firm’’ 
has the meaning given the term in section 106(g) of 
the Sarbanes-Oxley Act of 2002 (15 U.S.C. 
7216(g)); 
(11) the term ‘‘national securities exchange’’ 
means an exchange that is registered with the Com-
mission under section 6 of the Securities Exchange 
Act of 1934 (15 U.S.C. 78f); and 
(12) the term ‘‘public accounting firm’’ has the 
meaning given the term in section 2(a) of the Sar-
banes-Oxley Act of 2002 (15 U.S.C. 7201(a)). 
SEC. 3. RESTRICTION ON ISSUANCE OF NONIMMIGRANT 
VISAS TO NATIONALS OF CHINA. 
(a) RESTRICTION.—The Secretary of State may not 
issue a visa to, and the Secretary of Homeland Security 
shall deny entry to the United States of, an alien under 
section 101(a)(15) of the Immigration and Nationality Act 
(8 U.S.C. 1101(a)(15)) if the alien is a national of the 
People’s Republic of China seeking to enter the United 
States for the purpose of— 
(1) studying science, technology, engineering, 
mathematics, or a related field; 
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(2) employment in science, technology, engi-
neering, mathematics, or a related field; or 
(3) attending a business meeting, conference, or 
academic or cultural exchange, that includes activi-
ties related to science, technology, engineering, 
mathematics, or a related field. 
(b) APPLICABILITY.—The restriction under sub-
section (a) shall not apply for any year in which the Presi-
dent certifies to Congress that— 
(1) the People’s Republic of China has not pro-
vided state support of cyber espionage against a 
United States company during the preceding year; 
and 
(2) no individual or entity present in the United 
States has engaged in espionage against a United 
States company on behalf of the People’s Republic 
of China during the preceding year. 
(c) DEFINITIONS.—In this section: 
(1) CYBER ESPIONAGE.—The term ‘‘cyber espi-
onage’’ means unauthorized access to a communica-
tions network, a communications system, or a device 
connected to such a network or system that— 
(A) is carried out by a foreign government 
or any individual or entity working on behalf of 
a foreign government; and 
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(B) is for the purpose of— 
(i) collecting information related to a 
copyrighted or copyrightable work, pat-
ented or patentable invention, trademarked 
good or service, or trade secret (as such 
term is defined in section 1839 of title 18, 
United States Code); or 
(ii) disruption, destruction, or manip-
ulation of, or other change to, such net-
work, system, or device or any information 
stored on or transmitted by such network, 
system, or device. 
(2) ESPIONAGE.—The term ‘‘espionage’’ means 
unauthorized access to or collection of information 
related to a copyrighted or copyrightable work, pat-
ented or patentable invention, trademarked good or 
service, or trade secret (as such term is defined in 
section 1839 of title 18, United States Code) by a 
foreign government or any individual or entity work-
ing on behalf of a foreign government. 
(3) UNITED
STATES
COMPANY.—The term 
‘‘United States company’’ means an organization or-
ganized under the laws of the United States or a 
State or political subdivision thereof. 
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SEC. 4. DISCLOSURES OF FOREIGN GIFTS. 
(a) SHORT TITLE.—This section may be cited as the 
‘‘Foreign Adversary Funding in Higher Education Act’’. 
(b) SPECIAL RULE.—Section 117(a) of the Higher 
Education Act of 1965 (20 U.S.C. 1011f(a)) is amend-
ed— 
(1) by striking ‘‘Whenever any’’ and by insert-
ing the following: 
‘‘(1) IN GENERAL.—Subject to paragraph (2), 
whenever any’’; and 
(2) by adding at the end the following: 
‘‘(2) SPECIAL RULE.— 
‘‘(A) IN GENERAL.—Notwithstanding para-
graph (1), whenever any institution is owned or 
controlled by a foreign source listed in subpara-
graph (B) or receives a gift from or enters into 
a contract with that foreign source, paragraph 
(1) shall be applied by substituting ‘$25,000’ 
for ‘$250,000’. 
‘‘(B) FOREIGN SOURCE.—A foreign source 
listed in this subparagraph is: 
‘‘(i) The People’s Republic of China. 
‘‘(ii) The Russian Federation. 
‘‘(iii) The Islamic Republic of Iran. 
‘‘(iv) The Democratic People’s Repub-
lic of Korea.’’. 
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(c) ENFORCEMENT.—Section 117(f)(2) of the Higher 
Education Act of 1965 (20 U.S.C. 1011f(f)(2)) is amend-
ed by inserting ‘‘an amount equal to the amount that the 
institution failed to report under this section and’’ before 
‘‘the full costs’’. 
(d) WEB PORTAL.—Section 117 of the Higher Edu-
cation Act of 1965 (20 U.S.C. 1011f) is further amend-
ed— 
(1) by redesignating subsections (g) and (h) as 
subsections (h) and (i), respectively; and 
(2) by inserting after subsection (f), the fol-
lowing: 
‘‘(g) WEB PORTAL.—Not later than 180 days after 
the date of enactment of the ‘Foreign Adversary Funding 
in Higher Education Act’, the Secretary shall establish a 
publicly available web portal that— 
‘‘(1) enables electronic filing of disclosure re-
ports under this section; and 
‘‘(2) includes any reports filed before such date 
of enactment.’’. 
Æ 
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