In the Senate of the United States, 
February 10, 2016. 
Resolved, That the bill from the House of Representa-
tives (H.R. 757) entitled ‘‘An Act to improve the enforcement 
of sanctions against the Government of North Korea, and for 
other purposes.’’, do pass with the following 
AMENDMENT: 
Strike out all after the enacting clause and insert: 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘North Korea Sanctions and Policy Enhancement Act of 
2016’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Findings; purposes. 
Sec. 3. Definitions. 
TITLE I—INVESTIGATIONS, PROHIBITED CONDUCT, AND PENALTIES 
Sec. 101. Statement of policy. 
Sec. 102. Investigations. 
Sec. 103. Reporting requirements. 
Sec. 104. Designation of persons. 
Sec. 105. Forfeiture of property.
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TITLE II—SANCTIONS AGAINST NORTH KOREAN PROLIFERATION, 
HUMAN RIGHTS ABUSES, AND ILLICIT ACTIVITIES 
Sec. 201. Determinations with respect to North Korea as a jurisdiction of pri-
mary money laundering concern. 
Sec. 202. Ensuring the consistent enforcement of United Nations Security Council 
resolutions and financial restrictions on North Korea. 
Sec. 203. Proliferation prevention sanctions. 
Sec. 204. Procurement sanctions. 
Sec. 205. Enhanced inspection authorities. 
Sec. 206. Travel sanctions. 
Sec. 207. Travel recommendations for United States citizens to North Korea. 
Sec. 208. Exemptions, waivers, and removals of designation. 
Sec. 209. Report on and imposition of sanctions to address persons responsible 
for knowingly engaging in significant activities undermining cy-
bersecurity. 
Sec. 210. Codification of sanctions with respect to North Korean activities under-
mining cybersecurity. 
Sec. 211. Sense of Congress on trilateral cooperation between the United States, 
South Korea, and Japan. 
TITLE III—PROMOTION OF HUMAN RIGHTS 
Sec. 301. Information technology. 
Sec. 302. Strategy to promote North Korean human rights. 
Sec. 303. Report on North Korean prison camps. 
Sec. 304. Report on and imposition of sanctions with respect to serious human 
rights abuses or censorship in North Korea. 
TITLE IV—GENERAL AUTHORITIES 
Sec. 401. Suspension of sanctions and other measures. 
Sec. 402. Termination of sanctions and other measures. 
Sec. 403. Authorization of appropriations. 
Sec. 404. Rulemaking. 
Sec. 405. Authority to consolidate reports. 
Sec. 406. Effective date. 
SEC. 2. FINDINGS; PURPOSES. 
(a) FINDINGS.—Congress finds the following: 
(1) The Government of North Korea— 
(A) has repeatedly violated its commitments 
to the complete, verifiable, and irreversible dis-
mantlement of its nuclear weapons programs; 
and 
(B) has willfully violated multiple United 
Nations Security Council resolutions calling for
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North Korea to cease development, testing, and 
production of weapons of mass destruction. 
(2) Based on its past actions, including the 
transfer of sensitive nuclear and missile technology to 
state sponsors of terrorism, North Korea poses a grave 
risk for the proliferation of nuclear weapons and 
other weapons of mass destruction. 
(3) The Government of North Korea has been im-
plicated repeatedly in money laundering and other il-
licit activities, including— 
(A) prohibited arms sales; 
(B) narcotics trafficking; 
(C) the counterfeiting of United States cur-
rency; 
(D) significant activities undermining cy-
bersecurity; and 
(E) the counterfeiting of intellectual prop-
erty of United States persons. 
(4) North Korea has— 
(A) unilaterally withdrawn from the Agree-
ment Concerning a Military Armistice in Korea, 
signed at Panmunjom July 27, 1953 (commonly 
referred to as the ‘‘Korean War Armistice Agree-
ment’’); and
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(B) committed provocations against South 
Korea— 
(i) by sinking the warship Cheonan 
and killing 46 of her crew on March 26, 
2010; 
(ii) by shelling Yeonpyeong Island and 
killing 4 South Korean civilians on Novem-
ber 23, 2010; 
(iii) 
by 
its 
involvement 
in 
the 
‘‘DarkSeoul’’ cyberattacks against the fi-
nancial and communications interests of 
South Korea on March 20, 2013; and 
(iv) by planting land mines near a 
guard post in the South Korean portion of 
the demilitarized zone that maimed 2 South 
Korean soldiers on August 4, 2015. 
(5) North Korea maintains a system of brutal 
political prison camps that contain as many as 
200,000 men, women, and children, who are— 
(A) kept in atrocious living conditions with 
insufficient food, clothing, and medical care; and 
(B) under constant fear of torture or arbi-
trary execution. 
(6) North Korea has prioritized weapons pro-
grams and the procurement of luxury goods—
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(A) in defiance of United Nations Security 
Council Resolutions 1695 (2006), 1718 (2006), 
1874 (2009), 2087 (2013), and 2094 (2013); and 
(B) in gross disregard of the needs of the 
people of North Korea. 
(7) Persons, including financial institutions, 
who engage in transactions with, or provide financial 
services to, the Government of North Korea and its fi-
nancial institutions without establishing sufficient fi-
nancial safeguards against North Korea’s use of such 
transactions to promote proliferation, weapons traf-
ficking, human rights violations, illicit activity, and 
the purchase of luxury goods— 
(A) aid and abet North Korea’s misuse of 
the international financial system; and 
(B) violate the intent of the United Nations 
Security Council resolutions referred to in para-
graph (6)(A). 
(8) The Government of North Korea has provided 
technical support and conducted destructive and coer-
cive cyberattacks, including against Sony Pictures 
Entertainment and other United States persons. 
(9) The conduct of the Government of North 
Korea poses an imminent threat to—
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(A) the security of the United States and its 
allies; 
(B) the global economy; 
(C) the safety of members of the United 
States Armed Forces; 
(D) the integrity of the global financial sys-
tem; 
(E) the integrity of global nonproliferation 
programs; and 
(F) the people of North Korea. 
(10) The Government of North Korea has spon-
sored acts of international terrorism, including— 
(A) attempts to assassinate defectors and 
human rights activists; and 
(B) the shipment of weapons to terrorists 
and state sponsors of terrorism. 
(b) PURPOSES.—The purposes of this Act are— 
(1) to use nonmilitary means to address the cri-
sis described in subsection (a); 
(2) to provide diplomatic leverage to negotiate 
necessary changes in the conduct of the Government 
of North Korea; 
(3) to ease the suffering of the people of North 
Korea; and
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(4) to reaffirm the purposes set forth in section 
4 of the North Korean Human Rights Act of 2004 (22 
U.S.C. 7802). 
SEC. 3. DEFINITIONS. 
In this Act: 
(1) APPLICABLE EXECUTIVE ORDER.—The term 
‘‘applicable Executive order’’ means— 
(A) Executive Order 13382 (50 U.S.C. 1701 
note; relating to blocking property of weapons of 
mass destruction proliferators and their sup-
porters), Executive Order 13466 (50 U.S.C. 1701 
note; relating to continuing certain restrictions 
with respect to North Korea and North Korean 
nationals), Executive Order 13551 (50 U.S.C. 
1701 note; relating to blocking property of cer-
tain persons with respect to North Korea), Exec-
utive Order 13570 (50 U.S.C. 1701 note; relating 
to prohibiting certain transactions with respect 
to North Korea), Executive Order 13619 (50 
U.S.C. 1701 note; relating to blocking property 
of persons threatening the peace, security, or sta-
bility of Burma), Executive Order 13687 (50 
U.S.C. 1701 note; relating to imposing addi-
tional sanctions with respect to North Korea), or 
Executive Order 13694 (50 U.S.C. 1701 note; re-
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lating to blocking the property of certain persons 
engaging in significant malicious cyber-enabled 
activities), to the extent that such Executive 
order— 
(i) authorizes the imposition of sanc-
tions on persons for conduct with respect to 
North Korea; 
(ii) prohibits transactions or activities 
involving the Government of North Korea; 
or 
(iii) otherwise imposes sanctions with 
respect to North Korea; and 
(B) any Executive order adopted on or after 
the date of the enactment of this Act, to the ex-
tent that such Executive order— 
(i) authorizes the imposition of sanc-
tions on persons for conduct with respect to 
North Korea; 
(ii) prohibits transactions or activities 
involving the Government of North Korea; 
or 
(iii) otherwise imposes sanctions with 
respect to North Korea.
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(2) APPLICABLE
UNITED
NATIONS
SECURITY 
COUNCIL RESOLUTION.—The term ‘‘applicable United 
Nations Security Council resolution’’ means— 
(A) United Nations Security Council Reso-
lution 1695 (2006), 1718 (2006), 1874 (2009), 
2087 (2013), or 2094 (2013); and 
(B) any United Nations Security Council 
resolution adopted on or after the date of the en-
actment of this Act that— 
(i) authorizes the imposition of sanc-
tions on persons for conduct with respect to 
North Korea; 
(ii) prohibits transactions or activities 
involving the Government of North Korea; 
or 
(iii) otherwise imposes sanctions with 
respect to North Korea. 
(3) 
APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional commit-
tees’’ means— 
(A) the Committee on Foreign Relations 
and the Committee on Banking, Housing, and 
Urban Affairs of the Senate; and 
(B) the Committee on Foreign Affairs, the 
Committee on Financial Services, and the Com-
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mittee on Ways and Means of the House of Rep-
resentatives. 
(4) DESIGNATED
PERSON.—The term ‘‘des-
ignated person’’ means a person designated under 
subsection (a) or (b) of section 104 for purposes of ap-
plying 1 or more of the sanctions described in title I 
or II with respect to the person. 
(5) GOVERNMENT OF NORTH KOREA.—The term 
‘‘Government of North Korea’’ means the Government 
of North Korea and its agencies, instrumentalities, 
and controlled entities. 
(6) HUMANITARIAN ASSISTANCE.—The term ‘‘hu-
manitarian assistance’’ means assistance to meet hu-
manitarian needs, including needs for food, medicine, 
medical supplies, clothing, and shelter. 
(7) INTELLIGENCE COMMUNITY.—The term ‘‘in-
telligence community’’ has the meaning given such 
term in section 3(4) of the National Security Act of 
1947 (50 U.S.C. 3003(4)). 
(8) 
LUXURY
GOODS.—The 
term 
‘‘luxury 
goods’’— 
(A) has the meaning given such term in sec-
tion 746.4(b)(1) of title 15, Code of Federal Reg-
ulations; and
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(B) includes the items listed in Supplement 
No. 1 to part 746 of such title, and any similar 
items. 
(9) MONETARY INSTRUMENTS.—The term ‘‘mone-
tary instruments’’ has the meaning given such term 
in section 5312(a) of title 31, United States Code. 
(10) NORTH KOREA.—The term ‘‘North Korea’’ 
means the Democratic People’s Republic of Korea. 
(11) NORTH KOREAN FINANCIAL INSTITUTION.— 
The term ‘‘North Korean financial institution’’ means 
any financial institution that— 
(A) is organized under the laws of North 
Korea or any jurisdiction within North Korea 
(including a foreign branch of such an institu-
tion); 
(B) is located in North Korea, except for a 
financial institution that is excluded by the 
President in accordance with section 208(c); 
(C) is owned or controlled by the Govern-
ment of North Korea, regardless of location; or 
(D) is owned or controlled by a financial 
institution described in subparagraph (A), (B), 
or (C), regardless of location.
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(12) SIGNIFICANT ACTIVITIES UNDERMINING CY-
BERSECURITY.—The term ‘‘significant activities un-
dermining cybersecurity’’ includes— 
(A) significant efforts to— 
(i) deny access to or degrade, disrupt, 
or destroy an information and communica-
tions technology system or network; or 
(ii) exfiltrate information from such a 
system or network without authorization; 
(B) significant destructive malware attacks; 
(C) significant denial of service activities; 
and 
(D) such other significant activities de-
scribed in regulations promulgated to implement 
section 104. 
(13) SOUTH KOREA.—The term ‘‘South Korea’’ 
means the Republic of Korea. 
(14) 
UNITED
STATES
PERSON.—The 
term 
‘‘United States person’’ means— 
(A) a United States citizen or an alien law-
fully admitted for permanent residence to the 
United States; or 
(B) an entity organized under the laws of 
the United States or of any jurisdiction within
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the United States, including a foreign branch of 
such an entity. 
TITLE I—INVESTIGATIONS, PRO-
HIBITED CONDUCT, AND PEN-
ALTIES 
SEC. 101. STATEMENT OF POLICY. 
In order to achieve the peaceful disarmament of North 
Korea, Congress finds that it is necessary— 
(1) to encourage all member states of the United 
Nations to fully and promptly implement United Na-
tions Security Council Resolution 2094 (2013); 
(2) to sanction the persons, including financial 
institutions, that facilitate proliferation, illicit activi-
ties, arms trafficking, cyberterrorism, imports of lux-
ury goods, serious human rights abuses, cash smug-
gling, and censorship by the Government of North 
Korea; 
(3) to authorize the President to sanction persons 
who fail to exercise due diligence to ensure that such 
financial institutions and member states do not fa-
cilitate proliferation, arms trafficking, kleptocracy, or 
imports of luxury goods by the Government of North 
Korea; 
(4) to deny the Government of North Korea ac-
cess to the funds it uses to develop or obtain nuclear
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weapons, ballistic missiles, cyberwarfare capabilities, 
and luxury goods instead of providing for the needs 
of the people of North Korea; and 
(5) to enforce sanctions in a manner that does 
not significantly hinder or delay the efforts of legiti-
mate United States or foreign humanitarian organi-
zations from providing assistance to meet the needs of 
civilians facing humanitarian crisis, including access 
to food, health care, shelter, and clean drinking water, 
to prevent or alleviate human suffering. 
SEC. 102. INVESTIGATIONS. 
(a) INITIATION.—The President shall initiate an inves-
tigation into the possible designation of a person under sec-
tion 104(a) upon receipt by the President of credible infor-
mation indicating that such person has engaged in conduct 
described in section 104(a). 
(b) PERSONNEL.—The President may direct the Sec-
retary of State, the Secretary of the Treasury, and the heads 
of other Federal departments and agencies as may be nec-
essary to assign sufficient experienced and qualified inves-
tigators, attorneys, and technical personnel— 
(1) to investigate the conduct described in sub-
sections (a) and (b) of section 104; and 
(2) to coordinate and ensure the effective enforce-
ment of this Act.
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SEC. 103. REPORTING REQUIREMENTS. 
(a) PRESIDENTIAL BRIEFINGS TO CONGRESS.—Not 
later than 180 days after the date of the enactment of this 
Act, and periodically thereafter, the President shall provide 
a briefing to the appropriate congressional committees on 
efforts to implement this Act. 
(b) REPORT FROM SECRETARY OF STATE.—Not later 
than 180 days after the date of the enactment of this Act, 
the Secretary of State shall conduct, coordinate, and submit 
to Congress a comprehensive report on United States policy 
towards North Korea that— 
(1) is based on a full and complete interagency 
review of current policies and possible alternatives, 
including with respect to North Korea’s weapons of 
mass destruction and missile programs, human rights 
atrocities, and significant activities undermining cy-
bersecurity; and 
(2) includes recommendations for such legislative 
or administrative action as the Secretary considers 
appropriate based on the results of the review. 
SEC. 104. DESIGNATION OF PERSONS. 
(a) MANDATORY DESIGNATIONS.—Except as provided 
in section 208, the President shall designate under this sub-
section any person that the President determines— 
(1) knowingly, directly or indirectly, imports, 
exports, or reexports to, into, or from North Korea
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(6) knowingly, directly or indirectly, engages in 
money laundering, the counterfeiting of goods or cur-
rency, bulk cash smuggling, or narcotics trafficking 
that supports the Government of North Korea or any 
senior official or person acting for or on behalf of that 
Government; 
(7) knowingly engages in significant activities 
undermining cybersecurity through the use of com-
puter networks or systems against foreign persons, 
governments, or other entities on behalf of the Govern-
ment of North Korea; 
(8) knowingly, directly or indirectly, sells, sup-
plies, or transfers to or from the Government of North 
Korea or any person acting for or on behalf of that 
Government, a significant amount of precious metal, 
graphite, raw or semi-finished metals or aluminum, 
steel, coal, or software, for use by or in industrial 
processes directly related to weapons of mass destruc-
tion and delivery systems for such weapons, other 
proliferation activities, the Korean Workers’ Party, 
armed forces, internal security, or intelligence activi-
ties, or the operation and maintenance of political 
prison camps or forced labor camps, including outside 
of North Korea;
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(9) knowingly, directly or indirectly, imports, 
exports, or reexports to, into, or from North Korea 
any arms or related materiel; or 
(10) knowingly attempts to engage in any of the 
conduct described in paragraphs (1) through (9). 
(b) ADDITIONAL DISCRETIONARY DESIGNATIONS.— 
(1) PROHIBITED CONDUCT DESCRIBED.—Except 
as provided in section 208, the President may des-
ignate under this subsection any person that the 
President determines— 
(A) knowingly engages in, contributes to, 
assists, sponsors, or provides financial, material 
or technological support for, or goods and serv-
ices in support of, any person designated pursu-
ant to an applicable United Nations Security 
Council resolution; 
(B) knowingly contributed to— 
(i) the bribery of an official of the Gov-
ernment of North Korea or any person act-
ing for on behalf of that official; 
(ii) the misappropriation, theft, or em-
bezzlement of public funds by, or for the 
benefit of, an official of the Government of 
North Korea or any person acting for or on 
behalf of that official; or
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(iii) the use of any proceeds of any ac-
tivity described in clause (i) or (ii); or 
(C) knowingly and materially assisted, 
sponsored, or provided significant financial, ma-
terial, or technological support for, or goods or 
services to or in support of, the activities de-
scribed in subparagraph (A) or (B). 
(2) EFFECT OF DESIGNATION.—With respect to 
any person designated under this subsection, the 
President may— 
(A) apply the sanctions described in section 
204, 205(c), or 206 to the person to the same ex-
tent and in the same manner as if the person 
were designated under subsection (a); 
(B) apply any applicable special measures 
described in section 5318A of title 31, United 
States Code; 
(C) prohibit any transactions in foreign ex-
change— 
(i) that are subject to the jurisdiction 
of the United States; and 
(ii) in which such person has any in-
terest; and 
(D) prohibit any transfers of credit or pay-
ments between financial institutions or by,
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through, or to any financial institution, to the 
extent that such transfers or payments— 
(i) are subject to the jurisdiction of the 
United States; and 
(ii) involve any interest of such person. 
(c) ASSET BLOCKING.—The President shall exercise all 
of the powers granted to the President under the Inter-
national Emergency Economic Powers Act (50 U.S.C. 1701 
et seq.) to the extent necessary to block and prohibit all 
transactions in property and interests in property of a des-
ignated person, the Government of North Korea, or the 
Workers’ Party of Korea, if such property and interests in 
property are in the United States, come within the United 
States, or are or come within the possession or control of 
a United States person. 
(d) APPLICATION TO SUBSIDIARIES AND AGENTS.— 
The designation of a person under subsection (a) or (b) and 
the blocking of property and interests in property under 
subsection (c) shall apply with respect to a person who is 
determined to be owned or controlled by, or to have acted 
or purported to have acted for or on behalf of, directly or 
indirectly, any person whose property and interests in 
property are blocked pursuant to this section. 
(e) TRANSACTION LICENSING.—The President shall 
deny or revoke any license for any transaction that the
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President determines to lack sufficient financial controls to 
ensure that such transaction will not facilitate any activity 
described in subsection (a) or (b). 
(f) PENALTIES.—The penalties provided for in sub-
sections (b) and (c) of section 206 of the International 
Emergency Economic Powers Act (50 U.S.C. 1705) shall 
apply to any person who violates, attempts to violate, con-
spires to violate, or causes a violation of any prohibition 
of this section, or an order or regulation prescribed under 
this section, to the same extent that such penalties apply 
to a person that commits an unlawful act described in sec-
tion 206(a) of such Act (50 U.S.C. 1705(a)). 
SEC. 105. FORFEITURE OF PROPERTY. 
(a) AMENDMENT TO PROPERTY SUBJECT TO FOR-
FEITURE.—Section 981(a)(1) of title 18, United States 
Code, is amended by adding at the end the following: 
‘‘(I) Any property, real or personal, that is in-
volved in a violation or attempted violation, or which 
constitutes or is derived from proceeds traceable to a 
prohibition imposed pursuant to section 104(a) of the 
North Korea Sanctions and Policy Enhancement Act 
of 2016.’’. 
(b) AMENDMENT
TO DEFINITION
OF CIVIL FOR-
FEITURE
STATUTE.—Section 983(i)(2)(D) of title 18, 
United States Code, is amended to read as follows:
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‘‘(D) the Trading with the Enemy Act (50 
U.S.C. 4301 et seq.), the International Emer-
gency Economic Powers Act (50 U.S.C. 1701 et 
seq.), or the North Korea Sanctions Enforcement 
Act of 2016; or’’. 
(c) AMENDMENT TO DEFINITION OF SPECIFIED UN-
LAWFUL ACTIVITY.—Section 1956(c)(7)(D) of title 18, 
United States Code, is amended— 
(1) by striking ‘‘or section 92 of’’ and inserting 
‘‘section 92 of’’; and 
(2) by adding at the end the following: ‘‘, or sec-
tion 104(a) of the North Korea Sanctions Enforce-
ment Act of 2016 (relating to prohibited activities 
with respect to North Korea);’’. 
TITLE II—SANCTIONS AGAINST 
NORTH KOREAN PROLIFERA-
TION, 
HUMAN 
RIGHTS 
ABUSES, AND ILLICIT ACTIVI-
TIES 
SEC. 201. DETERMINATIONS WITH RESPECT TO NORTH 
KOREA AS A JURISDICTION OF PRIMARY 
MONEY LAUNDERING CONCERN. 
(a) FINDINGS.—Congress makes the following findings: 
(1) The Under Secretary of the Treasury for Ter-
rorism and Financial Intelligence, who is responsible