Hezbollah International Financing Prevention Act of 2014

Bill: 113-hr-4411
Sponsor: Rep. Meadows, Mark [R-NC-11]
Introduced: 2014-04-07 in the House
Policy area: International Affairs
Subjects: Arab-Israeli relations
Bank accounts, deposits, capital
Banking and financial institutions regulation
Broadcasting, cable, digital technologies
Congressional oversight
Department of the Treasury
Diplomacy, foreign officials, Americans abroad
Drug trafficking and controlled substances
Financial services and investments
Foreign and international banking
Foreign property
Fraud offenses and financial crimes
International exchange and broadcasting
Iran
Lebanon
Metals
Middle East
Mining
Organized crime
Sanctions
Syria
Television and film
Terrorism
Trade restrictions

Summary:
action_date: 2014-04-07
text: 
Hezbollah International Financing Prevention Act of 2014 - States that it shall be U.S. policy to: (1) prevent Hezbollah's global logistics and financial network from operating in order to curtail funding of its domestic and international activities; and (2) utilize diplomatic, legislative, and executive avenues to combat Hezbollah's criminal activities in order to block that organization's ability to fund its global terrorist activities.
 
Directs the President to report to Congress: (1) a list of satellite, broadcast, or other providers that knowingly transmit the content of al-Manar TV; and (2) the identity of those providers that have or have not been sanctioned pursuant to Executive Order 13224. 
 
Directs the Secretary of the Treasury to prohibit or impose strict conditions on the opening or maintaining in the United States of a correspondent account or a payable-through account by a foreign financial institution that knowingly: (1) facilitates the activities of Hezbollah or its agents, instrumentalities, affiliates, or successors; (2) facilitates the activities of a person acting on behalf of or owned or controlled by an agent, instrumentality, affiliate, or successor; (3) engages in money laundering to carry out such an activity; (4) facilitates a significant transaction or provides significant financial services to carry out such an activity, including services that involve a transaction of gold, silver, platinum, or other precious metals; or (5) facilitates any of these activities, conspires to facilitate or participate in such an activity, or is owned or controlled by a foreign financial institution that knowingly engages in such an activity.
 
Directs the Secretary of the Treasury to prescribe reporting, information sharing, and due diligence requirements for domestic financial institutions that maintain a correspondent account or payable-through account in the United States for a foreign financial institution. Authorizes the Secretary to waive such requirements if in the U.S. national security interests, and with congressional notification.
 
Directs the Secretary of the Treasury to identify to Congress every 180 days each foreign central bank that carries out an activity prohibited under this Act. 
 
Sets forth penalty requirements for specified violations under this Act.
 
Directs the President to designate Hezbollah as: (1) a significant foreign narcotics trafficker if Hezbollah meets meets the criteria set forth under the Foreign Narcotics Kingpin Designation Act, and (2) a significant transnational criminal organization if Hezbollah meets the criteria set forth under specified executive orders and statutes. Requires the President to report to Congress which of these criteria the President determines that Hezbollah has not met, if it does not.
 
Directs the Secretary of State to report to Congress regarding Hezbollah's involvement in the trade in rough diamonds outside of the Kimberly Process Certification Scheme.
 
Declares that nothing in this Act shall apply to authorized U.S. intelligence activities. 
 
States that any requirement of this Act shall cease to be in effect 30 days after the President certifies to Congress that Hezbollah: (1) is no longer designated as a foreign terrorist organization; (2) is no longer listed in the Annex to Executive Order 13224 (blocking property and prohibiting transactions with persons who commit or support terrorism); and (3) poses no significant threat to U.S. national security, interests, or allies.

action_date: 2014-07-22
text: 
Hezbollah International Financing Prevention Act of 2014 - (Sec. 2) States that it shall be U.S. policy to: (1) prevent Hezbollah's global logistics and financial network from operating in order to curtail funding of its domestic and international activities; and (2) utilize diplomatic, legislative, and executive avenues to combat Hezbollah's criminal activities in order to block that organization's ability to fund its global terrorist activities.
 

Title I: Prevention of Access by Hezbollah to International Financial and Other Institutions
 - (Sec. 101) Directs the President to report to Congress identifying: (1) satellite, broadcast, Internet, or other providers that knowingly transmit the content of al-Manar TV and its affiliates; and (2) the identity of those providers that have or have not been sanctioned pursuant to Executive Order 13224. 
 
(Sec. 102) Directs the Secretary of the Treasury (Secretary) to prohibit or impose strict conditions on the opening or maintaining in the United States of a correspondent account or a payable-through account by a foreign financial institution that knowingly: 
 
 
facilitates a transaction or transactions for Hezbollah, or for a person acting on behalf of, or owned or controlled by Hezbollah; 
 
engages in money laundering to carry out such an activity; 
 
facilitates a significant transaction or provides significant financial services to carry out such an activity; or 
 
facilitates any of these activities, conspires to facilitate or participate in such an activity, or is owned or controlled by a foreign financial institution that knowingly engages in such an activity.
 
 
Applies specified penalties under the International Emergency Economic Powers Act for violations of this Act.
 
Authorizes the Secretary to waive the application of a prohibition for up to 180 days (with renewable 180-day waivers) if in U.S. national security interests, and with congressional notification.
 
Directs the Secretary to identify to Congress every 180 days each foreign central bank that carries out a prohibited activity.
 
Exempts from sanctions a foreign financial institution that is no longer engaging in a prohibited activity or is taking significant steps toward terminating such activity. 
 
 
Title II: Reports on Designation of Hezbollah as a Significant Foreign Narcotics Trafficker and a Significant Transnational Criminal Organization 
- (Sec. 201) Expresses the sense of Congress that: (1) Hezbollah meets the criteria for designation as a significant foreign narcotics trafficker under the Foreign Narcotics Kingpin Designation Act, and (2) the President should designate Hezbollah as a significant foreign narcotics trafficker.
 
Directs the President to report to Congress on whether Hezbollah meets or does not meet the criteria for such designation. 
 
(Sec. 202) Expresses the sense of Congress that: (1) Hezbollah meets the criteria for designation as a significant transnational criminal organization under Executive Order No. 13581, and (2) the President should designate Hezbollah as a significant transnational criminal organization.
 
Directs the President to report to Congress on whether Hezbollah meets or does not meet the criteria for such designation. 
 
(Sec. 203) Directs the Secretary of State to report to Congress detailing Hezbollah's involvement in the trade in rough diamonds outside of the Kimberley Process Certification Scheme.
 
(Sec. 204) Directs the Secretary of State to report to Congress regarding actions taken through the Department's rewards program to obtain information on Hezbollah's fund raising, financing, and money laundering activities.
 
(Sec. 205) Directs the President to report to Congress regarding: (1) countries that support Hezbollah, in which Hezbollah maintains important portions of its global logistics networks, or in which Hezbollah conducts significant fund raising, financing, or money laundering activities; and (2) an assessment of whether a country is taking adequate measures to disrupt Hezbollah's networks and activities within that country.
 

Title III: Miscellaneous Provisions -
 (Sec. 301) Declares that nothing in this Act shall apply to authorized U.S. intelligence activities. 
 
(Sec. 302) Directs the President to promulgate implementing regulations. 
 
(Sec. 303) Amends the Enhanced Partnership with Pakistan Act of 2009 to reduce specified funding for Pakistan through FY2014. 
 
(Sec. 304) States that this Act shall cease to be in effect 30 days after the President certifies to Congress that Hezbollah: 
 
 
is no longer designated as a foreign terrorist organization; 
 
is no longer listed in the Annex to Executive Order 13224 (blocking property and prohibiting transactions with persons who commit or support terrorism); and 
 
poses no significant threat to U.S. national security, interests, or allies.
 


Legislative actions:
action_date: 2014-07-23
text: Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
action_date: 2014-07-22
text: Motion to reconsider laid on the table Agreed to without objection.
action_date: 2014-07-22
text: On motion to suspend the rules and pass the bill, as amended Agreed to by the Yeas and Nays: (2/3 required): 404 - 0 (Roll no. 434). (text: CR H6620-6622)
action_date: 2014-07-22
text: Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by the Yeas and Nays: (2/3 required): 404 - 0 (Roll no. 434).(text: CR H6620-6622)
action_date: 2014-07-22
text: Considered as unfinished business. (consideration: CR H6632-6633)
action_date: 2014-07-22
text: At the conclusion of debate, the Yeas and Nays were demanded and ordered. Pursuant to the provisions of clause 8, rule XX, the Chair announced that further proceedings on the motion would be postponed.
action_date: 2014-07-22
text: DEBATE - The House proceeded with forty minutes of debate on H.R. 4411.
action_date: 2014-07-22
text: Considered under suspension of the rules. (consideration: CR H6620-6626)
action_date: 2014-07-22
text: Mr. Royce moved to suspend the rules and pass the bill, as amended.
action_date: 2014-07-22
text: Placed on the Union Calendar, Calendar No. 409.
action_date: 2014-07-22
text: Committee on Financial Services discharged.
action_date: 2014-07-22
text: Committee on Financial Services discharged.
action_date: 2014-07-22
text: Reported (Amended) by the Committee on Foreign Affairs. H. Rept. 113-543, Part I.
action_date: 2014-07-22
text: Reported (Amended) by the Committee on Foreign Affairs. H. Rept. 113-543, Part I.
action_date: 2014-06-26
text: Ordered to be Reported in the Nature of a Substitute (Amended) by Unanimous Consent.
action_date: 2014-06-26
text: Committee Consideration and Mark-up Session Held.
action_date: 2014-04-07
text: Referred to the Committee on Foreign Affairs, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
action_date: 2014-04-07
text: Referred to the Committee on Foreign Affairs, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
action_date: 2014-04-07
text: Introduced in House
action_date: 2014-04-07
text: Introduced in House