Identification of foreign opioid traffickers
Open ↗(a) Public report
(1) In general
The President shall submit to the appropriate congressional committees and leadership, in accordance with subsection (c), a report—
(A) identifying the foreign persons that the President determines are foreign opioid traffickers;
(B) detailing progress the President has made in implementing this subchapter; and
(C) providing an update on cooperative efforts with the governments of Mexico, the People's Republic of China, and other countries of concern with respect to combating foreign opioid traffickers.
(2) Identification of additional persons
If, at any time after submitting a report required by paragraph (1) and before the submission of the next such report, the President determines that a foreign person not identified in the report is a foreign opioid trafficker, the President shall submit to the appropriate congressional committees and leadership an additional report containing the information required by paragraph (1) with respect to the foreign person.
(3) Exclusion
The President shall not be required to include in a report under paragraph (1) or (2) any persons with respect to which the United States has imposed sanctions before the date of the report under this subchapter or any other provision of law with respect to opioid trafficking.
(4) Form of report
(A) In general
Each report required by paragraph (1) or (2) shall be submitted in unclassified form but may include a classified annex.
(B) Availability to public
The unclassified portion of a report required by paragraph (1) or (2) shall be made available to the public.
(b) Classified report
(1) In general
The President shall submit to the appropriate congressional committees and leadership, in accordance with subsection (c), a report, in classified form—
(A) describing in detail the status of sanctions imposed under this subchapter, including the personnel and resources directed toward the imposition of such sanctions during the preceding fiscal year;
(B) providing background information with respect to persons newly identified as foreign opioid traffickers and their illicit activities;
(C) describing actions the President intends to undertake or has undertaken to implement this subchapter; and
(D) providing a strategy for identifying additional foreign opioid traffickers.
(2) Effect on other reporting requirements
The report required by paragraph (1) is in addition to, and in no way delimits or restricts, the obligations of the President to keep Congress fully and currently informed pursuant to the provisions of the National Security Act of 1947 (50 U.S.C. 3001 et seq.).
(c) Submission of reports
Not later than 180 days after December 20, 2019, and annually thereafter until the date that is 5 years after December 20, 2019, the President shall submit the reports required by subsections (a) and (b) to the appropriate congressional committees and leadership.
(d) Exclusion of certain information
(1) Intelligence
Notwithstanding any other provision of this section, a report required by subsection (a) or (b) shall not disclose the identity of any person if the Director of National Intelligence determines that such disclosure could compromise an intelligence operation, activity, source, or method of the United States.
(2) Law enforcement
Notwithstanding any other provision of this section, a report required by subsection (a) or (b) shall not disclose the identity of any person if the Attorney General, in coordination, as appropriate, with the Director of the Federal Bureau of Investigation, the Administrator of the Drug Enforcement Administration, the Secretary of the Treasury, the Secretary of State, and the head of any other appropriate Federal law enforcement agency, determines that such disclosure could reasonably be expected—
(A) to compromise the identity of a confidential source, including a State, local, or foreign agency or authority or any private institution that furnished information on a confidential basis;
(B) to jeopardize the integrity or success of an ongoing criminal investigation or prosecution;
(C) to endanger the life or physical safety of any person; or
(D) to cause substantial harm to physical property.
(3) Notification required
If the Director of National Intelligence makes a determination under paragraph (1) or the Attorney General makes a determination under paragraph (2), the Director or the Attorney General, as the case may be, shall notify the appropriate congressional committees and leadership of the determination and the reasons for the determination.
(4) Rule of construction
Nothing in this section may be construed to authorize or compel the disclosure of information determined by the President to be law enforcement information, classified information, national security information, or other information the disclosure of which is prohibited by any other provision of law.
(e) Provision of information required for reports
The Secretary of the Treasury, the Attorney General, the Secretary of Defense, the Secretary of State, the Secretary of Homeland Security, and the Director of National Intelligence shall consult among themselves and provide to the President and the Director of the Office of National Drug Control Policy the appropriate and necessary information to enable the President to submit the reports required by subsection (a).
Imposition of sanctions
Open ↗The President shall impose five or more of the sanctions described in section 2313 of this title with respect to each foreign person that is an entity, and four or more of such sanctions with respect to each foreign person that is an individual, that—
(1) is identified as a foreign opioid trafficker in a report submitted under section 2311(a) of this title; or
(2) the President determines is owned, controlled, directed by, knowingly supplying or sourcing precursors for, or knowingly acting for or on behalf of, such a foreign opioid trafficker.
Description of sanctions
Open ↗(a) In general
The sanctions that may be imposed with respect to a foreign person under section 2312 of this title are the following:
(1) Loans from United States financial institutions
The United States Government may prohibit any United States financial institution from making loans or providing credits to the foreign person.
(2) Prohibitions on financial institutions
The following prohibitions may be imposed with respect to a foreign person that is a financial institution:
(A) Prohibition on designation as primary dealer
Neither the Board of Governors of the Federal Reserve System nor the Federal Reserve Bank of New York may designate, or permit the continuation of any prior designation of, the financial institution as a primary dealer in United States Government debt instruments.
(B) Prohibition on service as a repository of Government funds
The financial institution may not serve as agent of the United States Government or serve as repository for United States Government funds.
The imposition of either sanction under subparagraph (A) or (B) shall be treated as one sanction for purposes of section 2312 of this title, and the imposition of both such sanctions shall be treated as 2 sanctions for purposes of that section.
(3) Procurement ban
The United States Government may not procure, or enter into any contract for the procurement of, any goods or services from the foreign person.
(4) Foreign exchange
The President may, pursuant to such regulations as the President may prescribe, prohibit any transactions in foreign exchange that are subject to the jurisdiction of the United States and in which the foreign person has any interest.
(5) Banking transactions
The President may, pursuant to such regulations as the President may prescribe, prohibit any transfers of credit or payments between financial institutions or by, through, or to any financial institution, to the extent that such transfers or payments are subject to the jurisdiction of the United States and involve any interest of the foreign person.
(6) Property transactions
The President may, pursuant to such regulations as the President may prescribe, prohibit any person from—
(A) acquiring, holding, withholding, using, transferring, withdrawing, or transporting any property that is subject to the jurisdiction of the United States and with respect to which the foreign person has any interest;
(B) dealing in or exercising any right, power, or privilege with respect to such property; or
(C) conducting any transaction involving such property.
(7) Ban on investment in equity or debt of sanctioned person
The President may, pursuant to such regulations or guidelines as the President may prescribe, prohibit any United States person from investing in or purchasing significant amounts of equity or debt instruments of the foreign person.
(8) Exclusion of corporate officers
The President may direct the Secretary of State to deny a visa to, and the Secretary of Homeland Security to exclude from the United States, any alien that the President determines is a corporate officer or principal of, or a shareholder with a controlling interest in, the foreign person.
(9) Sanctions on principal executive officers
The President may impose on the principal executive officer or officers of the foreign person, or on individuals performing similar functions and with similar authorities as such officer or officers, any of the sanctions described in paragraphs (1) through (8) that are applicable.
(b) Penalties
A person that violates, attempts to violate, conspires to violate, or causes a violation of any regulation, license, or order issued to carry out subsection (a) shall be subject to the penalties set forth in subsections (b) and (c) of section 1705 of title 50 to the same extent as a person that commits an unlawful act described in subsection (a) of that section.
(c) Exceptions
(1) Intelligence and law enforcement activities
Sanctions under this section shall not apply with respect to—
(A) any activity subject to the reporting requirements under title V of the National Security Act of 1947 (50 U.S.C. 3091 et seq.); or
(B) any authorized intelligence or law enforcement activities of the United States.
(2) Exception to comply with United Nations headquarters agreement
Sanctions under subsection (a)(8) shall not apply to an alien if admitting the alien into the United States is necessary to permit the United States to comply with the Agreement regarding the Headquarters of the United Nations, signed at Lake Success June 26, 1947, and entered into force November 21, 1947, between the United Nations and the United States, the Convention on Consular Relations, done at Vienna April 24, 1963, and entered into force March 19, 1967, or other applicable international obligations.
(d) Implementation
The President may exercise all authorities provided under sections 1702 and 1704 of title 50 to carry out this section.
Designation of transactions of sanctioned persons as of primary money laundering concern
Open ↗(a) In general
If the Secretary of the Treasury determines that reasonable grounds exist for concluding that 1 or more financial institutions operating outside of the United States, 1 or more classes of transactions within, or involving, a jurisdiction outside of the United States, or 1 or more types of accounts within, or involving, a jurisdiction outside of the United States, is of primary money laundering concern in connection with illicit opioid trafficking, the Secretary of the Treasury may, by order, regulation, or otherwise as permitted by law—
(1) require domestic financial institutions and domestic financial agencies to take 1 or more of the special measures provided for in section 9714(a)(1) of the National Defense Authorization Act for Fiscal Year 2021 (Public Law 116–283; 31 U.S.C. 5318A note); or
(2) prohibit, or impose conditions upon, certain transmittals of funds (to be defined by the Secretary) by any domestic financial institution or domestic financial agency, if such transmittal of funds involves any such institution, class of transaction, or type of accounts.
(b) Classified information
In any judicial review of a finding of the existence of a primary money laundering concern, or of the requirement for 1 or more special measures with respect to a primary money laundering concern made under this section, if the designation or imposition, or both, were based on classified information (as defined in section 1(a) of the Classified Information Procedures Act (18 U.S.C. App.)), such information may be submitted by the Secretary to the reviewing court ex parte and in camera. This subsection does not confer or imply any right to judicial review of any finding made or any requirement imposed under this section.
(c) Availability of information
The exemptions from, and prohibitions on, search and disclosure referred to in section 9714(c) of the National Defense Authorization Act for Fiscal Year 2021 (Public Law 116–283; 31 U.S.C. 5318A note) shall apply to any report or record of report filed pursuant to a requirement imposed under subsection (a). For purposes of section 552 of title 5, this subsection shall be considered a statute described in subsection (b)(3)(B) of such section.
(d) Penalties
The penalties referred to in section 9714(d) of the National Defense Authorization Act for Fiscal Year 2021 (Public Law 116–283; 31 U.S.C. 5318A note) shall apply to violations of any order, regulation, special measure, or other requirement imposed under subsection (a), in the same manner and to the same extent as described in such section 9714(d).
(e) Injunctions
The Secretary of the Treasury may bring a civil action to enjoin a violation of any order, regulation, special measure, or other requirement imposed under subsection (a) in the same manner and to the same extent as described in section 9714(e) of the National Defense Authorization Act for Fiscal Year 2021 (Public Law 116–283; 31 U.S.C. 5318A note).
Waivers
Open ↗(a) Waiver for state-owned entities in countries that cooperate in multilateral anti-trafficking efforts
(1) In general
The President may waive for a period of not more than 12 months the application of sanc tions under this subchapter with respect to an entity that is owned or controlled, directly or indirectly, by a foreign government or any political subdivision, agency, or instrumentality of a foreign government, if, not less than 15 days before the waiver is to take effect, the President certifies to the appropriate congressional committees and leadership that the foreign government is closely cooperating with the United States in efforts to prevent opioid trafficking.
(2) Certification
The President may certify under paragraph (1) that a foreign government is closely cooperating with the United States in efforts to prevent opioid trafficking if that government is—
(A) implementing domestic laws to schedule all fentanyl analogues as controlled substances; and
(B) doing two or more of the following:
(i) Implementing substantial improvements in regulations involving the chemical and pharmaceutical production and export of illicit opioids.
(ii) Implementing substantial improvements in judicial regulations to combat transnational criminal organizations that traffic opioids.
(iii) Increasing efforts to prosecute foreign opioid traffickers.
(iv) Increasing intelligence sharing and law enforcement cooperation with the United States with respect to opioid trafficking.
(3) Subsequent renewal of waiver
The President may renew a waiver under paragraph (1) for subsequent periods of not more than 12 months each if, not less than 15 days before the renewal is to take effect, the Secretary of State certifies to the appropriate congressional committees and leadership that the government of the country to which the waiver applies has effectively implemented and is effectively enforcing the measures that formed the basis for the certification under paragraph (2).
(b) Waivers for national security and access to prescription medications
(1) In general
The President may waive the application of sanctions under this subchapter if the President determines that the application of such sanctions would harm—
(A) the national security interests of the United States; or
(B) subject to paragraph (2), the access of United States persons to prescription medications.
(2) Monitoring
The President shall establish a monitoring program to verify that a person that receives a waiver under paragraph (1)(B) is not trafficking illicit opioids.
(3) Notification
Not later than 15 days after making a determination under paragraph (1), the President shall notify the appropriate congressional committees and leadership of the determination and the reasons for the determination.
(c) Humanitarian waiver
The President may waive, for renewable periods of 180 days, the application of the sanctions under this subchapter if the President certifies to the appropriate congressional committees and leadership that the waiver is necessary for the provision of humanitarian assistance.
Procedures for judicial review of classified information
Open ↗(a) In general
If a finding under this subchapter, or a prohibition, condition, or penalty imposed as a result of any such finding, is based on classified information (as defined in section 1(a) of the Classified Information Procedures Act (18 U.S.C. App.)) and a court reviews the finding or the imposition of the prohibition, condition, or penalty, the President may submit such information to the court ex parte and in camera.
(b) Rule of construction
Nothing in this section shall be construed—
(1) to confer or imply any right to judicial review of any finding under this subchapter, or any prohibition, condition, or penalty imposed as a result of any such finding; or
(2) to limit or restrict any other practice, procedure, right, remedy, or safeguard that—
(A) relates to the protection of classified information; and
(B) is available to the United States in connection with any type of administrative hearing, litigation, or other proceeding.
Briefings on implementation
Open ↗Not later than 90 days after December 20, 2019, and every 180 days thereafter until the date that is 5 years after December 20, 2019, the President, acting through the Secretary of State and the Director of National Intelligence, in coordination with the Secretary of the Treasury, shall provide to the appropriate congressional committees and leadership a comprehensive briefing on efforts to implement this subchapter.
Source: United States Code / CFR (uscode.house.gov, govinfo.gov) — U.S. federal law, public domain (17 U.S.C. § 105).
