,i #aacth ,,congress #ast ,session ,h4 ,r4 #bbha ,,in ,,the ,,house ,,of ,,representatives ,june #f1 #bjac ,mr4 ,rogers of ,michigan 7for himself and ,mr4 ,ryan of ,ohio7 introduced the following bill2 which was referred to the ,committee on ,foreign ,affairs1 and in addition to the ,committees on the ,judiciary and ,financial ,services1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to combat cyber espionage of intellectual property of ,united ,states persons1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,cyber ,economic ,espionage ,accountability ,act4 #b4 ,findings and sense of ,congress 7a7 ,findings ,congress finds the following3 7#a7 ,the ,united ,states faces persistent cyber espionage of intellectual property from foreign governments that threatens ,united ,states economic and national security interests1 results in an unfair competitive advantage for foreign companies1 and is a major contributor to the loss of manufacturing jobs in the ,united ,states4 7#b7 ,cyber espionage of intellectual property by foreign actors is one of the most pressing issues facing innovators and entrepreneurs in the ,united ,states today4 7#c7 ,the ,national ,counterintelligence ,executive stated in its ,october #bjaa biennial economic espionage report that ,chinese actors are the world's most active and persistent perpetrators of economic espionage and that ,united ,states private sector firms and cybersecurity specialists have reported an onslaught of computer network intrusions that have originated in ,china4 7#d7 ,the ,national ,counterintelligence ,executive also stated that ,russia's intelligence services are conducting a range of activities to collect economic information and technology from ,u4,s4 targets4 7#e7 ,the ,people's ,republic of ,china1 the ,russian ,federation1 and other countries threaten the privacy of ,united ,states citizens by accessing and exploiting personally identifiable information through cyber economic espionage4 7#f7 ,the ,people's ,republic of ,china1 the ,russian ,federation1 and other countries responsible for such cyber economic espionage are members of the ,world ,trade ,organization 7,,wto7 and have agreed to comply with the global system of rules and obligations governing the international commerce and trade among member states4 7#g7 ,the ,united ,states has recognized the membership of the ,people's ,republic of ,china1 the ,russian ,federation1 and other countries into the ,,wto by granting them ,permanent ,normal ,trade ,relations 7,,pntr7 status under ,united ,states law4 7#h7 ,cyber economic espionage undermines the cooperative relationships between the ,united ,states and countries tolerating or encouraging such activities4 7b7 ,sense of ,congress ,it is the sense of ,congress that-- 7#a7 cyber economic espionage should be a priority issue in all economic and diplomatic discussions with the ,people's ,republic of ,china1 including during all meetings of the ,u4,s4-,china ,strategic and ,economic ,dialogue1 and with the ,russian ,federation and other countries determined to encourage1 tolerate1 or conduct such cyber economic espionage at appropriate bilateral meetings2 7#b7 the ,united ,states should intensify diplomatic efforts in appropriate international fora such as the ,united ,nations1 the ,organisation for ,economic ,cooperation and ,development 7,,oecd71 and summits such as the ,g-#h and ,g-#bj summits1 to address the harm to the international economic order by cyber economic espionage2 and 7#c7 the ,department of ,justice should increase its efforts to bring economic espionage criminal cases against offending foreign actors1 with penalties to include both fines and imprisonment1 as well as encourage further cooperation among countries to address cyber economic espionage through criminal prosecutions4 #c4 ,identification of persons responsible for cyber espionage of intellectual property of ,united ,states persons 7a7 ,in general ,not later than #abj days after the date of the enactment of this ,act1 the ,president shall submit to the appropriate congressional committees a list of persons who are officials of a foreign government or persons acting on behalf of a foreign government that the ,president determines1 based on credible information-- 7#a7 are responsible for cyber espionage of intellectual property of ,united ,states persons2 or 7#b7 acted as an agent of or on behalf of a person in a matter relating to an activity described in paragraph 7#a74 7b7 ,updates ,the ,president shall submit to the appropriate congressional committees an update of the list required by subsection 7a7 as new information becomes available4 7c7 ,form 7#a7 ,in general ,the list required by subsection 7a7 shall be submitted in unclassified form4 7#b7 ,exception ,the name of a person to be included in the list required by subsection 7a7 may be submitted in a classified annex only if the ,president-- 7,a7 determines that it is vital for the national security interests of the ,united ,states to do so2 7,b7 uses the annex in such a manner consistent with congressional intent and the purposes of this ,act2 and 7,c7 #ae days prior to submitting the name in a classified annex1 provides to the appropriate congressional committees notice of1 and a justification for1 including or continuing to include each person in the classified annex despite any publicly available credible information indicating that the person engaged in an activity described in paragraph 7#a7 or 7#b7 of subsection 7a74 7#c7 ,public availability ,the unclassified portion of the list required by subsection 7a7 shall be made available to the public and published in the ,federal ,register4 7d7 ,removal from list ,a person may be removed from the list required by subsection 7a7 if the ,president determines and reports to the appropriate congressional committees not less than #ae days prior to the removal of the person from the list that credible information exists that the person did not engage in the activity for which the person was added to the list4 7e7 ,requests by chairperson and ranking member of appropriate congressional committees 7#a7 ,in general ,not later than #abj days after receiving a written request from the chairperson and ranking member of one of the appropriate congressional committees with respect to whether a person meets the criteria for being added to the list required by subsection 7a71 the ,president shall submit a response to the chairperson and ranking member of the committee which made the request with respect to the status of the person4 7#b7 ,form ,the ,president may submit a response required by paragraph 7#a7 in classified form if the ,president determines that it is necessary for the national security interests of the ,united ,states to do so4 7#c7 ,removal ,if the ,president removes from the list required by subsection 7a7 a person who has been placed on the list at the request of the chairperson and ranking member of one of the appropriate congressional committees1 the ,president shall provide the chairperson and ranking member with any information that contributed to the removal decision4 ,the ,president may submit such information in classified form if the ,president determines that such is necessary for the national security interests of the ,united ,states4 7f7 ,nonapplicability of confidentiality requirement with respect to visa records ,the ,president shall publish the list required by subsection 7a7 without regard to the requirements of section #bbb7;f7 of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #abjb7;f77 with respect to confidentiality of records pertaining to the issuance or refusal of visas or permits to enter the ,united ,states4 #d4 ,inadmissibility of certain aliens 7a7 ,ineligibility for visas ,an alien is ineligible to receive a visa to enter the ,united ,states and ineligible to be admitted to the ,united ,states if the alien is on the list required by section #c7;a74 7b7 ,current visas revoked ,the ,secretary of ,state1 in consultation with the ,secretary of ,homeland ,security1 shall revoke1 in accordance with section #bba7;i7 of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #abja7;i771 the visa or other documentation of any alien who would be ineligible to receive such a visa or documentation under subsection 7a7 of this section4 7c7 ,waiver for national security interests 7#a7 ,in general ,the ,secretary of ,state may waive the application of subsection 7a7 or 7b7 in the case of an alien if-- 7,a7 the ,secretary determines that such a waiver-- 7i7 is necessary to permit the ,united ,states to comply with the ,agreement between the ,united ,nations and the ,united ,states of ,america regarding the ,headquarters of the ,united ,nations1 signed ,june #bf1 #aidg1 and entered into force ,november #ba1 #aidg1 or other applicable international obligations of the ,united ,states2 or 7ii7 is in the national security interests of the ,united ,states2 and 7,b7 prior to granting such a waiver1 the ,secretary provides to the appropriate congressional committees notice of1 and a justification for1 the waiver4 7#b7 ,timing for certain waivers ,notification under subparagraph 7,b7 of paragraph 7#a7 shall be made not later than #ae days prior to granting a waiver under such paragraph if the ,secretary grants such waiver in the national security interests of the ,united ,states in accordance with subparagraph 7,a77ii7 of such paragraph4 7d7 ,regulatory authority ,the ,secretary of ,state shall prescribe such regulations as are necessary to carry out this section4 #e4 ,financial measures 7a7 ,freezing of assets 7#a7 ,in general ,the ,president shall exercise all powers granted by the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agja et seq47 7except that the requirements of section #bjb of such ,act 7#ej ,u4,s4,c4 #agja7 shall not apply7 to the extent necessary to freeze and prohibit all transactions in all property and interests in property of a person who is on the list required by section #c7;a7 of this ,act if such property and interests in property are in the ,united ,states1 come within the ,united ,states1 or are or come within the possession or control of a ,united ,states person4 7#b7 ,exception ,paragraph 7#a7 shall not apply to persons included on the classified annex under section #c7;c77#b7 if the ,president determines that such an exception is vital for the national security interests of the ,united ,states4 7b7 ,waiver for national security interests ,the ,secretary of the ,treasury may waive the application of subsection 7a7 if the ,secretary determines that such a waiver is in the national security interests of the ,united ,states4 ,not less than #ae days prior to granting such a waiver1 the ,secretary shall provide to the appropriate congressional committees notice of1 and a justification for1 the waiver4 7c7 ,enforcement 7#a7 ,penalties ,a person that violates1 attempts to violate1 conspires to violate1 or causes a violation of this section or any regulation1 license1 or order issued to carry out this section shall be subject to the penalties set forth in subsections 7b7 and 7c7 of section #bjf of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agje7 to the same extent as a person that commits an unlawful act described in subsection 7a7 of such section4 7#b7 ,requirements for financial institutions ,not later than #abj days after the date of the enactment of this ,act1 the ,secretary of the ,treasury shall prescribe or amend regulations as needed to require each financial institution that is a ,united ,states person and has within its possession or control assets that are property or interests in property of a person who is on the list required by section #c7;a7 if such property and interests in property are in the ,united ,states to certify to the ,secretary that1 to the best of the knowledge of the financial institution1 the financial institution has frozen all assets within the possession or control of the financial institution that are required to be frozen pursuant to subsection 7a74 7d7 ,specially designated nationals list ,the ,secretary of the ,treasury shall include on the list of specially designated nationals and blocked persons maintained by the ,office of ,foreign ,assets ,control of the ,department of the ,treasury each person who is on the list required by section #c7;a7 of this ,act4 7e7 ,regulatory authority ,the ,secretary of the ,treasury shall issue such regulations1 licenses1 and orders as are necessary to carry out this section4 #f4 ,report to ,congress ,not later than one year after the date of the enactment of this ,act and annually thereafter1 the ,secretary of ,state and the ,secretary of the ,treasury shall submit to the appropriate congressional committees a report on-- 7#a7 the actions taken to carry out this ,act1 including-- 7,a7 the number of persons added to or removed from the list required by section #c7;a7 during the year preceding the report1 the dates on which such persons have been added or removed1 and the reasons for adding or removing them2 and 7,b7 if few or no such persons have been added to that list during that year1 the reasons for not adding more such persons to the list2 and 7#b7 efforts by the executive branch to encourage the governments of other countries to impose sanctions that are similar to the sanctions imposed under this ,act4 #g4 ,definitions ,in this ,act3 7#a7 ,admitted2 alien ,the terms admitted and alien have the meanings given those terms in section #aja of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #aaja74 7#b7 ,appropriate congressional committees ,the term appropriate congressional committees means-- 7,a7 the ,committee on ,armed ,services1 the ,committee on ,financial ,services1 the ,committee on ,foreign ,affairs1 the ,committee on ,homeland ,security1 the ,committee on the ,judiciary1 and the ,permanent ,select ,committee on ,intelligence of the ,house of ,representatives2 and 7,b7 the ,committee on ,armed ,services1 the ,committee on ,banking1 ,housing1 and ,urban ,affairs1 the ,committee on ,foreign ,relations1 the ,committee on ,homeland ,security and ,governmental ,affairs1 the ,committee on the ,judiciary1 and the ,select ,committee on ,intelligence of the ,senate4 7#c7 ,financial institution ,the term financial institution has the meaning given that term in section #ecab of title #ca1 ,united ,states ,code4 7#d7 ,united ,states person ,the term ,united ,states person means-- 7,a7 a ,united ,states citizen or an alien lawfully admitted for permanent residence to the ,united ,states2 or 7,b7 an entity organized under the laws of the ,united ,states or of any jurisdiction within the ,united ,states1 including a foreign branch of such an entity4