,,ii #aahth ,,congress #ast ,session ,s4 #cchd ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,november #cj1 #bjbc,mr4 ,whitehouse 7for himself1 ,mr4 ,cassidy1 and ,mr4 ,king7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to combat illicit cross-border financial activity and to improve the ,trade ,transparency ,unit program of ,u4,s4 ,immigration and ,customs ,enforcement1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,combating ,cross-border ,financial ,crime ,act of #bjbc4 #b4 ,establishment of ,cross-,border ,financial ,crime ,center ,the ,tariff ,act of #aicj 7#ai ,u4,s4,c4 #acjd et seq47 is amended by inserting after section #fca 7#ai ,u4,s4,c4 #afca7 the following3 #fcb4 ,establishment of ,cross-border ,financial ,crime ,center 7a7 ,establishment ,the ,secretary of ,homeland ,security1 acting through the ,executive ,associate ,director of ,homeland ,security ,investigations1 shall-- 7#a7 establish the ,cross-,border ,financial ,crime ,center 7in this section referred to as the ,center71 which shall be located in the ,national ,capital region 7as defined in section #hgjb of title #dj1 ,united ,states ,code72 and 7#b7 appoint a ,director to serve as the head of the ,center 7in this section referred to as the ,director74 7b7 ,duties 7#a7 ,in general ,the ,center shall-- 7,a7 support1 through the provision of analysts1 equipment1 and other resources1 the investigation and seizure of assets and proceeds 7as defined in section #iha of title #ah1 ,united ,states ,code7 related to trade-based money laundering and other illicit cross-border financial activity or attempted illicit cross-border financial activity1 to1 from1 or through the ,united ,states1 including such activity conducted by actors determined by the ,secretary of ,state1 the ,attorney ,general1 the ,secretary of the ,treasury1 and the ,secretary of ,homeland ,security to be the highest priority threats1 including-- 7i7 transnational criminal organizations2 7ii7 kleptocrats and oligarchs with respect to whom the ,united ,states has imposed sanctions2 7iii7 professional money laundering organizations2 and 7iv7 persons knowingly enabling criminal or corrupt activity1 including designated non-financial businesses and professions2 7,b7 coordinate with the ,deputy ,directors appointed under subsection 7c7 and the heads of other relevant ,federal agencies to better ensure uniform training is provided to ,united ,states ,federal1 ,state1 local1 and ,tribal law enforcement agencies and foreign law enforcement agencies to address the vulnerabilities outlined in the ,national ,money ,laundering ,risk ,assessment1 published by the ,department of the ,treasury in ,february #bjbb1 or any successor document2 7,c7 coordinate with such agencies to develop metrics to assess whether the training described in subparagraph 7,b7 improved enforcement of anti-money laundering laws2 7,d7 leverage existing1 lawfully obtained1 government data sources to establish a means to receive1 collect1 track1 analyze1 and deconflict information regarding illicit cross-border financial activity from ,united ,states and foreign law enforcement agencies and other non-,federal sources2 7,e7 coordinate with the ,deputy ,directors appointed under subsection 7c7 and relevant components of their agencies1 including the ,financial ,crimes ,enforcement ,network1 to disseminate information1 on a rolling basis1 regarding trends and techniques involved in illicit cross-border financial activity to other ,federal agencies1 private sector stakeholders1 and foreign law enforcement partners1 as appropriate2 7,f7 coordinate with the offices of ,united ,states attorneys in order to develop expertise in1 and assist with1 the investigation and prosecution of crimes involving trade-based money laundering and other illicit cross-border financial activity2 and 7,g7 carry out such other duties as the ,executive ,associate ,director may assign4 7#b7 ,supplement not supplant ,the duties described in paragraph 7#a7 shall supplement1 not supplant1 the work of existing ,federal agencies1 task forces1 and working groups4 7c7 ,deputy directors ,the ,attorney ,general1 the ,secretary of the ,treasury 7acting through the ,director of the ,financial ,crimes ,enforcement ,network71 and the ,secretary of ,state shall each appoint a ,deputy ,director to assist the ,director4 7d7 ,coordination with other agencies 7#a7 ,in general ,in carrying out the duties described in subsection 7b71 the ,director shall coordinate with the ,federal entities specified in paragraph 7#b71 and to the extent practicable1 with the ,state1 local1 and ,tribal entities specified in paragraph 7#c7 to ensure at least part-time representation1 in the form of detailees1 in the ,center of at least one agent or analyst with expertise in countering cross-border illicit finance1 including trade-based money laundering1 from each such entity4 7#b7 ,federal entities specified ,the ,federal entities specified in this paragraph are the following3 7,a7 ,the ,department of the ,treasury and the following components of the ,department3 7i7 ,the ,financial ,crimes ,enforcement ,network4 7ii7 ,the ,office of ,foreign ,assets ,control4 7iii7 ,the ,office of the ,comptroller of the ,currency4 7iv7 ,the ,office of ,technical ,assistance4 7v7 ,internal ,revenue ,service ,criminal ,investigation4 7vi7 ,the ,small ,business_/,self ,employed ,division of the ,internal ,revenue ,service4 7,b7 ,the ,department of ,justice and the following components of the ,department3 7i7 ,the ,criminal ,division4 7ii7 ,the ,drug ,enforcement ,administration4 7iii7 ,the ,federal ,bureau of ,investigation4 7iv7 ,task ,force ,klepto,capture4 7,c7 ,the ,department of ,state and the following components of the ,department3 7i7 ,the ,bureau of ,international ,narcotics and ,law ,enforcement ,affairs4 7ii7 ,the ,bureau of ,western ,hemisphere ,affairs4 7iii7 ,the ,bureau of ,african ,affairs4 7iv7 ,the ,bureau of ,east ,asian and ,pacific ,affairs4 7v7 ,the ,bureau of ,european and ,eurasian ,affairs4 7vi7 ,the ,bureau of ,near ,eastern ,affairs4 7vii7 ,the ,bureau of ,south and ,central ,asian ,affairs4 7viii7 ,the ,bureau of ,economic and ,business ,affairs4 7ix7 ,the ,bureau of ,diplomatic ,security4 7,d7 ,the following components of the ,department of ,homeland ,security3 7i7 ,u4,s4 ,customs and ,border ,protection4 7ii7 ,the ,united ,states ,secret ,service4 7iii7 ,the ,national ,intellectual ,property ,rights ,coordination ,center4 7iv7 ,the ,trade ,transparency ,units program of ,u4,s4 ,immigration and ,customs ,enforcement4 7v7 ,the ,bulk ,cash ,smuggling ,center of ,u4,s4 ,immigration and ,customs ,enforcement4 7vi7 ,the ,cyber ,crimes ,center of ,homeland ,security ,investigations4 7,e7 ,the ,national ,security ,agency4 7,f7 ,the ,united ,states ,postal ,inspection ,service4 7,g7 ,the ,department of ,commerce4 7,h7 ,the ,department of ,defense4 7,i7 ,the ,office of the ,united ,states ,trade ,representative4 7,j7 ,the ,board of ,governors of the ,federal ,reserve ,system4 7,k7 ,the ,commodity ,futures ,trading ,commission4 7,l7 ,the ,securities and ,exchange ,commission4 7,m7 ,the ,federal ,trade ,commission4 7,n7 ,the ,federal ,deposit ,insurance ,corporation4 7,o7 ,the ,national ,credit ,union ,administration4 7#c7 ,state1 local1 and ,tribal entities specified ,the ,state1 local1 and ,tribal entities specified in this paragraph are the following3 7,a7 ,any ,state bank supervisor 7as that term is defined in section #c of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac77 that the ,executive ,associate ,director considers appropriate4 7,b7 ,any ,state credit union supervisor 7as that term is used in the ,federal ,credit ,union ,act 7#ab ,u4,s4,c4 #agea et seq477 that the ,executive ,associate ,director considers appropriate4 7,c7 ,any ,state1 local1 and ,tribal law enforcement agency that the ,executive ,associate ,director considers appropriate4 7#d7 ,supplement not supplant ,the coordination described in paragraph 7#a7 shall supplement1 not supplant1 the work of existing ,federal agencies1 task forces1 and working groups4 7e7 ,private sector outreach 7#a7 ,in general ,the ,director1 in coordination with the ,deputy ,directors appointed under subsection 7c7 by the ,attorney ,general and the ,secretary of the ,treasury1 shall work with the ,federal entities specified in subsection 7d77#b7 to conduct outreach to private sector entities in the ,united ,states in order to exchange information1 in real-time or as soon as practicable1 with respect to tactics and trends being used to conduct illicit cross-border financial activity1 including such activity that involves corruption1 international commercial trade and counterfeit products1 bulk cash smuggling1 the illicit use of digital assets or digital currencies and the dark web1 and financial institutions and designated nonfinancial businesses and professions4 7#b7 ,training and technical assistance ,in order to coordinate public and private sector efforts to combat the tactics and trends described in paragraph 7#a71 the ,director1 in coordination with the ,deputy ,directors appointed under subsection 7c7 by the ,attorney ,general and the ,secretary of the ,treasury1 shall provide training and technical assistance1 as appropriate1 regarding best practices for-- 7,a7 identifying1 reporting1 and protecting against money laundering2 and 7,b7 maintaining sensitive financial information1 which may include suspicious activity reports and currency transaction reports4 7#c7 ,supplement not supplant ,the activities described in paragraphs 7#a7 and 7#b7 shall supplement1 not supplant1 the work of existing ,federal agencies1 task forces1 and working groups4 7f7 ,international outreach 7#a7 ,in general ,the ,secretary of ,state1 acting through the ,assistant ,secretary of ,state for ,international ,narcotics and ,law ,enforcement ,affairs1 shall coordinate with the ,director of the ,center and the ,deputy ,directors of the ,center appointed under subsection 7c7 by the ,attorney ,general and the ,secretary of the ,treasury to facilitate capacity building and perform outreach to law enforcement agencies of countries that are partners of the ,united ,states and foreign private industry stakeholders by developing and providing specialized training and information-sharing opportunities regarding illicit cross-border financial activity1 including such activity that involves corruption1 international commercial trade and counterfeit products1 bulk cash smuggling1 the illicit use of digital assets or digital currencies and the dark web1 and financial institutions and designated nonfinancial businesses and professions4 7#b7 ,coordination ,in carrying out paragraph 7#a7 in a country1 the ,secretary of ,state1 acting through the ,assistant ,secretary of ,state for ,international ,narcotics and ,law ,enforcement ,affairs1 and in coordination with the ,director of the ,center and the ,deputy ,directors of the ,center appointed under subsection 7c7 by the ,attorney ,general and the ,secretary of the ,treasury1 shall establish and maintain relationships with-- 7,a7 officials from law enforcement agencies1 regulatory authorities1 customs authorities1 financial intelligence units1 and ministries of finance in that country2 and 7,b7 private industry stakeholders in that country1 including commercial and financial industry stakeholders most commonly impacted by illicit cross-border financial activity4 7#c7 ,supplement not supplant ,the activities described in paragraph 7#a7 shall supplement1 not supplant1 international training conducted by other ,federal agencies4 7#d7 ,information sharing ,to the extent practicable and consistent with other provisions of law1 the ,secretary of ,state1 acting through the ,assistant ,secretary of ,state for ,international ,narcotics and ,law ,enforcement ,affairs1 shall work with the ,director and1 as appropriate1 the ,deputy ,directors appointed under subsection 7c71 to strengthen international cooperation and information-sharing agreements with law enforcement agencies of countries that are partners of the ,united ,states regarding combating illicit cross-border financial activity1 including through the enhancement and expansion of ,trade ,transparency ,units under section #fcc4 7g7 ,report required 7#a7 ,in general ,not less frequently than annually1 the ,director shall submit to the appropriate congressional committees a report detailing the latest trends and techniques utilized to facilitate illicit cross-border financial activity4 7#b7 ,elements ,the report required by paragraph 7#a7 shall include-- 7,a7 an assessment of the training provided to ,united ,states and foreign law enforcement agencies under subsection 7b77#a77;,b71 based upon the metrics developed under subsection 7b77#a77;,c72 7,b7 a summary of the activities conducted pursuant to subsections 7d71 7e71 and 7f72 7,c7 the number and status of investigations supported by the ,center1 unless the disclosure of such information would reveal information protected by rule #f7;e7 of the ,federal ,rules of ,criminal ,procedure or a court order2 7,d7 the amount of money and other assets of value in various forms that the ,united ,states ,government seized as a result of such investigations2 and 7,e7 the countries with which the ,center has established information-sharing agreements4 7#c7 ,form ,each report required by paragraph 7#a7 shall be submitted in unclassified form1 but may include information that is classified or law enforcement sensitive in an annex4 7h7 ,authorization of appropriations 7#a7 ,in general ,there are authorized to be appropriated to the ,secretary of ,homeland ,security to establish and maintain the ,center-- 7,a7 #f1bjj1jjj for fiscal year #bjbd2 and 7,b7 such sums as may be necessary for each of fiscal years #bjbe through #bjbi4 7#b7 ,prohibition on use of funds ,none of the funds authorized to be appropriated pursuant to the authorization of appropriations under paragraph 7#a7 may be obligated or expended to carry out civil immigration enforcement or removal activities4 7i7 ,definitions ,in this section3 7#a7 ,appropriate congressional committees ,the term appropriate congressional committees means-- 7,a7 the ,caucus on ,international ,narcotics ,control1 the ,committee on ,finance1 the ,committee on ,banking1 ,housing1 and ,urban ,affairs1 the ,committee on the ,judiciary1 and the ,committee on ,foreign ,relations of the ,senate2 and 7,b7 the ,committee on ,ways and ,means1 the ,committee on ,financial ,services1 the ,committee on the ,judiciary1 and the ,committee on ,foreign ,affairs of the ,house of ,representatives4 7#b7 ,trade-based money laundering ,the term trade-based money laundering means the process of disguising the proceeds of crime by moving such proceeds through the use of trade transactions in an attempt to legitimize the illegal origin of such proceeds or to finance criminal activities4 7#c7 ,united ,states ,the term ,united ,states means the several ,states1 the ,district of ,columbia1 the ,commonwealth of ,puerto ,rico1 ,american ,samoa1 the ,commonwealth of the ,northern ,mariana ,islands1 ,guam1 and the ,virgin ,islands1 and any federally recognized tribe 7as defined in section #d7c77;,b7 of the ,native ,american ,housing ,assistance and ,self-,determination ,act of #aiif 7#be ,u4,s4,c4 #dajc7ac77;,b774 4 #c4 ,trade ,transparency ,units program ,the ,tariff ,act of #aicj 7#ai ,u4,s4,c4 #acjd et seq471 as amended by section #b1 is further amended by inserting after section #fcb the following3 #fcc4 ,trade ,transparency ,units program 7a7 ,establishment of program ,the ,secretary of ,homeland ,security1 acting through the ,executive ,associate ,director of ,homeland ,security ,investigations1 shall establish a program under which ,trade ,transparency ,units are established with foreign countries4 7b7 ,purposes ,the purposes of ,trade ,transparency ,units are-- 7#a7 to combat transnational criminal organizations1 kleptocrats and oligarchs with respect to whom the ,united ,states has imposed sanctions1 professional money laundering organizations1 and other criminal or corrupt actors or enablers of criminal or corrupt activity2 and 7#b7 to prevent such persons from exploiting the international trade and financial infrastructures to finance criminal acts1 evade sanctions or export controls1 evade taxes1 tariffs1 or customs duties1 or launder criminal or corrupt proceeds1 by-- 7,a7 developing relationships with foreign law enforcement agencies and customs authorities2 and 7,b7 working through the ,department of ,state to strengthen international cooperation and facilitate information-sharing agreements with foreign countries that provide for the exchange of import and export data with agencies of those countries1 and as appropriate1 other ,united ,states agencies1 which can be used to investigate and prosecute international money laundering and illicit trade cases4 7c7 ,establishment and composition of units 7#a7 ,establishment of units ,the ,executive ,associate ,director1 in consultation with the ,secretary of ,state1 may establish ,trade ,transparency ,units in-- 7,a7 countries in which money laundering is prevalent2 7,b7 countries in which corruption is prevalent2 7,c7 countries that conduct a high volume of trade with the ,united ,states2 7,d7 countries that have inconsistent trade figures or high incidences of illicit trade2 7,e7 trade corridors in which one country that has a currency restriction in place2 7,f7 countries that have been identified as having substantial volumes of suspicious financial transactions1 based on data obtained under subchapter ,,ii of chapter #ec of title #ca1 ,united ,states ,code2 or 7,g7 countries for which the ,executive ,associate ,director1 in consultation with the ,secretary of ,state1 determines that a ,trade ,transparency ,unit would support the purposes of the ,trade ,transparency ,units program under this section4 7#b7 ,requirements 7,a7 ,in general ,before establishing a ,trade ,transparency ,unit in a country after the date of the enactment of the ,combating ,cross-border ,financial ,crime ,act of #bjbc1 the ,executive ,associate ,director shall-- 7i7 ensure the ,united ,states and the government of the country have an active ,customs ,mutual ,assistance ,agreement in place2 7ii7 conduct a risk-based assessment to determine whether the country meets the criteria described in any of subparagraphs 7,a7 through 7,f7 of paragraph 7#a72 and 7iii7 work with the ,united ,states embassy in the country to establish a trade data exchange agreement or memorandum of understanding with the government of the country that includes1 to the greatest extent practicable1 language to provide for the sharing of foreign import and export data with relevant ,united ,states agencies4 7,b7 ,transition rule ,the requirements under subparagraph 7,a7 do not apply with respect to a ,trade ,transparency ,unit established before the date of the enactment of the ,combating ,cross-border ,financial ,crime ,act of #bjbc4 7#c7 ,composition ,a ,trade ,transparency ,unit may be comprised of personnel from-- 7,a7 ,homeland ,security ,investigations2 7,b7 other ,federal agencies1 as appropriate2 and 7,c7 foreign law enforcement agencies1 as appropriate and pursuant to a trade data exchange agreement or memorandum of understanding described in paragraph 7#b77;,c74 7d7 ,operation ,after a trade data exchange agreement or memorandum of understanding described in subsection 7c77#b77;,a77iii7 is signed with a country1 the ,executive ,associate ,director1 in consultation with the ,secretary of ,state1 may assign ,homeland ,security ,investigations criminal investigators to the country to provide training and technical assistance to the country in order to operationalize and maintain a ,trade ,transparency ,unit in that country4 7e7 ,authorization of appropriations 7#a7 ,in general ,there are authorized to be appropriated to the ,secretary of ,homeland ,security #d1ajj1jjj for each of fiscal years #bjbd through #bjbi to establish and maintain ,trade ,transparency ,units4 7#b7 ,prohibition on use of funds ,none of the funds authorized to be appropriated pursuant to the authorization of appropriations under paragraph 7#a7 may be obligated or expended to carry out civil immigration enforcement or removal activities4 4 #d4 ,government ,accountability ,office review of barriers to harmonizing data systems of certain law enforcement agencies 7a7 ,in general ,not later than one year after the date of the enactment of this ,act1 the ,comptroller ,general of the ,united ,states shall submit to the appropriate congressional committees a report detailing the statutory1 technical1 and security barriers to harmonizing the data systems of relevant law enforcement agencies1 including the ,bureau of ,alcohol1 ,tobacco1 ,firearms1 and ,explosives1 the ,federal ,bureau of ,investigation1 the ,drug ,enforcement ,administration1 the ,united ,states ,secret ,service1 the ,diplomatic ,security ,service1 the ,financial ,crimes ,enforcement ,network1 and ,u4,s4 ,customs and ,border ,protection1 to improve data access necessary to facilitate trade-based money laundering investigations4 7b7 ,assessment of new technologies ,the report required by subsection 7a7 shall include an assessment of the benefits and feasibility of integrating new technologies1 including distributed ledger technology and quantum ledger technology1 into the processes of ,u4,s4 ,customs and ,border ,protection and the customs services of foreign jurisdictions with which the ,united ,states has trade agreements in effect in order to facilitate the immediate1 secure1 and complete transfer between jurisdictions of lists of goods and related invoices and bills of lading4 7c7 ,definitions ,in this section3 7#a7 ,appropriate congressional committees ,the term appropriate congressional committees means-- 7,a7 the ,caucus on ,international ,narcotics ,control1 the ,committee on ,finance1 the ,committee on ,banking1 ,housing1 and ,urban ,affairs1 and the ,committee on the ,judiciary of the ,senate2 and 7,b7 the ,committee on ,ways and ,means1 the ,committee on ,financial ,services1 and the ,committee on the ,judiciary of the ,house of ,representatives4 7#b7 ,trade-based money laundering ,the term trade-based money laundering means the process of disguising the proceeds of crime by moving such proceeds through the use of trade transactions in an attempt to legitimize the illegal origin of such proceeds or to finance criminal activities4