,,ii #aaith ,,congress #ast ,session ,s4 #cccj ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,december #c1 #bjbe,mr4 ,lujn 7for himself and ,mr4 ,justice7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to impose sanctions with respect to persons that contribute to international trafficking of illicit drugs1 including companies of the ,people's ,republic of ,china that supply fentanyl precursors and certain cartels that traffic fentanyl into the ,united ,states1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,strengthening ,sanctions on ,fentanyl ,traffickers ,act of #bjbe4 #b4 ,definitions ,in this ,act3 7#a7 ,admission2 admitted2 alien2 lawfully admitted for permanent residence2 national ,the terms admission1 admitted1 alien1 lawfully admitted for permanent residence1 and national have the meanings given those terms in section #aja of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #aaja74 7#b7 ,foreign person ,the term foreign person means a person that is not a ,united ,states person4 7#c7 ,knowingly2 knows ,the terms knowingly and knows1 with respect to conduct1 a circumstance1 or a result1 means that a person has actual knowledge1 or should have known1 of the conduct1 the circumstance1 or the result4 7#d7 ,united ,states person ,the term ,united ,states person means-- 7,a7 any ,united ,states citizen or an alien lawfully admitted for permanent residence to the ,united ,states2 7,b7 an entity organized under the laws of the ,united ,states or of any jurisdiction within the ,united ,states 7including any foreign branch of such an entity72 or 7,c7 any person in the ,united ,states4 #c4 ,prioritization of identification of persons from the ,people's ,republic of ,china ,section #gbaa of the ,fentanyl ,sanctions ,act 7#ba ,u4,s4,c4 #bcaa7 is amended-- 7#a7 in subsection 7a7-- 7,a7 by redesignating paragraphs 7#c7 and 7#d7 as paragraphs 7#d7 and 7#e71 respectively2 and 7,b7 by inserting after paragraph 7#b7 the following new paragraph 7#c73 7#c7 ,prioritization 7,a7 ,in general ,in preparing the report required by paragraph 7#a71 the ,president shall prioritize the identification of persons of the ,people's ,republic of ,china involved in the shipment of fentanyl1 fentanyl analogues1 fentanyl precursors1 precursors for fentanyl analogues1 pre-precursors for fentanyl and fentanyl analogues1 and equipment for the manufacturing of fentanyl and fentanyl-laced counterfeit pills to ,mexico or any other country that is involved in the production of fentanyl that is trafficked into the ,united ,states1 including-- 7i7 any such entity involved in the production of pharmaceuticals2 and 7ii7 any person that is acting on behalf of any such entity4 7,b7 ,termination of prioritization 7i7 ,the ,president shall continue the prioritization described in subparagraph 7,a7 until the ,people's ,republic of ,china is no longer the primary source for the shipment of fentanyl1 fentanyl analogues1 fentanyl precursors1 precursors for fentanyl analogues1 pre-precursors for fentanyl and fentanyl analogues1 and equipment for the manufacturing of fentanyl and fentanyl-laced counterfeit pills to ,mexico or any other country that is involved in the production of fentanyl that is trafficked into the ,united ,states2 and 7ii7 the ,president so certifies to the appropriate congressional committees4 7,c7 ,person of the ,people's ,republic of ,china defined ,in this section1 the term person of the ,people's ,republic of ,china means-- 7i7 an individual who is a citizen or national of the ,people's ,republic of ,china2 or 7ii7 an entity organized under the laws of the ,people's ,republic of ,china or otherwise subject to the jurisdiction of the ,government of the ,people's ,republic of ,china4 2 and 7#b7 in subsection 7c71 by striking the date that is #e years after such date of enactment and inserting ,december #ca1 #bjcj4 #d4 ,sanctions with respect to the ,people's ,republic of ,china 7a7 ,in general ,on and after the date that is #ahj days after the date of the enactment of this ,act1 the ,president is authorized to impose the sanction described in subsection 7b7 with respect to a foreign person if the ,president determines that the foreign person-- 7#a7 has engaged in1 or attempted to engage in1 activities or transactions in the ,people's ,republic of ,china1 including in ,hong ,kong and ,macau1 or with respect to persons domiciled in1 organized under the laws of1 or with their principal place of business in such jurisdictions1 that have contributed to1 or pose a significant risk of contributing to1 the international proliferation of illicit synthetic narcotics or the means of production of illicit synthetic narcotics2 7#b7 has knowingly or with reckless disregard has received any property or interest in property that-- 7,a7 constitutes or is derived from proceeds of activities or transactions in the ,people's ,republic of ,china1 including in ,hong ,kong and ,macau1 or with respect to persons domiciled in1 organized under the laws of1 or with their principal place of business in such jurisdictions1 that have materially contributed to1 or pose a significant risk of materially contributing to1 the international proliferation of illicit synthetic narcotics or the means of production of illicit synthetic narcotics2 or 7,b7 was used or may have been intended to be used to commit or to facilitate activities or transactions in the ,people's ,republic of ,china1 including in ,hong ,kong and ,macau1 or with respect to persons domiciled in1 organized under the laws of1 or with their principal place of business in such jurisdictions1 that have materially contributed to1 or pose a significant risk of materially contributing to1 the international proliferation of illicit synthetic narcotics or the means of production of illicit synthetic narcotics2 7#c7 is a port or ship owned or operated by the ,people's ,republic of ,china that1 knowingly or with reckless disregard1 facilitates the shipment and transportation of illicit synthetic narcotics or precursors of illicit synthetic narcotics 7including in such circumstances where those precursors are improperly labeled during the customs process72 7#d7 is an entity of the ,people's ,republic of ,china that produces illicit synthetic narcotics or their precursors and1 knowingly or with reckless disregard1 sells those precursors to persons involved in the proliferation of illicit synthetic narcotics2 7#e7 is an online marketplace of the ,people's ,republic of ,china that1 knowingly or with reckless disregard1 facilitates the sale of1 exchange of1 shipment of1 transshipment of1 conveyance of1 or payment for illicit synthetic narcotics2 7#f7 is a covered ,,prc government entity2 7#g7 is an entity of the ,people's ,republic of ,china that knowingly or with reckless disregard1 provides material support related to illicit synthetic narcotics to a covered ,,prc government entity2 7#h7 has established an entity that engages in1 has engaged in1 or is designed to engage in evading sanctions that would otherwise be imposed pursuant to this section2 or 7#i7 is acting directly or indirectly for or on behalf of a person referred to in paragraphs 7#a7 through 7#h74 7b7 ,sanction described 7#a7 ,in general ,the sanction described in this subsection is the exercise of all of the powers granted to the ,president under the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agja et seq47 to the extent necessary to block and prohibit all transactions in property and interests in property of a foreign person if such property or 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 ,implementation ,the ,president may exercise the authorities provided to the ,president under sections #bjc and #bje of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agjb and #agjd7 to the extent necessary to carry out this section4 7#c7 ,penalties ,the penalties provided for in subsections 7b7 and 7c7 of section #bjf of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agje7 shall apply to any person who violates1 attempts to violate1 conspires to violate1 or causes a violation of any prohibition of this section1 or an order or regulation prescribed under this section1 to the same extent that such penalties apply to a person that commits an unlawful act described in subsection section #bjf7;a7 of such ,act 7#ej ,u4,s4,c4 #agje7;a774 7c7 ,exceptions 7#a7 ,exception relating to importation of goods 7,a7 ,in general ,the authorities and requirements to impose sanctions authorized under this section shall not include the authority or a requirement to impose sanctions on the importation of goods4 7,b7 ,good defined ,in this paragraph1 the term good means any article1 natural or man-made substance1 material1 supply or manufactured product1 including inspection and test equipment1 and excluding technical data4 7#b7 ,exception for intelligence and law enforcement actions ,sanctions under this section shall not apply with respect to-- 7,a7 any activity subject to the reporting requirements under title ,v of the ,national ,security ,act of #aidg 7#ej ,u4,s4,c4 #cjia et seq472 or 7,b7 any authorized intelligence or law enforcement activities of the ,united ,states4 7d7 ,requests by appropriate congressional committees 7#a7 ,in general ,not later than #abj days after receiving a request that meets the requirements of paragraph 7#b7 with respect to whether a foreign person has engaged in an activity described in subsection 7a71 the ,president shall-- 7,a7 determine if that person has engaged in such an activity2 and 7,b7 submit a classified or unclassified report to the chairperson and ranking member of the committee or committees that submitted the request with respect to that determination that includes-- 7i7 a statement of whether or not the ,president imposed or intends to impose sanctions with respect to the person2 and 7ii7 if the ,president imposed or intends to impose sanctions1 a description of those sanctions4 7#b7 ,requirements ,a request under paragraph 7#a7 with respect to whether a foreign person has engaged in an activity described in subsection 7a7 shall be submitted to the ,president in writing jointly by the chairperson and ranking member of one of the appropriate congressional committees4 7e7 ,definitions ,in this section3 7#a7 ,appropriate congressional committees ,the term appropriate congressional committees means-- 7,a7 the ,committee on ,banking1 ,housing1 and ,urban ,affairs2 and 7,b7 the ,committee on ,foreign ,affairs and the ,select ,committee on ,strategic ,competition between the ,united ,states and the ,chinese ,communist ,party of the ,house of ,representatives4 7#b7 ,covered ,,prc government entity ,the term covered ,,prc government entity includes-- 7,a7 the ,government of the ,people's ,republic of ,china1 a government official of the ,people's ,republic of ,china1 or any entity or instrumentality thereof1 that is identified by the ,united ,states ,government as knowingly or recklessly facilitating the flow of illicit synthetic narcotics into the ,united ,states or otherwise providing material support to a foreign person described in subsection 7a72 7,b7 any subsidiary1 affiliate1 or successor of an entity described in subparagraph 7,a72 and 7,c7 any person owned or controlled by1 or that provides material support to or for1 or receives materially support from an entity described in subparagraph 7,a74 7#c7 ,illicit synthetic narcotics ,the term illicit synthetic narcotics means-- 7,a7 controlled substances1 as that term is defined in section #ajb7f7 of the ,controlled ,substances ,act 7#ba ,u4,s4,c4 #hjb7f771 with the exception of-- 7i7 substances of natural origins2 and 7ii7 medications that are lawful under the laws of the ,united ,states and the ,drug ,enforcement ,administration has provided an import permit to the importing organization for the import of such medication2 7,b7 listed chemicals1 as that term is defined in section #ajb7cc7 of the ,controlled ,substances ,act 7#ba ,u4,s4,c4 #hjb7cc772 and 7,c7 active pharmaceutical ingredients or chemicals that are used in the production of controlled substances described in subparagraphs 7,a7 and 7,b74 #e4 ,sanctions with respect to significant fentanyl trafficking organizations 7a7 ,in general ,united ,states sanctions imposed on the transnational criminal organizations listed in subsection 7b7 provided for in the ,foreign ,narcotics ,kingpin ,designation ,act 7#ba ,u4,s4,c4 #aija et seq471 as in effect on the date of the enactment of this ,act1 shall remain in effect except as provided in subsection 7c74 7b7 ,transnational criminal organizations ,the transnational criminal organizations listed in this subsection are the following3 7#a7 ,the ,sinaloa ,cartel4 7#b7 ,the ,jalisco ,new ,generation ,cartel4 7#c7 ,the ,gulf ,cartel4 7#d7 ,the ,los ,zetas ,cartel4 7#e7 ,the ,juarez ,cartel4 7#f7 ,the ,tijuana ,cartel4 7#g7 ,the ,beltran-,leyva ,cartel4 7#h7 ,la ,familia ,michoacana4 7c7 ,termination of certain sanctions ,the ,president may terminate the application of any sanctions described in subsection 7a7 with respect to any transnational criminal organization listed in subsection 7b7 if the ,president submits to the appropriate congressional committees a notice that such transnational criminal organization is not engaging in the activity that was the basis for such sanctions4 7d7 ,appropriate congressional committees defined ,in this section1 the term appropriate congressional committees means-- 7#a7 the ,committee on ,foreign ,relations and the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate2 and 7#b7 the ,committee on ,foreign ,affairs and the ,committee on ,financial ,services of the ,house of ,representatives4 #f4 ,imposition of sanctions with respect to foreign persons involved in global illicit drug trade 7a7 ,in general ,the ,president may impose any of the sanctions described in subsection 7b7 with respect to any foreign person determined by the ,president-- 7#a7 to have engaged in1 or attempted to engage in1 activities or transactions that have materially contributed to the international trafficking of illicit drugs or their means of production2 7#b7 to have knowingly received any property or interest in property that the foreign person knows-- 7,a7 constitutes or is derived from proceeds of activities or transactions described in paragraph 7#a72 or 7,b7 was used or intended to be used to commit or to facilitate such activities or transactions2 or 7#c7 to be a leader or official of any sanctioned person or of any foreign person that has engaged in any activity or transaction described in paragraph 7#a74 7b7 ,sanctions described ,the sanctions described in this subsection are the following3 7#a7 ,blocking of property ,the ,president may1 pursuant to the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agja et seq471 block and prohibit all transactions in property and interests in property of the sanctioned person 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 ,banking transactions ,the ,president may prohibit any transfers of credit or payments between financial institutions or by1 through1 or to any financial institution1 to the extent that such transfers or payments are subject to the jurisdiction of the ,united ,states and involve any interest of the sanctioned person4 7#c7 ,loans from ,united ,states financial institutions ,the ,president may prohibit any ,united ,states financial institution from making loans or providing credit to the sanctioned person4 7#d7 ,foreign exchange transactions ,the ,president may prohibit any transactions in foreign exchange that are subject to the jurisdiction of the ,united ,states and in which the sanctioned person has any interest4 7#e7 ,prohibition on investment in equity or debt of sanctioned person ,the ,president may prohibit any ,united ,states person from investing in or purchasing significant amounts of equity or debt instruments of the sanctioned person4 7#f7 ,prohibitions on financial institutions ,the ,president may direct that the following prohibitions be imposed with respect to a sanctioned person that is a financial institution3 7,a7 ,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 designate1 or permit the continuation of any prior designation of1 the financial institution as a primary dealer in ,united ,states ,government debt instruments4 7,b7 ,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 funds4 7#g7 ,procurement ban ,the ,president may direct that the ,united ,states ,government may not procure1 or enter into any contract for the procurement of1 any goods or services from the sanctioned person4 7#h7 ,barring of corporate officers ,the ,president may direct the ,secretary of ,state to deny a visa to1 and the ,secretary of ,homeland ,security to bar from the ,united ,states1 any alien that the ,president determines is a leader1 official1 senior executive officer1 or director of1 or a shareholder with a controlling interest in1 the sanctioned person4 7#i7 ,sanctions on principal executive officers ,the ,president may impose on the principal executive officer or officers of the sanctioned person1 or on individuals performing similar functions and with similar authorities as such officer or officers1 any of the sanctions described in paragraphs 7#a7 through 7#h7 that are applicable4 7c7 ,inadmissibility of certain sanctioned persons 7#a7 ,visas1 admission1 or parole ,except as provided by paragraph 7#c71 an alien with respect to whom the ,president imposed sanctions under paragraph 7#a7 or 7#h7 of subsection 7b7 shall be-- 7,a7 inadmissible to the ,united ,states2 7,b7 ineligible to receive a visa or other documentation to enter the ,united ,states2 and 7,c7 otherwise ineligible to be admitted or paroled into the ,united ,states or to receive any other benefit under the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #aaja et seq474 7#b7 ,current visas revoked 7,a7 ,in general ,the visa or other entry documentation of any alien described in paragraph 7#a7 is subject to revocation regardless of the date on which the visa or other entry documentation is or was issued4 7,b7 ,immediate effect ,a revocation under subparagraph 7,a7 shall-- 7i7 take effect immediately2 and 7ii7 cancel any other valid visa or entry documentation that is in the possession of the alien4 7#c7 ,exceptions ,paragraphs 7#a7 and 7#b7 shall not apply with respect to the admission of an alien described in paragraph 7#a7 if the ,president determines that the admission of the alien would not be contrary to the interests of the ,united ,states1 including if the ,secretary of ,state or the ,secretary of ,homeland ,security1 as appropriate1 determines1 based on a recommendation of the ,attorney ,general1 that the admission of the alien would further important ,united ,states law enforcement objectives4 7d7 ,implementation ,the ,president may exercise all authorities provided under sections #bjc and #bje of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agjb and #agjd7 to carry out this section4 7e7 ,termination 7#a7 ,in general ,any sanctions imposed with respect to a foreign person pursuant to this section shall terminate on the date that is #f years after the date on which the sanction were imposed4 7#b7 ,waiver 7,a7 ,in general ,the ,president may waive the termination of sanctions under paragraph 7#a7 if the ,president certifies to ,congress1 not later than #cj days before the termination of such sanctions1 that the continuation of such sanctions is vital to the national security interests of the ,united ,states4 7,b7 ,renewal of waiver ,the ,president may1 on a case-by-case basis1 renew a waiver issued under subparagraph 7,a7 for additional periods of not more than #b years each1 for an indefinite number of periods1 if the ,president1 prior to each such renewal1 certifies to ,congress that the renewal is vital to the national security interests of the ,united ,states4 7f7 ,exceptions 7#a7 ,exception relating to importation of goods 7,a7 ,in general ,the authorities and requirements to impose sanctions authorized under this section shall not include the authority or a requirement to impose sanctions on the importation of goods4 7,b7 ,good defined ,in this paragraph1 the term good means any article1 natural or man-made substance1 material1 supply or manufactured product1 including inspection and test equipment1 and excluding technical data4 7#b7 ,exception for intelligence and law enforcement actions ,sanctions under this section shall not apply with respect to-- 7,a7 any activity subject to the reporting requirements under title ,v of the ,national ,security ,act of #aidg 7#ej ,u4,s4,c4 #cjia et seq472 or 7,b7 any authorized intelligence or law enforcement activities of the ,united ,states4 7g7 ,definitions ,in this section3 7#a7 ,entity ,the term entity means a partnership1 association1 trust1 joint venture1 corporation1 group1 subgroup1 or other organization4 7#b7 ,financial institution ,the term financial institution includes-- 7,a7 a depository institution 7as defined in section #c7;c77#a7 of the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac7;c77#a7771 including a branch or agency of a foreign bank 7as defined in section #a7;b77#g7 of the ,international ,banking ,act of #aigh 7#ab ,u4,s4,c4 #caja7g7772 7,b7 a credit union2 7,c7 a securities firm1 including a broker or dealer2 7,d7 an insurance company1 including an agency or underwriter2 and 7,e7 any other entity that provides financial services4 7#c7 ,means of production ,the terms means of production includes any activities or transactions involving any equipment1 chemical1 product1 or material that may be used1 directly or indirectly1 in the manufacture of illicit drugs or precursor chemicals4 7#d7 ,proliferation of illicit drugs ,the term proliferation of illicit drugs means any illicit activity to produce1 manufacture1 distribute1 sell1 or knowingly finance or transport narcotic drugs1 controlled substances1 listed chemicals1 or controlled substance analogues1 as defined in section #ajb of the ,controlled ,substances ,act 7#ba ,u4,s4,c4 #hjb74 7#e7 ,sanctioned person ,the term sanctioned person means any person with respect to which sanctions are imposed under this section4 7#f7 ,united ,states financial institution ,the term ,united ,states financial institution means a financial institution 7including its foreign branches7-- 7,a7 organized under the laws of the ,united ,states or of any jurisdiction within the ,united ,states2 or 7,b7 located in the ,united ,states4