,,ii #aaith ,,congress #b;d ,session ,s4 #cfdj ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,january #ad1 #bjbf,mr4 ,scott of ,florida 7for himself1 ,mr4 ,cruz1 ,mr4 ,banks1 and ,mrs4 ,moody7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to require the ,secretary of the ,treasury to include any entity identified as a ,chinese military company on the ,non-,,sdn ,chinese ,military-,industrial ,complex ,companies ,list4 #a4 ,short title ,this ,act may be cited as the ,divesting from ,communist ,china's ,military ,act of #bjbf4 #b4 ,findings ,congress makes the following findings3 7#a7 ,in ,executive ,order #aciei 7#ej ,u4,s4,c4 #agja note2 relating to addressing the threat from securities investments that finance ,communist ,chinese ,military ,companies71 ,president ,donald ,j4 ,trump described the ,people's ,republic of ,china's military-industrial complex by specifically citing the military-civil fusion strategy of the ,government of the ,people's ,republic of ,china1 in which that ,government is increasingly exploiting ,united ,states capital to resource and to enable the development and modernization of its military1 intelligence1 and other security apparatuses ''' key to the development of the ,,prc's military1 intelligence1 and other security apparatuses is the country's large1 ostensibly private economy4 7#b7 ,in ,executive ,order #adjcb 7#ej ,u4,s4,c4 #agja note2 relating to addressing the threat from securities investments that finance certain companies of the ,people's ,republic of ,china71 ,president ,joseph ,r4 ,biden reasserted those concerns and further found that the use of ,chinese surveillance technology outside the ,people's ,republic of ,china and the development or use of ,chinese surveillance technology to facilitate repression or serious human rights abuse constitute unusual and extraordinary threats1 expanding the scope of the national emergency declared in ,executive ,order #aciei4 7#c7 ,section #abfj;,h7g7 of the ,william ,m4 7,mac7 ,thornberry ,national ,defense ,authorization ,act for ,fiscal ,year #bjba 7,public ,law #aaf-bhc2 #aj ,u4,s4,c4 #aac note7 defines a ,chinese military company as 8an entity that is-- 7i7 7,i7 directly or indirectly owned by1 controlled by1 or beneficially owned by1 affiliated with1 or in an official or unofficial capacity acting as an agent of or on behalf of1 the ,people's ,liberation ,army1 ,chinese military and paramilitary elements1 security forces1 police1 law enforcement1 border control1 the ,people's ,armed ,police1 the ,ministry of ,state ,security 7,,mss71 or any other organization subordinate to the ,central ,military ,commission of the ,chinese ,communist ,party1 the ,chinese ,ministry of ,industry and ,information ,technology 7,,miit71 the ,state-,owned ,assets ,supervision and ,administration ,commission of the ,state ,council 7,,sasac71 or the ,state ,administration of ,science1 ,technology1 and ,industry for ,national ,defense 7,,sastind72 or 7,,ii7 identified as a military-civil fusion contributor to the ,chinese defense industrial base2 and 7ii7 engaged in providing commercial services1 manufacturing1 producing1 or exporting 4 7#d7 ,the functions and objectives of ,chinese military companies and contributors to the ,chinese military-industrial complex are substantially similar and warrant a commensurate level of treatment under ,united ,states statutes and regulations4 7#e7 ,section #hje of the ,national ,defense ,authorization ,act for ,fiscal ,year #bjbd 7,public ,law #aah-ca2 #aj ,u4,s4,c4 #dfea note prec47 imposed restrictions on purchases by the ,department of ,defense of goods and services produced or developed by ,chinese military companies identified under section #abfj;,h7g7 of the ,william ,m4 7,mac7 ,thornberry ,national ,defense ,authorization ,act for ,fiscal ,year #bjba and entities subject to the control of such companies4 ,beginning ,june #cj1 #bjbf1 the ,department of ,defense will be prohibited from executing new contracts with such companies and entities1 and starting ,june #cj1 #bjbg1 the ,department of ,defense will be prohibited from purchasing end products or services produced or developed by such companies and entities indirectly through third parties4 7#f7 ,as the ,department of ,defense prepares to implement the procurement restrictions described in paragraph 7#e71 it is still possible for companies and entities described in that paragraph to raise capital by selling securities to investors that trade on ,united ,states exchanges4 7#g7 ,in harmonizing enforcement approaches across sanctions regimes of the ,united ,states ,government1 ,congress can assist the ,president to ensure consistent treatment of entities posing national security risks1 thereby enhancing the effectiveness of ,united ,states sanctions and investment restrictions4 #c4 ,inclusion of ,chinese military companies on ,non-,,sdn ,chinese ,military-,industrial ,complex ,companies ,list 7a7 ,in general ,not later than #ij days after the ,secretary of ,defense identifies an entity as a ,chinese military company operating directly or indirectly in the ,united ,states under section #abfj;,h of the ,william ,m4 7,mac7 ,thornberry ,national ,defense ,authorization ,act for ,fiscal ,year #bjba 7,public ,law #aaf-bhc2 #aj ,u4,s4,c4 #aac note71 the ,secretary of the ,treasury shall include that entity on the ,non-,,sdn ,chinese ,military-,industrial ,complex ,companies ,list 7commonly known as the ,,ns-,,cmic ,list7 if the entity is not already included on the ,,ns-,,cmic ,list4 7b7 ,effect of inclusion 7#a7 ,in general ,except as provided by paragraph 7#b71 not later than #fj days after the inclusion of an entity on the ,,ns-,,cmic ,list under subsection 7a71 the prohibitions set forth in ,executive ,order #aciei shall apply with respect to the entity4 7#b7 ,divestment period ,a ,united ,states person may1 during the one-year period beginning on the date on which an entity is included on the ,,ns-,,cmic ,list under subsection 7a71 purchase or sell publicly traded securities issued by the entity solely for the purpose of divesting1 in whole or in part1 such securities4 7c7 ,definitions ,in this section3 7#a7 ,appropriate congressional committees ,the term appropriate congressional committees means-- 7,a7 the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate2 and 7,b7 the ,committee on ,financial ,services of the ,house of ,representatives4 7#b7 ,executive ,order #aciei ,the term ,executive ,order #aciei means ,executive ,order #aciei 7#ej ,u4,s4,c4 #agja note2 relating to addressing the threat from securities investments that finance ,communist ,chinese ,military ,companies71 as amended by ,executive ,order #adjcb 7#ej ,u4,s4,c4 #agja note2 relating to addressing the threat from securities investments that finance certain companies of the ,people's ,republic of ,china74 7#c7 ,non-sdn ,chinese ,military-,industrial ,complex ,companies ,list2 ,,ns-,,cmic ,list ,the terms ,non-,,sdn ,chinese ,military-,industrial ,complex ,companies ,list and ,,ns-,,cmic ,list mean the list maintained by the ,office of ,foreign ,assets ,control of the ,department of the ,treasury under ,executive ,order #aciei or any successor order4 7#d7 ,publicly traded security ,the term publicly traded security includes-- 7,a7 any security 7as defined in section #c7;a7 of the ,securities ,exchange ,act of #aicd 7#ae ,u4,s4,c4 #gh;c7a777 denominated in any currency that trades on a securities exchange1 or through the method of trading that is commonly referred to as over-the-counter1 in any jurisdiction2 and 7,b7 any security that is derivative of or designed to provide investment exposure to a security described in subparagraph 7,a74 7#e7 ,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