[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2194 Enrolled Bill (ENR)]
H.R.2194
One Hundred Eleventh Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Tuesday,
the fifth day of January, two thousand and ten
An Act
To amend the Iran Sanctions Act of 1996 to enhance United States
diplomatic efforts with respect to Iran by expanding economic sanctions
against Iran.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

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(a) Short Title.--This Act may be cited as the ``Comprehensive Iran
Sanctions, Accountability, and Divestment Act of 2010''.
(b) Table of Contents.--The table of contents for this Act is as
follows:

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TITLE I

-SANCTIONS

for or complicit in human rights abuses committed against
citizens of Iran or their family members after the June 12,
2009, elections in Iran.

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resolutions imposing sanctions with respect to Iran.

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agencies and of the Export-Import Bank of the United States.

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TITLE II

-DIVESTMENT FROM CERTAIN COMPANIES THAT INVEST IN IRAN

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diversion of certain goods, services, and technologies to or
through Iran.

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TITLE III

-PREVENTION OF DIVERSION OF CERTAIN GOODS, SERVICES, AND

diversion of United States origin goods, services, and
technologies to certain countries other than Iran.

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Congress makes the following findings:
(1) The illicit nuclear activities of the Government of Iran,
combined with its development of unconventional weapons and
ballistic missiles and its support for international terrorism,
represent a threat to the security of the United States, its strong
ally Israel, and other allies of the United States around the
world.
(2) The United States and other responsible countries have a
vital interest in working together to prevent the Government of
Iran from acquiring a nuclear weapons capability.
(3) The International Atomic Energy Agency has repeatedly
called attention to Iran's illicit nuclear activities and, as a
result, the United Nations Security Council has adopted a range of
sanctions designed to encourage the Government of Iran to suspend
those activities and comply with its obligations under the Treaty
on the Non-Proliferation of Nuclear Weapons, done at Washington,
London, and Moscow July 1, 1968, and entered into force March 5,
1970 (commonly known as the ``Nuclear Non-Proliferation Treaty'').
(4) The serious and urgent nature of the threat from Iran
demands that the United States work together with its allies to do
everything possible--diplomatically, politically, and
economically--to prevent Iran from acquiring a nuclear weapons
capability.
(5) The United States and its major European allies, including
the United Kingdom, France, and Germany, have advocated that
sanctions be strengthened should international diplomatic efforts
fail to achieve verifiable suspension of Iran's uranium enrichment
program and an end to its nuclear weapons program and other illicit
nuclear activities.
(6) The Government of Iran continues to engage in serious,
systematic, and ongoing violations of human rights, including
suppression of freedom of expression and religious freedom,
illegitimately prolonged detention, torture, and executions. Such
violations have increased in the aftermath of the fraudulent
presidential election in Iran on June 12, 2009.
(7) The Government of Iran has been unresponsive to President
Obama's unprecedented and serious efforts at engagement, revealing
that the Government of Iran is not interested in a diplomatic
resolution, as made clear, for example, by the following:
(A) Iran's apparent rejection of the Tehran Research
Reactor plan, generously offered by the United States and its
partners, of potentially great benefit to the people of Iran,
and endorsed by Iran's own negotiators in October 2009.
(B) Iran's ongoing clandestine nuclear program, as
evidenced by its work on the secret uranium enrichment facility
at Qom, its subsequent refusal to cooperate fully with
inspectors from the International Atomic Energy Agency, and its
announcement that it would build 10 new uranium enrichment
facilities.
(C) Iran's official notification to the International
Atomic Energy Agency that it would enrich uranium to the 20
percent level, followed soon thereafter by its providing to
that Agency a laboratory result showing that Iran had indeed
enriched some uranium to 19.8 percent.
(D) A February 18, 2010, report by the International Atomic
Energy Agency expressing ``concerns about the possible
existence in Iran of past or current undisclosed activities
related to the development of a nuclear payload for a missile.
These alleged activities consist of a number of projects and
sub-projects, covering nuclear and missile related aspects, run
by military-related organizations.''.
(E) A May 31, 2010, report by the International Atomic
Energy Agency expressing continuing strong concerns about
Iran's lack of cooperation with the Agency's verification
efforts and Iran's ongoing enrichment activities, which are
contrary to the longstanding demands of the Agency and the
United Nations Security Council.
(F) Iran's announcement in April 2010 that it had developed
a new, faster generation of centrifuges for enriching uranium.
(G) Iran's ongoing arms exports to, and support for,
terrorists in direct contravention of United Nations Security
Council resolutions.
(H) Iran's July 31, 2009, arrest of 3 young citizens of the
United States on spying charges.
(8) There is an increasing interest by State governments, local
governments, educational institutions, and private institutions,
business firms, and other investors to disassociate themselves from
companies that conduct business activities in the energy sector of
Iran, since such business activities may directly or indirectly
support the efforts of the Government of Iran to achieve a nuclear
weapons capability.
(9) Black market proliferation networks continue to flourish in
the Middle East, allowing countries like Iran to gain access to
sensitive dual-use technologies.
(10) Economic sanctions imposed pursuant to the provisions of
this Act, the Iran Sanctions Act of 1996, as amended by this Act,
and the International Emergency Economic Powers Act (50 U.S.C. 1701
et seq.), and other authorities available to the United States to
impose economic sanctions to prevent Iran from developing nuclear
weapons, are necessary to protect the essential security interests
of the United States.

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TITLE IV

-GENERAL PROVISIONS

SANCTIONS WITH RESPECT TO IRAN.
It is the sense of Congress that--
(1) international diplomatic efforts to address Iran's illicit
nuclear efforts and support for international terrorism are more
likely to be effective if strong additional sanctions are imposed
on the Government of Iran;
(2) the concerns of the United States regarding Iran are
strictly the result of the actions of the Government of Iran;
(3) the revelation in September 2009 that Iran is developing a
secret uranium enrichment site on a base of Iran's Revolutionary
Guard Corps near Qom, which appears to have no civilian
application, highlights the urgency that Iran--
(A) disclose the full nature of its nuclear program,
including any other secret locations; and
(B) provide the International Atomic Energy Agency
unfettered access to its facilities pursuant to Iran's legal
obligations under the Treaty on the Non-Proliferation of
Nuclear Weapons, done at Washington, London, and Moscow July 1,
1968, and entered into force March 5, 1970 (commonly known as
the ``Nuclear Non-Proliferation Treaty'') and Iran's safeguards
agreement with the International Atomic Energy Agency;
(4) because of the involvement of Iran's Revolutionary Guard
Corps in Iran's nuclear program, international terrorism, and
domestic human rights abuses, the President should impose the full
range of applicable sanctions on--
(A) any individual or entity that is an agent, alias,
front, instrumentality, representative, official, or affiliate
of Iran's Revolutionary Guard Corps; and
(B) any individual or entity that has conducted any
commercial transaction or financial transaction with an
individual or entity described in subparagraph (A);
(5) additional measures should be adopted by the United States
to prevent the diversion of sensitive dual-use technologies to
Iran;
(6) the President should--
(A) continue to urge the Government of Iran to respect the
internationally recognized human rights and religious freedoms
of its citizens;
(B) identify the officials of the Government of Iran and
other individuals who are responsible for continuing and severe
violations of human rights and religious freedom in Iran; and
(C) take appropriate measures to respond to such
violations, including by--
(i) prohibiting officials and other individuals the
President identifies as being responsible for such
violations from entry into the United States; and
(ii) freezing the assets of the officials and other
individuals described in clause (i);
(7) additional funding should be provided to the Secretary of
State to document, collect, and disseminate information about human
rights abuses in Iran, including serious abuses that have taken
place since the presidential election in Iran on June 12, 2009;
(8) with respect to nongovernmental organizations based in the
United States--
(A) many of such organizations are essential to promoting
human rights and humanitarian goals around the world;
(B) it is in the national interest of the United States to
allow responsible nongovernmental organizations based in the
United States to establish and carry out operations in Iran to
promote civil society and foster humanitarian goodwill among
the people of Iran; and
(C) the United States should ensure that the organizations
described in subparagraph (B) are not unnecessarily hindered
from working in Iran to provide humanitarian, human rights, and
people-to-people assistance, as appropriate, to the people of
Iran;
(9) the United States should not issue a license pursuant to an
agreement for cooperation (as defined in section 11 b. of the
Atomic Energy Act of 1954 (42 U.S.C. 2014(b))) for the export of
nuclear material, facilities, components, or other goods, services,
or technology that are or would be subject to such an agreement to
a country that is providing similar nuclear material, facilities,
components, or other goods, services, or technology to another
country that is not in full compliance with its obligations under
the Nuclear Non-Proliferation Treaty, including its obligations
under the safeguards agreement between that country and the
International Atomic Energy Agency, unless the President determines
that the provision of such similar nuclear material, facilities,
components, or other goods, services, or technology to such other
country does not undermine the nonproliferation policies and
objectives of the United States; and
(10) the people of the United States--
(A) have feelings of friendship for the people of Iran;
(B) regret that developments in recent decades have created
impediments to that friendship; and
(C) hold the people of Iran, their culture, and their
ancient and rich history in the highest esteem.

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In this title:
(1) Agricultural commodity.--The term ``agricultural
commodity'' has the meaning given that term in section 102 of the
Agricultural Trade Act of 1978 (7 U.S.C. 5602).
(2) Appropriate congressional committees.--The term
``appropriate congressional committees'' has the meaning given that
term in section 14 of the Iran Sanctions Act of 1996 (Public Law
104-172; 50 U.S.C. 1701 note), as amended by section 102 of this
Act.
(3) Executive agency.--The term ``executive agency'' has the
meaning given that term in section 4 of the Office of Federal
Procurement Policy Act (41 U.S.C. 403).
(4) Family member.--The term ``family member'' means, with
respect to an individual, a spouse, child, parent, sibling,
grandchild, or grandparent of the individual.
(5) Iranian diplomats and representatives of other government
and military or quasi-governmental institutions of iran.--The term
``Iranian diplomat or representative of another government or
military or quasi-governmental institution of Iran'' means any of
the Iranian diplomats and representatives of other government and
military or quasi-governmental institutions of Iran (as that term
is defined in section 14 of the Iran Sanctions Act of 1996 (Public
Law 104-172; 50 U.S.C. 1701 note)).
(6) Knowingly.--The term ``knowingly'', with respect to
conduct, a circumstance, or a result, means that a person has
actual knowledge, or should have known, of the conduct, the
circumstance, or the result.
(7) Medical device.--The term ``medical device'' has the
meaning given the term ``device'' in section 201 of the Federal
Food, Drug, and Cosmetic Act (21 U.S.C. 321).
(8) Medicine.--The term ``medicine'' has the meaning given the
term ``drug'' in section 201 of the Federal Food, Drug, and
Cosmetic Act (21 U.S.C. 321).
(9) State.--The term ``State'' means each of the several
States, the District of Columbia, the Commonwealth of Puerto Rico,
the Commonwealth of the Northern Mariana Islands, American Samoa,
Guam, the United States Virgin Islands, and any other territory or
possession of the United States.
(10) United states person.--The term ``United States person''
means--
(A) a natural person who is a citizen or resident of the
United States or a national of the United States (as defined in
section 101(a) of the Immigration and Nationality Act (8 U.S.C.
1101(a)); and
(B) an entity that is organized under the laws of the
United States or any State.

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(a) In General.--Notwithstanding section 101 of the Iran Freedom
Support Act (Public Law 109-293; 120 Stat. 1344), and in addition to
any other sanction in effect, beginning on the date that is 90 days
after the date of the enactment of this Act, the economic sanctions
described in subsection (b) shall apply with respect to Iran.
(b) Sanctions.--The sanctions described in this subsection are the
following:
(1) Prohibition on imports.--
(A) In general.--Except as provided in subparagraph (B), no
good or service of Iranian origin may be imported directly or
indirectly into the United States.
(B) Exceptions.--The exceptions provided for in section
203(b) of the International Emergency Economic Powers Act (50
U.S.C. 1702(b)), including the exception for information and
informational materials, shall apply to the prohibition in
subparagraph (A) of this paragraph to the same extent that such
exceptions apply to the authority provided under section 203(a)
of that Act.
(2) Prohibition on exports.--
(A) In general.--Except as provided in subparagraph (B), no
good, service, or technology of United States origin may be
exported to Iran from the United States or by a United States
person, wherever located.
(B) Exceptions.--
(i) Personal communications; articles to relieve human
suffering; information and informational materials;
transactions incident to travel.--The exceptions provided
for in section 203(b) of the International Emergency
Economic Powers Act (50 U.S.C. 1702(b)), including the
exception for information and informational materials,
shall apply to the prohibition in subparagraph (A) of this
paragraph to the same extent that such exceptions apply to
the authority provided under section 203(a) of that Act.
(ii) Food; medicine; humanitarian assistance.--The
prohibition in subparagraph (A) shall not apply to the
exportation of--
(I) agricultural commodities, food, medicine, or
medical devices; or
(II) articles exported to Iran to provide
humanitarian assistance to the people of Iran.
(iii) Internet communications.--The prohibition in
subparagraph (A) shall not apply to the exportation of--
(I) services incident to the exchange of personal
communications over the Internet or software necessary
to enable such services, as provided for in section
560.540 of title 31, Code of Federal Regulations (or
any corresponding similar regulation or ruling);
(II) hardware necessary to enable such services; or
(III) hardware, software, or technology necessary
for access to the Internet.
(iv)  Goods, services, or technologies necessary to
ensure the safe operation of commercial aircraft.--The
prohibition in subparagraph (A) shall not apply to the
exportation of goods, services, or technologies necessary
to ensure the safe operation of commercial aircraft
produced in the United States or commercial aircraft into
which aircraft components produced in the United States are
incorporated, if the exportation of such goods, services,
or technologies is approved by the Secretary of the
Treasury, in consultation with the Secretary of Commerce,
pursuant to regulations issued by the Secretary of the
Treasury regarding the exportation of such goods, services,
or technologies, if appropriate.
(v) Goods, services, or technologies exported to
support international organizations.--The prohibition in
subparagraph (A) shall not apply to the exportation of
goods, services, or technologies that--
(I) are provided to the International Atomic Energy
Agency and are necessary to support activities of that
Agency in Iran; or
(II) are necessary to support activities, including
the activities of nongovernmental organizations,
relating to promoting democracy in Iran.
(vi) Exports in the national interest.--The prohibition
in subparagraph (A) shall not apply to the exportation of
goods, services, or technologies if the President
determines the exportation of such goods, services, or
technologies to be in the national interest of the United
States.
(3) Freezing assets.--
(A) In general.--At such time as the President determines
that a person in Iran, including an Iranian diplomat or
representative of another government or military or quasi-
governmental institution of Iran (including Iran's
Revolutionary Guard Corps and its affiliates), satisfies the
criteria for designation with respect to the imposition of
sanctions under the authority of the International Emergency
Economic Powers Act (50 U.S.C. 1701 et seq.), the President
shall take such action as may be necessary to freeze, as soon
as possible--
(i) the funds and other assets belonging to that
person; and
(ii) any funds or other assets that person transfers,
on or after the date on which the President determines the
person satisfies such criteria, to any family member or
associate acting for or on behalf of the person.
(B) Reports to the office of foreign assets control.--The
action described in subparagraph (A) includes requiring any
United States financial institution that holds funds or assets
of a person described in that subparagraph or funds or assets
that person transfers to a family member or associate described
in that subparagraph to report promptly to the Office of
Foreign Assets Control information regarding such funds and
assets.
(C) Reports to congress.--Not later than 14 days after a
decision is made to freeze the funds or assets of any person
under subparagraph (A), the President shall report the name of
the person to the appropriate congressional committees. Such a
report may contain a classified annex.
(D) Termination.--The President shall release assets or
funds frozen under subparagraph (A) if the person to which the
assets or funds belong or the person that transfers the assets
or funds as described in subparagraph (A)(ii) (as the case may
be) no longer satisfies the criteria for designation with
respect to the imposition of sanctions under the authority of
the International Emergency Economic Powers Act (50 U.S.C. 1701
et seq.).
(E) United states financial institution defined.--In this
paragraph, the term ``United States financial institution''
means a financial institution (as defined in section 14 of the
Iran Sanctions Act of 1996 (Public Law 104-172; 50 U.S.C. 1701
note)) that is a United States person.
(c) Penalties.--The penalties provided for in subsections (b) and
(c) of section 206 of the International Emergency Economic Powers Act
(50 U.S.C. 1705) shall apply to a person that violates, attempts to
violate, conspires to violate, or causes a violation of this section or
regulations prescribed under this section to the same extent that such
penalties apply to a person that commits an unlawful act described in
section 206(a) of that Act.
(d) Regulatory Authority.--
(1) In general.--The President shall prescribe regulations to
carry out this section, which may include regulatory exceptions to
the sanctions described in subsection (b).
(2) Applicability of certain regulations.--No exception to the
prohibition under subsection (b)(1) may be made for the commercial
importation of an Iranian origin good described in section
560.534(a) of title 31, Code of Federal Regulations (as in effect
on the day before the date of the enactment of this Act), unless
the President--
(A) prescribes a regulation providing for such an exception
on or after the date of the enactment of this Act; and
(B) submits to the appropriate congressional committees--
(i) a certification in writing that the exception is in
the national interest of the United States; and
(ii) a report describing the reasons for the exception.

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INSTITUTIONS THAT ENGAGE IN CERTAIN TRANSACTIONS.
(a) Findings.--Congress makes the following findings:
(1) The Financial Action Task Force is an intergovernmental
body whose purpose is to develop and promote national and
international policies to combat money laundering and terrorist
financing.
(2) Thirty-three countries, plus the European Commission and
the Cooperation Council for the Arab States of the Gulf, belong to
the Financial Action Task Force. The member countries of the
Financial Action Task Force include the United States, Canada, most
countries in western Europe, Russia, the People's Republic of
China, Japan, South Korea, Argentina, and Brazil.
(3) In 2008 the Financial Action Task Force extended its
mandate to include addressing ``new and emerging threats such as
proliferation financing'', meaning the financing of the
proliferation of weapons of mass destruction, and published
``guidance papers'' for members to assist them in implementing
various United Nations Security Council resolutions dealing with
weapons of mass destruction, including United Nations Security
Council Resolutions 1737 (2006) and 1803 (2008), which deal
specifically with proliferation by Iran.
(4) The Financial Action Task Force has repeatedly called on
members--
(A) to advise financial institutions in their jurisdictions
to give special attention to business relationships and
transactions with Iran, including Iranian companies and
financial institutions;
(B) to apply effective countermeasures to protect their
financial sectors from risks relating to money laundering and
financing of terrorism that emanate from Iran;
(C) to protect against correspondent relationships being
used by Iran and Iranian companies and financial institutions
to bypass or evade countermeasures and risk-mitigation
practices; and
(D) to take into account risks relating to money laundering
and financing of terrorism when considering requests by Iranian
financial institutions to open branches and subsidiaries in
their jurisdictions.
(5) At a February 2010 meeting of the Financial Action Task
Force, the Task Force called on members to apply countermeasures
``to protect the international financial system from the ongoing
and substantial money laundering and terrorist financing (ML/TF)
risks'' emanating from Iran.
(b) Sense of Congress Regarding the Imposition of Sanctions on the
Central Bank of Iran.--Congress--
(1) acknowledges the efforts of the United Nations Security
Council to impose limitations on transactions involving Iranian
financial institutions, including the Central Bank of Iran; and
(2) urges the President, in the strongest terms, to consider
immediately using the authority of the President to impose
sanctions on the Central Bank of Iran and any other Iranian
financial institution engaged in proliferation activities or
support of terrorist groups.
(c) Prohibitions and Conditions With Respect to Certain Accounts
Held by Foreign Financial Institutions.--
(1) In general.--Not later than 90 days after the date of the
enactment of this Act, the Secretary of the Treasury shall
prescribe regulations to prohibit, or impose strict conditions on,
the opening or maintaining in the United States of a correspondent
account or a payable-through account by a foreign financial
institution that the Secretary finds knowingly engages in an
activity described in paragraph (2).
(2) Activities described.--A foreign financial institution
engages in an activity described in this paragraph if the foreign
financial institution--
(A) facilitates the efforts of the Government of Iran
(including efforts of Iran's Revolutionary Guard Corps or any
of its agents or affiliates)--
(i) to acquire or develop weapons of mass destruction
or delivery systems for weapons of mass destruction; or
(ii) to provide support for organizations designated as
foreign terrorist organizations under section 219(a) of the
Immigration and Nationality Act (8 U.S.C. 1189(a)) or
support for acts of international terrorism (as defined in
section 14 of the Iran Sanctions Act of 1996 (Public Law
104-172; 50 U.S.C. 1701 note));
(B) facilitates the activities of a person subject to
financial sanctions pursuant to United Nations Security Council
Resolution 1737 (2006), 1747 (2007), 1803 (2008), or 1929
(2010), or any other resolution that is agreed to by the
Security Council and imposes sanctions with respect to Iran;
(C) engages in money laundering to carry out an activity
described in subparagraph (A) or (B);
(D) facilitates efforts by the Central Bank of Iran or any
other Iranian financial institution to carry out an activity
described in subparagraph (A) or (B); or
(E) facilitates a significant transaction or transactions
or provides significant financial services for--
(i) Iran's Revolutionary Guard Corps or any of its
agents or affiliates whose property or interests in
property are blocked pursuant to the International
Emergency Economic Powers Act (50 U.S.C. 1701 et seq.); or
(ii) a financial institution whose property or
interests in property are blocked pursuant to that Act in
connection with--
(I) Iran's proliferation of weapons of mass
destruction or delivery systems for weapons of mass
destruction; or
(II) Iran's support for international terrorism.
(3) Penalties.--The penalties provided for in subsections (b)
and (c) of section 206 of the International Emergency Economic
Powers Act (50 U.S.C. 1705) shall apply to a person that violates,
attempts to violate, conspires to violate, or causes a violation of
regulations prescribed under paragraph (1) of this subsection to
the same extent that such penalties apply to a person that commits
an unlawful act described in section 206(a) of that Act.
(d) Penalties for Domestic Financial Institutions for Actions of
Persons Owned or Controlled by Such Financial Institutions.--
(1) In general.--Not later than 90 days after the date of the
enactment of this Act, the Secretary of the Treasury shall
prescribe regulations to prohibit any person owned or controlled by
a domestic financial institution from knowingly engaging in a
transaction or transactions with or benefitting Iran's
Revolutionary Guard Corps or any of its agents or affiliates whose
property or interests in property are blocked pursuant to the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.).
(2) Penalties.--The penalties provided for in section 206(b) of
the International Emergency Economic Powers Act (50 U.S.C. 1705(b))
shall apply to a domestic financial institution to the same extent
that such penalties apply to a person that commits an unlawful act
described in section 206(a) of that Act if--
(A) a person owned or controlled by the domestic financial
institution violates, attempts to violate, conspires to
violate, or causes a violation of regulations prescribed under
paragraph (1) of this subsection; and
(B) the domestic financial institution knew or should have
known that the person violated, attempted to violate, conspired
to violate, or caused a violation of such regulations.
(e) Requirements for Financial Institutions Maintaining Accounts
for Foreign Financial Institutions.--
(1) In general.--The Secretary of the Treasury shall prescribe
regulations to require a domestic financial institution maintaining
a correspondent account or payable-through account in the United
States for a foreign financial institution to do one or more of the
following:
(A) Perform an audit of activities described in subsection
(c)(2) that may be carried out by the foreign financial
institution.
(B) Report to the Department of the Treasury with respect
to transactions or other financial services provided with
respect to any such activity.
(C) Certify, to the best of the knowledge of the domestic
financial institution, that the foreign financial institution
is not knowingly engaging in any such activity.
(D) Establish due diligence policies, procedures, and
controls, such as the due diligence policies, procedures, and
controls described in section 5318(i) of title 31, United
States Code, reasonably designed to detect whether the
Secretary of the Treasury has found the foreign financial
institution to knowingly engage in any such activity.
(2) Penalties.--The penalties provided for in sections 5321(a)
and 5322 of title 31, United States Code, shall apply to a person
that violates a regulation prescribed under paragraph (1) of this
subsection, in the same manner and to the same extent as such
penalties would apply to any person that is otherwise subject to
such section 5321(a) or 5322.
(f) Waiver.--The Secretary of the Treasury may waive the
application of a prohibition or condition imposed with respect to a
foreign financial institution pursuant to subsection (c) or the
imposition of a penalty under subsection (d) with respect to a domestic
financial institution on and after the date that is 30 days after the
Secretary--
(1) determines that such a waiver is necessary to the national
interest of the United States; and
(2) submits to the appropriate congressional committees a
report describing the reasons for the determination.
(g) Procedures for Judicial Review of Classified Information.--
(1) In general.--If a finding under subsection (c)(1), a
prohibition, condition, or penalty imposed as a result of any such
finding, or a penalty imposed under subsection (d), 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 Secretary of the Treasury may submit
such information to the court ex parte and in camera.
(2) Rule of construction.--Nothing in this subsection shall be
construed to confer or imply any right to judicial review of any
finding under subsection (c)(1), any prohibition, condition, or
penalty imposed as a result of any such finding, or any penalty
imposed under subsection (d).
(h) Consultations in Implementation of Regulations.--In
implementing this section and the regulations prescribed under this
section, the Secretary of the Treasury--
(1) shall consult with the Secretary of State; and
(2) may, in the sole discretion of the Secretary of the
Treasury, consult with such other agencies and departments and such
other interested parties as the Secretary considers appropriate.
(i) Definitions.--
(1) In general.--In this section:
(A) Account; correspondent account; payable-through
account.--The terms ``account'', ``correspondent account'', and
``payable-through account'' have the meanings given those terms
in section 5318A of title 31, United States Code.
(B) Agent.--The term ``agent'' includes an entity
established by a person for purposes of conducting transactions
on behalf of the person in order to conceal the identity of the
person.
(C) Financial institution.--The term ``financial
institution'' means a financial institution specified in
subparagraph (A), (B), (C), (D), (E), (F), (G), (H), (I), (J),
(M), or (Y) of section 5312(a)(2) of title 31, United States
Code.
(D) Foreign financial institution; domestic financial
institution.--The terms ``foreign financial institution'' and
``domestic financial institution'' shall have the meanings of
those terms as determined by the Secretary of the Treasury.
(E) Money laundering.--The term ``money laundering'' means
the movement of illicit cash or cash equivalent proceeds into,
out of, or through a country, or into, out of, or through a
financial institution.
(2) Other definitions.--The Secretary of the Treasury may
further define the terms used in this section in the regulations
prescribed under this section.

28ca37b457546cacbc612e1a38291717c2b5972543714e91e9634f132e559a34

RESPONSIBLE FOR OR COMPLICIT IN HUMAN RIGHTS ABUSES COMMITTED
AGAINST CITIZENS OF IRAN OR THEIR FAMILY MEMBERS AFTER THE JUNE
12, 2009, ELECTIONS IN IRAN.
(a) In General.--The President shall impose sanctions described in
subsection (c) with respect to each person on the list required by
subsection (b).
(b) List of Persons Who Are Responsible for or Complicit in Certain
Human Rights Abuses.--
(1) In general.--Not later than 90 days after the date of the
enactment of this Act, the President shall submit to the
appropriate congressional committees a list of persons who are
officials of the Government of Iran or persons acting on behalf of
that Government (including members of paramilitary organizations
such as Ansar-e-Hezbollah and Basij-e Mostaz'afin), that the
President determines, based on credible evidence, are responsible
for or complicit in, or responsible for ordering, controlling, or
otherwise directing, the commission of serious human rights abuses
against citizens of Iran or their family members on or after June
12, 2009, regardless of whether such abuses occurred in Iran.
(2) Updates of list.--The President shall submit to the
appropriate congressional committees an updated list under
paragraph (1)--
(A) not later than 270 days after the date of the enactment
of this Act and every 180 days thereafter; and
(B) as new information becomes available.
(3) Form of report; public availability.--
(A) Form.--The list required by paragraph (1) shall be
submitted in unclassified form but may contain a classified
annex.
(B) Public availability.--The unclassified portion of the
list required by paragraph (1) shall be made available to the
public and posted on the websites of the Department of the
Treasury and the Department of State.
(4) Consideration of data from other countries and
nongovernmental organizations.--In preparing the list required by
paragraph (1), the President shall consider credible data already
obtained by other countries and nongovernmental organizations,
including organizations in Iran, that monitor the human rights
abuses of the Government of Iran.
(c) Sanctions Described.--The sanctions described in this
subsection are ineligibility for a visa to enter the United States and
sanctions pursuant to the International Emergency Economic Powers Act
(50 U.S.C. 1701 et seq.), including blocking of property and
restrictions or prohibitions on financial transactions and the
exportation and importation of property, subject to such regulations as
the President may prescribe, including regulatory exceptions 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 Nations, signed June 26, 1947, and entered into force
November 21, 1947, and other applicable international obligations.
(d) Termination of Sanctions.--The provisions of this section shall
terminate on the date on which the President determines and certifies
to the appropriate congressional committees that the Government of Iran
has--
(1) unconditionally released all political prisoners, including
the citizens of Iran detained in the aftermath of the June 12,
2009, presidential election in Iran;
(2) ceased its practices of violence, unlawful detention,
torture, and abuse of citizens of Iran while engaging in peaceful
political activity;
(3) conducted a transparent investigation into the killings,
arrests, and abuse of peaceful political activists that occurred in
the aftermath of the June 12, 2009, presidential election in Iran
and prosecuted the individuals responsible for such killings,
arrests, and abuse; and
(4) made public commitments to, and is making demonstrable
progress toward--
(A) establishing an independent judiciary; and
(B) respecting the human rights and basic freedoms
recognized in the Universal Declaration of Human Rights.

2564c3024a1e0c80a8b03c2bff30a70096203f11886fc846296fdf9c790664b6

EXPORT SENSITIVE TECHNOLOGY TO IRAN.
(a) In General.--Except as provided in subsection (b), and pursuant
to such regulations as the President may prescribe, the head of an
executive agency may not enter into or renew a contract, on or after
the date that is 90 days after the date of the enactment of this Act,
for the procurement of goods or services with a person that exports
sensitive technology to Iran.
(b) Authorization to Exempt Certain Products.--The President is
authorized to exempt from the prohibition under subsection (a) only
eligible products, as defined in section 308(4) of the Trade Agreements
Act of 1979 (19 U.S.C. 2518(4)), of any foreign country or
instrumentality designated under section 301(b) of that Act (19 U.S.C.
2511(b)).
(c) Sensitive Technology Defined.--
(1) In general.--The term ``sensitive technology'' means
hardware, software, telecommunications equipment, or any other
technology, that the President determines is to be used
specifically--
(A) to restrict the free flow of unbiased information in
Iran; or
(B) to disrupt, monitor, or otherwise restrict speech of
the people of Iran.
(2) Exception.--The term ``sensitive technology'' does not
include information or informational materials the exportation of
which the President does not have the authority to regulate or
prohibit pursuant to section 203(b)(3) of the International
Emergency Economic Powers Act (50 U.S.C. 1702(b)(3)).
(d) Government Accountability Office Report on Effect of
Procurement Prohibition.--Not later than 1 year after the date of the
enactment of this Act, the Comptroller General of the United States
shall submit to the appropriate congressional committees, the Committee
on Armed Services of the Senate, and the Committee on Armed Services of
the House of Representatives, a report assessing the extent to which
executive agencies would have entered into or renewed contracts for the
procurement of goods or services with persons that export sensitive
technology to Iran if the prohibition under subsection (a) were not in
effect.

5e79922fb3a00dc3f6e59a01cdbb270ee84bdca6b26e233704c19556dcaddd2e

SANCTIONS.
(a) In General.--
(1) Violations of united nations security council resolutions
imposing sanctions.--Section 5(b) of the United Nations
Participation Act of 1945 (22 U.S.C. 287c(b)) is amended--
(A) by striking ``find not more than $10,000'' and
inserting ``fined not more than $1,000,000''; and
(B) by striking ``ten years'' and all that follows and
inserting ``20 years, or both.''.
(2) Violations of controls on exports and imports of defense
articles and defense services.--Section 38(c) of the Arms Export
Control Act (22 U.S.C. 2778(c)) is amended by striking ``ten
years'' and inserting ``20 years''.
(3) Violations of prohibition on transactions with countries
that support acts of international terrorism.--Section 40(j) of the
Arms Export Control Act (22 U.S.C. 2780(j)) is amended by striking
``10 years'' and inserting ``20 years''.
(4) Violations of the trading with the enemy act.--Section
16(a) of the Trading with the enemy Act (50 U.S.C. App. 16(a)) is
amended by striking ``if a natural person'' and all that follows
and inserting ``if a natural person, be imprisoned for not more
than 20 years, or both.''.
(b) Study by United States Sentencing Commission.--Not later than 1
year after the date of the enactment of this Act, the United States
Sentencing Commission, pursuant to the authority under sections 994 and
995 of title 28, United States Code, and the responsibility of the
United States Sentencing Commission to advise Congress on sentencing
policy under section 995(a)(20) of title 28, United States Code, shall
study and submit to Congress a report on the impact and advisability of
imposing a mandatory minimum sentence for violations of--
(1) section 5(a) of the United Nations Participation Act of
1945 (22 U.S.C. 287c(a));
(2) sections 38, 39, and 40 of the Arms Export Control Act (22
U.S.C. 2778, 2779, and 2780); and
(3) the Trading with the enemy Act (50 U.S.C. App. 1 et seq.).

45e8d85a20cae30a433f4204af1b743da9ee74adcab413f53dbb140d539be89c

RESOLUTIONS IMPOSING SANCTIONS WITH RESPECT TO IRAN.
In addition to any other authority of the President with respect to
implementing resolutions of the United Nations Security Council, the
President may prescribe such regulations as may be necessary to
implement a resolution that is agreed to by the United Nations Security
Council and imposes sanctions with respect to Iran.

714c0d5c628391a167790e704ecdae39f3d69e62609723cdaf8bae1c833a99f1

TERRORIST FINANCING.
(a) Findings.--Congress finds the following:
(1) The work of the Office of Terrorism and Financial
Intelligence of the Department of the Treasury, which includes the
Office of Foreign Assets Control and the Financial Crimes
Enforcement Network, is critical to ensuring that the international
financial system is not used for purposes of supporting terrorism
and developing weapons of mass destruction.
(2) The Secretary of the Treasury has designated, including
most recently on June 16, 2010, various Iranian individuals and
banking, military, energy, and shipping entities as proliferators
of weapons of mass destruction pursuant to Executive Order 13382
(50 U.S.C. 1701 note), thereby blocking transactions subject to the
jurisdiction of the United States by those individuals and entities
and their supporters.
(3) The Secretary of the Treasury has also identified an array
of entities in the insurance, petroleum, and petrochemicals
industries that the Secretary has determined to be owned or
controlled by the Government of Iran and added those entities to
the list contained in Appendix A to part 560 of title 31, Code of
Federal Regulations (commonly known as the ``Iranian Transactions
Regulations''), thereby prohibiting transactions between United
States persons and those entities.
(b) Authorization of Appropriations for Office of Terrorism and
Financial Intelligence.--There are authorized to be appropriated to the
Secretary of the Treasury for the Office of Terrorism and Financial
Intelligence--
(1) $102,613,000 for fiscal year 2011; and
(2) such sums as may be necessary for each of the fiscal years
2012 and 2013.
(c) Authorization of Appropriations for the Financial Crimes
Enforcement Network.--Section 310(d)(1) of title 31, United States
Code, is amended by striking ``such sums as may be necessary for fiscal
years 2002, 2003, 2004, and 2005'' and inserting ``$100,419,000 for
fiscal year 2011 and such sums as may be necessary for each of the
fiscal years 2012 and 2013''.
(d) Authorization of Appropriations for Bureau of Industry and
Security of the Department of Commerce.--There are authorized to be
appropriated to the Secretary of Commerce for the Bureau of Industry
and Security of the Department of Commerce--
(1) $113,000,000 for fiscal year 2011; and
(2) such sums as may be necessary for each of the fiscal years
2012 and 2013.

8d01ae3f901e530f81a205cf1825ff9967003e17f18f48515614f2a9fb35aa81

(a) Initial Report.--
(1) In general.--Not later than 90 days after the date of the
enactment of this Act, the President shall submit to the
appropriate congressional committees a report--
(A) on investments in the energy sector of Iran that were
made during the period described in paragraph (2); and
(B) that contains--
(i) an estimate of the volume of energy-related
resources (other than refined petroleum), including
ethanol, that Iran imported during the period described in
paragraph (2); and
(ii) a list of all significant known energy-related
joint ventures, investments, and partnerships located
outside Iran that involve Iranian entities in partnership
with entities from other countries, including an
identification of the entities from other countries; and
(iii) an estimate of--
(I) the total value of each such joint venture,
investment, and partnership; and
(II) the percentage of each such joint venture,
investment, and partnership owned by an Iranian entity.
(2) Period described.--The period described in this paragraph
is the period beginning on January 1, 2006, and ending on the date
that is 60 days after the date of the enactment of this Act.
(b) Updated Reports.--Not later than 180 days after submitting the
report required by subsection (a), and every 180 days thereafter, the
President shall submit to the appropriate congressional committees a
report containing the matters required in the report under subsection
(a)(1) for the 180-day period beginning on the date that is 30 days
before the date on which the preceding report was required to be
submitted by this section.

3be19dea706b4655af7a31966be64e1122818b1c9c1c364a5e8eb169c372871b

AGENCIES AND OF THE EXPORT-IMPORT BANK OF THE UNITED STATES.
(a) Report on Certain Activities of Export Credit Agencies of
Foreign Countries.--
(1) In general.--Not later than 90 days after the date of the
enactment of this Act, the President shall submit to the
appropriate congressional committees a report on any activity of an
export credit agency of a foreign country that is an activity
comparable to an activity described in subsection (a) or (b) of
section 5 of the Iran Sanctions Act of 1996, as amended by section
102 of this Act.
(2) Updates.--The President shall update the report required by
paragraph (1) as new information becomes available with respect to
the activities of export credit agencies of foreign countries.
(b) Report on Certain Financing by the Export-Import Bank of the
United States.--Not later than 30 days (or, in extraordinary
circumstances, not later than 15 days) before the Export-Import Bank of
the United States approves cofinancing (including loans, guarantees,
other credits, insurance, and reinsurance) in which an export credit
agency of a foreign country identified in the report required by
subsection (a) will participate, the President shall submit to the
appropriate congressional committees a report identifying--
(1) the export credit agency of the foreign country; and
(2) the beneficiaries of the financing.

16558f8fe72002e9f183190f843d9f7eb4e6be2f4398ce420c6ad9be5e598d46

CORPS AND ITS AFFILIATES.
It is the sense of Congress that the United States should--
(1) persistently target Iran's Revolutionary Guard Corps and
its affiliates with economic sanctions for its support for
terrorism, its role in proliferation, and its oppressive activities
against the people of Iran;
(2) identify, as soon as possible--
(A) any foreign individual or entity that is an agent,
alias, front, instrumentality, official, or affiliate of Iran's
Revolutionary Guard Corps;
(B) any individual or entity that--
(i) has provided material support to any individual or
entity described in subparagraph (A); or
(ii) has conducted any financial or commercial
transaction with any such individual or entity; and
(C) any foreign government that--
(i) provides material support to any such individual or
entity; or
(ii) conducts any commercial transaction or financial
transaction with any such individual or entity; and
(3) immediately impose sanctions, including travel
restrictions, sanctions authorized pursuant to this Act or the Iran
Sanctions Act of 1996, as amended by section 102 of this Act, and
the full range of sanctions available to the President under the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.), on the individuals, entities, and governments described in
paragraph (2).

f2688a6b16d7315c60c7158baa11146d5daee52ecc76ff3010dcf0ed1677aab8

It is the sense of Congress that the United States should--
(1) continue to counter support received by Hezbollah from the
Government of Iran and other foreign governments in response to
Hezbollah's terrorist activities and the threat Hezbollah poses to
Israel, the democratic sovereignty of Lebanon, and the national
security interests of the United States;
(2) impose the full range of sanctions available to the
President under the International Emergency Economic Powers Act (50
U.S.C. 1701 et seq.) on Hezbollah, affiliates and supporters of
Hezbollah designated for the imposition of sanctions under that
Act, and persons providing Hezbollah with commercial, financial, or
other services;
(3) urge the European Union, individual countries in Europe,
and other countries to classify Hezbollah as a terrorist
organization to facilitate the disruption of Hezbollah's
operations; and
(4) renew international efforts to disarm Hezbollah and disband
its militias in Lebanon, as called for by United Nations Security
Council Resolutions 1559 (2004) and 1701 (2006).

91c7fac634774bef2bd0590eae274120fa104f1fd0b8130a5a21cf5e8bd52673

MULTILATERAL SANCTIONS WITH RESPECT TO IRAN.
It is the sense of Congress that--
(1) in general, effective multilateral sanctions are preferable
to unilateral sanctions in order to achieve desired results from
countries such as Iran; and
(2) the President should continue to work with allies of the
United States to impose such sanctions as may be necessary to
prevent the Government of Iran from acquiring a nuclear weapons
capability.

1107e4431b5f1d41753f2bcf46948aeabcc2bef3700403b956f4aaebac0447be

INTERNATIONAL TERRORISM.
Not later than 180 days after the date of the enactment of this
Act, the President shall submit to the appropriate congressional
committees a report on equitable methods for providing compensation on
a comprehensive basis to victims of acts of international terrorism who
are citizens or residents of the United States or nationals of the
United States (as defined in section 101(a) of the Immigration and
Nationality Act (8 U.S.C. 1101(a)).

f5c74764a880c7cf1d446a55b19833d103eaedf3437c29659be0d4daea305f19

In this title:
(1) Energy sector of iran.--The term ``energy sector of Iran''
refers to activities to develop petroleum or natural gas resources
or nuclear power in Iran.
(2) Financial institution.--The term ``financial institution''
has the meaning given that term in section 14 of the Iran Sanctions
Act of 1996 (Public Law 104-172; 50 U.S.C. 1701 note).
(3) Iran.--The term ``Iran'' includes the Government of Iran
and any agency or instrumentality of Iran.
(4) Person.--The term ``person'' means--
(A) a natural person, corporation, company, business
association, partnership, society, trust, or any other
nongovernmental entity, organization, or group;
(B) any governmental entity or instrumentality of a
government, including a multilateral development institution
(as defined in section 1701(c)(3) of the International
Financial Institutions Act (22 U.S.C. 262r(c)(3))); and
(C) any successor, subunit, parent entity, or subsidiary
of, or any entity under common ownership or control with, any
entity described in subparagraph (A) or (B).
(5) State.--The term ``State'' means each of the several
States, the District of Columbia, the Commonwealth of Puerto Rico,
the Commonwealth of the Northern Mariana Islands, American Samoa,
Guam, the United States Virgin Islands, and any other territory or
possession of the United States.
(6) State or local government.--The term ``State or local
government'' includes--
(A) any State and any agency or instrumentality thereof;
(B) any local government within a State, and any agency or
instrumentality thereof;
(C) any other governmental instrumentality of a State or
locality; and
(D) any public institution of higher education within the
meaning of the Higher Education Act of 1965 (20 U.S.C. 1001 et
seq.).

d7516c3a82a4dc2a83af0b788e6f5b3b0cc42d48e03cd1c3b1ea02cfc823c7df

CERTAIN COMPANIES THAT INVEST IN IRAN.
(a) Sense of Congress.--It is the sense of Congress that the United
States should support the decision of any State or local government
that for moral, prudential, or reputational reasons divests from, or
prohibits the investment of assets of the State or local government in,
a person that engages in investment activities in the energy sector of
Iran, as long as Iran is subject to economic sanctions imposed by the
United States.
(b) Authority to Divest.--Notwithstanding any other provision of
law, a State or local government may adopt and enforce measures that
meet the requirements of subsection (d) to divest the assets of the
State or local government from, or prohibit investment of the assets of
the State or local government in, any person that the State or local
government determines, using credible information available to the
public, engages in investment activities in Iran described in
subsection (c).
(c) Investment Activities Described.--A person engages in
investment activities in Iran described in this subsection if the
person--
(1) has an investment of $20,000,000 or more in the energy
sector of Iran, including in a person that provides oil or
liquified natural gas tankers, or products used to construct or
maintain pipelines used to transport oil or liquified natural gas,
for the energy sector of Iran; or
(2) is a financial institution that extends $20,000,000 or more
in credit to another person, for 45 days or more, if that person
will use the credit for investment in the energy sector of Iran.
(d) Requirements.--Any measure taken by a State or local government
under subsection (b) shall meet the following requirements:
(1) Notice.--The State or local government shall provide
written notice to each person to which a measure is to be applied.
(2) Timing.--The measure shall apply to a person not earlier
than the date that is 90 days after the date on which written
notice is provided to the person under paragraph (1).
(3) Opportunity for hearing.--The State or local government
shall provide an opportunity to comment in writing to each person
to which a measure is to be applied. If the person demonstrates to
the State or local government that the person does not engage in
investment activities in Iran described in subsection (c), the
measure shall not apply to the person.
(4) Sense of congress on avoiding erroneous targeting.--It is
the sense of Congress that a State or local government should not
adopt a measure under subsection (b) with respect to a person
unless the State or local government has made every effort to avoid
erroneously targeting the person and has verified that the person
engages in investment activities in Iran described in subsection
(c).
(e) Notice to Department of Justice.--Not later than 30 days after
adopting a measure pursuant to subsection (b), a State or local
government shall submit written notice to the Attorney General
describing the measure.
(f) Nonpreemption.--A measure of a State or local government
authorized under subsection (b) or (i) is not preempted by any Federal
law or regulation.
(g) Definitions.--In this section:
(1) Assets.--
(A) In general.--Except as provided in subparagraph (B),
the term ``assets'' refers to public monies and includes any
pension, retirement, annuity, or endowment fund, or similar
instrument, that is controlled by a State or local government.
(B) Exception.--The term ``assets'' does not include
employee benefit plans covered by title I of the Employee
Retirement Income Security Act of 1974 (29 U.S.C. 1001 et
seq.).
(2) Investment.--The ``investment'' includes--
(A) a commitment or contribution of funds or property;
(B) a loan or other extension of credit; and
(C) the entry into or renewal of a contract for goods or
services.
(h) Effective Date.--
(1) In general.--Except as provided in paragraph (2) or
subsection (i), this section applies to measures adopted by a State
or local government before, on, or after the date of the enactment
of this Act.
(2) Notice requirements.--Except as provided in subsection (i),
subsections (d) and (e) apply to measures adopted by a State or
local government on or after the date of the enactment of this Act.
(i) Authorization for Prior Enacted Measures.--
(1) In general.--Notwithstanding any other provision of this
section or any other provision of law, a State or local government
may enforce a measure (without regard to the requirements of
subsection (d), except as provided in paragraph (2)) adopted by the
State or local government before the date of the enactment of this
Act that provides for the divestment of assets of the State or
local government from, or prohibits the investment of the assets of
the State or local government in, any person that the State or
local government determines, using credible information available
to the public, engages in investment activities in Iran (determined
without regard to subsection (c)) or other business activities in
Iran that are identified in the measure.
(2) Application of notice requirements.--A measure described in
paragraph (1) shall be subject to the requirements of paragraphs
(1) and (2) and the first sentence of paragraph (3) of subsection
(d) on and after the date that is 2 years after the date of the
enactment of this Act.

e501b630b2f40113a18ceedcef66fdde8e53aee13f8707a2401d4de08fbf6ec3

MANAGERS.
(a) In General.--Section 13(c)(1) of the Investment Company Act of
1940 (15 U.S.C. 80a-13(c)(1)) is amended to read as follows:
``(1) In general.--Notwithstanding any other provision of
Federal or State law, no person may bring any civil, criminal, or
administrative action against any registered investment company, or
any employee, officer, director, or investment adviser thereof,
based solely upon the investment company divesting from, or
avoiding investing in, securities issued by persons that the
investment company determines, using credible information available
to the public--
``(A) conduct or have direct investments in business
operations in Sudan described in section 3(d) of the Sudan
Accountability and Divestment Act of 2007 (50 U.S.C. 1701
note); or
``(B) engage in investment activities in Iran described in
section 202(c) of the Comprehensive Iran Sanctions,
Accountability, and Divestment Act of 2010.''.
(b) SEC Regulations.--Not later than 120 days after the date of the
enactment of this Act, the Securities and Exchange Commission shall
issue any revisions the Commission determines to be necessary to the
regulations requiring disclosure by each registered investment company
that divests itself of securities in accordance with section 13(c) of
the Investment Company Act of 1940 to include divestments of securities
in accordance with paragraph (1)(B) of such section, as added by
subsection (a) of this section.

25686100bb26c8ecf3e2db5781a513d48813122a4aa9272ebbdff919008e5edc

INVESTMENTS.
It is the sense of Congress that a fiduciary of an employee benefit
plan, as defined in section 3(3) of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1002(3)), may divest plan assets from,
or avoid investing plan assets in, any person the fiduciary determines
engages in investment activities in Iran described in section 202(c) of
this Act, without breaching the responsibilities, obligations, or
duties imposed upon the fiduciary by subparagraph (A) or (B) of section
404(a)(1) of the Employee Retirement Income Security Act of 1974 (29
U.S.C. 1104(a)(1)), if--
(1) the fiduciary makes such determination using credible
information that is available to the public; and
(2) the fiduciary prudently determines that the result of such
divestment or avoidance of investment would not be expected to
provide the employee benefit plan with--
(A) a lower rate of return than alternative investments
with commensurate degrees of risk; or
(B) a higher degree of risk than alternative investments
with commensurate rates of return.

b141884dfb1e878f89359ca5c76dae9f24d88b87884cf3af286b78a54ea35d8f

DIVESTMENT ACT OF 2007.
(a) ERISA Plan Investments.--Section 5 of the Sudan Accountability
and Divestment Act of 2007 (Public Law 110-174; 50 U.S.C. 1701 note) is
amended--
(1) by striking ``section 404 of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1104)'' and inserting
``subparagraph (A) or (B) of section 404(a)(1) of the Employee
Retirement Income Security Act of 1974 (29 U.S.C. 1104(a)(1))'';
and
(2) by striking paragraph (2) and inserting the following:
``(2) the fiduciary prudently determines that the result of
such divestment or avoidance of investment would not be expected to
provide the employee benefit plan with--
``(A) a lower rate of return than alternative investments
with commensurate degrees of risk; or
``(B) a higher degree of risk than alternative investments
with commensurate rates of return.''.
(b) Safe Harbor for Changes of Investment Policies by Asset
Managers.--
(1) In general.--Section 13(c)(2)(A) of the Investment Company
Act of 1940 (15 U.S.C. 80a-13(c)(2)(A)) is amended to read as
follows:
``(A) Rule of construction.--Nothing in paragraph (1) shall
be construed to create, imply, diminish, change, or affect in
any way whether or not a private right of action exists under
subsection (a) or any other provision of this Act.''.
(2) Applicability.--The amendment made by paragraph (1) shall
apply as if included in the Sudan Accountability and Divestment Act
of 2007 (Public Law 110-174; 50 U.S.C. 1701 note).
TECHNOLOGIES TO IRAN

d49dca1895a0fcb93ce21ea2426e46fb578e6400aff055e3353fff85eba8cddd

In this title:
(1) Allow.--The term ``allow'', with respect to the diversion
through a country of goods, services, or technologies, means the
government of the country knows or has reason to know that the
territory of the country is being used for such diversion.
(2) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Banking, Housing, and Urban Affairs,
the Committee on Foreign Relations, and the Select Committee on
Intelligence of the Senate; and
(B) the Committee on Foreign Affairs and the Permanent
Select Committee on Intelligence of the House of
Representatives.
(3) Commerce control list.--The term ``Commerce Control List''
means the list maintained pursuant to part 774 of the Export
Administration Regulations (or any corresponding similar regulation
or ruling).
(4) Divert; diversion.--The terms ``divert'' and ``diversion''
refer to the transfer or release, directly or indirectly, of a
good, service, or technology to an end-user or an intermediary that
is not an authorized recipient of the good, service, or technology.
(5) End-user.--The term ``end-user'', with respect to a good,
service, or technology, means the person that receives and
ultimately uses the good, service, or technology.
(6) Export administration regulations.--The term ``Export
Administration Regulations'' means subchapter C of chapter VII of
title 15, Code of Federal Regulations (or any corresponding similar
regulation or ruling).
(7) Government.--The term ``government'' includes any agency or
instrumentality of a government.
(8) Intermediary.--The term ``intermediary'' means a person
that receives a good, service, or technology while the good,
service, or technology is in transit to the end-user of the good,
service, or technology.
(9) International traffic in arms regulations.--The term
``International Traffic in Arms Regulations'' means subchapter M of
chapter I of title 22, Code of Federal Regulations (or any
corresponding similar regulation or ruling).
(10) Iran.--The term ``Iran'' includes the Government of Iran
and any agency or instrumentality of Iran.
(11) Iranian end-user.--The term ``Iranian end-user'' means an
end-user that is the Government of Iran or a person in, or an
agency or instrumentality of, Iran.
(12) Iranian intermediary.--The term ``Iranian intermediary''
means an intermediary that is the Government of Iran or a person
in, or an agency or instrumentality of, Iran.
(13) State sponsor of terrorism.--The term ``state sponsor of
terrorism'' means any country the government of which the Secretary
of State has determined has repeatedly provided support for acts of
international terrorism pursuant to--
(A) section 6(j)(1)(A) of the Export Administration Act of
1979 (50 U.S.C. App. 2405(j)(1)(A)) (or any successor thereto);
(B) section 40(d) of the Arms Export Control Act (22 U.S.C.
2780(d)); or
(C) section 620A(a) of the Foreign Assistance Act of 1961
(22 U.S.C. 2371(a)).
(14) United states munitions list.--The term ``United States
Munitions List'' means the list maintained pursuant to part 121 of
the International Traffic in Arms Regulations (or any corresponding
similar regulation or ruling).

1164119dac46dbfac73797323c8552e7357aeb8b44962d1dfccf5061e82b8a80

THE DIVERSION OF CERTAIN GOODS, SERVICES, AND TECHNOLOGIES TO OR
THROUGH IRAN.
(a) In General.--Not later than 180 days after the date of the
enactment of this Act, the Director of National Intelligence shall
submit to the President, the Secretary of Defense, the Secretary of
Commerce, the Secretary of State, the Secretary of the Treasury, and
the appropriate congressional committees a report that identifies each
country the government of which the Director believes, based on all
information available to the Director, is allowing the diversion
through the country of goods, services, or technologies described in
subsection (b) to Iranian end-users or Iranian intermediaries.
(b) Goods, Services, and Technologies Described.--Goods, services,
or technologies described in this subsection are goods, services, or
technologies--
(1) that--
(A) originated in the United States;
(B) would make a material contribution to Iran's--
(i) development of nuclear, chemical, or biological
weapons;
(ii) ballistic missile or advanced conventional weapons
capabilities; or
(iii) support for international terrorism; and
(C) are--
(i) items on the Commerce Control List or services
related to those items; or
(ii) defense articles or defense services on the United
States Munitions List; or
(2) that are prohibited for export to Iran under a resolution
of the United Nations Security Council.
(c) Updates.--The Director of National Intelligence shall update
the report required by subsection (a)--
(1) as new information becomes available; and
(2) not less frequently than annually.
(d) Form.--The report required by subsection (a) and the updates
required by subsection (c) may be submitted in classified form.

fc030fdf22fc55b0af66a86f5f1cb842a19ba54da810539dbfd6672f73be124c

(a) Designation.--
(1) In general.--The President shall designate a country as a
Destination of Diversion Concern if the President determines that
the government of the country allows substantial diversion of
goods, services, or technologies described in section 302(b)
through the country to Iranian end-users or Iranian intermediaries.
(2) Determination of substantial.--For purposes of paragraph
(1), the President shall determine whether the government of a
country allows substantial diversion of goods, services, or
technologies described in section 302(b) through the country to
Iranian end-users or Iranian intermediaries based on criteria that
include--
(A) the volume of such goods, services, and technologies
that are diverted through the country to such end-users or
intermediaries;
(B) the inadequacy of the export controls of the country;
(C) the unwillingness or demonstrated inability of the
government of the country to control the diversion of such
goods, services, and technologies to such end-users or
intermediaries; and
(D) the unwillingness or inability of the government of the
country to cooperate with the United States in efforts to
interdict the diversion of such goods, services, or
technologies to such end-users or intermediaries.
(b) Report on Designation.--Upon designating a country as a
Destination of Diversion Concern under subsection (a), the President
shall submit to the appropriate congressional committees a report--
(1) notifying those committees of the designation of the
country; and
(2) containing a list of the goods, services, and technologies
described in section 302(b) that the President determines are
diverted through the country to Iranian end-users or Iranian
intermediaries.
(c) Licensing Requirement.--Not later than 45 days after submitting
a report required by subsection (b) with respect to a country
designated as a Destination of Diversion Concern under subsection (a),
the President shall require a license under the Export Administration
Regulations or the International Traffic in Arms Regulations (whichever
is applicable) to export to that country a good, service, or technology
on the list required under subsection (b)(2), with the presumption that
any application for such a license will be denied.
(d) Delay of Imposition of Licensing Requirement.--
(1) In general.--The President may delay the imposition of the
licensing requirement under subsection (c) with respect to a
country designated as a Destination of Diversion Concern under
subsection (a) for a 12-month period if the President--
(A) determines that the government of the country is taking
steps--
(i) to institute an export control system or strengthen
the export control system of the country;
(ii) to interdict the diversion of goods, services, or
technologies described in section 302(b) through the
country to Iranian end-users or Iranian intermediaries; and
(iii) to comply with and enforce United Nations
Security Council Resolutions 1696 (2006), 1737 (2006), 1747
(2007), 1803 (2008), and 1929 (2010), and any other
resolution that is agreed to by the Security Council and
imposes sanctions with respect to Iran;
(B) determines that it is appropriate to carry out
government-to-government activities to strengthen the export
control system of the country; and
(C) submits to the appropriate congressional committees a
report describing the steps specified in subparagraph (A) being
taken by the government of the country.
(2) Additional 12-month periods.--The President may delay the
imposition of the licensing requirement under subsection (c) with
respect to a country designated as a Destination of Diversion
Concern under subsection (a) for additional 12-month periods after
the 12-month period referred to in paragraph (1) if the President,
for each such 12-month period--
(A) makes the determinations described in subparagraphs (A)
and (B) of paragraph (1) with respect to the country; and
(B) submits to the appropriate congressional committees an
updated version of the report required by subparagraph (C) of
paragraph (1).
(3) Strengthening export control systems.--If the President
determines under paragraph (1)(B) that is it appropriate to carry
out government-to-government activities to strengthen the export
control system of a country designated as a Destination of
Diversion Concern under subsection (a), the United States shall
initiate government-to-government activities that may include--
(A) cooperation by agencies and departments of the United
States with counterpart agencies and departments in the
country--
(i) to develop or strengthen the export control system
of the country;
(ii) to strengthen cooperation among agencies of the
country and with the United States and facilitate
enforcement of the export control system of the country;
and
(iii) to promote information and data exchanges among
agencies of the country and with the United States;
(B) training officials of the country to strengthen the
export control systems of the country--
(i) to facilitate legitimate trade in goods, services,
and technologies; and
(ii) to prevent terrorists and state sponsors of
terrorism, including Iran, from obtaining nuclear,
biological, and chemical weapons, defense technologies,
components for improvised explosive devices, and other
defense articles; and
(C) encouraging the government of the country to
participate in the Proliferation Security Initiative, such as
by entering into a ship boarding agreement pursuant to the
Initiative.
(e) Termination of Designation.--The designation of a country as a
Destination of Diversion Concern under subsection (a) shall terminate
on the date on which the President determines, and certifies to the
appropriate congressional committees, that the country has adequately
strengthened the export control system of the country to prevent the
diversion of goods, services, and technologies described in section
302(b) to Iranian end-users or Iranian intermediaries.
(f) Form of Reports.--A report required by subsection (b) or (d)
may be submitted in classified form.

0a4d242b3fce259ca3f7def7871f76a036da55994bc8da1cc6533f77d6fcfb36

THE DIVERSION OF UNITED STATES ORIGIN GOODS, SERVICES, AND
TECHNOLOGIES TO CERTAIN COUNTRIES OTHER THAN IRAN.
(a) In General.--Not later than 1 year after the date of the
enactment of this Act, the President shall submit to the appropriate
congressional committees a report that--
(1) identifies any country that the President determines is
allowing the diversion, in violation of United States law, of items
on the Commerce Control List or services related to those items, or
defense articles or defense services on the United States Munitions
List, that originated in the United States to another country if
such other country--
(A) is seeking to obtain nuclear, biological, or chemical
weapons, or ballistic missiles; or
(B) provides support for acts of international terrorism;
and
(2) assesses the feasability and advisability of expanding the
system established under section 303 for designating countries as
Destinations of Diversion Concern to include countries identified
under paragraph (1).
(b) Form.--The report required by subsection (a) may be submitted
in classified form.

74753dde8b53e3cefc5505eb779ef0fa5d026c14f1b2703c8e6022dcba4a678f

The Secretary of Commerce may designate any employee of the Office
of Export Enforcement of the Department of Commerce to conduct
activities specified in clauses (i), (ii), and (iii) of section
12(a)(3)(B) of the Export Administration Act of 1979 (50 U.S.C. App.
2411(a)(3)(B)) when the employee is carrying out activities to
enforce--
(1) the provisions of the Export Administration Act of 1979 (50
U.S.C. App. 2401 et seq.) (as in effect pursuant to the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.));
(2) the provisions of this title, or any other provision of law
relating to export controls, with respect to which the Secretary of
Commerce has enforcement responsibility; or
(3) any license, order, or regulation issued under--
(A) the Export Administration Act of 1979 (50 U.S.C. App.
2401 et seq.) (as in effect pursuant to the International
Emergency Economic Powers Act (50 U.S.C. 1701 et seq.)); or
(B) a provision of law referred to in paragraph (2).

565c76fc93632ba68975d6233d9537beec6b85f2fbee1b408555616b28e5fd3b

(a) Sunset.--The provisions of this Act (other than sections 105
and 305 and the amendments made by sections 102, 107, 109, and 205)
shall terminate, and section 13(c)(1)(B) of the Investment Company Act
of 1940, as added by section 203(a), shall cease to be effective, on
the date that is 30 days after the date on which the President
certifies to Congress that--
(1) the Government of Iran has ceased providing support for
acts of international terrorism and no longer satisfies the
requirements for designation as a state sponsor of terrorism (as
defined in section 301) under--
(A) section 6(j)(1)(A) of the Export Administration Act of
1979 (50 U.S.C. App. 2405(j)(1)(A)) (or any successor thereto);
(B) section 40(d) of the Arms Export Control Act (22 U.S.C.
2780(d)); or
(C) section 620A(a) of the Foreign Assistance Act of 1961
(22 U.S.C. 2371(a)); and
(2) Iran has ceased the pursuit, acquisition, and development
of nuclear, biological, and chemical weapons and ballistic missiles
and ballistic missile launch technology.
(b) Presidential Waivers.--
(1) In general.--The President may waive the application of
sanctions under section 103(b), the requirement to impose or
maintain sanctions with respect to a person under section 105(a),
the requirement to include a person on the list required by section
105(b), the application of the prohibition under section 106(a), or
the imposition of the licensing requirement under section 303(c)
with respect to a country designated as a Destination of Diversion
Concern under section 303(a), if the President determines that such
a waiver is in the national interest of the United States.
(2) Reports.--
(A) In general.--If the President waives the application of
a provision pursuant to paragraph (1), the President shall
submit to the appropriate congressional committees a report
describing the reasons for the waiver.
(B) Special rule for report on waiving imposition of
licensing requirement under section 303(c).--In any case in
which the President waives, pursuant to paragraph (1), the
imposition of the licensing requirement under section 303(c)
with respect to a country designated as a Destination of
Diversion Concern under section 303(a), the President shall
include in the report required by subparagraph (A) of this
paragraph an assessment of whether the government of the
country is taking the steps described in subparagraph (A) of
section 303(d)(1).
(c) Authorizations of Appropriations.--
(1) Authorization of appropriations for the department of state
and the department of the treasury.--There are authorized to be
appropriated to the Secretary of State and to the Secretary of the
Treasury such sums as may be necessary to implement the provisions
of, and amendments made by, titles I and III of this Act.
(2) Authorization of appropriations for the department of
commerce.--There are authorized to be appropriated to the Secretary
of Commerce such sums as may be necessary to carry out title III.

45570ef4f685bfb473c6f3c0a6183e4539e2c8cfab9196e02b61df3f1c73617b

The budgetary effects of this Act, for the purpose of complying
with the Statutory Pay-As-You-Go-Act of 2010, shall be determined by
reference to the latest statement titled ``Budgetary Effects of PAYGO
Legislation'' for this Act, jointly submitted for printing in the
Congressional Record by the Chairmen of the House and Senate Budget
Committees, provided that such statement has been submitted prior to
the vote on passage in the House acting first on this conference report
or amendment between the Houses.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.

9b25d778079abe89bc9bae0dfb8c4df37f93101144317b9c4d01edf69e6cdc0f

Iran Refined Petroleum Sanctions Act of 2009 — HR. 2194

Other Sections

TITLE I

TITLE II

TITLE III

TITLE IV

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