[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2219 Reported in House (RH)]
<DOC>
Union Calendar No. 439
115th CONGRESS
2d Session
H. R. 2219
[Report No. 115-569, Parts I and II]
To increase the role of the financial industry in combating human
trafficking.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 27, 2017
Mr. Royce of California (for himself, Mr. Keating, Mrs. Carolyn B.
Maloney of New York, and Mrs. Love) introduced the following bill;
which was referred to the Committee on Foreign Affairs, and in addition
to the Committee on Financial Services, for a period to be subsequently
determined by the Speaker, in each case for consideration of such
provisions as fall within the jurisdiction of the committee concerned
February 20, 2018
Reported from the Committee on Financial Services with amendments
[Omit the part struck through and insert the part printed in italic]
February 23, 2018
Additional sponsors: Mr. Meehan, Mr. Fitzpatrick, Ms. Sinema, Mr.
Delaney, Mr. Meeks, Mrs. Beatty, Mr. Lynch, Mr. Messer, Mr. Sires, Mr.
Hultgren, Mr. Poe of Texas, and Mr. Gottheimer
February 23, 2018
Reported from the Committee on Foreign Affairs with an amendment;
committed to the Committee of the Whole House on the State of the Union
and ordered to be printed
[Strike out all after the enacting clause and insert the part printed
in boldface roman]
[For text of introduced bill, see copy of bill as introduced on April
27, 2017]
_______________________________________________________________________
A BILL
To increase the role of the financial industry in combating human
trafficking.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``End Banking for Human Traffickers
Act of 2017''.
SEC. 2. INCREASING THE ROLE OF THE FINANCIAL INDUSTRY IN COMBATING
HUMAN TRAFFICKING.
(a) Treasury as a Member of the President's Interagency Task Force
To Monitor and Combat Trafficking.--Section 105(b) of the Victims of
Trafficking and Violence Protection Act of 2000 (22 U.S.C. 7103(b)) is
amended by inserting ``the Secretary of the Treasury,'' after ``the
Secretary of Education,''.
<DELETED> (b) Required Review of Procedures.--Not later than 180
days after the date of enactment of this Act, the Financial
Institutions Examination Council shall, in consultation with the
Secretary of the Treasury and other appropriate law enforcement
agencies, take the following actions:</DELETED>
<DELETED> (1) Review and enhance, where necessary, training
and examinations procedures to improve the ability of anti-
money laundering programs to target human trafficking
operations.</DELETED>
<DELETED> (2) Review and enhance, where necessary,
procedures for referring potential human trafficking cases to
the appropriate law enforcement agency.</DELETED>
<DELETED> (c) Interagency Task Force Recommendations Targeting Money
Laundering Related to Human Trafficking.--</DELETED>
<DELETED> (1) In general.--Not later than 180 days after the
date of enactment of this Act, the Interagency Task Force to
Monitor and Combat Trafficking shall prepare and submit to
Congress, the Secretary of the Treasury, and each appropriate
Federal banking agency a series of legislative, administrative,
and regulatory recommendations, if necessary, to revise anti-
money laundering programs of financial institutions in order to
specifically target money laundering related to human
trafficking, as described in paragraph (2).</DELETED>
<DELETED> (2) Required recommendations.--The recommendations
required under paragraph (1) shall, at a minimum, include the
following:</DELETED>
<DELETED> (A) Successful anti-human trafficking
programs currently in place at financial institutions
that are suitable for broader adoption.</DELETED>
<DELETED> (B) Recommended changes, if necessary, to
the internal policies, procedures, and controls at
financial institutions so that such institutions can
better deter and detect money laundering related to
human trafficking.</DELETED>
<DELETED> (C) Recommended changes, if necessary, to
ongoing employee training programs at financial
institutions so that those institutions can better
equip employees to deter and detect money laundering
related to human trafficking, including the training of
legal counsel, risk managers, and compliance
officers.</DELETED>
<DELETED> (D) Recommended revisions, if necessary,
to existing regulatory requirements and guidelines for
the reporting of suspicious transactions by financial
institutions, as required pursuant to section 5318(g)
of title 31, United States Code, in order to facilitate
the collection of data on instances of suspected human
trafficking.</DELETED>
<DELETED> (d) Additional Reporting Requirement.--Section 110(b) of
the Trafficking Victims Protection Act of 2000 (22 U.S.C. 7107(b)) is
amended by adding at the end the following:</DELETED>
<DELETED> ``(4) Description of efforts of united states to
eliminate money laundering related to human trafficking.--In
addition to the information required in the annual report under
paragraph (1) and the interim report under paragraph (2), the
Secretary of State, in consultation with the Attorney General
and the Secretary of the Treasury, shall include in each such
report a description of efforts of the United States to
eliminate money laundering related to human trafficking and the
number of investigations, arrests, indictments and convictions
in money laundering cases with a nexus to human
trafficking.''.</DELETED>
(b) Required Review of Procedures.--Not later than 180 days after
the date of the enactment of this Act, the Financial Institutions
Examination Council, in consultation with the Secretary of the
Treasury, the private sector, and appropriate law enforcement agencies,
shall--
(1) review and enhance training and examinations procedures
to improve the capabilities of anti-money laundering and
countering the financing of terrorism programs to detect human
trafficking-related financial transactions;
(2) review and enhance procedures for referring potential
human trafficking cases to the appropriate law enforcement
agency; and
(3) determine, as appropriate, whether requirements for
financial institutions are sufficient to detect and deter money
laundering related to human trafficking.
(c) Interagency Task Force Recommendations Targeting Money
Laundering Related to Human Trafficking.--
(1) In general.--Not later than 270 days after the date of
the enactment of this Act, the Interagency Task Force to
Monitor and Combat Trafficking shall submit to the Committee on
Financial Services and the Committee on the Judiciary of the
House of Representatives, the Committee on Banking, Housing,
and Urban Affairs and the Committee on the Judiciary of the
Senate, and the head of each appropriate Federal banking
agency--
(A) an analysis of anti-money laundering efforts of
the United States Government and United States
financial institutions related to human trafficking;
and
(B) appropriate legislative, administrative, and
other recommendations to strengthen efforts against
money laundering relating to human trafficking.
(2) Required recommendations.--The recommendations under
paragraph (1) shall include--
(A) feedback from financial institutions on best
practices of successful anti-human trafficking programs
currently in place that may be suitable for broader
adoption by similarly situated financial institutions;
(B) feedback from stakeholders, including
trafficking victims and financial institutions, on
policy proposals derived from the analysis conducted by
the task force referred to in paragraph (1) that would
enhance the efforts and programs of financial
institutions to detect and deter money laundering
related to human trafficking, including any recommended
changes to internal policies, procedures, and controls
related to human trafficking;
(C) any recommended changes to training programs at
financial institutions to better equip employees to
deter and detect money laundering related to human
trafficking;
(D) any recommended changes to expand human
trafficking-related information sharing among financial
institutions and between such financial institutions,
appropriate law enforcement agencies, and appropriate
Federal agencies; and
(E) recommended changes, if necessary, to existing
statutory law to more effectively detect and deter
money laundering related to human trafficking, where
such money laundering involves the use of emerging
technologies and virtual currencies.
(e) (d) Limitation.--Nothing in this Act shall be construed to
grant rulemaking authority to the Interagency Task Force to Monitor and
Combat Trafficking.
(f) (e) Definitions.--As used in this section--
<DELETED> (1) the term ``anti-money laundering program''
means any program established by a financial institution
pursuant to section 5318(h) of title 31, United States
Code;</DELETED>
(2) (1) the term ``appropriate Federal banking agency'' has
the meaning given the term in section 3(q) of the Federal
Deposit Insurance Act (12 U.S.C. 1813(q));
(3) (2) the term ``human trafficking'' means--
(A) sex trafficking in which a commercial sex act
is induced by force, fraud, or coercion, or in which
the person induced to perform such act has not attained
18 years of age; or
(B) the recruitment, harboring, transportation,
provision, or obtaining of a person for labor or
services, through the use of force, fraud, or coercion
for the purpose of subjection to involuntary servitude,
peonage, debt bondage, or slavery;
(4) (3) the term ``Interagency Task Force to Monitor and
Combat Trafficking'' means the Interagency Task Force to
Monitor and Combat Trafficking established by the President
pursuant to section 105 of the Victims of Trafficking and
Violence Protection Act of 2000 (22 U.S.C. 7103); and
(5) (4) the term ``law enforcement agency'' means an agency
of the United States, a State, or a political subdivision of a
State, authorized by law or by a government agency to engage in
or supervise the prevention, detection, investigation, or
prosecution of any violation of criminal or civil law.
SEC. 3. COORDINATION OF HUMAN TRAFFICKING ISSUES BY THE OFFICE OF
TERRORISM AND FINANCIAL INTELLIGENCE.
(a) Functions.--Section 312(a)(4) of title 31, United States Code,
is amended--
(1) by redesignating subparagraphs (E), (F), and (G) as
subparagraphs (F), (G), and (H), respectively; and
(2) by inserting after subparagraph (D) the following:
``(E) combating illicit financing relating to human
trafficking;''.
(b) Interagency Coordination.--Section 312(a) of title 31, United
States Code, is amended by adding at the end the following:
``(8) Interagency coordination.--The Secretary of the
Treasury, after consultation with the Undersecretary for
Terrorism and Financial Crimes, shall designate an office
within the OTFI that shall coordinate efforts to combat the
illicit financing of human trafficking with--
``(A) other offices of the Department of the
Treasury;
``(B) other Federal agencies, including--
``(i) the Office to Monitor and Combat
Trafficking in Persons of the Department of
State; and
``(ii) the Interagency Task Force to
Monitor and Combat Trafficking;
``(C) State and local law enforcement agencies; and
``(D) foreign governments.''.
SEC. 4. ADDITIONAL REPORTING REQUIREMENT UNDER THE TRAFFICKING VICTIMS
PROTECTION ACT OF 2000.
Section 105(d)(7) of the Trafficking Victims Protection Act of 2000
(22 U.S.C. 7103(d)(7)) is amended--
(1) in the matter preceding subparagraph (A)--
(A) by inserting ``the Committee on Financial
Services,'' after ``the Committee on Foreign
Affairs,''; and
(B) by inserting ``the Committee on Banking,
Housing, and Urban Affairs,'' after ``the Committee on
Foreign Relations,'';
(2) in subparagraph (Q)(vii), by striking ``; and'' and
inserting a semicolon;
(3) in subparagraph (R), by striking the period at the end
and inserting ``; and''; and
(4) by adding at the end the following:
``(S) the efforts of the United States to eliminate
money laundering related to human trafficking and the
number of investigations, arrests, indictments, and
convictions in money laundering cases with a nexus to
human trafficking.''.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``End Banking for Human Traffickers
Act of 2017''.
SEC. 2. INCREASING THE ROLE OF THE FINANCIAL INDUSTRY IN COMBATING
HUMAN TRAFFICKING.
(a) Treasury as a Member of the President's Interagency Task Force
To Monitor and Combat Trafficking.--Section 105(b) of the Victims of
Trafficking and Violence Protection Act of 2000 (22 U.S.C. 7103(b)) is
amended by inserting ``the Secretary of the Treasury,'' after ``the
Secretary of Education,''.
(b) Required Review of Procedures.--Not later than 180 days after
the date of enactment of this Act, the Financial Institutions
Examination Council shall, in consultation with the Secretary of the
Treasury and other appropriate law enforcement agencies, take the
following actions:
(1) Review and enhance, where necessary, training and
examinations procedures to improve the ability of anti-money
laundering programs to target human trafficking operations.
(2) Review and enhance, where necessary, procedures for
referring potential human trafficking cases to the appropriate
law enforcement agency.
(c) Interagency Task Force Recommendations Targeting Money
Laundering Related to Human Trafficking.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the Interagency Task Force to Monitor
and Combat Trafficking shall prepare and submit to Congress,
the Secretary of the Treasury, and each appropriate Federal
banking agency a series of legislative, administrative, and
regulatory recommendations, if necessary, to revise anti-money
laundering programs of financial institutions in order to
specifically target money laundering related to human
trafficking, as described in paragraph (2).
(2) Required recommendations.--The recommendations required
under paragraph (1) shall, at a minimum, include the following:
(A) Successful anti-human trafficking programs
currently in place at financial institutions that are
suitable for broader adoption.
(B) Recommended changes, if necessary, to the
internal policies, procedures, and controls at
financial institutions so that such institutions can
better deter and detect money laundering related to
human trafficking.
(C) Recommended changes, if necessary, to ongoing
employee training programs at financial institutions so
that those institutions can better equip employees to
deter and detect money laundering related to human
trafficking, including the training of legal counsel,
risk managers, and compliance officers.
(D) Recommended revisions, if necessary, to
existing regulatory requirements and guidelines for the
reporting of suspicious transactions by financial
institutions, as required pursuant to section 5318(g)
of title 31, United States Code, in order to facilitate
the collection of data on instances of suspected human
trafficking.
(d) Additional Reporting Requirement.--Section 110(b) of the
Trafficking Victims Protection Act of 2000 (22 U.S.C. 7107(b)) is
amended by adding at the end the following:
``(4) Description of efforts of united states to eliminate
money laundering related to human trafficking.--In addition to
the information required in the annual report under paragraph
(1) and the interim report under paragraph (2), the Secretary
of State, in consultation with the Attorney General and the
Secretary of the Treasury, shall include in each such report a
description of efforts of the United States to eliminate money
laundering related to human trafficking and the number of
investigations, arrests, indictments and convictions in money
laundering cases with a nexus to human trafficking.''.
(e) Limitation.--Nothing in this Act shall be construed to grant
rulemaking authority to the Interagency Task Force to Monitor and
Combat Trafficking.
(f) Definitions.--As used in this section--
(1) the term ``anti-money laundering program'' means any
program established by a financial institution pursuant to
section 5318(h) of title 31, United States Code;
(2) the term ``appropriate Federal banking agency'' has the
meaning given the term in section 3(q) of the Federal Deposit
Insurance Act (12 U.S.C. 1813(q));
(3) the term ``human trafficking'' means--
(A) sex trafficking in which a commercial sex act
is induced by force, fraud, or coercion, or in which
the person induced to perform such act has not attained
18 years of age; or
(B) the recruitment, harboring, transportation,
provision, or obtaining of a person for labor or
services, through the use of force, fraud, or coercion
for the purpose of subjection to involuntary servitude,
peonage, debt bondage, or slavery;
(4) the term ``Interagency Task Force to Monitor and Combat
Trafficking'' means the Interagency Task Force to Monitor and
Combat Trafficking established by the President pursuant to
section 105 of the Victims of Trafficking and Violence
Protection Act of 2000 (22 U.S.C. 7103); and
(5) the term ``law enforcement agency'' means an agency of
the United States, a State, or a political subdivision of a
State, authorized by law or by a government agency to engage in
or supervise the prevention, detection, investigation, or
prosecution of any violation of criminal or civil law.
SEC. 3. MINIMUM STANDARDS FOR THE ELIMINATION OF TRAFFICKING.
Section 108(b) of the Trafficking Victims Protection Act of 2000
(22 U.S.C. 7106(b)) is amended by adding at the end the following new
paragraph:
``(13) Whether the government of the country, consistent
with the capacity of the country, has in effect a framework to
prevent financial transactions involving the proceeds of severe
forms of trafficking in persons, and is taking steps to
implement such a framework, including by investigating,
prosecuting, convicting, and sentencing individuals who attempt
or conduct such transactions.''.
Union Calendar No. 439
115th CONGRESS
2d Session
H. R. 2219
[Report No. 115-569, Parts I and II]
_______________________________________________________________________
A BILL
To increase the role of the financial industry in combating human
trafficking.
_______________________________________________________________________
February 23, 2018
Reported from the Committee on Foreign Affairs with an amendment;
committed to the Committee of the Whole House on the State of the Union
and ordered to be printed