H.R. 3523: To require the Secretary of the Treasury to designate certain covered organizations as Foreign Financial Threat Organizations, and for other purposes.

This bill requires the Secretary of the Treasury to identify and designate certain foreign organizations as "Foreign Financial Threat Organizations." Here is a summary of the main provisions of the bill:

Designation of Organizations

The Secretary of the Treasury is mandated to designate specific foreign organizations as Foreign Financial Threat Organizations within 90 days of the law being enacted. These organizations are typically involved in fraudulent activities targeting U.S. citizens or lawful permanent residents.

Procedures for Designation

• Notification: Before designating an organization, the Secretary must inform key Congressional leaders about the intention to make such designations and the reasons for it.
• Publication: Once the organization is designated, the Secretary must publish this information in the Federal Register within a week.
• Asset Freezing: The Secretary can instruct U.S. financial institutions to freeze any assets belonging to the designated organizations, preventing financial transactions until further notice or legal direction.

Effects of Designation

Designated organizations will face similar consequences as those labeled as specially designated global terrorist organizations. This includes financial penalties and restrictions on property and transactions, based on existing laws related to terrorism.

Enforcement Actions

The government can take necessary actions to ensure the cybersecurity of the U.S. against these organizations. This may involve limiting their access to internet and cellular services.

Prohibition on Communication

The Secretary will also take measures to stop designated organizations from contacting U.S. citizens or lawful permanent residents via phone, internet, or email.

Reporting Requirements

The Secretary of the Treasury must submit reports to specific Congressional committees within two years of the bill's enactment, and then annually. These reports will cover:

• The organizations designated as Foreign Financial Threat Organizations.
• The total value of assets that have been seized from these organizations.
• The actions taken to identify such organizations.
• The amount of funds returned to fraud victims.

A public version of this report must be made available without sensitive information.

Definition of Covered Organization

A "covered organization" under this bill refers to any foreign entity engaged in fraudulent activities aimed at deceiving U.S. citizens or lawful permanent residents, as defined by existing regulations. This includes any subsidiaries or affiliates of such foreign entities.

Relevant Companies

None found