HR 8177 — Stop Foreign Payoffs Act

Summary

To amend title 5, United States Code, to require senior Government officials and their family members to divest foreign financial interests, and for other purposes.

Bill Text

• Introduced Introduced in House Current html April 30, 2024

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This bill establishes new rules requiring senior government officials and their families to divest from foreign financial interests.

• 5 U.S.C. Chapter 131

  TITLE IV--LIMITATION ON FOREIGN FINANCIAL INTERESTS Sec. 13151. Limitation on foreign financial interests (a) Divestiture.-- (1) In general.--A covered individual may not hold any foreign financial interest, and shall divest of any such interest by-- (A) converting each such interest to cash or other investment; or (B) placing each such interest in a qualified blind trust as defined in section 13104(f)(3) or a diversified trust under section 13104(f)(4)(B). (2) Application.-- (A) Not later than 30 days after the date regulations are promulgated to carry out this section, a covered individual holding any foreign financial interest on such date shall divest of such interest pursuant to paragraph (1). (B) Within 30 days that an individual assumes an office described under subparagraph (A), (B), or (C) of subsection (d)(1), such individual, and any applicable individual described under subparagraph (D) of such subsection, shall divest of such interest pursuant to paragraph (1). (b) Prohibition on Receiving Foreign Payments.--A covered individual may not receive any wage, salary, dividend, or any other payment from any foreign business. (c) Enforcement.-- (1) In general.--The Attorney General may bring a civil action in any appropriate United States district court against any individual who knowingly and willfully violates the provisions of this section. The court in which such action is brought may assess against such individual a civil penalty in any amount not to exceed twice the value of any foreign financial interest held, or any unlawfully foreign payment received, in violation of this section. (2) Negligent violations.--The Attorney General may bring a civil action in any appropriate United States district court against any individual who negligently violates the provisions of this section. The court in which such action is brought may assess against such individual a civil penalty in any amount not to exceed the value of any foreign financial interest held, or any unlawfully foreign payment received, in violation of this section. (d) Definitions.--In this section-- (1) the term `child' includes a child of any age, an adopted child or recognized natural child, and a stepchild or foster child; (2) the term `covered individual' means-- (A) the President; (B) a Member of Congress (as that term is defined in section 2106); (C) any cabinet-level position within the executive branch of Government, including the head of any executive department (as that term is defined in section 101); and (D) the spouse, child, or the spouse of a child, of any individual described in subparagraph (A), (B), or (C); (3) the term `foreign business' means a partnership, association, corporation, organization, or other combination of persons organized under the laws of or having its principal place of business in a foreign country; and (4) the term `foreign financial interest' means any financial interest in a foreign business, including a stock, ownership interest, bond, or debt, but does not include any financial interest in a foreign private issuer (as that term is defined in section 240.3b-4 of title 17, Code of Federal Regulations, as in effect on the date of enactment of this section) of securities that are publicly traded on United States stock exchanges.

  This creates new rules prohibiting senior officials from holding foreign financial interests and sets forth penalties for violations.

• 5 U.S.C. Chapter 131

  Clerical Amendment.--The table of sections for such chapter 131 is amended by adding at the end the following: subchapter iv--limitation on foreign financial interests 13151. Limitation on foreign financial interests.

  This adds a new section to the table of contents for chapter 131 to reflect the new regulations.

• 5 U.S.C. Chapter 131

  Regulations.--Not later than 120 days after the date of the enactment of this Act-- (1) with respect to covered individuals (as that term is described in subsection (d)(1) of section 13151 of title 5, United States Code, as added in subsection (a)) in the executive branch (including the Vice President), the Director of the Office of Government Ethics shall promulgate regulations to carry out such section; and (2) with respect to covered individuals in the legislative branch, the Committee on Ethics of the House of Representatives and the Select Committee on Ethics of the Senate shall promulgate regulations to carry out such section.

  This mandates the creation of regulations to enforce the new divestiture rules for executive and legislative branch officials.

Action History

1. April 30, 2024

   Referred to the Committee on Oversight and Accountability, and in addition to the Committee on House Administration, 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.

2. April 30, 2024

   Introduced in House

Sponsors

• Jared F. Golden · Primary

Subjects