War Profiteering Prevention Act of 2003

War Profiteering Prevention Act of 2003 - Amends the Federal criminal code to prohibit profiteering and fraud involving a contract or the provision of goods or services in connection with the war, military action, or relief or reconstruction efforts in Iraq (including making materially false statements or representations or materially overvaluing any good or service with the specific intent to make excessive profit). Sets penalties for violations, including up to 20 years imprisonment and a fine of the greater of $1 million or twice the gross profits or other proceeds. Subjects: (1) any property which constitutes or is derived from proceeds traceable to a violation to civil and criminal forfeiture; and (2) transactions involving such property or proceeds to money laundering provisions.

[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1813 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                S. 1813

To prohibit profiteering and fraud relating to military action, relief, 
      and reconstruction efforts in Iraq, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 3, 2003

 Mr. Leahy (for himself, Mrs. Feinstein, Mr. Durbin, and Mrs. Clinton) 
introduced the following bill; which was read twice and referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
To prohibit profiteering and fraud relating to military action, relief, 
      and reconstruction efforts in Iraq, and for other purposes.

    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 ``War Profiteering Prevention Act of 
2003''.

SEC. 2. PROHIBITION OF PROFITEERING.

    (a) Prohibition.--
            (1) In general.--Chapter 47 of title 18, United States 
        Code, is amended by adding at the end the following:
``Sec. 1037. War profiteering and fraud relating to military action, 
              relief, and reconstruction efforts in Iraq
    ``(a) Prohibition.--
            ``(1) In general.--Whoever, in any matter involving a 
        contract or the provision of goods or services, directly or 
        indirectly, in connection with the war, military action, or 
        relief or reconstruction activities in Iraq, knowingly and 
        willfully--
                    ``(A) executes or attempts to execute a scheme or 
                artifice to defraud the United States or Iraq;
                    ``(B) falsifies, conceals, or covers up by any 
                trick, scheme, or device a material fact;
                    ``(C) makes any materially false, fictitious, or 
                fraudulent statements or representations, or makes or 
                uses any materially false writing or document knowing 
                the same to contain any materially false, fictitious, 
                or fraudulent statement or entry; or
                    ``(D) materially overvalues any good or service 
                with the specific intent to excessively profit from the 
                war, military action, or relief or reconstruction 
                activities in Iraq;
        shall be fined under paragraph (2), imprisoned not more than 20 
        years, or both.
            ``(2) Fine.--A person convicted of an offense under 
        paragraph (1) may be fined the greater of--
                    ``(A) $1,000,000; or
                    ``(B) if such person derives profits or other 
                proceeds from the offense, not more than twice the 
                gross profits or other proceeds.
    ``(b) Extraterritorial Jurisdiction.--There is extraterritorial 
Federal jurisdiction over an offense under this section.
    ``(c) Venue.--A prosecution for an offense under this section may 
be brought--
            ``(1) as authorized by chapter 211 of this title;
            ``(2) in any district where any act in furtherance of the 
        offense took place; or
            ``(3) in any district where any party to the contract or 
        provider of goods or services is located.''.
            (2) Table of sections.--The table of sections for chapter 
        47 of title 18, United States Code, is amended by adding at the 
        end the following:

``1037. War profiteering and fraud relating to military action, relief, 
                            and reconstruction efforts in Iraq.''.
    (b) Expiration of Authorities.--The authorities provided for under 
this Act shall expire upon the date that major combat operations in 
Iraq cease and desist, the Coalition Provisional Authority transfers 
responsibility for governing Iraq to an indigenous Iraqi government, 
and a United States mission to Iraq, under the direction and guidance 
of the Secretary of State, is responsible for United States assistance 
efforts in Iraq. This subsection shall not limit or repeal any 
additional authorities provided by law.
    (c) Civil Forfeiture.--Section 981(a)(1)(C) of title 18, United 
States Code, is amended by inserting ``1037'' after ``1032''.
    (d) Criminal Forfeiture.--Section 982(a)(2)(B) of title 18, United 
States Code, is amended by striking ``or 1030'' and inserting ``1030, 
or 1032''.
    (e) Header.--Section 1956(c)(7)(D) of title 18, United States Code, 
is amended by inserting the following: ``, section 1037 (relating to 
war profiteering and fraud relating to military action, relief, and 
reconstruction efforts in Iraq)'' after ``liquidating agent of 
financial institution),''.
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