Deter Cyber Theft Act of 2014 - Requires the President to report annually to Congress on foreign countries that engage in economic and industrial espionage in cyberspace with respect to U.S. trade secrets or proprietary information. Requires each report to: (1) identify countries that engage in such espionage, including countries that facilitate, support, fail to prosecute, or otherwise permit such espionage; (2) specify the countries that engage in the most egregious forms of such espionage; and (3) describe actions taken and progress made by the President to decrease the prevalence of such espionage.
Authorizes the President to block and prohibit transactions in property, and interests in property, of a foreign person the President determines knowingly requests, engages in, supports, facilitates, or benefits from the significant appropriation, through economic or industrial espionage in cyberspace, of technologies or proprietary information developed by U.S. persons if such property and interests in property: (1) are in the United States; (2) come within the United States; or (3) are, or come within, the possession or control of a U.S. person. Prohibits the President from imposing sanctions on the importation of goods under such authority.
[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 2384 Introduced in Senate (IS)]
113th CONGRESS
2d Session
S. 2384
To require the President to develop a watch list and a priority watch
list of foreign countries that engage in economic or industrial
espionage in cyberspace with respect to United States trade secrets or
proprietary information, to provide for the imposition of sanctions
with respect to foreign persons that knowingly benefit from such
espionage, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 22, 2014
Mr. Levin (for himself, Mr. McCain, Mr. Rockefeller, and Mr. Coburn)
introduced the following bill; which was read twice and referred to the
Committee on Banking, Housing, and Urban Affairs
_______________________________________________________________________
A BILL
To require the President to develop a watch list and a priority watch
list of foreign countries that engage in economic or industrial
espionage in cyberspace with respect to United States trade secrets or
proprietary information, to provide for the imposition of sanctions
with respect to foreign persons that knowingly benefit from such
espionage, 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 ``Deter Cyber Theft Act of 2014''.
SEC. 2. ACTIONS TO ADDRESS ECONOMIC OR INDUSTRIAL ESPIONAGE IN
CYBERSPACE.
(a) Report Required.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, and annually thereafter, the
President shall submit to the appropriate congressional
committees a report on foreign economic and industrial
espionage in cyberspace during the 12-month period preceding
the submission of the report that--
(A) identifies--
(i) foreign countries that engage in
economic or industrial espionage in cyberspace
with respect to trade secrets or proprietary
information owned by United States persons;
(ii) foreign countries identified under
clause (i) that the President determines engage
in the most egregious economic or industrial
espionage in cyberspace with respect to such
trade secrets or proprietary information (in
this section referred to as ``priority foreign
countries'');
(iii) technologies or proprietary
information developed by United States persons
that--
(I) are targeted for economic or
industrial espionage in cyberspace; and
(II) to the extent practicable,
have been appropriated through such
espionage;
(iv) articles manufactured or otherwise
produced using technologies or proprietary
information described in clause (iii)(II); and
(v) to the extent practicable, services
provided using such technologies or proprietary
information;
(B) describes the economic or industrial espionage
engaged in by the foreign countries identified under
clauses (i) and (ii) of subparagraph (A); and
(C) describes--
(i) actions taken by the President to
decrease the prevalence of economic or
industrial espionage in cyberspace; and
(ii) the progress made in decreasing the
prevalence of such espionage.
(2) Determination of foreign countries engaging in economic
or industrial espionage in cyberspace.--For purposes of clauses
(i) and (ii) of paragraph (1)(A), the President shall identify
a foreign country as a foreign country that engages in economic
or industrial espionage in cyberspace with respect to trade
secrets or proprietary information owned by United States
persons if the government of the foreign country--
(A) engages in economic or industrial espionage in
cyberspace with respect to trade secrets or proprietary
information owned by United States persons; or
(B) facilitates, supports, fails to prosecute, or
otherwise permits such espionage by--
(i) individuals who are citizens or
residents of the foreign country; or
(ii) entities that are organized under the
laws of the foreign country or are otherwise
subject to the jurisdiction of the government
of the foreign country.
(3) Form of report.--Each report required by paragraph (1)
shall be submitted in unclassified form but may contain a
classified annex.
(b) Imposition of Sanctions.--
(1) In general.--The President may, pursuant to the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.), block and prohibit all transactions in all property and
interests in property of each person described in paragraph
(2), if such property and interests in property are in the
United States, come within the United States, or are or come
within the possession or control of a United States person.
(2) Persons described.--A person described in this
paragraph is a foreign person the President determines
knowingly requests, engages in, supports, facilitates, or
benefits from the significant appropriation, through economic
or industrial espionage in cyberspace, of technologies or
proprietary information developed by United States persons.
(3) Exception.--The authority to impose sanctions under
paragraph (1) shall not include the authority to impose
sanctions on the importation of goods.
(c) Definitions.--In this section:
(1) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Armed Services, the Committee
on Banking, Housing, and Urban Affairs, the Committee
on Homeland Security and Governmental Affairs, the
Committee on Finance, the Committee on Foreign
Relations, and the Select Committee on Intelligence of
the Senate; and
(B) the Committee on Armed Services, the Committee
on Homeland Security, the Committee on Financial
Services, the Committee on Foreign Affairs, the
Committee on Ways and Means, and the Permanent Select
Committee on Intelligence of the House of
Representatives.
(2) Cyberspace.--The term ``cyberspace''--
(A) means the interdependent network of information
technology infrastructures; and
(B) includes the Internet, telecommunications
networks, computer systems, and embedded processors and
controllers.
(3) Economic or industrial espionage.--The term ``economic
or industrial espionage'' means--
(A) stealing a trade secret or proprietary
information or appropriating, taking, carrying away, or
concealing, or by fraud, artifice, or deception
obtaining, a trade secret or proprietary information
without the authorization of the owner of the trade
secret or proprietary information;
(B) copying, duplicating, downloading, uploading,
destroying, transmitting, delivering, sending,
communicating, or conveying a trade secret or
proprietary information without the authorization of
the owner of the trade secret or proprietary
information; or
(C) knowingly receiving, buying, or possessing a
trade secret or proprietary information that has been
stolen or appropriated, obtained, or converted without
the authorization of the owner of the trade secret or
proprietary information.
(4) 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.
(5) Own.--The term ``own'', with respect to a trade secret
or proprietary information, means to hold rightful legal or
equitable title to, or license in, the trade secret or
proprietary information.
(6) Person.--The term ``person'' means an individual or
entity.
(7) Proprietary information.--The term ``proprietary
information'' means competitive bid preparations, negotiating
strategies, executive emails, internal financial data,
strategic business plans, technical designs, manufacturing
processes, source code, data derived from research and
development investments, and other commercially valuable
information that a person has developed or obtained if--
(A) the person has taken reasonable measures to
keep the information confidential; and
(B) the information is not generally known or
readily ascertainable through proper means by the
public.
(8) Technology.--The term ``technology'' has the meaning
given that term in section 16 of the Export Administration Act
of 1979 (50 U.S.C. App. 2415) (as in effect pursuant to the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.)).
(9) Trade secret.--The term ``trade secret'' has the
meaning given that term in section 1839 of title 18, United
States Code.
(10) United states person.--The term ``United States
person'' means--
(A) an individual who is a citizen or resident of
the United States; or
(B) an entity organized under the laws of the
United States or any jurisdiction within the United
States.
<all>
Introduced in Senate
Sponsor introductory remarks on measure. (CR S3297-3298)
Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
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