INTERNATIONAL ANTI-BRIBERY AND FAIR COMPETITION ACT

PUBLIC LAW 105–366—NOV. 10, 1998

INTERNATIONAL ANTI-BRIBERY AND FAIR

COMPETITION ACT OF 1998

112 STAT. 3302 PUBLIC LAW 105–366—NOV. 10, 1998

Public Law 105–366

105th Congress

An Act

To amend the Securities Exchange Act of 1934 and the Foreign Corrupt Practices

Act of 1977 to improve the competitiveness of American business and promote

foreign commerce, 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 ‘‘International Anti-Bribery and

Fair Competition Act of 1998’’.

SEC. 2. AMENDMENTS TO THE FOREIGN CORRUPT PRACTICES ACT

GOVERNING ISSUERS.

(a) P

ROHIBITED

ONDUCT

.—Section 30A(a) of the Securities

Exchange Act of 1934 (15 U.S.C. 78dd–1(a)) is amended—

(1) by amending subparagraph (A) of paragraph (1) to

read as follows:

‘‘(A)(i) influencing any act or decision of such foreign

official in his official capacity, (ii) inducing such foreign

official to do or omit to do any act in violation of the

lawful duty of such official, or (iii) securing any improper

advantage; or’’;

(2) by amending subparagraph (A) of paragraph (2) to

read as follows:

‘‘(A)(i) influencing any act or decision of such party,

official, or candidate in its or his official capacity, (ii) induc-

ing such party, official, or candidate to do or omit to do

an act in violation of the lawful duty of such party, official,

or candidate, or (iii) securing any improper advantage;

or’’; and

(3) by amending subparagraph (A) of paragraph (3) to

read as follows:

‘‘(A)(i) influencing any act or decision of such foreign

official, political party, party official, or candidate in his

or its official capacity, (ii) inducing such foreign official,

political party, party official, or candidate to do or omit

to do any act in violation of the lawful duty of such foreign

official, political party, party official, or candidate, or (iii)

securing any improper advantage; or’’.

(b) O

FFICIALS OF

NTERNATIONAL

RGANIZATIONS

.—Paragraph

(1) of section 30A(f) of the Securities Exchange Act of 1934 (15

U.S.C. 78dd–1(f)(1)) is amended to read as follows:

‘‘(1)(A) The term ‘foreign official’ means any officer or

employee of a foreign government or any department, agency,

15 USC 78a note.

International

Anti-Bribery and

Fair Competition

Act of 1998.

Nov. 10, 1998

[S. 2375]

112 STAT. 3303PUBLIC LAW 105–366—NOV. 10, 1998

or instrumentality thereof, or of a public international organiza-

tion, or any person acting in an official capacity for or on

behalf of any such government or department, agency, or

instrumentality, or for or on behalf of any such public inter-

national organization.

‘‘(B) For purposes of subparagraph (A), the term ‘public

international organization’ means—

‘‘(i) an organization that is designated by Executive

order pursuant to section 1 of the International Organiza-

tions Immunities Act (22 U.S.C. 288); or

‘‘(ii) any other international organization that is des-

ignated by the President by Executive order for the pur-

poses of this section, effective as of the date of publication

of such order in the Federal Register.’’.

LTERNATIVE

URISDICTION

VER

CTS

UTSIDE THE

NITED

TATES

.—Section 30A of the Securities Exchange Act of 1934 (15

U.S.C. 78dd–1) is amended—

(1) by adding at the end the following:

‘‘(g) A

LTERNATIVE

URISDICTION

.—

‘‘(1) It shall also be unlawful for any issuer organized

under the laws of the United States, or a State, territory,

possession, or commonwealth of the United States or a political

subdivision thereof and which has a class of securities reg-

istered pursuant to section 12 of this title or which is required

to file reports under section 15(d) of this title, or for any

United States person that is an officer, director, employee,

or agent of such issuer or a stockholder thereof acting on

behalf of such issuer, to corruptly do any act outside the United

States in furtherance of an offer, payment, promise to pay,

or authorization of the payment of any money, or offer, gift,

promise to give, or authorization of the giving of anything

of value to any of the persons or entities set forth in paragraphs

(1), (2), and (3) of subsection (a) of this section for the purposes

set forth therein, irrespective of whether such issuer or such

officer, director, employee, agent, or stockholder makes use

of the mails or any means or instrumentality of interstate

commerce in furtherance of such offer, gift, payment, promise,

or authorization.

‘‘(2) As used in this subsection, the term ‘United States

person’ means a national of the United States (as defined

in section 101 of the Immigration and Nationality Act (8 U.S.C.

1101)) or any corporation, partnership, association, joint-stock

company, business trust, unincorporated organization, or sole

proprietorship organized under the laws of the United States

or any State, territory, possession, or commonwealth of the

United States, or any political subdivision thereof.’’;

(2) in subsection (b), by striking ‘‘Subsection (a)’’ and insert-

ing ‘‘Subsections (a) and (g)’’; and

(3) in subsection (c), by striking ‘‘subsection (a)’’ and insert-

ing ‘‘subsection (a) or (g)’’.

(d) P

ENALTIES

.—Section 32(c) of the Securities Exchange Act

of 1934 (15 U.S.C. 78ff(c)) is amended—

(1) in paragraph (1)(A), by striking ‘‘section 30A(a)’’ and

inserting ‘‘subsection (a) or (g) of section 30A’’;

(2) in paragraph (1)(B), by striking ‘‘section 30A(a)’’ and

inserting ‘‘subsection (a) or (g) of section 30A’’; and

(3) by amending paragraph (2) to read as follows:

112 STAT. 3304 PUBLIC LAW 105–366—NOV. 10, 1998

‘‘(2)(A) Any officer, director, employee, or agent of an issuer,

or stockholder acting on behalf of such issuer, who willfully violates

subsection (a) or (g) of section 30A of this title shall be fined

not more than $100,000, or imprisoned not more than 5 years,

or both.

‘‘(B) Any officer, director, employee, or agent of an issuer,

or stockholder acting on behalf of such issuer, who violates sub-

section (a) or (g) of section 30A of this title shall be subject to

a civil penalty of not more than $10,000 imposed in an action

brought by the Commission.’’.

SEC. 3. AMENDMENTS TO THE FOREIGN CORRUPT PRACTICES ACT

GOVERNING DOMESTIC CONCERNS.

(a) P

ROHIBITED

ONDUCT

.—Section 104(a) of the Foreign Cor-

rupt Practices Act of 1977 (15 U.S.C. 78dd–2(a)) is amended—

(1) by amending subparagraph (A) of paragraph (1) to

read as follows:

‘‘(A)(i) influencing any act or decision of such foreign

official in his official capacity, (ii) inducing such foreign

official to do or omit to do any act in violation of the

lawful duty of such official, or (iii) securing any improper

advantage; or’’;

(2) by amending subparagraph (A) of paragraph (2) to

read as follows:

‘‘(A)(i) influencing any act or decision of such party,

official, or candidate in its or his official capacity, (ii) induc-

ing such party, official, or candidate to do or omit to do

an act in violation of the lawful duty of such party, official,

or candidate, or (iii) securing any improper advantage;

or’’; and

(3) by amending subparagraph (A) of paragraph (3) to

read as follows:

‘‘(A)(i) influencing any act or decision of such foreign

official, political party, party official, or candidate in his

or its official capacity, (ii) inducing such foreign official,

political party, party official, or candidate to do or omit

to do any act in violation of the lawful duty of such foreign

official, political party, party official, or candidate, or (iii)

securing any improper advantage; or’’.

(b) P

ENALTIES

.—Section 104(g) of the Foreign Corrupt Practices

Act of 1977 (15 U.S.C. 78dd–2(g)) is amended—

(1) by amending subsection (g)(1) to read as follows:

‘‘(g)(1)(A) P

ENALTIES

.—Any domestic concern that is not a natu-

ral person and that violates subsection (a) or (i) of this section

shall be fined not more than $2,000,000.

‘‘(B) Any domestic concern that is not a natural person and

that violates subsection (a) or (i) of this section shall be subject

to a civil penalty of not more than $10,000 imposed in an action

brought by the Attorney General.’’; and

(2) by amending paragraph (2) to read as follows:

‘‘(2)(A) Any natural person that is an officer, director, employee,

or agent of a domestic concern, or stockholder acting on behalf

of such domestic concern, who willfully violates subsection (a) or

(i) of this section shall be fined not more than $100,000 or impris-

oned not more than 5 years, or both.

‘‘(B) Any natural person that is an officer, director, employee,

or agent of a domestic concern, or stockholder acting on behalf

112 STAT. 3305PUBLIC LAW 105–366—NOV. 10, 1998

of such domestic concern, who violates subsection (a) or (i) of this

section shall be subject to a civil penalty of not more than $10,000

imposed in an action brought by the Attorney General.’’.

FFICIALS OF

NTERNATIONAL

RGANIZATIONS

.—Paragraph

(2) of section 104(h) of the Foreign Corrupt Practices Act of 1977

(15 U.S.C. 78dd–2(h)) is amended to read as follows:

‘‘(2)(A) The term ‘foreign official’ means any officer or

employee of a foreign government or any department, agency,

or instrumentality thereof, or of a public international organiza-

tion, or any person acting in an official capacity for or on

behalf of any such government or department, agency, or

instrumentality, or for or on behalf of any such public inter-

national organization.

‘‘(B) For purposes of subparagraph (A), the term ‘public

international organization’ means—

‘‘(i) an organization that is designated by Executive

order pursuant to section 1 of the International Organiza-

tions Immunities Act (22 U.S.C. 288); or

‘‘(ii) any other international organization that is des-

ignated by the President by Executive order for the pur-

poses of this section, effective as of the date of publication

of such order in the Federal Register.’’.

(d) A

LTERNATIVE

URISDICTION

VER

CTS

UTSIDE THE

NITED

TATES

.—Section 104 of the Foreign Corrupt Practices Act of 1977

(15 U.S.C. 78dd–2) is further amended—

(1) by adding at the end the following:

‘‘(i) A

LTERNATIVE

URISDICTION

.—

‘‘(1) It shall also be unlawful for any United States person

to corruptly do any act outside the United States in furtherance

of an offer, payment, promise to pay, or authorization of the

payment of any money, or offer, gift, promise to give, or

authorization of the giving of anything of value to any of

the persons or entities set forth in paragraphs (1), (2), and

(3) of subsection (a), for the purposes set forth therein, irrespec-

tive of whether such United States person makes use of the

mails or any means or instrumentality of interstate commerce

in furtherance of such offer, gift, payment, promise, or

authorization.

‘‘(2) As used in this subsection, the term ‘United States

person’ means a national of the United States (as defined

in section 101 of the Immigration and Nationality Act (8 U.S.C.

1101)) or any corporation, partnership, association, joint-stock

company, business trust, unincorporated organization, or sole

proprietorship organized under the laws of the United States

or any State, territory, possession, or commonwealth of the

United States, or any political subdivision thereof.’’;

(2) in subsection (b), by striking ‘‘Subsection (a)’’ and insert-

ing ‘‘Subsections (a) and (i)’’;

(3) in subsection (c), by striking ‘‘subsection (a)’’ and insert-

ing ‘‘subsection (a) or (i)’’; and

(4) in subsection (d)(1), by striking ‘‘subsection (a)’’ and

inserting ‘‘subsection (a) or (i)’’.

(e) T

ECHNICAL

MENDMENT

.—Section 104(h)(4)(A) of the For-

eign Corrupt Practices Act of 1977 (15 U.S.C. 78dd–2(h)(4)(A)) is

amended by striking ‘‘For purposes of paragraph (1), the’’ and

inserting ‘‘The’’.

112 STAT. 3306 PUBLIC LAW 105–366—NOV. 10, 1998

SEC. 4. AMENDMENTS TO THE FOREIGN CORRUPT PRACTICES ACT

GOVERNING OTHER PERSONS.

Title I of the Foreign Corrupt Practices Act of 1977 is amended

by inserting after section 104 (15 U.S.C. 78dd–2) the following

new section:

‘‘SEC. 104A. PROHIBITED FOREIGN TRADE PRACTICES BY PERSONS

OTHER THAN ISSUERS OR DOMESTIC CONCERNS.

‘‘(a) P

ROHIBITION

.—It shall be unlawful for any person other

than an issuer that is subject to section 30A of the Securities

Exchange Act of 1934 or a domestic concern (as defined in section

104 of this Act), or for any officer, director, employee, or agent

of such person or any stockholder thereof acting on behalf of such

person, while in the territory of the United States, corruptly to

make use of the mails or any means or instrumentality of interstate

commerce or to do any other act in furtherance of an offer, payment,

promise to pay, or authorization of the payment of any money,

or offer, gift, promise to give, or authorization of the giving of

anything of value to—

‘‘(1) any foreign official for purposes of—

‘‘(A)(i) influencing any act or decision of such foreign

official in his official capacity, (ii) inducing such foreign

official to do or omit to do any act in violation of the

lawful duty of such official, or (iii) securing any improper

advantage; or

‘‘(B) inducing such foreign official to use his influence

with a foreign government or instrumentality thereof to

affect or influence any act or decision of such government

or instrumentality,

in order to assist such person in obtaining or retaining business

for or with, or directing business to, any person;

‘‘(2) any foreign political party or official thereof or any

candidate for foreign political office for purposes of—

‘‘(A)(i) influencing any act or decision of such party,

official, or candidate in its or his official capacity, (ii) induc-

ing such party, official, or candidate to do or omit to do

an act in violation of the lawful duty of such party, official,

or candidate, or (iii) securing any improper advantage;

‘‘(B) inducing such party, official, or candidate to use

its or his influence with a foreign government or instrumen-

tality thereof to affect or influence any act or decision

of such government or instrumentality,

in order to assist such person in obtaining or retaining business

for or with, or directing business to, any person; or

‘‘(3) any person, while knowing that all or a portion of

such money or thing of value will be offered, given, or promised,

directly or indirectly, to any foreign official, to any foreign

political party or official thereof, or to any candidate for foreign

political office, for purposes of—

‘‘(A)(i) influencing any act or decision of such foreign

official, political party, party official, or candidate in his

or its official capacity, (ii) inducing such foreign official,

political party, party official, or candidate to do or omit

to do any act in violation of the lawful duty of such foreign

official, political party, party official, or candidate, or (iii)

securing any improper advantage; or

15 USC 78dd–3.

112 STAT. 3307PUBLIC LAW 105–366—NOV. 10, 1998

‘‘(B) inducing such foreign official, political party, party

official, or candidate to use his or its influence with a

foreign government or instrumentality thereof to affect or

influence any act or decision of such government or

instrumentality,

in order to assist such person in obtaining or retaining business

for or with, or directing business to, any person.

‘‘(b) E

XCEPTION FOR

OUTINE

OVERNMENTAL

CTION

.—Sub-

section (a) of this section shall not apply to any facilitating or

expediting payment to a foreign official, political party, or party

official the purpose of which is to expedite or to secure the perform-

ance of a routine governmental action by a foreign official, political

party, or party official.

‘‘(c) A

FFIRMATIVE

EFENSES

.—It shall be an affirmative defense

to actions under subsection (a) of this section that—

‘‘(1) the payment, gift, offer, or promise of anything of

value that was made, was lawful under the written laws and

regulations of the foreign official’s, political party’s, party offi-

cial’s, or candidate’s country; or

‘‘(2) the payment, gift, offer, or promise of anything of

value that was made, was a reasonable and bona fide expendi-

ture, such as travel and lodging expenses, incurred by or on

behalf of a foreign official, party, party official, or candidate

and was directly related to—

‘‘(A) the promotion, demonstration, or explanation of

products or services; or

‘‘(B) the execution or performance of a contract with

a foreign government or agency thereof.

‘‘(d) I

NJUNCTIVE

ELIEF

.—

‘‘(1) When it appears to the Attorney General that any

person to which this section applies, or officer, director,

employee, agent, or stockholder thereof, is engaged, or about

to engage, in any act or practice constituting a violation of

subsection (a) of this section, the Attorney General may, in

his discretion, bring a civil action in an appropriate district

court of the United States to enjoin such act or practice, and

upon a proper showing, a permanent injunction or a temporary

restraining order shall be granted without bond.

‘‘(2) For the purpose of any civil investigation which, in

the opinion of the Attorney General, is necessary and proper

to enforce this section, the Attorney General or his designee

are empowered to administer oaths and affirmations, subpoena

witnesses, take evidence, and require the production of any

books, papers, or other documents which the Attorney General

deems relevant or material to such investigation. The attend-

ance of witnesses and the production of documentary evidence

may be required from any place in the United States, or any

territory, possession, or commonwealth of the United States,

at any designated place of hearing.

‘‘(3) In case of contumacy by, or refusal to obey a subpoena

issued to, any person, the Attorney General may invoke the

aid of any court of the United States within the jurisdiction

of which such investigation or proceeding is carried on, or

where such person resides or carries on business, in requiring

the attendance and testimony of witnesses and the production

of books, papers, or other documents. Any such court may

issue an order requiring such person to appear before the

112 STAT. 3308 PUBLIC LAW 105–366—NOV. 10, 1998

Attorney General or his designee, there to produce records,

if so ordered, or to give testimony touching the matter under

investigation. Any failure to obey such order of the court may

be punished by such court as a contempt thereof.

‘‘(4) All process in any such case may be served in the

judicial district in which such person resides or may be found.

The Attorney General may make such rules relating to civil

investigations as may be necessary or appropriate to implement

the provisions of this subsection.

‘‘(e) P

ENALTIES

.—

‘‘(1)(A) Any juridical person that violates subsection (a)

of this section shall be fined not more than $2,000,000.

‘‘(B) Any juridical person that violates subsection (a) of

this section shall be subject to a civil penalty of not more

than $10,000 imposed in an action brought by the Attorney

General.

‘‘(2)(A) Any natural person who willfully violates subsection

(a) of this section shall be fined not more than $100,000 or

imprisoned not more than 5 years, or both.

‘‘(B) Any natural person who violates subsection (a) of

this section shall be subject to a civil penalty of not more

than $10,000 imposed in an action brought by the Attorney

General.

‘‘(3) Whenever a fine is imposed under paragraph (2) upon

any officer, director, employee, agent, or stockholder of a person,

such fine may not be paid, directly or indirectly, by such person.

‘‘(f) D

EFINITIONS

.—For purposes of this section:

‘‘(1) The term ‘person’, when referring to an offender, means

any natural person other than a national of the United States

(as defined in section 101 of the Immigration and Nationality

Act (8 U.S.C. 1101) or any corporation, partnership, association,

joint-stock company, business trust, unincorporated organiza-

tion, or sole proprietorship organized under the law of a foreign

nation or a political subdivision thereof.

‘‘(2)(A) The term ‘foreign official’ means any officer or

employee of a foreign government or any department, agency,

or instrumentality thereof, or of a public international organiza-

tion, or any person acting in an official capacity for or on

behalf of any such government or department, agency, or

instrumentality, or for or on behalf of any such public inter-

national organization.

‘‘(B) For purposes of subparagraph (A), the term ‘public

international organization’ means—

‘‘(i) an organization that is designated by Executive

order pursuant to section 1 of the International Organiza-

tions Immunities Act (22 U.S.C. 288); or

‘‘(ii) any other international organization that is des-

ignated by the President by Executive order for the pur-

poses of this section, effective as of the date of publication

of such order in the Federal Register.

‘‘(3)(A) A person’s state of mind is knowing, with respect

to conduct, a circumstance or a result if—

‘‘(i) such person is aware that such person is engaging

in such conduct, that such circumstance exists, or that

such result is substantially certain to occur; or

112 STAT. 3309PUBLIC LAW 105–366—NOV. 10, 1998

‘‘(ii) such person has a firm belief that such cir-

cumstance exists or that such result is substantially certain

to occur.

‘‘(B) When knowledge of the existence of a particular cir-

cumstance is required for an offense, such knowledge is estab-

lished if a person is aware of a high probability of the existence

of such circumstance, unless the person actually believes that

such circumstance does not exist.

‘‘(4)(A) The term ‘routine governmental action’ means only

an action which is ordinarily and commonly performed by a

foreign official in—

‘‘(i) obtaining permits, licenses, or other official docu-

ments to qualify a person to do business in a foreign

country;

‘‘(ii) processing governmental papers, such as visas and

work orders;

‘‘(iii) providing police protection, mail pick-up and deliv-

ery, or scheduling inspections associated with contract

performance or inspections related to transit of goods across

country;

‘‘(iv) providing phone service, power and water supply,

loading and unloading cargo, or protecting perishable prod-

ucts or commodities from deterioration; or

‘‘(v) actions of a similar nature.

‘‘(B) The term ‘routine governmental action’ does not

include any decision by a foreign official whether, or on what

terms, to award new business to or to continue business with

a particular party, or any action taken by a foreign official

involved in the decision-making process to encourage a decision

to award new business to or continue business with a particular

party.

‘‘(5) The term ‘interstate commerce’ means trade, commerce,

transportation, or communication among the several States,

or between any foreign country and any State or between

any State and any place or ship outside thereof, and such

term includes the intrastate use of—

‘‘(A) a telephone or other interstate means of commu-

nication, or

‘‘(B) any other interstate instrumentality.’’.

SEC. 5. TREATMENT OF INTERNATIONAL ORGANIZATIONS PROVIDING

COMMERCIAL COMMUNICATIONS SERVICES.

(a) D

EFINITION

.—For purposes of this section:

(1) I

NTERNATIONAL ORGANIZATION PROVIDING COMMERCIAL

COMMUNICATIONS SERVICES

.—The term ‘‘international organiza-

tion providing commercial communications services’’ means—

(A) the International Telecommunications Satellite

Organization established pursuant to the Agreement Relat-

ing to the International Telecommunications Satellite

Organization; and

(B) the International Mobile Satellite Organization

established pursuant to the Convention on the Inter-

national Maritime Satellite Organization.

(2) P

COMPETITIVE PRIVATIZATION

.—The term ‘‘pro-

competitive privatization’’ means a privatization that the Presi-

dent determines to be consistent with the United States policy

of obtaining full and open competition to such organizations

President.

15 USC 78dd–1

note.

112 STAT. 3310 PUBLIC LAW 105–366—NOV. 10, 1998

(or their successors), and nondiscriminatory market access, in

the provision of satellite services.

(b) T

REATMENT AS

UBLIC

NTERNATIONAL

RGANIZATIONS

.—

(1) T

REATMENT

.—An international organization providing

commercial communications services shall be treated as a public

international organization for purposes of section 30A of the

Securities Exchange Act of 1934 (15 U.S.C. 78dd–1) and sections

104 and 104A of the Foreign Corrupt Practices Act of 1977

(15 U.S.C. 78dd–2) until such time as the President certifies

to the Committee on Commerce of the House of Representatives

and the Committees on Banking, Housing and Urban Affairs

and Commerce, Science, and Transportation that such inter-

national organization providing commercial communications

services has achieved a pro-competitive privatization.

(2) L

IMITATION ON EFFECT OF TREATMENT

.—The require-

ment for a certification under paragraph (1), and any certifi-

cation made under such paragraph, shall not be construed

to affect the administration by the Federal Communications

Commission of the Communications Act of 1934 in authorizing

the provision of services to, from, or within the United States

over space segment of the international satellite organizations,

or the privatized affiliates or successors thereof.

XTENSION OF

EGAL

ROCESS

.—

(1) I

N GENERAL

.—Except as required by international agree-

ments to which the United States is a party, an international

organization providing commercial communications services, its

officials and employees, and its records shall not be accorded

immunity from suit or legal process for any act or omission

taken in connection with such organization’s capacity as a

provider, directly or indirectly, of commercial telecommuni-

cations services to, from, or within the United States.

(2) N

O EFFECT ON PERSONAL LIABILITY

.—Paragraph (1) shall

not affect any immunity from personal liability of any individual

who is an official or employee of an international organization

providing commercial communications services.

(3) E

FFECTIVE DATE

.—This subsection shall take effect on

May 1, 1999.

(d) E

LIMINATION OR

IMITATION OF

XCEPTIONS

.—

(1) A

CTION REQUIRED

.—The President shall, in a manner

that is consistent with requirements in international agree-

ments to which the United States is a party, expeditiously

take all appropriate actions necessary to eliminate or to reduce

substantially all privileges and immunities that are accorded

to an international organization described in subparagraph (A)

or (B) of subsection (a)(1), its officials, its employees, or its

records, and that are not eliminated pursuant to subsection

(c).

(2) D

ESIGNATION OF AGREEMENTS

.—The President shall des-

ignate which agreements constitute international agreements

to which the United States is a party for purposes of this

section.

(e) P

RESERVATION OF

NFORCEMENT AND

NTELLIGENCE

UNCTIONS

.—Nothing in subsection (c) or (d) of this section shall

affect any immunity from suit or legal process of an international

organization providing commercial communications services, or the

privatized affiliates or successors thereof, for acts or omissions—

112 STAT. 3311PUBLIC LAW 105–366—NOV. 10, 1998

(1) under chapter 119, 121, 206, or 601 of title 18, United

States Code, the Foreign Intelligence Surveillance Act of 1978

(50 U.S.C. 1801 et seq.), section 514 of the Comprehensive

Drug Abuse Prevention and Control Act of 1970 (21 U.S.C.

884), or Rule 104, 501, or 608 of the Federal Rules of Evidence;

(2) under similar State laws providing protection to service

providers cooperating with law enforcement agencies pursuant

to State electronic surveillance or evidence laws, rules, regula-

tions, or procedures; or

(3) pursuant to a court order.

(f) R

ULES OF

ONSTRUCTION

.—

(1) N

EGOTIATIONS

.—Nothing in this section shall affect the

President’s existing constitutional authority regarding the time,

scope, and objectives of international negotiations.

(2) P

RIVATIZATION

.—Nothing in this section shall be con-

strued as legislative authorization for the privatization of

INTELSAT or Inmarsat, nor to increase the President’s author-

ity with respect to negotiations concerning such privatization.

SEC. 6. ENFORCEMENT AND MONITORING.

(a) R

EPORTS

EQUIRED

.—Not later than July 1 of 1999 and

each of the 5 succeeding years, the Secretary of Commerce shall

submit to the House of Representatives and the Senate a report

that contains the following information with respect to implementa-

tion of the Convention:

(1) R

ATIFICATION

.—A list of the countries that have ratified

the Convention, the dates of ratification by such countries,

and the entry into force for each such country.

(2) D

OMESTIC LEGISLATION

.—A description of domestic laws

enacted by each party to the Convention that implement

commitments under the Convention, and assessment of the

compatibility of such laws with the Convention.

(3) E

NFORCEMENT

.—As assessment of the measures taken

by each party to the Convention during the previous year

to fulfill its obligations under the Convention and achieve its

object and purpose including—

(A) an assessment of the enforcement of the domestic

laws described in paragraph (2);

(B) an assessment of the efforts by each such party

to promote public awareness of such domestic laws and

the achievement of such object and purpose; and

and viability of the monitoring process for the Convention,

including its inclusion of input from the private sector

and nongovernmental organizations.

(4) L

AWS PROHIBITING TAX DEDUCTION OF BRIBES

.—An

explanation of the domestic laws enacted by each party to

the Convention that would prohibit the deduction of bribes

in the computation of domestic taxes.

(5) N

EW SIGNATORIES

.—A description of efforts to expand

international participation in the Convention by adding new

signatories to the Convention and by assuring that all countries

which are or become members of the Organization for Economic

Cooperation and Development are also parties to the Conven-

tion.

(6) S

UBSEQUENT EFFORTS

.—An assessment of the status

of efforts to strengthen the Convention by extending the

Records.

Deadline.

15 USC 78dd–1

note.

112 STAT. 3312 PUBLIC LAW 105–366—NOV. 10, 1998

LEGISLATIVE HISTORY—S. 2375 (H.R. 4353):

HOUSE REPORTS: No. 105–802 accompanying H.R. 4353 (Comm. on Commerce).

SENATE REPORTS: No. 105–277 (Comm. on Banking, Housing, and Urban Af-

fairs).

CONGRESSIONAL RECORD, Vol. 144 (1998):

July 31, considered and passed Senate.

Oct. 9, considered and passed House, amended, in lieu of H.R. 4353.

Oct. 14, Senate concurred in House amendment with amendments.

Oct. 20, House concurred in a Senate amendment with an amendment and

disagreed with other amendments.

Oct. 21, Senate receded from certain amendments and concurred in another.

WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 34 (1998):

Nov. 10, Presidential statement.

prohibitions contained in the Convention to cover bribes to

political parties, party officials, and candidates for political

office.

(7) A

DVANTAGES

.—Advantages, in terms of immunities,

market access, or otherwise, in the countries or regions served

by the organizations described in section 5(a), the reason for

such advantages, and an assessment of progress toward fulfill-

ing the policy described in that section.

(8) B

RIBERY AND TRANSPARENCY

.—An assessment of anti-

bribery programs and transparency with respect to each of

the international organizations covered by this Act.

(9) P

RIVATE SECTOR REVIEW

.—A description of the steps

taken to ensure full involvement of United States private sector

participants and representatives of nongovernmental organiza-

tions in the monitoring and implementation of the Convention.

(10) A

DDITIONAL INFORMATION

.—In consultation with the

private sector participants and representatives of nongovern-

mental organizations described in paragraph (9), a list of addi-

tional means for enlarging the scope of the Convention and

otherwise increasing its effectiveness. Such additional means

shall include, but not be limited to, improved recordkeeping

provisions and the desirability of expanding the applicability

of the Convention to additional individuals and organizations

and the impact on United States business of section 30A of

the Securities Exchange Act of 1934 and sections 104 and

104A of the Foreign Corrupt Practices Act of 1977.

(b) D

EFINITION

.—For purposes of this section, the term

‘‘Convention’’ means the Convention on Combating Bribery of For-

eign Public Officials in International Business Transactions adopted

on November 21, 1997, and signed on December 17, 1997, by the

United States and 32 other nations.

Approved November 10, 1998.

Records.