S.Amdt. 2719Senate112th Congress (2011-2013)

S.Amdt. 2719

What it does: Adds TITLE _--ECONOMIC ESPIONAGE PENALTY ENHANCEMENT at the end of the bill
Sponsored by Herb KohlSen. Herb Kohl (D-WI)
Submitted July 31, 2012

What it changes

1 change to S. 3414 · shown in the bill's text

Adds a section
  1. Adds TITLE _--ECONOMIC ESPIONAGE PENALTY ENHANCEMENT at the end of the bill

    Adds a title

    In S. 3414 · Placed on Calendar Senate

    (21) Third party.--The term "third party" includes Federal entities and non-Federal entities.

    Inserted: TITLE _--ECONOMIC ESPIONAGE PENALTY ENHANCEMENT

    Inserted: SEC. _01. SHORT TITLE.

    Inserted: This title may be cited as the "Economic Espionage Penalty Enhancement Act of 2012".

    Inserted: SEC. _02. PROTECTING U.S. BUSINESSES FROM FOREIGN ESPIONAGE.

    Inserted: (a) For Offenses Committed by Individuals.--Section 1831(a) of title 18, United States Code, is amended in the matter following paragraph (5)--

    Inserted: (1) by striking "15 years" and inserting "20 years"; and

    Inserted: (2) by striking "not more than $500,000" and inserting "not more than $5,000,000".

    Inserted: (b) For Offenses Committed by Organizations.--Section 1831(b) of title 18, United States Code, is amended by striking "not more than $10,000,000" and inserting "not more than the greater of $10,000,000 or 3 times the value of the stolen trade secret to the organization, including expenses for research and design and other costs of reproducing the trade secret that the organization has thereby avoided".

    Inserted: SEC. _03. REVIEW BY THE UNITED STATES SENTENCING COMMISSION.

    Inserted: (a) In General.--Pursuant to its authority under section 994(p) of title 28, United States Code, the United States Sentencing Commission shall review and, if appropriate, amend the Federal sentencing guidelines and policy statements applicable to persons convicted of offenses relating to the transmission or attempted transmission of a stolen trade secret outside of the United States or economic espionage, in order to reflect the intent of Congress that penalties for such offenses under the Federal sentencing guidelines and policy statements appropriately reflect the seriousness of these offenses, account for the potential and actual harm caused by these offenses, and provide adequate deterrence against such offenses.

    Inserted: (b) Requirements.--In carrying out this section, the United States Sentencing Commission shall--

    Inserted: (1) consider the extent to which the Federal sentencing guidelines and policy statements appropriately account for the simple misappropriation of a trade secret, including the sufficiency of the existing enhancement for these offenses to address the seriousness of this conduct;

    Show 9 more inserted paragraphs

    Inserted: (2) consider whether additional enhancements in the Federal sentencing guidelines and policy statements are appropriate to account for--

    Inserted: (A) the transmission or attempted transmission of a stolen trade secret outside of the United States; and

    Inserted: (B) the transmission or attempted transmission of a stolen trade secret outside of the United States that is committed or attempted to be committed for the benefit of a foreign government, foreign instrumentality, or foreign agent;

    Inserted: (3) ensure the Federal sentencing guidelines and policy statements reflect the seriousness of these offenses and the need to deter such conduct;

    Inserted: (4) ensure reasonable consistency with other relevant directives, Federal sentencing guidelines and policy statements, and related Federal statutes;

    Inserted: (5) make any necessary conforming changes to the Federal sentencing guidelines and policy statements; and

    Inserted: (6) ensure that the Federal sentencing guidelines adequately meet the purposes of sentencing as set forth in section 3553(a)(2) of title 18, United States Code.

    Inserted: (c) Consultation.--In carrying out the review required under this section, the Commission shall consult with individuals or groups representing law enforcement, owners of trade secrets, victims of economic espionage offenses, the Department of Justice, the Department of State, the Department of Homeland Security, and the Office of the United States Trade Representative.

    Inserted: (d) Review.--Not later than 180 days after the date of enactment of this title, the Commission shall complete its consideration and review under this section.

    Original wording

    At the end, add the following:

Read automatically from the Congressional Record. Check the original before relying on it.

As printed

SA 2719. Mr. KOHL (for himself, Mr. Whitehouse, and Mr. Coons) submitted an amendment intended to be proposed by him to the bill S. 3414, to enhance the security and resiliency of the cyber and communications infrastructure of the United States; which was ordered to lie on the table; as follows:

At the end, add the following:

TITLE _--ECONOMIC ESPIONAGE PENALTY ENHANCEMENT

SEC. _01. SHORT TITLE.

This title may be cited as the “Economic Espionage Penalty Enhancement Act of 2012”.

SEC. _02. PROTECTING U.S. BUSINESSES FROM FOREIGN ESPIONAGE.

(a) For Offenses Committed by Individuals.--Section 1831(a) of title 18, United States Code, is amended in the matter following paragraph (5)--

(1) by striking “15 years” and inserting “20 years”; and

(2) by striking “not more than $500,000” and inserting “not more than $5,000,000”.

(b) For Offenses Committed by Organizations.--Section 1831(b) of title 18, United States Code, is amended by striking “not more than $10,000,000” and inserting “not more than the greater of $10,000,000 or 3 times the value of the stolen trade secret to the organization, including expenses for research and design and other costs of reproducing the trade secret that the organization has thereby avoided”.

SEC. _03. REVIEW BY THE UNITED STATES SENTENCING COMMISSION.

(a) In General.--Pursuant to its authority under section 994(p) of title 28, United States Code, the United States Sentencing Commission shall review and, if appropriate, amend the Federal sentencing guidelines and policy statements applicable to persons convicted of offenses relating to the transmission or attempted transmission of a stolen trade secret outside of the United States or economic espionage, in order to reflect the intent of Congress that penalties for such offenses under the Federal sentencing guidelines and policy statements appropriately reflect the seriousness of these offenses, account for the potential and actual harm caused by these offenses, and provide adequate deterrence against such offenses.

(b) Requirements.--In carrying out this section, the United States Sentencing Commission shall--

(1) consider the extent to which the Federal sentencing guidelines and policy statements appropriately account for the simple misappropriation of a trade secret, including the sufficiency of the existing enhancement for these offenses to address the seriousness of this conduct;

(2) consider whether additional enhancements in the Federal sentencing guidelines and policy statements are appropriate to account for--

(A) the transmission or attempted transmission of a stolen trade secret outside of the United States; and

(B) the transmission or attempted transmission of a stolen trade secret outside of the United States that is committed or attempted to be committed for the benefit of a foreign government, foreign instrumentality, or foreign agent;

(3) ensure the Federal sentencing guidelines and policy statements reflect the seriousness of these offenses and the need to deter such conduct;

(4) ensure reasonable consistency with other relevant directives, Federal sentencing guidelines and policy statements, and related Federal statutes;

(5) make any necessary conforming changes to the Federal sentencing guidelines and policy statements; and

(6) ensure that the Federal sentencing guidelines adequately meet the purposes of sentencing as set forth in section 3553(a)(2) of title 18, United States Code.

(c) Consultation.--In carrying out the review required under this section, the Commission shall consult with individuals or groups representing law enforcement, owners of trade secrets, victims of economic espionage offenses, the Department of Justice, the Department of State, the Department of Homeland Security, and the Office of the United States Trade Representative.

(d) Review.--Not later than 180 days after the date of enactment of this title, the Commission shall complete its consideration and review under this section.

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Senate amendment submitted

July 31, 2012