Sec. 9. Disclosures to the Securities and Exchange Commission of certain activities related to the Xinjiang Uyghur Autonomous Region
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It is the policy of the United States to protect American investors, through stronger disclosure requirements, alerting them to the presence of Chinese and other companies complicit in gross violations of human rights in United States capital markets, including American and foreign companies listed on United States exchanges that enable the mass internment and population surveillance of Uyghurs, Kazakhs, Kyrgyz, and other Muslim minorities and source products made with forced labor in the Xinjiang Uyghur Autonomous Region of China.
Such involvements represent clear, material risks to the share values and corporate reputations of certain of these companies and hence to prospective American investors, particularly given that the United States Government has employed sanctions and export restrictions to target individuals and entities contributing to human rights abuses in the People’s Republic of China. Section 13 of the Securities Exchange Act of 1934 ( 15 U.S.C. 78m ) is amended by adding at the end the following new subsection:
Each issuer required to file an annual or quarterly report under subsection
(a)shall disclose in that report the information required by paragraph
(2)if, during the period covered by the report, the issuer or any affiliate of the issuer— knowingly engaged in an activity with an entity or the affiliate of an entity engaged in creating or providing technology or other assistance to create mass population surveillance systems in the Xinjiang Uyghur Autonomous Region of China, including any entity included on the Department of Commerce’s Entity List in the Xinjiang Uyghur Autonomous Region; knowingly engaged in an activity with an entity or an affiliate of an entity building and running detention facilities for Uyghurs, Kazakhs, Kyrgyz, and other members of Muslim minority groups in the Xinjiang Uyghur Autonomous Region; knowingly engaged in an activity with an entity or an affiliate of an entity described in section 7(c)(1) of the Uyghur Forced Labor Prevention Act, including— any entity engaged in the pairing-assistance program which subsidizes the establishment of manufacturing facilities in the Xinjiang Uyghur Autonomous Region; or any entity for which the Department of Homeland Security has issued a Withhold Release Order under section 307 of the Tariff Act of 1930 ( 19 U.S.C. 1307 ); or knowingly conducted any transaction or had dealings with— any person the property and interests in property of which were sanctioned by the Secretary of State for the detention or abuse of Uyghurs, Kazakhs, Kyrgyz, or other members of Muslim minority groups in the Xinjiang Uyghur Autonomous Region; any person the property and interests in property of which are sanctioned pursuant to the Global Magnitsky Human Rights Accountability Act ( 22 U.S.C. 2656 note); or any person or entity responsible for, or complicit in, committing atrocities in the Xinjiang Uyghur Autonomous Region. If an issuer described under paragraph
(1)or an affiliate of the issuer has engaged in any activity described in paragraph (1), the information required by this paragraph is a detailed description of each such activity, including— the nature and extent of the activity; the gross revenues and net profits, if any, attributable to the activity; and whether the issuer or the affiliate of the issuer (as the case may be) intends to continue the activity. The requirement to disclose information under this paragraph shall not include information on activities of the issuer or any affiliate of the issuer activities relating to— the import of manufactured goods, including electronics, food products, textiles, shoes, and teas, that originated in the Xinjiang Uyghur Autonomous Region; or manufactured goods containing materials that originated or are sourced in the Xinjiang Uyghur Autonomous Region. If an issuer reports under paragraph
(1)that the issuer or an affiliate of the issuer has knowingly engaged in any activity described in that paragraph, the issuer shall separately file with the Commission, concurrently with the annual or quarterly report under subsection (a), a notice that the disclosure of that activity has been included in that annual or quarterly report that identifies the issuer and contains the information required by paragraph (2). Upon receiving a notice under paragraph
(3)that an annual or quarterly report includes a disclosure of an activity described in paragraph (1), the Commission shall promptly— transmit the report to— the President; the Committee on Foreign Affairs and the Committee on Financial Services of the House of Representatives; and the Committee on Foreign Relations and the Committee on Banking, Housing, and Urban Affairs of the Senate; and make the information provided in the disclosure and the notice available to the public by posting the information on the Internet website of the Commission. Upon receiving a report under paragraph
(4)that includes a disclosure of an activity described in paragraph (1), the President shall— make a determination with respect to whether any investigation is needed into the possible imposition of sanctions under the Global Magnitsky Human Rights Accountability Act ( 22 U.S.C. 2656 note) or section 8 of the Uyghur Forced Labor Prevention Act or whether criminal investigations are warranted under statutes intended to hold accountable individuals or entities involved in the importation of goods produced by forced labor, including under section 545, 1589, or 1761 of title 18, United States Code; and not later than 180 days after initiating any such investigation, make a determination with respect to whether a sanction should be imposed or criminal investigations initiated with respect to the issuer or the affiliate of the issuer (as the case may be). In this subsection, the term atrocities has the meaning given the term in section 6(2) of the Elie Wiesel Genocide and Atrocities Prevention Act of 2018 ( Public Law 115–441 ; 22 U.S.C. 2656 note). . Section 13(s) of the Securities Exchange Act of 1934, as added by subsection (b), is repealed on the earlier of— the date that is 8 years after the date of the enactment of this Act; or the date on which the President submits to the appropriate congressional committees a determination that the Government of the People’s Republic of China has ended mass internment, forced labor, and any other gross violations of human rights experienced by Uyghurs, Kazakhs, Kyrgyz, and members of other Muslim minority groups in the Xinjiang Uyghur Autonomous Region. The amendment made by subsection
(b)shall take effect with respect to reports required to be filed with the Securities and Exchange Commission after the date that is 180 days after the date of the enactment of this Act.
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Sec. 9
Disclosures to the Securities and Exchange Commission of certain activities related to the Xinjiang Uyghur Autonomous Region
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