SPEAKERS       CONTENTS       INSERTS    
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72–636PS
2001
THE SUDAN PEACE ACT

MARKUP

BEFORE THE

SUBCOMMITTEE ON AFRICA

OF THE

COMMITTEE ON
INTERNATIONAL RELATIONS
HOUSE OF REPRESENTATIVES

ONE HUNDRED SEVENTH CONGRESS

FIRST SESSION

ON
H.R. 931

MAY 16, 2001

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Serial No. 107–12

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COMMITTEE ON INTERNATIONAL RELATIONS

HENRY J. HYDE, Illinois, Chairman

BENJAMIN A. GILMAN, New York
JAMES A. LEACH, Iowa
DOUG BEREUTER, Nebraska
CHRISTOPHER H. SMITH, New Jersey
DAN BURTON, Indiana
ELTON GALLEGLY, California
ILEANA ROS-LEHTINEN, Florida
CASS BALLENGER, North Carolina
DANA ROHRABACHER, California
EDWARD R. ROYCE, California
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PETER T. KING, New York
STEVE CHABOT, Ohio
AMO HOUGHTON, New York
JOHN M. McHUGH, New York
RICHARD BURR, North Carolina
JOHN COOKSEY, Louisiana
THOMAS G. TANCREDO, Colorado
RON PAUL, Texas
NICK SMITH, Michigan
JOSEPH R. PITTS, Pennsylvania
DARRELL E. ISSA, California
ERIC CANTOR, Virginia
JEFF FLAKE, Arizona
BRIAN D. KERNS, Indiana
JO ANN DAVIS, Virginia

TOM LANTOS, California
HOWARD L. BERMAN, California
GARY L. ACKERMAN, New York
ENI F.H. FALEOMAVAEGA, American Samoa
DONALD M. PAYNE, New Jersey
ROBERT MENENDEZ, New Jersey
SHERROD BROWN, Ohio
CYNTHIA A. McKINNEY, Georgia
ALCEE L. HASTINGS, Florida
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EARL F. HILLIARD, Alabama
BRAD SHERMAN, California
ROBERT WEXLER, Florida
JIM DAVIS, Florida
ELIOT L. ENGEL, New York
WILLIAM D. DELAHUNT, Massachusetts
GREGORY W. MEEKS, New York
BARBARA LEE, California
JOSEPH CROWLEY, New York
JOSEPH M. HOEFFEL, Pennsylvania
EARL BLUMENAUER, Oregon
SHELLEY BERKLEY, Nevada
GRACE NAPOLITANO, California
ADAM B. SCHIFF, California
DIANE E. WATSON, California

THOMAS E. MOONEY, SR., Staff Director/General Counsel
ROBERT R. KING, Democratic Staff Director

Subcommittee on Africa
EDWARD R. ROYCE, California, Chairman
AMO HOUGHTON, New York
THOMAS G. TANCREDO, Colorado
JEFF FLAKE, Arizona
BRIAN D. KERNS, Indiana
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DONALD M. PAYNE, New Jersey
GREGORY W. MEEKS, New York
BARBARA LEE, California
EARL F. HILLIARD, Alabama

THOMAS P. SHEEHY, Subcommittee Staff Director
CHARISSE GLASSMAN, Democratic Professional Staff Member
MALIK M. CHAKA, Professional Staff Member
COURTNEY ALEXANDER, Staff Associate

C O N T E N T S

    Markup of H.R. 931, To facilitate famine relief efforts and a comprehensive solution to the war in Sudan

    H.R. 931

    Amendments to H.R. 931 offered by the Honorable Thomas G. Tancredo, a Representative in Congress from the State of ColoradoL15, 17

    Amendment to H.R. 931 offered by the Honorable Donald M. Payne, a Representative in Congress from the State of New Jersey

THE SUDAN PEACE ACT
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WEDNESDAY, MAY 16, 2001

House of Representatives,
Subcommittee on Africa,
Committee on International Relations,
Washington, DC.

    The Subcommittee met, pursuant to call, at 2:05 p.m. in Room 2172, Rayburn House Office Building, Hon. Edward R. Royce [Chairman of the Subcommittee] presiding.

    Mr. ROYCE. We will call this markup here to order, and pursuant to the notice, I would like to now call up H.R. 931 for purposes of this markup, and without objection the bill will be considered as read and open for amendment at any point.

    [The bill, H.R. 931, follows:]

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    Mr. ROYCE. The Sudan Peace Act was introduced by Congressman Tancredo with the strong support of the Ranking Member Donald Payne. The tragedy that has played out in Sudan over the last two decades is second to none. I think we all heard the words of Secretary of State Colin Powell, when he referred to it as the greatest tragedy that we have before us on the planet.

    This Subcommittee has held several hearings to bring attention to the genocidal war in Sudan, of which the most recent was held in March. In a few weeks we will be hearing from the Administration on the evolution of its Sudan policy review. Many in Congress and millions of Americans have high hopes that the U.S. will become more effective in helping to end the human suffering in Sudan.
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    It makes sense to move ahead with this legislation. Mr. Tancredo and Mr. Payne deserve credit for the work that they have done. I look forward to continuing our work together as this legislation evolves to see that Congress plays a role in making a difference in this very difficult situation.

    At this time I would like to recognize the Ranking Member of the Subcommittee, Mr. Donald Payne of New Jersey, for his statement.

    Mr. PAYNE. Thank you very much. Thank you, Mr. Chairman, for calling up this very important legislation to be marked up. Let me indicate that I certainly appreciate the leadership that you have taken during your term as Chairperson of the Africa Subcommittee and the interest and the momentum that you have kept going.

    I would also like to thank Mr. Tancredo for the interest that he has taken in Sudan. We had the privilege of traveling together to the south of Sudan, and he certainly has proved to be a great ally in this area.

    As we know, there has been 2 million deaths, 4 million people displaced, bombings still continue, slavery still is practiced. A harsh government of the NIF Party, National Islamic Front, continues to preside.

    This issue is bigger than simply north and south. There are many good people in the north of Sudan. There are many good people in the south. We just have evil and wicked government, and so I strongly support Mr. Tancredo's legislation, and hopefully this will be one step toward the resolution of that horrific problem in Sudan.
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    Thank you, Mr. Chairman. I yield back the balance of my time.

    Mr. ROYCE. Thank you, Mr. Payne.

    I would now like to turn to the author of the Sudan Peace Act, Mr. Tancredo of Colorado, for any opening statement he might like to make.

    Mr. TANCREDO. Thank you, Mr. Chairman, and I certainly appreciate and add to those comments my own appreciation for your help in this effort to bring this issue to the attention of the American public, the Congress of the United States.

    Oftentimes here we end up giving a title to a piece of legislation that is somewhat illusory, and that is the case even today. We call this the Sudan Peace Act. Of course, I hope and I pray that there will be peace in Sudan soon. Today, tomorrow is not soon enough. But I also know that even the passage of this legislation will not in itself bring peace to that troubled land. I recognize full well that to a large extent, this is a placeholder, that there are many other steps that need to be taken in order to actually achieve the goal that we all seek.

    I am on one hand encouraged by some of the statements that have been made by representatives of the government in Khartoum, their desire apparently to actually enter into some sort of peace negotiation. I am discouraged, on the other hand, with some of the actions taken by that same government, because we still have reports coming in about atrocities being committed.

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    We need, from both sides in this horrible situation, in this fight, we need a true commitment to peace, and I think most of us and I certainly know that I am tired of the half-hearted attempts and sometimes the ruse that has been put forward as peace initiatives. Sometimes people have sought to bring peace only for a short time in order to gain some sort of tactical or strategic advantage. Well,I will have no part of that. I know that Mr. Royce, we have talked about this issue of late. I know he feels similarly. What we want is a true peace. We want these people to be able to live in peace in their own land, pursue their own religious persuasions, and express themselves politically without fear of reprisal. That is our hope and desire.

    This is just one step in that direction, Mr. Chairman, but I do believe it is an important one, and I thank you for bringing it forward.

    Mr. ROYCE. Thank you, Mr. Tancredo.

    Are there any amendments at this time?

    Mr. TANCREDO. Mr. Chairman, I have an amendment. I actually have two amendments.

    Mr. ROYCE. I am going to ask the clerk at this time to read the first of those two amendments, if she would.

    The CLERK. An amendment to H.R. 931 offered by Mr. Tancredo. Page 4, insert the following.
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    Mr. ROYCE. Without objection, the amendment will be considered as read.

    [The information referred to follows:]

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    Mr. ROYCE. The gentleman is recognized for 5 minutes.

    Mr. TANCREDO. Thank you, Mr. Chairman.

    The purpose of the amendment is to declare to the world that the situation in Sudan can truly be called genocide. This is not just a grammatical or syntactical sort of correction we want to make to the bill. The use of the term ''genocide'' to describe the events in this part of the world in this particular country is important, and being specific about exactly what has happened there is important because of the genocide convention, to which—the treaty to which the United States is a party. The inclusion of the word ''genocide'' into this particular piece of legislation has significance.

    Mr. ROYCE. I think, Mr. Tancredo, the other aspect of the amendment, if I am correct, is that the Ambassador-at-Large for War Crimes shall investigate slavery, bombardments of civilian targets, and other acts in Sudan that would constitute war crimes; am I correct?

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    Mr. TANCREDO. That is accurate. That is the second part of the amendment, and it goes along with the term ''genocide'' being used here.

    There is, of course, constant controversy over exactly what is happening in Sudan and exactly who is responsible for what is happening in Sudan. This would encourage the creation of this particular post and have someone on the ground to give us some indication of exactly what is happening.

    Mr. ROYCE. Thank you, Mr. Tancredo.

    The question occurs on the amendment. Mr. Payne wanted to be recognized on the amendment.

    Mr. PAYNE. Yes. I would just briefly like to say that I support Mr. Tancredo's amendment. I think that there has been talk about what we have done up to now has not worked. The frustration of making progress, I think, leads us to the point where we need to step up on the way we view this, and I think that to have some strong language, to have some strong accusations, to invoke the word ''genocide'' will bring attention to those we need to bring attention to. And so I would hope that my colleagues would support Mr. Tancredo's amendment.

    Mr. ROYCE. Thank you, Mr. Payne. I am in support as well, and I note the existence of a quorum, and so if I could at this time ask the clerk, the question is going to occur on the amendment.

    All in favor, say aye.
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    Opposed, no.

    The ayes have it, and the amendment is agreed to.

    Are there any other amendments before——

    Mr. TANCREDO. Mr. Chairman, I have one other amendment.

    Mr. ROYCE. Mr. Tancredo.

    The clerk will report the amendment at this time.

    The CLERK. An amendment to H.R. 931 offered by Mr. Tancredo. Insert the following after section 4.

    Mr. ROYCE. Without objection, the amendment will be considered read, and I will recognize Mr. Tancredo for 5 minutes.

    [The information referred to follows:]

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    Mr. TANCREDO. Thank you, Mr. Chairman. It certainly will not take that.
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    This is a relatively noncontroversial amendment. It is to reauthorize the $10 million appropriated last year for nonlethal, nonfood assistance to southern Sudan. The assistance could include blankets, medicine, fuel, mobile clinics, tents, water drilling equipment or equipment to notify civilians of aerial bombardment. And, again, I do not believe it is a controversial step, and I urge my colleagues to support the amendment.

    Mr. ROYCE. Mr. Payne.

    Mr. PAYNE. Thank you, Mr. Chairman. I would just like to add my support to the amendment. I think that is the least we could do, and sort of a very moderate move. I will just leave it at that and would urge my colleagues to support the amendment.

    Mr. ROYCE. The question occurs on the amendment. All in favor, say aye.

    All opposed.

    The ayes have it. The amendment is agreed to.

    Are there any further amendments?

    Mr. PAYNE. I have an amendment at the desk.

    Mr. ROYCE. The clerk will report the amendment.
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    The CLERK. I am sorry, I don't have that amendment.

    Mr. ROYCE. If I could ask Mr. Payne to distribute a copy of that amendment to the clerk and to the Members of the Committee.

    Mr. PAYNE. I said it was at the desk, but it isn't.

    Mr. ROYCE. We will recognize you for 5 minutes Mr. Payne on the amendment, and without objection, the reading is dispensed with.

    [The information referred to follows:]

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    Mr. PAYNE. Right. Thank you, Mr. Chairman.

    As you know, we are moving toward trying to have people who are really doing business in the Sudan to be—for this information to be made knowledgeable, and so my amendment will hopefully call attention and more attention to the human rights violations which are occurring in Sudan. This amendment would require companies that are doing business in the Sudan to disclose the nature and extent of that business in connection with their access to U.S. Capital markets.
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    Today foreign companies can hide the nature and the extent of their involvement in the Sudan because we do not have that requirement. Full disclosure would expose how their activities are related to human rights abuses. It would prompt corporate managers to work to prevent their companies from supporting these abuses, and it would discourage investment by these companies by exposing those who are involved.

    As a matter of fact, I would like to submit for the record an article from the Financial Times dated May 14th. It reads, and I quote: U.S. Companies are forbidden to do business with a certain group of countries under embargo including Iraq, Iran and Sudan. Now the Securities and Exchange Commission plans to require foreign companies listing in the U.S. To disclose their business interests in these countries. Foreign investment is critical to development of many of Sudan's oil fields, in maintaining oil revenues. Many experts have concluded that the development and new exploration of the NIF's oil wells will significantly tip the balance in the battlefield in favor of the NIF government. Increases in the oil wealth will allow the Khartoum government to annihilate and actually continue to reign terror on people of the south.

    So we are simply asking that companies doing business would be required to make that information available.

    With that, I yield back the balance of my time.

    Mr. ROYCE. Any further discussion on the amendment?

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    Mr. FLAKE. I have a question.

    Mr. ROYCE. Mr. Flake.

    Mr. FLAKE. This reporting requirement, is this a proactive requirement that—I haven't had time to read the bill—that they just when asked, or upon inquiry from the SEC or what? What are they required to do?

    Mr. PAYNE. They would be required if doing business to make this information available. It wouldn't be being asked; it would be a part of the law. In other words, if you are doing business, and the SEC's—this would be a form, sort of like an income tax form, or any other information that currently is available, this would be a requirement, and the companies would be aware of that, and they would be required to make that information available. It is not in other areas.

    Mr. HOUGHTON. Would the gentleman yield?

    Mr. ROYCE. Mr. Houghton.

    Mr. HOUGHTON. Is this a requirement with other countries?

    Mr. PAYNE. Not with countries—not with countries that are not on the list like Iran and Iraq and now Sudan. It is not a typical requirement.

    Mr. HOUGHTON. But would it be for Iran and Iraq?
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    Mr. PAYNE. Yes, they would fall under the same category.

    Mr. ROYCE. No. Let me clarify, if I could, for a moment, Mr. Payne. The disclosure requirement reads as follows in the amendment: No entity that is engaged in any commercial activity in Sudan may trade in any of its securities in any capital market in the United States unless that entity has disclosed in such form as the President shall prescribe:

    The nature and extent of that commercial activity in Sudan, including any plans for expansion or diversification;

    The identity of all agencies of the Sudanese Government with which the entity is doing business;

    The relationship of the commercial activity to any violations of religious freedom and other human rights in Sudan; and

    The contribution that the proceeds raised in the capital markets in the United States will make to the entity's commercial activity in Sudan.

    And in terms of the disclosure to the public, the amendment instructs that the President shall take the necessary steps to ensure that disclosures under this section are published or otherwise made available to the public.

    And the enforcement authority indicates that the President may exercise the authorities he has under the International Emergency Economic Powers Act to carry out this section.
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    I would just make the observation, I support the gentleman's amendment. I believe it gives this legislation real bite, but that is the directive in the amendment.

    Mr. HOUGHTON. No, I didn't—I don't disagree with the amendment at all. I just didn't know if we were plowing new ground here.

    Mr. TANCREDO. Mr. Chairman.

    Mr. ROYCE. Mr. Tancredo.

    Mr. TANCREDO. I think it is also important to enter into the discussion here the fact that this, the activity that we are codifying here, is actually, I think, part of the present SEC regulations. I have a copy of an article that was, let's see, May the 11th appeared in the USA Today section talking about the fact that the SEC, under its existing authority to require full disclosure, has declared that investments in countries where U.S. Sanctions are a significant material threat to investors, they have to right now actually disclose that, and it would be more than just Sudan.

    This particular piece of legislation, of course, only affects Sudan, but right now the SEC is going after, I think, several companies because they had not fully disclosed the amount of activity they were involved with in countries against which we have sanctions. So just for clarification purposes.

    Mr. PAYNE. Once again, I thank both gentlemen for your interest. We just think that the more disclosure, the more attention drawn will really bring this under focus, and would urge the adoption of the amendment.
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    Mr. ROYCE. Mr. Flake.

    Mr. FLAKE. I just had a comment. I had some dealings with the country of Namibia after the sanctions were lifted. The Comprehensive Anti-Apartheid Act no longer applied to South Africa, yet a lot of cities and localities around the country had their own language mentioning Namibia specifically, and companies in the U.S. That wanted to do business with Namibia, or Namibian companies that wanted to do business in the U.S. Were hindered after the fact by low-level bureaucrats in city governments or State governments or county governments not realizing that Namibia was independent or the situation had changed, and proposals, applications were thrown out because of that. And so there is sometimes unintended consequences after the fact, and I would have some of those same concerns here. So I——

    Mr. PAYNE. Will the gentleman yield?

    Mr. FLAKE. You bet.

    Mr. PAYNE. That is actually true. In addition to Namibia, it was even a much larger problem when it came to South Africa. Many municipalities and county, State governments started the sanctions, and South Africa finally—it was not until 1986 that the CAAA legislation was passed in the Congress, and when South Africa became democratic and a democracy, there was a request that the U.S. Pass legislation that would change the local government and State government laws, which we did reject, because it was those local governments that really—sort of the tail wagged the dog—that pushed it up to the national level, where we were very late in putting sanctions on an international level. And so they did untie all of those sanctions that were done in municipalities and State governments.
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    I assume you were in one of those entities, too, and had to undo those, but I think that is just a part of the pain that we need to go through and the deliberation that it may take once the government changed. But I certainly remember and can appreciate the situation with Namibia as it was with South Africa. Thank you.

    Mr. ROYCE. Any other questions on the amendment? If not, the question occurs on the amendment. All in favor, say aye?

    All opposed, say nay. The ayes have it, and the amendment is agreed to.

    Are there any further amendments?

    The Chair will now entertain a motion that the bill be reported favorably to the Full Committee as amended.

    Mr. TANCREDO. So moved.

    Mr. PAYNE. Seconded.

    Mr. ROYCE. The question occurs on the motion to report the bill favorably as amended. All in favor, say aye.

    All opposed, no.

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    The motion is approved, and the bill is reported favorably.

    The staff is directed to make any technical and conforming amendments, and without objection, this bill will be reported favorably to the Full Committee in the form of a single amendment in the nature of a substitute incorporating the amendments adopted here today.

    We will stand in recess as we prepare for the upcoming hearing, and I thank the Members.

    [Whereupon, at 2:30 p.m., the Subcommittee was adjourned.]