Us Congress 2025-2026 Regular Session

Us Congress House Bill HB1756 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	I
2	2	119THCONGRESS
3	3	1
4	4	STSESSION H. R. 1756
5	5	To prohibit certain defense industry stock trading and ownership by Members
6	6	of Congress and spouses of Members of Congress, and for other purposes.
7	7	IN THE HOUSE OF REPRESENTATIVES
8	8	FEBRUARY27, 2025
9	9	Ms. T
10	10	LAIB(for herself, Ms. NORTON, Ms. LEEof Pennsylvania, Mr. MCGOV-
11	11	ERN, Ms. OCASIO-CORTEZ, Ms. OMAR, Ms. PRESSLEY, Mrs. RAMIREZ,
12	12	Mr. T
13	13	AKANO, and Mr. TONKO) introduced the following bill; which was
14	14	referred to the Committee on Financial Services, and in addition to the
15	15	Committees on House Administration, Ways and Means, and Agriculture,
16	16	for a period to be subsequently determined by the Speaker, in each case
17	17	for consideration of such provisions as fall within the jurisdiction of the
18	18	committee concerned
19	19	A BILL
20	20	To prohibit certain defense industry stock trading and owner-
21	21	ship by Members of Congress and spouses of Members
22	22	of Congress, and for other purposes.
23	23	Be it enacted by the Senate and House of Representa-1
24	24	tives of the United States of America in Congress assembled, 2
25	25	SECTION 1. SHORT TITLE. 3
26	26	This Act may be cited as the ‘‘Stop Politicians Prof-4
27	27	iting from War Act of 2025’’. 5
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30	30	•HR 1756 IH
31	31	SEC. 2. BAN ON CERTAIN DEFENSE INDUSTRY STOCK TRAD-1
32	32	ING AND OWNERSHIP BY MEMBERS OF CON-2
33	33	GRESS, SPOUSES, AND DEPENDENT CHIL-3
34	34	DREN. 4
35	35	(a) D
36	36	EFINITIONS.—In this Act: 5
37	37	(1) C
38	38	OMMODITY.—The term ‘‘commodity’’ has 6
39	39	the meaning given that term in section 1a of the 7
40	40	Commodity Exchange Act (7 U.S.C. 1a). 8
41	41	(2) C
42	42	OVERED DEFENSE CONTRACTOR .—The 9
43	43	term ‘‘covered defense contractor’’ means a person, 10
44	44	other than an institution of higher education (as de-11
45	45	fined under section 101 of the Higher Education Act 12
46	46	of 1965 (20 U.S.C. 1001)) or a non-profit medical 13
47	47	treatment facility, that has entered into a contract, 14
48	48	transaction, or other agreement with the Depart-15
49	49	ment of Defense. 16
50	50	(3) D
51	51	IVERSIFIED.—The term ‘‘diversified’’, 17
52	52	with respect to a fund, trust, or plan, means that 18
53	53	the fund, trust, or plan does not have a stated policy 19
54	54	of concentrating its investments in any industry, 20
55	55	business, single country other than the United 21
56	56	States, or bonds of a single State. 22
57	57	(4) M
58	58	EMBER OF CONGRESS .—The term ‘‘Mem-23
59	59	ber of Congress’’ has the meaning given that term 24
60	60	in section 13101 of title 5, United States Code. 25
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64	64	(5) SECURITY.—The term ‘‘security’’ has the 1
65	65	meaning given that term in section 3(a) of Securities 2
66	66	Exchange Act of 1934 (15 U.S.C. 78c(a)). 3
67	67	(6) W
68	68	IDELY HELD INVESTMENT FUND .—The 4
69	69	term ‘‘widely held investment fund’’ means a widely 5
70	70	held investment fund described in 13104(f)(8) of 6
71	71	title 5, United States Code. 7
72	72	(b) D
73	73	IVESTMENT OFASSETS.— 8
74	74	(1) I
75	75	N GENERAL.—Except as provided in sub-9
76	76	section (c), no Member of Congress, spouse of a 10
77	77	Member of Congress, or dependent child of a Mem-11
78	78	ber of Congress may have a financial interest in a 12
79	79	covered defense contractor, or may own an interest 13
80	80	in or trade (except as a divestment) any stock, bond, 14
81	81	commodity, future, or any other security the value of 15
82	82	which is significantly based upon a covered defense 16
83	83	contractor or an entity in the defense industrial 17
84	84	base, including an interest in a hedge fund, a deriva-18
85	85	tive, option, or other complex investment vehicle. 19
86	86	(2) I
87	87	MPLEMENTATION.— 20
88	88	(A) C
89	89	URRENT MEMBERS .— 21
90	90	(i) I
91	91	N GENERAL.—Except as provided 22
92	92	in clause (ii), an individual who is a Mem-23
93	93	ber of Congress on the date of the enact-24
94	94	ment of this Act, or the spouse or depend-25
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98	98	ent child of such an individual, shall com-1
99	99	plete the divestment of any asset described 2
100	100	in paragraph (1) by not later than 120 3
101	101	days after the date of enactment of this 4
102	102	Act. 5
103	103	(ii) C
104	104	ERTAIN ASSETS.—For an asset 6
105	105	described in paragraph (1) that is an inter-7
106	106	est in a hedge fund, venture capital fund, 8
107	107	or other privately held complex investment 9
108	108	vehicle, an individual who is a Member of 10
109	109	Congress on the date of enactment of this 11
110	110	Act, or the spouse or dependent child of 12
111	111	such an individual, shall complete the di-13
112	112	vestment of the asset by not later than 180 14
113	113	days after the date of enactment of this 15
114	114	Act. 16
115	115	(iii) A
116	116	PPLICATION.—This subpara-17
117	117	graph shall apply to a covered defense con-18
118	118	tractor that is performing or has per-19
119	119	formed a contract for the Department of 20
120	120	Defense during the 5-year period preceding 21
121	121	the date of the enactment of this Act. 22
122	122	(B) N
123	123	EW MEMBERS.— 23
124	124	(i) I
125	125	N GENERAL.—Except as provided 24
126	126	in clause (ii), an individual who becomes a 25
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130	130	Member of Congress after the date of en-1
131	131	actment of this Act, or who is the spouse 2
132	132	of such an individual, shall complete the 3
133	133	divestment of any asset described in para-4
134	134	graph (1) by not later than 120 days after 5
135	135	the date on which the individual becomes a 6
136	136	Member of Congress. 7
137	137	(ii) C
138	138	ERTAIN ASSETS.—For an asset 8
139	139	described in paragraph (1) that is an inter-9
140	140	est in a hedge fund, venture capital fund, 10
141	141	or other privately held complex investment 11
142	142	vehicle, an individual who becomes a Mem-12
143	143	ber of Congress after the date of enact-13
144	144	ment of this Act, or who is the spouse or 14
145	145	dependent child of such an individual, shall 15
146	146	complete the divestment of the asset by not 16
147	147	later than 180 days after the date on 17
148	148	which the individual becomes a Member of 18
149	149	Congress. 19
150	150	(iii) A
151	151	PPLICATION.—This subpara-20
152	152	graph shall apply to a covered defense con-21
153	153	tractor that is performing or has per-22
154	154	formed a contract for the Department of 23
155	155	Defense during the 5-year period preceding 24
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159	159	the date on which the individual becomes a 1
160	160	Member of Congress. 2
161	161	(C) D
162	162	IVESTMENT OF ASSETS RECEIVED 3
163	163	WHILE A MEMBER .—An individual serving as a 4
164	164	Member of Congress, or the spouse or depend-5
165	165	ent child of such an individual, who receives 6
166	166	any asset described in paragraph (1) during the 7
167	167	period of such service, such as from an inherit-8
168	168	ance, shall complete the divestment of the asset 9
169	169	by not later than 120 days after the date on 10
170	170	which the individual or spouse receives the 11
171	171	asset. 12
172	172	(D) Q
173	173	UALIFIED BLIND TRUST PROHIB -13
174	174	ITED.—Placing an asset described in paragraph 14
175	175	(1) in a qualified blind trust (as that term is 15
176	176	defined in section 13104(f)(3) of title 5, United 16
177	177	States Code), or any other blind trust, shall not 17
178	178	qualify as a divestment under such paragraph 18
179	179	for purposes of compliance with the require-19
180	180	ments of this Act. 20
181	181	(c) E
182	182	XCEPTIONS.—Nothing in this section shall be 21
183	183	construed to prevent— 22
184	184	(1) a Member of Congress or their spouse or 23
185	185	dependent child from owning or trading— 24
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189	189	(A) a widely held investment fund, if the 1
190	190	widely held investment fund— 2
191	191	(i) does not present a conflict of inter-3
192	192	est; 4
193	193	(ii) is diversified; and 5
194	194	(iii) in the literature it distributes to 6
195	195	prospective and current investors or par-7
196	196	ticipants, does not indicate the objective or 8
197	197	practice of concentrating its investments in 9
198	198	covered defense contractors or entities in 10
199	199	the defense industrial base, if the Member 11
200	200	of Congress, or the spouse or dependent 12
201	201	child of such an individual, neither exer-13
202	202	cises control nor has the ability to exercise 14
203	203	control over the financial interests held in 15
204	204	the fund; 16
205	205	(B) shares of Settlement Common Stock 17
206	206	issued under section 7(g)(1)(A) of the Alaska 18
207	207	Native Claims Settlement Act (43 U.S.C. 19
208	208	1606(g)(1)(A)); 20
209	209	(C) shares of Settlement Common Stock, 21
210	210	as defined in section 3 of the Alaska Native 22
211	211	Claims Settlement Act (43 U.S.C. 1602); 23
212	212	(D) a United States Treasury bill, note, or 24
213	213	bond; 25
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217	217	(E) an investment fund held in a Federal, 1
218	218	State, or local government employee retirement 2
219	219	plan; or 3
220	220	(F) an interest in an investment fund reg-4
221	221	istered as an investment company under section 5
222	222	3 of the Investment Company Act of 1940 (15 6
223	223	U.S.C. 80a–3) that is diversified; and 7
224	224	(2) a spouse or dependent child of a Member of 8
225	225	Congress from trading any asset described in sub-9
226	226	section (b)(1) that is not owned by the spouse, child, 10
227	227	or Member of Congress in the course of performing 11
228	228	the primary occupation of the spouse or child. 12
229	229	(d) C
230	230	IVILFINES.—The Attorney General or the Spe-13
231	231	cial Counsel may bring a civil action in the appropriate 14
232	232	United States district court against any Member of Con-15
233	233	gress or their spouse or dependent child who engages in 16
234	234	conduct constituting a violation of this section and, upon 17
235	235	proof of such conduct by a preponderance of the evidence, 18
236	236	such Member of Congress, spouse, or child (as the case 19
237	237	may be) shall be subject to a civil penalty of not more 20
238	238	than $50,000 for each violation. The imposition of a civil 21
239	239	penalty under this subsection does not preclude any other 22
240	240	criminal or civil statutory, common law, or administrative 23
241	241	remedy, which is available by law to the United States or 24
242	242	any other person. 25
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246	246	(e) NONRECOGNITION OF GAIN.— 1
247	247	(1) I
248	248	N GENERAL.—Paragraph (1) of section 2
249	249	1043(b) of the Internal Revenue Code of 1986 is 3
250	250	amended— 4
251	251	(A) by striking ‘‘and’’ at the end of sub-5
252	252	paragraph (A); 6
253	253	(B) by redesignating subparagraph (B) as 7
254	254	subparagraph (C); 8
255	255	(C) by inserting after subparagraph (A) 9
256	256	the following new subparagraph: 10
257	257	‘‘(B) any Member of Congress or Member 11
258	258	of Congress-elect, but only with respect to a di-12
259	259	vestment of property required by the Stop Poli-13
260	260	ticians Profiting from War Act of 2025, and’’; 14
261	261	and 15
262	262	(D) by striking ‘‘subparagraph (A)’’ in 16
263	263	subparagraph (C), as so redesignated, and in-17
264	264	serting ‘‘subparagraph (A) or (B), whichever is 18
265	265	applicable’’. 19
266	266	(2) C
267	267	ERTIFICATE OF DIVESTITURE .—Subpara-20
268	268	graph (B) of section 1043(b)(2) of such Code is 21
269	269	amended— 22
270	270	(A) by striking ‘‘or by’’ and inserting 23
271	271	‘‘by’’; and 24
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275	275	(B) by inserting ‘‘, or by the applicable 1
276	276	congressional ethics committee (as that term is 2
277	277	defined in section 13101 of title 5), in the case 3
278	278	of Members of Congress, Members of Congress- 4
279	279	elect, and spouses of Members of Congress and 5
280	280	Members of Congress-elect’’ after ‘‘judicial offi-6
281	281	cers’’. 7
282	282	(3) E
283	283	FFECTIVE DATE.—The amendments made 8
284	284	by this subsection shall apply to sales of property 9
285	285	after the date of the enactment of this Act. 10
286	286	(f) I
287	287	NTERPRETIVE GUIDANCE.—The Select Com-11
288	288	mittee on Ethics of the Senate and the Committee on Eth-12
289	289	ics of the House of Representatives shall issue interpretive 13
290	290	guidance regarding relevant terms not defined in this Act. 14
291	291	Æ
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