April 11, 2025 (Washington, D.C.) – The Committee for Freedom in Hong Kong (CFHK) Foundation welcomes the introduction of the Stop Corrupt Communist Party (CCP) Money Laundering Act (S.1339) in the U.S. Senate by Senator John Curtis (R-UT) and Senator Jeff Merkley (D-OR).
The bipartisan bill calls for the Treasury Secretary to submit a determination to the U.S. Congress on whether the U.S. should designate Hong Kong as a Primary Money Laundering Concern (PMLC) jurisdiction. The legislation also requires the Treasury Secretary to produce a detailed justification and report evaluating the extent of the role Hong Kong plays in facilitating the transfer of products and technologies to Russia, Iran, North Korea, and other sanctioned entities, as well as mainland China, in violation of U.S. export controls.
The report will include an assessment of whether Hong Kong’s National Security Law has limited the ability of financial institutions to adhere to global standards for anti-money laundering and know-your-customer procedures, and a description of the level of cooperation between Hong Kong and U.S. authorities in enforcing export control and sanctions regimes.
The bill is an important step towards mitigating Hong Kong’s role in the transfer of funding and restricted technology to Russia, Iran, and North Korea. In our report, “Beneath the Harbor: Hong Kong’s Leading Role in Sanctions Evasion,” author Samuel Bickett details Hong Kong’s emergence as a global center for illicit finance and how the city’s growing role as a sanctions evasion hub reflects deliberate government policy. The Stop Corrupt Communist Party (CCP) Money Laundering Act (S.1339) will help enforce U.S. sanctions and export controls and restrict the funneling of resources through Hong Kong which fuel and support the destabilizing actions of sanctioned regimes.
Shannon Van Sant, Strategy & Public Affairs Adviser for the CFHK Foundation said:
“Hong Kong has become the world leader in money laundering and illicit finance since Beijing imposed a 2020 National Security Law on the city and is now unrecognizable from its prior role as a reliable partner in maintaining international order and stability. We applaud Senator Curtis and Senator Merkley for acting on Hong Kong’s growing role as a transshipment center to sanctioned regimes.”
Samuel Bickett, Hong Kong human rights lawyer and advocate, said:
“Hong Kong has become a global hub for sanctions evasion, facilitating the flow of battlefield technology to Russia, money and resources to North Korea, and missile and drone components to Iran. Its banks and trade networks provide a financial lifeline for regimes that threaten global security. Designating Hong Kong as a Primary Money Laundering Concern will impose stricter due diligence requirements on U.S. financial institutions, limit Hong Kong’s access to the U.S. financial system, and deter banks and businesses worldwide from enabling its role in sanctions and export control evasion. This is a necessary step to disrupt illicit networks, curb authoritarian aggression, and protect global democracies.”
