Key Facts

• MP Kevan Jones raised points of order concerning lack of explanatory notes on foreign agent registration.
• A commitment was given to provide the ISC with examples related to clause 23 but a formal briefing date has not been set yet.
• Clause 8 - Disclosure orders is introduced and discussed.
• New clause 8 and new schedule 1 introduce measures for law enforcement to gather information on foreign power threat activity.
• Financial investigation is important for establishing links between activities and foreign powers.
• The National Crime Agency will have access to these new financial and property investigation powers.
• Disclosure orders streamline the process of obtaining non-excluded material from multiple organisations during investigations.
• The new schedules aim to address challenges posed by modern day espionage.
• Counter Terrorism Policing submitted written evidence supporting the new schedules.
• Assistant Commissioner Matt Jukes requested financial investigation powers.
• Paragraphs 7 and 17 of new schedule 1 outline offences and evidentiary use in criminal proceedings.
• There is a suggestion to be explicit about the rank required for officers exercising certain powers within the legislation.
• New Schedule 1 provides powers to investigate foreign threat activity.
• Questions are raised about how property is linked to foreign power threat activities.
• Concerns are expressed regarding potential self-incrimination in questioning.
• Paragraph 3(4) of new schedule 1 aims to allow disclosure orders despite restrictions imposed by other enactments.
• Customer information orders are intended as a tool of discovery during early-stage investigations.
• The powers will be used by police and NCA officers trained in financial investigation.
• The provisions are modelled on similar measures under the Terrorism Act 2000 and Proceeds of Crime Act 2002.
• Account monitoring orders will provide specified information from financial institutions about an account for up to 90 days.
• Information is typically provided in the form of a bank statement every few hours.
• The process follows judicial approval similar to terrorism cases under the Proceeds of Crime Act.
• The term 'constable' refers to a generic officer rank.
• Account monitoring orders can be applied by officers of lower ranks due to less intrusive nature.
• Financial institutions include those regulated under the Proceeds of Crime Act and Terrorism Act definitions.
• Overseas territories operate under different jurisdictions, requiring specific considerations.
• A person making a foreign activity arrangement must register it with the Secretary of State within 10 days.
• A specified person can be either a foreign power or another entity controlled by one, if they are not an individual and reasonably believed to be under foreign control.
• Regulations may specify when such registration is required based on considerations of protecting UK safety and interests.
• The new clauses are part of a series announced on Second Reading.
• FARA (Foreign Agents Registration Act) in the US requires disclosure to the Department of Justice where individuals represent foreign interests.
• Australia's Foreign Influence Transparency Scheme Act was passed in 2018.
• The UK scheme will require registration for political influence activities directed by or carried out by foreign entities within the UK.
• The scheme exempts individuals to whom privileges and immunities apply under international law, legal services, domestic and international news publishers, and arrangements with Ireland.
• George Brandis, former Australian Attorney General, commented that the UK scheme should command bipartisan support for its necessity in protecting national interest.
• Tier 2 of the registration requirement will provide greater scrutiny and deter covert activities by increasing penalties for non-compliance.
• New clause 11 requires the Secretary of State to discuss specified foreign powers and entities' activities in the UK.
• Tier 1 registrations for political influence are public.
• Tier 2 enhanced registrations may be kept private initially to maintain ongoing cooperation.
• New clause 11 provides three principal benefits: understanding of scale, increased penalties for non-compliance, and earlier disruption of state threats.
• Registration is required when activity within the UK is directed by a specified foreign power or entity.
• The Secretary of State can specify foreign powers or entities if it is reasonably necessary to protect UK safety or interests.
• Formal structures, including contracts or payments from a specified foreign power or entity to a person, establish a power relationship for 'direction'.
• A generic request made through public communication is not considered a 'direction'.
• Control over an entity by a foreign power is defined as holding more than 25% of shares or voting rights or having the right to appoint/remove officers.
• The Economic Crime and Corporate Transparency Bill complements the National Security Bill in addressing control issues.
• A registration requirement applies within 10 days or before an activity pursuant to a foreign arrangement takes place.
• Offences are committed if a person fails to register and knows—or ought reasonably to know—that the arrangement is a foreign activity arrangement.
• 'Foreign power control' includes 25% shareholding, formal mechanisms like voting rights, and indirect controls such as appointing officers.
• The 1922 Committee elections for Select Committees are scheduled for 2 PM.
• The Minister is willing to move an amendment to change the sitting time of the Committee to avoid the clash.
• The proposed new sitting times are from 2:15 PM to 5:15 PM.
• The foreign influence registration scheme is a new addition to the Bill.
• Feedback from officials suggests that technical explanatory statements are only provided when amendments are published on the amendment paper.
• Detailed explanations and examples are typically found in the explanatory notes published alongside the Bill.
• The Bill's explanatory notes lack real-world examples explaining how the foreign influence registration scheme would work.
• New clause 11 requires registration of arrangements with specified persons within 10 days.
• Subsection (4) specifies conditions for a person to be controlled by a foreign power, including holding more than 25% of voting rights or shares.
• The Bill proposes a two-tier system with a broad primary political tier followed by an enhanced one.
• Designation of states or organisations for the enhanced tier will have profound implications and diplomatic challenges.
• New clause 12 does not put any obligation on people in the UK undertaking activities via intermediaries in another country.
• The Bill has taken too long to be introduced despite previous reports from 2020.
• Tier 1 provisions will be publicly available, in contrast to tier 2 which remains unclear.
• Concerns about diplomatic pressures and practical implementation of the enhanced tier are raised.
• Eagle expresses concern over the complexity of the proposed scheme.
• The proposal includes a two-tier registration system which is confusing and complex compared to having one tier applying to all countries.
• There is questioning about why certain harmful activities outside political influencing are only registrable when specified in secondary legislation involving foreign powers.