The US Department of the Treasury (“Treasury”) published two proposed rules on September 24, 2019 that would significantly expand the jurisdiction of the Committee on Foreign Investment in the United States (“CFIUS”) to review inbound U.S. foreign investment for national security risks. The proposed rules, which have been in the works for months, would implement the Foreign Investment Risk Review Modernization Act of 2018 (“FIRRMA”) by expanding CFIUS’s jurisdiction over transactions involving foreign government-controlled investors, U.S. critical infrastructure and critical technology companies, companies that hold significant amounts of sensitive personal data, and certain U.S. real estate. The rules would also make relatively modest changes to CFIUS’s procedures. Interested parties must submit written comments to Treasury on or before October 17, 2019.
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