Page 109 TITLE 22—FOREIGN RELATIONS AND INTERCOURSE § 284f

velopment, and the alternate for each of them,

appointed under section 286a of this title, shall

serve as Governor, Executive Director and alternates, respectively, of the Association.

(Pub. L. 86–565, §3, June 30, 1960, 74 Stat. 293.)

§ 284b. National Advisory Council on International Monetary and Financial Problems

The provisions of section 286b of this title,

shall apply with respect to the Association to

the same extent as with respect to the International Bank for Reconstruction and Development and the International Monetary Fund.

(Pub. L. 86–565, §4, June 30, 1960, 74 Stat. 294;

Pub. L. 101–240, title V, §541(e)(4), Dec. 19, 1989,

103 Stat. 2518.)

AMENDMENTS

1989—Pub. L. 101–240 struck out at end ‘‘Reports with

respect to the Association under paragraphs (5) and (6)

of subsection (b) of section 286b of this title, shall be included in the first report made thereunder after the establishment of the Association and in each succeeding

report.’’

DELEGATION OF FUNCTIONS

Functions of National Advisory Council on International Monetary and Financial Problems under this

section delegated to National Advisory Council on

International Monetary and Financial Policies, see section 2(a) of Ex. Ord. No. 11269, Feb. 14, 1966, 31 F.R. 2813,

set out as a note under section 286b of this title.

§ 284c. Congressional authorization needed for

certain actions

Unless Congress by law authorizes such action,

neither the President nor any person or agency

shall, on behalf of the United States, (a) subscribe to additional funds under article III, section 1, of the articles; (b) accept any amendment

under article IX of the articles; or (c) make a

loan or provide other financing to the Association.

(Pub. L. 86–565, §5, June 30, 1960, 74 Stat. 294.)

§ 284d. Federal Reserve banks as depositories

Any Federal Reserve bank which is requested

to do so by the Association shall act as its depository or as its fiscal agent, and the Board of

Governors of the Federal Reserve System shall

supervise and direct the carrying out of these

functions by the Federal Reserve banks.

(Pub. L. 86–565, §6, June 30, 1960, 74 Stat. 294.)

§ 284e. Payment of subscription to Association by

United States

(a) Authorization of appropriations for subscription

There is hereby authorized to be appropriated,

without fiscal year limitation, for the subscription of the United States to the Association,

$320,290,000.

(b) Increase in Association resources; contribution; authorization of appropriations

The United States Governor is hereby authorized (1) to vote for an increase in the resources

of the Association and (2) to agree on behalf of

the United States to contribute to the Association the sum of $312 million, both as recommended by the Executive Directors, in a report dated September 9, 1963, to the Board of

Governors of the Association. There is hereby

authorized to be appropriated out of funds supplied by the Nation’s taxpayers or out of funds

borrowed on their credit, without fiscal year

limitations, $312 million to provide the United

States share of the increase in the resources of

the Association.

(c) Issuance of special notes

For the purpose of keeping to a minimum the

cost to the United States of participation in the

Association, the Secretary of the Treasury is

authorized and directed to issue special notes of

the United States from time to time, at par, and

to deliver such notes to the Association in exchange for dollars to the extent permitted by

the articles. The special notes provided for in

this subsection shall be issued under the authority and subject to the provisions of chapter 31 of

title 31, and the purposes for which securities

may be issued under that chapter are extended

to include the purposes for which special notes

are authorized and directed to be issued under

this subsection, but such notes shall bear no interest, shall be nonnegotiable, and shall be payable on demand of the Association. The face

amount of special notes issued to the Association under the authority of this subsection and

outstanding at any one time shall not exceed, in

the aggregate, the amount actually paid to the

Association under the articles.

(d) Income covered into Treasury

Any payment made to the United States by

the Association as a distribution of net income

shall be covered into the Treasury as a miscellaneous receipt.

(Pub. L. 86–565, §7, June 30, 1960, 74 Stat. 294;

Pub. L. 88–310, §§1, 2, May 26, 1964, 78 Stat. 200.)

CODIFICATION

In subsec. (c), ‘‘chapter 31 of title 31’’ and ‘‘that chapter’’ substituted for ‘‘the Second Liberty Bond Act, as

amended’’ and ‘‘that Act’’, respectively, on authority of

Pub. L. 97–258, §4(b), Sept. 13, 1982, 96 Stat. 1067, the

first section of which enacted Title 31, Money and Finance.

AMENDMENTS

1964—Subsecs. (b) to (d). Pub. L. 88–310 added subsec.

(b), redesignated former subsec. (b) as (c) and struck

out ‘‘, after paying the requisite part of the subscription of the United States in the Association required to

be made under the articles.’’ after ‘‘Secretary of the

Treasury’’ in first sentence and ‘‘of the subscription of

the United States’’ after ‘‘amount’’ in third sentence,

respectively, and redesignated former subsec. (c) as (d).

§ 284f. Jurisdiction and venue of actions

For the purpose of any action which may be

brought within the United States, its possessions, or the Commonwealth of Puerto Rico, by

or against the Association in accordance with

the articles, the Association shall be deemed to

be an inhabitant of the Federal Judicial district

in which its principal office in the United States

is located, and any such action at law or in equity to which the Association shall be a party

shall be deemed to arise under the laws of the
§ 284g TITLE 22—FOREIGN RELATIONS AND INTERCOURSE Page 110

United States, and the district courts of the

United States shall have original jurisdiction of

any such action. When the Association is a defendant in any such action, it may, at any time

before the trial thereof, remove such action

from a State court into the district court of the

United States for the proper district by following the procedure for removal of causes otherwise provided by law.

(Pub. L. 86–565, §8, June 30, 1960, 74 Stat. 294.)

FEDERAL RULES OF CIVIL PROCEDURE

One form of action, see rule 2, Title 28, Appendix, Judiciary and Judicial Procedure.

CROSS REFERENCES

Removal of cases from State to district courts, see

section 1441 et seq. of Title 28, Judiciary and Judicial

Procedure.

§ 284g. Status, privileges, and immunities of the

United States

The provisions of article VII, section 5(d), and

article VIII sections 2 to 9, both inclusive, of the

articles shall have full force and effect in the

United States, its possessions, and the Commonwealth of Puerto Rico, upon acceptance of membership by the United States in, and the establishment of, the Association.

(Pub. L. 86–565, §9, June 30, 1960, 74 Stat. 295.)

§ 284h. Second replenishment; authorization of

appropriations

The United States Governor is hereby authorized (1) to vote in favor of the second replenishment resolutions providing for an increase in

the resources of the Association, and (2) to agree

on behalf of the United States to contribute to

the Association the sum of $480,000,000, as recommended by the Executive Directors in a report dated March 8, 1968, to the Board of Governors of the Association. There is hereby authorized to be appropriated, without fiscal year

limitation, $480,000,000 for payment by the Secretary of the Treasury of the United States

share of the increase in the resources of the Association.

(Pub. L. 86–565, §10, as added Pub. L. 91–14, May

23, 1969, 83 Stat. 10.)

§ 284i. Third replenishment; authorization of appropriations

The United States Governor is hereby authorized to agree on behalf of the United States to

contribute to the Association three annual installments of $320,000,000 each as recommended

in the ‘‘Report of the Executive Directors to the

Board of Governors on Additions to IDA Resources: Third Replenishment,’’ dated July 21,

1970. There is hereby authorized to be appropriated, without fiscal year limitation, the

amounts necessary for payment by the Secretary of the Treasury of three annual installments of $320,000,000 each for the United States

share of the increase in the resources of the Association.

(Pub. L. 86–565, §11, as added Pub. L. 92–247, §1,

Mar. 10, 1972, 86 Stat. 60.)

§ 284j. Expropriation of United States property;

loan restrictions

The President shall instruct the United States

Executive Directors of the International Bank

for Reconstruction and Development and the

International Development Association to vote

against any loan or other utilization of the

funds of the Bank and the Association for the

benefit of any country which has—

(1) nationalized or expropriated or seized

ownership or control of property owned by any

United States citizen or by any corporation,

partnership, or association not less than 50 per

centum of which is beneficially owned by the

United States citizens;

(2) taken steps to repudiate or nullify existing contracts or agreements with any United

States citizen or any corporation, partnership,

or association not less than 50 per centum of

which is beneficially owned by United States

citizens; or

(3) imposed or enforced discriminatory taxes

or other exactions, or restrictive maintenance

or operational conditions, or has taken other

actions, which have the effect of nationalizing,

expropriating, or otherwise seizing ownership

or control of property so owned;

unless the President determines that (A) an arrangement for prompt, adequate, and effective

compensation has been made, (B) the parties

have submitted the dispute to arbitration under

the rules of the Convention for the Settlement

of Investment Disputes, or (C) good faith negotiations are in progress aimed at providing

prompt, adequate, and effective compensation

under the applicable principles of international

law.

(Pub. L. 86–565, §12, as added Pub. L. 92–247, §1,

Mar. 10, 1972, 86 Stat. 60.)

§ 284k. Illegal drug traffic; loan restrictions

The Secretary of the Treasury shall instruct

the United States Executive Directors of the

International Bank for Reconstruction and Development and the International Development

Association to vote against any loan or other

utilization of the funds of the Bank and the Association for the benefit of any country with respect to which the President has made a determination, and so notified the Secretary of the

Treasury, that the government of such country

has failed to take adequate steps to prevent narcotic drugs and other controlled substances (as

defined by the Comprehensive Drug Abuse Prevention and Control Act of 1970 [21 U.S.C. 801 et

seq.]) produced or processed, in whole or in part,

in such country, or transported through such

country, from being sold illegally within the jurisdiction of such country to United States Government personnel or their dependents, or from

entering the United States unlawfully. Such instruction shall continue in effect until the

President determines, and so notifies the Secretary of the Treasury, that the government of

such country has taken adequate steps to prevent such sale or entry of narcotic drugs and

other controlled substances.

(Pub. L. 86–565, §13, as added Pub. L. 92–247, §2,

Mar. 10, 1972, 86 Stat. 61.)