
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 22USC2777]

 
               TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
 
                     CHAPTER 39--ARMS EXPORT CONTROL
 
                SUBCHAPTER III--MILITARY EXPORT CONTROLS
 
Sec. 2777. Fiscal provisions relating to foreign military sales 
        credits
        

(a) Permissible uses of cash payments under sections 2761, 2762, 2763, 
        and 2769

    Cash payments received under sections 2761, 2762, and 2769 of this 
title and advances received under section 2763 of this title shall be 
available solely for payments to suppliers (including the military 
departments) and refunds to purchasers and shall not be available for 
financing credits and guaranties.

(b) Transfer of funds to miscellaneous receipts of Treasury

    Amounts received from foreign governments and international 
organizations as repayments for credits extended pursuant to section 
2763 of this title, amounts received from the disposition of instruments 
evidencing indebtedness under section 2764(b) of this title (excluding 
such portion of the sales proceeds as may be required at the time of 
disposition to be obligated as a reserve for payment of claims under 
guaranties issued pursuant to section 2764(b) of this title, which sums 
are made available for such obligations), and other collections 
(including fees and interest) shall be transferred to the miscellaneous 
receipts of the Treasury.

(c) Credit of funds to reserve under section 2764(c)

    Notwithstanding the provisions of subsection (b) of this section, to 
the extent that any of the funds constituting the reserve under section 
2764(c) of this title are paid out for a claim arising out of a loan 
guaranteed under section 2764 of this title, amounts received from a 
foreign government or international organization after the date of such 
payment, with respect to such claim, shall be credited to such reserve, 
shall be merged with the funds in such reserve, and shall be available 
for any purpose for which funds in such reserve are available.

(Pub. L. 90-629, ch. 3, Sec. 37, Oct. 22, 1968, 82 Stat. 1326; Pub. L. 
93-189, Sec. 25(11), Dec. 17, 1973, 87 Stat. 731; Pub. L. 96-533, title 
I, Secs. 104(b), 105(e)(1), Dec. 16, 1980, 94 Stat. 3133, 3135.)


                               Amendments

    1980--Subsec. (a). Pub. L. 96-533, Sec. 105(e)(1), inserted 
reference to section 2769 of this title.
    Subsec. (c). Pub. L. 96-533, Sec. 104(b), added subsec. (c).
    1973--Subsec. (b). Pub. L. 93-189 inserted provisions relating to 
indebtedness under section 2764(b) of this title and exclusions of 
portions of the sales proceeds required at the time of disposition as a 
reserve for payment of claims under guaranties issued under section 
2764(b) of this title.

                  Section Referred to in Other Sections

    This section is referred to in section 2291c of this title; title 10 
section 114.
