
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 22USC5414]

 
               TITLE 22--FOREIGN RELATIONS AND INTERCOURSE
 
         CHAPTER 63--SUPPORT FOR EAST EUROPEAN DEMOCRACY (SEED)
 
                   SUBCHAPTER I--STRUCTURAL ADJUSTMENT
 
Sec. 5414. Debt-for-equity swaps and other special techniques


(a) Reduction of debt burden

    The President shall take all appropriate actions to explore and 
encourage innovative approaches to the reduction of the government-to-
government and commercial debt burden of East European countries which 
have taken substantive steps toward political democracy and economic 
pluralism.

(b) Authority for discounted sales of debt

    Notwithstanding any other provision of law, the President may 
undertake the discounted sale, to private purchasers, of United States 
Government debt obligations of an East European country which has taken 
substantive steps toward political democracy and economic pluralism, 
subject to subsection (c) of this section.

(c) Condition

    An obligation may be sold under subsection (b) of this section only 
if the sale will facilitate so-called debt-for-equity or debt-for-
development swaps wherein such newly privatized debt is exchanged by the 
new holder of the obligation for--
        (1) local currencies, policy commitments, or other assets needed 
    for development or other economic activities, or
        (2) for an equity interest in an enterprise theretofore owned by 
    the particular East European government.

(Pub. L. 101-179, title I, Sec. 104, Nov. 28, 1989, 103 Stat. 1304.)

                         Delegation of Functions

    Functions of President under this section delegated to Secretary of 
the Treasury by section 4 of Ex. Ord. No. 12703, Feb. 20, 1990, 55 F.R. 
6351, set out as a note under section 5401 of this title.
