To provide authority for the President to seize Iraqi-held interests in U.S. entities engaged in interstate commerce, and for other purposes.

Requires the President to: (1) identify those entities engaged in interstate commerce in the United States that are controlled by Iraqi persons; (2) conduct investigations to determine whether Iraqi control of any such entity might impair the national security; and (3) identify all property or interests in property in which transactions are blocked pursuant to specified executive orders freezing Iraqi assets.

Grants the President the authority to: (1) order the seizure of any such property or interest if the President determines that Iraqi control thereof might impair national security and that seizure is in the national interest; and (2) use the proceeds of any such property or interest to pay the claims of U.S. persons against the Government of Iraq because of its suspension of payments due on credit extended by such U.S. persons or other contractual obligations of such Government that are held by U.S. persons. Requires that such payments be distributed equally among all U.S. persons having claims against such Government and requires the President to establish claims procedures.

Grants the President access to information necessary to carry out the provisions of this Act.

 
HR 5930 IH
101st CONGRESS
2d Session
 H. R. 5930
To provide authority for the President to seize Iraqi-held interests in
United States entities engaged in interstate commerce, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
October 25, 1990
Mr. WALGREN introduced the following bill; which was referred jointly to
the Committees on Foreign Affairs and Energy and Commerce
A BILL
To provide authority for the President to seize Iraqi-held interests in
United States entities engaged in interstate commerce, and for other purposes.
  Be it enacted by the Senate and House of Representatives of the United
  States of America in Congress assembled,
SECTION 1. REVIEW OF IRAQI CONTROL OF UNITED STATES COMPANIES.
  (a) IDENTIFICATION OF IRAQI-CONTROLLED UNITED STATES COMPANIES- The President
  shall identify, within 120 days after the date of enactment of this Act,
  those entities engaged in interstate commerce in the United States that
  are controlled by Iraqi persons.
  (b) INVESTIGATIONS-
  (1) DETERMINATION TO BE MADE- Except as provided in paragraph (2), the
  President shall conduct an investigation with respect to each United States
  entity identified pursuant to subsection (a) for purposes of determining
  whether Iraqi control of that entity might impair the national security.
  (2) EXCEPTIONS TO REQUIREMENT FOR INVESTIGATION- An investigation is not
  required pursuant to paragraph (1) with respect to an entity identified
  pursuant to subsection (a) if the President determines that there would
  be no reasonable basis for making the determination described in that
  paragraph with respect to that entity.
SEC. 2. IDENTIFICATION OF FROZEN IRAQI ASSETS.
  The President shall identify, within 30 days after the date of enactment
  of this Act, all property or interests in property in which transactions
  are blocked pursuant to Executive Order 12722 (August 2, 1990) or Executive
  Order 12724 (August 9, 1990).
SEC. 3. SEIZURE AUTHORITY.
  (a) PRESIDENTIAL DETERMINATIONS- The actions described in subsection (b)
  of this section may be taken with respect to--
  (1) any interest in a United States entity engaged in interstate commerce
  that is held directly or indirectly by any Iraqi person if the President
  determines pursuant to section 1(b)(1) that Iraqi control of that United
  States entity might impair the national security; and
  (2) any property or interest in property identified pursuant to section
  2 if the President determines that it is in the national interest to take
  such action with respect to that property.
  (b) SEIZURE BY THE UNITED STATES- The President may direct that any property
  or interest in property with respect to which a determination is made under
  subsection (a) shall vest (when, as, and upon such terms as the President may
  direct) in such agency or person as the President may designate. Upon such
  terms and conditions as the President may prescribe, such interest shall
  be held, used, administered, liquidated, sold, or otherwise dealt with, in
  the interest of and for the benefit of the United States (including payment
  of claims pursuant to section 4), and such designated agency or person may
  perform any and all acts incident to the accomplishment or furtherance of
  these purposes. Any payment, conveyance, transfer, assignment, or delivery of
  any interest made to or for the account of the United States, or as otherwise
  directed, pursuant to this subsection shall to the extent thereof be a full
  acquittance and discharge for all purposes of the obligation of the person
  making the same; and no person shall be held liable in any court for or in
  respect to anything done or omitted in good faith in connection with the
  administration of, or in pursuance of and in reliance on, this subsection.
SEC. 4. PAYMENT OF UNITED STATES CLAIMS AGAINST IRAQ.
  (a) IN GENERAL- The President is authorized to use any funds vested under
  section 3, or obtained by selling or otherwise liquidating interests in
  property vested under that section, to pay the claims of United States
  persons against the Government of Iraq because of its suspension of
  payments due on account of credit extended by such United States persons
  or on account of other contractual obligations of the Government of Iraq
  that are held by such United States persons.
  (b) EQUITABLE DISTRIBUTION OF PAYMENTS- Payments to United States persons
  pursuant to this section shall be distributed equitably among all United
  States persons having claims against the Government of Iraq described in
  subsection (a).
  (c) CLAIMS PROCEDURES- The President shall establish such procedures as
  the President may determine appropriate for carrying out this section.
SEC. 5. DEFINITIONS.
  As used in this Act, the term `Iraqi person' means the Government of Iraq,
  any entity organized under the laws of Iraq, and any citizen of Iraq
  (excluding any such citizen who is lawfully admitted to the United States
  for permanent residence).
SEC. 6. ACCESS.
  (2)Nothwithstanding any other provision of law, the President hall have
  access to information necessary to carry out the provisions of this Act.