[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. Res. 457 Introduced in Senate (IS)]

112th CONGRESS
  2d Session
S. RES. 457

   Expressing the sense of Congress that the Republic of Argentina's 
    membership in the G20 should be conditioned on its adherence to 
international norms of economic relations and commitment to the rule of 
                                  law.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 10, 2012

Mr. Lugar submitted the following resolution; which was referred to the 
                     Committee on Foreign Relations

_______________________________________________________________________

                               RESOLUTION


 
   Expressing the sense of Congress that the Republic of Argentina's 
    membership in the G20 should be conditioned on its adherence to 
international norms of economic relations and commitment to the rule of 
                                  law.

Whereas Argentina has enjoyed the privilege of membership in the Group of Twenty 
        Finance Ministers and Central Bank Governors (G20);
Whereas, at the Summit of the Group of Twenty in 2008, G20 leaders declared that 
        ``our work will be guided by a shared belief that market principles, 
        open trade and investment regimes, and effectively regulated financial 
        markets foster the dynamism, innovation, entrepreneurship that are 
        essential for economic growth, employment and poverty reduction'';
Whereas, at the Pittsburgh Summit of 2009, G20 nations ``designated the G20 to 
        be the premier forum for our international economic cooperation'';
Whereas, at the Cannes Summit of 2011, G20 leaders reaffirmed their ``commitment 
        to work together'' and stressed among other principles the need to 
        conduct International Monetary Fund surveillance of national economies, 
        avoid protectionism and the need to reinforce the multilateral trading 
        system, strengthen anti-money laundering measures, and combat financing 
        of terrorism;
Whereas the Republic of Argentina has consistently violated the spirit and 
        letter of these and other G20 declarations through its policy of 
        expropriating the property of foreign investors, evading the judgments 
        of United States courts, ignoring decisions of international arbitral 
        forums, refusing to comply with International Monetary Fund membership 
        requirements, and failing to implement anti-money laundering and 
        terrorist financing measures;
Whereas the President Cristina Fernandez de Kirchner has flouted international 
        norms and agreements by proposing legislation to nationalize Argentina's 
        largest oil and gas producer, YPF SA, effectively expropriating the 
        assets of foreign investors;
Whereas President Fernandez won congressional backing to seize YPF SA (YPFD) 
        from Spain's Repsol YPF SA (YPF), with the Argentina Senate approving 
        the legislation on April 26, 2012, and the lower house of the Argentina 
        Congress voting 207 to 32 on May 3, 2012, to back her bill empowering 
        the Government of Argentina to take 51 percent of YPF;
Whereas Argentina has persistently ignored claims brought by United States and 
        other countries before the International Center for Settlement of 
        Investment Disputes (ICSID), administered by the World Bank, despite 
        receiving billions of dollars in loans from the World Bank;
Whereas Argentina remains one of only four countries, and the only G20 member, 
        that refuse to submit to an International Monetary Fund review in 
        violation of Article IV of the IMF Charter; and
Whereas the Financial Action Task Force has warned of Argentina's failure to 
        comply with fully 47 out of 49 recommendations to address the 
        vulnerability of institutions to terrorist financing and money 
        laundering, giving Argentina the worst evaluation of any G20 nation: 
        Now, therefore, be it
    Resolved, That the Senate--
            (1) finds that the Republic of Argentina has failed to meet 
        the responsibilities inherent to membership in the G20;
            (2) calls upon the President and the Secretary of the 
        Treasury to work with the governments of the G20 to suspend the 
        participation of the Republic of Argentina in the G20 until the 
        Government of Argentina has fully demonstrated its intent to 
        adhere to international norms of economic relations and to 
        commit to the rule of law; and
            (3) calls upon the President and the Secretary of the 
        Treasury to work with the governments of the G20 members to 
        condition any reinstatement of Argentina's membership in the 
        G20 on its demonstrated compliance with its international 
        commitments and obligations.
                                 <all>