[Congressional Record (Bound Edition), Volume 146 (2000), Part 7]
[Extensions of Remarks]
[Pages 10274-10275]
[From the U.S. Government Publishing Office, www.gpo.gov]



           THE NICARAGUAN ``PROPERTY PROTECTION ACT OF 2000''

                                 ______
                                 

                        HON. BENJAMIN A. GILMAN

                              of new york

                    in the house of representatives

                         Thursday, June 8, 2000

  Mr. GILMAN. Mr. Speaker, today, I am introducing the ``Property 
Protection Act of 2000'' with a notable list of co-sponsors. This bill 
will have the effect of removing the waiver for Nicaragua contained 
under section 527(g) of the Foreign Relations Authorization Act, Fiscal 
Years 1994 and 1995. Under current law, the President may waive 
mandatory sanctions prescribed to castigate a government that has not 
resolved outstanding property claims made by American citizens. In the 
case of Nicaragua, the President has every year since enactment chosen 
to exercise this waiver.
  I have been reluctant to seek this change to our law. It is the 
inaction of the Nicaraguan government in resolving a number of 
longstanding property claims by American citizens that compels us to 
take this action.
  The Sandinista regime, which ruled Nicaragua from 1979 to 1990, 
confiscated the property of thousands of Nicaraguan families and a 
number of American citizens. That was wrong. The United States Congress 
has long been on record pressing for the rights of U.S. citizens who 
were expropriated to be fairly compensated.
  The Nicaraguan government points out that it settled over 400 
property cases last year. But these numbers do not tell the whole 
story. In fact, many of these cases involve individuals who have simply 
given up hope of recovering their properties and resigned themselves to 
accepting Nicaraguan government bonds worth a fraction of their face 
value on world bond markets.
  There are also a number of cases that have languished unresolved for 
years. These include cases where the government of Nicaragua has been 
ordered by its own court system to make payments to Americans who had 
their property illegally confiscated. Another group of cases that have 
languished involve Public Sector National Corporations (CORNAP). The 
missing ingredient in resolving these cases is political will. In both 
instances, the rule of law can only be served if the government of 
Nicaragua lives up to its obligations.
  This bill will bring real pressure to bear by restricting U.S. 
bilateral assistance and U.S. support for multilateral assistance to 
the government of Nicaragua. The bill contains important exemptions for 
humanitarian and disaster relief assistance to avoid penalizing the 
people of Nicaragua. The bill also would allow vital counter-narcotics 
assistance to continue to flow to protect our nation from illicit 
drugs.
  The Property Protection Act of 2000, when enacted, will require the 
President to identify the 50 most urgent pending property claims by 
American citizens against the government of Nicaragua and to suspend 
assistance to the government of Nicaragua until these cases are 
resolved. This is not too much to ask. Our government has been very 
patient, but, regrettably, our patience seems to have been 
misinterpreted by the government of Nicaragua as a lack of interest.
  This bill will insure that the government of Nicaragua, and other 
states around the world, will understand that our citizens cannot have 
their property stolen with impunity.
  Mr. Speaker, at this point, I ask that the full text of H.R. 4602 be 
printed in the Congressional Record.


[[Page 10275]]

                               H.R. 4602

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Property Protection Act of 
     2000''.

     SEC. 2. PROTECTION OF UNITED STATES CITIZENS AGAINST 
                   EXPROPRIATIONS OF PROPERTY BY NICARAGUA.

       (a) Bilateral Assistance.--
       (1) In general.--Notwithstanding section 527(g) of the 
     Foreign Relations Authorization Act, Fiscal Years 1994 and 
     1995, assistance under the Foreign Assistance Act of 1961 or 
     the Arms Export Control Act for fiscal year 2001 or 2002 may 
     only be provided to the Government of the Republic of 
     Nicaragua if the President first makes a certification under 
     subsection (d) for the fiscal year involved.
       (2) Exception.--For purposes of paragraph (1), the term 
     ``assistance under the Foreign Assistance Act of 1961'' shall 
     not include--
       (A) assistance under chapter 1 or chapter 10 of part I of 
     such Act for child survival, basic education, assistance to 
     combat tropical and other diseases, and related activities;
       (B) assistance under section 481 of such Act (relating to 
     international narcotics control assistance); and
       (C) assistance under chapter 9 of part I of such Act 
     (relating to international disaster assistance).
       (b) Multilateral Assistance.--
       (1) In general.--The President shall instruct the United 
     States Executive Director at each multilateral development 
     bank and international financial institution to which the 
     United States is a member to use the voice, vote, and 
     influence of the United States to oppose any loan or other 
     utilization of the funds of such bank or institution for the 
     benefit of the Republic of Nicaragua for fiscal year 2001 or 
     2002 unless the President first makes a certification under 
     subsection (d) for the fiscal year involved.
       (2) Exception.--Paragraph (1) shall not apply with respect 
     to assistance that is directed specifically to programs which 
     serve the basic human needs of the citizens of Nicaragua.
       (c) Report.--Not later than September 1, 2000, or the date 
     of the enactment of this Act (whichever occurs later), and 
     not later than September 1, 2001, the President shall prepare 
     and transmit to Congress a detailed report listing the 50 
     most urgent property claims by United States citizens against 
     the Government of the Republic of Nicaragua which shall 
     include, but not be limited to, all property claims in which 
     Nicaraguan courts have ruled in favor of United States 
     citizens, and property claims by United States citizens 
     involving Public Sector National Corporations (CORNAP).
       (d) Certification.--A certification under this subsection 
     is a certification to the Congress that the Government of the 
     Republic of Nicaragua has returned the nationalized or 
     expropriated property of each United States citizen who has a 
     formally-documented claim against the Government of Nicaragua 
     listed in the report under subsection (c), or has provided 
     adequate and effective compensation in convertible foreign 
     exchange or other mutually acceptable compensation equivalent 
     to the full value of the nationalized or expropriated 
     property of each United States citizen who has a formally-
     documented claim against the Government of Nicaragua listed 
     in the report under subsection (c).

     

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