What Is The Story?
The Time to Act is Now
- Senior members of prior U.S. administrations, as well as members of Congress, have vetted and confirmed the validity and defaulted nature of these bonds, yet to date, no U.S. administration has actively pursued repayment from the PRC.
- With the President’s approval, the U.S. Treasury has the existing legal authority to acquire the Bonds from ABF and use them to pay down the U.S. national debt to China.
- Congress should pass legislation requiring the PRC to abide by international norms and rules of finance, trade, and commerce, including transparency rules of capital markets and exchanges, and end its practices of exclusionary settlement, discriminatory payments, selective default, and rejection of the successor government doctrine of settled international law, or be barred, together with its state-controlled enterprises, from access to all U.S. dollar-denominated sovereign bond offerings.