[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H. Res. 289 Introduced in House (IH)]
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117th CONGRESS
1st Session
H. RES. 289
Urging the United States Secretary of State to take action regarding
unpaid Peruvian agrarian reform bonds.
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IN THE HOUSE OF REPRESENTATIVES
April 1, 2021
Mr. Norcross (for himself, Mr. McKinley, Mr. Kildee, Mr. Zeldin, Mr.
Thompson of California, Mr. McGovern, Mrs. Trahan, Mr. Ruppersberger,
Ms. Sherrill, Mr. Katko, Mr. Lynch, Mr. Turner, Mrs. Torres of
California, Mr. Levin of California, Mrs. Dingell, Mr. Sires, Mr.
Gottheimer, Mrs. Beatty, Mr. Suozzi, Mrs. Murphy of Florida, and Mr.
Keating) submitted the following resolution; which was referred to the
Committee on Foreign Affairs
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RESOLUTION
Urging the United States Secretary of State to take action regarding
unpaid Peruvian agrarian reform bonds.
Whereas, beginning in 1969, Peruvian General Juan Velasco Alvarado and his
military government expropriated millions of acres of agricultural land
as part of a broad agrarian reform, and compensated thousands of
landholders with agrarian reform bonds;
Whereas, in the 1980s and 1990s, Peru experienced severe hyperinflation and
twice changed its currency, leaving the agrarian reform bonds worthless;
Whereas, during the 1980s, Peru defaulted on the agrarian reform bonds, and by
1992, Peru's Government had ceased making payments on the agrarian
reform bonds;
Whereas Peru's Constitutional Tribunal has repeatedly ruled that the agrarian
reform bonds should be fully reimbursed by the Peruvian Government;
Whereas despite this court ruling, Peru has begun a process of payment to
bondholders based on a valuation that is not consistent with the current
value set by Peru's Constitutional Tribunal in 2001;
Whereas Peru values the agrarian reform bonds at only tens of millions of
dollars, even though most outside estimates of the current value of the
bonds range from between $1 billion and $10 billion;
Whereas, since the 1990s, Peru has become one of Latin America's fastest growing
economies, with free-trade agreements with China and countries in
Europe;
Whereas Peruvian agrarian reform bonds are beneficially owned by institutional
investors that include not fewer than 200 American State, municipal,
union, and other pension funds located in at least 25 States; and
Whereas the failure of the Peruvian Government to repay the agrarian reform
bonds at their current value affects the retirement of over 5,000,000
United States pensioners: Now, therefore be it
Resolved, That the House of Representatives urges the Secretary of
State to take action concerning unpaid Peruvian agrarian reform bonds
to ensure the retirement security of over 5,000,000 United States
pensioners across the Nation, by encouraging the Peruvian Government to
negotiate in good faith with United States bondholders, including
pension funds, regarding payment of the agrarian reform bonds.
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