Page:United States Statutes at Large Volume 60 Part 2.djvu/368

 1456 Ante, p. 1442. Suspension of new loans and guarantees. Payment of claims. Distribution of as- sets. INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [60 STAT. ceased to be a member, such government shall be obligated to repay upon demand the amount by which the repurchase price of its shares would have been reduced, if the losses had been taken into account when the repurchase price was deter- mined. In addition, the former member government shall re- main liable on any call for unpaid subscriptions under Article II, Section 5 (ii), to the extent that it would have been re- quired to respond if the impairment of capital had occurred and the call had been made at the time the repurchase price of its shares was determined. (d) If the Bank suspends permanently its operations under Section 5 (b) of this Article, within six months of the date upon which any government ceases to be a member, all rights of such government shall be determined by the provisions of Section 5 of this Article. Section 5. Suspension of operationsand settlement of obligations (a) In an emergency the Executive Directors may suspend tem- porarily operations in respect of new loans and guarantees pending an opportunity for further consideration and action by the Board of Governors. (b) The Bank may suspend permanently its operations in respect of new loans and guarantees by vote of a majority of the Governors, exercising a majority of the total voting power. After such suspen- sion of operations the Bank shall forthwith cease all activities, except those incident to the orderly realization, conservation, and preserva- tion of its assets and settlement of its obligations. (c) The liability of all members for uncalled subscriptions to the capital stock of the Bank and in respect of the depreciation of their own currencies shall continue until all claims of creditors, including all contingent claims, shall have been discharged. (d) All creditors holding direct claims shall be paid out of the assets of the Bank, and then out of payments to the Bank on calls on unpaid subscriptions. Before making any payments to creditors holding direct claims, the Executive Directors shall make such ar- rangements as are necessary, in their judgment, to insure a distribution to holders of contingent claims ratably with creditors holding direct claims. (e) No distribution shall be made to members on account of their subscriptions to the capital stock of the Bank until (i) all liabilities to creditors have been discharged or provided for, and (ii) a majority of the Governors, exercising a majority of the total voting power, have decided to make a distribution. (f) After a decision to make a distribution has been taken under (e) above, the Executive Directors may by a two-thirds majority vote make successive distributions of the assets of the Bank to members until all of the assets have been distributed. This distribution shall

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