42 U.S.C. § 2297h–2: Method of sale

Summary

The Corporation must transfer its assets and obligations to the private company created under section 2297h–3, if the Corporation's Board of Directors and the Treasury Secretary approve. The Board, with the Treasury Secretary’s OK, must pick how to make the transfer and set the sale terms. They must seek the highest possible payment to the Treasury and make sure the new company stays viable, the gaseous diffusion plants keep running, and the country keeps reliable, affordable uranium mining and enrichment. The Treasury Secretary cannot approve the sale unless the method will give the maximum proceeds consistent with section 2297h–1(a). Any sale of securities by the private company must follow the Securities Act of 1933, the Securities Exchange Act of 1934, and applicable state or territorial laws. Privatization costs must be paid from the Corporation’s revenue accounts in the U.S. Treasury.

Title 42, §2297h–2

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(a)Authorization

The Board of Directors of the Corporation, with the approval of the Secretary of the Treasury, shall transfer ownership of the assets and obligations of the Corporation to the private corporation established under section 2297h–3 of this title (which may be consummated through a merger or consolidation effected in accordance with, and having the effects provided under, the law of the State of incorporation of the private corporation, as if the Corporation were incorporated thereunder).

(b)Board determination

The Board, with the approval of the Secretary of the Treasury, shall select the method of transfer and establish terms and conditions for the transfer that will provide the maximum proceeds to the Treasury of the United States and will provide for the long-term viability of the private corporation, the continued operation of the gaseous diffusion plants, and the public interest in maintaining reliable and economical domestic uranium mining and enrichment industries.

(c)Adequate proceeds

The Secretary of the Treasury shall not allow the privatization of the Corporation unless before the sale date the Secretary of the Treasury determines that the method of transfer will provide the maximum proceeds to the Treasury consistent with the principles set forth in section 2297h–1(a) of this title.

(d)Application of securities laws

Any offering or sale of securities by the private corporation shall be subject to the Securities Act of 1933 (15 U.S.C. 77a et seq.), the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.), and the provisions of the Constitution and laws of any State, territory, or possession of the United States relating to transactions in securities.

(e)Expenses

Expenses of privatization shall be paid from Corporation revenue accounts in the United States Treasury.

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Securities Act of 1933, referred to in subsec. (d), is act

May 27, 1933, ch. 38, title I, 48 Stat. 74, which is classified generally to subchapter I (§ 77a et seq.) of chapter 2A of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see section 77a of Title 15 and Tables. The Securities Exchange Act of 1934, referred to in subsec. (d), is act

June 6, 1934, ch. 404, 48 Stat. 881, which is classified principally to chapter 2B (§ 78a et seq.) of Title 15. For complete classification of this Act to the Code, see section 78a of Title 15 and Tables. Codification Section was enacted as part of the USEC Privatization Act and also as part of the Omnibus Consolidated Rescissions and Appropriations Act of 1996, and not as part of the Atomic Energy Act of 1954 which comprises this chapter.

§2297h–2 Method of Sale

Summary

Title 42, §2297h–2

Notes & Related Subsidiaries

Editorial Notes

References in Text

Citations & Metadata