tions, purchases, and sales by the Secretary of the Treasury of such notes or other obligations shall be treated as public debt transactions of the United States. Funds borrowed under this section shall be deposited in the Fund and redemptions of such notes and obligations shall be made by the Secretary of Commerce from such Fund. "(e) In the event of a default under any guaranteed obligation or any related agreement, the Secretary of Commerce shall take such action against the obligor or any other parties liable thereunder that, in his discretion, may be required to protect the interests of the United States. Any suit may be brought in the name of the United States or in the name of the obligee and the obligee shall make available to the United States all records and evidence necessary to prosecute any such suit. The Secretary of Commerce shall have the right, in his discretion, to accept a conveyance of title to and possession of property from the obligor or other parties liable to the Secretary of Commerce, and may purchase the property for an amount not greater than the unpaid principal amount of such obligation and interest thereon. In the event the Secretary of Commerce shall receive through the sale of property an amount of cash in excess of any payment made to an obligee under subsection (a) or (b) and the expenses of collection of such amounts, he shall pay such excess to the obligor. Offenses and "SEC. 1106. Whoever, for the purpose of obtaining any loan or advance of credit from any person, partnership, association, or corpo- penalties. ration with the intent that an obligation relating to such loan or advance of credit shall be offered to or accepted by the Secretary of Commerce to be guaranteed, or for the purpose of obtaining any extension or renewal of any loan, advance of credit, or mortgage relating to an obligation guaranteed by the said Secretary of Commerce, or the acceptance, release, or substitution of any security on such a loan, advance of credit, or for the purpose of influencing in any way the action of said Secretary of Commerce under this title, makes, passes, utters, or publishes, or causes to be made, passed, uttered, or published any statement, knowing the same to be false, or alters, forges, or counterfeits, or causes or procures to be altered, forged, or counterfeited, any instrument, paper, or document, or utters, publishes, or passes as true, or causes to be uttered, published, or passed as true, any instrument, paper, or document, knowing it to have been altered, forged, or counterfeited, or willfully overvalues any security, asset, or income shall be guilty of a misdemeanor and punished as provided under the first paragraph of section 806 (b) of this Act." SEC. 4. Section 1110 of the Merchant Marine Act, 1936 (46 U.S.C. 1279), is redesignated "SEC. 1107." SEC. 5. Sections 1111 through 1112 of the Merchant Marine Act, 1936 (46 U.S.C. 1279a; 1279b) are amended by striking such sections and inserting the following in lieu thereof: "SEC. 1108. (a) If the proceeds of an obligation guaranteed under this title are to be used to finance the construction, reconstruction, or reconditioning of a vessel or vessels which will serve as security for the guarantee of the Secretary of Commerce, the Secretary of Commerce is authorized to accept and hold, in escrow under an escrow agreement with the obligor, a portion of the proceeds of all obligations guaranteed under this title whose proceeds are to be so used which is equal to: (i) the excess of the principal amount of all obligations whose proceeds are to be so used over 75 per centum, or 871/2 per centum, whichever is applicable under section 1104 of this title, of the amount paid by or for the account of the obligor for the construction, reconstruction, or reconditioning of the vessel or vessels; (ii) with such interest thereon, if any, as the Secretary of Commerce may 86 STAT. 915 86 STAT. 916 49 Stat. 2014. 46 USC 1228. Appropriations. 68 Stat. 1276; 73 Stat. 269. 73 Stat. 272; 81 Stat. 580. Escrow fund. Ante, p. 910. Ante, p. 910. 86 STAT. 916. 86 STAT. 917 Rules and regulations. Capital reserve fund, deposits. 84 Stat. 1026. 46 USC 1177. 73 Stat. 269; 74 Stat. 216. 46 USC 1276a. 46 USC 12711279b. require: Provided, That in the event the security for the guarantee of an obligation by the Secretary of Commerce relates both to a vessel or vessels to be constructed, reconstructed or reconditioned and to a delivered vessel or vessels, the principal amount of such obligation shall be prorated for purposes of this subsection (a) under regulations prescribed by the Secretary of Commerce. "(b) The Secretary of Commerce shall, as specified in the escrow agreement, disburse the escrow fund to pay amounts the obligor is obligated to pay as interest on such obligations or for the construction, reconstruction, or reconditioning of the vessel or vessels used as security for the guarantee of the Secretary of Commerce under this title, to redeem such obligations in connection with a refinancing under paragraph (4) of subsection (a) of section 1104 or to pay to the obligor at such times as may be provided for in the escrow agreement any excess interest deposits, except that if payments become due under the guarantee prior to the termination of the escrow agreement, all amounts in the escrow fund at the time such payments become due (including realized income which has not yet been paid to the obligor) shall be paid into the Fund and (i) be credited against any amounts due or to become due to the Secretary of Commerce from the obligor with respect to the guaranteed obligations and (ii) to the extent not so required, be paid to the obligor. "(c) If payments under the guarantee have not become due prior to the termination of the escrow agreement, any balance of the escrow fund at the time of such termination shall be disbursed to prepay the excess of the principal of all obligations whose proceeds are to be used to finance the construction, reconstruction, or reconditioning of the vessel or vessels which serve or will serve as security for such guarantee over 75 per centum or 8712 per centum, whichever is applicable under section 1104 of this title, of the actual cost of such vessel or vessels to the extent paid, and to pay interest on such prepaid amount of principal, and the remainder of such balance of the escrow fund shall be paid to the obligor. "(d) The Secretary of Commerce may invest and reinvest all or any part of the escrow fund in obligations of the United States with such maturities that the escrow fund will be available as required for purposes of the escrow agreement. "e) Any income realized on the escrow fund shall, upon receipt, be paid to the obligor. (1) The escrow agreement shall contain such other terms as the Secretary of Commerce may consider necessary to protect fully the interests of the United States. "SEC. 1109. The Secretary of Commerce is authorized and directed to make such rules and regulations as may be deemed necessary or appropriate to carry out the purposes and provisions of this title." SEC. 6. Nothing in this Act shall limit or affect the right of an obligor who maintains a capital reserve fund under section 607 of the Merchant Marine Act, 1936, to make deposits of the proceeds of guaranteed obligations into such capital reserve fund as provided in subparagraph (c) of condition (6) of section 1107 of the Merchant Marine Act, 1936, as in effect prior to the effective date of this Act. SEC. 7. Any citizen of the United States to whom the Secretary of Commerce issued an approval in principle of an application for loan or mortgage insurance or a commitment with respect to such insurance under the provisions of title XI of the Merchant Marine Act, 1936, prior to the effective date of this Act may elect, with respect to the vessels covered by such approval or commitment, to be bound either by 86 STAT. 917 the provisions of title XI of the Merchant Marine Act, 1936, as in 46 USC 1271effect prior to the effective date of this Act or by the provisions of this 1279b. Act. SEC. 8. This Act may be cited as the "Federal Ship Financing Act Short title. of 1972." Approved October 19, 1972. LEGISLATIVE HISTORY: HOUSE REPORT No. 92-688 (Comm. on Merchant Marine and Fisheries). CONGRESSIONAL RECORD, Vol. 118 (1972): Feb. 7, considered and passed House. Sept. 19, considered and passed Senate, amended. O 92nd Congress, H. R. 10420 An Act To protect marine mammals; to establish a Marine Mammal Commission; and for other purposes. 86 STAT. 1027 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act, with Marine Mammal the following table of contents, may be cited as the "Marine Mammal Protection Act Protection Act of 1972". of 1972. TABLE OF CONTENTS Sec. 2. Findings and declaration of policy. Sec. 3. Definitions. Sec. 4. Effective date. TITLE I-CONSERVATION AND PROTECTION OF MARINE MAMMALS Sec. 101. Moratorium and exceptions. Sec. 102. Prohibitions. Sec. 103. Regulations on taking of marine mammals. Sec. 104. Permits. Sec. 105. Penalties. Sec. 106. Vessel fine, cargo forfeiture, and rewards. Sec. 108. International program. Sec. 109. Federal cooperation with States. Sec. 110. Marine mammal research grants. Sec. 111. Commercial fisheries gear development. Sec. 112. Regulations and administration. Sec. 113. Application to other treaties and conventions; repeal. Sec. 114. Authorization of appropriations. TITLE II-MARINE MAMMAL COMMISSION Sec. 201. Establishment of Commission. Sec. 202. Duties of Commission. Sec. 203. Committee of Scientific Advisors on Marine Mammals. Sec. 204. Commission reports. Sec. 205. Coordination with other Federal agencies. Sec. 206. Administration of Commission. Sec. 207. Authorization of appropriations. FINDINGS AND DECLARATION OF POLICY SEC. 2. The Congress finds that— (1) certain species and population stocks of marine mammals are, or may be, in danger of extinction or depletion as a result of man's activities: (2) such species and population stocks should not be permitted to diminish beyond the point at which they cease to be a significant functioning element in the ecosystem of which they are a part, and, consistent with this major objective, they should not be permitted to diminish below their optimum sustainable population. Further measures should be immediately taken to replenish any species or population stock which has already diminished below that population. In particular, efforts should be made to protect the rookeries, mating grounds, and areas of similar significance for each species of marine mammal from the adverse effect of man's actions; (3) there is inadequate knowledge of the ecology and population dynamics of such marine mammals and of the factors which bear upon their ability to reproduce themselves successfully; (4) negotiations should be undertaken immediately to encourage the development of international arrangements for research on, and conservation of, all marine mammals; (5) marine mammals and marine mammal products either- 80 Stat. 926; 83 Stat. 283. 16 USC 668aa note. 86 STAT. 1028 86 STAT. 1029 (B) affect the balance of marine ecosystems in a manner which is important to other animals and animal products which move in interstate commerce, and that the protection and conservation of marine mammals is therefore necessary to insure the continuing availability of those products which move in interstate commerce; and (6) marine mammals have proven themselves to be resources of great international significance, esthetic and recreational as well as economic, and it is the sense of the Congress that they should be protected and encouraged to develop to the greatest extent feasible commensurate with sound policies of resource management and that the primary objective of their management should be to maintain the health and stability of the marine ecosystem. Whenever consistent with this primary objective, it should be the goal to obtain an optimum sustainable population keeping in mind the otpimum carrying capacity of the habitat. DEFINITIONS SEC. 3. For the purposes of this Act— (1) The term “depletion” or “depleted” means any case in which the Secretary, after consultation with the Marine Mammal Commission and the Committee of Scientific Advisors on Marine Mammals established under title II of this Act, determines that the number of individuals within a species or population stock (A) has declined to a significant degree over a period of years; (B) has otherwise declined and that if such decline continues, or is likely to resume, such species would be subject to the provisions of the Endangered Species Conservation Act of 1969; or (C) is below the optimum carrying capacity for the species or stock within its environment. (2) The terms "conservation” and “management” mean the collection and application of biological information for the purposes of increasing and maintaining the number of animals within species and populations of marine mammals at the optimum carrying capacity of their habitat. Such terms include the entire scope of activities that constitute a modern scientific resource program, including, but not limited to, research, census. law enforcement, and habitat acquisition and improvement. Also included within these terms, when and where appropriate, is the periodic or total protection of species or populations as well as regulated taking. (3) The term "district court of the United States" includes the District Court of Guam, District Court of the Virgin Islands, District Court of Puerto Rico, District Court of the Canal Zone, and, in the case of American Samoa and the Trust Territory of the Pacific Islands, the District Court of the United States for the District of Hawaii. (4) The term "humane" in the context of the taking of a marine mammal means that method of taking which involves the least possible degree of pain and suffering practicable to the mammal involved. (5) The term "marine mammal" means any mammal which (A) is morphologically adapted to the marine environment (including sea otters and members of the orders Sirenia, Pinnipedia and Cetacea), or (B) primarily inhabits the marine environment (such as the polar bear); and, for the purposes of this Act, includes any part of any such marine mammal, including its raw, dressed, or dyed fur or skin. (6) The term "marine mammal product" means any item of merchandise which consists, or is composed in whole or in part, of any marine mammal. (7) The term “moratorium” means a complete cessation of the taking of marine mammals and a complete ban on the importation into the United States of marine mammals and marine mammal prod |