In paragraph 1, the parties agree to „allow, freely and without delay, transfers related to an investment within and outside their territory.“ Paragraph 1 also contains a non-exclusive list of notifications that must be authorized, including returns (as defined in Article I); payments for expropriations (under Article III); Payments resulting from an investment dispute Payments made under a contract, including repayment of principal and interest on a loan; The proceeds of liquidation or sale of an investment, in whole or in part; and additional capital contributions for the maintenance or development of an investment. The Budapest Memorandum on Security Guarantees refers to three identical political agreements signed at the OSCE conference in Budapest, Hungary, on 5 December 1994, to ensure, by its signatories, the security of Belarus, Kazakhstan and Ukraine`s accession to the Nuclear Non-Proliferation Treaty. The memorandum was originally signed by three nuclear powers: the Russian Federation, the United Kingdom and the United States. China and France gave slightly lower individual assurances in separate documents.  I understand that the offices appointed by the Government of Ukraine to assist U.S. citizens and businesses pursuant to this letter are the Administration of Investment Cooperation of the Ministry of Foreign Economic Relations of Ukraine and the Ministry of Foreign Investment and Loans of the Ministry of Economy of Ukraine. to the extent that they are not subject to the provisions of an agreement to avoid double taxation between the two parties or have been collected as part of them and are not resolved within a reasonable time. In February 2014, Russian troops seized or blocked various airports and other strategic sites in Crimea.  The troops were connected to the Russian Black Sea fleet stationed in Crimea, which forced Russia to violate the Budapest Memorandum.
The Russian Foreign Ministry had confirmed the movement of armoured units attached to the Black Sea fleet in Crimea, but said they were acting within the framework of the various agreements between the two countries. Other Russian official sources denied that the units at Sevastopol International Airport were attached to the Black Sea fleet.  Russia reacted and supported a referendum on Crimea`s accession to Crimea. Russia announced that the referendums would be held by „local forces.“ On 16 March, Russia annexed Crimea and Ukraine strongly protested against the action in violation of Article 1 of the Budapest Memorandum. After Russia`s annexation of Crimea in 2014, the United States, Canada, the United Kingdom with other countries stated that Russian involvement constituted a violation of its obligations to Ukraine under the Budapest Memorandum, which was sent to the United Nations under the signature of Sergei Lavrov and others and in violation of Ukraine`s sovereignty and territorial integrity. On 4 March 2014, Russian President Vladimir Putin responded to a question about the violation of the Budapest Memorandum, calling the current Ukrainian situation a revolution: „A new state is emerging, but we have not signed mandatory documents with that state and in relation to that state.“  Russia stated that it had never been obliged to „force part of the Ukrainian civilian population to remain in Ukraine against its will“. Russia has hinted that the United States is violating the Budapest Memorandum and has called the Euromailis a COUP launched by the United States.  I recommend that the Senate review this treaty as soon as possible and give its advice and approval to the ratification of the Treaty with the Schedule and the exchange of letters related to it at an early stage. Paragraph 9 recognizes that, under the U.S. federal system, U.S.
states may, in some cases, treat residents and a-state businesses differently from resident and state corporations.