Thus this Paragraph 16 rule will effectively bind India to the Hyde Act’s conditions on the pain of a U.S.-sponsored cut-off of all multilateral cooperation. India will not be able to escape from the U.S.-set conditions by turning to other suppliers.[
The 123 agreement between India and USA refers to Sec. 123 of the U.S. Atomic Energy Act. There is a ban on transfer of nuclear technology to other countries under this Act. The Hyde Act was passed by U.S.A to make an exception for India, to enable transfer of technology for civil nuclear energy
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