890D.5151/17

The First Secretary of Embassy in France (Barnes) to the Secretary of State

No. 6862

Sir: I have the honor to reply as follows to the Department’s instructions Nos. 2081 and 2205 of April 29 and July 18, 1940, respectively, regarding the regulations in Syria governing the transfer of inheritances from that country to the United States.

In its instruction No. 2205 the Department requested information available with regard to the regulations in France and in French colonies and mandated territories with respect to the transfer of inheritances to heirs in the United States. The question was discussed with the Assistant Director of the Foreign Exchange Office in Paris and this official pointed out that no special ruling in this respect had been embodied in the exchange control law, but that, generally speaking, such transfers would come under article 9 of “prohibited and authorized operations” which provides that, under certain conditions: “permits may be granted for the transfer of means of payment in francs, properties in France, foreign stocks and bonds located in France, which belong to a person considered as foreign …”.54 In this connection please see pages 17 to 19 of Enclosure No. 7 to despatch No. 6577 of May 10, 1940.55 One of the main conditions would be that the transfer related to an inheritance payable before September 10, 1939.

As concerns the question raised in the despatch from the American Consul General at Beirut, dated June 11, 1940, enclosed with the Department’s instruction No. 2205, the official of the Foreign Exchange Office in Paris referred to above said that the Banque de Syrie et du Liban, the approved intermediary of the Foreign Exchange Office for the States of the Levant under French mandate, was alone competent to take decisions regarding such transfers, and that, while it was true that foreign exchange required for any transfers approved by the Banque de Syrie et du Liban must be obtained from the Foreign Exchange Office, the latter, generally speaking, did not concern itself with the reasons for the transfer. This official went on to say that there would appear to be no reason why the transfer of small inheritances may not be approved, but expressed the view that difficulties may be met with in securing the transfer of large sums.

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In view of the information obtained from the Foreign Exchange Office at Paris, set forth above, and the attitude taken by the French authorities in Syria as indicated in the despatch from the American Consul at Beirut, the Paris Embassy is requesting the Embassy at Vichy to take the matter up with the French Foreign Office.56

Respectfully yours,

Maynard B. Barnes
  1. Omission indicated in the original despatch.
  2. Not printed.
  3. No record has been found in Department files of any further action on this subject.