840.51 Frozen Credits/2901a: Telegram

The Secretary of State to the Ambassador in Japan (Grew)

478. The Department desires that you call at the Japanese Foreign Office and leave an aide-mémoire reading substantially as follows:

“With reference to Executive Order 8389, as amended,24 which, among other things, prohibits banks and banking institutions from making transfers of credits or permitting withdrawals from accounts in which Japan or nationals thereof have an interest, except under licenses and regulations issued by the Secretary of the Treasury, the following procedure is provided in order that appropriate consideration may be given for the issuance of requisite licenses permitting the Japanese Government to withdraw funds for the maintenance of its diplomatic, consular, and other official establishments in the United States and permitting the official personnel of such establishments to withdraw funds for living and traveling expenses in the United States. The procedure outlined below is conditioned upon the Japanese Government according reciprocal treatment.

A.
In order that appropriate consideration may be given to the issuance of the aforementioned licenses, the Japanese Government is requested to furnish this Government with a list of the various official accounts of the official Japanese representation in Washington, whether in the name of the representation, any individual, or otherwise, indicating the name of the account, the name and address of the bank in which each such account is maintained, the names, addresses, and official positions of the persons having signing authority over the account, the nature of the payments customarily made from the account, and the nature, purpose, and amount of the monthly payments which it is desired to make from each account. The Japanese Government is also requested to furnish this Government with information as to how it is proposed to replenish such accounts, indicating the source of the funds to be used in replenishing such accounts, and the amount of funds which it is desired to transfer to each such account monthly. The Japanese Government is requested, moreover, to furnish assurances to this Government that any payments which may be licensed from such accounts will be made solely for the official expenditures of the Japanese representation in the United States. Banks maintaining these accounts will be required to make appropriate reports to the Treasury Department.
B.
Information and assurances similar to those requested in Paragraph A above should be furnished by the Japanese Government with respect to each account maintained by the Japanese Consulates and Consulates General in the United States, as well as by all other official establishments maintained by the Japanese Government in the United States.
C.
The Japanese Government is requested to furnish this Government with a list of the personnel of the official Japanese representation in Washington, as well as a list of the personnel of the Japanese Consulates, Consulates General, and other official establishments in the United States, indicating in each case the name of the personal account or accounts maintained by each such person and the name and address of the bank in which each such account is maintained. At present, under General License No. 11, $500 per month may be paid out without any further license for living and traveling expenses in the United States of the person in whose name the account is maintained and his family. Accordingly, it is not anticipated that licenses will be issued in those cases in which the accounts can operate within the provisions of General License No. 11. Should additional amounts be required, consideration will be given to the issuance of licenses allowing withdrawals of such additional amounts. The Japanese Government is requested at the time of furnishing the list to furnish assurances that such accounts contain only personal funds, that such funds will be used only for the personal expenses of the account holder and his family within the United States, and that this Government will promptly be advised in the event that the account holder leaves the United States or ceases to be connected with the Mission.”

At the same time that you leave the foregoing aide-mémoire the Department desires that you make an oral statement, leaving a copy thereof with the Foreign Office, reading substantially as follows:

“This Government wishes it understood that by ‘reciprocal treatment’ there is meant reciprocal treatment in all areas under the control of the Japanese Government so as to permit this Government to withdraw funds for the maintenance of its diplomatic, consular and other official establishments in Japan, Manchuria and all areas occupied by Japanese forces, and to permit the official personnel of such establishments to withdraw funds for living and traveling expenses in Japan, Manchuria and other areas under Japanese control.”

Hull
  1. 6 Federal Register 2897.