893.5151/908
The Secretary of State to the Ambassador in China (Gauss)
Washington, December
30, 1942—7 p.m.
1284. For Adler from the Secretary of the Treasury. Your 1484, December 11, 1942, part (B).
- 1.
- The Treasury would appreciate any further information and your
views and comments on the following matters:
- (a)
- Are there any indications that the Japanese or any other enemy nationals are benefiting from the lack of restrictions on export of foreign currencies from China?
- (b)
- Could Chinese facilities be used by Japanese or by other enemy nationals to send foreign currency to nonenemy areas such as India for expenditure therein?
- (c)
- What are the “undesirable purposes” referred to by you with regard to the movement of U. S. dollar and Indian rupee currency into India?
- (d)
- Have the Japanese been able to dispose of their looted foreign currency, particularly currency obtained in Shanghai, in Free China and are they continuing to do so?
- (e)
- Are the Japanese obtaining foreign currency from Free China?
- (f)
- What are the regulations on imports of foreign currency into Free China?
- 2.
- These questions are being raised because of the Treasury’s concern with preventing the enemy from benefiting from the use of U. S. currency which it may now possess or may obtain in the future. [Morgenthau.]
Hull