Foreign Relations of the United States: Diplomatic Papers, 1942, The American Republics, Volume V

740.00112A European War 1939/5876

Memorandum by the Office of the Assistant Secretary of State

[Washington,] January 5, 1942.

Proposed Position on Proclaimed List for Other American Republics

The question has been under consideration as to what modifications, if any, should be adopted in our Proclaimed List policies and procedures in respect to the American republics which declare war against or break off all relations with the Axis.

With a view to formulating an agreed position on the question for the present, it is proposed:

1.) That our objective continue to be the sterilization, or, wherever feasible, the elimination of Axis financial and economic influences in the hemisphere.

2.) That we recognize the necessity of receiving the cooperation of the American republics in order to realize this objective fully by encouraging them to adopt local control measures against pro-Axis elements.

3.) That to this end we should be prepared to consult with these governments on additions to and deletions from the Proclaimed List on a basis which will enlist the full cooperation of these countries without surrendering our freedom to act independently whenever the local measures may prove ineffective.

4.) That such joint consultations on proposed additions to the Proclaimed List should be confined to those nations which declare war on or break off all relations with the Axis and that with respect to such nations the consultations may include a joint review of cases now on the list with a view to making deletions on the basis of specific control or clean-up measures instituted by the local government.

Governments not declaring war on or breaking off all relations with the Axis will not be consulted generally on either additions or deletions, but may be consulted on specific cases proposed for deletion if a satisfactory solution is dependent upon or would be facilitated by cooperation of the local government.

5.) That within the scope of such joint consultations the Proclaimed List should be maintained for the present in all the American republics.

6.) That the standards which have been applied heretofore on making additions to the Proclaimed List, i.e.; identification, directly or indirectly, with Axis activities or interests, regardless of nationality, shall continue to be applied in proposing additions to the Proclaimed List.

7.) That we be prepared to forego the addition of many cases to the list where the government consulted requests that such action not be taken and itself takes prompt and positive steps to control or remedy the condition which would otherwise have resulted in listing.

8.) That with respect to countries eligible for consultation we recognize the probable necessity of relaxing our present standards on deletions somewhat in order to permit a fair trial of the cooperative formula and in the case of certain nationals of those countries to permit greater experimentation with a “parole” policy, i.e., of making the deletion conditioned upon satisfactory future conduct.

9.) That we reserve the explicit right to list any firm or person which fails to meet or to comply with specified conditions agreed upon by the governments.

10.) That the foregoing statement of position be communicated privately, without publicity, to the interested governments as circumstances may dictate.²

11.) That the British and Canadian governments be consulted and their agreement to this position be sought.³

2. See circular telegram of January 28, 11 p.m., p. 285.
3. See Medlicott, The Economic Blockade, vol. ii, p. 144.