740.00112A European War 1939/36297a: Circular airgram

The Secretary of State to Diplomatic Representatives in the American Republics

Reference is made to the Department’s circular airgram of October 11, 1943,42 requesting reports by the missions on the effect of recent events in Italy43 upon the political sentiments of local Italians.

The current policy to be pursued by this government with respect to Italian firms on the Proclaimed List has two aspects:

1.
The policy with respect to the deletion of firms or persons located in the other American republics who have been included because of pro-Axis activities or sympathies;
2.
The policy with respect to the deletion of firms which have been included because they are subsidiaries of firms located in Italy or because one or more of the owners are located in Italy.

[Page 346]
I.
With respect to the first category it should be borne in mind that the inclusion of such firms and persons in the Proclaimed List has been made exclusively on the basis of pro-Axis activities. In no case has a person located in a country to which the Proclaimed List applies been included solely on the basis of German or Italian nationality. Developments to date with respect to Italy, therefore, cannot be regarded as requiring any automatic change of status of any Proclaimed List national. The Interdepartmental Committee, in passing upon requests for deletion by Italian firms located in the other American republics will be guided by the following considerations:
1.
Any Italian firm or person that has been prominently and actively identified with the local Fascist organization and has engaged in political or propaganda activities designed to aid the Axis should not be deleted.
2.
Any Italian firm or person that has engaged in activities involving the violation of United Nations’ wartime controls should not be deleted merely because of Italian nationality.
3.
The Committee will take into consideration the effect which the deletion of an Italian firm or person would have on any important pro-Allied Italian sections of the local community and on persons of local nationality. In this connection the Committee is desirous that no general impression should be created through the deletion of any Italian firms that listing policies and enforcement as a whole are being relaxed.
4.
The Committee believes that there may be a few cases of Italian Proclaimed List nationals which may be considered for deletion at the present time. These would include principally those firms or individuals of Italian nationality who have not actively assisted the Axis but who have been inactive members of local Fascist organizations or have otherwise made known their allegiance to the Italian cause under the Fascist party, but who are in a position now to give evidence of a bona fide allegiance to the cause of the United Nations. Undoubtedly a large number of Italian firms on the Proclaimed List will endeavor to demonstrate a change in their political convictions. Recommendations by the missions for deletion should be confined to those cases where the history of the firm or individual enables it to make such professions in good faith.
II.
With respect to the second category previously referred to, i.e., firms which have been listed because they are subsidiaries of firms located in Italy or because one or more of the owners are located in Italy, the Interdepartmental Committee’s policy is as follows:
1.
Any firm which is on the Proclaimed List because of ownership or control by a firm or person in enemy-occupied Italy should continue on the List.
2.
No firm should be deleted automatically because of the occupation by the Allied armies of the territory in which the main firm or owner is located.
3.
Following occupation and the establishment of controls in sections of Italy by Allied authorities, deletion recommendations relating [Page 347] to firms controlled from such territory will be considered on a case-by-case basis. The nature of the action taken will depend upon the extent of the controls applied at the particular time to firms in the particular section and upon the issuance of any declaration by the Allied governments with respect to the continuance of Italy as enemy territory.

The missions are requested to report to the Department any special questions that arise locally in the application of these policies.

Hull
  1. Not printed.
  2. On September 8, 1943, General Eisenhower had announced the unconditional surrender of Italy (armistice had been signed on September 3, 1943). For correspondence on the overthrow of the Fascist regime in Italy, Italian surrender, and recognition as co-belligerent, see vol. ii, pp. 314 ff.