740.00112A European War, 1939/31712: Airgram

The Secretary of State to the Ambassador in Argentina (Armour)

A–1145. Reference your A–386 of May 17 and your A–427 of May 2791 relating to the program of ad hoc blocking. The question you raise as to applying ad hoc blocking to depositors of Axis banks has already been answered by the Department’s telegram no. 947 of June 28, 1943.92

With reference to your proposal for the ad hoc blocking of officers and directors of Proclaimed List firms, it is not clear to the Department whether you contemplate a new program or merely a continuation of the policy that has already been agreed upon and is in effect. When Warren Robbins93 was here in November a large number of cases in Argentina were discussed, case by case, with officers of the Treasury Department and of the Department and it was agreed that two large groups of names would be ad hoc blocked. One of these groups included all the names in the Department’s files for Argentina that had an “A” or a “C–A” rating. The second large group were those names which the Department’s files showed to be officers, directors or prominent stockholders of Proclaimed List firms. These names, with one or two exceptions, were designated special blocked nationals in November and December 1942.

[Page 491]

As to officers, directors and stockholders, it would seem that in applying the ad hoc blocking program already in effect, the question would be merely one of blocking the directors, officers and prominent stockholders connected with firms which have been added to the Proclaimed List since that time. The main reason that these names have not already been specially blocked is that the Treasury Department has not had the personnel to investigate the files to determine the names. If your proposal is that you should do this work, in view of the fact that your files reflect the same information which exists in the Department’s files, it would appear that such proposal coincides with existing policy.

The same considerations apply to the proposal in your A–427 of May 17 [27] to compile a list of firms and individuals who are suspected of carrying on activities inimical to the interests of the United States. Presumably, these are cases which would have an “A” or a “C–A” rating and it would simply be a question of bringing the list of names ad hoc blocked up-to-date. Although you and the Department now have an identical rating system, you are probably in a better position to pass on the merits of each case than the Department is. Accordingly, the Department and Treasury endorse your compilation of a list of such names for ad hoc blocking.

If the programs contemplated by you in the airgrams under reference involve more than merely continued application of policies that have already been agreed upon, the Department would appreciate a full explanation.

Hull
  1. Latter not printed.
  2. Not printed.
  3. Special Assistant in the Embassy at Buenos Aires.