840.51 FC 23/9–1244

The Ambassador in Peru (White) to the Secretary of State

No. 1393

Sir: I have the honor to refer to Circular No. 375 issued by the Superintendent of Banks under date of September 7, 1944, for the [Page 1567] purpose of bringing under the control of the Superintendency foreign exchange operations effected by money exchange houses (“casas de cambio”).

The circular, which is enclosed in Spanish text as Enclosure No. 1 and in free translation as Enclosure No. 2,27 was directed by the Superintendency to the various money exchange houses in and about Lima. It is prefaced by a Ministerial Resolution dated September 1, which recites in substance that the Superintendency is in charge of the regulation of exchange operations which may be done with “Axis countries or countries occupied by the Axis or neutral countries”; that norms which were established earlier to control such operations when effected by banks did not hinder normal banking business; that persons and entities are engaging in exchange operations which in effect circumvent the application of said norms, and that it is convenient to make the norms applicable to such business; otherwise, this “may give way to the escape of funds to the benefit of the enemies of the United and Associated Nations”. The Superintendency of Banks is then authorized to regulate operations of purchase and sale of foreign exchange and of drafts to foreign countries and from abroad which may be effected by “those entities or persons who dedicate themselves to that class of operations”; and is instructed to apply the norms contained in Circulars No. 319 and No. 329, as also the pertinent provisions of the Banking Law.

[Here follow details regarding exchange controls.]

Respectfully yours,

For the Ambassador:
Julian Greenup

Counselor for Economic Affairs
  1. Not printed.