740.25112A/12–1444
Copy of Joint Memorandum of the American, British, and Canadian Embassies in Chile to the Chilean Economic Controls Commission 47
The Governments of the United States, Great Britain and Canada have noted with great satisfaction the action taken by the Government of Chile in subjecting a number of Axis spearhead firms located in Chile to liquidation, forced sale and intervention. The implementation of the joint declaration of policy which was issued by the British Government and the United States Government on September 26, 1944,48 and the policies indicated in the memorandum dated August 10, 1944 which was submitted by the United States Embassy to the Commission, and which were agreed to in principle by the Canadian and British Embassies, will be facilitated by continued progress in this direction.
It will be recalled that on March 30, 1944, the Embassies submitted to the Coordination Commission, the predecessor of the present Economic Controls Commission, a tentative basis for classifying the names of persons and firms included in the Proclaimed and Statutory Lists for Chile, looking toward a reduction of the Lists on the basis of substitute local controls implementing the Rio and Washington Conferences. This basis for classification, which has been adopted by the Commission, divides the names on the Lists into five categories:
- Category I, being the principal Axis spearhead firms and enterprises which should be liquidated or forcibly transferred.
- Category II, being important Listed firms which should be reorganized after eliminating undesirable elements.
- Category III, being a considerable number of firms and individuals to be considered for deletion once effective controls are put into effect.
- Category IV, being the remainder of the names on the List which would continue thereon for some time.
- Category V, being a small number of Listed agriculturalists.
Thus far a number of important steps have been taken by the Chilean Government. Decree No. 463 of May 31, 1944 has been put into effect which establishes the norms to be pursued in the administration, intervention, liquidation and forced sale of the enterprises against which the measures contemplated by the Rio and Washington Conferences shall be taken.…
Note should also be taken of the recent measures implementing Article 14 of Decree 463 to effectuate blocking of dividends and stock transfers of persons and firms included in the Proclaimed List.
[Page 787]In the memorandum of August 10 it is stated that the authorities in charge of the Lists are prepared to reduce the Lists substantially once the Chilean Government has completed the program which has been the subject of discussion between the Commission and the Embassies. Specifically the United States memorandum states that “upon completion of the measures proposed by the Chilean Government, the Proclaimed List authorities are prepared, regardless of the course of hostilities in Europe, to reduce the List to a minimum number of firms and individuals whose activities are considered to be inimical to the interests of the United Nations.” During the interim period required for the completion of the forced sale, reorganization or liquidation of the firms and enterprises contemplated, a substantial number of deletions has been made in each intervening supplement, and at the same time the number of additions to the Lists has been reduced to an absolute minimum. In making these deletions the Interdepartmental Committee will endeavor to accord preference to those cases which appear to be more meritorious. This policy is being pursued so long as the Chilean Government continues to make satisfactory progress in the program which is being currently developed.
The memorandum of August 10 mentioned above also stated: “It is understood by the Proclaimed List authorities that the measures which are contemplated by the Chilean Government include action to acquire and to regulate the use of patents and trade marks controlled from Axis territory.”
In view of the foregoing, and without in any way minimizing the measures which have already been undertaken by the Chilean Government and which still are in progress, the Embassies feel that cooperation on their part would be greatly facilitated if the Economic Controls Commission would, at its earliest convenience, indicate the position of the Chilean Government with respect to the following:
- (a)
- What policy will be adopted and pursued by the Commission and the Chilean Government with respect to the firms and enterprises listed in Category II, and what firms in this Category will be subject to the measures contemplated?
- (b)
- What policy will be pursued by the Commission with respect to trade marks and patents controlled from Axis territory directly, or indirectly through firms in Category I?
- (c)
- Can arrangements be made to supply the Embassies with adequate and up-to-date information periodically regarding the progress of the interventions, liquidations or forced transfers of each of the firms which have been or will be placed under control by the Chilean Government and its various agencies?
For the Commission’s information and consideration there is attached hereto a tentative list of the names in Category III49 which [Page 788] the Embassies believe should be recommended to the Interdepartmental Committee in Washington for deletion from the Lists as soon as the program which has been outlined has been concluded. These names are of course subject to revision by the Interdepartmental Committee.
The names in Category I and Category II, it will be recalled were attached to the memorandum of August 10.
Embassy of the United States of America
British Embassy
Canadian Embassy