The Acting Secretary of State to the Ambassador in Chile (Bowers)
A–532. Department commends excellent work done by you on PL and replacement program and appreciates difficulties caused by relaxation of controls necessitated by cessation of hostilities. You may be assured that your suggestions in this regard are given careful consideration by the Department.
With reference to the paragraph numbered 2 of your telegram no. 1453 of November 2114 concerning the abandonment of the Proclaimed List, it is pointed out that one year after V–E day is tentative date set for withdrawal and if it becomes apparent that unusual circumstances exist, the termination of the List might possibly be delayed. However, in any event the Schedule of Special Blocked Nationals presumably will continue to be used and will serve as a blocking measure in the United States. When contemplating the termination date of the Proclaimed List, the Safehaven program was taken into consideration and it was believed that a published list was not necessary as a part of the program. In regard to the local vesting program, efforts should be made to separate this program from the PL as suggested in the Record of Action of October 11.
The question of the handling of United States agencies by German dominated firms is still under consideration and the Department and Commerce Department are attempting to find a feasible way to strengthen the stand taken in the circular instruction of August 17,14 but with respect to the handling of United States merchandise by German dominated firms there is no way to prevent the export of such merchandise without the aid of war measures such as export controls, which is being relaxed, and censorship, which of necessity has been lifted.
Comments concerning repatriation and the expiration of the appropriation of the Legal Attaché will be forwarded in subsequent communications.