800.515/12–1246

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

confidential
No. 837

Sir: I have the honor to refer to the Department’s confidential instruction No. 543, July 3, 1946,50 enclosing a copy of a report on I. G. Farbenindustrie; to the Embassy’s confidential despatch No. 320 [220], August 13, subject: “Reporting on Former P/L and Enemy Owned Firms”; and to the Department’s confidential instruction no. 730, November 5,50 transmitting information regarding the participation of I. G. Farben in five Peruvian firms.

On Monday, December 2, an officer of the Embassy was unofficially informed by Dr. Javier Vargas of the Superintendency of Economy that liquidation of the following spear-head firms has been completed:

  • Agrícola “Retes” Ltda., Soc.
  • Emmel S.A., Ltda., Fernando
  • Hardt Cía. E.
  • La Química Bayer, S.A.
  • Nonomiya Shoten, S.A.
  • Ostern & Company, S.A.
  • Perú Menka Kabushiki Kaisha
  • Arens & Lessel, S.A., Ltda.
  • Otten y Cía., S.A.
  • Telefunken Union S.A., Radio Distribuidora

Liquidation of H. Roedinger y Cía., S.A., has not yet been completed but is progressing. This firm is reported not to be operating, and outstanding accounts are being collected under the control of the Caja de Depósitos y Consignaciones.

The firms Casa Welsch, F. Klinge y Cía., S.A., and Sociedad Anónima Comercial e Industrial Woyke y Cía., have not been liquidated and undoubtedly will not be. No further action by the Peruvian Government with respect to these firms need be expected.

The Embassy informally inquired concerning the future activities of the Superintendency of Economy and was orally informed that that office is being liquidated and that no new proceedings against former P/L firms and individuals are contemplated.

In view of the foregoing the Embassy has requested an official statement on the status or liquidation of spear-head firms and the position of the Peruvian Government with respect to additional firms indicated as having enemy ownership. A copy of the Embassy’s note no. [Page 1231] 285 of December 12, 1946, to the Ministry for Foreign Affairs is enclosed.51

Inquiry has been made of the British Embassy with respect to its interest in further actions by the Peruvian Government regarding former P/L firms and entities now indicated as having enemy ownership and was informed, unofficially of course, that no instructions had been received in the premises and that it was improbable that the British Embassy would seek further action through the Peruvian authorities.

It is the Embassy’s opinion that the Peruvian Government plans to do nothing more after the spear-head firms named above have been liquidated.* Dr. Vargas stated that it had been decided not to review the proceedings of the Superintendency of Economy in disposing of intervened property as recommended by a Congressional Committee, but to let them stand. The Embassy respectfully suggests that if the forthcoming reply to its note no. 285 confirms an already expressed unwillingness on the part of the Peruvian Government to institute new proceedings regarding enemy ownership, it would be impractical to press for action regarding newly disclosed enemy ownership of firms never included in the Proclaimed List.

Likewise, with respect to the penultimate paragraph of instruction no. 730,52 the Embassy does not believe that further exhaustive and time-consuming investigations of enemy ownership cases would be warranted unless the Peruvian Government shows some willingness to take action. This would seem particularly to be so in as much as since the departure from the Embassy last June of Mr. Jesse Benson there is no person now in the Embassy who participated in the wartime P/L activities of this office or who can at present devote the time necessary for thorough investigations of enemy ownership cases without neglecting other current required work.

Upon receipt of a reply from the Peruvian Government the Embassy will report to the Department.

Respectfully yours,

For the Ambassador:
Thomas S. Campen

Acting Commercial Attaché
  1. Not printed.
  2. Not printed.
  3. Not printed.
  4. Ref. Embassy’s unrestricted report no. 196 of September 30, 1946, entitled “Lifting of Restrictions against Axis Nationals”. File no. 711.5. [Footnote in the original; report not printed.]
  5. Ref. Embassy’s unrestricted report no. 171, September 4, 1946, entitled “Report of the Parliamentary Commission Investigating Activities of the Superintendency of Economy”. File 711.12. [Footnote in the original; report not printed.]
  6. Not printed.