Foreign Relations of the United States, 1950, East Asia and the Pacific, Volume VI

794C.00/10–450¹

Memorandum Approved by the Joint Chiefs of Staff

confidential
JCS 1231/14

Washington, October 4, 1950.

Directive for United States Civil Administration of the Ryukyu Islands²

preamble

As a result of the terms of surrender of the Empire of Japan, and the principles of international law governing the rights and duties of the occupying powers, the Government of the United States is responsible for the civil administration of the Ryukyu Islands, south of latitude 29 degrees north.

This directive is issued without prejudice to the rights and duties of the United States as an occupying power until such time as the ultimate international status of the islands is determined.

It is the policy of the United States to retain the Ryukyu Islands on a long-term basis by reason of their importance to the security of the United States, to develop and maintain military facilities on the islands, and to conduct the civil administration of the islands so as to foster the economic and social well-being of the civil population subject to the necessity for military security.

A. Responsibility:

1. The United States is responsible for the civil administration of the Ryukyu Islands south of latitude 29 degrees north. This responsibility will be executed pursuant to this directive and other instructions from the United States Government. The government of this area by the United States will be termed “United States Civil Administration of the Ryukyu Islands”.

2. This responsibility is delegated to the Commander in Chief, Far East, who is hereby appointed Governor of the Ryukyu Islands and who is authorized to appoint a subordinate official who will be known as the Deputy Governor of the Ryukyu Islands. The Deputy Governor will be a member of the armed forces and he may also be Commanding General, Ryukyu Command (RYCOM). The Governor (Commander in Chief, Far East) will issue to the Deputy Governor appropriate instructions consistent with this and subsequent directives and is authorized to delegate to the Deputy Governor such authority as he desires except the authority to appoint judges of the court of last resort.

B. Objectives:

3. The United States Civil Administration will, subject to the requirements of military security, further

a. The establishment of a standard of living in the Ryukyu Islands comparable to that existing prior to the war to the extent that GARIOA^* funds are available. However, improvement in the standard of living above that existing prior to the war will be accomplished through the efforts of the Ryukyuans themselves, without the assistance of U.S. appropriated funds. To the extent that health standards are now at levels above the pre-war standards and such continued level is necessary for the health of United States personnel stationed in the Ryukyus, a higher level in this respect is authorized with available GARIOA funds for necessary imported materials.

b. The establishment of a sound government financial structure, including a budget and taxation system designed to permit the placing of the government on a self-supporting basis by the end of fiscal year 1952. This does not preclude a request for a GARIOA appropriation to make up any deficit in the external balance of payments in 1953.

c. Self-government through legislative, executive and judicial organs established in accordance with democratic principles, subject to the final authority of the Governor.

d. Cultural and educational development with due regard to the existing culture of the inhabitants.

C. Civil Administration:

4. At the earliest practicable date provision will be made for the establishment under democratic processes by the inhabitants of the Ryukyus of the following governmental structure, which shall be subject to general supervision of the United States Civil Administration:

a. Responsible government at the municipal level.

b. Responsible government at the provincial level, if desired.

c. Responsible central government. Pending the establishment of a central government a Ryukyuan Advisory Council may be established to make recommendations on questions referred to it by the United States Civil Administration.

5. Courts established in accordance with paragraphs 3 and 4 above will include civil and criminal courts and appellate tribunals with clear delineation of their jurisdiction and procedures. The jurisdiction of these courts will include the adjudication of controversies involving title to real estate and will further include condemnation proceedings. Subject to such regulations as may be prescribed by the Governor such courts will have civil jurisdiction over all persons in the Ryukyu Islands, and will have criminal jurisdiction over other than nationals of the United Nations. Such criminal jurisdiction may be extended at the discretion of the Governor to include all persons other than members of the occupation forces, persons serving with the occupation forces, and their dependents.

6. In addition, the Governor will establish a court of last resort having authority to review decisions of the aforementioned courts. Judges of this court will be appointed by and serve at the pleasure of the Governor. The Governor will prescribe necessary codes of procedure. The Governor will have the authority in his discretion to review, approve, remand, suspend, commute, remit or otherwise to modify or set aside any decision, judgment or sentence of such court established. The Governor shall have the power of pardon.

7. The Ryukyuan people will be guaranteed, as far as is consistent with the military occupation, the basic liberties of democratic countries, including freedom of speech, assembly, petition, religion and the press; and security from unreasonable searches, seizures and deprivation of life, liberty or property without due process of law.

8. The Governor will retain power to:

a. Veto, or to prohibit or suspend the operation of, any laws, ordinances or regulations enacted by any of the above governments;

b. Order the promulgation by any of the above governments of any law, ordinances or regulations he may deem advisable;

c. Resume, in whole or in part, the exercise of full authority in the Ryukyus if instructions by him are not carried out, or if he considers such action essential to security.

The Governor will exercise the above powers with the greatest restraint.

D. Supplementary Instructions to the Governor:

9. Pending the establishment of a Ryukyuan Central Government the Governor will initiate immediately the review and codification of existing laws in effect in the Ryukyus, both of the Japanese and of the military government. He will also provide for the amendment. revision, or rescission of such legislation in conflict with the objectives of this directive.

10. Pending the establishment of a Ryukyuan Central Government the Governor will give priority to the completion of registration and/or determination of land titles, including the establishment of judicial machinery essential for the settlement of disputes in connection therewith.

11. The Governor will develop and initiate a long-range economic plan. This plan will provide for maximum participation by the Ryukyuans, with the initial objective of achieving Ryukyuan self-support at that level specified in subparagraph 3 a of this directive. It should include:

a. Participation by the Ryukyuans in all suitable forms of agriculture, fishing, industry and commerce under a system of free, competitive enterprise.

b. Sound policies for the utilization and conservation of Ryukyuan natural resources, including land reclamation and improvement.

c. A program for developing on a long-range basis those Ryukyuan industries which can be sources of exports or reduce import requirements.

d. Reasonable compensation by United States forces, and other United States Government agencies stationed on the islands for the contribution to their support by Ryukyuan labor and other economic resources, including real estate.

e. Development of foreign trade, initially on a government basis but with the aim of restoring private trade as early as is feasible.

f. Measures designed to stabilize the financial Structure of the economy, e.g., an adequate and equitable system of taxation to support necessary Ryukyuan governmental activities without recourse to deficit financing; a sound banking and currency system, including a single rate of exchange appropriate for all foreign transactions with the ultimate objective of free convertibility.

g. The establishment of a counterpart fund in which all funds obtained from the sale of GARIOA supplies will be deposited. Control of this fund shall be exercised by the Governor. Subject to the availability of United States appropriated funds for the purchase of land needed permanently by the United States Government as provided in paragraph 16 below, this fund shall be used for the following purposes:

(1) Pending the establishment of an adequate tax system, minimum necessary funds may be expended for the operation of the central government, but in no event will such use of these funds be made subsequent to 31 March 1952.

(2) Local currency expenses of the United States Information and Educational Program.

(3) To promote economic rehabilitation, including the extension of long-term loans to agriculture and private enterprises which will increase domestic production and promote economic self-support.

(4) Payment of rental for private property used by the United States prior to 1 July 1950. Such payments will be made at the times and in the amounts determined by the Governor.

It is not expected that any obligation will be placed on the people of the Ryukyu Islands to repay to the United States funds used for the prevention of disease and unrest, for government of the area, and economic recovery (i.e., expenditures from GARIOA appropriations).

12. The Governor will permit travel and communication to and from the Ryukyus subject to requirements of military security and availability of facilities. He will encourage emigration.

13. The Governor will encourage the establishment of the following:

a. Facilities for education with particular emphasis on personnel and physical equipment.

b. Facilities for wide dissemination of public information.

c. A program to develop intelligent participation in responsibilities of democratic citizenship.

14. The Governor will have prepared and will transmit to the Department of the Army from time to time, as requested, estimates, with complete justification, of appropriations from United States funds for the U.S. Civil Administration of the Ryukyu Islands and for relief and economic rehabilitation in the Ryukyu Islands. He will be responsible for the expenditure under approved procedures of funds made available for such purposes.

15. Title to Japanese Government-owned real property in the Ryukyu Islands is expected to remain in Japan until the coming into effect of a treaty of peace or until the state of war between the United States and Japan is otherwise terminated. It is the intention of the United States to accept at such time a United States trusteeship under the United Nations. At present the United States is an occupying power under international law. The rights of such power include the right to reduce to possession and to utilize, without paying compensation therefor, the public property of the former government or governments of the occupied territory other than that of municipalities. Accordingly, the Governor will reduce to possession such public property belonging to the Japanese Government or to Ryukyuan governmental instrumentalities other than municipalities as may be required by the United States Government, such property to be utilized without the payment of compensation. He will allocate the possession of such property to appropriate agencies of the United States. Upon the coming into force of a treaty of peace or upon the termination of the state of war between the United States and Japan, the Governor will take action to the extent authorized by the treaty or the instrument terminating the state of war to secure the title to such property in the name of the United States Government. Thereupon the Governor will release the permanent possession thereof to the agencies to which such property has been allocated.

16. The Governor will secure title to any additional real estate or facilities required permanently by the United States Government by purchase from the owners, either Ryukyuan, Japanese or other nationality, or through condemnation. This property will be acquired through negotiated purchase if possible. If it cannot be purchased at reasonable terms or if the owners refuse to negotiate, condemnation proceedings will be instituted.³ The Department of the Army, the: Air Force, or the Navy or other interested United States agencies will request a specific authorization and appropriation to effect purchase of such property, subject to an equivalent reduction in GARIOA funds. If the appropriation is not granted counterpart funds to the extent available will be used for the purchase of such land as is required—this acquisition being already authorized under existing law. Such use will have priority over all other uses specified in subparagraph 11 g above, except for the operation of the central government during fiscal year 1951–52 and the payment of the yen cost of the most essential portions of the Information and Education Program.

17. The Governor may requisition or rent such property as is required temporarily by the United States Government or pending the purchase of property per paragraph 16 above. Using United States agencies will be required to pay rent for such property from appropriated funds on and after 1 July 1950.

18. The Governor will take possession of all Japanese Government-owned real estate not required by the United States Government. He may release to Ryukyuan governmental instrumentalities without compensation such part of this property as is required for governmental use. Should the United States secure legal authority to convey the title of this property, the Governor will convey such title to the Ryukyuan Government or its instrumentalities. The remainder will be rented, primarily to Ryukyuans, with the rental being placed in a special account and used for such governmental purposes as the Governor may direct. For the purpose of encouraging the tenants to effect permanent improvements, it will be proper for the Governor to provide in any such lease that should the United States secure legal authority to convey the title of lands leased, the lessee will have the option to purchase at a price determined when the lease is executed and upon the conditions to be set out therein.

19. Japanese individuals or corporations resident in Japan who own property in the Ryukyu Islands not needed by the United States Government may continue to control such property provided it is reasonably utilized to the benefit of the Ryukyuan economy. Where such owners decline to permit property necessary in the Ryukyuan economy to be so used, the Governor will cause condemnation proceedings to be instituted by the native courts, and when title is secured the property will be offered for sale to acceptable purchasers.

20. The Governor will encourage the owners of Japanese private owned real property in the Ryukyus to sell that property which is not needed by the United States Government to natives of the Ryukyu Islands.

21. The Governor will make arrangement with the Supreme Commander for the Allied Powers (SCAP) whereby Ryukyuan yen, including counterpart yen, which is used to purchase Japanese privately owned real property can be converted into Japanese yen for any purpose useful to SCAP and under appropriate procedures established by SCAP with the result of Japanese yen payment being made to the seller.

22. Any provisions of present directives conflicting with the foregoing are to be regarded as modified accordingly.

1. This document, and accompanying memoranda, not printed, were obtained from the Department of Defense. Copies are filed under the number given here.
2. The initial draft was prepared by the Department of the Army for the purpose of bringing existing military government directives for the Ryukyu Islands into conformity with paragraph 5 of NSC 13/3 ( Foreign Relations, 1949, vol. vii, Part 2, p. 731). When submitted to the Joint Chiefs of Staff on September 9, 1950, the draft directive had received the informal concurrence of the Department of State, although two changes suggested by the Department had not been incorporated. One of these, involving the avoidance of the title “Military Governor,” was among the amendments adopted by the Joint Chiefs of Staff before approving the directive on October 4, 1950. JCS 1231/14 was forwarded to the Commander in Chief, Far East (MacArthur) on October 11, 1950.
3. Government and Relief in Occupied Areas. [Footnote in the source text.]
3. In a memorandum of a conversation held July 29 with Major Paul Cullen of the Department of the Army, Mr. Johnson had indicated in part that both CINCFE and the Department of State had preferred long-term leasing arrangements to outright purchase of such lands (794C.0221/7–2950). However, other documents in file 794C.0221 for 1950 indicate that the Department did not carry its position in the matter to the point of non-concurrence in that portion of the draft directive.