Perth Amboy evening news., 1917-10-26
ALLIES JOIN nv GREAT
SMASH IN FLANDERS;
GAINS ARE REPORTED
NOT TO TAKE FUNDS
OF TEUT0NS HERE
Money in Banks, Personal or
Private Property, Will
Not be Seized.

WASHINGTON, Oct. ga. Nit
chell Palmer. custodian of alien prop
erty, assured subjects of Germany and
Germany's allies, residing in this coun-
try, last night, that their money on
deposit in banks was not in danger OF
seizure by the government
Some miSapprehension," said a
statement from Mr.. Palmer, seems
to exist relative to the status, under
the trading with the enemy act, of cit
izens or subjects of Germany and its
allies resident in this country. Such
persons are not included within the
term enemy or ally of enemy as en-
ployed in the act. The moneys on de-
posit in banks in this country belong
ing to such persons are not liable to
seizure by the government and will not,
therefore be taken into the possession
of the alien property custodian"
When the government announced a
few days ago that goods and funds
here belonging to alien enemies would
be seized and invested in Liberty
Bonds, it meant the vast stores of
merchandise that had been purchased
in this country by German agents be-
fore this country entered the war,
which merchandise has been clogging
up our warehouses for months be-
cause 1t Is Impossible TO get all OIL IL
into Germany at this time.
For instance, vast stores of cotton
are piled up in this country awaiting
shipment to Germany, having been
contracted for by German firms be-
fore this country declared war. The
United States will not permit this
cotton to be sent to Germany, but as
it is owned by firms in Germany 1t
remains idle. Rather than have this
cotton remain idle, the government
proposed to seize it and sell it, tax
ing the money received through the
sale of it and place it in Liberty
bonds. When the war is over these
bonds can be sold, as they are as good
as gold, and the money thus received
from the sale of the bonds will. in all
probability, be turned over to the
German firms who had originally
bought the cotton. In the meantime,
the money will have been used by this
country in helping to finance the war.
In the same way millions of dollars
are on deposit in our large financial
institutions, principally in New York.
having been placed there by German
firms. This money was paid to their
agents in this country in payment for
goods that has been imported from
Germany from time to time. This
money was on deposit here either to
buy American goods in return to be
, sent to Germany, or awaiting ship
ment to Germany in the form of cash
But the United States will not permit
this cash to be sent to the Central
Powers, neither will it permit articles
bought here to be sent there at this
time. The result is, the money
amounting to many millions of dol
lars, remains idle in the banks to the
credit of German or Austrian firms
This money the government proposes
to use for the time being. investing II
for these foreign firms in Liberty
Bonds, where it will earn four pei
cent interest instead of letting 1t lie
idle in the banks until the end of the
war The German firms, while they
might not like having their money
used to help finance a war against
them. will at least receive the benefit
of the investment
Under no circumstances, as is
brought out in Mr.. Palmer's state
ment made last night will individual
deposits of Germans, Austrians, Bull
garians or Turks living in this country
be touched. Neither will the real
estate or other personal property OF
any kind belonging to them be touch
ed. The personal property of any
German, Hungarian, Austrian, Bulga-
rian or Turk is just as safe today in
this country as it ever was. 1t will
not be taken by the government as
long as the man commits no offense
against this government. President
Wilson gave his word to that effect
when the United States went into this
war, and his word is as good today
as it ever was.