Evening star., 1941-07-26

penalties for violation of the order"
Edward H. Foley, general counsel
of the Treasury. who signed the
orders as Acting Secretary in the alb
sence of Secretary Morgenthau, said
they "froze all trade between the two
countries"
Under the order, it was explained,
an American exporter must secure a
Treasury license before shipping
oil or any other commodity to Japan,
and an American importer must Sc
cure a license before he can import
raw silk or any other product from
Japan.
The general policies to be followed
in granting licenses, it was explained,
will be drawn up by an "Administra-
ton Policy Committee" consisting
of Mr.. Foley. Assistant Secretary of
State Dean Acheson and Assistant
Attorney General Francis Shea.
Whether licenses for the export of
American goods or the import of
japanese goods will be granted free
ly. restricted or refused, it was said,
will depend on the general policies
laid down by that committee.
Oil Not Mentioned.
The question of whether oil
vitally needed by Japan's army,
navy and induStry-W0uld continue
to be shipped to Japan was not
specifically mentioned in the White
House order or any of the supple
mentary Treasury orders.
The White House statement did,
however, emphasize that a major OBJ
jective of the order was to prevent
any trade between the United States
and Japan harmful to national de-
fense and American interest" The
American Petroleum Institute in
New York declared that Japan i'm
ported 3,154.000 barrels of motor fuel,
including 467.000 barrels of aviation
gasoline, from the United States in
the six months ended last March 81.
DIR. HUI Shih. Chinese Ambassa-
dor, expressed the hope yesterday,
before the freezing" order was is
sued, that this and other powers
friendly to China would establish
"a complete economic blockade
against the Pacific partner of the
Axis
Specific Licenses Needed.
BY Treasury definition. President
Roosevelt's order prohibits the use
or removal from the United States
of any japanese or Chinese prop
erty ounless specifically exempted)
without a specific license for each
transaction from the Secretary of
the Treasury.
Such property was defined to in
clude money, checks, drafts, bullion,
bank deposits, savings accounts. any
debt. Indebtedness or obligations.
financial securities commonly dealt
in by bankers, brokers and invest
ment houses; notes, debentures,
stocks, bonds coupons, bankers ac-
ceptances, mortgages. pledges. leins
or other rights in the nature of
security, warehouse receipts, bills
of lading, trust receipts, bills of sale.
any other evidences of title, owner
ship or Indebtedness; goods, wares,
merchandise. chattels, stocks on
hand, ships, goods on ships, real
estate mortgages, vendors sales
agreements, land contracts. real
estate and any interest therein,
leaseholds, ground rents, options,
negotiable instruments, trade ac-
CeptanceS, royalties, book accounts,
accounts payable, judgments. pat
ents, trade marks, copyrights, con-
tracts or licenses affecting or in
volving patents, insurance policies,
safe deposit boxes and their con-
tents, annuitieS, pooling agreements,
contracts of any nature whatso-
ever, etc.
ANY person in this country,
American or otherwise, found to
be acting as an agent of a country
whose funds were frozen is sub
ject to having his own funds tied up.
Normal trade is permitted between
the Philippines and Japan pro-
vided it is not for the benefit of any
other country whose assets have
been frozen, notably Germany and
Italy.
Exempted Assets.
To prevent unnecessary hardships,
the Treasury issued supplementary
orders which: Exempt the assets of
all japanese who have been con-
tinuouS residents of the United
States since June II. 1910: permit
each japanese to withdraw a maxi
mum of $500 per month for living
expenses here; and permit Japa-
neSe firms here to meet their pay
rolls.
Other exemptions permit the con-
tinued operation of some japanese
banks and Offices in Hawaii, which
has a large Japanese population