Evening star. [volume] (Washington, D.C.) 1854-1972, 1941-06-15
By JOHN c. HENRY

A new phase of American ecOno-
mic participation in the war was
under way today. ordered by Presl-
dent Roosevelt yesterday with the
immediate freezing of assets here
of all continental European coun-
tries, including Germany and Italy.
AT the same time, the President
directed the Treasury Department
to make a comprehensive and de-
tailed census of all foreign-oWn
property in the United States.
In embracing all assets, the
freezing order takes in important
rights and contracts viii / German
corporations have in this country.
Some members of Congress have
contended that these patents gave
the Nazis control over important
segments of American industry.
Axis Protest Expected.
Actually. yesterdays order, sweep
ing and complete in its application
to every European country except
Great Britain and Ireland, closes
the last loopholes for employment to
German-Italian benefit of assets
held here by any continental nation,
either at peace or at war. AXIS pro-
test or retaliation was expected
here.
For those countries not yet in
vaded or occupied by Axis forces,
however, it was specified that
through the medium of general
Il, no
lifted conditional upon the
receipt of adequate assurances from
the governments of such countries
that the general licenses will not be
employed by them or their nations
to evade the purposes OF this or
der"
The nations to be accorded this
special treatment are Finland, Por-
tugal. Spain, Sweden, Switzerland
and Soviet Russia.
Their inclusion within application
of the broad order was determined,
the White House explained yester-
day, with a view to implementing
the control of German and Italian
assets in this country and in view
Of the lnterrelationship of interna-
tional financial transactions"
Warning was added, Furthermore,
that in addition to the requirement |
of adequate assurances" tranSac- |
tons to be permitted under the gen. |
eral licenses will be subject to re-
porting and careful scrutiny"
AS a defensive tactic, the White
House explained in a statement ac-
companying the order that it was
designed, among other things, to
prevent the use of the financial
facilities of the United States in
ways harmful to national defense
and other American interests
and to curb subversive activities in
the United States"
An additional purpose, it was de-
clared, was ito prevent the liquida-
ton in the United States of assets
looted by duress or conquest" In
this connection, it is understood
here that Axis pressure has been
eXerted against the governments or
nationals of countries invaded or
occupied by German or Italian
forces to compel them to hquidate
their American resources to advan-
tage Of their conquerors.
Total About 6 Billions.
In some cases, the assets of these
countries already are under United
States Government control and yes
terdays order completes the sweep
to take in the emainder-Andorra,
Albania, Austria, Czecho- Slovakia.
Danzig, Liechtenstein. Poland and
San Marine. The total of frozen
assets here was believed now brought
to 6,0O0,0OO,OOO.
Earlier orders, dating back to
April 8, 1910, apply to Norway. Den
mark, The Netherlands. Belgium,
Luxembourg, France and Monaco,
Latvia, Estonia, Lithuania, Ru-
mania, Bulgaria, Hungary, Yugo-
slavia and Greece.
These measures in effect" the
White House said. bring all finan-
Cial transactions in which German
and italian interests are involved
under the control of the Govern
ment. and impose heavy criminal
penalties upon persons failing to
comply herewith"
In view of the sweeping geo.
graphical nature of the order and
of the fact that Japan is an Axis
partner, some surprise was ex-
pressed here that that country was
(See FROZEN CREDITS page Alb