Evening star., 1942-02-01

KotIOnin9 OF OtneI AUTOS
Expected to Stort About
Two Weeks Later
The Office of Price Administra-
ton moved yesterday to open the
retail automobile market for the
first time since the Government
'froze" all car stocks January /.
Price Administrator Leon Hen
derson announced that new pas
senger cars bought but not delivered
to customers before the freezing Or
der would be released for distribu-
ton February IL. The full ration
ing program in the automobile field
will be placed in operation about
two weeks later, he said.
Unofficial estimates of the num-
her of cars which would be released
February IL range from 5000 to
10000 for the whole country. Wash
ington dealers declined to estimate
the total affected in the District.
o. P. A. officials said eligibility
lists for the rationing program prob
ably would be completed within the
next week or so.
$4,000 Autos Available.
"The program contemplates the
release of all cars in dealers hands
with the exception of those already
tagged for a Government stockpile)
before the end of the year" Mr..
Henderson said, indicating a rela-
lively broad scope of eligibility.
An estimated 654,000 new cars
were to be available by the end of
January, but 130,00O-or approx
mately the full manufacturing out
put for the last half of the month
are to be held off the market for
the stock pile. This leaves some 524,-
900 cars available for rationing this
year.
Mr.. Henderson said it was felt that
the problem of cars bought but
not delivered should be disposed OF
before the actual rationing program
was attempted and that the two
week period from February IL to 26
was being set aside for this pur-
pose.
Regulations Outlined.
To obtain a car bought before
January /, a purchaser will be re-
quired to apply for a purchasing
certificate from his local rationing
board. Certificates will be issued
only on presentation of satisfactory
eidence that the purchaser actually
bought the new car prior to the
freezing order.
Any one of the following factors
will constitute such evidence:
/. A certificate of title or regis
tration of the car issued by State or
local authorities.
2. A sworn statement by such
State or local authorities that an
application for such certificate was
filed on or before January l.
3. Evidence of each Of the fol-
of sale; a Cancelled check for the full
purchase price or for required de-
post on the purchase price. and the
original bound or serially numbered
receipt book used by the dealer
showing entry OF a credit, a certifl-
cate of title or registration showing
the transfer of title to a 'traded-in"
used car, or sworn statement by
State or local agencies that an ap-
plication for such transfer of title
had been filed on or before January
/; and proof that the particular car
involved actually was in the hands
of the dealer or was in transit to the
dealer as Of January /.
Verbal Agreements Out.
The manner in which the auto
mobiles will be released was con-
tanned in a formal order, effective
tomorrow.
1t was clear from the language of
the order that verbal agreements
for purchase and other such infor-
NAL transactions will be disallowed.
A Washington dealer pointed out
case in which both parties ap-
parently are out of luck" He ac-
cepted a ''trade-in' car last Novem-
ber from customer who didn't
want delivery of the new automobile
until about March. The "trade-in"
subsequently was sold on the used
car market.
Under the order. the dealer can't
supply the customer with new car
because the particular car involved
was not in his hands or in transit
before January l. Moreover, he no
longer has the "trade-in" to return
to its original owner.
Mr.. Henderson said that dealers
who wish to liquidate their stocks
may transfer cars without certifi-
Gates to manufacturers, distributors
or other dealers. The o. P. A. chief
also said that plans are being con-
sidered to provide financial assist
ance In the carrying of inventories
for dealers who need it.
Exempt Agencies Listed.
Yesterdays order listed limited
number of buyers who may continue
to obtain cars without applying to
boards for certificates. It included
those authorized to receive cars on
behalf of the Army, Navy. Coast
Guard, Coast and Geodetic Survey,
Maritime Commission. Panama Ca
nal, Reconstruction Finance Corp,
Civil Aeronautics Administration,
National Advisory Commission for
Aeronautics, Once of Scientific Re-
search and Development and Gov
ernment agencies or persons acquir-
ing passenger cars for export to for
eign countries, restricted quotas for
which will be established by the War
Board.
Also exempt will be beneficiaries
under wills and receivers or trustees
coming into possession Of new cars
as result of court proceedings.
Mr.. Henderson made it clear, how
ever, that none of those in the ex-
empt categories will be permitted to
resell or transfer new cars without
complying with the rationing order.
On the truck rationing side, the
War Production Board extendS
from February 2 to February II its
han on sales of 1910 model 1ipht