Evening star., 1944-02-13

license agreements, trade mark license
agreements, franchises or concessions.
8. The investments Of the foreign
firms in the securities and obligations of
the United States firm reporting.
Control of Foreign Funds.
mere glance at these questions
makes 1t evident that the information
they bring is of tremendous value In
foreign funds control and economic
warfare.
For instance, If a business firm ap-
plies for permission to send $4,000 to
the manager of its branch in Barcelona,
Spain, the Treasury, by reference to the
census data. can determine whether
such a branch exists, who the manager
actually is and his nationality.
Thus far the census has brought an
swers from 206.4O6 persons and busi-
ness firms. Officially, it was closed last
December, but because of the vast data
required by the forms, the Treasury
has been forced to allow some of the
bigger corporations more time to COM
plete their answers. Too. officials say,
1t is quite possible that some owners of
small foreign properties have not yet
heard Of the census, although the de-
mand for returns was publicized through
every post Office in the United States.
Although $4,000 fine or Ave years in
prison are the punishment prescribed by
law for persons or business establish
ments failing to report their foreign
holdings, the Treasury says that no one
filing late will be prosecuted If their
failure to do so earlier was due to
ignorance of the law.
But 1t is the mandatory nature of the
present census which will make it by far
the most complete evee attempted In
past years, the Commerce Department
has compiled reports on American direct
and indirect holdings abroad, but it
could only request-not demand-in-
formation. And, too, the Commerce De-
partment made no effort to trace out the
intricate pattern of American holdings
through foreign subsidiaries beyond the
first degree of relationship.
Offers Interesting Information.
The Treasury census is nearly enough
complete now to offer some interesting
information on the scope of Americas
vast financial empire.
Reports received to date list total
foreign holdings of United States firms,
citizens OF residents here at s1l 1926 OOO,-
600. In addition, investments abroad
worth s89000,000 are held by American
custodians for foreign investors. Some
authorities believe that when all re-
turns are in, Americas private business
stake abroad will be shown to be not less
than $4,000 100000.
A breakdown of these figures by
countries provides an interesting index
OF where our greatest financial interests
lie. They give, in fact, sort of geo.
financial map of the world, as viewed
through American eyes.
AS might be expected, our greatest
financial stake is in Canada, where
697,000,000 has been invested,
Our Stake in Germany.
Our ,econd largest investment (and
this may well give rise to some interest
ing lines of speculation about postwar
economic settlements) is in Nazi Ger
many. Amount: $1,104 100000.
The United Kingdom, where 779OO0,-
600 of American money is invested,
ranks third.
Fourth is Cuba with $777,0OO0OO in
United States investments. America,
too, has sizable investments in the Far
East.
In order as to amount they are:
China, $166ooo,oo0; Philippine Islands,
$4,000, 900; Japan, $92 ,65S, 900; Dutch
East Indies, s42,0O0,0OO, and British
Malaga, sl9,0O0,o00.
Americas financial holdings are scat
tered in every corner of the earth.
Although one would hardly look for
humor in a census OF international f.
nancial investments, the agents of the
Treasury Department have had the
tedium of their job relieved by few
chuckles as they pored over the reports.
There was, for instance, the intensely
honest citizen who, In listing his small
holding in Germany, included an out
house.