An Act to amend the War Claims Act of 1948, as amended, to provide compensation for certain World War II losses
PL 87-846 (H.R.7283), enacted 10/22/1962

76 STAT.] 
P U B U C LAW 87-846-OCT. 22, 1962 
Public Law 87-846 
1107 
A N A C T 
October 22, 1962 
To amend the War Claims Act of 1948, as amended, to provide compensation for 
[H. R. 7283] 
certain World War II losses. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress osseTnbled^ 
TITLE I 
SECTION 101. That the War Claims Act of 1948, as amended, is 
further amended by inserting after section 1 thereof the following: 
"TITLE I" 
SEC. 102. The word "Act" wherever it appears in title I except in 
section 13(a) in reference to thfe War Claims Act of 1948, as amended, 
is amended to read "title". 
SEC. 103. The War Claims Act of 1948, as amended, is further 
amended by adding at the end thereof the following: 
"TITLE I I 
War Claims 
Act of 1948, 
amendment. 
62 Stat. 1240. 
50 u s e app. 
2001 note. 
50 u s e app. 
2012. 
'•DEFINITIONS 
"SEC. 201. As used in this title the term or terms— 
"(a) 'Albania', 'Austria', 'Czechoslovakia'^ 'the Free Territory of 
Danzig', 'Estonia', 'Germany', 'Greece', 'Latvia', 'Lithuania', 'Poland', 
and 'Yugoslavia', when used in their respective geographical senses, 
mean the territorial limits of each such country or free territory, as 
the case may be, in continental Europe as such limits existed on 
Decemb3r 1,1937. 
"(b) 'Commission' means the Foreign Claims Settlement Commis-
sion of the United States established pursuant to Reorganization Plan 
Numbered 1 of 1954 (68 Stat. 1279). 
5 use 1332.15 
"(c) 'National of the United States' means (1) a natural person who note. 
is a citizen of the United States, (2) a natural person who, though not i9S8'^comp!^^ 
a citizen of the United States, owes permanent allegiance to the United 
States, and (3) a corporation, partnership, unincorporated body, or 
other entity, organized under the laws of the United States, or of any 
State, the Commonwealth of Puerto Rico, the District of Columbia, 
or any possession of the United States and in which more than 50 per 
centum of the outstanding capital stock or other proprietary or similar 
interest is owned, directly or indirectly, by persons referred to in 
clauses (1) and (2) of this subsection. It does not include aliens. 
"(d) 'Property' means real property and such items of tangible 
personalty as can be identified and evaluated. 
"CLAIMS AUTHORIZED 
"SEC. 202. The Commission is directed to receive and to determine 
according to the provisions of this title the validity and amount of 
claims of nationals of the United States for— 
"(a) loss or destruction of, or physical damage to, property 
located in Albania, Austria, Czechoslovakia, the Free Territoiy 
of Danzig, Estonia, Germany, Greece, Latvia, Lithuania, Poland, 
or Yugoslavia, or in territory which was part of Hungary or 
Rumania on December 1, 1937, but which was not included in 
such countries on September 15, 1947, which loss, destruction, 
1751 note. 
1108 
PUBUC LAW 87-846-OCT. 22, 1962 
[76 STAT. 
or physical damage occurred during the period beginning 
September 1, 1939, and ending May 8, 1945, or which occurred 
in the period beginning July 1, 1937, and ending September 2, 
1945, to property in territory occupied or attacked by the 
Imperial Japanese military forces (including territory to which 
Japan has renounced all right, title, and claim under article 2 
3 usT 3172. 
of the Treaty of Peace Between the Allied Powers and Japan) 
except the island of Guam: Provided^ That claims for loss, 
destruction, or damage occurring in the Commonwealth of the 
Philippines shall not be allowed except on behalf of nationals 
of the United States who have received no payment, and certify 
under oath or affirmation that they have received no payment, 
on account of the same loss, destruction, or damage under the 
60 Stat. 128. 
Philippine Eehabilitation Act of 1946, whether or not claim was 
50 use app. 
fiiefi thereunder: Provided 
further. That such loss, destruction, 
or damage must have occurred, as a direct consequence oi (1) 
military operations of war or (2) special measures directed against 
property in such countries or territories during the respective 
periods specified, because of the enemy or alleged enemy char-
acter of the owner, which property was owned, directly or 
indirectly, by a national of the United States at the time of such 
loss, damage or destruction; 
"(b) damage to, or loss or destruction of, ships or ship cargoes 
directly or indirectly owned by a national of the United States 
at the time such damage, loss, or destruction occurred, which 
was a direct consequence of military action by Germany or Japan 
during the period beginning September 1, 1939, and ending 
September 2, 1945; no award shall be made under this subsection 
in favor of any insurer or reinsurer as assignee or otherwise as 
successor in interest to the right of the insured; 
"(c) net losses under war-risk insurance or reinsurance policies 
or contracts, incurred in the settlement of claims for insured 
losses of ships directly or indirectly owned by a national of the 
United States at the time of the loss, damage, or destruction of 
such ships and at the time of the settlement of such claims, which 
insured losses were a direct consequence of military action by 
Germany or Japan during the period beginning September 1, 
1939, and ending September 2, 1945; such net losses shall be 
determined by deducting from the aggregate of all payments 
made in the settlement of such insured losses the aggregate of 
the net amounts received by any such insurance companies on 
all policies or contracts of war-risk insurance or reinsurance on 
ships under which the insured was a national of the United States, 
after deducting expenses; and 
"(d) loss or damage on account of— 
"(1) the death of any person who, being then a civilian 
national of the United States and a passenger on any vessel 
engaged in commerce on the high seas, died or w'as killed as a 
result of military action by Germany or Japan which oc-
curred during the period beginning September 1, 1939, and 
ending December 11,1941; awards under this paragraph shall 
be made only to or for the benefit of the following pei-sons in 
the order of priority named: 
"(A) widow or husband if there is no child or chil-
dren of the deceased; 
"(B) widow or husband and child or children of the 
deceased, one-half to the widow or husband and fhe other 
half to the cliild or children of the deceased in equal 
shares; 
76 STAT.] 
PUBLIC LAW 87-846-OCT. 22, 1962 
1109 
"(C) child or children of the deceased (in equal 
shares) if there is no widow or husband; and 
"(D) parents of the deceased (in equal shares) if there 
is no widow, husband, or child; 
"(2) injury or permanent disability sustained by any per-
son, who being then a civilian national of the United States 
and a passenger on any vessel engaged in commerce on the 
high seas, was injured or permanently disabled as a result 
of military action by Germany or Japan which occurred dur-
ing the period beginning September 1, 1939, and ending De-
cember 11, 1941; awards under this paragraph shall be pay-
able solely to the person so injured or disabled; 
"(3) the loss or destiniction, as a result of such action, of 
property on such vessel, as determined by the Commission to 
be reasonable, useful, necessary, or proper under the circum-
stances, which property was owned by any civilian national 
of the United States who was then a passenger on such vessel; 
and in the case of the death of any person suffering such loss, 
awards under this paragraph shall be made only to or for the 
benefit of the persons designated in paragraph (1) of this 
subsection and in the order of priority named therein. 
"'niANSFERS AND ASSIGNMENTS 
"SEC. 203. The transfer or assignment for value of any property 
forming the subject matter of a claim under subsection (a) or (b) of 
section 202 subsequent to its damage, loss, or destruction shall not 
operate to extinguish any claim of the transferor otherwise compen-
sable under either of such subsections. 
If a claim which could other-
wise be allowed under subsection (a) or (b) of section 202 has been 
assigned for value prior to the enactment of this title, the assignee 
shall be the party entitled to claim thereunder. 
"NATIONALri^ o r CLAIMANTS 
"SEC. 204. No claim shall be allowed under subsection (a), (b), or 
(c) of section 202 of this title unless the property upon which it is 
based was owned by a national or nationals of the United States on the 
date of loss, damage, or destruction and unless the claim was owned 
by a national or nationals of the United States continuously thereafter 
until the date of filing with the Commission pursuant to this title. 
Where any person who lost United States citizenship solely by reason 
of marriage to a citizen or subject of a foreign country reacquired such 
citizenship before the date of enactment of this title, then if such 
individual, but for such marriage would have been a national of the 
United States at all times on and after the date of such loss, damage, 
or destruction until the filing of the claim, such individual shall be 
treated for all purposes of this title as having been a national of the 
United States at all such times. 
"CLAIMS OF STOCKHOLDERS 
"SEC. 205. (a) A claim under section 202 of this title based upon 
an ownership interest in any corporation, association, or other entity 
which is a national of the United States shall be denied. 
"(b) A claim under section 202 of this title, based upon a direct 
ownei-ship interest in a corporation, association, or other entity which 
suffered a loss within the meaning of said section, shall be allowed, 
subject to other provisions of this title, if such corporation, associa-
tion, or other entity on the date of the loss was not a national of the 
1110 
PUBLIC LAW 87-846-OCT. 22, 1962 
[76 STAT. 
United States, without regard to the per centum of ownership vested 
in the claimant in any such claim. 
"(c) A claim under section 202 of this title, based upon an indirect 
ownership interest in a corporation, association, or other entity which 
suffered a loss within the meaning of said section, shall be allowed, 
subject to other provisions of this title, only if at least 25 per centum 
of the entire ownership interest thereof at the time of such loss was 
vested in nationals of the United States. 
"(d) Any award on a claim under subsection (b) or (c) of this 
section shall be calculated on the basis of the total loss suffered by 
such corporation, association, or other entity, and shall bear the same 
proportion to such loss as the ownership interest of the claimant bears 
to the entire ownership interest thereof. 
"DEDUCTIONS IN MAKING AWAKDS 
"SEC. 206. (a) In determining the amount of any award there 
shall be deducted all amounts the claimant has received on account 
of the same loss or losses with respect to which an award is made 
under this title. 
"(b) Each claim in excess of $10,000 filed under this title by a cor-
poration shall include a statement under oath disclosing the aggregate 
amount of Federal tax benefits derived by such corporation in any 
prior taxable year or years resulting from any deduction or deductions 
claimed for the loss or losses with respect to which such claim is filed. 
Ill determining the amount of any award where the allowable loss 
exceeds $10,000 there shall be deducted an amount equal to the aggre-
gate amount of Federal tax benefits so derived by the claimant. 
For 
the purposes of this subsection, such Federal tax benefits shall be the 
aggregate of the amounts by which the claimant's taxes for such year 
or years under chapters Ij 2A, 2B, 2D, and 2E of the Internal Rev-
53 Stat. 4. 
enue Code of 1939, or subtitle A of the Internal Revenue Code of 1954 
26^scrVe1'se 
^^'^^e decreased' with respect to such loss or losses. Any payments 
made on an award reduced by reason of this subsection shall be 
exempt from Federal income taxes. 
a CONSOLIDATED AWARDS 
"SEC. 207. With respect to any claim which, at the time of the 
award, is vested in persons other than the person by whom the 
loss was sustained, the Commission may issue a consolidated award 
in favor of all claimants then entitled thereto, which award shall in-
dicate the respective interests of such claimant therein; and all such 
claimants shall participate, in proportion to their indicated interests, 
in the payments authorized by this title in all respects as if the 
award had been in favor of a single person. 
li CERTAIN AWARDS PROHIBITED 
"SEC. 208. No award shall be made under this title to or for the 
benefit of (1) any person who has been convicted of a violation of any 
62 Stat. 807. 
provisiou of chapter 115, title 18 of the United States Code, or of any 
^f»Y^^ 2^^^ 
other crime involving disloyalty to the United States, or (2) any 
claimant whose claim under this title is within the scope of title I I I 
of the International Claims Settlement Act of 1949, as amended (69 
64 Stat. 12. 
Stat. 570), except any claimant whose award under section 303(1) of 
22 use 1621 
title I I I of the International Claims Settlement Act of 1949, as 
amended, is recertified pursuant to subsection (b) of section 209 of 
this title. 
et seq. 
note 
22 use 1641b 
76 STAT.] 
PUBLIC LAW 87-846-OCT. 22, 1962 
1111 
"CERTIFICATION OF AWARDS 
"SEC. 209. (a) The Commission shall certify to the Secretary of the 
Treasury, in terms of United States currency, for payment out of the 
War Claims Fund each award made pursuant to section ^02. 
"(b) The Commission shall recertify to the Secretary of the Treas-
ury, in terms of United States currency, for payment out of the War 
Claims Fund, awards heretofore made with respect to claims against 
the Government of Hungary under section 303 (1) of title I I I of the 
International Claims Settlement Act of 1949, as amended. Nothing 
22 use i64ib. 
contained in this subsection shall be construed as authorizing the filing 
of new claims against Hungary. 
u 
in F. R. 
CLAIM FILING PERIOD 
"SEC. 210. Within sixty days after the enactment of this title or of 
Publication 
legislation making appropriations to the Commission for payment of 
administrative expenses incurred in cariying out its functions under 
this title, whichever date is later, the Commission shall give public 
notice by publication in the Federal Register of the time when, and 
the limit of time within which claims may be filed, which limit shall 
not be more than eighteen months after such publication. 
"CLAIMS SETTLEMENT PERIOD 
"SEC. 211. The Commission shall complete its affairs in connection 
with the settlement of claims pursuant to this title not later than four 
years following the enactment of legislation making appropriations 
to the Commission for payment of administrative expenses incurred 
in carrying out its functions under this title. 
u NOTIFICATION TO CLAIMANTS 
"SEC. 212. Each award or denial of a claim by the Commission, 
whether rendered before or after a hearing, shall include a specific 
statement of the facts and of the reasoning of the Commission in sup-
port of its conclusion. 
"PAYMENT OF AWARDS; PRIORITIES; LIMITATIONS 
"SEC. 213. (a) The Secretary of the Treasury shall pay out of the 
War Claims Fund on account of awards certified by the Commission 
pursuant to this title as follows and in the following order of priority: 
"(1) Payment in full of awards made pursuant to section 202(d) 
(1) and (2), and thereafter of any award made pursuant to section 
202(a) to any claimant certified to the Commission by the Small 
Business Administration as having been, on the date of loss, damage, 
or destruction, a small business concern within the meaning now set 
forth in the Small Business Act, as amended. 
72 stat. 384. 
" (2) Thereafter, payments from time to time on account of the other ^^\l ^^^ ^^^ 
awards made pursuant to section 202 in an amount which shall be the "" 
same for each award or in the amount of the award, whichever is less. 
The total payment made pursuant to this paragraph on account of any 
award shall not exceed $10,000. 
"(3) Thereafter, payments from time to time on account of the 
unpaid balance of each remaining award made pursuant to section 
202 or recertified pursuant to subsection (b) of section 209 which 
shall bear to such unpaid balance the same proportion as the total 
amount in the War Claims Fund and available for distribution at the 
time such payments are made bears to the aggregate unpaid balances 
of all such awards. 
No payment made pursuant to this paragraph on 
note. 
1112 
PUBLIC LAW 87-846-OCT. 22, 1962 
[76 STAT. 
22 u s e 164li. 
22 use 1641b. 
Regulations. 
60 Stat. 128. 
50 use app. 
1751 note. 
account of any award shall exceed the unpaid balance of such award. 
Payments heretofore made under section 310 of title I I I of the Inter-
national Claims Settlement Act of 1949, as amended, on awards made 
against the Government of Hungary under section 303(1) of title 
I I I of the International Claims Settlement Act of 1949, as amended, 
and recertified under subsection (b) of section 209, shall be consid-
ered as payments under this paragraph and no payment shall be 
made on any recertified award until the percentage of distribution 
on awards made under section 202 exceeds the corresponding percent-
age of distribution on such recertified award: Provided^ That no 
payment made on awards recertified under subsection (b) of section 
209 shall exceed 40 per centum of the amount of the award recertified. 
"(b) Such payments, and applications for such payments, shall be 
made in accordance with such regulations as the Secretary of the 
Treasury shall prescribe. 
"(c) For the purpose of making any such payments, other than 
under section 213(a)(1), an 'award' shall be deemed to mean the 
aggregate of all awards certified for payment in favor of the same 
claimant. 
"(d) If any person to whom any payment is to be made pursuant 
to this title is deceased or is under a legal disability, payment shall be 
made to his legal representative, except that if any payment to be 
made is not over $1,000 and there is no qualified executor or adminis-
trator, payment may be made to the person or persons found by the 
Comptroller General to be entitled thereto, Avithout the necessity 
of compliance with the requirements of law with respect to the admin-
istration of estates. 
"(e) Payment on account of any award pursuant to this title shall 
not, unless such payment is for the full amount of the award, ex-
tinguish any rights against any foreign government for the unpaid 
balance of the aw'ard. 
"(f) Payments made under this section on account of any award 
for loss, damage, or destruction occurring in the Commonw^ealth of 
the Philippines shall not exceed the amount paid on account of awards 
in the same amount under the Philippine Rehabilitation Act of 1946. 
u 
FEES o r ATTORNEYS AND AGENTS 
"SEC. 214. No remuneration on account of services rendered on be-
half of any claimant in connection with any claim filed with the Com-
mission under this title shall exceed 10 per centum (or such lesser 
per centum as may be fixed by the Commission with respect to any 
class of claims) of the total amount paid pursuant to any award 
certified under the provisions of this title on account of such claim. 
Any agreement to the contrary shall be unlawful and void. 
Whoever, 
in the United States or elsewhere, demands or receives, on account 
of services so rendered, any remuneration in excess of the maximum 
permitted by this section shall be guilty of a misdemeanor and, upon 
conviction thereof, shall be fined not more than $5,000 or imprisoned 
not more than twelve months, or both. 
22 u s e 1621 
note. 
50 use app. 
2001, 2010. 
22 u s e 1626, 
"APPLICATION o r OTHER LAWS 
"SEC. 215. To the extent they are not inconsistent with the pro-
visions of this title, the foUowmg provisions of title I of this Act 
and title I of the International Claims Settlement Act of 1949, as 
amended, shall apply to this title: The first sentence of subsection 
(b) of section 2, all of subsection (c) of section 2 and section 11 of 
title I of this Act, and subsections (c), (d), (e), and (f) of section 7 
of the International Claims Settlement Act of 1949, as amended. 
76 STAT.] 
PUBLIC LAW 87-846-OCT. 22, 1962 
1113 
' ( i TRANSFER OF RECORDS 
"SEC, 216. The Secretary of State is authorized and directed to 
transfer or otherwise make available to the Commission such records 
and documents relating to claims authorized by this title as may be 
required by the Commission in carrying out its functions under this 
title. 
"ADMINISTRATIVE EXPENSES 
"SEC. 217. There are hereby authorized to be appropriated out of 
any moneys in the Treasury not otherwise appropriated such sums 
as may be necessary (but not to exceed the total covered into the 
Treasury to the credit of miscellaneous receipts under section 39 sub-
section (d) of the Trading With the Enemy Act) to enable the Com-
mission and the Treasury Department to pay their administrative 
expenses in carrying out their respective functions under this title."' 
SEC. 104. (a) Section 2 of the War Claims Act of 1948, as amended, 
is amended by adding at the end thereof the following: 
"(d) The term of office of members of the Foreign Claims Settle-
ment Commission holding office on the date of enactment of this sub-
section shall expire at the end of the one-year period which begins on 
such date, but during such one-year period each such member shall 
continue to hold office at the pleasure of the President. 
The President 
shall thereafter appoint, by and with the advice and consent of the 
Senate, three members of the Commission. The term of office of each 
member of the Commission shall be three years, except that of the 
members first appointed after the end of the one-year period which 
begins on the date of enactment of this subsection, one shall be ap-
pomted for a term of three years, one for a term of two years, and one 
for a term of one year." 
(b) Nothing in this section shall be construed to preclude the reap-
pointment as a member of the Foreign Claims Settlement Commission 
of any person holding office as a member of such Commission on the 
date of enactment of this Act. 
62 Stat. 1246. 
50 u s e app. 39. 
50 u s e app. 
2001. 
eommission 
members, terms 
of office. , 
Appointment. 
TITLE I I 
SEC. 201. That the Trading With the Enemy Act, as amended, is 
amended as follows: 
SEC. 202. Section 39 of the Trading With the Enemy Act is 
amended by adding at the end thereof the following new subsection: 
"(d) The Attorney General is authorized and directed to cover 
into the Treasury from time to time for deposit in the War Claims 
Fund such sums from property vested in him or transferred to him 
under this Act as he shall determine in his discretion not to be required 
to fulfill obligations imposed under this Act or any other provision of 
law, and not to be the subject matter of any judicial action or proceed-
ing. 
There shall be deducted from each such deposit 5 per centum 
thereof for expenses incurred by the Foreign Claims Settlement Com-
mission and by the Treasury Department in the administration of 
title I I of the War Claims Act of 1948. Such deductions shall be 
made before any payment is made pursuant to such title. All amounts 
so deducted shall be covered into the Treasury to the credit of mis-
cellaneous receipts." 
SEC. 203. Section 9(a) is amended by striking out the period at 
the end thereof and inserting in lieu thereof a colon and the fol-
lowing: ''''Provided further^ That upon a determination made by the 
President, in time of war or during any national emergency declared 
by the President, that the interest and welfare of the United States 
50 u s e app. 39. 
Ante, p. 1107. 
50 u s e app. 9. 
1114 
PUBLIC LAW 87-846-OCT. 22, 1962 
[76 STAT. 
require the sale of any property or interest or any part thereof 
claimed in any suit filed under this subsection and pending on or 
after the date of enactment of this proviso the Alien Property Cus-
todian or any successor officer, or agency may sell such property or 
interest or part thereof, in conformity with law applicable to sales 
of property by him, at any time prior to the entry of final judgment 
Notice of sale, 
in such suit. 
No such sale shall be made until thirty days have 
in^p'^R'^^"'*" 
passed after the publication of notice in the Federal Register of the 
intention to sell. The net proceeds of any such sale shall be deposited 
in a special account established in the Treasury, and shall be held 
in trust by the Secretary of the Treasury pending the entry of final 
judgment in such suit. Any recovery of any claimant in any such 
suit in respect of the property or interest or part thereof so sold 
shall be satisfied from the net proceeds of such sale unless such claim-
ant, within sixty days after receipt of notice of the amount of net 
proceeds of sale serves upon the Alien Property Custodian, or any 
successor officer or agency, and files with the court an election to 
waive all claims to the net proceeds, or any part thereof, and to claim 
just compensation instead. 
If the court finds that the claimant has 
established an interest, right, or title in any property in respect of 
which such an election has been served and filed, it shall proceed 
to determine the amount which will constitute just compensation for 
such interest, right, or title, and shall order payment to the claim-
ant of the amount so determined. 
An order for the payment of 
just compensation hereunder shall be a judgment against the United 
States and shall be payable first from the net proceeds of the sale in 
an amount not to exceed the amount the claimant would have received 
had he elected to accept his proportionate part of the net proceeds of 
the sale, and the balance, if any, shall be payable in the same manner 
as are judgments in cases arising under section 1»346 of title 28, 
United States Code. The Alien Property Custodian or any suc-
cessor officer or agency shall, immediately upon the entry of final 
judgment, notify the Secretary of tlie Treasury of the determination 
by final judgment of the claimant's interest and right to the pro-
portionate part of the net proceeds from the sale, and the final deter-
mination by judgment of the amount of just compensation in the 
event the claimant has elected to recover just compensation for the 
interest in the property he claimed." 
50 use app. 32. 
SEC. 204. (a) Section 32(h) is amended by striking out all that fol-
lows the first sentence in the first paragraph down through the third 
paragraph, and inserting in lieu thereof the following: "In the case 
of any organization not so designated before the date of enactment 
of this amendment, such organization may be so designated only if 
it applies for such designation within three months after such date of 
enactment. 
"The President, or such officer as he may designate, shall, before the 
expiration of the one-year period which begins on the date of enact-
ment of this amendment, pay out of the War Claims Fund to organ-
izations designated before or after the date of enactment of this amend-
ment pursuant to this subsection the sum of $500,000. If there is more 
than one such designated organization, such sum shall be allocated 
among such organizations in the proportions in which the proceeds of 
heirless property were distributed, pursuant to agreements to which 
the United States was a party, by the Intergovernmental Committee 
for Refugees and successor organizations thereto. Acceptance of pay-
ment pursuant to this subsection by any such organization shall con-
stitute a full and complete discharge of all claims filed by such 
organization pursuant to this section, as it existed before the date of 
enactment of this amendment. 
; 
j « • . 
- 
» 
76 STAT.] 
PUBLIC LAW 87-846-OCT. 22, 1962 
1115 
"No payment may be made to any organization designated under 
this section unless it has given firm and responsible assurances 
appjroved by the President that (1) the payment will be used on the 
basis of need in the rehabilitation and settlement of persons in the 
United States who suffered substantial deprivation of liberty or failed 
to enjoy the full rights of citizenship within the meaning of subdi-
visions (C) and (D) of subsection (a) (2) of this section; (2) it will 
make to the President, with a copy to be furnished to the Congress, 
such reports (including a detailed annual report on the use of the 
payment made to it) and permit such examination of its books as 
the President, or such officer or agency as he may designate, may 
from time to time require; and (3) it will not use any part of such 
payment for legal fees, salaries, or other administrative expenses 
connected with the filing of claims for such payment or for the 
recovery of any property or interest under this section." 
(b) The first sentence of section 33 of such Act is amended by 
50 use app. 33. 
striking out all that follows "whichever is later'' and inserting a 
period. 
(c) Section 39 of such Act is amended by adding at the end of sub- 
so use app. 39. 
section (b) the following new sentence: "Immediately upon the 
enactment of this sentence, the Attorney General shall cover into the 
Treasury of the United States, for deposit into the War Claims 
Fund, from property vested in or transferred to him under this Act, 
the sum of $500,000 to make payments authorized under section 32(h) 
of this Act." 
50 use app. 32. 
SEC. 205. At the end of the Act, as amended, add the following 
section: 
"SEC. 40. (a) Subject to the provisions of subsection (b) hereof, all 
rights and interests of individuals in estates, trusts, insurance policies, 
annuities, remainders, pensions, workmen's compensation and vet-
erans' benefits vested under this Act after December 17, 1941, which 
have not become payable or deliverable to or have not vested in posses-
sion in the Attorney General prior to December 31, 1961, are hereby 
divested: Provided^ That the provisions of this section shall not affect 
the right of the Attorney General to retain all such property rights 
and interests and to collect all income which is payable to or vested in 
possession in him prior to December 31, 1961. 
"(b) Nothing contained in this section shall divest or require the 
divestment of any portion of any such interest the beneficial owner of 
which is a natural person who has been convicted personally and by 
name by a court of competent jurisdiction of murder, ill treatment, 
or deportation for slave labor of prisoners of w^ar, political opponents, 
hostages, or civilian population m occupied territories, or of murder 
or ill treatment of military or naval persons, or of plunder or wanton 
destruction without justified military necessity. 
"(c) At the earliest practicable time after the effective date of this 
Act, the Attorney General shall transmit to the lawful owner or 
custodian of any interest divested by this section written notice of such 
divestment." 
SEC. 206. At the end of the Act, as amended, add the following new 
section: 
"SEC. 41. (a) Notwithstanding any statute of limitation, lapse of 
time, any prior decision by any court of the United States, or any 
compromise, release or assignment to the Alien Property Custodian, 
jurisdiction is hereby conferred upon the United States Court of 
Claims to hear, determine, and report to the Congress concerning the 
claims against the United States for the proceeds received by the 
United States from the sale of the property vested under the pro-
visions of the Trading With the Enemy Act by vesting order num- 
50 use app. 1, 
1116 
PUBLIC LAW 87-846-OCT. 22, 1%2 
[76 STAT. 
bered 33 relating to certificate numbers 104 to 121, inclusive, 125, 126, 
128 to 134, inclusive, and 137 to 139, inclusive. 
Proceedings with 
respect to such claims may be instituted hereunder not later than one 
year after the date of the enactment of this Act. 
"(b) As used in this section the word 'copyrights' includes copy-
rights, claims of copyrights, rights to copyrights, and rights to 
copyright renewals. 
"(c) All copyrights vested in the Alien Property Custodian or the 
Attorney General under the provisions of this Act subsequent to 
December 17, 1941, which have not been returned or otherwise dis-
posed of under this Act, except copyrights vested by vesting orders 
128 (7 F.R. 7578), 13111 (14 F.K. 1730), 14349 (15 F.R. 1575), 17366 
(16 F.K. 2483), and 17952 (16 F.R. 6162) and copyrights vested with 
respect to the motion picture listed last in exhibit A of vesting order 
11803, as amended (13 F.R. 5167, 15 F.E. 1626), are hereby divested 
as a matter of grace, effective the ninety-first day after the date of 
enactment of this section, and the persons entitled thereto shall on that 
day succeed to the rights, privileges, and obligations arising out of 
such copyrights, subject, however, to— 
"(1) the rights of licensees under licenses issued by the Alien 
Property Custodian or the Attorney General in respect of such 
copyrights; 
"(2) the rights of assignees under assignments by the Alien 
Property Custodian or the Attorney General of interests in such 
licenses; and 
"(3) the right retained by the LTnited States to reproduce, for 
its own use, or exhibit any divested copyrighted motion picture 
films. 
The rights and interests remaining in the Attorney General under 
licenses issued by him or by the Alien Property Custodian in respect 
to copyrights divested hereunder are hereby transferred, effective the 
(lay of divestment, to the persons entitled to such copyrights: Pro-
vided^ That all unpaid royalties or other income accrued in favor of 
the Attorney General under such licenses prior to the day of divest-
ment shall be paid by the licensees to the Attorney General. 
"(d) All rights or interests vested in the Alien Property Custodian 
or the Attorney General under the provisions of this Act subsequent 
to December 17,1941, arising out of pre vesting contracts entered into 
with resj)ect to copyrights, except— 
"(1) royalties or other income received by or accrued in favor 
of the Alien Property Custodian or the Attorney General under 
such contracts; 
"(2) rights or interests which have been returned or otherwise 
disposed of under this Act; and 
"(3) rights or interests vested by vesting orders 128 (7 F.R. 
7578), 13111 (14 F.R. 1730), 14349 (15 F.R. 1575), and 17366 
(16 F.R. 2483), 
are hereby divested as a matter of grace, effective the ninety-first day 
after the date of enactment of this section, and the persons entitled 
to such rights or interests shall succeed thereto, subject to the right 
of the Attorney General to collect and receive all unpaid royalties or 
other income accrued in his favor under such prevesting contracts 
prior to the day of divestment. 
"(e) Nothing in this section shall be construed to transfer to a per-
son entitled to a copyright divested hereunder the right of the Attor-
ney General to sue for the infringement of such copyright during 
the period between (1) the vesting thereof or the vesting of rights 
and interests in a contract entered into with respect thereto, and (2) 
the day of divestment. 
The right to sue for infringement shall remain 
in the Attorney General." 
76 STAT.] 
P U B U C LAW 87-847-OCT. 23, 1962 
1117 
TITLE I I I 
SEO. 301. If any provision of this Act, or the application thereof to 
any person or circumstances, shall be held invalid, the remainder of 
this Act, or the application of such provisions to other persons or 
circumstances, shaft not be affected. 
Approved October 22, 1962. 
Public Law 87-847 
AN A C T 
October 23, 1962 
To amend the Federal Property and Administrative Services Act of 1949, as 
[H. R. U899] 
amended, to provide for a Federal telecommunications fund. 
Be it enacted by the Senate and House of Representatives 
of the 
United States of America in Congress a^ssemhled^ That title I of the 
Federal teie-
Federal Property and Administrative Services Act of 1949 (63 Stat, c^munications. 
377), as amended, is hereby amended by adding a new section to read "s use eaog. 
as follows: 
"SEC. 110. There is hereby authorized to be established on the books 
of the Treasury, a Federal telecommunications fund, which shall be 
available without fiscal year limitation for expenses, including per-
sonal services, other costs, and the procurement by lease or purchase 
of equipment and operating facilities (including cryptographic de-
vices) necessary for the operation of a Federal telecommunications 
system, to provide local and long distance voice, teletype, data, fac-
simile, and other communication services. There are authorized to be 
appropriated to said fund such sums as may be required which, to-
gether with the value, as determined by the Administrator, of sup-
plies and equipment from time to time transferred to the Adminis-
trator under authority of section 205(f), less any liabilities assumed, 
es stat. 389. 
shall constitute the capital of the fund: Provided,, That said fund 
^^ ^^^ ^^^-
shall be credited with (1) advances and reimbursements from available 
appropriations and funds of any agency (including the General Serv-
ices Administration), organization, or persons for telecommunication 
services rendered and facilities made available thereto, at rates deter-
mined by the Administrator to approximate the costs thereof met by 
the fund (including depreciation of equipment, provision for accrued 
leave, and where appropriate, for terminal liability charges and for 
amortization of installation costs, but excluding, in the determina-
tion of rates prior to the fiscal year 1966, such direct operating ex-
penses as may be directly appropriated for, which expenses may be 
charged to the fund and covered by advances or reimbursements from 
such direct appropriations) and (2) refunds or recoveries resulting 
from operations of the fund, including the net proceeds of disposal of 
excess or surplus personal property and receipts from carriers and 
others for loss of or damage to property: Provided further,, That fol-
lowing the close of each fiscal year any net income, after making pro-
vision for prior year losses, if any, shall be transferred to the Treasury 
of the United States as miscellaneous receipts." 
Approved October 23, 1962.