The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
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. U. S . T F c a S V A r y
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K-
LIBRARY
ROOM 5030
JUN 141972
TREASURY DEPARTMENT
-
2
-
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury exoressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
May 3.1945
___.
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941, the
amount of discount at which billd issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (o^her than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, April 27« 1945
«
S F
The Secretary of the Treasury, by this public notice, invites tenders
for $ 1,300,000,000 , or thereabouts, of __ 91 -day Treasury bills, to be issued
on a discount basis under competitive and fixed-price bidding as hereinafter pro**
vided,
The bills of this series will be dated
mature
August 2« 1945
interest.
May
---- ...— > anc* will
" > when the face amount will be payable without
They will be issued in bearer form only, and in denominations of $1,000,1
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clock p. m., Eastern War time,
Monday:, April 30. 1 % 5
Tenders will not be received at the Treasury Department, Washingtons
Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g,, 99-925.
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded -in the special envelopes which will be supolied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent rf the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty of payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
/
TREASURE DEPARTMENT
W a s h i n g t o n _________ _
FOR RELEASE, MORNING- NEWS P A P E R S ,
F r i d a y , ,April 27, 1945 ,_______ _ _
4-26-45
■ The S e c r e t a r y o f the Treasury, b y this publ i c notice,
invites t e n ders for $ 1 , 3 0 0 , 0 0 0 , 0 0 0 , or ther e a b o u t s , of 9 1 - d a y
T r e a s u r y bills;, to be issued on a d i s c o u n t basis u n d e r com-,
petitive and fixed-price, b i d d i n g a s ' h e r e i n a f t e r provided.
The
bills of this series wil l be d a t e d M a y 3, 1945, and w i l l m a t u r e
August 2, 1945, w h e n the face a m ount w i l l be p a y a b l e w i t h o u t
interest.
T h e y w i l l be I s s u e d in b e a r e r f o r m only, and in
d e n o m i n a t i o n s of $1,000, $5,000, $ 1 0 ,000, $100,000, $500,000,
and | 1 , 0 0 0 , 0 0 0 (m a t u r i t y v a l u e ) .
T e n d e r s will be r e c e i v e d at Federal R e s e r v e B a n k s and
Branches up to the c l o si ng h o u r , two o * c l o c k p , m . , E a s t e r n W a r
time, Monday, A p r i l 30, 1945,
T e n d e r s will not be r e c e i v e d at
the T r e a s u r y D e p a r t m e n t , W a s h i n g t o n ,
E a c h tender m u s t be for
an even m u l t i p l e o f $1,000, and the price offered mus t be e x
pressed on the b a s i s o f 100, w i t h n o t m o r e than three decimals,
e , g , , 99,925,
F r a c t i o n s m a y n o t be used.
It is u r g e d that
tenders be made on the p r i n t e d forms and f o r w a r d e d in the
special e n v e l o p e s ‘w h i c h w i l l be su p p l i e d b y F e d e r a l Reserve
Banks or B r a n c h e s on a p p l i c a t i o n therefor.
T e n d e r s will be re c e i v e d w i t h o u t d e p o s i t f r o m - I n c o r p o r a t e d
banks and t r ust c o m p anies and f r o m r e s p o n s i b l e and r e c o g n i z e d
dealers in i n v e s t m e n t secu r i t i e s .
T e n d e r s f r o m o t h e r s 1 m u s t be
a c c o m p a n i e d by p a y m e n t of 2 p e r c e n t of th e f a c e :a m o u n t of
T r e a s u r y bills, a p p l i e d for> u n l e s s the tenders are 'accompanied
by an express g u a r a n t y o f p a y m e n t b y an I n c o r p o r a t e d b a n k or
trust c o m p a n y ♦
I m m e d i a t e l y a f t e r the c l o s i n g hour, t e n d e r s w i l l be o p e n e d
at the Federal R e s erve B a n k s and B r a n c h e s , f o l l o w i n g w h i c h
public a n n o u n c e m e n t will be m a d e b y the S e c r e t a r y of the
T r e a s u r y of the amou n t a nd p r ice range of a c c e p t e d bids.
Those
submitting tenders will be a d v i s e d of the a c c e p t a n c e or r e j e c t i o n
thereof.
The S e c r e t a r y of the T r e a s u r y e x p r e s s l y reserves the
right to accept or reject a n y or all tenders, in whole or in
part, and his a c t i o n in any s u c h r e s pect shall be final.
Subject
to these r e s e r vations, t e nders for $ 2 0 0 , 0 0 0 or less f r o m a n y one
b i d d e r at 99.905 e n t e r e d on a f i x e d - p r i c e basis w i l l be a c c e p t e d
in full.
P a y m e n t o f a c c e p t e d tenders at the pric e s o f f e r e d must
be m ade or c o m p l e t e d at the Federal R e serve B a n k in cash or
•other i m m e d i a t e l y a v a i l a b l e funds on M ay 3, 1945.
46-1
(Over)
2
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, shall nothave any exemption, as such, and loss from the sale or otner H
disposition of Treasury bills shall hot have any specia~ treat
ment, as such, under Federal tax, Acts now or hereof bar enac bee,.
The bills shall be subject to estate, inheritance, gift, or
other- excise taxes, whether Federal or State, hue snal_ be ^
exempt from all taxation now or hereafter imposed ;on tne p i m cipal or interest thereof by any State, or any of the posses
sions of the United States, or by any local taxing authority?..
For purposes of taxation the amount of discount at which
Treasury bills are originally sold by the United tSifeafes shall
be considered to be interest.
Under Sections 42 a n d ^11
a;
(1) of the Internal Revenue Code, as amended U y Sec-uicm^ i~o ox
the Revenue -Act of 1941, the amount of ;discount .at whien oixis
issued hereunder are sold shall not be considered yo accrue
until such bills shall be sold', redeemed or otherwise, disposed
of, and such bills are excluded froiri consideration. as capital
assets. 'Accordingly,- the owner of Treasury bills (ocner tnan
lif e insurance companies) issued hereunder
-include txn
his income tax return only the difference between the pri^e
paid for such bills, ’
whether- on. original issue or on- subse
quent purchase, and the amount actually received eitner upon
sale or redemption at maturity during tne taxable yssr for
which the return is made, as ordinary gain or loss.
Treasury Department Circular No, 418, as amended, and
this notice., ,prescribe the terms of the Treasury bills and^,
govern the conditions of their issue.
Copies of c,he circular
may be obtained from any Federal Reserve Banh or Branch,
-oOo-
TREASURE D E P A R M H T
Washington
FOR IMMEDIATE RELEASE
Friday, April 27, l%j>
Press Service
Ho.
</ £ . *■&»
The Secretary of the Treasury announced today that proposals
are being invited for furnishing distinctive paper required for
printing currency and public debt securities of the United States
for the fiscal year 1946, for which bids will be opened at the
Treasury Department on May 22, 1945*
The estimated quantity of paper required for currency is
113,865,000 sheets, or about 1375 tons, and for public debt
securities 50,675,000 sheets, or about 958 tons.
A -
TREASURY DEPARTMENT
Washington
Press Service
No. 46-2
FOR I M M E D I A T E RELEASE,
Friday, April 27, 1945»
The S e c r e t a r y of the T r e a s u r y announced
pro p o s a l s
are b e i n g
invited
t o d a y that
for f u r n i s h i n g d i s t i n c t i v e
p a p e r r e q u i r e d for p r i n t i n g c u r r e n c y an d p u b l i c debt
s ecurities of the U n i t e d States
1946,
for the
fiscal yea r
for w h i c h bids will be o p e n e d at the T r e a s u r y
Department
on M a y 22,
1945»
The e s t i m a t e d q u a n t i t y of p a p e r r e q u i r e d
is 1 1 3 , 8 6 5 , 0 0 0 sheets,
debt s e c u rities
or about 1375
50,675,000
sheets,
oOo
tons,
and
for c u r r e n c y
for public
or about 958 tons»-
live together in peace and prosperity.
We face a difficult task, as did our fathers a genera
tion ago.
But s b have learned fro» their failure that it
is not enough to set up political aachlnsry.
We must also
provide a sound economic foundation for enduring peace,
we
must mass sure that international economic relations con
tribute to the well-being of all countries, that they do
not become points of conflict which endanger peace.
The united Nations are now meeting in San Francisco
to build & world security organization,
te have the
responsibility, through the Bratton foods program, to
provide a sound economic foundation for this peace.
Under
the leadership of President Roosevelt, we have made a
Under the leadership of President
Truman, we must bring to completion this program that
embodies all the hopes and prayers of mankind.
,
*• * * *
■'>■/
U
—
a
o **
Vi
tySelf.,- a*d I k
*
a business out of giving things away,
yea can*t mak<
i
,, it Is poor
o»w^
business not to sell.-'W(jn&n seed-corn on
of the world are still a good credit rli
is a chance
helping hand to a
fair start.
At iretton Woods the United Nations prepared a
program to help rebuild and develop production, to enable
countries to sell abroad and buy abroad.
One part is an
International Bank to guarantee productive loans such as
the federal Mousing Administration insures loans to
home builders.
Another,
is an International fund to
stabilize currencies so that business men can buy and sei:
abroad without taking the risks of currency fluctuation.
Fair currency standards are as important to
¡rosperlty,
The Axle
used currency
the same thing <
ire as
unless all count;
together.
people, and the people of all the United
Nations, have dedicated themselves without limit to
this war.
They ask only one return for their sacrifice-
a world rid of war, a world in which all countries can
IfiglBB|BE■lSslBsh
sl
Th© people In this area, not
themselves.
only
have little for
They are a poor market for the products of
their neighbors.
The people are eager to work for their
’y
own recovery, but they need help to help themselves.
What do we do?
They spend i
t
We lend them the means to rebuild.
pf
-***
and so furnish jobs to tbs people who produce the goods
they need.
As the region recovers,
It is able once sore
to exchange goods for goods with the rest of the country.
This Is our natural way of treating home problems; and we
know that it works.
The situation is much the same w i t h the devastated
m
areas of Europe and the Far East except that they have
been swept by a man-made hurricane— a hurricane a thousand
times worse than any which nature has ever launched.
the natural resources are there and so are most of the
Industrious people.
They look primarily to themselves to
rebuild their own countries, but they need our help.
In
furnishing this help, we put them back on their feet; make
a market for the products of American labor; and help to .
bring the day when we can again trade goods for goods, with
a rising standard of living, here and abroad*
v ^ ’-:
m m m m m
Mallo aaorga* m i# la mm% m rg m tìm ^ , Jr.
I tov#
l u i ustaning to your ftVNpra*» Tto q&Mtloa you r tia i la
ona lisi t paoplt s i i ovar toa worM ara tjaking.
Maoaa all
tuo anaaara#
Bui
1
s a
aur#
#1
Ifó ona
I b i s aneti*
stasa
w rw gol to Uva togatoar* •#* va gol to ttaA a a#y to aork
togatotr» to axc&aoga sotos 1® * friaatìly# bimiaaaa-lllca
miy*
jm $ t nov soa# a£
omt
a# i gtoors*”-*®or to s i o u slo w ra .
boterà to® w - a r a t o r i B it,
systo&s tov# Ponti
s iìe s ii## *
f t o ir tra s p o rto tio n
Tu# i r tao to ri# # tov# tom i
to m to i and |iiiifl# § tì# it o i r povar p ia n ta a ra to # # ,
à to
«Ulia toay ara struggi te i to g#t baak o& toalr faat# «a
« i l i » v a soma p rs tty tougM proclama ©f su r oan to
arasti# « ito .
Lat a# giva you a alapia llXaatratloa ot «tot to#
prtoloas irti
A r id i sgpriom to r s i arsa to s to sti la i# low By a Mnr**
ris to # »
Ito r it o s o li is s t i l i to u r# , m à mmm o f to *
psrisBsast iapio;vsa#stSt sto Ito paopl# « ito ito ir sic i l i
ia tì to a ir to P ita o f ito to tr y .
fto y ara a ll tto r a .
U i# ir orops s to equlpaaat Bava toso avapt a m y.
M v# ili®
la a t to a ir aaadHjara»
Bui
fto y
as from the League of Bâtions*
If its strongest prop is
removed, Bretton Woods will collapse*
If it fails, the
hop© of economic peace flies out the window*
When economic
warfare is rampant, military warfare is not far off*
Dumbarton
Oaks is the police forcé and the court that bring quarreling
nations into custody and try to make them settle their
differences.
Bretton Woods is the traffic system to prevent
collisions in the first place*
Peace requires en Economic Magna Charta —
Rights for the world*
a Bill of
The Freedoms from Fear and Want will
be realized only on a solid foundation of economic prosperity#
We can reject cooperation and make the world hate and
kill our grandchildren*
a new lease on life
We can accept it and give the world
so that the mao who wants to buy and sail abroad today will
know what hi «¿money will be worth tomorrow.
w
You will realize, George, how important reasonable stability
of this kind is when X remind you of Germany1& underhanded currency
tricks before the war.
Shiploads of steel, copper and oil were
paid for with German marks which could be spent only as Germany
decreed — • sometimes for wooden toys or aspirin tablets.
She did
other things, too, such as paying for one shipment of tl* S* oil
with 8-million harmonicas and for a valuable American automotive
press with 200-thousand canaries*
Nothing could be done about it.
At that time no one nation recognized the obligation to consult
othesi about currency manipulation.
♦
We have within our grasp history*s greatest opportunity,
which if not seized will turn into history* s greatest calamity*
We are the most powerful of all nations*
The rest are looking
to see if we are going to lead in world cooperation or withdraw,
i
The needs of the people la war-torn countries exceed
anything our imagination can now conceive.
Their homes,
m
transportation systems, factories, power plants, bridges,
ports, and harbor installations that were a thousand years in
developing are now in ruins.
They must have help.
Bow being a businessman myself, I have never advocated
giving away anything, and I do not favor making indiscriminate
gifts abroad now.
But, it is poor business Indeed not to
sell a man seed-corn on time*
a good credit risk.
The people of the world are still
They prefer a "leg-up" to a "handout."
All they ask is enough credit for a fair start.
The means to
give them the "leg-up" and ourselves a post-war market was agreed
upon at Bratton Woods.
One proposal is for an international bank
to guarantee loans for deserving projects, much as the Federal
Housing Administration backs loans to prospective home-builders.
Another Is for an international fund
to stabilize currencies
-
2
-
If we dump them on the American market the present manufacturers
will be forced to close up shop and ask their employees to come
beck a hundred years from now*
But to the people of Yugoslavia,
Belgium, France, Greece, Hussia, India, China —
devastated or undeveloped areas of the world —
would bring desperately needed light and power*
in all the
these generators
Mere maintenance
of half a million generators would employ more Americans than
were needed to manufacture the total pre-war 25,000, and as the
generators wear out the demand for replacements would boost
such employment to highest war-time levels and keep it there*
Ivcry owner of a generator would be in the market for American
electric light bulbs, washing machines, irons, vacuum cleaners,
and radios*
When I tell you that generators are only one of
A5.000 such commodities which m y become economic seed-corn* you
will see what I mean when I say that helping the rest of the world
to its feet will help us to prosperity
Jr.
Hello, George*
your question.
This is Henry Horgenthauj ^ I #ve heard
It’s one that a great many people in this
country and all over the world are ashing*
living together
means exchanging goods in a friendly, businesslike way,
Just now, some of our neighbors are hard hit*
than get back on their feet*
We must help
In helping them we will
inevitably promote our own prosperity here at home*
Let
me give you an example:
In pre-war America, a small number of factories made
a yearly total of 25,000 electrical power generators, small
power plants for use in rural areas to which industrial
electricity had not yet extended*
During the war, since each
anti-aircraft unit requires one of these generators, the
factories have made over a million*
Aft®:* hostilities cease,
there will be on hand half a million generators which you and
I have bought and paid for.
You and I don’t need them, and
Following il draft of material submitted to Secretary
Morgeathau for M s remarks cm a Hitt# Network radio program
scheduled for Monday sight* April 30#
the Secretary copes
on Is the middle of a dramatisation broadcast from Hollywood
1» the d r a m the Secretary Is asked to di senas Brettes* Woods
if
(The following coast-to-coast broadcast by Secretary
Morgenthau is 4scheduled for delivery over the Blue
I
Network at 9:1 5 PM, EWT, Monday, April 30, 1945»
from his office in the Treasury Department, and is
for release at 1that time)
POR RELEASE 9 -.15 p |.M.
" Monday, A p r i l 50« 1945
Press Service
Ho. 46-3
tim t they do not fceoo»# pelato of eoafliot t ì M ortoaf«*1
peeee«
lorn aad
I
have the respeaslMllty* t a m u g a
fte Bretton
Woode progni»» to provide e gonad eeono&ìo foundation for
m e
pm m .
fader the 1 esdershif of President
ire tore made | reel start*
froaaa9 we « s t
Wring
iloosevelt*
fhder the leadership of President
to ooapietiea
this prop« Ä
embodies all the hopes and prayers of »aafclad*
.
.
.
• I -
t m and I tea# ttet we «in*t sate a business at giving
fllmgs &t«f.
But if i« w a r business not te soli aeed-oora
fte people of tte world m m sfili
an fina fa an tenant nan.
a gaad credit risk*
they prefer n balding tend fa a
tenda n t »
if Brattali Manda ite United hâtions prepared a twofold
program fa help rateila ani dataite production« ta «nabi«
countries to tall abroad and tey abra&d»
One part it «a
International i @ » ta guarantee produative loans*
Ä # atuer
1« an International fimi ta stabilise currencies.
fair currency standards are at impartant te peace a#
they are ta prosperity*
$te teds pavers need currency war
as a prelude ta total war«
And tte same m a g can teppen
again unless all aauntries waff together»
tte American people« tegetter with tte people of tte
other United hâtions« have dedicated themselves without
limit to winning this war»
ttelr saorlfloe —
they ash only one return for
a world wid of war« a world in whioh
all oountries aan live together in peso# and prosperity»
1 m and £ fees a difficult tate« as did aur fathers
a generation ago«
But we have learned from ttelr failure
that we cannot depend on political machinery alone»
We
must also provide a saute economic foundation far enduring
peace»
1# must make sure that international economic
relations contribute fa tte well-being of all countries«
* Jt **
*M » a » ,
t e a p e o n ía
a o t o a ly b a r* M f t l t
fo r
t e *n a e l r * * . » * y
a r e a p i a r saa rb e t f o r te a p r o d u e te * f
t e e i r a e lg b fc o re .
t e a p e o p l* a r a e a g a r t e * e r k e u t t e e i r
o# n r a e o r e r y , b u t
t e e y n e e d fe e lp t o b e l p t e o M e l P M
te a t m
m áot
te a y epend i t
la
fa
»
l o a d f t e t t t e a m e&ne t e r e b u l I d
te a r e a t o f t e
» m m trf
— ——
*
f o r p le u r a »
Imito**» m e é m é m m bm m tornlé g o o d a ; m é m fw m teto Seto*
te
p ro d u e a te o s a t e ln g e *
te a p e o p le te a
te e y a ra « b le te p a y o f f t e a l r
A a t h e y r e o o f e i 1,
l o a n *» a n d © aee « o r e t e
« je-
c h a n g a t f c a i r e o t t o n o r t e a l r w h a a t fe a * t e a num érem e t e i n g *
te a y n e ed *
te la
o u r n a t u r a l w a y o f t r e a t l n g boa »
la
p r o b le m a ; a n d a® bnow t e a t i t
te a
s ltu a tlo n
la
«
ti
ro rk s .
.t e a nmm
a l t e te a d e v a e te ta d
a ra a a a f Eu ro p a and te a F a r t e s t , e xo e p t t e a t te e y t o r a
b e e n s tr e p t b y a a a s i~ *e á e b s t r r l o a iie
~
a te P ia a a
«
a
t e o u a a n d t im a s w o r a e t e a s a a y n a t u r a lia s a r a r l a u n e h e d *
te a n a tu r a l re s o u rc e s a ra th e re m é m a re a a a t o f te *
in d u s tr ie n * peopXe*
t e a m a in b u r d a » o f r e b u l X d l n g a l l í f a l l
o n te a m » b u t t e e y n e e d o u r h e l p .
In
e x te n d in g t e la h e l p
, a*
n o t o n l y H e l p t e a ® t o g e t b & e k o n t e a l r f a a t ; b u t wa m a te
m a rfc e ts f o r t e a p r o d u o t s o f A m á r t e o s l a b o r *
1111iIppBISqi
Hello deorge*
fM# 1# Henry
beea lie te a la g to your pregre®,
om t t e t peonie a ll ì w
knovi a l l ite §Éaurora*
'f¡P® «
& iSR
<fr*
m SKpMHRnPI
1 te r«
fbe guestlon yen m%m le
tbe world aro aatting»
fii oa©
Bai 1 a® aaro of itala amati»
Sino©
gai io liv e togetber, we*re get to fitti a wnf to woffc
togetber* to exeteag© geode In. a friendly* buela©ea~llk©
wmy*
§|
.'.
’
■
...
Sii
IlI
,I
.nem eoas>p « f our neiKbbore — «or te s i oueto*«ra
X t ^ *
.:k
frlAJÙ
|
rW g terd bit* 'fltelr tntaaporiatloa f i
before thè « W
aysioita bava beea emaebed*
fbelr fautori©« baro beea
boabed aad pillate#* tbeir
pianta wreetted.
àad
abile tbey » # «tmgi&lag to gel baett oa tteir feet# tre
vili bare i m pretty tonici problema of oar ora to
m e t i l e wlth»
fo gei m idee of tbeir aituation* end of oar aituation*
end of boeme eaa belp e&eh ©tber, let me tatto m exemple froa
our mm oouatrys
Suppose, a rioti agrieul turai arem tea beo» Imi# lem by
a burri ©tao*
Sbe rleb soli io etili there* and ®aay of tbe
permaneat improreaente* «ad tbe people with tbelr abili
and tbelr tebita of iadustry.
fbey are all tbere»
tbeir erepa and eouipment bare beea saept maay.
©rea le et tbeir seed-oora»
®ut
Tbey bare
TREASURY DEPARTMENT
Washington
POR RELEASE 9*15 P.M.
Monday, April 30, 1945.
Press Service
No. 46-3
(The following coast-to-coast broadcast by Secretary
Morgenthau is part of a dramatic presentation being
broadcast from Hollywood over the Blue Network*
Mr* Morgenthau will speak from Washington at 9*15
P.M., EWT, Monday, April 30, 1945, and his remarks
are for release at that time).
(The following coast-to-coast broadcast
by Secretary Morgenthau is part of a
dramatic presentation being broadcast
from Hollywood over the Blue Network.
Mr* Morgenthau will speak from Washington
at 9*15 P.M., EWT, Monday, April 30, 1945,
and his remarks are for release at that
time).
TREASURY' D E P A R T M E N T
;W a s h i n g t o n
....
F O R ' R E L E A S E 9 : 1 5 R.M.-, BWT,'
M o n d a y > April 50, 1945»,
.;
- '
, ,•
Press. Service
. No, 46-5
(The f o l l o w i n g c o a s t - t o - c o a s t b r o a d c a s t
"by S e c r e t a r y M o r g e n t h a u is part of a
dramatic presentation being broadcast
fro m H o l l y w o o d o ver the B l u e .N e t w o r k .
Mr. M o r g e n t h a u will speak from W a s h i n g t o n
at 9:15 P . M . , ÊWT, Monday, April 50, 1945>
and his remarks are for release at that
tiiTie). “
_
H e l l o George.
T h i s ,is H e n r y Morgenthau., Jr.
I have
.been l i s t e n i n g t o ,y o u r p r o g r a m .
T he q u e s t i o n y ou raise
is one that people all o v e r the w o r l d are asking.
N o one
knows all the answers., But I am sure of this much.
Since
w e ’ve got to live together, w e ’ve g o t ' t o find a w a y to
wor k together, to exchange goods in a friendly, b u s i n e s s
like w a y .
Pome o f o u r ‘n e i g h b o r s
o ur b e s t c u s t o m e r s b e fore
the wa r •
■-- have bee n har d hit by our common enemy.
T h eir
t r a n s p o r t a t i o n systems have b e e n smashed,
T h e i r factories
have b e e n b o m b e d and pillaged, their p o w e r p l a n t s wrecked.
And while they are s t r u g g l i n g to g et b a c k on t h e i r feet,
we will have some p r e t t y t o u g h p r o b l e m s of o u r own to
w r e s t l e with.
To get an idea of t h e i r situation, and of our
Situation, and o.f how we can h e l p e a c h other, let. me
an -example f rom our own country:
take
jpfji Suppose,' a ric h a g r i c u l t u r a l area has bee n laid low
■by' a hurr i c a n e .
The r i c h soil is still there, and m a n y
of the p e r m a n e n t improvements, and the p e ople w i t h their
skill and t h e i r habits of industry.
T h e y are all there.
But t h e i r crops and q u i p m e n t h ave b e e n swept away.
They
h a v e . e v e n lost their seed-corn. •
•
The people in this area, n o t o n l y have little for
themselves. :Bût they are a poor/ m a r k e t -f o r the p r o d u c t s
of their n e i g h b o r s . :T h e p e o p l e are eager to w o r k out
their own recovery, but the y n e e d h e l p to h e l p t hqmselves.
W h a t do we do?
We l end t h e m the means to rebuild.
T h e y spend it in the. .rest, of the co u n t r y for ploughs,
lumber, seed and even h o u s e h o l d goods; and so f u r n i s h jobs
- 2 to'the people who produce these things*
As they recover,
they are able to p ay off their. loan..s,, and once more to
exchange their cotton or their w h e a t for, the n u m e r o u s )
things they need.' T h i s is our n a t u r a l w a y of t r e ating
home problems ; and we k n o w that it w o r k s . T h e sit u a t i o n is m u c h the same w i t h the d e v a s t a t e d
areas of E u r o p e and the Aar hast, except that they have
b e e n swept by a :m a n - m a d e h u r r i c a n e -- a h u r r i c a n e a tnousand
times w o r s e than any,.nature has ever launched*
'The n a t u r a l re s o u r c e s are there- and so are most of
■*
the i n d u strious people.
T h e m a i n b u r d e n of r e b u i l d i n g will
fall on them, but t h e y n e e d our help.
In e x t e n d i n g this
help, we not o n l y help t h e m to get b a c k on t h e i r feet; but
we m a k e m a r k e t s for the p r o d u c t s of A m e r i c a n labor.
Y o u and I know that we c a n ’t m a k e a b u s i n e s s of g i ving
things away.
B u t it is p o o r b u s i n e s s n o t to sell seed-corn
on time to an h o n e s t man#
The p e o p l e of the w o r l d are still
a g o o d credit risk.
T h e y p r e f e r a h e l p i n g . h a n d to a handout*
At B r e t t o n W o o d s the U n i t e d N a t i o n s p r e p a r e d a t w o f old
p r o g r a m to help rebuild and d e v e l o p p roduction, to enable
c o u n tries to sell abroad and b uy abroad.
One part is an.
I n t e r n a t i o n a l B a n k to g u a r a n t e e p r o d u c t i v e loan s .
The other
is an I n t e r n a t i o n a l lurid to stabilize currencies.
*
Fair c u r r e n c y standards are as important to peace as
they are to p r o s p e r i t y .
The Axis p o w e r s use d c u r rency w a r
as a p r e l u d e to total war.
A n d the same thing can h a p p e n
again u n less all countries wor k together.
The A m e r i c a n people, t o g ether w i t h the people- of the
other U n i t e d Na t i o n s , h a v e d e d i c a t e d themselves -wit hout
limit to w i n n i n g this war.
T h e y ask only one return
t h e i r sacrifice — — a -w o r l d rid of war, a w o r l d in w h i c h
all c o u n tries c a n live t o g e t h e r in peace and^ p r o s p e r i t y .
Y o u and I face a’ d i f f i c u l t task, as did o ur fathers
a g e n e r a t i o n ago.- B u t we have l e a r n e d from their failure
that we cannot d e p e n d on p o l i t i c a l m a c h i n e r y alone*
We
m u s t also p r o v i d e a s o u n d economic f o u n d a t i o n for e n d u r i n g
peace.
We must mak e sure that in t e r n a t i o n a l economic
re la tions c o n t r i b u t e to the wre l l —b e i n g of all countries,
that they do not b e c o m e points of conflict w h i c h en d a n g e r
peace.
- Y o u an d I hav e the r e s p o n s i b i l i t y , t h r o u g h the B r e t t o n
W o o d s program, to p r o vide a sound ec o n o m i c f o u n d a t i o n for
this peace.
U n d e r the l e a d e r s h i p of P r e s i d e n t Roosevelt,
we have made a real start.- U n d e r the l e a d e r s h i p of
P r e s i d e n t Truman, we must b r i n g to com p l e t i o n this p r o g r a m
that embodies all the h o pes and p r a yers of m a n k i n d *
0O0
TREASURY BSPÂRTMîlîT
Washington
Press Service
FDR X t m D W m RELEASE,
Monday, April 30« 1945
The Secretary of the Treasury today announced the final subscription
and allotment figures with respect to the current offering of 7/8 percent
Treasury Certificates of Indebtedness of Series B—1946»
Subscriptions and allotments were divided among the several Federal
Reserve Districts and the Treasury as follows t
Federal Reserve
District_______
Boston
Hew fork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Treasury
TOTAL
Total Subscriptions
Received and Allotted
787.836.000
35.717.000
71.930.000
21,558,000
37.583.000
250.805.000
30.417.000
29.802.000
58,153,000
39,537,000
168,840,000
3.550,000
*1,579,292,000
Press Service
FOR IMM E D I A T E RELEASE,
Monday, April 50, 1945
No.
T h e S e c r e t a r y of the T r e a s u r y today a n n o u n c e d
s u b s c r i p t i o n a nd a l l o t m e n t
figures w i t h respect
46-4
the final
to the
current of f e r i n g of 7/8 p e r c e n t T r e a s u r y C e r t i f i c a t e s
I ndebtedness
of
of Series 0 - 1 9 4 6 •
Subscriptions
several F e d e r a l
and a l l o t m e n t s w e r e d i v i d e d a m o n g the
Reserve D i s t r i c t s
Federal R e s e r v e
District
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St, Louis
Minneapolis
K a n s a s City
Dallas
San Francisco
Treasury
TOTAL
and
the T r e a s u r y as follows?
Total Subscriptions
R e c e i v e d and A l l o t t e d
I
45,564,000
787.836.000
' 35,717,000
71.930.000
21.558.000
37.583.000
250.805.000
30.417.000
29.802.000
58.153.000
39.537.000
168.840.000
5,550,000
#1,579,292,000
oOo
TREASURY DEPARTMENT
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, May 1, 1945.___________
Press Service
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated May 3 and to mature
August 2, 1945, which were offered on April 27, 1945, were opened at the Federal Reserve
Banks on April 30.
The details of this issue are as follows:
Total applied for - $2,043,664,000
Total accepted
- 1,314,'334,000
Average price
(includes $49,536,000 entered on a fixed-prio®
basis at 99.905 and accepted in full)
- 99.905/ Equivalent rate of discount approx. 0*3753$ per annum
Range of accepted competitive bids:
High
Low
- 99.910 Equivalent rate of discount approx. 0.356$ per annum
- 99.905
"
n
n
n
n
0.376$ w
»
(61 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New Tork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
« 33,870,000
1 ,480,630,000
43,153,000
24,115,000
13,281,000
4 ,925,000
289,615,000
17,274,000
12,510,000
13,338,000 V
6,098,000 \
109,855,000
$ 22,131,000
932,680,000
aa ,333, ooo
19,435,000
12,482,000
4 ,925,000
181,722,000
11,697,000
8 ,610,000
11,856,000
6,098,000
74 ,365,000
$2,043,664,000
$1 ,314,334,000
TOTAL
T R E A S U R Y DEPARTMENT.
Washington
Press Service
FOR RELEASE, M O R N I N G N E W S P A P E R S ,
Tuesday, May 1, 1945,
_____ ■
No,
46-5
The S e c r e t a r y of the T r e a s u r y a n n o u n c e d last evening
that the tenders
Treas u r y b i lls
which were
for £>1,300,000,000,
to be d a t e d May
on April
The d e t a i l s
of 9 1 ”day'
3 and to m a t u r e Augu s t
of f e r e d on April 27,
Reserve Banks
or t hereabouts,
1945,
were
o p ened at
2, 1945,
the
Federal
30,
of this
issue are
as
follows:
Total a p p l i e d for - $.2,048,664,000
'
Total a c c e p t e d
1,314,334,000
(includes £>49,536,000
e n t e r e d on a f i x e d - p r i c e b a s i s at 9 9 . 9 0 5 and a c c e p t e d
in full)
^
A v e r a g e price
R a nge
- 9 9 . 9 0 5 $ E q u i v a l e n t rate of di s c o u n t
a p p r o x . 0 *375$ per a n n u m
of a c c e p t e d c o m p e t i t i v e bids:
High
*f- 9 9 . 9 1 0 E q u i v a l e n t rate of d i s c o u n t
approx. 0 . 5 5 6 $ p er a n n u m
* 99~.905.E q u i v a l e n t rate of d i s c o u n t
a pp r o x . 0 , 3 7 6 $ p er a n n u m
L ow
(61 pe r c e n t of the
amount bid
for at the low price was
accepted)
Federal- R e s erve
District
Total
A p p l i e d for
Total
A c c e p t e d ____ _
Boston
New Y o r k
P hiladelphia
Cleveland
R i c hmond
Atlanta
Chicago
St. Louis
Minn e a p o l i s
Kansas City
Dallas
San Francisco.
$
I
TOTAL
33,870,000
1,480,630,000
43.153.000
24.115.000
13.281.000
4.925.000
289.615.000
17.274.000
12.510.000
13.338.000
6.098.000
1 0 9 . 8 5 5 . 0 00
1 2,048,664,000
oOo
22,131,000
932.680.000
28.353.000
19.435.000
12.482.000
4.925.000
181.722.000
11.697.000
8.610.000
11.856.000
6,0 9 8 , 0 0 0
74.565.000
$1,314,334,000
FOR IMMEDIATE RELEASE
Hay 1, 13*g
She Bureau of Customs announced, today preliminary figures shoving
the quantities of coffee authorised for entry for consumption under the
quotas for the 12 months commencing October 1, 19*&# provided for in the
Inter-American Coffee Agreement» proclaimed b y the President on April 15»
19to,
as follows:
Country of Production
:
:
:
:
Authorised for entry
Quota Quantity t
for consumption _
(Pounds) 1/
: As of (Pate) t (Pounds)
_
Signatory Countries:
Brasil
Colombia
Costa Bica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Bicaragua
Peru
Venezuela
Non-Signatory Countries:
Xj
1,73^.803.0^3
586.98S.903
37 .29lt.6s9
1H.917.S23
22,376,866
87.970,951
111,8SH,067
99,763.353
51,280,231
3,789.588
S8.57H.980
36.368.875
H,661,803
78,318,900
66,198,053
April 21, 1 9 H5
«
s
<R
91H.118.096
H03.883.880
l 6 ,H6 8 , 1 9 2
H,390,602
R
l6,2HH,882
R
80.373.257
R
H6 ,7 9 0 , 0 6 6
R
38,282,606
R
33.6H3.H15
(Import quota filled)
April 21, 19*5
31.778.3H5
R
8.37H.008
R
3.018,159
R
30.6HH.221
R
678,H33
Quotas as of January 3> 19^5* determined by action of the Inter*
American Coffee Board on January 2, 19^5•
TREASURY DEPARTMENT
Washington
Press Service
No. 46-6
FOR IMMEDIATE RELEASE,
Wednesday, May 2, 1945«
The Bureau of Customs announced today preliminary figur es showing
the quantities of coffee authorized for entry for consumption under the
quotas for the 12 months commencing October 1, 1944, provided for in the
Inter-American Coffee Agreement, p r o d a imed by the President on April 15,
1941, as follows:
Country of Production
:
Quota Quantity
(Pounds) l/
;
Authorized for entry
;
for consumption
; (Pounds)
; As of (Date)
Signatory Countries;
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
Non-Signatory Countries:
2/
1,734,203,043
586,988,903
37,294,'689
14,917,823
22,376,866
27,970,951
,111,884,067
99,763,353
51,280,231
3,729,522
88,574,920
36,362,275
4,661,803
78,318,900
66,198,053
April 21, 1945
914,118,096
403,883,880
tt
16,468,192
tt
4,390,602
tt
16,244,882
«
20,373,257
tt
46,790,066
tt
38,282,606
tt
33,643,415
(Import quota filled)
April 21, 1945
31,772,345
tt
8,374,008
tt
3,018,159
tt
30,644,221
tt
tt
678,433
Quotas as of January 3, 1945, determined by action of the InterAmerican Coffee Board on January 2, 1945«
.nd. liabilities of a.11 a c t i v e "banks in the U n i t e d S tates and possess i o n s , "by classes,
Dec. 3 0 , 1 9 4 4 - Contd.
Page 6
(in thousands of dollars)
: Total
î all banks
♦
Total deposits........ ............ .$1 4 2 ,3 1 0 , 8 2 4
Bills payable, rediscounts, and other
1 2 5 ,6 2 4
liabilities for borrowed money..........
Acceptances executed by or for account of
7 2 ,1 4 6
reporting banks and outstanding........ .
Interest, discount, rent, and other income
47,514
collected but not earned.............
Interest, taxes, and other expenses accrued
293,^0
and unpaid...........................
39s Mo
Other liabilities.......................
143,254,06s
Total liabilities.................
CAPITAL ACCOUNTS
Capital notes ©nd debentures.......... .
Preferred stock................... .
Common stock...... .....................
Undivided profits...... ...... ........ ..
Reserves and retirement account for preferred stock and capital notes and
•debentures............................
576.595
9,693.116
Total liabilities and capital
accounts......................... . 152,947,124
Total capital accounts.............
a.
22,320
207,0144
2,763.586
u,1429,207
3.57^.36^
» National
î banks
ï All banks • Banks other than national
i other than *t State (com : Mutual
:p
.
î national
: savings
: rivate
mercial)
$7 2 ,1 2 2 , 9 3 7
$70,121,227
$56,625,221
$13,350:6*39
$2 0 5 , 4 1 7
5 4 ,1 2 0
71, 4 4 4
69,221
50
2 ,1 1 3
Us, 14-69
29,677
2 4 ,2 9 2
—
5.379
2 U,5 6 5
2 2 ,9*39
22,702
211
30
1 6 2 ,4 6 5
1 2 5 ,0 7 5
l4 s , 0 4 2
1 1 5 ,0 0 4
1 2 2 ,5 2 4
9 .9 9 1
20
312
250,37s
72.67u.99it
70,579,074
56,979.636
—
91.966
.*37*3 . 9 3 9
,2 0 2 , 9 5 9
632,000
22,320
115,07s
,2 2 2 , 6 4 7
,6 2 0 , 2 4 2
942,364
115,072
1,222,720
1 ,6 9 6 , 7 2 0
522,131
1
1
267,001
1
2
7 7 .*367
25,200
13,326,101
*3,853
—
—
970,73*3
359.85*3
2 1 3 .3 3 7
—
5 .9 2 7
1 2 ,7 3 4
379
2 6 7 ,5 2 2
3 9 ,7 5 2
U, 27*3,865
309,59*3
5,412,251
4 ,0 2 1 , 7 6 4
1 .3 7 5 . 1 9 3
2 1 ,2 9 4
76,9*39.859
75.997,325
6 1 ,0 0 1 , 4 0 0
1*3,761,29*3
234,631
2.25*3
X
Assets and liabilities of
a c t i v e banlcs i n tiie TJnitea s t a t e s a n d p o s s e s s i o n s , b y c l a s s e s ,
Total
all hanks
$1,801,370
Currency and coin........ ......... ......
Balances with other hanks, including re
serve balances and cash items in process
2 9 »175»791
of collection........ ........... ......
1 ,066,15S
Bank premises owned, furniture and fixtures.
167,64s
Real estate owned other than hank premises..
Investments and other assets indirectly
representing bank premises or other real
86,172
estate................ ........... .....
Customers* liability on acceptances out
67.92U
standing. ...............................
Interest, commissions, rent, and other in
260,97g
come earned or accrued hut not collected...
208,550
Other assets............................
Total assets................. ..... 152,9^7,184
LIABILITIES
Demand deposits:
Individuals, partnerships, and corpo^rations.............................. *
U. S. Government.......................
States and political subdivisions.......
Banks in the United States..............
Banks in foreign countries....... ......
Certified and cashiers* checks, etc......
Page 5
Dec. 30, 1944 - Contd.
(in thousands of dollars)
65,316,307
20.81U .673
U, 6U 8,022
ll. 172.uuu
983,79«
1,379.885
Total demand deposits............... 10U,315,129
Time de-posits:
Individuals, partnerships, and corpor
ations. .***•..*••*»»•*;
*••»•••*"»•*•'.»*.•». » 37,229,140
TT S GrvV’ft-rnmfint........ ..... .........
103,175
8 ,0 5 6
Pnetal SAVinffS. ........................
547,486
States and political subdivisions.......
"Rorilro in the* TTn4 tfifl States................
96,979
1 0 ,2 5 9
$anks in foreign countries........... .
Total time deposits................
3 7 .9 9 5 .6 9 5
National
hanks
All hanks
Banks other than national
* other than * State (com- : ffatual
• national
* Private
: savings
: mercial)
•
$ 90U ,500
$296,870
$208,499
$ 86,115
$2,256
I6 J 32.749
513»522
18,158
12,443,042
552.636
149,490
11.898.82U
496,187
U50.332
101,770
48,031
53U
53.176
95,239
U 75
47,640
38,532
29,024
9,422
26
42,721
25,203
20,150
122,223
42,215
138,7U 9
160,335
135,012
Uo,97S
2U.953
480
370
76.9u 9.859
75>997»325
61,001,400
14,761,294
234,631
36.320.75u
1 1 ,086,386
28,995,553
9,728,287
1 .83U .023
3.615.3U 6
520,U26
527,307
97*291
28,252,544
9,726,449
1,2^1,417
3,598,178
—
7*177
1*395
4jl
5*053
135.232 ■
443
491,818
524,554
55
2,135
17,H3
28,608
896
1,257
59.09U.137
U5.ggO.9Ug U5.0gU.960
9.99U
185,933
1 2 ,6 5 5 ,0 9 0
80,2*52
5 »2Î8
2 5 6 ,5*40
3 4 ,0 9 8
3 .5 5 2
2 4 ,5 7 4 ,0 5 0
2 2 ,9 2 3
2 ,8 3 8
290,946
62,881
7.307
2 4 ,9 6 0 ,9 4 5
13.339,37U
1 9 .2 1 9
2,813,999■
7,557,098
U63.372
852,578
1 3 .0 3 U .75 0
1 1 .2 1 5 .U5 7
2 2 ,9 2 3
2,838
289,800
6 2 ,5 3 6
7,307
11,600,861
—
981
300
—
16 5
45
13,340,655
1 9 .U29
—
—
BSP
xec*- s-c«-T>®a
^àn-a. p o s s e s s i o n s , oy u
>g’
Page 4
Dec. 30, 1944*
(In thousands of dollars)
•
Total
*
all
banks
t
•
*•Rational
* banks
•
5,031
lH.579
Humber of banks.................. .......
ASSETS
Loans and discounts:
Commercial and industrial loans (includ
$>+.7 6 9 .2 5 9
ing open-market paper................. $s ,0 3 3 ,0 6 2
»
Loans secured by agricultural commodities
covered directly or indirectly by pur
chase agreements of Commodity Credit
5 3 9 ,6 1 3
8 2 0 ,15 0
Corporation.........................
1+
5 9 .6 9 7
9 5 8 .3 3 1
Other agricultural loans..............
Loans to brokers and dealers in
984,058
2,281,564
securities............... ..........
Other loans for the purpose of purchas
ing or carrying stocks, bonds, and
2,301,81+9
1,166,639
other securities.............. .
Real-estate loans:
1 6 8 ,7 8 8
4 7 0 ,4 5 1
1 ,5 ^1 ,177
7 ,4 7 2 ,1 7 0
3 3 5 ,8 9 7
792,3^°
~2
1 ,5+30
59,5+76
Loans to banks,.......................
1,511
»2.5+5+
2
,
9
1
2
,
2^+6
All other loans, including overdrafts....
11,1+97,802
Total loans and discounts.......... 26,101,639
Securities:
U. S. Government securities:
5+2 ,8 3 6 ,3 2 0
8 5 ,1+1 0 ,7 2 0
Direct obligations.............
1
,
001+,035
642,5+69
Guaranteed obligations.........
Obligations of States and political
2 ,0 5 6 ,7 2 2
3 .6 5 9 .3 0 7
subdivisions...................
3
,3
8
3
,0
8
2
1 ,3% , 369
Other bonds, notes, and debentures.
Corporate stocks, including stocks of
15+1 ,5+1î-9
5 5 3 ,8 1 6
federal Reserve banks..........
1+7 ,0 2 2 ,3 2 9
,_____________
9 4 ,0 10 ,9 6 0
Total securities.... .*____ _
* Excludes banks in Guam and The Philippines on account of the war.
** Includes trust companies and stock savings banks.
‘All banks
•other
than
*
* national
1
Banks other than national
State
(com-: Mutual
•<
. Private
mereiai)** : savings
9,548
8 .9 7 1
$3 ,2 6 3 ,8 0 3
$3 ,2 3 6 ,1 6 2
42
535
$90
$2 7 .5 5 1
2 8 0 ,5 2 7
5+98,233
177
10
224
1 ,2 9 7 .5 0 6
1 ,2 8 9 ,1 3 9
30
8,337
1 ,1 3 5 ,2 1 0
1 ,1 2 3 ,0 2 3
460
1 1 ,7 2 7
3 0 1 ,6 6 3
5*930,993
5+56,:
51-5+3
38,05+6
1,5+01,002
i++,6 0 3 ,8 3 7
293,522
1,674,911
413,424
3 8 ,046
1,35+0 ,85+2
1 0 ,1 8 7 ,8 3 5
7 ,8 5 0
i+,25i+,525
1+2 ,9 0 6
285
1 ,5 5 7
113
56.297
4 ,3 6 2 ,3 3 5
3 ,8 6 3
53TEF7
5+2,57^' »5*00
3 6 1 ,5 6 6
3Ì+,1 7 9 .6 0 3
355.73u
8 .3 1 5 .3 0 8
5.^55
79,489
177
130,266
9 3 3 .2 6 9
30,153
8 ,5+2.3
1 5 9 ,1 3 7
9 .5*3 .6 3 5
5 .5 0 7
123,739
2 8 0 ,5 3 7
1+9 8 ,63!+
1,602,585
2,037.713
412,367
46,988,631
1 ,1+1+2 ,1 6 6
1 ,0 9 6 ,0 3 1 ,
21+7 ,7 2 3
37,321,257
Page 3
(In thousands of dollars)
Comparison of assets and liabilities of all banks - Continued
e
f
♦
♦
e
i
31»
1943
June 30,
$65,316,307
37,229,11«)
ao.925.90lt
5,195.508
12,264,080
1,379,8*5
1^2,310,82^
$ 58>20,66o
33.4*10.899
19.650,768
5,0**3,99i
11 ,21*0,113
1 ,570,816
$59,384,625
30,725,252
10,532,131
4,972,081
11,031,848
1 ,690.189
129.367.2*17
118,336,126
125,621*
87,116
64,690
51,650
60,157
19m
:
:
Dec.
Dec* 30,
I9I&
f
s
LIABILITIES
Deposits of individuals, partnerships, and corporations:
nA-nMoffa
Sfofa* and nrtl4tlftftl filltlHirislAfiS
Other deposits (certified and cashiers' checks, etc«) «•*•••••••
Bills payable, rediscounts, and other liabilities fox:
hArmwad mrmflv_____ ___ _ ............... .
Acceptances executed by or for account of reporting banks* *.*..
Interest, discount, rent, and other income collected but not
78,11*6
Interest, taxes, and other expenses accrued and unpaid........
293.51«)
1*7,51**
398,1*20
Total liabilities............................... *........
Undivided urofits***. *.•*.•»•••.•••.*»*.••*••••••••»••••••**».•
Reserves and retirement account for preferred stock and
capital notes and debentures......... *...... .......... ......
Total capital accounts...................... ............. .
Total liabilities and capital accounts....... ............
685,111
(
(
(
**5.390
208,391
374,573
11*3,254,068
130,20^,16^
119,076.287
82,320
207,0!*!*
2,763,586
l*.1*89,207
l,57l*. 361*
86,569
90,142
253.545
2.667,913
4,105,016
1,370,352
CAPITAL ACCOUNTS
riftnlini nntpfi nnd dnbA&tni*Afl... .............. .......
Pi*«f*rrftd fttA#*lr..
.. .......
fin— IAW fttAfik___ __ __ ....................... .....«..••••••«.*
)
)
)
235,612
2,714,712
k 9 229,16U
1 ,522,165
576,595
567.279
9,693,116
9,355,501
558.723
9,045,691
152.947,181*
139.559.665
128,121,978
Page 2
Assets and Liabilities of All Active Banks in the United States and Possessions on December 30» 19*&,
June 30» 1 9 ^ » and December 31* 19^3
(Amounts in thousands of dollars)
•
Humber of banks..... ............... ....... ...........
e
t
e
e
•
i
f
e
e
e
:
:
e
•
Dec. 30,
19UU
14,579*
t
e
:
!
•
e
June 30,
19*W
lU,598*
Dec. 31
1943
14,621*
ASSETS
Loans on real estate............... ............ ...... .
Other loans, including overdrafts..... .
Total loans.............. ........ ....... .........
U. S. Government securities:
Direct obligations............... ............... .
Guaranteed obligations...... .......... ..........
Obligations of States and political subdivisions.....
Other bonds, notes, and debentures»................ .
Corporate stocks, including stocks of Federal Reserve
banks......... .......... ............ ................
Total securities................. .
Currency and coin................. ................ .
Balances with other banks, including reserve balances.
Bank premises owned, furniture and fixtures..... .«•••
Real estate owned other than bank premises............
Investments and other assets indirectly representing
bank premises or other real estate....... ........ .
Customers* liability on acceptances outstanding.......
Interest, commissions, rent, and other Income earned
or accrued but not collected........................
Other assets.......... ........ ............... .........
Total assets......... ................ ............
$ 8,734,961
17,366,678
26,101,639
$8,798,273
16,706,065
25,504,338
$8,941,065
14,733,474
85,^10,720
75,144 ,235
985,642
63,690,025
i.ooU.035
3.659,307
3.363,082
86,172
94,766
67,924
57.830
*lxcludeiB banks in Guam and The Philippines on account of the war»
550,6a)
73.726,246
5**5,901
83.716,591
1 .623,191 '
26,705.352
1,102,1^*8
251,975
1,801,370
29,175.791
1,066,158
167,648
152,947,184
2.569.359
3.564,275
3,351,967
3.639.392
3,1*01,421
553,816
9^, 010,960
260.972
208,550
23.674.539
)
)
503.474
139.559.665
1 ,612,252
26,999.933
1,128,014
332,110
101,589
49,488
(
(
220,194
277,613
128,121,978
2
Loans and discounts amounted to $26,102,000,000, an increase of $2,*4427»000,000
or more than 10 percent since December 19*43-
The increase in loans is chiefly
in advances made to brokers and dealers in securities, and in loans to others for
the purpose of purchasing or carrying securities.
Cash and balances with other banks, including reserve balances, in December
1 9 I& were $3 0 ,9 7 7 ,0 0 0 ,0 0 0 , which was an increase of $2 ,3 6 5 ,0 0 0 ,0 0 0 , or more than
% percent in the year.
Total capital accounts on December 30, 19*4*4 were $9,6 9 3 ,000,000 compared
with $9,0*46,000,000 on December 3 1 , 19^*3-
The increase of nearly $96,000,000 in
common stock in the year was nearly twice the amount of preferred capital retired.
The total of surplus, profits and reserves at the end, of 19*& was $6,6*40,000,000,
an increase of $6 0 6 ,0 0 0 ,0 0 0 , or 10 percent, in the year.
The complete tables are attached.
-0 O 0 -
TREASURY DEPARTMENT
Comptroller of th© Currency
Washington
/
r
^
Press Service
No.
■prit) Ts-nrr.TT.&em MQgwjnm ugjwgpAPERS
The total assets and total deposits of the lU,579 active commercial and
savings hanks of all classes in the United States and possessions continue to
rise, Comptroller of the Currency Preston Delano announced today.
The total
assets on December 3^» 1 9 ^ amounted to $152*9^7*000,000, and exceeded hy
$2^,225,000,000, or more than 19 percent, the assets reported as of December 31,
The total deposits of hanks on December 3 0 , 1 9 V* were $lU2,3 1 1 >000,000 in
comparison with $118,336,000,000 at the end of I9U3 , an increase of $2 3 =9 7 5 .000,000,
or more than 20 percent#
Demand deposits of individuals, partnerships and corpo*~
rations were $6 5 ,3 1 6 ,0 0 0 ,0 0 0 , and exceeded hy $5 ,9 3 2 ,0 0 0 ,0 0 0 , or almost 10 percent,
this class of deposits reported at the close of the previous year; time deposits
of individuals, partnerships and corporations were $3 7 ,229,0 0 0 ,0 0 0 , an increase
of $6,50U,000,000, or more than 21 percent, and deposits of the U. S. Government,
including postal savings, were $2 0 ,9 2 6 ,0 0 0 ,0 0 0 , which was an increase of nearly
10 0 percent in the year.
At the end of December 1 9 UU the hanks held obligations o f the U . S. Government,
direct and guaranteed, of $2 6 ,1*1 5 ,0 0 0 ,0 0 0 , an increase of $2 0 ,1 5 5 ,0 0 0 ,0 0 0 , or more |
than 30 percent since December 33-» 19^3*
Obligations of States and political sub
divisions held at the close of December 13bk amounted to $3,659,000,000, an in
crease of $95,000,000.
Other securities held increased $3^,000,000 in the year,
and amounted to $3,937,000,000.
The aggregate of all securities held by the
banks on December 3 0 , 19^> was $9^,011,000,000, and represented more than 6l
percent of their total assets.
TREASURY DEPARTMENT
Comptroller of the Currency
Washington
FOR RELEASE, MORNING NEWSPAPERS
Monday, Hay 7, 1945.
_______
Press Service
No« 4-6-7
'The total assets and total deposits of the 14,579 active commercial
and savings banks of all classes in the United States and possessions
continue to riseComptroller of the Currency Preston Delano announced to
day® The total assets on December 30, 194-4 amounted to $152,947,000,000,
and exceeded-by $2 4 ,8 2 5 ,000 ,000 , or more than 19 percent, the assets re
ported as of December 31, 1943©
The total deposits of banks on December 30, 1944 were $142,311,000,000
in comparison with $1 1 8 ,3 3 6 ,0 0 0 ,0 0 0 at the end of 1943, an increase of
$23,975,000,000, or more than 20 percent® Demand deposits of individuals,
partnerships and corporations we re $6 5 ,3 1 6 ,00 0 ,000 , and exceeded by
$5 ,9 3 2 ,000 ,000 ,' or almost 1 0 percent, this class of deposits reported at
the close of the-previous year* time deposits of individuals^ partnerships
and corporations were $ 3 7 ,2 2 9 ,000 ,000 , an increase of $6 ,50 4 ,000 ,000 , or
more than 21 percent, and deposits of the U® So Government, including
postal savings were $2 0 ,9 2 6 ,000 ,000 , which was an increase of nearly 10 0 per
cent in the year®
At the end of December 1944 the barics held obligations \ p t the U® S®
Government, direct and guaranteed, of $8 6 ,415,000,000, an increase of
$20,155,000^000, or more than 30 percent since December 31, 1943« Obliga
tions of States and political subdivisions held at the close of December
1944 amounted to $3,659,000,000, an increase of $95,000,000® -Other *
securities held increased $3 4 ,0 0 0 ,0 0 0 in the year, and amounted to S
$3,937^000,00 0 o The aggregate of all securities held by the banks on
December 30, 1944* was $94,011,000,000, and represented more than 6 l percent
of their total assets®
Loans and discounts amounted to $26,102,000,000, an increase of
$2 ,4 2 7 ,000 ,00 0 , or more than 10 percent since December 1943o. The increase
in loans is chiefly in advances made to brokers and. dealers in securities,
and dn loans to others for the purpose of purchasing or carrying securities®
Cash and balances with other banks, including reserve balances, in
December 1944 were $30,977,000,000, which was an increase of $2 ,3 6 5 ,000 ,00 0 ,
or more than 8 percent in the year®
Total capital accounts on December 30, 1944 were $9,693,000,000 com
pared with $9,046,000,000 on December 31, 1943o The increase of nearly
$96 ,00 0 ,0 0 0 in common stock in the year was nearly twice the amount of
preferred capital retired® The total of surplus, profits and reserves at
the end of 1944 was $6 ,6 4 0 ,000 ,000 , an increase of $60 6 ,00 0 ,00 0 , or 1 Ô
percent, in the year 0
The complete tables are attached
Assets and Liabilities of All Active Banks in the United States and Possessions on December 3 .O, 1944,
June 3 0 , 1944, ;and December 3 1 » I9 U3
(Amounts in thousands of dollars)
i
ITumber of banks.
*..... . **.
ASSETS
Loans on real estate.....
Other loans, including overdrafts..... .................
To tal loans.................. .................
*
U. S. Government -securities:
Direct obligations...................... .........
Guaranteed obligations.............. .........
Obligations of States and political subdivisions.....;..
Other bonds, notes, and debentures......... ..........
Corporate stocks, including stocks of Federal Reserve
banks........ .......................... •............ •
Total securities.........
Currency and coin.... .•.» .A... .i.»♦. .
":T"...... .
Balances with other banks, including reserve balances...
Bank premises, owned, furniture and fixtures. .•..... .
Real estate owned oth^r than bank premises..............
Investments and other assets indirectly representing
Bank premises or other read estate..............
Customers’ liability on acceptances outstanding.....*..*
Interest, commissions, rent, and other income earned
or accrued but not collected.......................
Other assets...................................... ......
Total assets...................
Dec.'30,
1944
;
:
•
Dec. 3 1 ,
: 7
l9*+3
June 3 0 ,
19 4 4
1 4 ,6 2 1 *
l4,59S*
14,979*
$3,734,961
1 7 ,3 6 6 ,6 7 s
2 6 ,1 0 1 ,6 3 9
$8 ,7 9 8 ,2 7 3
1 6 ,70 6 ,0 6 15
2 5 *60*47333
$8 ,9 +1 1 ,0 6 5
l*+,733,*+71+
2-3[¿741539
35,410,720
1 ,0 0 4 ,0 3 5
75,l*+*+>235
9S5,642
3 ,6 3 9 ,3 9 2
3 ,Uoi,+t2 i
6 3 ,6 9 0 ,0 2 5
3 ,6 5 9 ,3 0 7 .
3,333,0S2
553,316
5*+5.901
9 4 ,0 1 0 ,9 6 0
8 5 ,7 1 6 ,8 9 1
1 ,6 2 3 ,1 9 1
2 ,5 6 9 ,3 5 9
3 ,5 6 4 ,2 7 5
3 ,3 5 1 ,9 6 7
5 5 0 ,6 2 0
73,72*6,246“
1 ,6 1 2 ,2 5 2
2 6 ,9 9 9 ,9 3 3
l,12S,0l4
1,301,370
29,175,791
1 ,0 6 6 ,1 5 s
l67,64S
26,705,352
1,102,Ï4S
251,975
3 3 2 ,1 1 0
8 6 ,1 7 2
94,766
1 0 1 ,5 S9
6 7 .92 *+
57,330
49,4ss
2 6 0 ,9 7 2
20S,55 O
Ï 5 2 ,9 4 7 ,1S4
♦Excludes barks in Guam and The Philippines on account of the war
y
503;474
139,559,665
(
(
2 2 0 ,1 9 4
2 7 7 ,6 1 3
1 2 S,1 2 1 ,97s
Page 3
(In thousands- of dollars)
Comparison of assets and liabilities of all banks - Continued
*
;
LIABILITIES
Deposits of individuals, partnerships, and corporations:
Demand. .............................
........ .
Time,
..... .
*,......... *.... ..... ..
U. S. Government and postal savings deposits.......*......-..... ,
Deposits of States and political subdivisions.................
Deposits of banks....................... ..... ....... ..... ........
Other deposits (certified and cashiers1 checks,etc.
.
Total deposits................................
Bills payable, rediscounts, and other liabilities for
borrowed money.. .. ... .......... .............................. ,
Acceptances executed by or for account of reporting banks.»... *
Interest, discount, rent, and other income collected but not
earned......... ................ ..
....
Interest, taxes, and other expenses accrued and unpaid.*,.....
Other liabilities.
*•
.
,.
Total liabilities.
CAPITAL ACCOUNTS
Capital notes and debentures........
.»
Preferred stock. ........ ...... .
........ .
Common stock...... ............................................ „
.
Surplus, ..................................... .
Undivided p r o f i t s . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reserves and retirement account for preferred stock and
capital-notes and debentures..•................
.
Total capital accounts.......... ............... ......... .
.
Total liabilities and capital accounts
D ec. 30,
19UU
June 3 0 ,
19UU
$ 6 5,3 16 ^ 3 0 7
37,229,11+ 0
2 0 , 9 2 5 ,.9 0 U
5 .1 9 5 .5 0 s
12 ,2 6 U ,0 8 0
1 ,3 7 9 .8 8 5
lU 2 ,3 1 0 #82U
$ 3 S ^ 2 0 ,6 6 o
3 3 , 1+1+0 , 8 9 9
1 9 ,6 5 0 ,7 6 8
5 >01*3,991
1 1 ,2 1 * 0 ,1 1 3
1 . 5 7 0 .8 1 6
1 2 9 . 3 6 7 , 21+7
$59,32*1,625
1 2 5 ; 62U
7 S ,lU G
8 7 ,1 1 6
6U ,69 o
5 1 ,6 5 0
60 ,.157
*
;
D ec. 3 1 ,
19U3
3 0 ,7 2 5 ,2 5 2
1 0 ,5 3 2 ,1 3 1
**,9 72 ,0 2 1
l l , 0 3 1 , 8 Ug
1 ,6 9 0 ,1 S 9
11-8 ,3 3 6 ,12 6
I 3 0 ,2 0 h ,ib h
Up , ^,90
2 0 8 ,3 9 1
37*1,573
1 1 9 ,0 7 6 ,2 8 7
8 2 ,3 2 0
207,.ohif
2 ,7 6 3 ,5 8 6
h ,h g 9 ,2 0 7
1,571+^361+
2 6 ,5 6 9
2 ^ 5 ,6 12
2 , 71*1,712
: U ,2 2 9 ,l6 U
1 , 5 2 2 ,1 6 5
9 0 ,1U2
2 5 3 ,5U5
2 ,6 6 7 ,9 1 3
U, 1 0 5 ,0 1 6
1 ,3 7 0 ,3 5 2
5 7 6 .5 9 5
... 9 , 6 9 3 , 1 1 6
1 5 2 , 9 4 7 , 18U
5 6 7 ,2 7 9
9 »3 5 5 » 5 0 1
1 3 9 ,5 5 9 ,6 6 5
5 5 8 .7 2 3
9 . 0 *1 5 , 6 9 1
12 8 ,12 1,-9 7 8
1+7,51**
293,51+0
39 s,U 20
1 U 3 ,25^ ,0 68
)
)
)
6 8 5 ,1 1 1
(
(
C
Page u
Assets and liabilities of all active banks in the United States and possessions, by cl asses.
Dec. 3 0 , 191 *4 *
(In thousands of dollars)
Total
. all banks
«
Number of banks.• *.......• ................
14,579
» National
. banks
!
5,031
ASSETS
Loans and discounts:
Commercial and industrial loans (including open-market paper.’..,.......,....-. $ 8 ,0 3 3 ,0 6 2
$4 ,7 6 9 ,2 5 9
Loans secured by agricultural commoditie S,
covered directly.or indirectly by purchase agreements of Commodity Credit
Corporation............ .......... .
..
8 2 0 ,1 5 0
5 3 9 ,6 1 3
Other agricultural loans,
4 5 9 ,0 9 7
9 5 2 ,3 3 1
Loans to brokers and dealers in
securi tie s..... .
.. 2,231,564
924,058
Other loans for the purpose of purchasing or carrying stocks, bonds, and
other securities............. .
.. 2 ,3 0 i;sUg
1 ,1 6 6 ,6 3 9
Real-estate loans:
Secured by farm land....... .
4 7 0 ,4 5 1
1 6 8 ,7 8 8
Secured by residential properties...... .. 7 1 7 2 , 1 7 0
1 ,5 4 1 , 1 7 7
Secured by other properties........... ..
7 9 2 ,3 4 0
335,297'
Loans to banks.............,.. ........ .. •..
59,476
21,430
All o ther loans, including overdrafts... ... 2,012,246
1 ,5 1 1 ,2 4 4
Total loans and discounts.
,-.26,5.01,639 • 1 1 ,49 7 ..,202
Securities:
U. S, Government securities:
Direct obligations.................... ♦.8 5 ,4 1 0 * 7 2 0 : 42,836,320
Guaranteed obligations. •........... .•., .♦ 1 ,0 0 4 ,0 3 5
-642*469
Obligations of States and political .
2 ,0 5 6 ,7 2 2
subdivisions................
.81® ... •• 3 .659^,307
Other bonds, notes, and debentures..... ...- 3,383,082
1 ,3 4 5 ,3 6 9
Corporate stocks, including stocks of
Federal re serve, banks. •.................. .. . 553,816
l4l„449
1 0 bad securibie s *....... ....... .. ..,.
**9 4 ,010^960
U7,022,329
** jpxcj.uq.es games m uuam ana Tne ^naiippines on account oi the .war.
Includes trust companies ana stock savings banks..
.
.
,
All banks
other than
national
Banks other than national
■;i6."State (com- Mutai
;Private
mereiai)**; savings
9,54s
S>971
$ 3 ,2 6 3 ,8 0 3
$3 ,2 3 6 ,1 6 2
. 280,537
498,634
280,527
498,233 |
535 ?
$90
—
4T
$2 7 , 5 5 1
10
177
224
1,297,50b
1 ,2 3 9 ,1 3 9
30
8,777
1 ,1 3 5 ,2 1 0
1 ,1 2 3 ,0 2 3
46o
11,727
.3 0 1 ,6 6 3
5,930,993
7 ,8 5 0
4 ,2 5 4 ,5 2 5
4 2 ,9 0 6
285
38,046
1,401,002
■1U,603,837
293,528
l-,Ô74,9lï
1*13,424
58,046
i,34 o r 842
10,187.635
4 2 ,5 7 4 ,4 0 0
3 6 1 ,5 6 6
3 4 ,1 7 9 ,6 0 3
3 5 5 ,7 3 4
4 5 6 ,4 4 3
—
-5 6 ,2 9 7
4 ,3 6 2 ,3 3 5
8 ,3 1 5 ,30 s
5 ,6 5 5
1 ,6 0 2 ,5 8 5
1,442,166'
1 3 0 ,2 6 6
2 ,0 3 7 ,7 1 3
1 ,0 9 6 ,0 3 1
9 3 3 ,2 6 9
4 1 2 .3 6 7
4 6 ,9 8 8 ,6 3 1
2 4 7 ,7 2 3
3 7 ,3 2 1 ,2 5 7
9 ,5 4 7 ,6 7 5
159,137
1 ,5 5 7
113
—
3 ,8 6 7
58,667 ”
79,489
177
30,153
8,413
5,507
127,779
_
Pa,ge 5
Assets and liabilities of all active banks in the United Staites and possessions, by classes,
Dec. 3 0 , 1944 - Continued
(In thousands of dollars)
1
Banks other than national
All banks
. National
Total
1 State (com
Mutual
:
other than
Private 1
. all banks
. • banks
r mereiai)
national
; savings i
. $1 ,8 0 1 ,3 7 0
Currency and coin.*..... .
...........
Balances with other banks, including reserve balances and cash items in process
of collection............................ . - 29,175,791
Bank premises owned, furniture and fixtures.. * 1 ,0 0 6 ,1 5 8
167,648
Real estate owned other than bank;premises... ,
Investments and other assets indirectly
representing bank premises or other real
os tate.........
.
8 6 .1 7 2
Customers’ liability on acceptances out.
67*924
standings...,...«*..» ».t#,#tt,,* **
Interest, commissions, rent, and other in2 6 0 ,9 7 2
come earned or accrued but not collected..»
0 ther as sot/S*»«»* ••••••• •«••*•••
*
208,550
Total assets...... .............. .. *... "152,9^7,184
LIABILITIES
Demand deposits?
Individuals, partnerships, and corpo—
rations...........^
»
65,316,307
IJ. S. Government........................... 2 0 ,8 1 4 ,6 7 3
Staten end politico! «rnbdi vi nions......... .
4,648,022
Banks in the TTni ted States. ♦**
11,172,444
Banks in foreign countries*.....*****•*.*••
9 8 3 ,7 9 8
Certified and cashiers* checks, etc,.».*»...
1,379*885
Total demand deposits. ............. » 104,315*129
Time deposits*
Individuals, partnerships, and corpo—
r
a
t
i
o
n
s
.
... 3 7 ,2 2 9 ,lU0
U. S. G-overnm en t,. .
103,175
Postal savings,.....................
8 ,0 5 6
5 4 7 ,4 8 6
States and political subdivisions.*•»••*•»•
Banks in the TT^i ted States...^.............
9 6 ,9 7 9
:Banks in foreign countries.
1 0 ,8 3 9
"tal uune cLoj)osi os • •*••••*••••*»••••• 37,995,695
$904,500
$8 9 6 ,8 7 0
$808,499
1 6 ,7 3 2 ,7^9
5 1 3 ,5 2 2
1 8 ,1 5 8
12,443,042
5 5 2 ,6 3 6
11,898,824
450,332
149,490
47,640
$ 8 6 ,1 1 5 *
$2,256
5 3 ,1 7 6
496,187
101,770
95,639
48 ,’0 3 1
P34
U 75
3 2 ,5 3 2
29,024
9,482
26
4 2 ,7 2 1
2 5 ,2 0 3
2 0 ,1 5 0
1 2 2 ,2 2 3
1 3 s,7 U9
97,291
48,215
7 6 .9 u9 .s59
160,335
7 5 ,9 9 7 ,3 2 5
13 5*0 12
3 6 .3 2 0 .7 5 u
1 1 ,0 3 6 ,3 8 6
28,995.553
9 ,7 2 8 ,2 8 7
5*05^
40,978
24,953
6l,001,400 1 4 ,7 6 1 ,2 9 4
480
770
2 3 4 ,6 7 1
1 3 5 ,8 3 2
443
59*094,187
527,307
45,220,942
28,852,544
9,726,UU9
1 ,8 3 1 ,U1 7
3,598,178
491,818
524,554
45,024,960
9.99U
1,857
185,988
.1 2 ,6 5 5 ,0 9 0
24r574,050
u , ¡215,1+57 13,339,37U
19,219
8 0 ,2 5 2
22^923
2 2 ,9 2 3
5,218
. 2*838
290,946
62,881
289,800
2,813,999
7,557,098
US3.372
8 5 2 ,5 7 8
2 5 6 ,5 4 0
34,098
3,552
13,034,750
i,83U,023
3 ,6 l5 ,3U 6
5 2 0 rU 26
7*307
24,960,945
2,838
6 2 ,5 3 6
7,177
1*395
471
55
896
981
300
7,307
11,600,861 13.3U0.655
2 ,1 3 5
1 7 ,1 1 3
28,608
165
45 '
19,429
1
I
Assets and liabilities of all active banks in the United States and possessions, by classes,
pee. 30, I 9 k k - Contd.
(in thousands of dollars)
; Total
r all banks
: Fational
î banks
t All banks :
Banks other than national
: other than
!
State
(com- : Mutual
: national.
' Private
* mereiai)
i savings
Total deposits....................... $1 *+2 ,3 1 0 ,82*+ $72,128,937 $70,181,887 $5 6 ,0 2 5 ,S2 1 $1 3 ,350,6119
Bills payable, rediscounts, and other
6 9 ,2 8 1
liabilities for borrowed money........,
50
1 2 5 ,6 2*+
5 *+,iso
71,*+*+*+
Acceptances executed by or for account
of reporting banks and outstanding.....
7 S,i*+6
.—
2*+,298
.2 9 ,6 7 7
Interestj discount, rent, and other income collected but not earned.... ....
22^9^9
211
22,708
*1 7 ,51*1
2 *1 ,5 6 5
Interest, taxes, and other expenses
16 8 ,116 5
1 1 5 ,00**
accrued and unpaid...............
2 9 3 ,5*+Q
9 ,9 9 1
1 2 5 ,0 7 5
i*+s
1 2 2 ,52*+
250,378
2 5 ,2 0 0
Other liabilities......... ..............
39'S,*+20
Total liabilities.................. 1^3 ,2 5 ^ ,0 6 8
137386,101
72,67^,99^ 7 0 ,5.
7 9 .0 7 4
5 6 ,9 7 9 ,6 3 6
CAPITAL ACCOUNTS
Capital notes and debentures...........
82,320
Preferred stock......... ............
207,0*+*+
Common stock................ .........
2 ,7 6 3 ,5 3 6
Surplus. ........................ .
*1,*189,207
Undivided profits,....... ........ *
1 ,5 7 *1 ,36*1
Reserves and retirement account for
preferred stock and capital notes and
debentures...............
5 7 6 ,5 9 5
9 ,6 9 3 ,1 1 6
Total capital accounts.....,......*
Total liabilities and capital
account s......................... 1 5 2 ,9*17,18*1
Page 6
9 1 ,9 6 6
1,*17*1,939
1 ,sos, 9 59
6 3 2 ,0 0 0
82,320
1 1 5 ,0 7 8
l,2SS,6*+7
2,680,2.^8
9*+2,36*+
7 7 ,*167
1 1 5 ,0 7 s
1,282,720
1,696,780
532,131
2 6 7 ,0 0 1
*+,27*+, 205
309,59*1
5,*118,2 5 1
267,528 ;
if,0 2 1 ,7 6 **
76,9*19.859
75.997,325
6 1 ,0 0 1 ,t o
$2 0 5 ,*+17
2 ,1 1 3
5 >-379
30
SO
318
213,337
*1 ,3 5 3
970,736
359.85*1
5.927
12,73^
379
3 9 ,7 5 2
1 ,3 7 5 ,1 9 3
2,25*1
21,29*+
1 **,7 6 1 ,29*+
23*1.631
STATUTORY DEBT LIMITATION
~" AS Off APRIL 30« 19^5
Section 21 of the Second Liberty Bond Act, as amended, provides that the face amount
of obligations issued under authority of that Act, and the face amount of obligations
guaranteed as to principal and interest by the United States (except such guaranteed obli
gations as may be held by the Secretary of the treasury), ’’shall not exceed in the aggre
gate $3 0 0 ,0 00 ,0 0 0 ,0 0 0 outstanding at any one time*.
The following table shows the face amount of obligations outstanding and the face an
mount which can still be issued under this limitations
Total face amount that may be outstanding at any one time............... $30 0 ,0 0 0 ,000,000
Outstanding April 30, 1 9 %
Obligations issued under Second Liberty Bond Act, as amended
Interest-bearing
Bonds
Treasury.........................$92,376, 629,550
Savings (maturity value)*...... . 52,581,95l,90Q
506,190,000
Depositary.... ............
Adjusted Service.........
717,021,556 $l56,183,782,906
Treasury notes...........
37,692,196,800
Certificates of Indebtedness....... 5-1,906,178,000
Treasury bills...........
17,051,223,000
96,639,597,800
Total interest-bearing.........................
24-2,823,380,706
Matured, interest ceased. .... •••••..........
169,04-1,800
Bearing no interest
War Savings Stamps*...........
188,7%,358
Excess profits tax refund bonds...*
779,536,379
968,279,737
Total.............................
24-3,960.702,2%
Quaranteed obligations (not held by Treasury)
Interest-bearing
BondsS H.O.L.C...................
755,905,000
Debentures* ff.H.A...... .
33>586,%6
Demand obligations} C.C.C..... .
353,120,873
Matured, interest ceased........
1,131,611,309
2 3 ,1 3 6 ,1 2 5
1 ,1 5 5 ,7 5 7 7 ^
Grand total outstanding**........... .............••*••••••••......... 255,115.559,671
Balance face amount of obligations issuable under above authority. .....** 55.884-,550,323
Reconcilement with Statement of the Public Debt - April 3 0 , 1955
(Daily Statement of the United States Treasury, May 1, 1955)
Outstanding April 30, 1955
Total gross public debt*.......... .......................... .
235,069,097,955
Guaranteed obligations not owned by the T r e a s u r y . .
1,155,757,53i
Total gross public debt and guaranteed obligations.... .............
236,223,84-5,377
Add - unearned discount on U.S. Savings Bonds
(Difference between maturity value and current redemption value)
9,956,365,258
Deduct - other outstanding public debt obligations not
.
subject to debt limitation.........................
1.065,759,958
8,891,,604x222
¡&5U15
* Approximate face or maturity value; current redemption value Ite,625,577>652
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
-
2
~
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
submitting tenders will be advised of the acceptance or rejection thereof.
Those
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and.his action in any such r s pect shall be final.
Subject to these reservations, tenders.for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices coffered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
May 10, 1945 _________ St
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941, the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
mm
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, Mav A, 1945--------- -— .*
The Secretary of the Treasury, by this public notice, invites tenders
for $ 1,300,000,000 , or thereabouts, of
91
-day Treasury bills, to be issued
on a discount basis under competitive and fixed-price bidding as hereinafter provided.
es will
The bills of this series
will be
be -dated
dated
mature
August 9. 1945
interest.
May 10, 1945
, and will
, when the face amount will be payable without
They will be issued in bearer form only, and in denominations of $1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clock p.m., Eastern War time,
Monday, May^7. 1945---------- •
Tenders will not be received at the Treasury Department, Washington.
Each tender
must be for an even multiple of $1 ,0 0 0 , and the price offered must be expressed
on the basis of 100, with; not more than three decimals, e. g,, 99.925*
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 oercent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty ©f payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
STATUTORY. DEBT LIMITATION
AS OF APRIL 30, 1945
May 5, 1945
Section 21 of the Second Liberty Bond Act, as amended, provides that the fac e
amount of obligations issued under authority of that Act, and the face amount of
obligations guaranteed as to principal and interest by the United States (except
such guaranteed obligations as may be held by the Secretary of the Treasury),
"shall not exceed in the aggregate $300,000,000,000 outstanding at any one time’*.
The following table shows the face amount of obligations outstanding and the
face amount Which can still be issued under this limitation:
Total face amount that may be oustanding at any one time............ .$300,000,000,000
Outstanding April 30, 1945
Obligations issued under Second Liberty Bond Abt, as amended
Interest-bearing
Bonds ■
Treasury,.*........... .. .$92,376,629.,450
Savings (maturity v a l u e ) 52,581,941,900 .
Depositary................
508,190,000
Adjusted Service..........
717,021,55£R $146,183,782,906
Treasury notes.... ......... 37,692,196,800
Certificates of indebtedness 41,906,178,000
Treasury bills...........
17,041,223,000 . 96,639,597,800
Total interest-bearing,.. *v.............. 242,823,380,706,
Matured, interest ceased....... 169,041,800
Bearing no interest •
War Savings Stamps.
,
188, 743,358
Excess'profits tax refund bonds 779,536,379
968,279,737
Total.,*........ ...................77777777777 2 4 3 ,960,7 0 2 ,2 4 3
Guaranteed obligations (not held by Treasury)
Interest-bearing.''-,.^ ^J||..v,|
v-.-■
'1
•
|®
Bonds: H.O.L.-C*.1..#.»*.......
754,904,000
Debentures: F . H . A , .......
33,586,436
Demand.obligations;C.C.C..
543,120,873
1,13!,611,309
Matured, interest c e a s e d . .
23,136,125
.77:,;'
1,154,747,7 34 •
Grand total,outstanding..,... .A.,..... »,7. *«».■*,.„*77*77 ,77 .>7* *••.7.245,115,449,, 677
Balance face amount of obligations issuable under above authority.. 54,884,550,323
Reconcilement with Statement of the Public i'ebt - April 30,1945
(Daily Statement of the United States Treasury, May 1, 1945)
Outstanding April 30, 1945
' Total gross public debt,.
.
w
.,.V , ., 235,069,097,943
Guaranteed obligations not owned by the Treasury...............
1,154,747,434
Total gross public debt and guaranteed obligations,...,..,........„7 236,223,845,377
Add - unearned discount on U-*S,Savings Bonds
(Difference between maturity value- and current redemption value)
9,956,364,248
Deduct - other outstanding public debt obligations
not subject to debt limitation*.*....... .
1,064,759,948
8,891,604,300
‘ 245,11^,449,677
*Approximate face or maturity, value; current redemption value $42,625,577,652
46-9
FOR IMMEDIATE RELEASE
The Bureau of Oust on s announced today that the tariff-rate
quota of 15,000,000 pounds of fish, fresh or frosen (whether or
not packed in lee), filleted, skinned, honed, sliced, or diYlded
into portions, not specially provided for: cod, haddock, hake,
pollock, cask, and rosoflsh, entitled to entry for consuaption at
1-7/8 cents per pound during the calendar year 1945 has been
increased to 17,668,311 pounds.
The Canadian Trade Agreement of Norember 25, 1938, prescribes
that if the arerage apparent annual consuaption of sueh fish in
the United States during the 3 calendar years preceding the year
in which such fish were entered, or withdrawn from warehouse for
consuaption,exceeds 100,000,000 pounds, an additional quantity of
sueh fish equal to the amount by which 15 per centum of sueh
arerage apparent annual consuaption exceeds the 15,000,000 pounds
may he entered, or withdrawn from warehouse, for consuaption in that
year at the 1-7/8 cents per pound rate. It has been determined
that the arerage annual consuaption of sueh fish for the calendar
years 1942, 1943, and 1944 was 117,788,739 pounds.
TREASURY DEPARTMENT
Viashingto n
F O R , I M E D I A T E RELEASE,
Saturday, May 5, 1945«
Press Service
No, 46-IO
The Bureau of Customs announced today that
the tariff-rate quota of 15,000,000 pounds of
fish, fresh or frozen (whether or not packed
in ice), filleted, skinned, boned, sliced, /or
divided into portions, not specially provided
for:
cod, haddock, hake, pollock, cusk, and
roSefish, entitled to entry for consumption
at 1-7/8 cents per pound during the calendar
year 1945 has been increased to 17,668,311
pounds,
•The Canadian Trade Agreement of November 2 5 ,
1938, prescribes that if the average apparent
annual consumption of such fish in the UnitedStates during the 3 calendar years preceding
the year in which such fish were entered, or
withdrawn from warehouse for consumption,
exceeds 100,000,000 pounds, an additional
quantity of such fish equal to the amount by
which 15 per centum of such average apparent
annual consumption exceeds the 15,000,000
pounds may be entered, or withdrawn from ware
house, for consumption in that year at the
1-7/8 cents per pound rate.
It has been
determined that the average annual consumption
of such fish for the calendar years 1942, 1943,
and 1944 was 117,788,739 pounds.
-0O0-
of our n m leaden
«0or demand ha« been, and it remains <*■* uneonditioiial surrender."
$v«ry American can help celebrate the victory over Geraany by buying »ore
War Bonds*
Sow our object Ire is Japan.
And though Y-J Bay »ay a t m
be far off, every
bond bought during the Seventh War tea» sill baring the final victory nearer.
Victory over Germany has not lessened the Governmentfs need for this loan.
War expenditures during March were the greatest for any »oath of this ear*
There is every indication that there sill be a high level of expenditure for
»any »oaths,
Millions of men m e t be transferred to the Pacific theater*
Wee
equipment and increased quantities of supplies oust be shipped across the
world's widest ocean.
And our national obligation to the men wounded in battle
or otherwise disabled, and to those discharged when their services are no
longer required, Is constantly mounting*
I
feel confident that the American people, inspired by victory over the
Ifesis» and recognising the seriousness of the struggle still ahead in the Pacific
will make the Seventh War loan an outstanding success*
«That success will say "Well done” to cur m m in Europe,
men in the Pacific the tools of victory.
It will give our
It w i n serre new notice upon the
Japanese war lords that their days are numbered,
It will provide the best pos
sible anti-inflation insurance,
,;
:Y
It w i n bespeak the American
war, now more than half done —
peace
determination to finish a Job —
the Job of
and d e a r the way for the more welcome tasks of
¿V > 110 ..,J
TREASURE DEPARTMENT
Washington
F(® HEIEASE, MORNING NEWSPAPERS,
Tuesday, May 15, 1945___________
Press Service
No* 46-11
The Treasury Department today issued General License No* 91,
covering trade and other current transactions with Belgium* This
license is a further step in the Treasury*s program for removing the
freezing restrictions on liberated countries* A similar license for
France was recently announced*
Dollar balances acquired by Belgian banking institutions since
February 2, 1945 as a result of remittances from persons in the United
States may now be freely used to make payments in this country on be
half of Belgian nationals* The proceeds of trade and certain other
current accruals will also be available for such payments* Funds ac
cumulating under the license in the account of a bank in Belgium may
be transferred to other Belgian banks*
When shipping and other conditions permit, it will be possible
under the license to carry on private trade with Belgium without
specific Foreign Funds Control licenses* The transmittal of shipping,
title, and other trade documents will not be subject to Treasury re
strictions* Payment for goods exported from Belgium may be effected,
however, only by the payment of dollars into a blocked account of the
consignor or a banking institution in Belgium or by buying Belgian
francs from a licensed exchange dealer*
Belgian property in the United States remains blocked and only the
balances specified in the general license may be utilized for current
payments* Other Belgian balances may not be withdrawn without appro
priate license*
oOo
TREASURY DEPARTMENT
Washington
EOR RELEASE, MORNING NEWSPAPERS,
Tuesday» May 15, 1945♦___________
5-14-45
Press Service
No. 46-11
The Treasury Department today issued General License
No* 91? covering trade and other current transactions with
Belgium. • This license is a further step in the Treasury’s
program for removing the freezing restrictions on liberated
countries• A similar license for France was recently
announced*
Dollar balances acquired by Belgian banking institu
tions since February 2, 1945 as a result of remittances
from persons in the United States may now be freely used
to make payments in this country on behalf of Belgian
nationals*
The proceeds of trade and certain other cur
rent accruals will also be available for such payments*
Funds accumulating under the license in the account of abank in Belgium may be transferred to other Belgian banks*
When shipping and other conditions permit, it will be
possible under the license to carry on private trade with
Belgium without specific Foreign Funds Control licenses-*
The transmittal of shipping, title, and other trade docu
ments will not be subject to Treasury restrictions• Pay
ment for goods exported from Belgium may be effected, how
ever, only by the payment of dollars into a blocked account
of the consignor or a banking institution' in Belgium or by
buying Belgian francs from a licensed exchange dealer.
Belgian property in the United States remains blocked
and only the balances specified in the general license may
be utilized for current payments.
Other Belgian balances
may not be withdrawn without appropriate license.
-oOo-
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tueaday, May 8, 1945-___________
Press Service
The Secretary of the Treasury announced last evening that the tenders for
H ,300,000,000, or thereabouts, of 91“*day Treasury biXXs to be dated May 10 and to
mature August 9, 1945, which were offered on May 4, 1945, were opened at the Federal
Reserve Baziks on May 7«
The details of this issue are as follows:
Total applied for - $2,012,770,000
Total accepted
- 1,307,303,000
Average price
(includes $54,392,000 entered on a fixedprice basis at 99*905 and accepted in full)
- 99*905/ Equivalent rate of discount approx* 0.3755$ per annum
Range of accepted competitive bids:
High
Low
- 99.908 Equivalent rate of discount approx. 0*364$ per annum
- 99*905
*
n
m
m
n
0*376$ 9
"
(61 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Tbtal
Accepted_____
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
•
33,455,000
1,431,667,000
#
14.945.000
21,716,000
906.906.000
34.615.000
13.190.000
18 320.000
13 601.000
9.930.000
277.397.000
29.735.000
9.835.000
17.564.000
7 .5 18 .0 0 0
116.089.000
9.930.000
174.691.000
20,180,000
7.105.000
15,302,000
7 .5 18 .0 0 0
82.549.00Q
#2,012,770,000
#1,307,303,000
46 ,315,000
.
TOTAL
.
TREASURY DEPART MERT
Washington
POR RELEASE, MORE ILO R W S PAPER S,
Tuesday, fey 8 , 1945»
Press Service
Ro* 46-12
•The Secretary of the Treasury announced last evening that the
tenders for §1,300,000,000,
or thereabouts,
of 91-day Treasury bills
to be dated May 10 and to mature August 9, 1945, which were offered
on May 4, 1945» were opened at the Federal. Reserve Banhs on May 7The. details of this issue are as follows:
Total applied for - $2,012,770,000
Total accepted
- 1,307»303,000 (includes $54»392,000
entered on a fixed-price basis at 99*905 and accepted in
full)
Average price
- 9 9 ,905/Equivalent rate of discount approx*
0,375% per annum
Range of accepted competitive bids:.
- 99’.908
0,364%
- 99*905
0,376%
High
Low
Equivalent rate of discount approx,
per annum'
Equivalent rate of discount approx*
per annum
(61 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total- '
Accepted
Boston
$
$
lew Y orle
Philadelphia
Cleveland
Richmond
Atlanta■
Chicago
St r Louis
Minneapolis
Kansas City
Dallas
San Prancisco
TOTAL
3 3 ,455,000
1 ,431,667,000
46,315,000
14,945,000
18, 32-0 ,000
9,930,000
-277,397,000
29,735,000
9,835,000
17,564,000
7,518,000
116,089,000
$ 2 ,0 1 2 , 7 7 0 , 0 0 0
-o 0 o~
21,716,000
906,906,000
34,615,000
13,190,000
1 3 ,601,000
9,930> 000*
174,691, 000'
20,180,000
7,105,000
15,302,000
7,5I 8 ,000
82,549 ,000
$1,307,303,000
4
FOE IMMEDIATE RELEASE
May 8, 19k$ ...
^
/
3
. ..... . ..... .. .....
The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse, for
consumption under the import quotas established in the President*s proclama*
tion of Hay 28, l?itl, as-modified by the President*s proclamations of
April 13, 19i«.2, and April 29, 19h3, for the twelve months commencing May 29,
19hk, as followsi
Country
of
Origin
•
crushed or cracked
i
Wheat
t
wheat,
and similar
t
wheat
products
s
Imports
Imports ' * Established s
| Established
Quota
may
29, 191A,
¡May 29, 19Wi, t*
, Quota
sApr. 28, 191*5
|Apr*28, 19^5 *
Canada
China
Hungary
Hong Kong
Japan
United Kingdom
Australia
Germany
Syria
Hew Zealand
Chile
Netherlands
Argentina
Italy
Cuba
France
Greece
Mexico
Ptxiam
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Rumania
Guatemala
Brazil
Union of Soviet
Socialist Republics
Belgium
(Bushels)
(Bushels)
795,000
-
795,000
*
-
100
mm
100
100
If*
100
2,000
100
mm
mm
—
—,
1,000
100
-*
*
-
1,000
100
100
100
100
800,000
me
mm
-
.mm
-
(Pounds)
3,815,000
ztiiooo
*13,000
13,0 0 0
8,000
75^000
1^000
5^000
5,ooo
1,000
1^000
1,000
Ibiooo
2,000
12,000
1,000
1^000
1,000
1*000
1,000
1,000
1,000
l',000
1,000
1,000
(Pounds)
3,102,1*63
—
—
—
**
—
—
—
*
mm
mm
m
m
-
-
«I
•
-
-
-
-
-
795,000
U,000,000
3,102,1463
-
-
mm
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, May 9, 1945,
Press Service
No. 46-13
The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, <or withdrawn from warehouse, for
consumption under the import quotas established in the President’s oroclamation
of May 28, 1941, as modified by the Presidentls proclamations of April 13, 1942,
and April 29, 1943 , for the twelve months commencing May 29, 1944, as follows;
Wheat
Country
of
Origin
Established
Quota
Canada
China
Hungary
Hong Kong
Japan
United Kingdom
Australia
Germany
Syria
New Zealand
Chile
Netherlands
Argentina
Italy
Cuba
Prance
Greece
Mexico
Panama
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Rumania
Guatemala
Brazil
Union of Soviet
Socialist Republics
Belgium
;
Imports
: May 29, 1944,to
: Apr. 28, 1945
(Bushels)
(Bushels)
795,000
795,000
Wheat flour, semolina,
crushed or cracked
wheat, and similar
wheat products
Established
: Imports :
:May 29, 1944,
Quote.
:Apr, 28, 1945
(Pounds)
3,815,000
24.000
13.000
13.000
(Pounds)
3,102,463
8,00 0
100
7-5,000
1 ,0 0 0
5.000
5.000
100 ,
100
1.000
1,000
1,000
100
2,000
100
14.000
2,000
1 2 .0 0 0
1 ,0 0 0
1 ,0 0 0
1 ,0 0 0
1 ,0 0 0
100
1,000
1 ,0 0 0
1 ,0 0 0
1 >Q00
1 ,0 0 0
1 ,0 0 0
1 ,0 0 0
1 ,0 0 0
100
100
100
100
800,000
795,000
4,000,000
3,102,463
FOR IMMEDIATE RELEASE
?
The Bureau of Customs announced today preliminary figures showing
the quantities of coffee authorised for entry for consumption under the
quotas for the 12 months commencing October 1 # 19*&# provided for in the
Inter-American Coffee Agreement* proclaimed by the President on April 15.
19U 1 ,
as follows;
Country of Production
;
•
•
Quota Quantity
(Pounds) 1/
:
:
Authorized for entry
ror (I ' M 11 1 1 M 1—
As of (Date)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Hicaragua
Peru
Venezuela
Ron-Signatory Countries:
l/
'
l.73^.203.0^3
586.988.903
3 7 .2 9 U . 6 8 9
lU, 917.823
22.376,866
27.970,951
111,88U,067
99.763.353
51,280,231
3,729.522
8 8 .5 7 U . 9 2 0
3 6 ,3 6 2 . 2 7 5
U,661,803
78,318,900
6 6 ,1 9 8 , 0 5 3
9 3 6 ,8 2 5 , 8 2 2
U 1 1 .U9 2 . 9 8 6
1 7 ,9 6 3 . 1 8 6
U, 3 9 0 , 6 1 0
1 6 .U7 9 . 1 9 1
20.37U.008
5 7 .8 1 2 ,U5 U
U 5 .1 U 0 . 7 3 6
3 8 ,0 2 5 , 3 2 7
(Import Quota Pilled)
UU,935»°U2
April 28, 19^5
8
9 .U1 6 . 9 0 1
8
3,018,159
8
32.059,698
April 28, 19U5
8
8
8
8
8
8
8
8
8
678,U33
Quotas as of January 3* ^9^5* determined by action of the Inter—
American Coffee Board on January 2* 19^5 •
c
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, May 9, 1945.
Press Service
. N o ,
46-14
The Bureau of Customs announced today preliminary figures showing
the quantities of coffee authorized1
*for entry for consumption under the
quotas for the 12 months commencing October 1, 1944, provided for in the
Inter-ij.mcrican Coffee Agreement, proclaimed by the President on April 15,
1941, as follows;
Country of Production
;
Quota Quantitv
(Pounds) l /
Signatory Countries;
Brazil.
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala .
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
Non-Signatory Countries;
;
authorized for.entry
;
for consumption
• l i s of (Date)
• (Pounds)
w
1,734,203,043
586,988,903
37,294,689
14,917,823
22,376*866
27,970,951
111,884,067
99,763,353
51,280,231
3,729,522
88,574,920
36,362,275
4,661,803
78,318,900
66,198,053
April 28, 1945
u
tt
tt
tt
tt
tt
tt
tt
936,825,822
411,492,986
17,963,186
4,390,610
16,479,191
20,374,008
57,812,454
45,140,736
38,025,327
(import Quota Filled)
April 28, 1945
44,935,642
tt
9,416,901
tt
3,018,159
tt
32,059,698.
tt
678,433
quotas as of January 3, 1945, determined by action of the Interntnerican Coffee Board on January 2, 1945*
oOo
M
;I"*
Commodity
,f
ft
t
s
Established Quota
: Pftriod and Country :
Silver or black
foxes, furs, aad
articles?
Foxes valued
under $250 each
and whole furs
and skins
fails
Month of April
Canada
Other than Canada
Chit
:Imports as of
s
1
of
t April 28,
19b*>
Quantity : Quantity •
17.500
Somber
h»209
7,500
Somber
10U
5,000
Pieee
12
months from
See. X, 19HU
Paws, heads, or
other separated
parts
s
500
Pound
500
Pieee plates
s
550
Pound
—
Articles, other
than piece plates
N
500
Chit
ftREASU RY DEPARTMENT
MAY
8 1945
PUBLIC RELATIONS OFFICE
HMfc~
12
||
FOR IMMEDIATE RELEASE
May 8. 19*45
The Bureau, of Customs announced today preliminary figures shoving
the imports for consumption of commodities within quota limitations
provided for under trade agreements, from the Beginning of the quota
periods to April 28, 19*45, inclusive, as follows:
t
Commodity
: Imports as of
Unit
:
:
April 28,
of
t
* Quantity *
1945
:
Established Quota
: Period and Country : Quantity
Whole milk, fresh
or sour
Calendar year
3,000,000
Gallon
9*520
Cream, fresh or
sour
Calendar year
1 ,900,000
Gallon
285
Fish, fresh or
frozen, fllletdd,
etc*, cod, haddock,
hake, pollock, cusk,
Calendar year 15,000,000
and rosefish
Pound
12,001,876
White or Irish
potatoes:
Certified seed
Other
Pound
Pound
Quota Filled
Quota Filled
12 BOOthi from
Sept.15,1944 90,000,000
60,000,000
Cuban filler tobacco
unstemmed or stemmed
(other than cigarette
leaf tobacco), and
scrap tobacco
Calendar year
Pound
(unsteamed
22,000,000 equivalent) Quota Filled
Red Cedar Shingles
Calendar year
1,727,242
Square
535.083
Molasses and sugar
sirups containing
soluble nonsugar
solids equal to
more than 6# of
total soluble
solids
Calendar year
1 ,500,000
Gallon
722,649
TREASURY DEPARTMENT
MAY
8 1945
Public
relations
rioNs office
O]
TIMk,
Cl \ 1
/ rr P
~ /0 fy
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE*
Wednesday, May 9, 1945,
Press Service
No, 46r15
The Bureau of Customs announced toc|ay preliminary figures showing the
imports for consumption of commodities within quota limitations provided for
under trade agreements, from the beginning of the quota periods to April 28,
1945, inclusive, as follows t
Commodity
:
Established Quota
; Period and Country : Quantity
:
Unit
:
of
Quantity :
Imports as of
April 28,
1945
Whole milk, fresh
or sour
Calendar year
3,000,000
Gallon
9,520
Cream, fresh or
sour
Calendar year
1,500/000
Gallon
285
Fish, fresh or
frozen, filleted,
etc,, cod, haddock,
hake, pollock, cusk,
and rosefish
Calendar year
15,000,000
Pound
White or Irish
potatoes j
Certified seed
Other
12 months from
Sept,15,1944
90.000.
60.000.
Cuban filler tobacco
unstemmed or stemmed
(other than cigarette
leaf tobacco), and
scrap tobacco
Calendar year
22,000,000
000 Pound
000 Pound
12,001,876
Quota Filled
Quota Filled
Pound
(unstemmed
equivalent)
Quota Filled
Red Cedar Shingles
Calendar year
1,727,242
Square
535,083;
M0lasses and sugar
sirups containing
soluble nonsugar
solids equal to
more than 6% of
total soluble
solids
Calendar year
1,500,000
Gallon
722,649
Commodity
;
Unit
s
Established Quota
• ;
of
: Period and Country .i Quantity : Quantity
Silver or black
foxes, furs,
and articles;
Foxes valued
under |250 each
and whole furs
and skins
Tails
Paws, heads, or
other separated
parts
Piece plates
Articles, other
than piece plates
: Imports as of
:
April 28,
:
1945______
17,500
Number
4,209
Other than Canada 7,500
Number
104
12 months from
Dec. 1, 1944
5,000
Piece
tr
500
Pound
500
tt
550.
Pound
— -
n
500
Unit
Month of April
Canada
12
-
2
-
COTTON CARP STRIPS made from cottons having a staple of less than 1-3/16 inches
in length, COMBER WASTE, LAP WASTE, SLIVER WASTE, AMP ROVING WASTE, WHETHER
OR NOT MANUFACTUREP OR OTHERWISE ADVANCER IN VALUE. Annual quotas commencing
September 20, by Countries of Origin:
Total quota, provided, however, that not more than 33-1/3 percent of the quotas
shall be filled by cotton wastes other than card strips made from cottons
having a staple less than 1-3/16 inches in length and comber wastes made from
cottons of 1-3/16 inches or more in staple length in the case of the follow
ing countries: United Kingdom, Prance, Netherlands, Switzerland, Belgium,
Germany,1 and Italy:
(In Pounds)
Established
TOTAL QUOTA
Country of Origin
United' Kingdom
Canada....... .....
Prance........
British India.
Netherlands
.....
Switzerland. .......
BeXgium.
ti’aoan.
China..............
Sgypt
Cuba.
Germany.
Italy
4,323u,457
239-, 690
227,420
69 ,627
66,240
44,388
38,559
341,535
17-,322
8,135
6,544
76,329
21,263
totals
5,482,509
..............
..
..
.
,
.
.
.
.
.
.
,
,
... ... ..
.
.
.
.
.
.
.
.
.
.
.
.
,
........... ............................
........................................
.
.
»
.
.
.
.
.
.
.
.
.
.
........... .. ......................... -
...... —
1/
1. . . . . .
1' " i
T
ESTABLISHED! Imports
33-1/3$' of : Sept. 20,, 1944
Total Quota ; tolpp# §§ ^ ¿/
T.CTAL IMPORTS
Sept. 20^ 1944
UK ;
4*
1,441,152
75,807
10,
m
4*
44
««t-
-
Sf
22,747
14,796
12,853
■
40
0 i-
-
0
'
25,443
7,088
-
0 t-
m
m
1,599,886
m
1
Included in total imports, column 2
-oOo-
l/
M/iY
public
rmk.
r
AKTmfciNiT
o 1945
Relations Office
1 4Ê
m '
,
v
40-
m
m
40
m
m .
m
IMMEDIATE RELEASE
m y %
19US
The Bureau of Customs announced today that preliminary reports from the
collectors ,of customs show imports of cotton and cotton waste chargeable to the
import quotas established by the President's proclamations of September 5, 1939,
as amended by the proclamations of .December IS, 1940, March-31, 1942, and June
29, 1942, during the period September 20, 1944, to April 28, 2$t|5*
COTTON HAYING- A STAPLE OP LESS THAN' 1-11/16 INCHES (OTHER THAN HARSH OR ROUGH
COTTON OP LESS THAN 3/4 INCH IN STAPLE LENGTH AND CHIEFLY USED IN THE MANU
FACTURE OF BLANKETS.AND BLANKETING, AND OTHER THAN LINTERS),' Annual quotas
Commencing September 20, by Countries of Origin:
(In Pounds)
Staple length less : Staple length 1 - 1 /8 n or more
but less than 1-11/16"
1
than 1 - 1 /8 "
:
: Imports Sept.
Established
¡Imports Sept.:
: 20.,..1944, to
Quota
îEstablished!¡20," 1944, to :
45,656,420
:Aprl 28, 19U5
: "'Quota " " iftp?» 2 8 ,
:
Country of
‘ Origin
Egypt and the Anglo4m
.•
783,816
- Egyptian Sudan
■ •.
247,952
Peru....... .......... i
. 2,003,483
British India.
*»•••••
mm
China... .............. . 1,370,791
8,883,255*
Mexico...... *.......T. . 8,883,259
»
618,723
Brasil.................
Union of Soviet
475,124
Socialist Republics..
•
5,203
Argentina..............
' .
Haiti,................
237
Ecuador...............
9,333
752
Honduras....... .
871
Paraguay...............
124
Colombia..............
196 -- —
Iraq............. .... . . ...
— .
,
2,240
British East Africa..,.
•
. . . — *.•
71,388
Netherlands East Indies
,
«
Barbados.,X ..........
Other British Nest
—
21,321
Indies i f ............ .
5,377
Nigeria...............
Other British West
16,004
Africa 2/
«*»
689
Other French Africa 3/. •>;
-r*V* "
Algeria and Tunisia.... •
14,516,882
45,656,420
if
2/
3/
Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago,
Other than Gold Coast and Nigeria,
Other than Algeria, Tunisia, and Madagascar.
13,658,595
l,9itf,U38
:•*
708,81(5
m
•»
mm
mm
. <*
' • ‘ m
•
mm
4m
■ .-
•*
l6,3l£,8?S
TREASURY DEPARTMENT
Washington . A/,
FOR Hvil ED-LITE RELEASE,
Wednesday,May 9, 1945,
Press Service
'No. 46-16
The Bureau of Customs announced today that preliminary reports from the
collectors of customs show imports of cotton and cotton waste chargeable to
the import quotas established by the President’s proclamations of September 5,
1939* as amended by the proclamations of December 19* 1940, March 31, 1942,
and June 29, 1942, during the period September 20, 1944, to April 28, 1945,
COTTON HAVING A STAPLE OF LESS THAN l-ll/l'6 INCHES (OTHER THAN HARSH OR ROUGH
COTTON OF LESS THAN 3/4 INCH IN STAPLE LENGTH AND CHIEFLY USED IN THE FANUFACTURE OF BLANKETS i MD BUCKET ING, AND OTHER THAN LINTERS), Annus,1 quotas
commencing September 20, by Countries of Origin:
(in Pounds)
1
Country of
Origin
:
Staple length less
• Staple length l-l/8** or more
:
than 1 - 1 / 8"
but le ss than l-H/16"
•
:Imports
Sept,:
*
Established : Imports S*ept,
¡Established :20, 1944 to ;
Quota
: 20,1944, to
:
Quota
:Apr,28, 1945 : 45,656,420 : April 28,1945
Egypt and the AngloEgyptian Sudan....... .
783,816
Peru......4 *........... .
247,952
British India..,,....,, , 2,003,483
China,
, 1,370,791
Mexico................. • 8,883,259
Brazil,,
,
63.8,723
Union of Soviet
Socialist Republics,, .
475,124
Argentina.............. •
5,203
Haiti.,,.....,,,,...,., •
237
Ecuador .......
•
9,333
Hondura s..,,,,,,,,,,,., •
752
j,
871
Colombia............,,. .
124
Iraq................... •
195
British East Africa,,,, ,
2,240
Netherlands East Indies •
71,388
Barbados..
Other British'»Ast
Indie s l / 9
,
21,321
N i g e r i a ,t
5,377
Other British Ae st
Africa . 2/
,
,,
16,004
Other French Africa 3/, ,
689
Algeria and Tunisia,,,. •
14,516,882
2/
3/
—
13,658,595
1
-Lj QAQ
£. \Jj IO O
'mm
7n
( r j Q/ik
8,883,259
\j \j
...
mm
-
-
A
mm
m
-
8,883,259
Other than Gold Coast and Nigeria,
Other than Algeria, Tunisia, and Madagascar,
mm
45.,656,420
16,316,878
2
COTTON CARD STRIPS inade from cottons having a staple of less than 1-3/16 inches
in length, COM l.ER WASTE, LAP WASTE, SLIVER YiASTE, AND ROVING AaSTE, YLHETHER
1 OR NOT LANUFACTURED OR OTHERWISE ADVANCED IN VALUE. Annual quotas commencing
September 20, by Countries of Origin«
Total cquota, provided,,however, that not more than 33-1/3'percent of the
quotas shall be filled by cotton wastes other than card strips made from
cottons having a staple less than 1-3/16 inches in length and comber
• wastes made from cottons-of 1-3/16 inches or more in staple length in the
case of the- following countries: United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italy;
(In Pounds)
Country of Origin
:T Established ;TOTAL IL.PORTS
;ESTABLISHED
:TOTAL QUOTA :Sept. 20, 1944
:33-l/3^ of
.
.to Apr.28, 1945 :Total Quota
*
.
.
•
• .
•
United Kingdom.....
4,323,457
Canada.............
239,690
France.......... .
227,420
British India....•*
6"9,627
Netherlands........
68,240
Switzerland.......
44,388
Belgium.•.........•
38,559
Japan..........
341,535
China........
17,322
Egypt...........<..
8,135
Cuba
..... .
6 ,544
Germany............
76,329
Italy............
'
21,263
TOTALS
if
4:2,148
-
1,441,152
-75,807
22,747
14,796
12,853
—
.. 25,443
_____ , ■ .
_____ -_________ 7,v088
5,482,509
42,148
Included in total imports, column 2.
-oOo-
1,599,886
: Imports
:Sept.20,1944
jto Apr.28/
.1945.
if __
•
mrnrnJ_
«¿pm ' ■|Sp -'**
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for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 413, as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
-2
-
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
May 17, 1945
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes> whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941 , the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury-bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS.
Friday, May 11. 1945______ .____ •
W
The Secretary of the Treasury, by this public notice, invites tenders
for | 1,300,000,000 , or thereabouts, of
91 -day Treasury bills, to be issued
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series will be dated
May ,17« 1945____
and will
~~55T~
mature
August 16, 1945_____ , when the face amount will be payable without
interest.
They will be issued in bearer form only, and in denominations of $1,000,
$ 5 ,0 0 0 , $1 0 ,0 0 0 , $1 0 0 ,00 0 , $ 5 0 0 ,0 0 0 , and $1 ,0 0 0 ,0 0 0 (maturity value).
Tenders will be received at Federal Reserve Bank3 and Branches up to the
closing hour, two o ’clock p.nu, Eastern War time,
Monday,
1%*_____
Tenders will not be received at the Treasury Department, Washington.
*
Each tender
must be for an even multiple of $1 ,0 0 0 , and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g,, 99.925*
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty *>f payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G N EWSPAPERS,.
Friday, M a y 11, 1945.
The S e c r e t a r y of the Treasury, by this p u b l i c notice,
invités tenders for ¡{1,300,000,000, or thereabouts, of 9 1 - d a y
Tr e a s u r y bills, to be- issued on a d i s c o u n t b a s i s u n d e r c o m
petitive and f i x e d - p r i c e b i d d i n g as h e r e i n a f t e r p r o v i d e d . . The
bills'of- this series will be d a t e d M a y 17, 1945, and willmature A u g u s t 16, 1945, w h e n the face amount w i l l be pa y a b l e
without interest.
T h e y will b e issued in b e a r e r f o r m only,
and in d e n o m i n a t i o n s of £1,000, $,5,000, i l 0,000, $100,000,
4500,000, and f>l,000,000 ( m a t u r i t y v a l u e ) .
T e n d e r s wil l be r e c eived at Federal R e s e r v e Banks and
Branches up to the c l o s i n g hour, two o fc l o c k p.m., E a s t e r n W a r
time, Monday, M a y 14, 1945
T e n d e r s w ill no t be r e c e i v e d at
the T r e a s u r y D e p a r t m e n t ,. W a s h i n g t o n . ' E a c h t e n d e r m u s t be for
an even m u l t i p l e of i l , 0 0 0 , and the p r ice o f f e r e d m u s t be e x
pressed on the basis of 1 0 0 , w i t h n o t m o r e than three décimais,
e. g •, 99.925.
F r a ctions m a y n o t be u s e d . ' It is u r g e d that
tenders be m a d e on the p r i n t e d forms arid f o r w a r d e d i n the
special e n v e lopes w h i c h will be s u p p l i e d * b y Federal R e s e r v e
Banks o r B r a n c h e s on a p p l i c a t i o n thérefor.
1
;
.
T e n d e r s will be r e c eived w i t h o u t d e p o s i t f r o m i n c o r p o r a t e d
banks a nd trust com p a n i e s and f r o m r e s p o n s i b l e and r e c o g n i z e d
dealers in i n v e stment securities.
Te n d e r s f r o m others m u s t be
•accompanied b y payment Of *2 p e r c e n t of thé face amount of
T r e a s u r y b i l l s a p p l i e d f o r / unle s s thé te n d e r s are a c c o m p a n i e d
by an express -g u a r a n t y of p a y ment b y "an i n c o r p o r a t e d b a n k or
trust c o m p a n y
I m m e d i a t e l y a f t e r the c l o s i n g hour, tenders wil l be o p e n e d
at the Federal R e s e r v e Banks a n d Branches, f o l l o w i n g w h i c h
public a n n o u n c e m e n t will be m a d e b y the S e c r e t a r y of the
T r e a s u r y of the amount and p r ice range o f a c c e p t e d bids.
Those s u b m i t t i n g tenders will be a d v i s e d of the a c c e p t a n c e or
rejection thereof.
T he S e c r e t a r y of the T r e a s u r y e x p r e s s l y
reserves the right to accept or reject an y or all tenders, in
whole or in part, and his a c t i o n in a n y s uch respect shall be
final.
Su b j e c t to these r e servations, tenders for $ 2 0 0 , 0 0 0 0r
less f r o m a ny one b i d d e r at 9 9 . 9 0 5 e n t e r e d on a f i x e d - p r i c e
basis w ill be a c c e p t e d in full.
Payment of a c c e p t e d tenders
at the prices o f f e r e d m u s t be m a d e or c o m p l e t e d at the F e d e r a l
Reserve B a n k in c a s h or o t h e r i m m e d i a t e l y a v a i l a b l e funds on
May 17, 1945.
46-17
(Over)
T he income d e r i v e d f rom T r e a s u r y bills, w h e t h e r interest
or g a i n from the sale or other d i s p o s i t i o n of the bills, shall
not hav e any e x e m p t i o n ! as such, and l o s s . f r o m the sale or
o t h e r d i s p o s i t i o n of Treasury' b i lls shall n o t nave any special
treatment, as such, u n d e r Federal tax Acts n o w or h e r e a f t e r
enacted.
The bills s h a l l be -subject to’ estate, inheritance,
gift, or other excise taxes, w h e t h e r Federal or ^tate, but
shall be exempt f r o m all t a x a t i o n n o w or h e r e a f t e r imposed on
the- p r i n c i p a l or i n t erest t h e r e o f by any S t a t e , , o r any of the
p o s s e s s i o n s o f - t h e U n i t e d States, or by any local t a x i n g
authority.
For p u r p o s e s of t a x a t i o n -the amount of d i s c o u n t at
w h i c h T r e a s u r y b i l l s are o r i g i n a l l y sold b y t h e ^ U n i t e d states
shall be" c o n s i d e r e d to be interest . 'Under--Sections 42 and
117 "(a) (1) of the internal R e venue Code, - as a m e n d e d b y section
115 of the R e v e n u e Act of 1941, the« amount of d i s count at. which
b i lls issued h e r e u n d e r ape*sold shall not be c o n s i d e r e d to
a c crue until s u c h bills shall be sold, r e d e e m e d or o t h e r w i s e
- d i s p o s e d of, and such b i lls are e x c l u d e d f r o m c o n s i d e r a t i o n as
ca p i t a l assets.
Acco r d i n g l y , the o w n e r of t r e a s u r y bills*
(other than l i f e ' i n s u r a n c e companies)' issued h e r e u n d e r n e e d
include in his income tax r e t u r n o nly the d i f f e r e n c e b e t w e e n
the price p a i d for s u c h bills, w h e t h e r ' o n or i g i n a l issue or on
s u b s equent purchase, and the a m ount actually, r e c eived either
u p o n sale or r e d e m p t i o n at m a t u r i t y d u r i n g the taxable y ear
for w h i c h the retu r n is made, as o r d i n a r y g a i n or loss.
T r e a s u r y D e p a r t m e n t C i r c u l a r No. 418, as amended, and this
notice, p r e s c r i b e the terms of the T r e a s u r y b i l l s a nd g o v e r n
the condition's of t h e i r issue.
Copies of the c i r c u l a r m a y be
o b t a i n e d f r o m any Federal R e s e r v e B a n k or Branch«.,
fjppp™
ras m tmmHmàmm raro»! tmmsx .wm$. m iu s ~m
K0T1CK i.F GAP. Mtt RSDiaflTIOtS
«
fu Holdere ©f 2 -3/4 pereent Tfmmry fumé* ©f 1945-47# «ad 0th«re C©aeeraedj
1« Public noti«« 1« harebg given that «11 cmtatarìding 2-3/4 pereent
Treaeury Benda ©f 1945-47# daied September 16, 1935# 1«
heratgr eallad fer
redeaptlon m Septeafe©** 15, 1945# on ©hieh date interest ©n ©neh benda will
eease*
2* Holdera ©f thè«« benda my, in advenee ©f thè raderle® data, ba
©ffered ite« privile^© of ©aahimgiisg all ©r aay pari ©f their ©alled benda
fer other interart-bearirig obllgetiena of ih© United Stata©, in tèitfe
i n é pnbXic noti©© ©111 hereafter be gir©« and an officiai circul&r governing thè exehange offering ©IH be teaned*
3. Pulì lnferw&tieii regardlng thè presentati©® and surrendar ©f tha
banda far ©aah redestption under thia ©all ©ili be fornai in Department €ir©alar le* 666# dated iW^t 21, 1941*
v
0
.¿¿ -\
|.
.
/
Henry lergenthau, Jr*#
Secretar? ©f thè freaonry.
tm m m m m im f,
Waahington, lag 14# 1945«
TKEASURT DEPARTMENT
Washington
IDE E i m s i , m m x m ESNSPAPEHS,
Boaday. M r 14. 1945«----------
Press Service
^ ^
the Secretary of the Treasury announced today
that all outstanding 2-3/4 percent Treasury Bonds of 1945-47
are called for redemption on September 15» 1945«
There are
now outstanding 11,214,428,950 of these bonds.
The text of the formal notice of call is as fol
lows t
TREASURY DEPARTMENT
Washington
Press Service
No. 46-18
5-11-45
The Secretary of.the Treasury announced today that all out
standing 2-3/4 percent Treasury Bonds of.1945-47 are called for
redemption on September 15, 1945»
There are now outstanding
$1,214,428,950 of these bonds.
The text of the formal notice of call 'is as follows:
TWO Arò-THREE-QUARTERS PERCENT TREASURY BONDS OP 1945-47
NOTICE OP CALL POR REDEMPTION
To Holders of 2-3/4 percent Treasury Bonds of.1945-47,
and.Others Concerned:
1‘, Public notice is hereby given that all out
standing 2-3/4 percent Treasury Bonds of 1945-47, dated
September 16, 1935, are hereby called for redemption on
September 15, 1945, on which date interest on such
bonds will cease.
2..
Holders of these bonds may, in advance of the
redemption date, be offered the privilege of exchanging
all or any part of their called bonds for other interestbearing, obligations of the United. States, in- which event
public notice will hereafter be given and an official
circular governing the exchange offering will be issued.
3» Pull information regarding the presentation
and surrender of the bonds for cash redemption under
this call .will be found in Department Circular No. 666,
dated July 21, 1941.
Henry Morgerithau, Jr.,
Secretary of the Treasury.
TREASURY DEPARTMENT,
Washington, May 14, 1945.
-oOo-
- 3 -
overcome only if all of us practice self-restraint -- only if
all of us resolve to get along for the present without
unnecessary enjoyments and satisfactions*
Before you spend
money for anything, ask yourself if you really need it.
And
if you find that you can get along without it, take the money
you would have spent and invest it in war bonds for the
future.
You will serve yourself and your fellow-Americans
when you do this.
We who stayed at home in this war have been in the
position of trustees. We must turn over to the men who come
back from the fight for freedom a healthy economy in which
they can find homes and jobs and a fair chance to prosper.
We must keep America sound, as they have kept it safe,
let
us make the Seventh War Loan drive which begins today a'fresh
demonstration to them of our unity and our unwavering support.
-0 O0 -
no doubt at all that the men on the firing lines will use it
well.
We need have no fear that they will fail us.
And they
must have no fear that we will fail them.
If our victory in Europe is to breed security and order
and peace, some portion of the things we produce in the United
States must be shared with the people we have liberated.
Millions of them today are without adequate clothing or shelter
and face terrible hunger in the months that lie ahead*
Stable
governments and peaceful, democratic societies cannot be created
out of such conditions.
Self-interest as well as humanity
compels us to relieve their desperate need.
We can have no
hope of enduring prosperity in the United States unless we help
these people to help themselves —
help them to restore their
industry and agriculture and achieve again a reasonable standard
of living so that they can play their part in a prosperous
world economy.
The bulk of our productive resources, in other words, must
continue to be devoted to war and to binding up the wounds of
war^ ^eaclflmie goods —
like to enjoy —
while to come.
the luxuries and pleasures we would
will be in extremely short supply for a long
The fruits of peace, as I said last night, are
not yet ripe for us to pluck.
Victory in Europe is all too likely to bring with it a
temptation to start spending money freely.
That temptation
must be sternly resisted if we are to avert inflation.
danger is now greater than it has ever been before.
The
It can be
We have had our period of exultation over the
great victory in Europe.
to serious business —
Now it is time for us to get back
to the business of taming and civilizing
the Japanese in the East and to the business of helping to
rebuild civilization in the West.
No one understands better than General Stillwell the
magnitude of the job ahead of us in subduing Japan.
We face,
as we did in Europe, a tou^h, fanatical, resourceful enemy,
entrenched in his homeland.
His military and naval power,
like Germany1s, must be utterly destroyed so that it can
never threaten the security of the world again.
The job will be done*
It will be done, with the aid of
our Allies, by the men in ships and planes who have already
driven the Japanese Navy to cover in its home waters.
It will
be done by the men who returned, as General ISacArthur promised
they would, to the Philippines, by the men who are now crouched
in foxholes on Okinawa.
It will be done by the men who are
already beginning to move from their victory in Europe to a
new victory on the other side of the globe#
We at home have an essential part in this.
Our job is to
give these men such superiority over the enemy in equipment
that they can do their fighting with the lowest possible cost
in casualties.
That is the policy we have followed from the
beginning of the war and shall follow to the end.
always is to exchange equipment for casualties
money for lives.
The money must come from us.
Our aim
that is,
We need have
4
ie who staged at home In th is war have teen in
the position of trustees.
is must turn over* to the
men who come back from the fig h t f x freedom a healthy
economy in which they can find homes and jobs and a
fa ir chance to prosper,
Ve am t keep America sound,
as they have kept it safe*
Let m sake the Seventh
sar Loan drive which begins today a fresh demonstration
to them of our unity and our unsavoring support*
I
and agriculture and achieve again & reasonable
standard or livin g so that they can play their part
In a prosperous world economy.
The bulk of our productive resources, In other
»ores, oust continue to be devoted to war and to
binding up the sounds or sar.
Peacetime goods **— the
luxuries and pleasures se would like to enjoy — s i l l
be In extremely short supply for a long while to come.
The" fru its of peace, as I said la st night, are not yet
ripe far u® to pluck.
Victory In Europe la a ll too IL-.ely to bring with
it a temptation to start amending money freely .
That
temptation oust be sternly resisted i f we are to avert
in flation .
been before.
Tm danger is sew greater than i t has over
It can be overcome only if a ll of us
practice se lf-r straint — only If a ll of us resolve
to get along for the present without unnecessary
enjoyments and sa tisfa ctio n s.
Before you spend money
for anything, ask yourself if you really need i t .
And i f you find that you can get along without It,
take the money you would have spent and Invest It in
war bonds for the future.
You w ill serve yourself
and your fellow-Aiaerlcans when you do th is .
’*© at home have an essen tial part in this*
Our
job is to give these asn such superiority over the
enemy in equipment that they can do their fighting
with the lowest possible cost in casualties*
That
Is the policy we have followed from the beginning of
the war ana shall follow to the end.
Our a la always
is to'exchange equipment for casualties —* that is ,
money for liv e s .
The money must corns fro® us^ without
slacteettliib ur’Btlnffe^. -fe need have no doubt at a ll
that the m n on the firin g lin es w ill use i t w ell.
We need have ao fear that they w ill f a il us. And
they aunt have no fear that we w ill f a ll them.
If our victory in Europe is to breed security
and order sod peace, some portion of the things we produce
in the United States must be shared with the people
have liberated.
Millions of them today are without
adequate clothing or shelter and face terrible hunger
In the months that li e ahead.
Stable governments
and peaceful, democratic societies cannot be created
out of such conditions.
Self-in terest as s e ll as
humanity compels us to relieve their desperate need,
te can have no hope of enduring prosperity in the
United States unless wo help these people to help
themselves — help then to restore their industry
ie have had our period or exultation over the
great victory in Europe. Now it is time for us to
get back to serious business — to the business of
taming and c iv ilizin g the Japanese in the East and
to the business of helping to rebuild civilization
in the le s t .
No one understands better than General S tillw ell
the magnitude of the Job ahead of us in subduing Japan.
Se face, as we did in Europe, a tough, fanatical,
resourceful enemy, entrenched in his homeland.
His
military and naval power, like Germany's,must be
utterly destroyed so that i t can never threaten the
security of the world again.
The Job w ill be done,
it w ill be done, with
the aid of our A llies, by the men in ships and planes
who have already driven the Japanese Navy to cover
in it s hate waters.' It w ill be done by the men who
returned, as General MacArthur promised they would,
to the Philippines, by the men who are now crouched
in foxholes on Okinawa.
It w ill be done by the sen
who are already beginning to move from their victory
In Europe to a new victory on the other side of the
globe.
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
ffhìnrsràay, May 15, 1945»
A
TREASURY DEPARTMENT
Washington
POR RELEASE, MORNING NEWSPAPERS,
Tuesday»^May 15» 1945«__________
Press Service
No. 46-19
(The following address/by Secretary Morgenthau
at a Seventh War
Rally at Kieinhans Music
Hall, Buffalo, New York, is scheduled for
delivery over the Blue Network f t 10:30 P M .,
EWT, Monday. May 14. 1945.)
TREASURY DEPART KENT
Washington
FOR RELEASE,
M O R U R O NEWSPAPERS, .
Tuesday; May 15» 1945«
' :...—
Press Service
' E-°* 4-6-19
(The following address by Secretary Morgenthau
at a Seventh War Loan Rally at Kleinhans Music
Hall, Buffalo, New York, is scheduled for ^
delivery over the Blue Network at 10*30 R B U ,
EWT, Monday, May 14« 1 9 4 9 » )
_.
We have had our period of exultation over the great victory
in Europe.
How it is time for us to get back to serious busi
ness r- to the business of taming and civilizing the Japanese
in the East and to the business of helping to rebuild civiliza
tion in the W e s t .
Ho one understands better than General Stilwell the
magnitude of the job ahead of us in subduing Japan.
We face,
as we did in Europe, a tough, fanatical, resourceful enemy,
entrenched in his homeland.
His military and naval power,
like Germany1s, must.be utterly destroyed so that it can never
threaten the security of the world again.
It will be. done, with the aid of
The job will be done
our Allies, by the men in ships and planes who have already^
It will
driven the Jap. nese Havy to cover in its home waters.
b e ‘done by the men'who returned, as General .MacArthur promised
they would, to the Philippines, by the men who are new crouched
It will
in foxholes on Okinawa.
-----M I
-..... be done
( by
- .the men who áre
already beginning- to .move from their victory in Europe to a new
victory on the other side of the globe..
We at home have an essential part in this.
Our job i$ lt.o
give these men such.superiority over the enemy in equipment
that they, can do their fighting with the lowest possible cost
in casualties.
That is the policy we. have followed from^the
beginning of the war and shall follow to the end.
Our aim
always is to exchange equipment for casualties -- that is,
money for lives.
The money must come from us.
Ve need have
no doubt at all that the men*on the firing lines will use it
well. We need have no fear that they will fail us. And they
must-have no fear that we will fail them.
If our victory in Europe is to breed security and order
and peace, some portion of the things we produce in the United
States must, be shared with the people we have liberated*
Mil
lions of them today are without adequate clothing or shelter
-
2
-
4n<i face^terrible hunger in the months that lie ahead.
Stable
governments and peaceful, democratic societies cannot be•created out of such conditions.
Self-interest as well as
humanity compels us to relieve their desperate need.
We can
have no hope of enduring prosperity in the United States unless
we help these people to help themselves -- help them to restore
their industry and agriculture and achieve again a reasonable
standard-of living so that-they can play their part in a pros
perous world economy.
’- ....
: ~~ •
•
The bulk.of our productive resources, in other words*»must
continue to be devoted to war and to binding up the wounds of
war. 'Many peacetime goods -- the luxuries and pleasures we
would like to enjoy -- will be in extremely short supply for
a- long while to come. The fruits of peace, as I said last
j-iight, are not yet ripe for us to pluck;
Victory in Europe, is all too likely to bring with it a
temptation to start spending money freely.
That temptation
must be sternly resisted if we are to avert inflation;
The
danger is now greater than it has ever been before.
It can be
overcome only if all.of us practice self-restraint -- only if
all of us resolve to get along for the present without unnec
e s s a r y enjoyments and satisfactions.
Before you spend money
for anything, ask yourself if you really need it. Ana if you
-find that you can get' along without it, take the money you
would have spent and invest it in war bonds for the.future.
You will serve yourself and' your fellow-Americans when 'you do
this.
We who stayed at home in this war have been in the posi
tion of trustees.
W e ’must turn over to the men who come back
from the fight for freedom a healthy economy in which they
pan find homes and jobs and a fair chance to prosper.
We
must keep America sound, as they have kept it safe,
let us
' 'make the Seventh War Loap drive which begins today a fresh
demonstration to them of our unity and our unwavering support.
-oOo-
TREASURY DEPARTMENT
Washington
Press Service
& - >0
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, May 15, lgj&.---------
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated May 17 and to m & t m
August 16, 1945, which were offered on May 11, 1945, were opened at the Federal Reserve
Banks on May 14.
\j
The details of this issue are as followst
Total applied for — $2,029,886,000
Total accepted
- 1,307,396,000
Average price
(includes $52,336,000 entered on a fixedprice basis at 99.905 and accepted in full) v
- 99.905/ Equivalent rate of discount approx. 0.375* per annum
Range of accepted competitive bide:
High
Urn
- 99.908 Equivalent rate of discount approx. 0.364* par annua
- 99.905
*
*
*
1
"
0.376*C "
"
(60 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
$
22,375,000
1,497,652,000
36.155.000
35.655.000
21.995.000
12.440.000
276,739,000
$
8 ,520,000
7 ,200,000
2 380,000
14.654.000
18,8 U , 000
82.480.000
13.454.000
1 3 ,s a , 000
56.880.000
$2 ,029 ,886,000
S , 307,396,000
2 ,380,000
TOTAL
14,335,000
935.852.000
24.155.000
35.655.000
18.795.000
12.190.000
172.659.000
,
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G N E W S P A P E R S , '
Tuesday, M a y 15; 1945,_______• ■■
Press S e rvice
No, 4 6 -20
The S e c r e t a r y o f the T r e a s u r y a n n o u n c e d last
the tenders
for $ 1 , 3 0 0 , 0 0 0 , 0 0 0 ,
T r e a s u r y bills
1945,
or t h e r e abouts,
of 91-day
to be d a t e d M a y 17 and to m a t u r e A u g u s t
w h i c h wer e o f f e r e d on M a y 11,
Federal
e v e n i n g that
1945,
were
16,
o p e n e d at
the
Reserve Banks on M a y 14,
The d e t a i l s
of this
issue are as follows:
T o tal a p p l i e d for - $ 2 , 0 2 9 , 8 8 6 , 0 0 0
T o tal a c c e p t e d
1,307,396,000
(Includes $ 5 2 , 3 3 8 , 0 0 0
e n t e r e d on a f i x e d - p r i c e basis at 9 9 , 9 0 5 and a c c e p t e d in
full)
A v e r a g e price
9 9 , 9 0 5 / E q u i v a l e n t rate o f d i s c o u n t
a p p r o x i 0.375$ per annum
Fiange of a c c e p t e d c o m p e t i t i v e bids:
High
99.9 0 8 E q u i v a l e n t rate of d i s c o u n t
approx, 0 . 3 6 4 $ p e r a n n u m
9 9 . 9 0 5 E q u i v a l e n t rate of d i s c o u n t
approx. 0 . 3 7 6 $ p e r a n n u m
Lo w
(60 percent
of "the a m o u n t bid for at
Federal R e s erve
District
Total
Applied
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dalla s
San Francisco
$
the low p r i c e w as accepted)
for
22,375,000
1,497,652,000
36.155.000
,v 3 5 , 6 5 5 , 0 0 0
21.995.000
• 12,440,000
276,739,000
8.520.000
2.380.000
14.654.000
18.841.000
8 2 , 4 8 0 1000
$2,029,886,000
oOo
Total
A c c e p t e d _______
$
14,335,000
935.852.000
24.155.000
35.655.000
18.795.000
12.190.000
172.659.000
7.200.000
2.380.000
13.454.000
13.841.000
56.880.000
$1,307,396,000
POR IMMEDIATE RELEASE
The Bureau of Custom® announced today preliminary figures shoving
the quantities of coffee authorised for entry for consumption under the
quotas for the 12 months commencing October 1,
19hh,
provided for in the
Inter-American Coffee Agreement, proclaimed by the President on April 15,
19^11 as follows:
e
e
Country of Production
:
•
e
Quota Quantity
(Pounds) 1/
:
:
:
Authorized for entry
for consumotlon
As of (Date) l (Pounds)
Signatory Countries:
Brasil
Colombia
Costa Rica
Cuba
Dominican R o m b i l e
Ecuador
El Salvador
Guatemala
Esiti
Honduras
Hex! eo
Nicaragua
Peru
Venezuela
Non-Signatory Countries:
i.
1.734,203,043
586,988,903
37,294,689
Ik,917.883
22,376,866
27,970,951
1 U , 884,067
99,763.353
51,280,231
3,729,522
88,574,920
36,362,275
4,661,803
78,318,900
66,198,053
M*y 5. 1945
S
■
«
s
ff
s
«
N
949.958,516
412,672,813
23.063,979
4,390.610
18,521,630
20,783,806
69,919.860
46,131,867
38.025.327
(Import quota filled)
toy 5. 1945
49,038,251
tl
10,259,272
n
3#018,159
32,420,015
11
678,443
Quotas as of January 3, lÿ*5# determined b y action of thB InterAmerican Coffee Board on January 2, I 9U 5 .
TO:
Service
46-22
FOR IMMEDIATE »
Wednesday, MayjfB
Hbs showing
The BureaujM
v ion under the
the q uantitiejij
K d
quotas for thaffl
for in the
on April 15,
Inter-Ame r icarl||
1941, as follcjH
Ifor entry
¡raption_____
(Pounds;
Country of Pr<M
Signatory Courg
Mr. Shaeffer
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
Non-Signatory Countries
y
58 I7 M 6 ,90S
37,294,689
14,917,823
22,376,866
27,970,951
111,884,067
99,763,353
51,280,231
3,729,522
88,574,920 .
36,362,275
4,661,803
78,318,900
66,198,053
949,958,516
4:1216 721olo
«
23,063,979
(i
4,390,610
t!
18,521,630
tt
20,783,806
It
69,919,860
H
46,131,867
It
38,025,327
(import quota filled)
49,038,251
May 5 , 1945
it
10,259,272
tt
3,018,159
tt
32,420,015
«
tt
678,443
Quotas as of January 3, 1945, determined by action of the InterAmerican Coffee Board on January 2, 1945#
oOo
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, May 16, 1945*
Press Service
No* 46-22
The Bureau of Customs announced today preliminary figures showing
the q uantities of coffee authorized for entry for consumption under the
quotas for the 12 months commencing October 1, 1944, provided for in the
Inter—American Coffee Agreement, proclaimed by the President on April 15,
1941, as follows:
Country of Production
:
Quota Quantity
(Pounds) 1 /
*
Authorized for entry
*
for consumption
: As of (Date)
: (Pounds)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
Non-Signatory Countries:
l/
~
1,734,203,043
566,988,903
37,294,689
14,917,823
22,376,866
27,970,951
111,884,067
99,763,353
51,280,231
3,729,522
88,574,920 ,
36,362,275
4,661,803
78,318,900
66,198,053
949,958,516
412,672,813
«
23,063,979
tt
4,390,610
tl
18,521,630
tt
20,783,806
tt
69,919,860
«
46,131,867
It
38,025,327
(import quota filled)
49,038,251
May 5, 1945
it
10,259,272
tt
3,018,159
tt
32,420,015
May 5, 1945
tt
tt
678,443
Quotas as of January 3, 1945, determined by action of the Inter'
American Coffee Board on January 2, 1945*
oOo
- i? ~
Stability in thé postwar tax system 1* another widely desired
end. But it is important to distinguish between stability in structure
and stability in rates.^ihd^ed# a oonsiderable degree of flexibility
in tax rates nay be found desirable is the postwar perio
ïhé
tax system responsive to changes in economic conditions. Taxation.
A
is an instrument designed to serre organized society. If it is to
r v i
service, it must be \adapted/to the changing économie
be of
and social noods of that society.
Conclusion
X^&saafraid
provided you ywith more
'questions are
questions
f i e society, while
inherent in the nature of
and experience of
answers grow only oat of the c o l l e c t s
taxpayers and their representatives in,
. . g Much of the
practical experience which can hel^providc ansWrs to oar tax prob
lems resides in the members of e&eh arenas as the Buffalo Chamber of
Commerce.
1 synestly hope that the results of tiks experience will
be made available to the framers of tax policy.
She time is now at
hand when thd^ffaias of/this country, whether In bOsiness, agriculture »
labor, Government, 0/ academic circles, m e t be marshalled if wO are
to solve the most /challenging tax problem in American history•
We bare already noted that postwar tax level* will need to
be high to meet the revenue need« of Government, the primary
concern la postwar tax planning 1« to raleo tho necessary revenues
with the minimus restrictive effect on production and employment.
High levels of business Investment and consumer spending are required
te ensure a healthy, full-employment economy. This consideration
calls for appraising tho impact of each tax or tax change upon business
incentive on one hand and consumer purchasing power on tho other*
Although the economic offoots of taxation are of first importance,
the demands of equity and fairness must at the same time be satisfied.
Accordingly, the revenues needed to finance Government should bo raised
according to tho long»established principle of ability to pay.
this
principle underlies federal tax policy of the pre-war and wartime
years and remains tho standard for the future.
Ease of administration and compliance are^slco a vital considera
tion in devising postwar taxes. Simple and uniform laws are tho beet
bulwark against expensive administration and costly and irritating
compliance burdens. Much progress has boon made ix^he direction of
simplification, but much remains to be done. In attempting simplifi
cation, however, one is forcibly reminded that tho demands of equity
in the tax system set^ a limit beyond which simplification eannot go*
thus, one criteri©a of a well-designed tax system may clash with another
and tho tax doslgnor is charged with the task of ree&neeling tho two.
- 15 Vttk the©e eosrplex queetions la vtew# Il la almo»! witli a tama«
o£ rellef that ©ne taras 1© th© ©»pila! stock tax and d©clared-value
exceas-profita
tax.
»or ber© 1« ©a© tax, ©r p«rhap© I shsald ©all
It a ©a#i tax, ©a whlch a coneon sus can trai/ b© ©ài* *• ©xlst.
©XX
are agreed that thi© tax ©hould b© repeal©d, and ©al/ th© questiea
of timing remala©»
S
bar© talked prinolpally © £>u©ia©©© tax©©, botti beeaas© th«y
rais© th© leeuee which oonoern Ibi© indias©© *o*t immediate!/ and
kv
b«cause th©y ©eastitut© »u«h a cruciai part ©f thè postwar tax program,
»ut It goos without sa/lng that ©é^ / ara by a© moaas th© whole probi«»,
fh© rate» aad exemptione ©f th© individuai laoom© tax and th» ©ompo©ition and rat©« ©f ©or excis© tax©©, for exampl©, play an ©quali/
importan! rol© iu th© pootwar tax piotar».
fh©y affect th© ©ntir©
popula tion aad hav© a direct impact on consumer purohaoing power aad
market© •
f© ©trike th© pr©p©r balan©« b©tw©«n th© varioae
tax©« requlr©© that ©aoh b© apprai«©d, not in
a
vaoutaa,
typ©«
but
a©
of
aa
integrai part ©f an ©varali tax ©/stai.
Undarlylax oonal&eratlone la tax planning
In approaching th© taak ©f reduolng and adjusting tax©» fer th©
pootwar p©rlod, o©rtaln broad ©on©id©ration© appropriat©!/ control
most of th© ba©i© decisione.
fhe*e con©ideration© ar# w U - k w t m ,
but thè/ bear r e p e n t i © » la thè preeent context.
** I k "•
and tho rainvostmant of aarniags a arras aa tha principal aethod
ol financing tha grawth of n«v, axpanding enterprises.
Any attempt
te alialnata doubla tax&tlon tima ralsaa tha raxing problem af what
tax traataant ahoold ha appllad ta retained earnings.
■
ther sajar tax preblem la that af darising a a chama af ta»*
ing saall bixaineas vhich will help preserve a growlng, competitiva
aconoiay. tha objactive of aaoothing tha tax road for aaall busiaeeaaa
to
yo^au
g
jK an i a
arn.
la widaly aeeaptad, bttt agata tha precia a mathod af aohiarlng thia
A
and ta-rather alusiva , yít tiw presant tima, ther# la a aaall dagraa
af pragraasloa la tha oorporate notaa^ tax and/urlax up ta
af ineo me.
,000
Among tha qaestlon» whioh nator^Hgarlaa la considering
tha tax prohlaaa of aaall basinaaa a r e / should thls^rogreasion go^
highar? should tt ha staspar? an^ihoald tha startimg rata ha loí
A* aapaat af hoaiaaat taxatlaa whioh la aat conoeraed with tax
rataa hat has fully aa great an lmpaot on harinosa incentives la that
af areraging ineome for tax parparas*
fha adrara# offset af taxaa
aa tha wllliagaaaa to lncur risks can ha matarlally redueed by alia»*
Ing businesaes te affaat their nat Iaaaaa la oaa year agalnst their
aat preflta la athar years.
has many proponents.
A 5- or 6~year carry-forward af aat Iaaaaa
fiaduetion af tha risks of harinas# by mera
a
liberal losa offsets may ha/aara effeotira aaaaa af stlaaiatiag boalaaaa lnvostaant thaa a dacroasa la tha rata of tax aa profita«
Moraorer, aapaoially at hlgh rataa af taxativa.» bus iaaaaa« with wldaly
fluetuaiing incomes mast ha giran tha prataetlaa af lata carry-forwards
ar carry-backs, or beth, if taxaa lntaa&sd aa larlaa an income are aat
ta aat lato capital
-
away
13
-
froia thè stocfcholdere la thè far» of higher paia«# la consonare
or latrar w&ges to araployees, doublé iaxation lo «oro apparont than.
reai.
This question of whe, la thè laot analysio, boaro thè buràea
of thè oorporatloa income tax carmot he ignored la grappila# wlth thè
doublé taxatien probità.
Saneremo alternative methods et treating corporate incorno bare
been augge»! ed.
tanto.
Sesie would virtually abolloh thè preeent oorporatien
Othere propose tea eredito cader thè individuai incoine tea
wlth reapeet to dividendo receìved.
Stili ethere would subtraet
from thè corporation* o taxable in come thè assonni ef dividend paymenta
¡sede te oiochholdar» •
fhese àifferent approecheo reflect more than
merely thè peroonal idiosyncrasies ef their preponiate,
fhegr fleti
frea sharp differente! ef eplnlen regardlng three basic questiono»
namely, (1) whether or not it lo prepe* and deolrablo to tea incorno
te corporation# et eli, (2) whe boere thè finel barde» of thè corporate
tea» end (3 ) how difficult it would be te edalnloter end ooaply wlth
thè various proposed aelutlono.
|f corporation» could always be oounted on te dietriste all ef
their incorna, thè sane final tax reoult could be achieved by aay eae
ef oeveràl nethodo.
it would be Ì8a&to*lal, fer example, whether we
oimply abolì shed thè eorperatlen tax, or eonverted it iute e wlthholding tea, or allowed dividendo, libo interest, te bo deducted In
computing
corporate taxable incorno,
lui In fast, corpo rat ione d© net«
and eanaet be expcctcd t^ pey eut eli ef their eamingo.
fhe oettiag
asìde ef reoerveo fer eontlngeneiee has long beta e reeegaloed procedure,
» %%k **
mm m m
io Comari la «amorolo lama* (jf I »»»* *»"* pool- *
r:at-l~»fe«aa Hfco
Àm\m ft-f feti»
dolerli* aof Uullljr II*» iiratroW^lfe
«A~ak«dfc* OnfeJOOltT— I M
iuhV i n
o lart-uuii io
»Wlf JMWà
w^tii h ® w s *» »ttìi
^né Infero Ha» fola*
£) fe# laiero*tod in o» m cm a A
ÉÌ«r^molvt*iftwii> ^ l e » ®»3g^
feloni
-jOf »©«• of llepre1
:w
i ¡¡r }
^
M U
w m
Ì ^ jl "Val g o ffra .£*«. ^ o 4/>W«l J
AMh S t e p n A «oao ei li» oo&oièoraoàeeé
p-fe%t>yps lai*
fsm oor snoi^r epoforoaooo aa£ oolosoiro l l R W
eorieia
M
l ****
o««»«# afe la *&fok pipilo»» aro *Pf*®®***
la tfeo alai» ef Hai taaHHrlfeV» fOllto* fmfe&llp ttt «a|aa ooooot» rf
feiflaMitan io wholhor *»*> »uà wì»oa *** Hai' •*•••> iji'flfIHl
olH Hi
Booiooooa*»^laro goisomlljr oxprooooi H » loliof Hai Hiar
;k é lino atHi IH» Hai afe a «aatimiiNi patinar «aeooro* 1*
thi*
«ma aar » * » o m o 1 «
* « « * « * m *m *% ** w 0 m m m . m
«
H o *«# «a» »dopiti ooiol? **
« * * • ** •*
** m
la tta li» » lo «ontlo»* I I afte» aaar p r o fili ilfe*fitfl&*
fK* #o*o»llo4 ¿osila t o t t i » af corporali«» éiriioaio lo aaoilor
«ftjor codoni of l**par*r* olio oro loakla« *1 Ilo HMfefe «f H* poolw
H a «Oroetor * àm fm 1m m t I I I» a la ta ti H o t H o im o o ltl« * a f
oao I n aa Hfe corporato Isooiao mai «»»Hot Ina oa Ho iiriioaio
roeoiroi Hr H o *t»«H»14»r rosolio la »»fair ¿»»telo ta*a*loa.
fUt «amato, «f ooaf*** Hot fi» otaoHeliar Ha** Hfe U H *
of il* oorpomllea lama» lo* ao eoli ao of H» la* o» IH# iMfeaai».
ffe tfeo «xtoat
limi
m i prozio». M
Ifeia afeaafefellfefe io
eorro«lt éoafelo laaalloa lo a
Hi H» «rlool tt»l ioo oopporolloa H * lo ahifted
-U
Let me hasten te add that although thè direction ef tax rate« will
cl car ly he downward, how far denn they vili ge le not yet apparent.
However, asy real ist le appraisal ef thè federal Government* t postear
■ans, te huldere ef vas "bende, aut te ai tissasleer that réductions vili he far lese thon ani#
‘evenne
requlrementa almost univereally m a three and four time* as hl^h as
our prever federal taz yield.
lf ve are te a reíd a large aad chronic
federad deficit, ve vili have te retala a streng aad prò due tire taz
system after thè
war,
fautes can aad vili he re&ueed, hot thè réductions
vili haré te he selectiva aad vili heve te he nade vith aa eye te maintalalag a high leve! of business activlty and employaient•
thè limited
scope ef possible taz rédaction* mah** lt all thè nere important that
eVery réduction he carefully geared late a taz pregran designad te strengthea
thè pentvar economy.
questions ef thè level aad shape ef tazee te acne are receiviag
thè foli attention ef thè Treasury aad ths Joint Committee taz staffe,
fhs level ef pestvar taxes will, sf course, dépend oa thè velane ef
8 e veranea! expendítoree and en ehaaglag economic conditions.
With
thè final revenue geai unkaova, study aad planning as te taz* levili
seist proceed in terna ef alternatives —
alternative rats schedule*,
exemptions, and thè ilke ~~ te meet the varíeos situations which nsy
dsvelop,
On ths other hand, pas! expérience in taxation previde*
a nomber ef guide peste as to ths structure of future taxes.
Henee,
advanee planning as to the kinds ef tazee sulted te car pestvar need*
- 10
limited production.
Furtherraore, tax reductio»« et thi» time migli*
weaken other anti-inflationary control»,
*1*.
$h* armed force« aro « U H
ealled npon *0 endare pereonal and
economie hardshìps.H
We are etili eagaged in a bitter and costly m r vith Japaa«
federai
expendi tare« are continui»« at levale »aver thought poeelble bifore thè m r.
A /larg^ìieotor ef ©ur eoonoay le etili deveted te production for ver imetead
1
y
2
A
of turni ng eut thè «onde and «ervicee norma!ly consamed in pecco*
4 .
a* ioni!
ae theee conditioae prevali, 1 bellore it le geuemlly aoeepted that ne
program of tax reductio» coald he undertaken vi thout riekiag eerieue infinti«»
faii endangering »oralo on hoth thè homo front and thè ver front*
Batic prohleae of poetwar taxation
On thè principit ef firet thin«e firet, 1 bave thae far heen àie«i«aing
thè interi» perlod, ite tax probi««, and thè p r o p e s e fer eolving thè»,
But theee propeeale are recognlzeà by all coaceraed ae only thè epening ehapt#*
ef poetwar taxation.
fhe batic problemi cf tax rcvieicn and tex rcductioa
fer thè poetvar period «\ill remala.
Tou vili noto that I braoket thè probi««
ef revieion of thè tax etructure with thè probi«« of tax rodaotion*
1 am
euro you bave alee notod that all of thè poetvar tax piane thae f ar advanced
by privato «rompe, le. «T, thè *win Cititi Plen, thè itanl-Seane Pian, thè
Cornaitteo for ¿conomio Developmeat Pian, and «io CIO H a ,
Har* oouplad
struoturai oliando« la thè tax ajrataa with downvard rerleloa of tax rate*,
fax reSuetloa i t f T M a* aa affasti™ luhrloaat for tax raadjuataaat.
Si.
goal towarda whloh peopl* hoth inaids aad outaid* tfc* Oorernaant ara aorkiii*
la thns aot oaly lovar taxas, fcut hattar taxaa.
It has been pointed out that the recommendations of the Joint
Committee do not encompass any reduction in tax rates. Moreover,
the Administration ha3 taken the position that taxes should not he
lowered until the end of the war with Japan. There are strong grounds
for this position. The Joint Committee, in explaining why they do
not recommend that existing tax rates he reduced at the present time,
make the following statement in their report*
j
' Hl* Federal expenditures can he expected to remain at a high
level after victory in Europe, and thus the need for revenue will
not he greatly lessened. With the war continuing on one front,
it has been e stimated that the Federal Government will spend for war
(alon^ at the annual rate of about
$70
billions.
»2. It appears unlikely that there will he any serious general
unemployment during the period of the Pacific war* This period can
he expected to he one of reasonably full employment, since the pentup demand for goods and services is expected to offset the anticipated
cut-hack in war production. Such unemployment as may exist will largely
he caused by unavoidable delays in the reconversion of plants to peaces
time production.
It is likely to he limited to a few areas in which
large cut—hacks in war production will he made. General tax reductions
could do little to help these( isolatedjkreas.
”3 . Inflation will continue to he a danger during the period of
the Pacific war. Tax reductions at this time might he an important
factor in starting a runaway inflation, since they might increase the
demand for civilian goods and services which is already in excess of
emergency facilities certified as necessary for national defense may be
amortized over a 5-year period*
But if the emergency ends before such a
facility has been fully amortized* the taxpayer may elect to have the
amortization deductions recomputed on the basis of the shorter amortization
period.
Shortening the period gives rise to tax refunds.
In the normal
course of audit and administration, such refunds would be spread over many
months, with a little being paid in 19 ^ 6 and the bulk being paid during
the years 19^7 to 1950*
rOR R.
fend*:
Adoption of the Committee proposal would speed
up these refunds arising from recomputed amortization to such an extent
that an estimated $1.7 billion of overpayments of tax for the years 1 9 4 1
to 1 9 ^5 , inclusive, would be repaid in 19 ^ 5 and 19 4 6 .
As stated, this interim program for the period between VE-Day and VJ-Bay
will not for the most part reduce ultimate tax liabilities.
But it will
materially strengthen the cash and working capital position of businesses by
FedftFJ
nxchai
.Serie
Ition 1
brill 1
■Limit
land <*
[that «
yamta:
pe&re:
1
i
notes
or he:
the 0:
at th<
iamoun
tions
'
1754/
speedier return of moneys due them under wartime tax laws.
!Phe Committee
•
felt that to defer such settlements might jeopardize chances of sustaining
a high level of business activity and employment during the difficult tran
sition years just ahead.
The program would seem to be noncontroversial.
It is to be hoped that
the Congress will find it practicable to enact it speedily.
If this is done,
I believe that businessmen will go ahead with their production schedules
and plans for the future, reassured that their special problems will receive
every consideration consistent with the country1s needs.
1
1
t
TKEASUKI DEPARTMENT
Washington
boa BSJ5ASE, MORNING SW SPA W R S,
Kenday, May 2 1 , 1945«___________
on
Press Service
c / l C - **
Secretary of the Treasury Morgenthau today announced an offering! through the
federal Reserve Banks, of 0.90 percent Treasury Botes of Series 0-1946, open on an
exchange basis to holders of 7/o percent Treasury Certificates of Indebtedness of
Series C-1945, Maturing Jim* 1, 1945, and 1-1/2 percent Bose Owners* Loan Corpora
tion Bonds of Series 11-1945-47, sailed for redemption on June 1, 1945* Exchanges
kill be made par for par, in amounts or Multiples of $1 ,0 0 0 . The offering is
limited to the amount of Maturing certificates and called bonds tendered in exchange,
and cash subscriptions will not be received.
The notes now offered will be dated June 1, 1945, and Mill bear interest from
that date at the rate of 0 .9 0 percent per annun, payable on a semiannual basis on
January 1 and July 1, 1946. They Mill mature July 1, 1946. They Mill be issued in
(bearer form only, in denominations of $1 ,0 0 0 , $5 ,0 0 0 , $1 0 ,00 0 , $10 0 ,0 0 0 and $ 1 ,0 0 0 ,0 0 0 .
Pursuant to the provisions of the Public Debt Act of 1941, interest upon the
totes now offered shall not have any exertion* as such, under Federal tax acts now
or hereafter enacted. The full provisions relating to taxability are set forth in
the official circular released today.
Subscriptions will be received at the Federal Reserve Banks and Branches, and
■Pay At the Treasury Departasnt, Washington, and should bs accompanied by a like face
sre
amount of the maturing certificates or called bonds.
tions, all subscriptions will bs allotted in full.
Subject to the usual reserva
There are now outstanding $4,770,046,000 of the Series 0-1945 certificates and
1754,904,OCX) of the Borne Owners * Loan Corporation Bonds of Series 11-1945-47.
The text of the official circular follows:
- 7The fourth recommendation would accelerate the refunds resulting
from carrybacks of net operating losses and unused excess-profits credit,
normally, these refunds would be payable over an indefinite period from
19^7 to 195°*
But this may not be soon enough.
After the cut-back of
war production, many corporations face falling incomes or extraordinary
expenditures, or both.
Their incomes may shrink below the level of normal
profits or even turn into losses.
At the same time, many corporations
in these circumstances may have tax liabilities for the preceding year
hanging over them*
In extreme cases, their financial solvency might be
imperiled, while others would hesitate to go forward boldly with their
plans for reconversion*
Under the Committee program, taxpayers anticipating
carryback refunds arising out of current year operations would be permitted
to postpone payment of a corresponding amount of their taxes currently
due on prior year income. ^ Tims the benefit of the carrybacks would accrue
toJbhenTalmost immediately.
Refunds with respect to the years 19^3, 19^fU
and I9 U5 would be made available during I9 U6 and 191 *7 .
In addition to grantinj
this privilege of deferring payment of taxes currently due, the Committee
program provides for speedier settlement and payment of refund claims filed
by taxpayers at the close of the taxable year.
It has been estimated
that the refunds resulting from losses and unused credits for 19 ^ 9 aT>* I9 MS
will amount to perhaps $1 billion.
The fifth and final recommendation of the Committee is to speed up the
refunds which result from recomputing amortization/1 Unde?present8 tax law,
for the interim period, this relief to small corporations is the only one
involving any ultimate revenue loss. Even here, the net loss will he only
about
$160
million annually, or less than 2 percent of total Federal corpo
rate taxes.
The other four recommendations for the interim period are designed to
speed up the payment of certain tax refunds and credits to which businesses
are entitled under existing tax laws. They would make available more promptly
cash which would in any event ultimately have to be paid out by the Government,
Two recommendations deal with the postwar credit under the excess-profits
tax. Tou will recall that 10 percent of the excess-profits tax is in the form
of a postwar credit to be returned to the taxpayer from two to six years
after hostilities cease, the length of time depending upon the year for which
bonds evidencing this credit were issued. The bonds issued for 19^2 are
estimated to run to $U80 million and those for I9 H3 to $320 million, a total
of about $1.3 billion for the two years. The Committee proposes that the
maturity date of these bonds be advanced to January 1, 19^6, and that cash
payments would be substituted for bonds which had been certified but not
yet issued with respect to these two years. It is estimated that postwar
credit bonds applicable to
19 *&
liabilities will total about $830 million,
and to 19^ liabilities, about $710 million. Under the Committee program,
these postwar credits would be taken currently in the form of reduced tax
payments. The effect would be to lower the gross excess-profits tax rate
of 95 percent to a net rate of 8
percent after postwar credit.
- 5It has come as a surprise to some observers that, after several years
of substantial war profits, there should be official concern over the cash
business,
position of business in the period just ahead. It is true that/taken as a
whole, appears to have enough cash and working capital to finance recon
version and to carry on into peacetime production, There are firms, how
ever, many of them small businesses, which are not in this fortunate position.
Some of them, because of the termination of war contracts and the extrsuordinary expenses and adjustments involved in reconverting to peacetime
production, will experience financial difficulties and at least temporary
shortages of cash and working capital. The program which the Joint
first
Committee has outlined in its/report is designed primarily to aid recon
version by easing the financial problems of these firms.
The recommendations involve a five-point program, First, the
specific exemption for the excess-profits tax, which was raised from $5»000
to $10,000 in
19 ^3 , would
be raised to $25,000 for
19 *
t6
and subsequent years.
This would relieve 12,000 small corporations from the burden of the excessprofits tax, leaving only^/^^^rger corporations still subject to this
tax. Small corporations have found the excess-profits tax to be particularly
burdensome, and the Committee felt it advisable to lift this burden during
the critical reconversion years and thereby to give small business every
opportunity to reestablish itself. Of the several recommendations made
-Ik on Internal Revenue Taxation for Postwar Taxation*
Its resolution called
on the Joint Committee staff and the Treasury tax staff to work as a unit
on the study of postwar tax problems and to report their results and sug
gestions to the Committee»
/
The resolution of the Joint Committee was followed to the letter»
The tax staffs of the Committee and the Treasury undertook a series of
joint studies relating to various aspects of the transition and postwar tax
problem»
Representatives of business, labor, agriculture, and other groups,
many of whom had undertaken their own postwar tax studies, were invited to
Washington to present their views»
Out of the many off-the-record conferences
with these groups grew a body of information and suggestions that has proved
extremely valuable in our postwar tax work.
Together with the continuing
studies o f the Joint Committee and Treasury tax staffs, it has served as the
background for a number of confidential reports submitted to the Joint
Committee in meetings throughout this past winter»
The program for the interim period
The first formal results of this work are reflected in the report of
the Joint Committee made public a week ago, recommending certain tax changes
for the interim period between the end of the European war and the end of
the war with Japan»
These recommendations, while not calling for any re
duction in tax rates, will materially improve the cash position of business
in the reconversion period»
- 3 -
intended to serve as a postwar tax system, many of its provisions have
a postwar orientation«
Thus, to permit costs and losses which are
properly chargeable against wartime income to he deducted from such
income even though they are not incurred until after the end of the
war, the Revenue Act of 19*42 provided for a carryback of unused excessprofits credits and a carryback of business losses«
Furthermore, that
act set up a postwar credit or refund of 10 percent of the excess-profits
tax, to be evidenced by noninterest-bearing bonds payable at certain
designated times soon after the end of the war«
The postwar problems of the individual also loomed large in the
minds of the Treasury and the Congress, ©specially in the 19*43 legislation
providing for withholding and current payment of income taxes«
These
measures removed the specter of overhanging ts^c liabilities which would
otherwise plague millions of individuals when incomes shrink because of
cutbacks to peacetime production«
Congressional and Treasury tax studies
Moreover, postwar tax studies have long been under way by both
Congressional and Treasury tax staffs«
Although a good deal of spade
work had gone before, a resolution by the Congressional Joint Committee on
Internal Revenue Taxation on June 15, 19*4*4, marked the beginning of formal
work on tax adjustments for the transition and postwar periods«
The
Committee, adding a member from the minority party in each House to a c h i e v e
actual representation for both parties, constituted itself the Joint Com m ittee
-
of the cost of the war*
equitably*
2
-
They are helping to distribute that cost
They are reducing inflationary pressures growing out of
a war economy operating under forced draft«
cessive war profits«
program.
They axe capturing ex
They are supporting the price and wage stabilization
They continue today* as they have been, an essential part
of the war program*
We are still very much at war and must therefore continue to live
with war taxes*
But at the same time* we must plan our postwar taxes
or run the risk of being caught unprepared for the eventual return to
peace.
With the cutbacks/and shifts of production incident to the end
of hostilities in Europe* the first impact of transition is already
upon us*
We are faced with the immediate question of what, if anything,
should be done taxwise in the interim period between VE-Day and the
final end of the war.
J&cing us in the future but not requiring
immediate action are the basic problems of postwar taxationi
run changes in tax structure are desirable?
reduced?
How much can taxes be
How should the reductions be distributed?
should changes be made?
what long-
How soon should they begin?
In what order
How rapidly
should they proceed?
Even while focussing on war finance* the Treasury and the Congress
have continuaSy^ept the problems of postwar taxation in their field of
vision*
Although the wartime tax system will not serve and was never
TREASURY DEPARTMENT
(The following address by Roy Blough, Assistant to the Secretary
of the Treasury, before the Buffalo Chamber
^Commerce, Buffalo, ^
New York, is scheduled for delivery at H.QQ eimv ' Tfonhfxnjfar t U /T
Time»; Friday, May 18, 19*^5, and is for relfiaae ftlutfoafr, \ P W •
FEDERAL TAXATION IN THE POSTWAR PERIOD
It is an honor and a pleasure to be here in Buffalo today to speak
to you on problems of postwar taxation*
Taxation, like the weather, has
perennial interest if-only as a convenient excuse for the good old American
custom of casual grumbling*
But today the interest in taxation is greatly
intensified, and so it should be. Public interest in public matters ought
always to be commensurate with the importance of the problem*
Surely few
will deny that the adjustment of the wartime tax system to the transition
and postwar periods is a national problem of the very first magnitude*
Wartime taxes and postwar planning
Not so long ago, we were confronted with another and less inviting
tax problem— the expansion of the tax system to meet the vast needs
of war*
Some people forget at times that our present tax system is a
far cry from the one in effect before the war.
The gigantic increase
in Federal tax revenues from $5**4- billion in the fiscal year 19*40 to
$Ij4.1 billion in the fiscal year 1 9 *& reflects, along with a rising
national income, the great changes'that were made in converting a pre
war into a wartime tax system*
Those changes were made not in one fell
swoop, but in stages to which the expanding war economy could adjust
without endangering its stability and productivity.
Our wartime taxes
are doing much more than financing a large proportion— currently almost half--
The following address by Hoy Blough, Assistant to
the Secretary of the Treasury, before, the Buffalo
Chamber of Commerce, Buffalo, Hew York, is scheduled
for delivery at 1$00 PM., EWT, Friday, May 18, 1945,
and is for release at that time).
v
TREASURY DEPARTMENT
Washington
(The following address by Roy Blough,.Assistant to
the Secretary of the Treasury, before the Buffalo
Chamber of Commerce, Buffalo, New York, is scheduled
for delivery at 1:00 PM, EWT, Friday, Fay 18, 1945,
anA is for release at that time)«""
FEDERAL TAXATION IN THE POSTWAR PERIOD
It is an honor and a pleasure to be here in Buffalo today
to speak to you on problems of postwar taxation.
Taxation,
like the weather, has perennial interest if only as a conven
ient excuse for the good old American custom of casual grum
bling.
But today the interest in taxation is greatly inten
sified, and so it should be. Public interest in public
matters ought always to be commensurate with the importance
of the problem.
Surely few will deny that the adjustment
of the wartime tax system to the transition a‘nd postwar
periods is a national problem of the very first magnitude.
Wartime taxes and postwar planning
Not so long ago, we were confronted with another and
less inviting tax. problem--the expansion of the. tax system to
meet the vast needs of war.
Some people forget at times that
our present tax system is a far cry from the one in effect
before the war. The gigantic increase in Federal tax revenues
from $ 5 ,400,000,000 in the fiscal year .1940 to $44,100,000,000
in the fiscal year 1944 reflects, along with a rising national
income, the great changes that were made in converting a pre
war into a wartime tax system. Those changes were made not
in one fell swoop, but in stages to which the expanding war
economy could adjust without endangering its stability and
productivity.
Our wartime taxes are doing much more than
financing a large proportion--currently almost half— of the
cost of the war.
They are helping to distribute that cost
equitably.
They are reducing inflationary pressures growing
out of a war economy operating under forced draft, ^ They are
capturing excessive war profits.
They are supporting the
price and wage stabilization program.
They continue today,
as they have been, an essential part of the war program.
We are still very
tinue to live with war
plan our postwar taxes
pared for the eventual
46-23
much at war and must therefore con
taxes.
But at the same time, we must
or run the risk of being caught unpre
return to peace. With the cutbacks
2
and shifts cf production incident to the end of hostilities 'in
Europe, the first impact of transition is already upon us, Me
are faced with the immediate question of what, if anything,
should be done taxi-vise in the interim period between YE-Day
and the final end of the-.war. facing us in the future but
not requiring immediate action are the basic problems of post
war taxation:
what long-run changes in tax 'structure-are
desirable? How much caff taxes be reduced? How should the
reductions be distributed?
In what order should changes be
made? How, soon should they begin? How rapidly should they
proceed?
Even while focussing on war finance, the treasury and the
Congress have continuous 15^ kept the problems of postwar .taxa
tion in their field of vision.
Although the wartime tax
system will not serve and was never intended to serve as a
postwar tax system, many of its provisions have a postwar
orientation.
Thus, to permit costs and losses which are prop
erly chargeable against wartime income to be deducted from such
income even though they are not incurred until after the end of
the war, the Revenue Act of 1942 provided for a carryback of
unused excess-profits credits and a carryback of business
losses.
Furthermore, that act set up a postwar credit or re
fund of 3.0 percent of the excess-profits tax, to be evidenced
by noninterest-bearing bonds payable at certain designated
times soon after the end of the war*
The postwar problems of the individual also loomed large
in the minds of the Treasury and the Congress, especially in
the 1943 legislation providing for withholding and current
payment of income taxes.
These measures removed the specter
of overhanging tax liabilities which would otherwise plague
millions of individuals when incomes shrink because of cut
backs' to peacetime production.
Congressional and Treasury tax studies
Moreover, postwar tax studies have long been under way
by both Congressional and Treasury tax staffs. Although a good
deal of spade work had gone before, a resolution by the Con
gressional Joint Committee on Internal Revenue Taxation on
June 15, 1944, marked the beginning of formal work on tax
adjustments for the transition and postwar periods.
The
Committee, adding a member from the minority party in eaoh
House to achieve equal representation for both parties, 'con
stituted itself the Joint Committee on Internal Revenue Taxa
tion for Postwar Taxation*
Its resolution called on the Joint
Committee staff and the Treasury tax staff to work as a unit
on the study of postwar tax problems and to report their
results and suggestions to the Committee,
- 3 The resolution of the Joint. Committee was followed to the
letter.
The tax staffs of the Committee and the Treasury
undertook a series of joint studies -relating to various aspects
of the transition and postwar tax problem. Representatives of
business, labor, agriculture, and other groups, many of whom
had undertaken their own postwar tax studies, were invited to
Washington to present their views.
Out of the many off-therecord, conferences with these groups' grew a body of informa
tion and suggestions that has proved extremely valuable in our
postwar tax work.
Together with the continuing studies of the
Joint Committee and Treasury tax staffs-, it has served as the
background for a number of confidential reports submitted to
the Joint Committee in meetings throughput this past winter.
The program for the interim period
The first formal results of this work are reflected in
the report of the Joint Committee made public a week ago,
recommending certain tax changes for the interim period between
the end o f ‘the European war and the end of the war with Japan.
.These recommendations, while not calling for any reduction in
.tax rates, will materially improve the cash position of busi
ness in the reconversion period.
It has corne as a surprise to some observers that, after
several years of substantial war profits, there should be
official concern over the'cash position of business in the
period just ahead.
It is true that business, taken as a whole,
appears to have enough cash and working capital to finance'
reconversion and to carry on into peacetime production.
There
are firms, however, many of them small businesses, which are
not in this fortunate position.
Some of them, because of the
termination of war contracts and the extraordinary expenses
and adjustments involved in reconverting to peacetime produc
tion, will experience financial difficulties and at least
temporary shortages of cash and working capital.
The program
which the Joint Committee has outlined in its first report is
designed primarily to aid reconversion by easing the financial
problems of these firms.
five-point program. Eirst,
The recommendations involve
the specific x eruption for the excess-prof its tax, which was
raised from $>5,000 to $10,000 in 1943, iould be raised to
$¿5,00.0 for 1946 and subsequent years.
This would relieve
12,000 small corporations from the burden of the excess-profits
tax, leaving only 19,000 larger corporations still subject to
this tax.
Small corporations have found the excess-profits
tax to be particularly burdensome, and the Committee felt it
advisable to lift this burden during the critical reconversion
years and thereby to give small business every opportunity to
4
reestablish itself.
Of the several recommendations made for
the interim period,' this relief to small corporations is the
only one involving any ultimate revenue loss*
Sven here, the
net loss will be only about $16 0 ,000,000 annually, or less
than 2 percent of total Federal corporate taxes.
The other four recommendations for the interim period are
designed to speed up the payment of certain tax refunds and
credits to which businesses are entitled under existing tax
laws. They would make available more promptly cash which
would in any event ultimately have to be paid out by the
Government.
Two recommendations deal with the postwar credit under the
excess-profits tax.
You will recall that 10 percent of the
excess-profits tax is in the form of a postwar credit to be
returned to the taxpayer from two to six years after hostil
ities cease, the length of time depending upon the year for
which bonds evidencing this credit were issued.
The bonds
issued for 1942 are estimated to run to $ 480,000,000 and those
for 1943 to $820,000,000, a total of about $1 ,300,000,000 for
the two years.
The Committee proposes that the maturity date
of these bonds be advanced to January 1, 1946, and that cash
payments would be substituted for bonds which had been certi
fied but not yet.issued with respect to these two years;
It
is estimated that postwar credit bonds applicable to 1944
liabilities will total about $ 830,000,0 0 0 , and to 1945 liabil
ities, about $710,000,000.
Und.er the Committee program, these
postwar credits would be taken currently in the form of reduced
tax payments.
The effect, would be to lower the gross excessprofits tax rate of 95 percent to a net rate of 85i percent
after postwar credit.
The fourth recommendation would accelerate the refunds
resulting from carrybacks of net operating losses and unused
excess-profits credit.
Normally, these refunds would be
payable over an indefinite period from 1947 to 1 9 5 0 . But this
may not be soon enough.
After the cut-back of war production,
many corporations face falling incomes or extraordinary expendi
tures, or both.
Their incomes may shrink below the level of
normal profits or even turn into losses.
At the same time,
many corporations in these circumstances may have tax liabil
ities for the preceding year hanging over them.
In extreme
cases, their financial solvency might.be imperiled, while
others would hesitate to go forward boldly with their plans
for reconversion.
Under the Committee program, taxpayers
anticipating carryback refunds arising out of current year
operations would be permitted to postpone payment of a corre
sponding amount of their taxes currently due on prior year
income• Thus the benefit of the carrybacks would accrue to
- 5 -
them almost immediately. Refunds with respect to the years
1943,' 1944 and 1945 would be made available during 1946 and •
1947,
In addition to granting this privilege of deferring_
payment of taxes currently due, the Committee program provides
for speedier settlement and payment of refund claims filed by •
taxpayers at the close of the taxable year.
It has been esti
mated that the refunds resulting from losses and unused credits
for 1945 and 1946 will amount to perhaps $1 ,00 0 ,00 0 ,0 0 0 .
' The fifth and final recommendation of the Committee ^is to
speed up the refunds which result from recomputing amortization
on war facilities.
Under present tax law, emergency facilities
certified as necessary for national defense'may be amortized
over a 5-year period.
But if the emergency ends before such a
facility has been fully amortized, the taxpayer may elect to
have the amortization deductions recomputed on the basis of
the shorter amortization period.
Shortening the period gives^
rise to tax refunds.
In the normal course of audit and adminis
tration, such.refunds would be spread over many months, With a
little being paid in 1946 and the bulk being paid during the
years 1 9 4 7 t o ’1950*
Adoption of the Committee proposal.vyould
speed up these refunds arising from recomputed amortization to
such an extent that an estimated $1 ,70 0 ,000,,000 of overpayments
of tax for the years 1941 to 19 4 5 , inclusive,;would be repaid
in 1945 and 1 9 4 6 .
'
As stated, this interim program for the period between
VE-Day and VJ-Day will not for the most part reduce ultimate
tax liabilities.
But it will materially strengthen the cash
and working capital position of businesses by speedier return
of moneys due them under wartime tax laws.
The Committee felt
that to defer such settlements might jeopardize chances of
sustaining a high level of business activity and employment
during the difficult transition years just ahead.
The program would seem to be noneontroversial. It is to
bfe hoped that the Congress will find it practicable to enact it.
speedily.
If this is done, I believe that ousinessmen will go
ahead with their production schedules and plans for the future,
reassured that their special problems will receive every con
sideration consistent with the country1s needs.
It has been pointed out that the recommendations of the
Joint Committee do not encompass any reduction in tax rates.
Moreover, the Administration has taken the position that taxes
should not be lowered until the end of the war with Japan.
There are strong grounds for this position.
The Joint Com
mittee, in explaining why they do not recommend that existing
tax rates be reduced at the present time, make the following
statement in their report;
-
6
-
nl. Federal expenditures can be expected to remain at a
high level after victory in Europe, and thus the need for
revenue will not be greatly lessened. With t h e “war continuing
on one front, it has been estimated that the Federal Government
will spend for war alone at the annual rate of about
1 7 0 ,000,000,0 0 0 .
”2,' It appears unlikely that there will be any serious
general unemployment during the period of the Pacific war* This
period can be expected to be one of reasonably full employment,
since the pent-up demand for goods and services is expected to
offset the anticipated cut-back in war production.
Such
unemployment as may exist will largely be caused by unavoidable
delays in the reconversion of plants to peacetime production.
It is' likely to be limited to a few areas in which large cutblacks in war production will be made.
General tax reductions
could do little to help these isolated areas.
."3,
Inflation will continue to be a danger during the
period of the Pacific war. Tax reductions at this time might
be an important factor in starting a runaway inflation, since
they might increase the demand for civilian goods and services
which is already in excess of limited production. ^Furthermore,
tax reductions at this time might weaken other anti-inflationary
controls•
n4 . The armed forces are still called upon to endure
personal and economic hardships.'’
We are still engaged in a bitter and costly wrar with Japan.
Federal expenditures are continuing at levels never thought
possible before the war. A large: sector of our economy is
still devoted to production for war instead of turning out the
goods and services normally consumed in peace. As long as these
conditions prevail, X believe it is generally accepted^that no
program of tax reduction could be undertaken without risking
serious inflation and endangering morale' on both the home front
and the war front.
Basic problems of postwar taxation
On the principle of first things first, I have thus far
been discussing the interim period, its tax problems, and the
proposals, for solving them.
But these proposals are recognized
by.all concerned as only the opening chapter of postwar taxa
tion.
The basic problems of tax revision and tax.reduction for
the postwar period still remain.
You will note that I bracket
the problem of revision of the t a x ’structure with the problem
‘of tax reduction.
I am sure you have also noted that all of
the postwar tax plans thus far advanced by private groups,
-
T -
e. g., the Twin Cities Plan, the Ruml-Sonne Plan, the Committee
for Economie Development Plan, and the CIO Plan, have coupled
structural changes iri the tax system with downward revision of
tax rates.
Tax reduction serves as an effective lubricant for
tax readjustment.
The goal towards which people both inside
and outside the Government are working is thus not only lower
taxes, but better taxes.
.
let me hasten to add that although the direction of tax
rates will clearly be downward, how far down they will go is
not yet apparent.
However, any realistic appraisal of the
Federal Government’s postwar revenue requirements makes it
clear that reductions will be far less than many people have
allowed themselves to believe.
Estimates of these requirements
almost universally run three and four times as high as our pre
war Federal tax yield.
If we are to avoid a large and chronic
Federal deficit, we will have to retain a strong and productive
tax system after the war. , Taxes can and will be reduced, but
the reductions will have to be selective and will have to be
made with an eye to maintaining a high level of business
activity and employment.
The limited scope of possible tax
reductions makes it all the more important that every reduc
tion be carefully geared into a tax program designed to
strengthen the postwar economy.
Questions of the level and shape of taxes to come are
receiving the full attention of the Treasury and the Joint
Committee tax staffs. The level of postwar taxes will, of
course, depend on the volume of Government expenditures and
on changing economic conditions.
With the final revenue goal
unknown, study and planning as to tax levels must proceed in
terms of alternatives -- alternative rate schedules, exemp
tions, and the like -- to meet the various situations which
may develop.
On the.other hand, past experience in taxation
provides a number of guide posts as to the structure of future
taxes.
Hence, advance planning as to the kinds of taxes suited
to our postwar needs can more readily go forward in concrete
terms. You may be interested in an account of some of the
problems the tax staffs are studying and some of the con
siderations they are taking into account in their search for
solutions.
From our many conferences and extensive correspondence
with taxpayers, certain impressions emerge as to which prob
lems are uppermost in the minds of the taxpaying public.
Probably the major concern of businessmen is whether -- and
when -- the excess-profits tax will be repealed.
Businessmen
8
have generally expressed the belief that they could not live
with this tax as a continuing postwar measure.
In this con
nection, one may observe that the tax was adopted solely as
a tax on excessive war profits and that there is no evidence of
any intention to continue it after war profits disappear.
The so-called double taxation of corporation dividends is
another major concern of taxpayers who are looking at the shape
of the postwar tax structure.
As you know, it is claimed that
the imposition of one tax on the corporate income'and another
tax on the dividends received by the stockholder results in
unfair double taxation.
This assumes, of course, 'that the
stockholder bears, the final burden of the corporation income
tax as well as of the tax on the dividends.
To the extent that
this assumption is correct, double taxation is a real problem.
But to the extent that the corporation tax is shifted away from
the stockholders in the form of higher prices to consumers or
lower wages to employees, double taxation is more, apparent than
real. This question of .who, in the last analysis, bears the
burden of the corporation income tax cannot be ignored in
grappling with the double taxation problem.
Numerous alternative methods of treating corporate income
have been suggested.
Some would virtually abolish the present
corporation taxes.
Others propose tax credits under the indi
vidual income tax with respect to dividends received.
Still
others would subtract from the corporation’s taxable income
the amount of dividend, payments made to stockholders.
These
different approaches reflect more than merely the personal
idiosyncrasies of their proponents.
They'flow from sharp dif
ferences of opinion regarding three basic questions, namely,
(1 ) whether or not it is proper and desirable to tax income to
corporations at all, (2 ) who bears the final burden of the
corporate tax, and (3 ) how difficult it would be to administer
and comply with the various proposed solutions.
If corporations could always be counted on to distribute •
all of their income, the same final tax result could be
achieved by any one of several methods.
It would be immaterial,
for example, whether we simply abolished the corporation tax,
or converted it into a withholding tax, or allowed dividends,
like interest, to be deducted in computing corporate taxable
income.
But in fact, corporations do not, and cannot be
expected to pay out. all of their earnings.
The setting aside
of reserves for contingencies has long been a recognized pro
cedure, and the reinvestment of earnings serves as the princi
pal methof of financing the growth of new, expanding enter
prises.. Any attempt to eliminate double taxation thus raises
the vexing problem of what tax treatment should be applied
to retained earnings.
s
-
Another major tax problem is that of devising a scheme
of taxing small business which will, help preserve a growing,_
competitive'economy. 1T’he objective of smoothing the tax road
for small businesses is widely accepted, but^there is no gen
eral 'agreement on a precise method of achieving this end.
An asnect of business taxation which is not concerned with
tax rates but has fully as great an impact on business incen
tives is that of averaging income for tax purposes.
Ine adverse
effect of taxes on the willingness to incur risks can be mate
rially reduced by allowing businesses to offset their-net losses
in one year against their net profits in other years,
A,.p“ or
carry-forward of .net losses has many proponents.
Keduction Of the" risks of business by more liberal loss offsets may
be a more effective means of stimulating business investment
than a decrease in the rate of tax on profits.
Moreover,
especially at' high rates of taxation, businesses with widely
fluctuating incomes must be given the protection of loss carry
forwards or carry-backs, or both, if taxes intended as levies
on income are not to eat into capital.
With these complex questions in view, it is almost with
a sense of relief that one turns to the ce >ital stock tax and
declared-value excess-profits tax. For here is one tax, or
perhaps I should call it a dual tax, on which a^concensus can
truly be said to exist. All are agreed that this tax should
be repealed, and only the question of timing remains•
I have talked principally of business t a x e s , ,both because
they raise the issues "which concern this audience most imme
diately and because they constitute such a crucial part of the
postwar tax program.
But it goes without saying that they are
by no means the whole problem.
The rates and exemptions of -the
individual income tax and the composition and rates of our^
excise taxes, for example, play an equally important- role in
the postwar tax picture.
They affect the entire population
and have a direct impact on consumer purchasing power and
markets.
To strike the proper balance between the various
tj^pes of taxes requires that each be appraised, not in a
vacuum, but as an integral part of an overall tax system.
Underlying considerations in tax planning
fu approaching the task of reducing and adjusting taxes
for the postwar period, certain broad considerations appropriately control most of the basic decisions.
These con
siderations are well-known, but they bear repetition in the
present context.
E8
-
10
-
We have already noted that postwar tax levels.will need
to be.high to meet the revenue needs of Governmental The pri
mary concern in post-war tax planning is to raise the necessary
revenues\with.the minimum restrictive effect on.production and
employment.
Hi'gh levels of business investment and consumer
spending are required to ensure a healthy, full-employment
economy.
This consideration calls for apprai.sing the impact
of each tax or tax change upon business incentive on one hand
and consumer purchasing power on the other.
Although.the economic effects of taxation'are of first
importance, the demands of equity and,fairness must.at the same
time be satisfied.
Accordingly, the revenues needed.to .finance
Government should be raised according to the long-established
principle of ability to pay.
This principle underlies Federal
tax policy of the'pre-war ahd' wartime years and.remains the
standard'for the future.
Ease of administration and compliance is also a vital con
sideration in devising postwar taxes.
Simple and u n i f o r m laws
are the best bulwark against expensive administration and costly
and irritating compliance burdens.
Much progress has been made
in the direction of simplification, but much remains to be .done.
In attempting simplification, however, one is forcibly reminded
that the demands of equity -in the; tax system set a limit beyond
which simplification cannot go. ;Thus, one criterion of a welldesigned tax system; may clash with another, and the tax designer
is charged with the task of reconciling the two..
Stability in the postwar tax system is another widely
desired end.. But it is important to distinguish between sta
bility in structure and stability "in; r a t e s . The tax* system
should be responsive to changes in economic conditions.
Taxa
tion is an instrument designed to serve organized society.
If
it is to be of maximum service, it must be adapted to the
changing economic and social needs of that society.
-0O0-
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Monday, May 21, 194-5«______ _____
Press Service
No. A6-24
Secretary of the Treasury Morgenthau today announced an offering,
through the Federal Reserve Banks, of 0.90 percent Treasury Notes of
Series IKL9/+Ó, open on an exchange basis to holders of 7/8 percent Treasury
Certificates of Indebtedness of Series C-1945, maturing June 1, 1945, and
1-1/2 percent Home Owners’ Loan Corporation Bonds of Series M~1945-47,
called for redemption on June 1, 19.45* Exchanges will be made par for par,
in amounts or multiples of $1,000. The offering is limited to the amount
of maturing certificates and called bonds tendered in exchange, and cash
subscriptions will not be received.
The notes now offered will be dated'June 1, 1945, and will bear
interest from that date at the rate of 0*90 percent per annum, payable on
a semiannual basis on January 1 and July 1, 1946« They will mature
July 1, 1946. They will be issued in bearer font only, in denominations of
$1,000, $5,000, $10,000, $100,000 and $1,000,000.
Pursuant to the provisions of the Public Debt Act of 1941, interest
upon the notes no7/ offered shall not have any exemption, as ^such, ’under
Federal tax acts now or hereafter enacted. The full provisions relating
to taxability are set forth in the official circular released ooday.
Subscriptions will be received at the federal Reserve Banks arsì
Branches, and at the Treasury Department, Washington, and should be
accompanied by a- like fa.ce amount of the maturing certificates or called
bonds. Subject to the usual reservations, all subscriptions will be
allotted in full.
There are now outstanding $4,770,046,000 of the Series C-1945
certificates and $754,904,000 of the Home Owners’ loan Corporation Bonds of
Series M—1945~4/*
The text of the official circular follows?
UNITED STATES OF AMERICA
0.90 PERCENT TREASURY NOTES OF SERIES D-1946
Dated and bearing interest from June 1, 1945
Due July 1, 194o
Interest payable January 1 and July 1
TREASURY DEPARTMENT,
Office of the Secretary,
Washington, May 21, 1945«
1945
Department Circular No* 767
Fiscal Service .
Bureau of the Public Debt
I.
OFFERING OF NOTES
1. The Secretary of the Treasury, pursuant to the authority of the Second
Liberty Bond Act, as amended, invites subscriptions, at par, from the people of
the United States for notes of the United States, designated 0 ?90 percent
Treasury Notes of Series D-1946, in exchange for 7/S percent Treasury Certifi
cates of Indebtedness of Series C-1945, maturing June 1, 1945, or Home Owners’
Loan Corporation 1-1/2 percent Bonds of Series i>1945*47, called for redemption
on June 1, 1945*
II.
DESCRIPTION OF NOTES
1. The notes will be dated June 1, 1945, and will bear interest from that
date at the rate of 0.90 percent per annum, payable on a semiannual basis on
January 1 and July 1, 194-6* They will mature July 1, 1946, and will not be suoject to call for redemption prior to maturity.
2. The income derived from the notes shall be subject to all Federal taxes,
now or hereafter imposed. The notes shall be subject to estate, inheritance,
gift or other excise taxes, whether Federal or State, but shall be exempt from
all taxation now or hereafter imposed on th® principal or interest thereof by
any State, or any of the possessions of the United States, or oy any local tax
ing authority.
3» The notes will be acceptab3.e to secure oeposits of public moneys.
will not be acceptable in payment of taxes*
They
4* Bearer notes with interest coupons attached will be issued in denomina
tions of $1,000, $5,000,. $10,000, $100,000 and $1,000,000* The notes will not be
issued in registered form.
•
5*. The notes will be subject to the general regulations of the Treasury
Department, now or hereafter prescribed, governing United States notes.
2
-
III,
-
SUBSCHIPTION 'AND
1, Subscriptions will be received at the Federal Reserve Banks and Branches
and at the Treasury Department, Washington. Banking institutions generally may
submit subscriptions for account of customers, but only.the Federal Reserve Banks
and»the Treasury Department are authorized to act as official agencies. Others
than.banking institutions will not be permitted to enter subscriptions except for
their own account,
2, The Secretary of the Treasury reserves the right to reject any subscrip
tion, in whole or in part, and to close the books as to any or all subscriptions at
any time without notice; and any action he may take in these respects shall be final,
Subject to these reservations, all subscriptions will be allotted In full. Allots
ment notices will be sent out promptly upon allotment,
IV.
PAT:'CENT
1. Payment at par for notes allotted hereunder must be made on or before
June 1, 1945* or on later allotment, and may be made only in Treasury Certificates
of Indebtedness of Series C-1945* maturing June 1, 1945* or in Home Owners1 Loan
Corporation Bonds of Series M-X945**47* called for redemption on June 1, 1945*
which will be accepted at par, and should accompany the subscription.
V.
SURRENDER OF CALLED BOND'S
1. Coupon bonds.-Home Owners’ Loan Corporation 1-1/2 percent Bonds of Series
M-1945-47 in coupon form tendered in payment for notes offered hereunder should be
presented and surrendered with the subscription to a Federal Reserve Bank or
Branch or to the Treasurer of the United States, Washington, D. C, Coupons dated
December 1, 1945* and all coupons bearing subsequent dates should be attached to
such bonds when surrendered, and if any such coupons are missing, the subscription
must be accompanied by cash payment equal to the face amount of the missing
coupons. The bonds must be delivered at the expense and risk of the holder.
Facilities for transportation of bonds by registered mail insured may be arranged
between incorporated banks and trust companies and. the Federal Reserve Banks, and
holders may take advantage of such arrangements when available, utilizing such
incorporated banks and trust companies as their agents.
2. Registered bonds.-Home Owners’ Loan. Corporation 1-1/2 percent Bonds of
Series k-1945-4? in registered .form, tendered in payment for notes offered herennder should be assigned by the registered payees or assignees thereof to ’’The
Secretary of the Treasury for exchange for Treasury Notes of Series D-1946 to be
delivered to
, in accordance with the general regulations of
the Treasury Department governing assignments for transfer or exchange, and there
after should be presented and surrendered with the subscription to a Federal
Deserve Bank or Branch or to the Treasury Department, Division of Loans and Currency, Washington, D. C. The bonds must be delivered at the expense and risk of
the holdep,
VI.
GENERAL PROVISIONS
1. As fiscal agents'of the Uni.ted States, Federal Reserve Banks are author
ized and requested to receive subscriptions, to make allotments on the basis and
up to the amounts indicated by the Secretary of the Treasury to the Federal Re
serve Banks of the respective Districts, to issue allotment notices, to
receive payment for notes allotted, to make delivery of notes on full-paid
subscriptions allotted,.and. they may issue interim receipts pending delivery
of the definitive notes.
of the Treasury may at any time, or from time to time,
2,
prescribe supplemental or amendatory rules and regulations governing the offer
ing, which will be communicated promptly to the Federal Reserve Banks*
HENRY MOKGENTHAU, Jr.,
„
Secretary of the Treasury,
Page **
Comparison of principal items of assets and liabilities of national banks - Continued
(in thousands of dollars)
t
s
!
LIABILITIES
Deposits of individuals# partnerships and corporations:
Demand#
...... . *
Time..........................
Postal savings deposits...........
Deposits of U.S. Government........
Deposits of States and political
subdivisions......... ...........
Deposits of banks.................
Other deposits (certified and
cashiers9 checks# etc.)..........
Toted deposits................
Bills payable, rediscounts & other
liabilities for borrowed money.••
Other liabilities.................
Totftl li&uiliti6S t 6zcludifi§
capital accounts.............
CAPITAL ACCOUNTS
Capital stock:
Preferred stock................
Common stock..... ..............
Total........................
Surplus........... ........... .
Undivided profit s....... .
Reserves.... ....................
Toted surplus# profits and
reserves.....................
Toted capital accounts......
Total liabilities euad capital
accounts. ...•••......... •••••
Ratio of loans to toted deposits...
NOTE:
Minus sign denotes decrease.
Mar. 20,
I9 U5
f
e
s
:
»
#
s Apr. 1 3 ,
ï 19^
Dec. 3 0 ,
19 4 4
•Increase or decrease: increase or decrease
:since Dec. 3 0 , 19****: since Apr, 1 3 . 19 4 4
• Amount : Percent : Amount
: Percent
$38,385.841
1 3 . W t .7 0 1
5*152
7.609,516
$36.320,754
12,655,090
5.218
1 1 ,1 6 6 ,6 3 8
$3 3 .5 5 7 .0 6 9
1 0 ,4 9 4 ,7 9 7
$2 .0 6 5 ,0 8 7
7 8 9 ,6 1 1
5.69
6.24
5 .5 3 1
7 ,1 9 6 .1 3 3
—66
-3,557.122
—1 . 2 6
-31.85
$4,828,772
2 .9 4 9 .9 0 4
-379
**13,383
3 ,2 6 6 ,2 7 h
7 ,6 5 0 ,1 6 6
3 .O7 O .5 3 9
8,058,120
2 ,9 4 7 ,6 3 9
6 ,9 8 5 .5 7 9
195.735
-**07.95**
6.37
-5.06
664,587
10.81
9.91
s a , 563
7 1 .1 8 3 .2 1 3
852.578
72.128.937
6 2 3 .2 3 2
-3 1 .0 1 5
- 9 4 5 ,7 2 **
-3.64
-1.31
198,331
9,373,233
31.82
19.16
1 3 0 .389
**6 0 ,3 6 1
54,180
491,877
1*10.66
-6.4l
73.789
5 9 ,6 1 1
I3 O . 3 7
14.87
7 1 .7 7 3 .9 6 3
72.674.994
- 9 0 1 ,0 3 1
-1.24
9 .5 0 6 ,6 3 3
I5 . 2 7
-7.599
- 8 .2 6
1.15
.59
- 3 4 ,6 9 9
63.128
28,429
8 4 ,3 6 7
91,966
1,491,842 ____ 1 .4 7 4 .9 3 9
1,576,209
1.566,905
1 ,6 3 3 ,9 8 0
1,808,959
7 0 4 ,0 6 6
2 7 2 ,3 2 0
2 ,8 1 0 ,3 6 6
4,386.575
76,160,538
l**.8l£
-
3
6l,¿09,980
5 6 .6 OO
7 6 ,2 0 9
*100,750 ____ - 3 1 . 5 1 6
6 2 .2 6 7 .3 3 0
119,066
1 ,*>-28,71**
1.547.780
1 »628,622
1 6 ,9 0 3
9,304
6 3 2 ,0 0 0
6 1 3 ,1 7 4
2 5 .0 2 1
7 2 ,0 6 6
267.001
276,228
2 ,7 0 7 .9 6 0
4 ,2 7 4 ,8 6 5
7 6 ,9 4 9 .8 5 9
15.94*
3 1 8 .6 3 5
14.39
28.11
- 6 .8 5
>5.74
- 2 9 .I**
**.**2
1.84
12.61
l4.82
-1.41
1 .3 8
2 0 5 ,3 5 8
5.319
11.40
1.99
90,892
-3.908
2,518,02**
**,665,804
1 0 2 .4 0 6
1 1 1 ,7 1 0
3 .7 8
292.342
320 J 7 1
1 1 .6 1
2.61
6 6 ,3 3 3 .1 3 4
1 6 .10 *
-789.3a
-1.03
9.827,404
14.82
7.89
Page 3
Statement shoving comparison of principal items of assets and liabilities of active national hanks
as of March 20, 19^5» December 30* 19hh, and April 13 , 19hh
(in thousands of dollars)
:
Mar*. 20» { Dec* 3 0 *
1 9 U5
i 19**
Number of banks*•*«•••*•••••••........
5*025
ASSESS
Loans on real estate**•................ ) C$1 0 .5 6 6 ,99&
Other loans» including overdrafts*.•••)
1 0 .5 U h .9 9 6
Total loans*......... ............ .
U. S* Government securities:
Direct obligations*................. )
*1 3 .9 9 3 .8 5 6
Obligations fully guaranteed...... *)
Total D* S* securities...........
*1 3 .9 9 3 .8 5 6
Obligations of States and political
2 ,1 2 9 .0 3 6
subdivisions* ••**•....
1 .3 7 2 .6 6 0
Other bonds» notes and debentures*••••
Corporate stocks» including stocks
1 6 6 ,9 5 8
of federal Reserve Banks*«»»*******«
Total securities...... ......... .
Total loans and securities......
Currency and coin******..... •*•••****
Reserve with federal Reserve Banks* • *•
Balances with other banks*••••••.....
Total cash» balances with other
banks» including reserve bal
ances and cash items in process
of collection...... *........ ..
Other assets..... .....................
Total assets.•
...... •••••
67.6lt0.290
58,185,286
:
$
»
Apr* 1 3 »
1966
t Increase or decrease (Increase or* decrease
(since Bee* 3 0 . 19 6 6
(since Apr* 1 3 . 19 6 6
• Amount
: Percent : Amount
: Percent
5 ,ohs
-6
-•12
$9 ,9 5 0 ,6 8 6
-$9 5 2 ,8 0 6
-S .2 9
$5 9 6 ,5 1 0
5.97
9 .9 5 0 .6 8 6
-952.806
- 8 .2 9
5 9 6 ,5 1 0
5-97
36.732.082
515.067
1*18
7 .2 6 1 , 7 7 6
19.77
3 6 .7 3 2 .0 8 2
515.067
1.18
7.261,776
19.77
1 .3 6 5 .3 6 9
1,996.661
1,291.068
72.316
. 27.071
3.52
2*01
132.575
81,392
6 .6 6
6 .3 0
lUi,UU9
166,186
3.509
617.961
.-336.865
2*U8
-1,228
-*8U
18*61
16.10
8.73
5.031
($2 ,0 6 5 ,8 6 2 )
( 9 .6 5 1 ,9 6 0 )
11,697,802
(6 2 ,8 3 6 .3 2 0 )
(
662,669)
6 3 ,6 7 8 ,7 8 9
2,056,722
6 7 .0 2 2 ,3 2 9
60,165.777
50,llo,2o3 .
-23
9 7 0 .8 6 3
9 0 6 ,5 0 0
9.527.783
6 ,7 1 6 ,6 6 1
9,286,562
7 ,6 6 8 ,2 0 7
8 9 2 .9 3 2
8 ,1 6 9 , 1 5 2
6 .3 3 7 .6 2 5
6 6 ,3 6 3
2 6 3 ,2 6 1
- 7 3 3 .7 6 6
- 9 .S5
7.676.513
8.069.023
77.911
1.358,631
377.036
17,213.087
762,165
76,160,538
17.637,269
792,679
76.969.859
1 5 .3 9 9 .5 0 9
8 1 7 .3 6 2
6 6 .3 3 3 .1 3 6
-6 2 6 ,1 6 2
- 3 0 .3 1 6
-789,321
- 2 .6 0
-3.83
-I.O3
1,813.578
...-55.197
9 »8 2 7 »UoU
58,520.131
1-31
-.57
7.33
2*6 2
'
-*U6
1 6 .6 3
5.95
1 1 .7 8
-fe. 7 5
16.82
- 2 -
6 percent, mors than total loans reported outstanding by the hanks on April 1 3 ,
19*&.
The percentage of loans and discounts to total deposits on March 20, 19 ^5 ,
was lU.Sl in comparison with 15*9^ on December 3 0 , 1944, and 16,10 on April 1 3 ,
1944,
Investments in United States Government securities» direct and guaranteed,
of $44,000,000,000 showed an increase of $919*000,000 since December 1944, and
an increase of $7*262,000,000 since April 1944.
Other bonds, stocks, and
securities held of $3*646,000,000, which included obligations of States and
political subdivisions of $2,129*000,000, increased $103,000,000 since December,
and $213*000,000 since April last year.
Cash of $971,000,000, balances with other banks of $6 ,714,000,000, and
reserves with Federal Reserve banks of $9 ,9 2 6 ,0 0 0 ,0 0 0 , a total of $ 1 7 *2 1 3 *000 ,000 ,
showed a decrease of $424,000,000 since December, but an increase of $1,814,000,000
in the year.
The unimpaired capital stock of the banks on March 20, 19^9 was $1,97^*000,000
including $84,000,000 of preferred stock.
Surplus was $1,834,000,000, undivided
profits $704,000,000, and reserves $2 7 2 ,0 0 0 ,0 0 0 , or a total of $2,810,000,000.
This was an increase of $102,000,000 over the surplus, profits, and reserves on
December 30, 19*44» a n d a n increase of $292,000,000 over the aggregate of these
items in April last year.
TREASURY DEPARTMENT
Washington
FOR RELEASE» Morning Newspaper
Press Service
No*
(& • ^
The total assets of national banks on March 20 of this year amounted to
sore than
$76 »000,000,000»
Preston Delano*
it was announced today by Comptroller of the Currency
Returns from the call covered the 5*025 active national banks
in the United States and possessions*
The assets reported were $789*000,000 less
■_ ___p«
than the {Amountedjreported b y the 5*031 national banks on December
30*
19*&* the
date of the previous call, but an increase of nearly $10,000,000,000 over the
amount reported by the 5*0*N3 active banks on April 13» 19*&* the date of the
corresponding call a year ago*
The deposits of national banks on March 20, 19^5 were over $71*000,000,000,
a decrease since December 19*& of $9^6,000,000, but an increase since April 1 9 ^
of $9*373*000,000, or more than
15
percent*
While the demand deposits of
individuals, partnerships, and corporations increased $2,063*000,000 from Decern*
ber 19^4 to March of 19^9» amounting to $ 38>386,000,000 on the latter date, and
time deposits of individuals, partnerships, and corporations rose nearly
$800,000,000 in the period to $13 , ^ 5 ,000,000, the reduction of $ 3,573,000,000
V-
in War Loan deposits was the principal reason for the net decrease in aggregate
deposits between December and March*
Deposits of the United States Government,
including War Loan accounts, in March were $7,610,000,000 in comparison with
$11,167,000,000 on December 30, 19*&, and $7,196,000,000 on April
13 ,
19*&.
Deposits of States and political subdivisions were $3,266*000,000» deposits of
banks were $ 7 ,650,000,000, postal savings were $ 5*000,000; and certified and
cashiers* checks, cash letters of credit and travelers 1 cheeks outstanding were
$822,000,000.
Loans and discounts on March 20 this year were
8 percent
less than on
December 30* 1 9 ^ » and amounted to $10, 5^ 5 ,000,000, but were $595,000,000, or
- 3 -
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 41&, as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
- 2 -
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99»905 entered on a fixed~price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
May 2^.^1945
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts novf or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of ti e possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are original^ sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941, the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets,
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, May lé, 1945
The Secretary of the Treasury, by this public notice, invites tenders
for $ 1,300,000,000 , or thereabouts, of
91 -day Treasury bills, to be issued
w
xS T
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series will be dated
mature
August 23, 1945
May 24» 1945
. , and will
, when the face amount will be payable without
w
They will be issued in bearer form only, and in denominations of $1,000,
*
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
interest.
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clock p.m., Eastern War time,
Monday, May 21. 1945
*
4$^
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g,, 99.925may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty Df payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
2
The income derived from“Treasury bills, whether interest
or gain from the sale or other disposition of the bills,
shall not have any exemption,, as such-, and loss from the sale ,
or other disposition o f .Treasury bills shall not have any
special treatment, .as such, under Federal tax Acts now or
hereafter enacted.
The bills shall be subject to estate,
inheritance, gift, or other excise taxes-, whether Federal or
State, but shall be' exempt from all taxation, now or hereafter
imposed on the principal or interest thereof by any State,
or any of the possessions of the United States, or by any
local taxing authority# For p u r p o s e s .of taxation the-; amount
of discount at which Treasury bills are originally so*ld by
the- United States shall be considered to be interest.
Under
Sections 42 and 117 (a) (1). of the Internal Revenue Code-, as
amended by Section 115 of.the Revenue Act of 1941, the amount
of discount at which bills issued hereunder are sold shall
not be considered to accrue until such bills shall be sold,
redeemed or otherwise disposed of, and such bills are excluded
from consideration as capital assets#
Accordingly, the o.wner
of Treasury bills, (other than life insurance companies) issued
hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity
during the taxable; year for which the return is made, as
ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and
this notice, prescribe the terms of the Treasury bills and
govern the conditions of their issue.
C o p i e s o f the circular
may be obtained from any Federal Reserve Bank or Branch.
oOo
TREASURY* DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, May 18, 1945,___________
_ ■ The Secretary of the Treasury, by this public notice,
invites tenders for $1,300,000,000, or thér'eabouts, of 91day Treasury bills, to be issued on a discount basis under
competitive and fixed-price bidding as hereinafter provided.
The bills of this series w i l l •be dated May 24, 1945," and
will mature August 23, 1945, when the face amount will be
payable without interest.
They will be issued in bearer form
l s m ’ nnhd i n / l r ° ! ? A S a^
n ? 0 f il'.OOO, J s 5 ,0 0 d , # 10 , 000, # 1 0 0 ,0 0 0 ,
$500,000, •and $T,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and
branches' p.p to the closing h o u r f two o'clock p.m., Eastern War
time, Monday, May.21, ï§45.
Tenders will not be received at
the Treasury Department, Washington.
Each tenders must be for
an even multiple of $1,000, and tbe'price offered must be ex
pressed on the basis of 100, with not more than three decimals,
• t 99.925.
Fractions may riot be used.1' It is urged that
tenders be' made on the printed forms and forwarded in the
special envelopes which will be supplied by Federal Réserve
Banks or Branches on application therefor. " *.
Tenders will be received without deposit from incorporated
banks and trust companies and from responsible and recognized
dealers in investment securities.
Tenders from others must be
accompanied by payment of 2 percent of the face amount of
Treasury bills applied for, unless the tenders-are accompanied
by an express guaranty of payment by an incorporated bank-or
trust company.
.
•.
J - - U a f t e r
the closing hour, tenders will be opened
éderal Reserve Banks and Branches, following which
public announcement will be made by the Secretary of the
Treasury of the
amount and price range of accepted bids.
Those submitting tenders will be advised of the acceptance or
rejection thereof.
The Secretary of the Treasury expressly
reserves the right to accept or reject any or all tenders,
in whole or in part, and his action in any such respect shall
be final.
Subject to these reservations, tenders for $200,000
or lass from any one bidder at 99.905 entered on a fixed-price
basis will be accepted in full.
Payment of accepted tenders
at the prices offered must be made or completed at the Federal
Reserve Bank in cash or other immediately available funds on
May 24, 1945.
46-25
(Over)
-
10
-
that the road of trial and trouble will end just
around the next turn.
But It will not, and the least
we can do ie to travel that road manfully to the very
end, just as our sen did in Europe, and just as our
men on Okinawa and the other battle fronts are doing
today.
For it is only by following that road to the
end —
finishing the job in other words —
that we
shall be able to look the returning men of the armed
forces squarely in the face and say:
*0ur job was easier than yours —
but we did it.*
Fro» the start of the war the Government hae
endeavored to aeet
it s
costs, to the greatest possible
extent, fro» current revenues.
We are now Meeting
almost half of our total expenditures fro» taxes;
our tax revenues have increased eight-fold since the
beginning of the defense program.
That policy has
reduced the threat of inflation.
But it is not within
most
the bounds of possibility that the
monumental of
all wars could be finanoed solely by taxes.
previous occasions your
Government
On six
has cone to you,
asking for the investaent of your dollars, beyond the
steady day-in, day-out purchases of War Bonds that
Billions of citisens are asking.
And I am confident
that on this occasion the people will again heed the
We have traveled a long road since December 7#
19^1•
It has been a hard road and we are still on it.
When we get such news as we have had in recent weeks.
and learn that our men have^pounded to pieces the
greatest ailitary machine that a European tyrant has
ever built, it is only natural that
some
should hope
- g *
as aluminum, copper, steel,
for example —
lead, and crude petroleum,
are now being bought by the Government
at prices lower than those at which they sold during
the peace tine year 1937.
This economy in the procurement of raw materials
has continued into that of the finished goods*
the
prices of typical armament items have been repeatedly
reduced, as production has increased and manufacturers
have acquired the requisite “know how.11
the cost of
a “Long Torn“ howitxer, for example, has been reduced
since 19^3 from $ 50,000 to $37#0Q0; while the cost of
a Garand rifle has been reduced in the same period from
Just over $37 to Just under $30.
These items are typical of the munitions program.
The Government has undertaken to make its war dollars
go as far as possible —
and President Truman has
indicated within recent days his policy in this respect.
He has made plain his determination to see that as rapid!]
as changing conditions eliminate the necessity for any
portion of the war program previously authorised, that
portion shall be eliminated immediately. (
- 7 from Missouri» the man who is now in the White House.
But our planning» f r o m
the beginning» has been
to sake every dollar go a long way in this war» and
I am confident you will agree with ae when I say that
our savings» as a result of this planning» far outweigh
any and all instances of waste and loss.
We have undertaken, first of all, to get our war
dollar as cheaply as possible.
The average gross cost
of the money borrowed by the Treasury in this war has
been less than half of that during the last war.
And
allowing for the fact that the interest on the securities
issued in this war is taxable, the net cost is only
about one*third as such as in the last war, when
interest on all Government securities was either wholly
or partially tax extant.
Froa the price of aoney we have followed through
to the prices of the basic materials which enter into
araaaents.
These materials, which led the procession
of rising prices in the last war and In every war in
which the United States has ever been engaged, have
this tiae been held to moderate
none at all.
price
increases, or
Many important basic materials ~
such
- 6
-
and we never shall consciously miss, an opportunity
to exchange equipment for casualties, to save lives
by spending dollars.
But in following the first two principles —
in
securing victory and in securing it with the smallest
possible cost in lives —
forgotten.
a third has not been
This is the principle that money should
be spent only as needed, and then to the best advantage*
I should like to take a few minutes of your time
to discuss this phase, because too few people realise
what has been done, and how it has been done*
Ivery
one has heard of cases of waste, and there have been
many such cases, because fighting is not our normal
way of life,
k
war is the supreme emergency and it
is inherently wasteful.
In a democracy it
is
not
possible to keep an organisation fully prepared, at
all times, for war.
Fox this reason we have to expand
rapidly to meet the emergency.
In expanding, many
mistakes will be made resulting in waste and inefficiency
Instances of waste and inefficiency have been
corrected as they have been discovered and exposed,
and for this we may thank a former United States
Senator
- 5 family ought to have an automobile and they adopted
methods designed to produce ears that average Americans
could afford to own and operate.
Our thinking and planning in this war has been
governed by certain basic principles,
war was the primary objective.
fo win the
We have given the lives
of our young men and our dollars into the trusteeship
of the armed forces and have charged them with the
task of delivering total victory.
But we have insisted that these three things —
victory, lives and dollars —
perspective.
must be kept in proper
Victory must be won at whatever cost in
lives and dollars; and lives must be saved, at whatever
cost in dollars.
These two imperatives have been well obeyed.
Victory in Europe has been won and victory in the
Pacific is in the making.
And a comparison of the
casualties suffered by our armed forces with those
suffered by the enemy, in both Europe and the Pacific,
shows what the superiority of our equipment has meant
in cutting down American casualties, and what wonders
our medical services have performed in saving the
lives of the wounded.
We have never consciously missed,
- U
-
unconditionally right now, we would still require
the entire proceed* of the Loan for bringing our
men back froa Europe and the Pacific, for auatering
out pay, the hospitalization of the disabled, and
for settling war contracts and returning industry
to a
peacetime
footing.
These things all take money —
aoney.
SirId
and a lot of
War I cost sore during the six eonths
following the Armistice than during the last six
months of hostilities.
That will not be the case
this time, because this war has lasted longer and
we have been able to do better planning.
But even
with the best planning and the most careful management,
liquidating this war is bound to be a costly process
and it will take time.
.1 v
I want to emphasise briefly the matter of
planning and management.
Mo enterprise can be successful unless it is
based upon proper principles and is well conducted.\
If American industrialists had regarded automobile*
as only suitable for rich men's toys, Detroit would
not be the city it is today.
They planned their
production upon the thesis that the average American
-
3
-
Thay have too big a stake ia this war to be satisfied
with anything short of victory everywhere.
There are, for example, many thousands of
Michigan men in the American armies that have pounded
out victories in Europe.
Some of these men will be
brought back to the United States, with well-earned
discharges from duty, but many more will be
to the Pacific theater of war.
transported
There they will be
twice as far from their homes as they are today.
We
must never forget or neglect these men, who have
given so much, who are being asked to give even more.
*o, we at home can not rest because we have won
half a war or tko-thirds of a war.
Ve must win the
whole war, and bring these men back home.
That is why we must have success —
success —
in this Seventh War Loan.
money, every cent of it.
complete
We need the
Ve still have a hard war
ahead of us in the Pacific.
It was nearly a year
ago, on D-Day, that we established our first beachhead
in France.
We have yet to establish a beachhead on
the home islands of Japan or on the nearby Asiatic
continent.
And even if Japan should surrender
years ago, the United States reeled under the
worst Military disaster in our history.
Tet there
was newer a doubt ae to hew the American people
would respond to that test.
One response was to complete the monumental
task of turning the national Industrial plant to the
needs of war.
It was a task In which management and
labor joined hands.
Another response came from the
American farmers, who stepped up their food production
In the face of manpower and farm machinery shortages.
And the fact that eighty-five million Americans have
purchased War Bonde, prior to the Seventh War Loan
Drive, shows the extent of general support fro® the
people here at hone#
Today, the people of this country are faced by
a new test.
They have proved their fortitude In the
face of disaster.
The question that is posed In
this country today Is how well a nation that has
achieved complete victories in Africa and In Europe
can meet the crucial test of sustaining Its fighting
spirit until the war la won In the far reaches of
the Pacific.
But I a* confident of the response of our people.
In cosing to Detroit today I welcome the
opportunity to pay tribute to those typically
American industries which have played such a major
role in our total victory in Europe, and in our
progress in the Pacific.
It was because United States industry was
geared for such a tremendous rate of peacetime
production that this country was able to produce the
planes, the tanks, the trucks and the artillery that
were required to smash the vaunted Nasi military
machinery everywhere -- in Africa, In Italy, in
Horaandy, on the Bhine and finally in the heart of
Hitler*s Germany.
We have truly earned the right
to be called the ^Arsenal of Democracy.*
The transition from peace industry to war
industry was not made overnight.
But under the
impetus of war, miracles have been accomplished.
A great dramatic crisis is a test for any man
or any nation.
H I I
At Pearl Harbor, three and one-half
/ rhe
f o l l o w i n g address b y D # W # Bell,
of the treasury,
Under Secretary
at a S e v e n t h W a r L o a n p u n c h e o n H a l l y at
the B o o k - C a d l l l a c Hotel, Detroit,
Michigan,
for d e l i v e r y at I s O O PM, EWT, M a y 22,
r e l e a s e at t hat time* /
m
1945,
is s c h e d u l e d
and Is for
TREASURY DEPARTMENT
Washington
' ■'.*
(The following address "by D* W. Bell,
Under Secretary of the Treasury, at a
Seventh War Loan lunchebn rally at the
Book-Cadillac Hotel, Detroit, Michigan,
is scheduled for delivery at 1;00 PM,
EWT, May 22, 1945, and is for release at
that time,)
In coming, ;to Detroit today I welcome the opportunity
to pay tribute to those typically American industries which
have played such a major role in our total victory in
Europe, and in our progress in the Pacific#
It was because United States industry was geared for
such a tremendous rate of peacetime production that this
country was able to produce the planes, the tanks, the
trucks and the. artillery that were required to smash the
vaunted Nazi military machinery everywhere --’in Africa,
in Italy, in Normandy, on the*Rhine and finally in the heart
of Hitler’s Germany*. We have truly earned the right to be
called the "Arsenal of Democracy"•
The- transition from peace industry to war industry was
not made.overnight• But under the impetus of war, miracles
have been accomplished*
‘
A great dramatic crisis is a test for any man or any
nation*
At Pearl^Harbor, three and one-half years ago, the
United States reeled under the worst military disaster in
our h i s t o r y . ■ Yet there was never.a doubt as to how the
American people would respond to that test*
One response was to complete the monumental task of
turning the national industrial plant to the needs of war*
It was a task in which management and labor joined hands*
Another response came from the American farmers, who stepped
up their food production in the face of manpower and farm
machinery shortages*
And the fact that eighty-five, million
Americans haye^purchased War Bonds., prior to the Seventh
War .Loan Drive, shows the extent of general support from
the people here at home*
Today, ^he people of this country are faced by a new
test* They have proved their fortitude in the face of
disaster.
The question that is posed in this country today
46-26
2
is how well a nation that has achieved complete- victories
in Africa and in Europe can meet the. crucial test of sus
taining its fighting spirit until the war is won in the far
reaches of the Pacific.
But I am. confident of the response of our people.
They have .top big a stake in this ,war to be satisfied with
anything short of victory everywhere.
There are, for example, many thousands of Michigan
men in the American armies that have pounded out victories
in Europe.
Some of these men will be brought back to the
United States, with well-earned discharges from duty, but
many more will be transported to the Pacific theater of war.
There they will be twice as far from their homes 8s they
are today. We.must never forget or neglect these men, who
have given so much, who are being asked to give even more.
No, we at home can not rest because we have won half
a war, or two-thirds of a war. We must win the whole war,
and bring these men back home.
That is why we must have success - - c o m p l e t e success —
in this Seventh Vvar Loan.
We need the money, every cent of
it. We still have a hard war ahead of us in the Pacific.
It was nearly a year ago, on D-Day, that we established our
first beachhead in France.
W e 'have yet to .establish a
beachhead on the home islands of Japan ’or on the nearby
Asiatic continent.
And even if Japan should surrender u n
conditionally right now, we would still require the entire
proceeds of the Loan for bringing our men back from Europe
and the Pacific, for mustering~out^pay, the hospitalization
of the disabled,' and for settling war contracts and return
ing industry to a peacetime footing.
These things all take money -- and a lot of money.
World War I cost more during the six months following the
Armistice than during the last six months of hostilities.
That will not be the case this time, because this.war has
lasted longer and we. have been able to do better planning.
But even with the best planning and the most careful
management, liquidating this war is botind to be a costly
process and ;it will ‘take time.
I
want to emphasize briefly the matter of planning and
management.
No enterprise can be successful unless it is based upon
proper; principles and is well conducted.
••:-'- If -American industrialists had 'regarded automobiles
as only suitable«for rich men1s toys f Detroit would not
he »the•city it is today. They planned their production
upon the thesis that the average American family ought to
have an automobile and they adopted methods designed to
produce cars that average Americans-«could afford to own and
■■operate«-*
** *
’■v;'
fif®
Our. thinking and planning in' this war has been governed
by certain basic principles«
To win the war was the primary
objective«
We have given the lives of our young men and our
dollars into the trusteeship of the armed forces and have
charged them with the task of delivering
total victory«
- But we have '-insisted that these
lives and dollars -'- must be kept in
Victory must be won at whatever cost
and livesymust be saved, at whatever
three things -- victory,
proper perspective«in lives and ‘dollars;
cost in< dollars«
These two imperatives have been well obeyed#
Victory
in Europe has been won and victory in the Pacific is in the
making«
And a comparison of the casualties',suffered by our
armed forces with those suffered by the enemy, in both
Europe and the Pacific, shows what the superiority of our
equipment has meant in cutting down'American casualties,
and what-wonders our medical services have performed, in
saving.the lives of the wounded* -We have never consciously
missed, and 'we never shall consciously miss,’ an opportunity
to exchange equipment for casualties, to save lives by.
spending dollars«
I
But in following the first two principles -- in securing
victory and in securing it with the smallest possible post in
l i v e s a third has not been forgotten.‘ This is the principle
that money should be spent only as needed, and then, to the
best advantage«
■
:
■ I should like to take a few minutes of your time t o .
discuss this phase, because too few people realize what has
been done, and how it has been done. Every one has heard of
cases of waste, and there 1have been many such cases, because
fighting is not our'normal way of life. A war is the supreme
emergency and it is inherently wasteful.
In-a democracy it
is not possible to'vkeep art organization fully prepared, at
all times, for war'. Eor this reason we have to expand .. .
rapidly to meet the- emergency. 'In expanding, many mistakes
will be made resulting in waste and -inefficiency.
.,
- 4 -
Instances of waste and inefficiency have been corrected
as they have been discovered and exposed,.a n d ’for this we
may thank a .former United States Sen a t o r 'from Missouri, the
men who is now in the White House.
But our planning,' from the beginning, has been to make
every dollar go a long way in this war, and I am -confident
you will agree with me when X say that our savings, as a
result of this planning, far outweigh any and all instances
of w a-gt e and loss.
We have undertaken, first of all, to get our war dollar
as cheaply as possible* The average gross cost of the
money borrowed by the Treasury in this war has been less than
half of that during the last war.
And allowing for the fact
that the interest on the securities issued in this war is
taxable, the net cost is only about one-third as much as in
the last war, when interest on all Government securities was
either wholly or partially tax exempt.
From*!;he price of money we have followed through to the
prices of the basic materials which enter into armaments.
These materials, which led the procession of rising prices
in the last war and In every war in which the United States
has ever oeen engaged, have this time been held to moderate
price increases, or none at all. Many important basic
materials — such as aluminum, copper, steel, lead, and crude
petroleum, for example -- are now being bought by the
Government at prices lower than those at which they sold
during the peace time year 1957»,
This economy In the procurement of raw materials has
continued Into that of the finished goods.
The prices of
typical armament items have been repeatedly reduced, as
production has increased and manufacturers have acquired the
requisite Mknow how” , The cost of a nLong To m ” howitzer,
for example, has been reduced since 1943 from f 50,000 to
$ 3 7 r000; while the cost of a Garand rifle has been reduced
In the same period from just over |37 to just under $30.
These items are typical of the munitions program. The
Government has undertaken to make its war dollars go as far
as possible — and President Truman has indicated, within
recent days his policy in this respect..' He has made plain
his determination to see that as rapidly as changing conditions
eliminate the necessity for any. portion of the war program
previously authorized, that portion shall be eliminated
immediately.
5
Prom the start of the war the Government has endeavored
to meet its costs, to the greatest possible extent, from
current revenues# We are now meeting almost half of our
total expenditures from taxes; our tax revenues have in
creased eight-fold since the beginning of the defense program.
That policy has reduced the. threat of inflation*
But it is
not within th*e bounds of possibility that the most monumental
of all wars could be financed solely by taxes.
On six pre
vious occasions your Government has come to you, asking for
the investment of your dollars, beyond the steady day-in,
day-out purchases of War Bonds that millions of citizens are
making.
And I am confident that on this occasion the people
will again heed the call.
We have traveled a long road since December 7, 1941.
It has been a hard road and we are still on it. When we
get such news as we have had In recent weeks, and learn that
our men have helped pound to pieces the greatest military
machine that a European tyrant has ever built, it is only
natural that some should hope that the road of trial and
trouble will end just around the next turn. ' But It will
not, and the least we can do is to travel that road manfully
to the very end, just as our men did in Europe, and just as
our men on Okinawa and the other battle fronts are doing
today.
For it is only by following that road to the end —
finishing the job in other words -- that we shall be able to
look the returning men of the armed forces squarely in the
face and s a y ;
,TOur job was easier than yours -—
oOo
but we did it,”
TRKASUHT itfft&SUT
Washington
FOR RELEASE, MORRBÎG RRttSPAPMS.
Tuesday, May 22« 1945«
Press Service
/<
v*l
Secretary of the Treasury Morgenthau announced today that the subscription
books for the current offering of 0.90 percent Treasury »©tes of Series D-1946,
open to the holders of Treasury Certificates of Indebtedness of Series 0*1945,
maturing June 1, 1945, and Rome Owners* Loan Corporation Bonds of Series M-1945-47,
called for redemption on June 1, 1945, will close at the close of business
Wednesday, May 23, except for the receipt of subscriptions from holders of
$10 0 ,0 0 0 or less of the maturing certificates or called bonds,
the subscription
books will d o s e for the receipt of subscriptions of the latter class at the
close of business Saturday, May 26.
Subscriptions addressed to a Federal Reserve Bank or Branch or to the
Treasury Department, and placed in the mail before midnight of the respective
closing days will be considered as having been entered before the close of the
subscription books.
Announcement of the amount of subscriptions and their division among the
several Federal Reserve Districts will be made later.
TREASURY DEPARTMENT
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, May 22, ,1945»___________
Press Service
No* 46-27
Secretary of the Treasury Morgenthau announced today
that the subscription books for the current offering of 0*90
percent Treasury Notes of Series D-1946, open to the holders
of Treasury Certificates of Indebtedness of Series C-1945-,
maturing June 1, 1945., and Home Owners1 Loan Corporation
Bonds of Series M-1945-47, called for redemption on June 1,
1945, will close at the close of business Wednesday, May 23,
except for the receipt of subscriptions from holders of
$100,000 or less of the maturing certificates or called bonds
The subscription books will close for the receipt of subscrip
tions o f the latter class at the close of business Saturday,
May 26•
Cl i
v
^ubscrintions addressed to a Federal Reserve Bank or
Branch or to the Treasury Department, and placed in the mail
before midnight of the respective closing days will be
considered as having been entered before the close of the
subscription books*
■Announcement of the amount of subscriptions and their
division among the several Federal Reserve Districts will be
made later*
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, Bay 22, 1945,__________
Press Service
_ > Ö
The Secretary of the Treasury announced last evening that the tenders for
|1,300,(XX),000, or thereabouts, of 91-day Treasury bills to be dated May 24 and to mature
August 23, 1945, which were offered on May 18, 1945, were opened at the Federal Reserve
Banks on May 21.
The details of this issue are as follows:
Total applied for - $2,067,910,000
Total accepted
- 1,313,084,000
Average price
(includes $50,991,000 entered on a fixedprice basis at 99.905 and accepted in full)
- 99.905/ Äquivalent rate of discount approx. 0.37556 per annum
Range of accepted competitive bids:
High
Low
- 99.910 Equivalent rate of discount approx. 0.35656 per annum
- 99.905
•
*
*
•
*
0.37656 "
■
(5 9 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
Hew York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
$
9«,015,OCX)
1,434,527,000
57,925,000
20,995,000
16,775,000
1 5 ,8 8 5,0 0 0
2 9 1 ,4 2 0 ,0 0 0
16,990,000
8,705,000
13,491,000
18,572,000
74.610.000
#
$2 ,0 6 7 ,9 10 ,0 0 0
$1,313,084,000
TOTAL
60,746,000
886,894,000
41,402,000
19,355,000
14,725,000
1 2 ,60 5,0 0 0
180,167,000
1 1 ,8 65,0 0 0
6,245,000
1 1 ,9 33 ,0 0 0
17,137,000
5 0 .OIO.OOO
V
TREASURY REPARTIERT
Washington
FOR RELEASE, MORNING- NEWSPAPERS,
Tuesday, May 22, 1945.__________ _
5-21-45
Press Service
No. 46-28
The Secretary of the Treasury announced last evening that the
tenders for $1,300,000,000,
or thereabouts,
of 91-day Treasury bills
to be dated May 24 and t® mature August 23', .1945» which were offered
on May 18, 1945, were opened at the Federal Reserve Banks on May 21.
The details of this issue are as follows:
Total applied for - $2,067,910,000
Total accepted
- 1,313,084,000 (includes $50,991,000
entered on a fixed-price basis at 99*905 and accepted in
full)
Average price
- 9 9 .905/Equivalent rate of discount approx.
0.375% per annum
Range of accepted competitive bids:
High
- 99.910
0,356$
- 9 9 .9.O3
0.376$
Low
Equivalent rate of discount approx.
per annum
Equivalent rate of discount approx.
per annum
(59 percent of the amount bid for at the low price was'accepted)
Federal Reserve
District
Total
Applied for
Accepted
Boston
Nbw York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St..Louis
Minneapolis
Kansas City
Dallas
San Francisco
$
$
TOTAL
98, 015,000
1,434,527,000
57.925.000
2 0 , 9 9 5 j000
16.775.000
15. 885.000
291, 420,000
1 6 ,9 9 0 , 0 0 0
6 0 , 746,000
8 8 6 , 894,000
4 1 , 402 ,0 0 0
19.355.000
14.725.000
1 2 605.000
1 8 0 1 67,000
.
,
8 ,7 0 5 , 0 0 0
11,865,000
6,245,000
13,491,000
. 1 8 ,5 7 2 , 0 0 0
74» 610,000
11.933.000
17.137.000
50» 010,000
$2 ,0 6 7 ,9 1 0 , 0 0 0
$1,313,084,000
-0O0
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as #rdinar3r gain or loss.
Treasury Department Circular No. 4IS, as amended, and this notice, pre
scribe the terms of the Treasury bills and govern the conditions of their issue.
Conies of the circular may be obtained from any Federal Reserve Bank or Branch.
aisfiîfiiteï
TREASURY DEEi^ jrjsnRV
FOR RELEASE, MQRNING NEWSPAPERS,
Wednesday, May 23, 1945.
O—¿1-45
■p r w k S O ^ $
vïÿv
Press Service
No, 46-25
The total assets of national banks on March 20 of this year amounted to
more than $76,000,000,000, it was announced today by Comptroller of the Currency
Preston Delano. Returns from the call covered the 5,025 active national banks
in the United States and possessions. The assets reported were $789,000,000
less than the amount reported by the 5,031 national banks on December 30, 1944,,
the date of the previous call, but an increase of nearly $ 1 0 ,000 ,000,000 over
the amount reported by the 5,048 active banks on April 13, 1944, the date of the
corresponding call a year ago*
The deposits of national banks on March 20, 1945 were over $71,000,,000,000,
a decrease since December 1944 of $946 ,*0^0 JÜO^^but^in increase since April' 1944
of $9,373,000,000, or more than 15 percent* While the demand deposits of
individuals, partnerships, and corporations increased $2,065,000,000 from
December 1944 to March of 1945, amounting to $38,386,000,000 on the latter date,
and time deposits of individuals, partnerships, and corporations rose nearly
$800,000,000 in the period to $13,445,000,000, the reduction of $3,573,000,000 .
in War Loan deposits was the principal reason for the net decrease in aggregate
deposits between December and March* Deposits of the United States Government,
including War Loan accounts, in- March were $7,610,000,000 in comparison with
$11,167,000,000 on December 30, 1944, and $7,196,000,000 on April 13, 1944.
Deposits of States and political subdivisions were $3,266,000,000, deposits of
banks were $7,650,000,000, postal savings were $5,000,000j and certified and
cashiers’ checks, cash letters of credit and travelers’ checks outstanding were
$822,000,000.
Loans and discounts on March 20 this year were 8 percent less than on
December 30, 1944, and amounted to $10,545,000,000, but were $595,000,000, or
6 percent, more than total loans reported outstanding by the banks on April 13,
1944. The percentage of loans and discounts to total deposits on March 20, 1945,
was 14.81 in comparison with 15.94 on December 30, 1944, and 16.10 on Api’il 13,
1944.
Investments in United States Government securities, direct and guaranteed,
of $44,000,000,000 showed an increase of $515,000,000 since December 1944, and
an increase of $7,262,000,000 since April 1944. Other bonds, stocks, and
securities held of $3,646,000,000, which included obligations of States and
political subdivisions of $2,129,000,000, increased $103,000,000 since December,
and $213,000,000 since April last year.
Cash of $971,000,000, balances with other banks of $6,714,000,000, and
reserves with Federal Reserve banks of $9,528,000,000, a total of $17,213,000,000,
showed a decrease of $424,000,000 since December, but an increase of
$1,814,000,000 in the year.
The unimpaired capital stock of the banks on March 20, 1945 was $1,576,000,000,
including $84,000,000 of preferred stock*. Surplus was $1,334,000,000, undivided
profits $704,000,000, and reserves $272,000,000, or a total of $2,810,000,000.
This was an increase of $ 1 0 2 ,0 0 0,00 0 oyer the surplus, proiits, and reserves on
December 30, 1944, and an increase of- $292,000,000 over the aggregate of these
items in April Inst year.
y
h
Page 2
Statement showing comparison of principal items of assets and liabilities of active national hanks
as of March 20, I9 U5 , December 3 0 » 1 9 ^ » &n<l April 1 3 , I9 UU
(In thousands of dollars)
* Mar. 20, * Dec. 30*
;
191+5
*
1 9 UU
\ April 1 3 *
;
. 1 9 UU "
5 ,0 US
5.025
‘5,031
dumber of banks *.*.....
ASSETS V.~ '
' *
1,
0 F\nS OTi T*pn1 pcitstPi..,
$9,950,Us 6
Other loons, including overdrafts..... .)$io,5^»99h( 9 ,i(-5 i,9 Uo)
9 ,9 5 0 ,Us 6
. 1 0 .5 UU . 9 9 6 1 1 .U9 7 .g02
Total loans........ .
iIncrease or decrease Increase or decrease
:since Dec. 3 0 , 1 9 UU :since Apir. 1 3 , 19UU
: Amount : Percent : Amount : Percent
-.1 2
-6
-,U6
-23
-$9 5 2 ,8 0 6
-8 . 2 9
^59U,5io
5*97
-9 5 2 ,S06
-8 . 2 9
59U.510
5*97
3 6 ,7 3 2 , 0 8 2
5 1 5 ,0 6 7
1.16
7 ,2 6 1 , 7 7 9
19 .7 7
3 6 .7 3 2 , 0 8 2
5 1 5 ,0 6 7
1.18
7,261,779
19 .7 7
1.996.U61
1 ,2 9 1 ,0 US
7 2 ,3 19
2 7 ,0 7 1
3.52
2,01
132,575
6„6U
8 1 ,3 9 2
6 .3 0
3 ,5 0 9
2.U8
1.31
• -.57
7.33
-1,228
-*8 U
18.61
16 TÏO
8,73
U. S. Government securities:
.)
^ ¿ ( ^ 2 .8 3 6 ,3 2 0 )
.)
**3.993.s56(
692,969)
Obligations fully guaranteed....
. U3 .993,836 U3.U7S.7S9
Total U. S. securities.... .
Obligations of States and. political
.
2 ,1 2 9 , 0 3 6
2 ,0 5 6 , 7 2 2
.
i,
3
7
2
,UUo
1 ,3^5.369
Other bonds, notes and debentures....
Corporate stocks, including stocks
199.958
lUi.UUg
of Federal Reserve Banks............
.
U7.6UO.290
U7.
0
2 2 ,329
Total securities..... .
.
9g.lS5.2g6
58.520,131
Total loans and securities.......
9 7 0 ,SU3
90 U ,5 0 0
•
9,527,783
9,2SU,5U2
Reserve with Federal Reserve Banks....
6 .7 1 U.U6 1
7 ,UUg,2 0 7
Balances with other banks....*.*......
Total cash, balances with other
banks', including reserve bal
ances and cash items in process
, 17,213,087 17,637,2U9
.
762,169
792,U79
Other assets.
........
Total assets................ .. . 76.160.938 76,999.899
iU6,ig6
Uo,1 6 9 , 7 7 7
5 0 ,1 1 6 , 2 6 3
6,337.929
617*961
-33U.SU5
'6 6 ^3 U3
293,291
-733,796
15,399,509
gl7*3£>2
66,333,139
-U2 U . 1 6 2
-3 0 , 3 1 9
-7 8 9 . 3 2 1
8 9 2 ,9 3 2
8 ,1 6 9 , 1 9 2
2 .6 2
-9 . 8 5
7 ,U 7 9 ,.513
8,069 023
77,911
1 ,3 5 8 , 6 3 1
«3 7 7 , 0 3 6
-2,U0 1,813,578
-55,197
-3.83
9
,
8 2 7 ,UoU“
-1-P.3.
16 .6 3
5,95
1 1 .7 8
-6 . 7 5
1U.82 "
Page 3.
Comparison of principal items of assets and
(in thousands
;
;
. Mar. 20,
« Dec. 30,
.
19^5
: 19^
liabilities of national banks - Continued
of dollars)______________________________________________
:
t Increase or decrease!Increase or decrease
: Apr. 1 3 ,
:.since Dec. 30, 1944 :since Apr. 1 3 , 1944
:
19^
; Amount : Percent : Amount t Percent
LIABILITIES
Deposits of individuals, partner
ships and corporations:
$4,828,772
u.69
Demand.... ..... ......«..«*.•• $38,385,841
$36,320,75^ $33,557,069 $2 ,065,037
6.24
2,949,904
739,611
10,494,797
13
,
444,701
12
,
655,090
Time*,*., ..«••*......... *••«.**•*
1.26
5
R
31
-66
5,21S
-379
5.152
Postal savings deposits**....*,..«
1 1 ,166,63s
7 ,609,516
^13,363
7 .196!133 -3,557,122 -3i*s5
Deposits of U.S. Government...,,.*•*
Deposits of States and political
318,635
6.37
2 ,947,639
3 ,266,274
195,735
3-070,539
subdivisions....*.•.*,•*•.•«•••.
5.06
—
^
07
,
95
^
664,587
8,058,120
7 ,650,166
6,985,579
Deposits of banks..•. *. .***••*.»•«•
Other deposits (certified and
-3 «64
-31,015
19S,331
623.232
852.572
cashiers1 checks, etc.).........
821*563
61 ,809,980
-1.31
71 ,183,213
9,373.233
-9 ^ 5 , 7 2 4
72*128,937
Total deposits..............
Bills payable, rediscounts & other
76,209 140.66
56,600
54,180
73,789
130,389
liabilities for borrowed money..
-6.41
59,611
-31,516
400,750
U60,36l
491,877
Other liabilities,••.•»...•»•••*••
Total liabilities, excluding
72 .67 H.99U
62.267.330
-901.031
-1-2H
9.'506.633
capital accounts....«.»«•...* 71.773.9&3
CAPITAL ACCOUNTS
Capital stock;
git,367
91,966
119,066
-7,599
-2.26
-34,699
Preferred stock.
1,Uq 1,S42
1,474,939
1,428,714
16.903
1 .1 5 _______ 6 3 ,12 g
Common stock...........••■»••*
1 .976 .2 0 9 '' 1,966,909
1,847,780
9.904
.99
28.429
To tal....
.-«..
1,833.920
1
,
808,999
1
,
628,622
25,021
1
.
3
g
205,352
Surplus.... .................
704,066
632,000
613,174
72,066
11.40
90,892
Undivided p r o f i t s . ..•*•***...**
272,320
_______
267.001
276.228
5.319
1.92______
5.908
Re serve s.-.... *. *... ••* •
* ..»• •• •
Total surplus, profits and
2 ,810,366
2 .707.960
2.518,024
102 .4o6
3-78
292,542
1*6S^rvSS* ••• •#-•• t• •
••
4.386.575
4.274,865
4.065.804
111.710
2.6l
320.771
Total capital accounts.......
Total liabilities and capital
76 .949,859
66.335,154
-789,321
-1.05
9.827.4o4
accounts.-*■,««. .. •.«*. **..*. .* 76 ,160.538
14.81#
15-94#
I6 .IO55
.Ratio of loans to total deposits-.*
«NOTE:
»
Minus sign denotes decrease.
0O 0
14.39
28.11
- 6 .S5
5 .7^
10.81
9*51
31.82
15*16
I3O .37
Ï4.87
1 5 .2 7
-29tl*t
4.4?
1.84
12.61
14.82
-l.Ul
ll,6l
7.29
14.82
Mr. Shaeffer
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Tuesday, May 22, 1945»
Press Service
No. 46-29
The Bureau of Customs announced today preliminary figures showing
the quantities of coffee authorized for entry for consumption under the
quotas for the 12 months commencing October 1, 1944, provided for in the
Inter-American Coffee Agreement, proclaimed by the President on April 15.,
1941, as follows;
Country of Production
Quota Quantity
(Pounds) l/
Authorized for entry
_____ for consumption____
As of (Date)
t (Pounds)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras'
Mexico
Nicaragua
Peru
Venezuela
1,734,203,043
586,988,903
37,294,689
14,917,823
22,376,866
27,970,951
111,884,067
99,763,353
51,280,231
3,729,522
88,574,920
36,362,275
4,661,803
78,318,900
Non-Signatory Countries:
66,198,053
May 12, 1945
962,643,035
426,786,139
«
23,836,271
ft
4,390,614
May 19, 1945 2/
18,830,617
May 12, 1945»
20,828,806
tt
71,146,920
tt
54,397,483
tt
38,025,327
(import quota filled)
50,446,259
May 12, 1945
n
11,301,153
«
3,048,358
tt
32,419,655
tt
tt
678,962
1/
Quotas as of January 3, 1945, determined by action of the InterAmerican Coffee Board on January 2, 1945.
2/
Per telegraphic reports.
oOo
instruments» except under express authorization from the Treasury.
This provision will afford an opportunity for screening such
instruments before they leave the Islands to guard against the
completion of transactions effected under duress or which may other
wise have been of benefit to the enemy. It was emphasized that
licenses will be issued covering legitimate trade» business and
other transactions and every effort will be made to cause the least
possible Interference with normal financial dealings between the
Islands and the mainland.
In conjunction with the reinstatement of the freezing
controls in the Philippine Islands, the Treasury Department revoked
General Ruling Ro. 10A, thus lifting the moratorium on the enforce-,
ment of claims against Philippine companies which had been in effect
since August 12, 1942.
It was emphasized that the recent moratorium declared by
President Osmena is not affected by this revocation*
-00O00-
TREASURY DEPARTMENT
Washington
FOR RELEASE, HOMING NEWSPAPERS,
Press Service
No*
^ ' 3 6
%
Regulations reestablishing the freezing controls in the
liberated portions of the Philippine Islands were issued today by
the treasury Department* The regulations also provide for the
relaxation of the controls in this country over Philippine assets
which were imposed by reason of the Japanese occupation of the Islands.
The freezing controls in the Philippine Islands were
withdrawn during the early days of the Japanese invasion by the
issuance of Executive Order No* 8998 and Public Circular No* 11*
At the same time all Philippine assets in this country were frozen
and the Philippine Islands were declared to be a blocked country
under the freezing regulations* 5y the provisions of General Ruling
No* 18, Issued today, the liberated portions of the Islands no longer
are regarded as blocked areas and are again treated as part of the
United States for the purposes of freezing control* Consequently,
the freezing regulations are now in effect in the liberated portions
of the Philippine Islands, and Treasury licenses must be obtained to
engage in transactions in the Islands which involve nationals of
blocked countries* The freezing regulations will be administered in
the Islands by the Philippine Office of foreign Funds Control which
is now being established in Manila*
Under today* s regulations, persons in the Philippines who
prior to the Japanese occupation were not blocked will be enabled to
deal freely in any of their assets located in the liberated portions
of the Islands* However, as a protective measure, their assets held
outside of the Islands will remain blocked for the time being and may
not be dealt with except pursuant to Treasury license* This limitation
will not apply to assets acquired subsequent to the issuance of the
regulations* There are no restrictions on the manner in which funds
may be remitted to them, and currency or checks may be used for this
purpose. As long as their blocked funds in this country are not
involved, they are entitled to the same rights and privileges as
United States citizens generally and may freely deal with persons in
any part of the United States*
One important feature of the reestablishment pf the freezing
controls in the liberated portions of the Philippine Islands is a
provision prohibiting the exportation from those areas to any other
part of the United States or to any foreign country of gold, silver,
currency, financial instruments, powers of attorney and certain other
TREASURY DEPARTMENT
Washington
FOR RELEA.SE, MORNING NEWSPAPERS,
Friday, M a y 25,
5-24-45
1945.. ..„.......
Press Service
N o - 46-30
Regulations reestablishing the freezing controls in the
liberated portions of the Philippine Islands wei*e issued today
by the 'Treasury Department.
The regulations also provide for
the relaxation of the controls in this country over Philippine
assets which were imposed by reason of the Japanese occupation
of the Islands.
The freezing controls in the Philippine Islands were with
drawn during the early days of the Japanese invasion by the
issuance of Executive Order Uo. 8998 and Public Circular Ho. 11.
At the same time all Philippine assets in this country were
frozen and the Philippine Islands were declared to be a blocked
country under the freezing regulations.
By the provisions of
General Ruling Ho. 18, issued today, the liberated portions of
the Islands no longer are regarded as blocked areas and are
again treated as part of the United States for the purposes of
freezing control/ Consequently, the freezing regulations are
now in effect in the liberated portions of the Philippine
Islands, and Treasury licenses must be obtained to engage in
transactions in the Islands which involve nationals of blocked
countries.
The freezing regulations will be administered in the
Islands by the Philippine Office of Foreign Funds Control which
is now being established in Manila.
Under t o d a y ’s regulations, persons in the Philippines who
prior to the Japanese occupation were not blocked will be enabled
to deal freely in any of their assets located in the liberated
portions of the Islands.
However, as a protective measure, their
assets held-outside of the Islands will remain blocked for the
time being and may not be dealt with except pursuant to Treasury
license.
'This limitation will not apply to assets acquired sub
sequent to the issuance of the regulations.
There are no
restrictions on the manner in which funds may be remitted to
them, and currency or checks may be used for this purpose.
As
long as their blocked funds in this country are not involved,
they are entitled to the same rights and privileges as United
States citizens generally and may freely deal with persons
in
any part of the United States.
One important feature of the reestablishment of the freezing
controls in the liberated portions of the Philippine Islands is
a provision prohibiting the exportation from those areas to any
other part of the United States or to any foreign country of
kST7
i
/
- ? gold, silver, Currency, financial instruments, powers of attorney
and certain other instruments, except under express authorization
from the Treasury.
This provision will afford an opportunity for
screening such instruments before they leave the Islands to guard
against the completion of transactions effected under duress or
which may otherwise have been of benefit to the enemy.
It was
emphasized that licenses will be issued covering legitimate trade,
business and other transactions and every effort will be made to
cause the least possible interference with normal financial deal
ings between the Islands and the mainland.
In conjunction with the reinstatement of the freezing con
trols in the Philippine Islands, the Treasury Department revoked
General Ruling Ho. 10A, thus lifting the moratorium on the
enforcement of claims against Philippine companies which had
been in effect since August 12, 1942.
It was emphasized that the recent moratorium declared by
President Osmena is not affected by this revocation.
-0O0-
xxxxx
- 3 -
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 41#, as amended, and this notice, pre
scribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
XMM
-
2
-
.
,
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
submitting tenders will be advised of the acceptance or rejection thereof.
Those
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final,
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-^price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
May 11. 1915
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts nowjorv-^iereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation noW or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Rev€;nue Act of 1941 > the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
TREASURY DEPARTMENT
, Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, May
25. 1945___________ •
¿3d
The Secretary of the Treasury, by this public notice, invites tenders
for -I 1.300.000.000 , or thereabouts, of
91
-day Treasury bills, to be issued
tot—
~ w
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series -will be dated
mature
*
interest.
May 31^ 1945
> and will
A^piist 30« 19^f5
, when the face amount wc 11 be payable without
126 m r
They will be issued in bearer form only, and in denominations of -¿1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clock p.m., Eastern War time,
Monday, May 28, 1945________ _ *
Tenders will not be received at the Treasury Department, Washington!
Each tender
must be for an even multiple of A1,0Q0, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g,, 99.925may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty of payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
¥
¿
- 3
/
~ 2
The income derived from Treasury bills* whether interest
or. gain ‘from -thesale or other disposition of the bills, shall
not have any exemption, as such, and loss from the sale or
other disposition of Treasury bills shall not have any special
treatment,, as such, under Federal tax Acts now or hereafter
enacted.' ‘The bills shall be subject to estate-, inheritance,
gift,.or other excise taxes, whether Federal or State, but
shall, be exempt from all taxation now or hereafter imposed on
the principal or interest thereof by-an-y State, or any of the
’possessions, of the United States, or by any local taxing
authority.
For purposes of taxation the 'amount of discount
at which Treasury bills are originally sold by the United
States shall be considered <to be interest.
Under Sections 42
and 117 (a) (1) -of the Internal Revenue Code, as 'amended by
Section 115 of the Revenue Act of 1941, the. amount of discount
at which bills issued' hereunder are- sold shall not be con
sidered to accrue Until such bills shall be sold, redeemed or
otherwise disposed of, and such bills are'excluded,from con
sideration as capital assets.
Accordingly, the owner of
Treasury bills (other than life insurance:companies) issued
hereunder need include in' h i s 'income tax return only the.,
difference between the price paid .for .such* trills, ‘whether .on
original issue or on subsequent purchase, Änd the amount
actually received either.upon sale or redemption.at maturity
during the taxable year for which the return is made, as
ordinary gain or loss.
Treasury Department Circular No; 418, as amended, and
this notice, prescribe the terms of the Treasury bills and
govern the conditions of their issue.
Copies of the.circu
lar may be obtained from’any Federal Reserve Bank or Branch.
-oOo-
TREASURY DEPARTMENT
Washington
•‘
,
FOR RELEASE, MORNING NEWSPAPERS,
Friday, May 25, 1945»
5-24-45
Thfe Secretary of the Treasury, by this public, notice,
■invites tenders for $,1,300,000,000, or thereabouts, 9 f 91 -day
Treasury bills, to be issued on a discount basis under com
petitive and fixed-price bidding as hereinafter provided*
The bills, o f this series will be dated May 31,- 1945, and will
mature August -30, 1945, when \ the face amount will be payable
without interest-. /They will .be issued in bearer form only,
and in denominations of .$1,000, $5,000,‘ $10,000, $-100,000,
$500,000, and $1,000,000 (maturity value)•
Tenders will be received at Federal Reserve Banks and
Branches up to the closing hour, two ofclock p.m., Eastern
War time;, Monday, May 28,.1945*
Tenders will not be received
at the Treasury Department, ..Washington* Each tender must be
for an even multiple of $ 1 ,000, and the price offered must
be expressed on the basis of 10 0 , with not more than three
decimals, e* .g*, .99*925* .Fractions may not be used.
It is
urged that tenders be made on the printed forms and forwarded
in the special envelopes whictuwTll be supplied by Federal
Reserve.Banks or Branches on application therefor*
Tenders will be received without deposit from incorporated
•banks and trust companies and from responsible and recognized
dealers In. investment securities.. Tenders from others must be
accompanied by .payment of 2 percent o-f the face Amount of
Treasury bills applied for, unless the tenders are accompanied
by an express guaranty of payment by an incorporated bank or
trust company.
Immediately after the.closing hour, tenders will be opened
at the Federal Reserve Banks and Branches, following which
public announcement Will be made by the Secretary of the
Treasury of the amount and price range of accepted bids. Those
submitting tenders will be advised of the acceptance or re
jection thereof, . The Secretary of the Treasury expressly re
serves the right to accept or reject any or all tenders, in
whole or In part, and his action in any such respect shall be
final.
Subject to these reservations, tenders for $ 200,000
or less from any one bidder at 99.905 entered on a fixed-price
basis will be accepted in full.* Payment of accepted tenders
at the prices offered must be made or completed at the Federal
Reserve Bank in cash or other immediately available funds o n '
May 31, 1945.
46-31
(Over)
Naturally I am very much pleased with the action of the Banking and
Currency Committee of the House in approving the Bretton ?Joods legislation.
It is extremely gratifying that the Bill was considered and acted upon in
a completely non-partisan spirit.
The almost unanimous vote in that Com
mittee symbolizes the spirit of unity which is prerequisite to world security
and prosperity.
The amendments made by the Committee are not of a character which will
require another conference.
They are constructive, chiefly clarifying in
character, and are acceptable to the Treasury.
The Committee deserves the thanks of the nation, not only for its
patriotic approach to the subject, but also for the complete fairness with
which it has heard all witnesses and the diligence with which it has-studied
and probed to the heart of the proposals.
I regard its record on the Bill
as a fine example of democratic statesmanship.
TREASURY DEPARTMENT
Washington
TOR IMMEDIATE RELEASE,
Thursday, May 24, 1945«
Press Service
No, 46-32
Secretary Morgenthau today issued the following state
ment :
Naturally I am very much pleased with the action
of the Banking and Currency Committee of the House in
approving the Bretton ’
Woods legislation.
It is
extremely gratifying that the Bill was considered
and acted upon in a completely non-partisan spirit,The almost unanimous vote in that Committee symbolizes
the spirit of unity which is prerequisite to world
security and prosperity.
The amendments made by the Committee are not of
a character which) will require another conference.
They are constructive, chiefly clarifying in charac
ter, and are acceptable to the Treasury.
The Committee deserves the thanks of the nation,
not only for its patriotic approach to the subject,
but also for the complete fairness with which it has
heard all witnesses and the diligence with which it
has studied and probed to the heart of the proposals.
I regard its record on the Bill as a fine- example
of democratic statesmanship.
-oOo-
.
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS
Tuesday, May 29« 1945
Press Service
No. 46-33
The Treasury Department today amended its trading with the enemy
regulations by removing from the category of Henemy territory B the following
countries: Albania, Austria, Czechoslovakia, Danzig, Denmark, the Nether
lands, Norway and Yugoslavia.
Today’s action, constituting an amendment of General Ruling No. 11,
paves the way for the orderly resumption of commercial communications
with the liberated areas. Treasury licenses will not be needed for the
transmission of messages of a financial, commercial, or business character
which are limited to the ascertainment of facts and exchange of informa
tion. However, communications which constitute or contain instructions
or authorizations to effect financial or property transactions will con
tinue to require Treasury license. Attention was directed to General
Licenses Nos. 72A and 39, which authorize certain transactional communica
tions relating to patents and the protection and management of property
located within foreign countries.
It was stated that remittance facilities to many of the areas are not
yet available. When these facilities are established, General Licenses
Nos. 32 and 33 will permit the sending of support remittances up to $500
a month through banking channels. Under Public Circular No. 28, which was
also issued today, these general licenses will not apply to Austria, how
ever. The restrictions on the use of currency, money orders, checks and
drafts for remittances still remain in effect for all the liberated areas.
Treasury officials emphasized that communication services with a number
of the liberated countries have not actually been reopened. As soon as
arrangements for transmitting transactional communications are established
with any country affected by today’s action, the Treasury Department will
be prepared, in appropriate cases, to license withdrawals from blocked
accounts in the United States to pay claims against persons in the country
involved. In general, an application for such a license should be supported
by a payment instruction or other acknowledgment by the debtor executed
after May 29, 1945. If an application is based on a court judgment, evidence
should be submitted that the debtor has received actual notice of the pro
ceedings and has had a reasonable opportunity to appear.
- oOo -
TREASURY DEPARTMENT
Washington
Press Service
No,. 46-33
The Treasury Department today amended its trading with the
enemy regulations by removing from the category of ”enemy territory,f the following countries:
Albania, Austria, Czechoslovakia,
Danzig, Denmark, the Netherlands, Norway and Yugoslavia,
Today*s action, constituting an amendment of General Ruling
No. 11, paves the way for the orderly resumption of commercial
ccmmunications with the liberated areas.
Treasury licenses will
not be' needed for the transmission of messages of a financial,
commercial, or business character which are limited to the
ascertainment of facts and exchange of information,
However,
communications which constitute or contain instructions or
authorizations to effect financial or property transactions will
continue to require Treasury license.
Attention was directed to
General Licenses Nos. 72A and 89, which authorize certain trans
actional communications relating to patents and the protection
and management of property located within foreign countries.
It was stated that remittance facilities to many of the
areas are not yet available. When these facilities are estab
lished, General Licenses Nos t. 32 and 33 will permit the sending
of support remittances up to ^500 a month through banking chan
n e l s / Under Public Circular No, 28, which was also issued today,
these general licenses will not apply to Austria, however.
The
restrictions on the use of currency, money orders, checks and
drafts for remittances still remain in effect for all the liber
ated a r e a s .
Treasury officials emphasized that communication services
with a number of the liberated countries have not actually been
reopened.
As soon as arrangements for transmitting transactional
communications are established with any country affected by
today’s action, the Treasury Department will be prepared, in
appropriate cases, to license withdrawals from blocked accounts
in the United States to pay claims against persons in the country
involved,. In general, an application for such a license should
be supported by a payment instruction or other acknowledgment by
the debtor executed after May 29, 1945.
If an application is
based on a court judgment, evidence should be submitted that the
debtor has received actual notice of the proceedings and has had
a reasonable opportunity to appear.
-oOo-
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, May 29* 1945»
Press Service
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated May 31 and to mature
August 30, 1945, which were offered on May 25, 1945, were opened at the Federal Reserve
Banks on May 28,
The details of this issue are as follows:
Total applied for - $2,043,109,000
Total accepted
— 1,314,409,000
Average price
(includes $51,401,OCX) entered on a fixed-price
basis at 99.905 and accepted in full)
- 99.905/ Equivalent rate of discount approx. 0.375% per annum
Range of accepted competitive bids:
- 99*910 Equivalent rate of discount approx. 0 .3 5 6 J? per annum
- 99.905
H
n
n
n
n
0.3765? *
n
High
Low
(6 0 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
f:
$
TOTAL
1,477,216,000
a , 4 1 5 ,0 0 0
2 5 ,0 9 0 ,0 0 0
2 0 ,3 8 5 ,0 0 0
3,800,000
2 6 3 ,0 0 1,0 0 0
7,381,000
1 1 ,5 8 0 ,0 0 0
13,781,000
1 4 ,0 5 0 ,0 0 0
117.340.000
3 2 ,110 ,0 0 0
928,336,000
28,575,000
2 5 ,090,000
1 6 ,505,000
3,800,000
161,341,000
6 ,30 1,0 0 0
9 ,380,000
1 2 ,3 8 1,0 0 0
1 3 ,250,000
77,340,000
$2,043,109,000
$1,314,409,000
48,070,000
TREASURY DEPARTMENT
Washington
Press Service
No * 46-54
F'OR RELEASE, MORNING NEWSPAPERS,
Tuesday, May 29, 1945.
_____
The Secretary of the Treasury announced last evening
/
that the tenders for $1,300,000,000,
or thereabouts, of 91-
day Treasury bills to be dated May 31 and to mature August 30,
1945, which were offered on May 25, 1945, were opened at the
Federal Reserve Banks on May 28•
The details of this issue are as follows:
Total applied for - $2,043,109,000
(includes $51,401,000
Total accepted
- 1,314,409,000
entered on a fixed-price basis at 99.905 and accepted in
full)
Average price
—
99.905% Equivalent rate of dxscount
approx. 0.375;$ per annum
Range of accepted competitive bids:
High
-
Low
-
99.910 Equivalent rate of discount
approx. 0•356% per annum
99.905 Equivalent rate of discount
approx. 0.376% per annum
(60 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
$■
48,070,000
1,477,216,000
41.415.000
26.090.000
20.385.000
3.800.000
263.001.000
7.381.000
I I ,580,0G0
15.781.000
14.050.000
117.540.000
$
TOTAL
#2,043,109,000
oOo
32,110,000
928.336.000
28.575.000
25.090.000
16.505.000
3.800.000
161.341.000
6.301.000
9.380.000
12.381.000
13.250.000
77.540.000
$1,314,409,000
J
THS4STJRY DEPARTMENT
Bureau of Internal Revenue
Washington 25, D. C*
***-*~»~t
.
L
__
j
Joseph D. Nunan, Jr., Commissioner of Internal Revenue, announced today
that the new $5.00 Automobile TJse Tax Stamps will be placed on sole in all
post offices and offices of collectors of internal revenue on Saturday,
June S, 1945.
The law requires the owner of every motor vehicle which is
used upon the highways to buy this stamp and to display it on the vehicle
beginning July 1, 1945.
The law provides both cash and jail penalties for failure to pay this
tax.
To protect themselves against unnecessary penalties, Commissioner Nunan
advised owners of motor vehicles not to be misled by false rumors alleging
that this tax has been repealed.
The stamps will be sold over the counter at all post offices and offices
of Internal Revenue collectors.
In addition, collectors of internal revenue
will fill mail orders when accompanied by cash, money orders or certified
checks.
Personal checks cannot be accepted for the purchase of revenue s'tamps.
The law requires that the stamp be prominently displayed on the motor
vehicle on and after July 1, 1945.
Where possible, the stamp should be placed
\ .
on the windshield as recommended by the proper officials of each State.
T.iotorjsbs will find that the stomps usually will stick better if they
the windshield instead of the stamp.
stamp.
dampen
They should avoid repeated dampening of the
Motorists who desire to do so may reinforce the stamp with adhesive
tape or similar aids.
To protect themselves against loss or theft, Commissioner Nunan a d v is e d
motorists to keep a separate record of the serial number which appears on each
stamp.
Motorists also are asked to write on the back of the stamp the make,
model, serial number and State license number of th<
y
r
0
TREASURY DEPARTMENT
Bureau of Internal Revenue
Washington
FOR RELEASE, MORNING.NEWSPAPERS,
Sunday, June 3, 1 9 4 5 * ______
Press Service
Noi 46-35
Joseph D* Nunan, Jr*, Commissioner of Internal Revenue,
announced today that the new $5*00 Automobile Use Tax Stamps
will be placed on sale in all post offices and offices of
collectors of internal revenue on Saturday, June 9, 1945*
The law requires the owner of every motor vehicle which is
used upon the highways to buy this stamp and to display it on
the vehicle beginning July 1, 1945.
The law provides both cash and jail penalties for failure
to pay the tax. To protect themselves against unnecessary
penalties, Commissioner Nunan advised owners of motor vehicles
not to be misled by false rumors alleging that this tax has been repealed*
The stamps will be sold over the counter at all post
offices and offices of Internal revenue collectors.
In
addition, collectors of internal revenue will fill mail orders
when accompanied by cash, money orders or certified checks*
Personal checks cannot be accepted for the purchase of revenue
stamps•
The law requires that the stamp be prominently displayed
on the motor vehicle on and after July 1, 1945* Where possible,
the stamp should be placed on the windshield as recommended by
the proper officials of each State.
Motorists
will find that the stamps usually will stick
better if they dampen the windshield instead of the stamp*
They should avoid repeated dampening of the stamp.
Motorists
who desire to do so may reinforce the stamp with adhesive
tape or similar aids*
/
s
\
To protect themselves against loss or theft, Commissioner
Nunan advised motorists to keep a separate record of the
serial number which appears on each stamp* Motorists also
are asked to write on the back of the stamp the make, model,
serial number and State license number of the vehicle*
oOo
K E IMMEDIATE gRTJCiSffi
May 29> IStó_______
The Bureau of Cust o m announced today preliminary figures shoving
the quantities of eoffee authorised for entry for consumption under the
quotas for the 12 months commencing October 1, 19bit, provided for in the
mtezHLmerican Coffee Agreement y proclaimed by the President on April 15,
1 9 bl, as followst
t
*
Authorised for entry
Coimtry of Production t Quota Quantity s
for consumption
t
(Founds) 1/
*
:
---------------------- i----------------- «, la at (Otte)___ « ' (Pounds)
Signatory Countries«
Brasil
Colombia
Costa Bica
Cuba
Dominican Bepublic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
1.73U,203,01*3
586,988,903
37.29U,689
11»,917,823
22,376,866
27^970^951
111,881»,067
w r 19,191*5
N
n
m
m y 2 6 ,191*5 2 /
my
19, 19l»5
«
m
991»,028,51*9
1*32,331,1»20
25,11*5,159
k,390,618
22,31*5,857
20,828,806
71*^256,621
55,652,61*1*
la^*13,098
99,763,353
51,280,231
3,729,522
88,571»,920
36i362i275
1»,661,803
78,318,900
import quota filled)
5l,9ia,257
May IP, 19US '
n
12,508,782
«
3,01*8,358
36,650,005
Non-Signatory Countries: 66,198,053
678,962
. « ■
1/ Quotes as of January 3, 191*5, determined by action o the Inter“ American Coffee Board on January 2, 191*52/
Per telegraphic reports.
TREASURY- DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, May 30, 1945,
Press Service
No-* 46-36
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas
for the 12 months commencing October 1, 1944, provided for in the Inter*»
American Coffee Agreement, proclaimed by the President on April 15, 1941, as
follows;
Country of Production
Authorized for entry
for consumption
; Quota Quantity
(Pounds) 1/
; As of
(Date)
(Pounds)
'
Signatory Countries;
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Vene zuela
;
1,734,203,043
586,988,903
37,294,689
14,917,823
22,376,866
27,970,951
111,884,067
99,763,353
51,280,231
3,729,522
88,574,920
36,362,275
4,661,803
78,318,900
Non-Signatory Countries;
66,198,053
May 19, 1945
ir
ti
«
May 26, 1945 2/
May 19, 1945 ”
ti
H
n
994,028,549
432,331,420 .
25,145,159
4,390,618
22,345,857
20,828,806.
74,256,621
55,652,644
41,413,098
(import quota filled)
May 19, 1945
51,941,257
It
12,508,782
tl
3,048,358
It
36,650,005
«
678,962
1/
Quotas as of January 3, 1945, determined by action of the InterAmerican Coffee Board on January 2, 1945.
2/
Per telegraphic reports.
foOo-
llllf
5/3/J yr
As another important step in the Treasury Departments
drive to detect and eliminate tax evasion, Secretary Morgenthau
announced today that instructions have been issued by the
Treasury Department requiring all financial institutions in
the United States to file reports of unusual currency trans
actions.
Included within this category are all currency
transactions *in amounts or denominations which, in the
judgment of the financial institutions, exceed those com
mensurate with the legitimate and customary conduct of the
business, industry, or profession of the person or organiza
tion concerned*.
Reports are required of all banks, build
ing and loan associations, securities and commodities brokers,
currency exchanges, and check cashing institutions.
The
instructions were issued under section 5(b) of the Act of
October 6, 1917 and other authority vested in the Secretary
of the Treasury, and are being transmitted to the various
financial institutions by the Federal Reserve Banks.
Secretary Morgenthau pointed out that the use of currency,
in an attempt to conceal income, is a factor in many tax
evasion cases now under investigation.
The Secretary said:
"The Treasury will pursue unrelentingly its campaign to
stamp out tax evasion.
*1 deplore deeply the fact that some people in the middle
of a war seek to defraud their government.
"If such frauds are not prevented, the net result will
be to throw a heavier burden upon the vast majority of our
50,000,000 taxpayers, who make honest returns and pay their
taxes in full, with the knowledge that the money is needed
to sustain the war effort.
"No honest person needs to fear the results of our
investigation, but the Treasury is determined to use all
available personnel and all legitimate methods to deal with
the cheaters.*
45 â
C>
TREASURY DEPARTMENT
Washington
FOR I M M E DIATE RELEASE,
Thursday, M a y 31, 1945«
Press Service
No* 46-37
As a n o t h e r important step in the T r e a s u r y D e p a r t m e n t s
drive to dete c t and eli m i n a t e tax evasion, S e c r e t a r y
M o r g e n t h a u a n n o u n c e d today that i n s t r u c t i o n s h a v e been^
issued h y the T r e a s u r y D e p a r t m e n t r e q u i r i n g all financial
institutions in the U n i t e d Stat e s to file reports of u n u s u a l
currency t r a n s actions.
I n c luded w i t h i n this c a t e g o r y are
all c u r r e n c y t r a n s a c t i o n s ” in amounts or d e n o m i n a t i o n s which,
in.the judgment of the financial institutions, e x c e e d those
commensurate w i t h the l e g i t i m a t e and c u s t o m a r y conduct of the
business, industry, or p r o f e s s i o n of the p e r s o n or o r g a n i z a
tion c o n c e r n e d ” ♦ Reports are re q u i r e d of all- banks, b u i l d
ing and l o a n a ssociations, s ecurities and c o m m o d i t i e s brokers,
currency exchanges, and c h eck ca s h i n g insti t u t i o n s .
The
instructions wer e issued u n d e r section 5(b) of the Act of
October 6, 1917 and o t h e r a u t h o r i t y vest e d in the S e c r e t a r y
of the Treasury, and are b e i n g t r a n s m i t t e d to the various
financial i n s t i t u t i o n s by- the Federal R e s erve Banks.
S e c r e t a r y M o r g e n t h a u p o i n t e d out that the use of currency,
in an a t t empt to conceal income, is a factor in m a n y tax e v a s i o n
cases n o w u n der in v e s t i g a t i o n .
The S e c r e t a r y -said:
”The T r e a s u r y will p u r s u e u n r e l e n t i n g l y its ca m p a i g n to
stamp out tax evasion.
”1 deplore d e e p l y the fact that some p e ople
of a w a r seek to d e f r a u d t h e i r g o v e r n m e n t .
in the m i d d l e
” If suc h frauds are n ot p revented, the n et result w i l l be
to t h r o w a h e a v i e r b u r d e n u p o n the vast m a j o r i t y of our
50,000.,000 taxpayers, w h o mak e h o n e s t returns a nd p a y t h e i r
taxes in full, w i t h the k n o w l e d g e that the m o n e y is n e e d e d to
sustain the w a r effort.
”N o h o n e s t p e r s o n n e e d s to fear the results o f our
investigation, bu t the T r e a s u r y is d e t e r m i n e d to use all
available p e r s o n n e l and all l e g i t i m a t e m e t h o d s to deal w i t h
the c h e a t e r s ♦”
oOo
tu r n
-3
-
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
I B M
- 2 %
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
submitting tenders will be advised of the acceptance or rejection thereof.
Those
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices coffered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
June 7« 1945 ________ •
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941, the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
m m .
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS:
Friday. June 1, 1945___________ •
The Secretary of the Treasury, by this public notice, invites tenders
for .$ 1.300,000,000 , or thereabouts, of
91 -day Treasury bills, to be issued
on“a discount basis under competitive and fixed-price bidding as hereinafter pro
vided. -The bills of this series will be dated
mature
September 6, 1945
z.
-—‘1
jg
interest.
June 7, 1945_______ and will
, when the face amount will be payable.without
They will be issued in bearer form only, and in denominations of $1,000,
$5 ,000, $10 ,000, $100,000, $500,000, and $1 ,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o’clock n.m.. Eastern War time,
Monday, June 4> 1945
Tenders will not be received at the Treasury Department, Washington.
Each tender
must be for an even multiple of $1 ,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g f, 99-925may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty ©f payment by an incoroorated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, Juné í, 1 9 4 5 « ____
5-31-45
The Secretary of the' Treasury, by this public notice,
invites tenders for $1,300,000,000, or thereabouts, of 91day Treasury bills, to be issued on a ‘discount basis under
competitive and fixed-price bidding a,s hereinafter provided»
The bills of this series will be dated June 7, 1945^ and will
mature September 6 , 1945, when the face amount will be payable
without interest.
They will be issued in bearer form only,
and in denominations of $>1,000, $>5,000, $10,000, $100,000,
$500,000, and $>1,000,000 (maturity value).
Tenders will bé received at Federal Reserve Banks arid
Branches up to t‘he: -closing hour, twor o* clock p,m,, Eastern
War time, Monday, June 4, 1945, Tenders will not be received
at the Treasury Department,- Washington, -Each tender must be
for an even multiple of $ 1 ,000, and thé price offered must be
expressed on the basis of 100 , with not more than three
decimalsi e. g., 99.925.
Fractioris m a y not’ be used.
It is
urged /that tenders be made :on the printed forms and forwarded
in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Tenders will be received without deposit from incorporated
banks and trust companies-and from responsible and recognized
dealers in investment securities. Tenders from' others must be
accompanied by payment o*f 2 percent of the face amount of
Treasury bills applied' for, unless the tenders are accompanied
by an express guaranty of payment by an incorporated bank or
trust company.
Immediately after the closing hour, tenders will be opened
at the Federal Reserve Banks and Branches, following which
public announcement will be made by the Secretary of the
Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or re
jection thereof. The Secretary of the Treasury expressly re
serves the right to accept or reject any or all tenders, in
whole or in part,cand his action in any such respect shall be
final.
Subject to these reservations, tenders for $ 200,000
or less from any one bidder at 99,905 entered on a fixed-price
basis will be accepted in full.
Payment of accepted tenders
at the prices offered must be made or completed at the Federal
Reserve Bank in cash or other immediately available funds on
June 7, 1945.
46-38
(Over)
* 2
The .income derive# from Treasury bills, whether interest
or gain from the sale or other disposition of the bills, shall
not have any exemption, as such, and loss from the sale or
other disposition of Treasury bills shall not have any special
treatment, as such, under federal tax Acts now or hereafter
enacted.
The bills shall be subject to estate, inheritance,
gift, or ‘other excise taxes, whether Federal or State, but
.shall be exempt from all taxation now or hereafter imposed on
.'the principal or interest thereof by any State, or any of the
possessions of the United States, .or by any local taxing
authority.
For purposes of taxation the amount of discount
at, which Treasury bills are originally sold by the United
States shall be considered to be interest. Under Sections 42
and 117 (a) (1) of the Internal Revenue Code, as amended by
Section 115 of the Revenue Act of 1941, the amount of discount
at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall b.e sold, -redeemed or otherwise
disposed of, and such bills are excluded from consideration
as capital assets*
Accordingly, the owner'of Treasury bills
(other than life insurance companies) issued hereunder'need
include in his income tax return only the difference between
the price paid for such bills, whether on original issue or on
subsequent purchase, and the amount actually received either
upon sale or redemption at maturity during the taxable year
for which return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and
this notice, prescribe the. terms of the Treasury bills and
govern the conditions of their issue.
Copies of the circular
may be obtained from any Federal Reserve Bank or Branch.
oOo
H
FOR IMMEDIATE RELEASE
May 30, 1945_______
The Bureau of Customs announced today that the quota of
795,000 bushels of wheat (other than wheat unfit for human
consumption), the produce of Canada, which may be entered for
consumption or withdrawn from warehouse for consumption during
the 12-month period beginning May 29, 1945, established by
the President’s Proclamation of May 28, 1941, as modified by
the President’s Proclamations of April 13, 1942, and April 29,
1943, was approximately 79 percent filled on the opening day
of the quota year.
^
p
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Thursday, May 31? 19 4 5 »
*
Press Service
No. 46-39
The Bureau of Customs announced today that the
quota of 795,000 bushels of wheat
(other than wheat
unfit for human consumption), the produce 'of
Canada, which may be entered for consumption or
withdrawn from warehouse for consumption during the
12-month period beginning May 29, 1945,
established
by the President’s Proclamation of May 28, 1941, as
modified by the President’s Proclamations of April 13,
1942, and April 29, 1943, was approximately 79 percent
filled on the opening day of the quota year..
-oOo-
TREASURY DEPARTANT
Bureau of Internal Revenue
Washington 25, D. C.
■7?
4 4
I s i
' '4 '
¿,
In order to assist war contractors, Joseph D. Nun an, Jr., Qommissioner
of Internal Revenue, today, made public a special memorandum summarizing the
applicable rule's of law governing the deduction of reconversion costs for
purposes of the income tax and excess profits tax.
The memorandum, designed as a guide both for employees of the Bureau of
Internal Revenue and the general public, is attached.
- 0
TREASURY DEPARTMENT
Bureau of Internal Revenue
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Wednesday, June 6, 3.945«________
Press Service
N o . 46-4-0
In order to assist war contractors,
Nunan,
Joseph D.
Jr., Commissioner of Internal Revenue, today
made public a special memorandum summarizing the
applicable rules of law governing the deduction of
reconversion costs for purposes of the income tax and
excess profits tax.
The memorandum, designed as a guide both for
employees of the Bureau of Internal Revenue and the
general public,
is attached.
-oOo
-v
TREASURY DEPARTMENT
Office of Commissioner of Internal Revenue
Washington 25, D* C*
Com,-Mimeograph
Coll, No, 5870
R. A* Ho, 1429
T, S. No, 3 7 2
1 June 1945
Treatment of Reconversion Costs of War Contractors
COLLECTORS OE INTERNAL REVENUE,
INTERNAL REVENUE AGENTS IN CHARGE,
BEADS OE FIELD DIVISIONS OF THE TECHNICAL STAFF,
AND OTHERS CONCERNED:
In a case of a war contractor who reconverts to peace-time produc
tion and incurs reconversion costs, such costs shall he treated for Fed
eral income and excess profits tax purposes in accordance with the fol
lowing:
(a) General rules applicable, — (l) Section 23(a)(1) of the
Internal Revenue Code provides that in computing net income there shall
be allowed as deductions all the ordinary and necessary expenses paid or
incurred in carrying on a trade or business, and section,29.23(e)—3, Reg
ulations 111, contains provisions for deducting losses where property is
abandoned or discarded, (2) Section 24 of the Code provides that in
computing net income no deduction, shall in any case be allowed in respect
of any amount paid for new buildings or for permanent improvements or
betterments made to increase the value of any property, or in respect of
any amount expended to restore property.
(b) Scope of deductible reconversion costs» — In general such
costs include the expenditures necessary to restore the plant layout to
an operating condition substantially equivalent to that existing when it
was converted to war production. The term does not include costs which
result in enlargement or substantial improvement of the facilities over
their condition prior to conversion to war purposes. Ordinarily the full
cost of converting newly acquired war facilities shall be capitalized*
For example, -in the case of facilities which were constructed or acquired
for war production purposes and are owned by the Government, if a taxpay
er acquired any such facilities with a view to rehabilitating or remodel
ing them and making them suitable for his peace-time production, no loss
is deductible by reason of any demolition cost in remodeling the facili
ties, and the cost of remodeling constitutes a capital expenditure, A
similar rule is applicable with respect to facilities, the entire cost of
which is being recovered by the taxpayer through amortization deductions
under section 124 of the Internal Revenue ‘Code*
(c) 'Costs not borne by taxpayer,
If & taxpayer is definitely en
titled to compensation or reimbursement for any item of reconversion cost
(over)
Com.-Rim., C o U - to. 5870-
2
incurred, as, for example, where there is specific provisi-oïi therefor in
an-agreement, the amount of the item, to the extent deductible, shall he
deducted in computing net income for the taxable year for which the com
pensation for such item is includible in gross income; and if the. com
pensation or reimbursement is not includible in income, the amount'of
such item, to the extent that it does not exceed the amount of the com
pensation or .reimoursement, shall not be deductible for any taxable year*
Removal of war facilities and materials, — 'Subject to the ex
ceptions stated in this paragraph and in the preceding paragraph, the
costs of removing war facilities and materials from the contractor* s plant
shall be deducted in computing net income for the taxable year in which
such costs are incurred. In the case of facilities subject to deprecia
tion at rates based on cost less net salvage value (i,e, gross salvage
value less cost of removal), the cost of removal of such facilities shall
be deductible only to the extent that they exceed the amount deducted
thereior in computing such net salvage value* In the case of a facility
subject bo amortization deductions under-section 124 of the Internal Reve
nue Code, as amended, the cost of removing such facility is deductible
only to the extent' that it exceeds'the salvage value of thé facility at
the time o f removal •
boss of.useful value of facilities, — If upon termination of
war production or upon reconversion to peace-time production, a facility
is abandoned or permanently discarded within the meaning of section 29.23
(e)— 3 of Regulations 111, a deduction for loss of useful value is allowa
ble ¿or the taxable year in which the. facility is so abandoned or dis
carded, regardless of whether the facility is an emergency facility with
in the meaning of section 124 of the Internal Revenue Code, as amended
(cf* 1,1. 3652, I.R.B, 1944-7, 4), See, however, the above paragraph (c),
The adjusted basis of the facility for the purpose of determining the
-amount of such loss shall be the adjusted basis at the date the facility
is abandoned or discarded.
l||r fCcst of moving-machinery * •— As used in this paragraph, the
tJcost of moving” includes expenses incidental to rearranging machinery
for peacetime-production and does not include installation or réinstalla
tion costs which are discussed in paragraph (g), below* Where machinery
was removed from the plant in converting to war production, the cost of
»moving such machinery to the plant in .reconverting is deductible in com
puting net income for-the taxable year in which the expense is .incurred*
A. Similar .deduction is allowed for the cost of moving .machinery from one
location to another within the plant. Also, where machinery installed by
the contractor for. war production purposes is to be used by the contrac
tor in peace—time production, the cost of moving such machinery in re
arranging ^the plant is deductible. The rule stated in the preceding
sentence is not applicable in the case of Government-owned machinery
which is acquired and moved by the taxpayer, if. the Government is obli
gated to remove the machinery* ■
(g)
•Re installation of machinery, — When machinery is purchased and
set up ready for use, ordinarily the cost of such installation is part of
the original cost of such machinery and constitutes a capital expenditure.
C o m . - M i m . Coll. Ho. 5870
"3 —
for the machinery is not ready for use until installed and the installing
of machinery constitutes an improvement. MacAdam and poster, Inc., 8
B.T.A. 967. In-some circumstances, however, as in the case of heavy ma
chine s, the cost of foundations and the installation costs may he charged
to separate accounts, rather than to the cost of the machine. In such
eases, the cost of,the original foundations and original installations,
less depreciation accrued thereon and less the salvage value thereof, con
stitute a deduction at the time they were removed to convert to war pro.duction, -provided that such deduction was taken by the taxpayer in filing
his return for the year of removal# Upon reconverting.to peace-time pro
duction, .the cost of new foundations or installations in such cases shall,
to the extent of the adjusted basis of the old foundations at the time of
their removal, he* treated as capital expenditures. If any such foundations
were constructed for war production purposes or any such installations were
made for such purposes, and if in- reconverting to pea.ce—time production^such
foundations or installations are removed, the cost thereof, less deprecia
tion or amortization to the date of the removal and less any salvage value,
constitute a deduction in computing net. income for the taxable year ofrthe
removal* In the case of machinery which was installed for war production
purposes and is moved and reinstalled for peace-time production, if the
entire cost of installation is being recovered through amortization under
section 184 of the Code, as amended, the cost of reinstallation is not
deductible and shall be capitalized as part of the cost, of the machinery*
The installation cost with respect fo new machinery replacing old machin
ery which was abandoned upon conversion to war production or which is un
usable. upon reconversion to peace-time production, and the installation
cost of any other additional machinery, constitute capital^expenditures*
Also, the costs of reinstalling Government—owned machinery which is
acquired and moved by the taxpayer, constitute capital expenditures. Sub
ject to the foregoing, if the original installation cost was not deducted
for the taxable year in which the machinery was moved in converting to war
production, the cost of reinstalling such machinery is deductible in;com
puting the taxable income for the year in which such cost is incurred*' •
For the purpose of the foregoing provisions of this paragraph, "machinery*1
includes machines; electrical apparatus such as generators, motors, etc,;
electrical accessories; ovens and furnaces; conveyor equipment, provided
that they are movable. See, also, the above paragraph, (c),
(h)
Cost of reconverting building. — As used herein, the term
"building" includes piping, wiring, fixtures and other building equipment
which constitute an integral part of the building and are necessary for
the general purpose for which the building would ordinarily be used in
peace— time production. For example, such equipment may include plumbing
and toilet facilities, water, *sewer and drain pipe» sprinkler and fire
protection systems, power wiring from connections with main line systems
.to wall outlets, lighting wiring, heating systems (including boilers,
furnaces, and accessories) installed, within the building, ventilating
systems, elevators, fire escapes, and steel floor plates which serve as a
part of the floor. For Federal income and excess profits tax purposes, a
building, together with all such equipment, may be included in one account
with a composite rate of depreciation, or the building equipment may be
set up in separate accounts, in which efent separate rates of deprecia
tion may be applicable to the particular items. If in converting toowar
(over)
Com.-Mim., Coll. .Ho. 5870
4
production any part of a "building was demolished by a taxpayer, ordina
rily such taxpayer is entitled, in computing net income for the taxable
year of such demolition,, to deduct the undepreciated cost of the part of
the building demolished, For example, if in making alterations for. the
purpose of converting to war production the taxpayer tore out a wall,
discarded floors* or changed the roof and ceiling, the depreciated cost
of the portion of the building so demolished constitutes aTproper deduc
tion in computing net income for the year in which the demolition occurred.
In some cases, however, it will be very difficult to establish the unde
preciated cost of the portion of the building removed or demolished. Cf.
great Hardware Co.. 6 B.T.A* 768, In such cases, where the taxpayer has
not claimed and is not allowed any deduction of a loss for the taxable
year of the removal or demolition, and it is not feasible to determine
the amount of such-loss, if upon reconverting to peace-time production
the parts of the building, so removed or demolished are replaced to re
store the building to its original condition, the taxpayer may, in com
puting net income for the taxable year of the change, deduct the cost of
making the restoration or replacement. If, however, the part of the build
ing previously removed or demolished is, upon reconversion to peace-time
production, replaced with a new and improved type of material or device,
the amount allowable as a deduction in computing net income for the taxa
ble year of the reconversion shall not exceed a reasonable estimate of
the amount necessary to restore such part of the -building to its original
condition. The provisions of the preceding sentence are not applicable
where, for example, the taxpayer installs a new heating, sprinkler, or
ventilating system, for in such case the amount of loss deductible for
the taxable year in which the old system was discarded is reasonably
ascertainable. However, the taxpayer is entitled to deduct as ordinary
and necessary business expenses (l) the cost of removing and relocating
any building equipment which was moved and relocated for war production
purposes and which, upon conversion to peace-time production, must again
be moved and relocated, and (2) the costs of reinstalling any building
equipment which was removed'and stored during the period of war produc
tion, The provisions of the preceding sentence are applicable, for
example, in a case of pipe, wiring, and building fixtures. See, hoxtfever,
the above paragraph (c).. The foregoing provisions of this paragraph are
applicable in the case of a lessee of a building with respect to which
changes were made to adapt it to war production purposes. Furthermore, ifthe lessee is under an obligation to restore any part of the premises to
substantially its former condition, the entire cost of. making such restora
tion is deductible in computing net income for the taxable year in which
such cost is incurred.
(i)
Repairs. — The cost of incidental repairs made in connection
with reconversion to peace-time production is deductible in computing net
income for the taxable year in which the-repairs are made. Such repairs
are limited to those which'do not materially add to the value of the prop
erty or appreciably prolong its life. See section 29.23(a)-5, Regulations
111, Among the items included in this category are. for example, the cost
of painting; replacing broken, damaged, or short-lived parts of machinery;
replacing defective parts of a wiring system; and replacing broken or wornout rails in a transportation system. S©e, however, the above paragrapn \w*
Correspondence in regard to this mimeograph should refer to its number
and the the;"symbols ITjHDC.
JOSEPH D. 1TU1TAE, Jr.,
Commissioner.
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Monday. June 4« 1945#
Tress
Service
L f b ^ (
The Secretary of the Treasury today announced the final subscription and
allotment figures with respect to the current offering of 0.90 percent Treasury
Notes of Series 0-1946, open to the holders of 7/8 percent Treasury Certificates
of Indebtedness of Series 01945, which matured June 1, 1945, and Home Owners*
Loan Corporation 1-1/2 percent Bonds of Series M-1945-47,which were called for
redemption on June 1, 1945*
Subscriptions and allotments were divided among the several Federal Reserve
Districts and the Treasury as follows:
Federal Reserve
District
Boston
New Torfe
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St# Louis
Minneapolis
Kansas City
Dallas
San Francisco
Treasury
TOTAL
Certificates
Exchanged
$ 209,732,000
2,346,104,000
125 ,276,000
184,736,000
66,104,000
90,132,000
434,318,000
113,101,000
59,475,000
128,623,000
70,830,000
354,574,000
3,889.000
$4,186,894,000
Total
Exchanges
HOLC Bonds
Exchanged
# 3,438,000
394,206,000
67,285,000
16 ,125,000
8 ,649,000
4,905,000
63,189,000
1 1 ,461,000
7,354,000
8,098,000
7 ,022,000
129,978,000
807.000
$722,517,000
213,170,000
2,740,310,000
192,561,000
I
200,861,000
74 ,753,000
95,037,000
497,507,000
124,562,000
66,829,000
136 ,721,000
77,852,000
484,552,000
4.696.000
$4,909,411,000
TREASURY DEPARTMENT
Washington
Press Service
No, 46-41
TOR I M M E D I A T E RELEASE,
Monday, June 4, 1945«
The Secretary of the Treasury today announced the final sub
scription cand allotment figures with respect to the current offer
ing of 0,90 percent Treasury Notes of Series D-1946,
open to the
holders of 7/8 percent Treasury Certificates of Indebtedness of
Series C-1945, which matured June 1, 1945, and Home Owners’ Loan
Corporation 1-1/2 percent Bonds of Series M-1945-47, which were
called for redemption on June 1, 1945Subscriptions and allotments were divided among the several
Federal Reserve- Districts and the Treasury as follows:
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St, Louis
Minneapolis
Kansas City
Dallas
San Francisco
Treasury
TOTAL
HOLC Bonds
Exchanged
Certif icates
Exchanged
Federal Reserve
District
$
2 0 9 ,7 3 2 ,0 0 0
2 ,3 4 6 ,1 0 4 ,0 0 0
125 ,2 7 6 ,0 0 0
184, 7 3 6 , 0 0 0
66,1 0 4 ,0 0 0
90 , 1 3 2 , 0 0 0
434 , 3 1 8 , 0 0 0
113 , 1 0 1 , 0 0 0
5 9 , 475,000
128, 6 2 3 , 0 0 0
70 , 8 3 0 , 0 0 0
354, 574,000
3,8 8 9 ,0 0 0
$ 4 ,18 6 ,894,000
$
3 , 438,000
394, 206,000
6 7 ,2 8 5 ,0 0 0
16, 1 2 5 , 0 0 0
8,6 4 9 ,0 0 0
4 , 905,000
63 , 1 8 9 , 0 0 0
.1 1 , 4 6 1 , 0 0 0
7 , 354,000
8,0 9 8 ,0 0 0
7, 0 2 2 , 0 0 0
129, 9 7 8 , 0 0 0
Total
Exchanges
$
2 1 3 ,1 7 0 ,0 0 0
2 , 7 4 0 ,3 1 0 ,0 0 0
807,000
19 2 ,5 6 1,0 0 0
200, 861,000
74, 753,000
95 , 037,000
497, 507,000
124, 5 6 2 , 0 0 0
66, 8 2 9 , 0 0 0
136, 7 2 1 , 0 0 0
7 7 , 852,000
484, 552,000
4,6 9 6 ,0 0 0
$ 72 2 ,5 17 ,0 0 0
$ 4 ,9 0 9 ,4 11,0 0 0
-oOo-
FOR IMMEDIATE RELEASE
U June X9k$
The Bureau of Customs announced today that the tariff-rate
quota of fish, fresh or frozen (whether or not packed in ice),
filleted, skinned, boned, sliced, or divided into portions, not
specially provided fort cod, haddock, hake, pollock, cusk, sad
roseflsh, was approximately 90% filled as of May 26, 1
Im
porters are required to deposit estimated duties at the full
tariff rate on all entries for consumption of quota-class fish
during the period June 6 to December 31» 19U5, pending determina
tion of the quota status of such importations.
. TREASURY DEPARTMENT
Washington
FOR I M M E D I A T E R E L E A S E
M o n d a y , June,, 4, 1945
Press Service
^T° • 46-42
The B u r e a u of Cu s t o m s a n n o u n c e d
rate quota of fish,
p a c k e d in ice),
f r e s h or f r o z e n
filleted,
d i v i d e d into portions,
haddock,
hake,
m a t e l y 90%
pollock,
cusk,
honed,
or not
sliced,
and rosefish,
1945.,
estimated duties
entries
(whether
or
s p e c i a l l y p r o v i d e d for:
filled as of M a y 26,
q u i r e d to d e p o s i t
rate on all
not
skinned,
t o day that the tari f f
was a p p r o x i
I m p o rters
at the
are
d e t e r m i n a t i o n of the q u o t a
status
31,
re
full t a r i f f
for c o n s u m p t i o n of q u o t a - c l a s s
d u r i n g the p e r i o d June 6 to D e c e m b e r
cod,
1945,
fish
pending
of such importations.
TREASURY DEPARTMENT
Washington
Press Service
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, June 5» 194$.
- 4 i
Ä
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000,
or thereabouts, of 91-day Treasury bills to be dated June
September 6, 1945, which were offered on
June
7
and to mature
1, 1945, were opened at the Federal
Reserve
Banks on June 4*
The details of this issue are as follows:
Total applied for - 12,071,391,000
Total accepted
- 1,302,293,000
(includes $50,554,000 entered on a fixed-price
basis at 99.905 and accepted in full)
Average price
- 99.905/ Equivalent rate of discount approx. 0.375% per annum
Range of accepted competitive bids:
High
Low
- 99.903 Equivalent rate of discount approx. 0.3&4$ per annus
- 99.905
"
•
*
*
»
0.376$ •
*
(5S percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
*
#
TOTAL
55,605,000
1,459,375,000
¿6,325,000
20,975,000
30,145,000
4,210,000
316,661,000
34,505,000
4,420,000
15,025,000
12,635,000
71.510.000
1 2 ,0 7 1 ,3 9 1 ,0 0 0
32,967,000
382,367,000
3 3 ,72 5 ,0 0 0
20,975,000
2 7 ,0 3 7,0 0 0
3,960,000
203,072,000
21,023,000
4,000,000
12,757,000
11,165,000
¿9,250.000
H , 302,298,000
TREASURY DEPARTMENT
Washington
P r ess
POR RELEASE, MORNING- NEWSPAPERS,
Tuesday, June 5, 1943»
_____ _
Service
No
46-43
The Secretary of the Treasury announced last evening that the
tenders for § 1 , 3 0 0 , 0 0 0 , 0 0 0 ,
or thereabouts,
of 91-day Treasury
bills to be dated June 7 and to mature September 6, 1945» Which
were offered on June 1, 1945» were opened at the Lederai Reserve
Banks on June 4.
The details of this issue are as follows î
T otal applied for - §2,071,391»000
Total accepted
1 , 3 0 2 , 2 9 8 , 0 0 0 (includes $ 5 0 , 5 5 4 , 0 0 0
e n t e r e d on a f i x e d - p r i c e basis at 99*905 a n d a c c e p t e d in
full)
Average price
- 99 •905//Ecvuivalent r a t e of d i s c o u n t a p p r o x
0*375$ per annum
R a n g e of a c c e p t e d c o m p e t i t i v e bids:
High
- 9 9 , 9 0 8 E q u i v a l e n t r a t e of di s c o u n t a p p r o x
Low
- 9 9 . 9 0 5 E q u i v a l e n t r a t e of di s c o u n t a p p r o x
0,364$ per annum
0.376$ per annum
(58 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
A p p l i e d fo r
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St'. Louis
Minneapolis
Kansas City
Dallas
San Francisco
$
ft
TOTAL
55,605,000
1,459,375,000
4 6 ,325 ;000
20,975,000
30.145.000
4,210,000
316,661,000
34.505.000
4 ,4 2 0 ,0 0 0
52.967.000
,
882 367,000
33.725.000
20.975.000
27.037.000
3,960,000
,
203 072,000
21.023.000
4, 0 0 0 , 0 0 0
15.025.000
12.635.000
71,510,000
$2 ,071 ,391,000
$1 ,302,298,000
FOR IMMEDIATE RELEASE
'
June Jj+ 19^5
The
Bureau of Customs announced today preliminary figures showing
the quantities of coffee authorized for entry for consumption under the
quotas for the 12 months commencing October 1, 1 9 ^ » provided for in
the Inter-American Ooffee Agreement, proclaimed by the President on
April 15, 19^1, as follows*
f
e
Country of Production
t
s
Quota Quantity
(Pounds) 1/
:
:
:
Authorized for entry
for consumotion
As of (Date) : (Pounds)
Signatory Countries:
Brazilx
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Hicaragua
Peru
Venezuela
Ron-Signatory Countries:
2,353,628,932
796.799,513
50,615,676
20,296,297
30,369.379
37.961,757
151,897,028
135.396,920
69,596,621
5,061,591
120,212,296
99,350.32*
6,326,893
106,292,893
89,892,785
1995
998,676,789
993,201,212
June 2, 1995
Kay 26, 1995
25,196,092
9,390,6l§
22,366,126
2 0 #S2S,S06
73,322,089
55,652.699
93,151.689
Hay
26,
»
N
S
R
«
R
2/
(import Quota Pilled)
52,701,544
May 2b, 1945
tt
12,508,782
H
3,169.272
n
39,581,221
•
678,979
1/
Quotas as of June 1, 19*M>, determined by action of the Inter-American
Coffee Board on Hay 29, 19^5.
Zj
Per telegraphic reports.
✓
TREASURY DEPARTMENT
Washington
Press Service
46-44
FOR IMMEDIATE RELEASE,
Wednesday, June 6, 1945,
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas for
the 12 months commencing October 1, 1944, provided for in the Inter-American
Coffee Agreement, proclaimed by the President on April 15, 1941, as follows:
Country of Production
:
:
Authorized for entry
for consumption
Quota Quantity •
: As of (Date) : (Pounds)
(pounds) l /
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
2,353,628,932
796,794,513
50,615,676
20,246,297
30,369,379
37,961,757
151,847,028
135,396,920
69,596,621
5,061,541
120,212,296
49,350,324
6,326,893
106,292,893
Non-Signatory Countries:
May 26, 1945
tt
tt
t:
June 2, 1945 2/
May 26, 1945
tt
tt
tt
(import Quota Pilled)
May 26, 1945
89,842,785
tt
tt
tt
tt
998,676,789
443,201,212
25,146,042
4,390,619
22,366,126
20,828,806
73,322,084
55,652,644
4$, 151,684
52,701,844
12,508,782
3,169,272
39,581,221
678,974
1/
Quotas as of June 1, 1945, determined by action of the Inter-American
Coffee Board on May 29, 1945*
2/
Per telegraphic reports.
-oOo-
Supreme Court Justice Owen J. Roberts has agreed
to act as Contest Judge in the selection of a quotation
from the works of the late President Roosevelt for use
in the Eighth War Loan, it was announced today J
The contest, open to Washington newspapermen,
radio newsmen and photographers, closes at midnight,
Friday, June 15.
Secretary of the Treasury Morgenthau has offered
a $100 War Bond as first prize, and bonds of $50 and
$25 as second and third prizes.
The winning quotation
will be engraved on a War Bond of a new denomination to
be issued
in the Eighth War Loan.
A picture
of the late President also will be on the bond.
Entries must be made on a formal entry blank,
which may be obtained at the Treasury Public Relations
Office, and mailed to the Chairman or Acting Chairman
of the Daily, Radio, Periodical
Photographers* Galleries.
TREASURY DEPARTMENT
Washington
FOR I M M E D I A T E R E L E A S E
W e d n e s d a y , June 6, 1945
Press S e r vice
No, 46-45
S u p r e m e C o u r t Justice O w e n J * R o b e r t s h a s * a g r e e d
to act as C o n t e s t
f r o m the w o r k s
Judge
of the late
in the E i g h t h W a r Loan-,
The
in the
contest,
s e l e c t i o n of a q u o t a t i o n
President Roosevelt
for use
it was a n n o u n c e d t o d a y •'
open to W a s h i n g t o n n e w s p a p e r m e n ,
n e w s m e n and photog r a p h e r s ,
closes at midnight,
radio
Friday,
June 15;
S e c r e t a r y o f the T r e a s u r y M o r g e n t h a u has
$ 1 0 0 W a r B o n d as first prize,
second an d t h ird prizes.
and b o n d s
offered a
of $ 5 0 a nd $ 2 5 as
T h e w i n n i n g q u o t a t i o n w i l l be
e n g r a v e d on a W a r B o n d of a n e w d e n o m i n a t i o n to be
in the E i g h t h W a r Loan.
issued
A p i c t u r e of the late P r e s i d e n t
also wil l be on the bond.
E n t r i e s m u s t be m a d e on a formal
e n t r y blank,
which
m a y be o b t a i n e d at the T r e a s u r y P u b l i c R e l a t i o n s Office,
and m a i l e d
Radio,
to the C h a i r m a n or A c t i n g C h a i r m a n of the Daily,
P e r i o d i c a l a nd P h o t o g r a p h e r s ’ Galleries.'
|
-■oOo-
2
the bonds#
Since the bonds, all dated June 15> 1936, were of
nine-year maturity, interest on them will cease on June 15*
It
is of advantage to veterans therefore not only to exchange their
unmatured certificates for bonds but to exchange them not later
than June 15, Secretary Morgenthau pointed out#
. Certificates intended for exchange for bonds must be sub
mitted to the Veterans Administration, which forwards authority
to the Treasury for issuance of the bonds#
When Adjusted Service Certificates are held to maturity, and
not exchanged for bonds, the maturity value*of the certificates
is paid through the Veterans Administration#
-oOo-
4
=\_ )
7
L
¿
7
^
All 3 percent Adjusted Service Bonds of 1945» issued to
Veterans of World War I, will mature and will cease to bear
interest on June 15» Secretary Morgenthau said today.
He
added, however, that the Treasury will continue to issue these
bonds after that date in exchange for unmatured Adjusted
Service Certificates.
The bonds, when so issued, will be
eligible for immediate payment.
According to information from the Veterans Administration,
some veterans still are holding unmatured certificates; Failure
to exchange these (for)bonds before the certificates mature
causes each certificate holder to lose 3 percent interest per
annum for a period of nine years on his certifícateos matu
rity value.
This is a loss of $270 on a certificate
with the
value of $1,000, or of about $400 on a certificate with the
maximum value, which was approximately $1,500.
Secretary Morgenthau recalled that, originally, qualified
World War I veterans received Adjusted Service Certificates,
which in effect were 20-year endowment insurance policies
maturing in 20 years.
Most of these certificates were issued
as of Jan. 1, 1925, but others bore later issue dates.
Certi
ficates which have not matured are those bearing issue dates
of July 1, 1925, or later.
In 1936» Congress authorized the issuance of Adjusted
Service Bonds to each certificate holder, in the amount of the
maturity value of the certificate.
The bonds could be cashed
immediately? if held, 3 percent interest per annum accrued on
V E T E R A N S A DMI NIS TRA TI ON
W A S H I N G T O N 25, D. C.
June 6, 1945
O F F IC E OF
T H E A D M IN IS T R A T O R O F
V E T E R A N S A F F A IR S
Mr. Chas. P. Shaeffer
Director of Public Relations
Treasury Department
Washington, D. C.
Dear,.Mr. Shaeffer :
We have read the attached and it is cleared for
release•
Thank you for submitting this to us.
Sincerely yours,
EDWARD McE. LEWIS
Director, Public Relations
1
yiCTORY
BUY
U N IT E D
STA TES
.WAR
ONDS
AND
¡TAMPS
TREASURY DEPARTMENT
Washington
FOR RELEASE, A F T E R N O O N N E W S P A P E R S ,
Thursday, June 7, 1945__________ _
Press Service
^°*
All 3 p e r c e n t A d j u s t e d S e r vice B o n d s of 1945, issued to
Veterans of W o r l d W a r I, w ill m a t u r e and will cease to b e a r
interest on June 15, S e c r e t a r y M o r g e n t h a u said today.
He
added, however, that the T r e a s u r y w i l l continue to issue
these b o n d s a f t e r that date, in ex c h a n g e for u n m a t u r e d A d
justed S e r v i c e Certificates.,
The bonds,- w h e n so issued,
will be el i g i b l e for immediate payment..
A c c o r d i n g to i n f o r m a t i o n f r o m the Veterans A d m i n i s t r a t i o n ,
some v e t erans st4.ll are h o l d i n g u n m a t u r e d c e r t i ficates.
Failure to exchange these for b o n d s befOiU^ ..the- cert if le a es
m a t u r e causes e a c h cert i f i c a t e h o l d e r to lose 3 pe r c e n t
interest per a n n u m for a p e r i o d of n ine y e ars on his c e r t i
f i c a t e ’s m a t u r i t y value.
This is a loss of $ 2 7 0 on a c e r t i
ficate w i t h the value of $1,000, or of a b out $ 4 0 0 on a
c ertificate w i t h the m a x i m u m value, w h i c h was a p p r o x i m a t e l y
$1,500.
S e c r e t a r y M o r g e n t h a u r e c a l l e d that, originally, q u a l i
fied W o r l d W a r I V e t erans r e c e i v e d A d j u s t e d S e r v i c e C e r t i
ficates, w h i c h in effect wer e 2 0 - y e a r e n d o w m e n t insurance
policies m a t u r i n g in 20 years.
Most of these c e r t i f i c a t e s
were issued as of J a n u a r y 1, 1925, but others bore l a ter
issue dates*
C e r t i f i c a t e s w h i c h hav e not m a t u r e d are those
b e a r i n g issue d a t e s of J uly 1, 1925, or later;*
In 1936,- C o n g r e s s a u t h o r i z e d the i s s u a n c e of A d j u s t e d
Service B o n d s to e ach c e r t i f i c a t e h o l d e r r in thé amount of
the m a t u r i t y value of the c e r t i ficate.
The b o nds c o üld be
cashed i mmediately; if held, 3 p e r c e n t interest p er a n n u m
accrued on the bonds.
Since the bonds, all d a t e d June 15,
1936, were o f n i n e - y e a r maturity, interest on t h e m w ill cease
on June 15.
It is of a d v a n t a g e to vet e r a n s the r e f o r e not
only to excha n g e t h eir u n m a t u r e d c e r t i f i c a t e s for b o n d s but
to exchange t h e m n o t l a ter than June 15, S e c r e t a r y M o r g e n t h a u
po i n t e d out.
C e r t i f i c a t e s i n t ended for excha n g e for bonds m u s t be
m i t t e d to the Veterans A d m i n i s t r a t i o n , w h i c h forwards
a u t h o r i t y to the T r e a s u r y for i s s uance of the b o nds.
sub
W h e n A d j u s t e d S e r v i c e Certificate's are h e l d to maturity,
and n ot e x c h a n g e d for bonds, the m a t u r i t y value o f ^the c e r
tificates is p a i d t h r o u g h the Veterans A d m i n i s t r a t i o n .
-oOo-
r
(th e
does
lig h t
o f p r e v a ilin g
c o n d itio n s
th e d e te r m in a tio n o f th e
*“
r e m it
in
d o lla r s
to
ra te
in
fo r - o th e r Jap an ese
* " n “ *•
th e U n ite d
t h e i r p a y w h ic h t h e y r e c e i v e d
in
yen.
fo r c e s u se yen fo r m ilita r y
w i l l he ch arged
c o n tr o l o f th e
fo r
C o n g ress
at
“ T
o v e r th e e x p e n d itu r e s
a ll
in v a d e d .
-
o r an y p o r tio n o f
and s a i l o r s
d o lla r cu rren cy .
th e r e le v a n t
e q u iv a le n t
to he
- 1 *"*1
ra te
s o ld ie r s
b y th e m f o r
e x p e n d itu r e s ,
th e d o l l a r
th e above
U .S .
and/stfx&L n o t p r e j u d i c e
a reas y e t
D -£ - “ “
S ta te s
a r e a m ay e x c h a n g e y e n c u r r e n c y h e l d
tio n s
th e E yu kyu I s la n d s
le a v in g
th e
When U . S .
A rm y a n d H & vy a p p r o p r i a
th e re o f.
o f th e U .S .
In t h is
fo rc e s
m anner th e
is
m a in ta in e d .
17 Hay 19 ^ 5
■
r\2HS SHEiSUHY,
l■— ■— -
RJSD H O T BEPOTMESSS
A
M
■1w i
9 1
ji
(United States Army and Havy forces are using a supplemental .military cur
rency denominated in yen in the invasion of Okinawa and other islands of the
Qyukyu group. ]This military yen currency has been issued in seven denominations,
namely, 10 and 50 sen and 1, 5> 10» 20 and 10 0 yen.
yen.
There are 10 0 sen to the
The notes in denominations of 10 sen, 50 sen, and 1 yen are one-half the
size of U.S. dollar currency.
The 5 yen and 10 yen denominations are somewhat
l&ri^r'panel 20~yen" and 100 yen notes are the size of the U.S. dollar note. JThe
A
notes hear on their face the words HMilitary Currency11 in Bnglish and in Japanese
and on the reverse side the legend «Issued Pursuant to Military Proclamation«
in hoth languages.
jElitary yen will supplement the local currency; not replace it.
This.,
supplemental military yen, other legal tender local currency and notes of the
Bank of Taiwan and of the Bank of Chosen are interchangeable within the area
without distinction at one for one.
However, Japanese military yen scrip is
not, of course, accepted hy U*S. forces.
Supplemental military yen currency
notes were produced in the United States for the military commander who in the
areas occupied by- the forces under his command has all the powers necessary
for carrying out governmental functions including the right to establish and
maintain an adequate and effective circulating medium.
Shis is in accordance
with International law, the Hague Conventions and decisions of the Supreme Court
of the United States.
Vito general rate of exchange between the yen and the dollar has been establrs.il
For pay of troops and military accounting purposes,
of 1 yen to 10 cents is being used.
h o w e v e r ,
a provisional basis
Shis provisional rate was determined in
V,
TREASURY DEPARTMENT
Washington
Press Service
No. 46-47
FOR RELEASE, M O R N I N G n e w s p a p e f s
Fr id ay. June 8, 1945.
The Treasury, W a r a n d N a v y D e p a r t m e n t s
t o d a y issued the f o l l o w
ing 'joint statement.:
*
U n i t e d States A r m y and N a v y forces are u s i n g a ^ s u p p l e
m e n t a l m i l i t a r y cu r r e n c y d e n o m i n a t e d in y e n in the invasion
of O k i n a w a ' a n d other islands of the R y u k y u group.
This m i l i t a r y y e n c u r r e n c y h as b e e n i s sued in seven
den o m i n a t i o n s , namely, 10 and 50 sen and 1, 5, 10, 20 and
The n o t e s in de100 yen.
T h e r e are 1 00 sen to the yen,
n o m i n a t i o n s of 10 sen, 50 sen, and 1 y e n are o n e - h a l f the
size of the U.S. d o l l a r currency.
T he 5 y
_ e n and 10 7/en
d e n o m i n a t i o n s are s o m ewhat l a r g e r than the sen notes, ana
20 y e n and 1 00 y e n n o t e s are the size of the U.S. d o l l a r
note.
The notes bear on their face the words "Military
Currency" in English and in Japanese and on the reverse
side the l e g e n d "Issued Pursuant to Military Proclamation
in b o t h languages.
M i l i t a r y y e n will sup p l e m e n t the local currency; not
replace it.
This s u p p l e m e n t a l m i l i t a r y yen, o t h e r legal
tender local c u r r e n c y a nd n o tes o f the B a n k o f ^ T a i w a n and
of the B a n k of C h o s e n are i n t e r c h a n g e a b l e w i t h i n the area
w i t h o u t d i s t i n c t i o n at one for one.
H o w ever, Japanese
m i l i t a r y y e n scrip is not, of course, a c c e p t e d b y t. o/
forces.
S u p p l e m e n t a l m i l i t a r y y e n c u r r e n c y n o t e s wer e
p r o d u c e d in the U n i t e d S t a t e s for the m i l i t a r y c o m m a n d e r
who in the areas o c c u p i e d b y the forces u n d e r his c o mman
has all the powers n e c e s s a r y for c a r r y i n g out g o v e r n m e n t a l
functions, i n c l u d i n g the r i g h t to e s t a b l i s h and m a i n t a i n an
a d e quate and e f f e c t i v e c i r c u l a t i n g medium.
Thi s is in
acco r d a n c e w i t h I n t e r n a t i o n a l Law, the H a g u e ^ C o n v e n t i o n s
and d e c i s i o n s of the S u p r e m e C o u r t of the U n i t e d states.
N o ge n e r a l rate of e x c h a n g e b e t w e e n the y en *and the
d o l l a r has b e e n e s t a b lished.
For pay of troops and m i l i
tary a c c o u n t i n g purposes,- however, a p r o v i s i o n a l b a s i s o
1 y e n to 10 cents is b e i n g used.
T h i s p r o v i s i o n a l rate
was d e t e r m i n e d in the l i g h t of p r e v a i l i n g c o n d i t i o n s ^ m
the R y u k y u I s l ands and does n ot p r e j u d i c e the d e t e r m i n a tion of the rate for o t her Japanese areas y e t to be invaded.
(Ov*r)
2
,
A r r a n g e m e n t s h a v e b e e n m a d e w h e r e b y U.S. M i l i t a r y
and N a v a l p e r s o n n e l m a y remit in dollars,.to the U n i t e d
S t ates at the a b ove rate all or any ‘por'tlon of their
p a y w h i c h they r e c e i v e d in yen.
U*$. soldiers and sailors
l e a v i n g -the. a r e a m a y excha n g e y e n currency, h e l d b y t h e m
for d o l l a r currency.
W h e n U.S. forces uîlè y e n for mill- .•
tary expenditures, the r e l e v a n t A r m y and N a v y a p p r o p r i a
tions wil l be charged for the d o l l a r e q u i v a l e n t thereof.
In this m a n n e r the control of the Congress.-over the e x
p e n d i t u r e s of the U.S. forces is. m a i n t a i n e d .
-0O 0 -
2
The "r rrntiirj/pfllnteri out that unforeseen developments on
the war fronts might require emergency shifts in the war program.
If these occur, expenditures might he enlarged above present
estimates, Hn the n t h — hm* a he emphasized that the Administration
^
,
_____ _______________
jj
is determined to^aiehiev^ wuciiiwiBi eeunumy'1ini
i
,,
eur military expenal-*
JU^w* 0-0
*•
Ou
turesjconsistent with achieving victory qp quickly and, with a*»
Xa^gfcjpe human ccsl^
v'VV
Jr
>*V
o r* * '
)In disgassing the Seventn^War Loan today, Secretaiyyijy the
BsUBWBtj Morgenthan announced thkt^war expenditures during the
month of May reached an all-time hig^ and1diegelied^tfee^id^fe,
-%Jwpt there would he m f reduction in the (Treasury's cash require
ments for the next few months«
11
**■■ »
l
Even though we have shifted from a two-front war to a one-
front war, expenditures during t£i§ next four months are estimated
to exceed revenue hy $17 billienc« This is about the same amount
I
A
' A
^
expenditures exceeded revenue in the four months ended May 31,
a period when the war in Europe reached its climax* The Secretary
said that the Treasury^ estimates allow for all cut-backs in the
war program whicli'ive any effect on expenditures during the next
K
four months.
]Secretary Morgenthau called attention to the fact that the
fr—t”"V*.MT)}
"
goal of the Seventh Van Loan **— which is $14 biHions — is the
TfBBf minimum which must he raifeed to meet the Treasury*s needs^
dtr —■'
rntil tvr
t
“The Japanese people,H
said the Secretary, ware being asked hy their leaders to make a
desperate effOBt to avert defeat^ we are more fortunate in that we
are being asked for means to achieve victory.* [j The Secretary said^
^ i ** j * - T r ~ u . .ji i .
that cut—hacks in the war program alseedy maneuneex
\
will eventually result in reduced expenditures, hut the
full effect of the
out »haetee
months«
substantial payments will he necessary to wind
up old contracts
will not he
no ticeahi^
for several
0*
TREASURY REPARTIERT
Washington
tor i m m e d i a t e r e l e a s e ,
Thursday,
Press Service
'
1,6. 46-48
June 7 ,1945»
In discussing the Seventh War Loan today, Secretary Morgenthau
announced that war expenditures during the month of May reached an
all-time high of $8,188,000,000, including expenditures of Govern
ment corporations for war activities. Moreover, the Secretary said
there would be no reduction in the Treasury’s cash requirements for
the next few months.
Even though we have shifted from a two-front war to a onefront war, expenditures during the next four months are estimated
to exceed rev~enue by $>17,000,000,000, the Secretary said.
This is
about the same amount by which expenditures exceeded revenue in the
four months ended May ■31, a period when the war in Europe reached
its climax« The Secretary said that the Treasury’s estimates allow
for all cut-bac ks in
lorrn h:
nex t 'ou:
expenditures during '
Secretary;, Morge:nthau called attention to the fact that the goal
is the mini
of the Seventh War 1 oan — . which is $14,000,000,000
mumi which must be ramised to meet the Treasury’s needs.
it rfr.-he Japanese
said the -Secretary, "are being asked by
their leaders to make a desperate effort to avert defeat; we are
for means to achieve
more fortunate in that we are being as.
victory .u
.o
;he war program made
Th e 1 ecretary said that cut-bach
of Germany will eventually .result in repossible by, the o,e■e,
: the full effect will not be reflected in
duced expenditur
expenditures for several moxr h s 1 -He pointed out that 'substantial
payments vail t e necessary to wind up old contract:
ilso-said-that'-unforeseen developments on the war
The Secare
3 emergency shifts in the war program.
If these
fronts might r
might be enlarged above present estimates.
But,
occur, expen di
:he Administration is determined to keep milili
he emphasise'
tary expenditures, as low as possible consistent writh achieving
victory quickly :and with a minimum of human cost.
-oOo
'4A *JuJt
i>WJw
i
I
W
The House of Representatives, in voting
overwhelming approval of the Bretton Woods legis
lation, has spoken forcefully for the principle of
international cooperation.
The action will engender
a feeling of great confidence throughout the world
at a time when it is important that we concentrate
our efforts upon the achievement of world security
and peace.
n i i . particularly encouraging to observe
that Democrats and Republicans worked together for
the passage of the legislation and that the vote
represented a strong majority in each party.
The
American people and the peoples of the world will
welcome this evidence of statesmanship in world
affairs.
It presages an era of world cooperation
which will lead to prosperity for all.
o O o
TREASURY DEPARTMENT
Washington
EOR IMvIEDIATE RELEASE,
Thursday, June 7, 1945.
'
Press Service
1,0 • 46-49
Secretary Morgenthau today issued the following statement:
The House of Representatives,
in voting over
whelming approval of the Bretton Woods legislation,
has spoken forcefully for the principle of inter
national cooperation.
The action will engender a
feeling of great confidence throughout the'world at
a time when it is important that wo concentrate our
efforts upon the achievement of world security and
p eace.
Xt is particularly encouraging to observe that
Democrats and Republicans worked together for the
passage of the legislation and that the vote repre
sented a strong majority in each party.
The American
people and the peoples of the world will welcome this
evidence of statesmanship in world affairs..
It pre
sages an era of world cooperation which will lead to
prosperity for all.
-oOo
FOR IMMEDIATE RELEASE
7 June IS kS ________
The Bureau of Customs announced today that during the
of uheat (other than wheat unfit for human consumption), the
produce of Canada, nere entered for consumption or withdrawn
from warehouse for consumption under the quota of 795|000 bushels
established b y the President's proclamation of 2 8 May 19U1, as
modified b y the President's Proclamations of 12Kàpril 19U2 and
TREASURY DEPARTMENT
Washington
EOR IMvIEDIATE RELEASE,
Thursday, June 7, 1 9 4 5 «
Press Service
No. 46-50
The Bureau of Customs announced today that
during the period May 29 through June 6, 1945
approximately 703* 234 bushels of wheat
(other
than wheat unfit for human consumption), the
produce of Canada, were entered for consumption
or withdrawn from warehouse for consumption
under the quota of 795*000 bushels established
by the President’s Proclamation of May 23, 1941*
as modified by the President’s Proclamations of
April 13* 1942 and April 29, 1943•
- 0 O 0'
x m
- 3 for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
-
2
-
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids,
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed^price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
June 14. 1945
^
—
The income derived from Treasury bills, vfhether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other-disposition of Treasury bills shall not have any
\
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941* the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
zu m
BEaSöRF™DIPAftTMSM*
r
/
Washington
0
FOR RELEASE, MORNING NEWSPAPERS
Friday, June 3, 1945___________
w F
\
The Secretary of the Treasury, by this public notice, invites tenders
for
$1,300,000,000
» or thereabouts, of _
__-day
Treasury bills, to be issued
on a discount basis under competitive and fixed-price bidding as hereinafter provided.
The bills of this series will be dated
mature
September 13, 1945
«Tppf.
i q /,«;
and will
W
« when the face amount will be payable without
W P
interest.
They will be issued in bearer form only, and in denominations of $1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clodk p.m,, Eastern War time,
Monday, June 11, 1945
ru p
Tenders will not be received at the Treasury Department, Washington.
Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g,, 99-925may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty ©f payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
TREASURY DEPARTMENT
Washington
F O R RELEASE, M O R N I N G N W S P A PERS
Friday, June 8, 1945
The S e c r e t a r y o f the Tre a s u r y , b y this p u b l i c notice, i n
vites tenders for $>i, 300,000,000," or thereabouts, o f v 9 1 - d a y
T r e a s u r y bills, to be issued on a. di s c o u n t b a s i s u n d e r c o m p e t i
tive and f i x e d - p r i c e b i d d i n g as h e r e i n a f t e r provided.
The bil ls
of this series will b e dated' June 14, 1945> and w ill m a t u r e
S e p t e m b e r 13, 1945, when, the face a m ount will be p a y a b l e w i t h o u t
interest,
T h e y - w i l l be issued in b e a r e r f orm only, and in
d e n o m i n a t i o n s of $1,000, $5,000, $10,000^ $ 1 0 0,000, $ 5 0 0 ,000,
and $ 1 , 0 0 0 , 0 0 0 (maturity v a l u e ) .
T e n ders will be received at Federal R e s e r v e B a n k s and
B r a n c h e s up to the c l o s i n g hour, two o ’c l ock p.m., E a s t e h h W a r
time, Monday, June 11, 1945.
T e n d e r s w i l l not be r e c e i v e d at
the T r e a s u r y Depa r t m e n t , W a s h i n g t o n .
E a c h t e nder m u s t be for
an even m u l t i p l e of $1,000, and the price o f f e r e d m u s t b e e x
pressed on the b a sis o f 10&, w i t h not m o r e t han three decimals,
e. g., 99.925.
F r a c t i o n s may. not be used.
It is u r g e d that
tenders be m a d e on the p r i n t e d forms and f o r w a r d e d in the special
envelopes w h i c h wil l be supplied b y Federal R e s e r v e B a nks or
Branches on a p p l i c a t i o n therefor.
T e n d e r s will be r e c e i v e d w i t h o u t d e p o s i t from- i n c o r p o r a t e d
banks and trust c o m p anies and f r o m r e s p o n s i b l e and r e c o g n i z e d
dealers in inv e s t m e n t securities,
T e n d e r s f r o m others m ust be
a c c o m p a n i e d b y pa y m e n t of 2 p e r c e n t of the face amou n t of
T r e a s u r y b i l l s a p p l i e d for, u n l e s s the tenders are a c c o m p a n i e d
by an express g u a r a n t y of p a y m e n t b y an i n c o r p o r a t e d b a n k or
trust company.
I m m e d i a t e l y a f ter the c l o s i n g hour, tenders will be opened
at the Federal R e s e r v e B a n k s and Branches, f o l l o w i n g w h i c h p u blic
a n n o u n c e m e n t w i l l be m ade b y the S e c r e t a r y of the T r e a s u r y of
the amount and price range of a c c e p t e d bids.
Those submitting
tenders will be a d v i s e d of the a c c e p t a n c e ' o r r e j e c t i o n thereof.
The S e c r e t a r y of the T r e a s u r y e x p r e s s l y r e s erves the right to
accept or reject any or all tenders, In w h o l e or in part, and.
his a c t i o n ' i n a ny such respect shall be final.
S u b j e c t to
these reservations, tenders for $ 2 0 0 , 0 0 0 or less fro m any one
bidder at 9 9 , 9 0 5 en t e r e d on a f i x e d - p r i c e b a sis will be a c c e p t e d
in full.
P a y ment of a c c e p t e d tenders at the prices o f f e r e d
must be m ade or com p l e t e d at the F e d eral R e s e r v e B a n k in cash
or other i m m e d i a t e l y a v a i l a b l e funds on June 14, 1945.
T h e income derived' f r o m T r e a s u r y bills, w h e t h e r interest
or gain f r o m the sale or other d i s p o s i t i o n o f the bills, shall
not h ave any exemption, as such, and loss f r Q m the sale, or other
46-51
(Ov^r)
2
d i s p o s i t i o n of T r e a s u r y t i l l s shall n o t have any special treat
ment, as such, u n d e r Federal tax Acts n o w or h e r e a f t e r enacted.
The h i lls shall he. subject to estate, inheritance, gift, or
o t her excise taxes, w h e t h e r F e deral or State, b ut shall be ex
empt f r o m all t a x a t i o n n o w or h e r e a f t e r imposed on the principal
or in t e r e s t t h e r e o f b y any State, or any of the p o s s e s s i o n s of
the U n i t e d States,, or b y any local taxing authority.
For
p u r p o s e s of t a x a t i o n the a m o u n t of d i s c o u n t at w h i c h Treasury
b i lls are o r i g i n a l l y sold b y the U n i t e d States shall be 'consid
ered to be i n t e r e s t , U n d e r S e c t i o n s 42 and 117 (a)' (1) of the
Internal R e v e n u e Code, as a m e n d e d b y S e c t i o n 115 of the Revenue
Act of 1941, the amount of d i s c o u n t at w h i c h b i l l s issued h e r e
u n d e r are sold shall n ot be c o n s i d e r e d to/ accrue u n til such
bills shall be sold, re d e e m e d or oth e r w i s e d i s p o s e d of, and
such b i l l s are e x c luded f r o m c o n s i d e r a t i o n as capital assets.
A c c o r dingly, the o w n e r o f T r e a s u r y b i l l s (other than life in
surance c o m p a n i e s ) • issued h e r e u n d e r need include i^i his income
tax r e turn o n l y the d i f f e r e n c e b e t w e e n the p r ice p a i d for such
bills, w h e t h e r on original issue or o n , s u b s e q u e n t purchase, and
the a m o u n t a c t u a l l y r e c e i v e d eith e r u p o n sale 'or r e d e m p t i o n at
m a t u r i t y d u r i n g the taxable y e a r for w h i c h the r e t u r n is made,
as o r d i n a r y g a i n or loss,
y
T r e a s u r y D e p a r t m e n t C i r c u l a r No* 418, as amended, and this
notice, p r e s c r i b e the terms of the T r e a s u r y b i l l s and govern
the c o n d i t i o n s of t h e i r issue.
Copies of the c i r c u l a r m a y be
o b t a i n e d f r o m a ny F e d eral Re s e r v e B a n k or Branch.
-oOO-
STATUTORY DEBT LIMITATION
AS OF MAY 31. 1945
â Section 21 of the Second Liberty Bond Act, as amended, provides that the face amount
of obligations issued under authority of that Act, and the face amount of obligations
guaranteed as to principal and interest by the United States (except such guaranteed obli
gations as may be held by the Secretary of the Treasury), "shall not exceed in the aggre
gate $300,000,000,000 outstanding at any one time".
The following table shows the fac6 amount of obligations outstanding and the face
amount which can still be issued under this limitation:
Total face amount that may be outstanding at any one time...... .........$300,000,000,000
Outstanding May 31, 1945
Obligations issued under Second Liberty Bond Act, as amended
Interest-bearing
Bonds
Treasury........................ $92,376,628,950
Savings (maturity value)*....... 53,989,975,100
Depositary................. ......
502,854,000
Adjusted Service..... ...........
716.877.106 $147,586,335,156
Treasury notes..................
33,997,435,650
Certificates of indebtedness....... 42,155,629,000
Treasury bills............. ....... 17«048.922.OOP
98.201.986.650
Total interest-bearing.........................
245,788,321,806
Prepayments (Account of 7th War Loan)...... .
947,250,500
Matured, interest ceased...........................
142,725,350
Bearing no interest
War Savings Stamps.... .*...........
186,297,136
Excess profits tax refund bonds....
931.355.351
1.117.652.487
Total.......................... .................. .
247,995,950,143,
Guaranteed obligations (not held by Treasury)
Interest-bearing
Bonds: H.0.L.C...................
754,904,000
Debentures : F .H .A .............. ..
33,930,536
Demand obligations: C.C.C........ 361.960.635
Matured, interest ceased ...... .......... ••••••.
1,150,795,171
20.392.825
1.171,187,996
Grand total outstanding................................ ..............."rtAr
Balance face amount of obligations issuable under above authority.......
50.832.301,sox
Reconcilement with Statement of the Public Debt - May 31, 1945
(Daily Statement of the United States Treasury, June 1, 1945)
Outstanding May 31, 1945
g6Q ,c2
Total gross public debt........................... ....................
i
18 7 996
Guaranteed obligations not owned by the Treasury...................... ... ' ¡ W n v / Z ZS
Total gross public debt and guaranteed obligations................... . 24 , 3,
>
Add - unearned discouht on U.S.Savings Bonds
(Difference between maturity value and current redemption value)
10,222,954,812
Deduct - other outstanding public debt obligations not
subject to debt limitation........................
*
_ ^
or>| ,,,
1|Q58,874,121 —
Q -,¿,..080.691
Approximate face or maturity value; current redemption value $43,767,020,288
RHB/bf
June 8, 1945
STATUTORY DEBT LIMITATION
AS OF MAY 31, 1945
Section 21 of the Second Liberty Bond Act, as amended, provides that the face
amount of obligations issued under authority Of that Act, and the face amount of
obligations guaranteed as to principal and interest by the United States ^except
such guaranteed obligations as may be held by the Secretary of the Treasury), shalj
not exceed in the aggregate £300,000,000,000 outstanding at any one time".
The following table shows the face amount of obligations out-standing and the
face amount which can still be issued under this limitation:
Total face amount that may be outstanding at any one time..... ....£300,000,000,000
Outstanding May 31, 1945
Obligations issued Under Second Liberty Bond Act, as amended
Interest-bearing
, .
Bonds
T r e a s u r y . .£92,376,628,950
Savings (maturity value)*. >3,989,975,100
502,854,000
Depositary*...... .
716,877,106 £147,586,335,156
Adlusteci Sorvice..........
Treasury notes............. * 38, 997,435,650
Certificates of indebtedness. 42,155,629,000
Treasury b
i
l
l
s
» 17,048,922,000
Total interest-bearing......... ........
Prepayments (Account of 7th liar Loan)........
Matured, interest ceased....... .............
Bearing no interest
War Savings Stamps..........
186,297,136
Excess profits tax refund
bonds••...*.•.•.••••*•««•.
931,355,551
. . . . .
iotal••»»»..•»»»••»••»»•*••
Guaranteed obligations (not held by Treasury)
Interest-bearing
Bonds: H.O.L.C............
754,904,000
Debentures* F.H.A.........•
33,950,536
Demand obligations : G.C*C..
361,960,655
Matured, interest ceased....
98,201,986,650
245,788,321,806
_
947,2o0,500
142,725,350
1,117,652,487
247,¿95,950,143
1,150,795,171
20,392,825
1,171,187,996
Grand total outstanding.... .
•••......
Balance face amount of obligations issuable under above authority.
249,167,138,139
50,852,861,861
Reconcilement with SL^te of the Public Debt - May 31, 1945
y|g
(Daily Statement of the United States Treasury, June 1, 1945)
Outstanding May 31, 1945
Total gross public debt...... .......................... .
238,831,869,4
Guaranteed obligations not owned by the Treasury................
1,171,187,996
Total gross public debt and guaranteed obligations............... 240,003,057,448
Add - unearned discount on U. S. Savings Bonds
(Difference between maturity value and current redemption value)
10,222,954,812
Deduct - other outstanding public debt obligations
not subject to debt limitation......... •>•*•»
1,058,874,121
9,164,080,691
249,167,158,159
Approximate face or maturity value; current redemption value $>43,767,020,288
46-52
-oOo-
- 3 -
1099
in lieu of experience in some instances.
The Deputy Collector positions require two years
of business experience, preferably bookkeeping or
accounting, or two years educational credit in these
field«-
immediately to any field office of the Bureau of
Internal Revenue, to any Civil Service Commission
regional office, or to the Director of Personnel,
Treasury Department, Washington.
-0 O0 -
2
The publications and service programs of these
organizations will begin immediately to carry the
story of the tax drive and the Treasury’s personnel
needs to the memberships, and to returning service
men*
^ Treasury officials assured the Veterans leaders
of the Department’s desire to give servicemen every
chance to qualify for the positions, for which
there is a salary scale of $2,600 or $3,200, plus
overtime, for agents; $2,000 plus overtime for
deputy collectors; and $1,440 and $1,620 and over
time for clerical workers.
The overtime payments
for the various positions range from $311 to $628
a year at present rates; and it was pointed out that
pending salary legislation would provide substantial
increases over the base pay levels cited.
Special training programs are being set up to
aid in qualifying servicemen for
, especially
those carrying disabilities,*^! the national organi
zations will cooperate in this phase.
The agents’ positions require two or three
years experience in responsible accounting, auditing,
R e p r e s e n t a t i v e s of three m a j o r o r g a n i z a t i o n s o f
v e t e r a n s h a v e p l e d g e d to S e c r e t a r y M o r g e n t h a u the support
of t h e i r g r o u p s in the T r e a s u r y ’s a c c e l e r a t e d d r i v e
a g a i n s t tax evaders,
and s p e c i f i c a l l y h a v e a c c e p t e d
m a j o r roles in^the r e c r u i t ^
o f a d d i t i o n a l emp l o y e e s
for the B u r e a u o f In t e r n a l Revenue*
N a t i o n a l o f f i c i a l s o f the A m e r i c a n Legion,
D i s a b l e d A m e r i c a n Veterans,
The
a n d the V e t e r a n s o f P o r eign
W a r s o f the U n i t e d S t a t e s h a v e
just c o n c l u d e d a series
o f c o n f e r e n c e s w i t h S e c r e t a r y M o r g e n t h a u a nd w i t h
C h a r l e s S. Bell, h i s a d m i n i s t r a t i v e a s s i s t a n t and
T*
P. Wilson,
D i r e c t o r o f Personnel,
at w h i c h plans
w e r e m a d e to a t t r a c t r e t u r n i n g s e r vice m e n w h o c an
q u a l i f y ikio-lnany of the 1 1 , 0 0 0 n e w p o s i t i o n s o p e n
as a r e s u l t o f the a c c e l e r a t e d tax driv e .
T r u m a n h as g i v e n h i s
President
compl e t e a p p r o v a l to e f f o r t s to
m a k e t h ese p o s i t i o n s a v a i l a b l e to veterans*
The veterans’ representatives conferring with
Mr. M o r g e n t h a u w e r e M i l l a r d W. Rice, N a t i o n a l S e r v i c e
Director,
and M i l t o n D. Cohn, N a t i o n a l C ommander,
D i s a b l e d A m e r i c a n V e t erans;
Legislative Director,
Col*
J o h n T h o m a s Taylor,
the A m e r i c a n Legion,
and O m a r B*
Ketchum, N a t i o n a l L e g i s l a t i v e Rep r e s e n t a t i v e ,
o f P o r e i g n Wars*
the
Veterans
TREASUPY DEPARTMENT
Washington
FOR RELEAFE, M O R N I N G N E W S P A P E R S
Monday, June 11, 1945 ___________
.„ ' ■
:
Press S e r vice
No. 46/-53
•
R e p r e s e n t a t i v e s of three m a j o r o r g a n i z a t i o n s o f veterans
have pl e d g e d tor S e c r e t a r y M o r g e n t h a u the s u p p o r t of their groups
in the T r e a s u r y ’s a c c e l e r a t e d d r ive ag a i n s t tax evaders, and
specifically h a v e a c c e p t e d m a j o r roles in a i d i n g the r e c r u i t m e n t
of a d d i tional employees for the' B u r e a u of Int e r n a l Revenue.
N a t i o n a l o f f i cials of the A m e r i c a n Legion, The D i s a b l e d
American Veterans, and the Veterans of F o r e i g n W a r s of the U n i t e d
States hav e just c o n c l u d e d a series of conf e r e n c e s w i t h S e c r e t a r y
Morgenthau and w i t h Charles S. Bell, his a d m i n i s t r a t i v e a s s i stant
and T. F, Wilson, D i r e c t o r of Personnel, at w h i c h plans were made
to attract returning s e r v i c e m e n
who can q u a l i f y for m a n y o f the
11,000 n e w p o s i tions open as a result of the accelerated, tax
drive*
P r e s i d e n t T r u m a n has g i v e n his complete approval to efforts
to make these p o s i t i o n s a v a ilable to veterans,
The v e t e r a n s ’ r e p r e s e n t a t i v e s c o n f e r r i n g w i t h Mr. M o r g e n t h a u .
were M i l l a r d W. Rice, N a t i o n a l S e r vice Director, and M i l t o n D.
Cohn, N a t i o n a l Commander, the D i s a b l e d A m e r i c a n Veterans;
Col. John T h o m a s Taylor, L e g i s l a t i v e Director, the A m e r i c a n
Legion, and Omar B. Ketchum, N a t i o n a l L e g i s l a t i v e Re p r e s e n t a t i v e ,
Veterans of F o r e i g n Wars.
The p u b l i c a t i o n s and service pr o g r a m s of these o r g a n i z a t i o n s
will begin i m m e d i a t e l y to carry the story of the tax drive and
the T r e a s u r y ’s p e r s o n n e l n e e d s to the m e m b erships, and to r e t u r n
ing s e r v i c e m e n generally.
T r e a s u r y o f f i cials a s s u r e d the v e t e r a n s ’, le a d e r s of the
D e p a r t m e n t ’s d e sire to give ser v i c e m e n e v e r y chance to q u a l i f y
for the positions, for w h i c h there is a s a lary scale of $ 2 , 6 0 0 or
|3,200, plus overtime, for a g e n t s ; $ 2 , 0 0 0 plus ov e r t i m e for
deputy collectors; and $ 1 , 4 4 0 and $ 1 , 6 2 0 and ov e r t i m e for clerical
workers.
The o v e rtime p a y ments for the various p o s i t i o n s r a nge
from $311 to $ 628 a y e a r at p r e s e n t rates; and it w as po i n t e d
out that p e n d i n g salary l e g i s l a t i o n w o u l d p r o vide substantial in
creases over the base p ay levels cited.
S p e cial t r a ining p r o g r a m s are b e i n g set u p to aid in q u a l i
fying servicemen, e s p e c i a l l y those car r y i n g disab i l i t i e s , for
the jobs, and the n a t i o n a l o r g a n i z a t i o n s will coo p e r a t e in this
phase.
(Over)
2
The a g e n t s ’ p o s i t i o n s require two or three years experience
in r e s p o n s i b l e accounting, auditing, or i n v e s t i g a t i v e experience,
w i t h e d u c a t i o n a l credits ‘
a l lowed in lieu of e x p e rience in some
instances.
The d e p u t y .collector p o s i tions require two.years of business
experience, p r e f e r a b l y b o o k k e e p i n g or accounting, or two years
e d u c a t i o n a l credit in these fields.
CO l-
T h o s e i n t e rested in the jobs should apply imme d i a t e l y to any
ield office of the B u r e a u of Internal Revenue, to any Civil
ervice C o m m i s s i o n regional office, or to the D i r e c t o r of
Personnel, T r e a s u r y D e p a r tment, W a s h i n g t o n .
0O0
And those who have the best right of ail to demand that
the tax evader be ran down and punished are our millions
of fighting men,
From these men, as they are discharged, we expect
to recruit a large part of the investigators we will add
to our forces.
I ask the support of all of you
listening to We the People tonight —
Americans in this effort.
of all honest
I am confident we will get
this support, and with it we will win our fight for
honesty and justice at home, just as surely as we are
winning the war against the aggressors overseas.
Because so many of the black market operators
and other racketeers use currency in large amounts and
denominations, we especially need the help of all who
have any information concerning unusual currency
transactions.
We have recently called upon banks and
similar institutions to make regular, uniform reports,
so that this information will come to us in the most
readily available form.
By and large they have met
that request with a splendid spirit.
Eveiyone of our 50 million taxpayers has a right
to expect that the tax cheat shall be brought to justice
Each of our 85 million individual bondholders has the
right to expect that our system of finance be kept sound
Today we have nearly 20,000 cases of tax evasion
which require investigation.
We need many more investigator
and we are going to get them.
But however many investigators we have, they cannot
do the job without help.
>u were to see a thief stealing your neighbor’s
;
■
'
groceries, you would not hesitate to call the police.
The tax evader is a thief.
He steals from everyone.
And we need everyone’s help to catch him.
In one series of black market oases now under
investigation in Colorado, information has come to us
from five unrelated sources, including a Treasury special
agent, the Office of Price Administration and individuals
who have observed the gambling activities of some of the
principals.
Tomorrow morning at Wichita, Kansas, Judge Guy T.
Helvering will convene a federal grand jury to hear the
whole story.
Wherever opportunities for vast profits have
developed, racketeers and war profiteers have sprung
up to milk the public and cheat the government.
Here is another case.
An employee of a Minnesota
ordnance company used his influence to throw purchases
of certain supplies to a company in which he had "chiseled
a half interest.
He demanded "kickbacks” amounting to
several thousand dollars which he did not report as
income.
He has made a complete confession.
SECRETARY MORGENTHAU ON wWE, THE PEOPLE*
_____________ JUNE 10, 1945.____________
I want to tell you first about what our Treasury
agents have discovered in the state of Kansas.
They have
been looking into the operations and tax liabilities of &
group of persons who appear to have garnered lush profits
in that war-booming state.
They report hundreds of thousands of dollars poured
by free spenders into a night club - illicit liquor -
gambling combination, organised by men who appear to be
lining their pockets with currency and ignoring their tax
obligations.
These reports tell of black market liquor flowing
into that legally dry state at prices as high as $14 a
quart, of black market meat operations, of fat profits
from illegal slot machines.
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Monday, June 11, 1945»
Press Service
No.
(The followingcoast-to-cpast broadcast
by Secretary^torgenthau,/ is part of the
WE THE PEOPLE presentation by the
Columbia Broadcasting System at 10:30 PM,
EWT. Sunday, June loT jg45.fJfcJ Morgenthau
will speak from Washington
(The following coast-to-coast broadcast by
Secretary Morgenthau, is part of the WE THE
PEOPLE presentation by the Clolumbia Broadcasting System at 10:30 PM. EWT, Sunday,
June 10, 1945. Mr. MorgentUa u will speak
fröiin Iffashlhgt on.)
(The following coast-to-coast broadcast
by Secretary Morgenthau, is part of the
WE THE PEOPLE presentation by the Columbia
Broadcasting System at 10:30 PM, EWT,
Sunday, June 10, 1945. Mr. Morgenthau
will speak from Washington.)
(The following coast-to-coast breadcast by Secretary Morgenthau, is part of
the WE THE PEOPLE pr< tentation by the
Columbia Broadcasting System at 10:30 PM,
EWT, Sunday, June lOj 1945* Mr. Morgenthau
will speak from Washington)
TREASURY REPART LIEUT
Washington
Press Service
No. 46-54
(The following coast-to-coast broadcast
by Secretary Morgenthau, is part of the
WE THE PEOPLE presentation by the Columbia
Broadcasting System at 10:30 PM, EWT,
Sunday, June 10, 1945»
Mr* Morgenthau
wi 11 speak from Washington)
I
want to tell you first about what our Treasury agents
have discovered in the state of Kansas.
They have been looking
into the operations and tax liabilities of a group of persons
who appear to have garnered lush profits in that war-booming
state•
They report hundreds of thousands of dollars poured by free
spenders into a night club - illicit liquor - gambling combina
tion, organized by men who appear to be lining their pockets
with currency and ignoring their tax obligations*
These reports tell of black market liquor flowing into that
market meat operations,
of fat profits from illegal slot machines.
Tomorrow morning at Wichita, Kansas, Judge C-uy.T. Helvering
will convene a Federal grand jury to hear the whole story.
Wherever opportunities .for vast profits have developed,
racketeers and war profiteers have sprung up to milk the public
and cheat the Government.
Here is another case. An employee of a Minnesota ordnance
company used his influence to throw purchases of certain supplies
to a company in which he had "chiseled'1 a half interest.
He
demanded "kickbacks" amounting to several thousand dollars which
he did not report as income.
He has made a complete confession.
Today we have nearly 20,000 cases of tax evasion which r e
quire investigation.
We need many more investigators and we are
going to get them.
But however many investigators we have, they cannot do the
job without help.
(Over )
2
If y o u w e r e to see a t h i e f s t e a l i n g y o u r n e i g h b o r g r o
ceries, y o u w o u l d n ot h e s i t a t e to call t h e police.
T h e t a x evader is a thief,
He steals f r o m everyone.
we n e e d ever 3ro n e ,s help to c a tch him.
A nd
In one series of b l a c k m a r k e t ca
n o w u n d e r investigation
in Colorado, i n f o r m a t i o n has come to us f r o m fiv e u n r e l a t e d
sources, i n c l u d i n g a T r e a s u r y s p ecial agent, t h e Office of Price
A d m i n i s t r a t i o n a n d indi v i d u a l s who h a v e ‘o b s e r v e d the g a m bling
a c t i v i t i e s of some of t he p r i n cipals.
B e c a u s e so m a n y of t h e b l a c k m a r k e t operators a nd other
r a c k e t e e r s u s e c u r r e n c y in l a rge amounts a n d denominations, we
e s p e c i a l l y n e e d t h e h e l p of al l w h o h a v e a n y i n f o r m a t i o n concern
ing u n u s u a l c u r r e n c y t r a n s a c t i o n s .
W e h ave r e c e n t l y c a l l e d upon
banks a n d s i m i l a r i n s t i tutions to m a k e regular, u n i f o r m reports,
so t h a t this i n f o r m a t i o n w i l l come to us in the mos t r e a d i l y
a v a i l a b l e form.
B y a n d l a rge t h e y h a v e met t h a t r e q u e s t w i t h a
splendid s p i r i t .
E v e r y one of our 5 0 , 0 0 0 , 0 0 0 t a x p a y e r s has
t h a t t h e t a x cheat s h all be b r o u g h t to justice.
8 5 , 0 0 0 , 0 0 0 i n d i v i d u a l b o n d h o l d e r s has t h e r i ght
ou r s y s t e m of f i n a n c e be kep t sound,
And those
best r i g h t of all t o .d e m a n d " t h a t t he t a x evader
p u n i s h e d are our m i l l i o n s of
men.
i r i g h t to expect
E a c h of our
t o expect that
wh o hav e t he
be r u n dow n and
P r o m t h e s e men, as t h e y a r e discharged, w e expect to recruit
a large part of t h e i n v e s t i g a t o r s we w i l l a dd to our forces.
I
a s k th e support of al l of y o u l i s t e n i n g to W E T H E P E O P L E tonight
of a l l hone s t A m e r i c a n s in this effort.
I a m c o n f i d e n t we will
get t his support, a n d w i t h it w e w i l l w i n our f i ght f o r honesty
and justice at home, just as s u r e l y as we are w i n n i n g the w ar
a g a i n s t t h e a g g r e s s o r s overseas.
-oOo
ft
m ^
m
transactions to bo reported under protection of the order
are expected to toko their place In the flow of information
from many other sources In the normal course of tax surveil
lanoe by publle officials*
j
Helpful suggestion« have already been reeeived9
particularly as to the fora of report»*
On the baaie of
these suggestions the Treasury has alrsady tsksa steps
to sllalnate ths requirement of reporting the reasons for
believing a s&rtlcular transaction is unusual*
It will*
of coursef be our purpose to eliminate any further burg§g*
some requirements to the fullest extent practicable*
purpose in writing you this letter is to give you
a general description of ths situation which made the
order necessary* and to express ay appreciation of ths
cooperation and good judgment displayed by the banking
community*
i
between banker and easterner end o# the onerous sdsdnl*
strative burdens that excessive reporting requirements
would lap##*
I want to make it ?fcr clear that the Treasury
Department Intends to follow a common*sense policy towards
banks in administering tl* reporting requirement#
We do
not want to be swamped with insignificant reports any more
than we west to fall to receive significant ones*
fie do
not want to impose unnecessary administrative burdens on
the beaks any more than we want banks to fail to report
to us significantly abnormal transactions»
ho bank
or
banker is going to find himself in difficulties with the
Ooremsent because he made a mistake in judgment»
Rather*
we hope* he id 11 regard the new instructions as being his
protection in the performance of his patriotic duty to
assist his Government in its determined drive against those
who see fit to cheat in a time of national criéis»
Suspicion oi tax guilt is not the basis for determining
the abnormality of transactions for reporting requirements#
The reporting of a transaction in no sense implies pro judgment
by the bank of revenue violations»
Significant abnormal
cooperation of banks through the reporting requirements
of the order is novel only la its design to eountereet o
growing technique of ohnornol currency transoetions for
tax evasion purposes.
Prior to the order some financial institutions, perturbed
by the excessive and abnormal use of currency, voluntarily
reported unusual transactions to ths Treasury Department.
Several of the most shocking and revolting of the recently
publioised tox frauds were discovered through suoh oooperation.
The implications of these dieeoveriee govs both publio officials
end many prominent members of the financial ooasunity with
whoa I discussed the problem such eonoera that it was decided
an authoritative order of general application was required,
hot only to protect the publio revenues but also to relieve
banking institutions of the private responsibility for
voluntary reporting.
The many oomounioations we have had with banks and
bankers sines the order was issued have reflected not only
a fins spirit of cooperation hut also a good sense of pro*
portion and judgment in interpreting the basic purpose and
requirements of the order.
The order took the form it did
only after sympathetic consideration of the relationship
The order requiring financial institutions t© report
unusual currency transactions has been in offset Hint
days, and the attitude of understanding and cooperation
already displayed by banks and bankers has been gratifying»
There have been a few isolated instances of adverse criti
cism wtd ch in uy judgment stem from an inadequate under
standing of the considerations m i policies which underlie
the order,
The abnormal use of ourreasy in business transactions
has become one of the principal devices for income tax
evasions and concealments»
Banks and other financial
institutions have been unavoidably made the channel through
which such transactions flow*
1 know of no segment of our
business community more interested in the integrity of our
tax and fisoal systems than banks and bankers*
It takes
no argument on say part to convince you that notorious tax
evasions and concealments if left unchecked threaten the
breakdown of our tax laws snd cast their shadows upon the
credit of the Baited States*
Certainly they bring open
resentment from the millions of honest taxpayers who stand
ready faithfully to contribute their share to war finance#
Of necessity we must avail ourselves of every
practical source of information, end the enlistment of the
such suggestions already received, steps have been taken to
eliminate one requirement that might be considered burden
some, that of reporting the reasons for believing a particu
lar transaction is unusual.
He said the reporting of a
transaction in no sense implies prejudgment by the bank of
revenue violations.
Text of Secretary Morgenthau*s communication to the
In making the letter publie, Secretary Morgenthau emphasized
I thht its contents apply not only to banks mt to all classes of
1
I financial institutions covered fay the orde.i. He also said thht
I he wishes to encourage voluntary reporting/by persons and organizations
I not covered. He stated that any voluntary reports should be sent
\
to the nearest Federal Reserve Bank,
If|
r
I
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Monday, June 11, 1945»
Press Service
No.
Secretary Morgenthau today expressed to the nation*s
banks the l^^asu3ry*^^ppreciation» for the ”f ine spirit of
cooperation and the attitude of understanding” with which the
Department*s recent order requiring the reporting of unusual
transactions in currency has been made effective.
In a letter foæàæg. addressed to some 15,000 financial
institutions, Mr. Morgenthau stressed the importance of such
information to the success of the current drive against tax
evaders^and promised that the Treasury will follow a commonsense policy toward, the banks in administering the reporting
requirements•
”It takes no argument on my part to convince you that
notorious tax evasions and concealments if left unchecked
threaten the breakdown of our tax laws and cast their shadows
upon the credit of the United States”, the letter says.
Mr. Morgenthau expressed the hope that each banker will
regard the new instructions as being his protection in the
performance of his patriotic duty to assist his Government.
He said the Treasury had no wish to impose unnecessary
administrative burdens on the banks, and that no bank or
banker is going to find himself in difficulties with the
Government because he makes a mistake in judgment.
He
welcomed helpful suggestions, and said that on the basis of
TREASURY DEPARTMEUT
' Washington
FOR M E D I A T E RELEASE,
Mon d a y , June 11, 1 9 45 *
P r ess S e r v i c e
^°* 46-55
S e c r e t a r y M o r g e n t h a u t o d a y e x p r e s s e d to t h e n a t i o n ’s b a n k s
the Treasury’? a p p r e c i a t i o n f o r the ’’f ine spirit of coop e r a t i o n a n d
the attit u d e o f ~ u n d e r s t a n d i n g " w i t h w h i c h " t h e D e p a r t m e n t ’s r e c e n t
order r e q u i r i n g t h e r e p o r t i n g of u n u s u a l t r a n s a c t i o n s in c u r r e n c y
has been m a d e effective.
In a letter a d d r e s s e d to som e 1 5 ? 0 0 0 f i n a n c i a l institutions,
Mr. Morgenth.au stressed the i m p o r t a n c e of s u c h i n f o r m a t i o n to the
success of t h e current d r ive a g a i n s t t a x evaders, a nd promised
that the T r e a s u r y w i l l f o l l o w a c o m m o n - s e n s e p o l i c y t o w a r d t h e
banks in a d m i n i s t e r i n g t h e r e p o r t i n g r e q u i r e m e n t s .
"It takes no a r g ument on m y part to co n v i n c e y o u t h a t n o t o
rious t a x evasions a nd conc e a l m e n t s if left u n c h e c k e d t h r e a t e n t h e
breakdown of our t a x l aws a nd cast t h e i r shadows u p o n t h e credit
of the U n i t e d States", t he l e t t e r says.
Mr. M o r g e n t h a u e x p r e s s e d t h e hope t h a t each b a n k e r w i l l r e g a r d
the n e w instr u c t i o n s as b e ing his p r o t e c t i o n in t h e p e r f o r m a n c e of
his p a t r i o t i c dut y to a s s i s t his G overnment.
He said, the T r e a s u r y h a d no w i s h to impose u n n e c e s s a r y a d m i n
istrative burdens on t he banks, a n d t h a t no b a n k or b a n k e r is g o i n g
to find h i m s e l f in d i f f i c u l t i e s w i t h t h e G o v e r n m e n t b e c a u s e he
makes a m i s t a k e in judgment.
H e w e l c o m e d he l p f u l suggestions, a n d
said t hat on th e b a s i s of s u c h s u g g e s t i o n s a l r e a d y received, steps
have been t a k e n to eli m i n a t e one r e q u i r e m e n t that m i ght oe c o n
sidered burdensome, that of r e p o r t i n g t h e r e a sons f o r b e l i e v i n g
a par t i c u l a r t r a n s a c t i o n is unusual.
He s a i d the r e p o r t i n g of a
transaction in no s e n s e implies p r e j u d g m e n t b y the b a n k of r e v e n u e
violations•
In m a k i n g th e l e t t e r public, S e c r e t a r y M o r g e n t h a u e m p h a s i z e d
that its contents a p p l y not o n l y to banks b ut to all classes of
financial i n s t i t u t i o n s c o v e r e d b y t h e order.
He also said that he
wishes to encourage v o l u n t a r y r e p o r t i n g b y pe r s o n s a nd o r g a n i z a
tions not covered.
He s t a t e d t h a t a n y v o l u n t a r y r e p o r t s s h o u l d be
sent to t h e n e a r e s t F e d e r a l R e s e r v e Bank.
Text of S e c r e t a r y M o r g e n t h a u 1s c o m m u n i c a t i o n t o ' t h e f i n a n c i a l
institutions follows:
T h e order 'requiring f i n a n c i a l i n s t i t u t i o n s to r e p o r t
u n u s u a l c u r r e n c y .t r a n s a c t i o n s has been in effect nine
clays, a n d th e a t t i t u d e of u n d e r s t a n d i n g a n d c o o p e r a t i o n
a l r e a d y d i s p l a y e d by banks 'an d .b a n k e r s has. b e e n gr o t i i y ing.
T h e r e h a v e bee n a f eu isolated, instances of ad v e r s e
c r i t i c i s m w h i c h in m y judgment s t e m f r o m an i n a d equate
u n d e r s t a n d i n g of t h e c o n s i d e r a t i o n s a n d p o l i c i e s w h i c h
u n d e r l i e t h e order.
T h e a b n o r m a l u se of c u r r e n c y in b u s i n e s s t r a n s a c t i o n s
lias b e c o m e one of the p r i n c i p a l devices for income t a x
evasions, a nd concealments.
B a n k s a nd o t h e r f i n a n c i a l
i n s t i tutions h a v e been u n a v o i d a b l y mad e t h e channel t h r o u g h
w h i c h s u c h t r a n s a c t i o n s flow.
I k n o w of no segment of our
busin e s s c o m m u n i t y m ore i n t e r e s t e d in t he i n t e g r i t y of our
t a x a n d f i s c a l systems t h a n b a n k s a n d bankers.
It t a k e s
no a r g u m e n t on m y part to c o n v i n c e y o u tha t n o t o r i o u s t a x
evasions a n d c o n c e a l m e n t s if left u n c h e c k e d t h r e a t e n t h e
b r e a k d o w n of o u r t a x laws a n d cast t h e i r shadows upo n t h e
credit of t h e U n i t e d States.
C e r t a i n l y t h e y b r i n g open
r e s e n t m e n t f r o m the m i l l i o n s of h o n e s t t a x p a y e r s w h o s t and
r e a d y f a i t h f u l l y to c o n t r i b u t e t h e i r share to w a r finance.
Of n e c e s s i t y we must a v a i l ourselves of every p r a c t i
cal s o u r c e of information, a n d t he enlistment of the
c o o p e r a t i o n of banks t h r o u g h t h e r e p o r t i n g r e q u i r e m e n t s
of t h e o r der is n o v e l only7- in its design to c o u n teract a
growing t e c h n i q u e of a b n o r m a l c u r r e n c y t r a n s a c t i o n s f or
t a x evasion purposes.
P r i o r to t h e order some f i n a n c i a l institutions, p e r
t u r b e d b y t h e e x c essive a n d a b n o r m a l u s e of currency,
v o l u n t a r i l y r e p o r t e d u n u s u a l t r a n s a c t i o n s to t h e T r e a s u r y
D e p a rtment.
S e v e r a l of t he most s h o c k i n g a n d r e v o l t i n g *
of t h e r e c e n t l y p u b l i c i s e d t a x frau d s w e r e d i s c o v e r e d
t h r o u g h s uch cooperation.
T h e i m p l i c a t i o n s of t h e s e d i s
coveries gave b o t h p u b l i c off i c i a l s a n d m a n y p r o m i n e n t
m e m bers of t h e f i n a n c i a l c o m m u n i t y w i t h w h o m I d i s c u s s e d
the p r o b l e m s u c h c o ncern that it was d e c i d e d an a u t h o r i
t a t i v e order of g e n e r a l a p p l i c a t i o n was required, n ot only
to p r otect t h e p u blic r e v e n u e s but a l s o to r e l i e v e b a n k i n g
institutions of the p r i v a t e r e s p o n s i b i l i t y f o r v o l u n t a r y
reporting.
T h e m a n y c o m m u n i c a t i o n s w e h a v e h a d w i t h banks a n d
bankers since t he o r d e r was i s s u e d h ave r e f l e c t e d not only
a f i n e spirit of c o o p e r a t i o n b u t a l s o a g o o d s e nse of p r o
po r t i o n a n d judgment in i n t e r p r e t i n g t he b a s i c p u r p o s e an d
- 3r e q u i r e m e n t s of t he order,
T he o r der t o o k t h e f o r m it did
only a f t e r s y m p a t h e t i c c o n s i d e r a t i o n of th e r e l a t i o n s h i p
b et w e en b a n k e r -<and ;cu s t osaer ’an d of t h e onerous à dmin i s tra-tive b u r dens t h a t ex c e s s i v e r e p o r t i n g r e q u i r e m e n t s w o u l d
impose.
I
w a n t t o mak e it v e r y clear t h a t the T r e a s u r y D e p a r t
ment intends to f o l l o w a c o m m o n - s e n s e policy-, t o w a r d s banks
in a d m i n i s t e r i n g t h e r e p o r t i n g . r e q u i r e m e n t . We do not
want to be s w a m p e d w i t h i n s i g n i f i c a n t r e p o r t s a n y m o r e
than we w ant to fai l to r e c e i v e s i g n i f i c a n t one's. - W e do
not w a n t to impose u n n e c e s s a r y . a d m i n i s t r a t i v e b u r d e n s on
t he b a n k s a n y mor e than, we wan t banks to f ail to r e p o r t
to. us s i g n i f i c a n t l y a b n o r m a l t r a n s a c t i o n s .
Ho b a n k or
b a n k e r is g o i n g ¡'to f i n d h i m s e l f in d i f f i c u l t i e s w i t h t h e •
Govern m e n t b e c a u s e he m a d e a m i s t a k e in judgment. ^Rather,
we hope, h e w i l l ' r e g a r d t h e n e w i n s t r u c t i o n s _as b e i n g his
p r o t e c t i o n in the p e r f o r m a n c e of his 'pat r i o t i c .d u t y to
assist his G o v e r n m e n t in its d e t e r m i n e d drive against^
t h o s e w h o see fit to cheat in a t i m e of n a t i o n a l crisis.
S u s p i c i o n of t a x g u ilt is not t h e basis f o r d e t e r
mining, t h e a b n o r m a l i t y of t r a n s a c t i o n s f o r r e p o r t i n g
,r e a u i r e m e n t s • T h e r e p o r t i n g - o f a t r a n s a c t i o n in no sense
•implies pre.judgment by the b a n k of r e v e n u e viol a t i o n s .
S i g n i f i c a n t a b n o r m a l t r a n s a c t i o n s to be r e p o r t e d u n d e r
p r o t e c t i o n of t h e order a re ex p e c t e d to t a k e t h e i r p l a c e
in the f low of i n f o r m a t i o n f r o m m a n y o t her sources; in^
the n o r m a l course of. t a x s u r v e i l l a n c e by p u blic officials..
H e l p f u l s u g g e s t i o n s h a v e a l r e a d y been received, p a r
t i c u l a r l y as to t he f o r m of reports.
On t h e b a sis of
t h ese s u g g e s t i o n s t h e T r e a s u r y has a l r e a d y t a k e n steps
to eliminate t h e r e q u i r e m e n t of r e p o r t i n g t h e r e a s o n s f or
b e l i e v i n g a p a r t i c u l a r t r a n s a c t i o n is uhusual.
It will.,,
of course, be our p u r p o s e t o e l i m i n a t e a n y f u r t h e r b u r d e n
some r e q u i r e m e n t s to t h e fu l l e s t extent p r a c t i c a b l e .
M y p u r p o s e in w r i t i n g y o u thi s l e t t e r is to g i v e you
a g e n e r a l d e s c r i p t i o n of the s i t u a t i o n w h i c h m a d e t h e
order necessary, and to express m y a p p r e c i a t i o n of t h e
c o o p e ration a nd g o o d judgment d i s p l a y e d b y t h e ba n k i n g
community.
-0O0
gglpg
sééë
— 10 -
Job of building a world security organisation is doing
worked out at Ban Francisco.
Bespits the obstacles to
final agreement, the Conference neverthe lass moves on*
It
will succeed because tbs people of all countries insist
.e d r * * * '
that It must
H w Bn
44 nations to agra« otiti» ofcnêtâry'and fi
«anelai program is evlctanoa that with cara, patlanca and
undar8tending, wa can gat agreement on all international
problems*
The people of this country have shown that they are
eager to have our Government take the leadership in deal
ing with international economic and political problems.
There
is no
difference of opinion among Americans, no
partisan division In Congress on this policy.
Action by
this Committee approving the Bratton foods Agreements
,
’*■
v
.
•ill be an inspiration to war-weary and hungry people
everywhere, to people who have faith that the United
Nations can and will work together to bring about a
/
better world.
'
/
h
There m m
far XI#
m
riot itquad on duty to prevent World
There were no rules of the g o » to prevent push
ing end shoving; and the economic scuffling of the 19>30,s
developed the gangsters who finally discarded their
economic blackjacks and brass knuckles la favor of the
tanks end bombs that bathed Europe, and Boat of the
world,
in blood*
International monetary and financial problems have
been a source of coofllot for a generation.
Se must see
that after this war they do not become the basis for new
conflicts.
That will be possible if international trade
and investment
are put
political basis.
In
on a business rather then a
my
opinion, the Bratton woods
proposals give da the opportunity to decide whether in
ternational trade and investment will be carried on
through private enterprise on the basis of fair currency
i■rraig or through b H a B O T h -i ogreoiiimnWs haiaiwm govern
m e n t a l 4^
International cooperation is
ficult task.'
,
^
a
continuing and dif
But we are making progress.
The overall
m
One aspect of the Bratton foods Agreements deserves
special emphasis, their relation to peace.
then a political problem,
Peace is more
it is e complicated structure
that can be built only upon the solid foundation of
economic order and prosperity in all countries.
prosperity are two sides of the ease problem,
Pesos and
is can't
neglect one without endangering the other.
We all know how horrible war can be, and wa are all
determined to do everything possible to prevent these
horrors from happening again.
But you and I know that if
peace is to endure, there must be jobs, there must be hope
of economic betteraent,
otherwise, men fall easy victim
to tlie rabble-rouser, to the quack with a dangerous
nostrum.
It Is much the same with nations as with men.
In
either case, scuffling, pushing and shoving soon lead to
blows.
And when blows are struck in a crowd,
likely to be work for the police riot squad*
there is
Our discussions shoved that other countries were con
vinced that our proposals offered a practical heals for
the solution of common monetary and financial problems.
That conviction explains the cooperative spirit at the
Bretton woods Conference.
All the 44 countries were
determined to protect their own interests— the United
States no less than others— yet all were aware that their
own well-being depends on international cooperation.
On
some points, national differences had to be reconciled;
and I may add tiet Senator Wagner and Senator Tobay, both
delegates to the Conference, rendered conspicuous service
in this delicate task.
Personally,
I take pride In the fact that in spite
of all the obstacles and pitfalls, we did get an agreement
on the basis of the proposals submitted by this government.
I# had to
üé
U»-üüáoe| o 1o m ~ - o t course we d i d — that is the
democratic way#
But i t ’s o m
thing to compromiso on
details, on procedures; and it is quite another to com
promise on fundamental principles*
drew the line*
That is share we
reasonable teras, countries will be forced to seek help in
other says.
Foreign loans sight then be arranged on a
political basis.
This could only mean tne Feeuu^tTQ'h of
power politics In International economic relations.
1 repast, the businessmen of this country do not vent
to do business that say.
Tha extension of those tactics
must mean In the end the domination of International trade
and investment by governments.
This country has the
greatest interest in seeing that International trade
and
Investment are determined by economic and not by political
considerations.
'We in the Treasury have bean avare of these dangers.
y~
In 1941, se began to work on post-war currency end in
vestment problems.
We prepared a tentative proposal for
___________
/Vuu«/
a World Fund to set 6£553S3S5E=s* fair currency jcae tlse
it1
i
and to help countries abide by these « 6 e S B B 8 s .
We also
prepared a tentative proposal for a World Bank to
encourage private Investors to oaks sound and productive
foreign loans, the risks to be shared by all countries«
- I
/
Wats «111
not necessarily happen.
Many countries hfed to
adopt similar measures in self-defense.
then*
And no*,
sa
They still here
these countries look on their shelled,
boshed end pillaged lends, as they contemplate the dif
ficulties of reconstruction, there is real danger that
they m y be tempted to continue sad to extend these
practices.
if ws do nothing to htlp establish orderly exchanges,
to help these countries get foreign capital for recon
struction, they will feel compelled to revert to barter
deals, clearing agreements, competitive exchange de
preciation and multiple currencies.
And these devices
«ill be used sith greater Ingenuity and with greater
effectiveness than ever before.
- ' hebulldlng and restoring the devastated countries,
as I see it, is primarily a job for their domestic in
dustries.
Certain basic essentials, however, «ill have
to be imported.
These Include transportation equipment
and industrial and agricultural machinery.
If private
investors abroad will not lend the necessary capital on
I
4 -
This «as only ona of thS «any curraney tricks wldaly
used In tha 1930*6.
Germany had more than 36 different
kinds of marks, some selling at discounts up to 60 percent.
She had about 40 bilateral clearing agreements under which
exports to Germany were paid for only If the country took
German Imports.
This country couldn't and wouldn't do
business on that basis.
I should add that this country was.tha principal
victim of these unfair currency practices.
Between 1888
and 1938 the value of our exports fell by nearly one-half
while world trade fell by one-third,
we k now a country
cannot always keep the same export m a r k e t s .
But we believe
that changes in trade among countries should result from
productive efficiency, not from exchange restrictions.
With sueh currency praet'
trade end investment ts m i %o 1
‘
‘
national
fefiani
a ratter of International politics, and they may become
an international rooket.
Ona might suppose that whan Nazism Is destroyed, its
strong-arm currenoy practices w ill be destroyed, too.
But
these tricks by Germany forced other countries to adopt
similar «assures la self-defense.
The result
was
an era
of currency warfare that virtually destroyed international
trade and investment and prepared the jay for total war.
. |H
eLSM»,
»or#
American businessmen, are
than willing to take
h
their chances in fair competition w i t h the businessmen of
any country.
All they ask is an opportunity to sell a
better product at a better price.
But they can't trade
if the marks or the pesetas they colleot for their auto
mobiles and their movies are arbitrarily changed in value,
or cannot be sold for dollars.
That's what happened to many American companies when
they sold goods to Germany.
They could either take blocked
marks or soma commodity that Germany was willing to offer
In payment.
The American commercial attache in Berlin
reported that one company had to take 8,000,000 mouth
organa in payment for petroleum, another 800,0<X) canaries
for a large press for asking automobile bodies, and a
movie company was bamboozled into taking
for its films.
a
liva hippopotamus
s •
possible, th# producing and trading power of »any countries
must be restored end developed; tts# currency restrictions
and discriminations that stifle trade must be relaxed and
removed.
feed«
And that-— in substance— is what the iretton
proposals are about.
I want to emphasise another aspect of the ¡iretton
foods Agreements no less Important to Amorlean business—
that of establishing a world in w h i c h international trade
and International investment can be carried on by business
men on business principles#
You can't^do business In an environment of disorderly
currencies
a s -a Oriie a
¡¿gu/l
House Committee^ arbitrary exchange practices make it dif
ficult to import or expert without taking risks that are
too big for the ordinary businessman*
As you know, during the l&30'e a number of countries
began to use their currency systems for the purpose of
securing unfair advantages in International trade.
Germany in particular, developed numerous devices for
exploiting her creditors and competitors.
The use of
statement of secretary worgenthsu before the
Senate Committee on Banking end Currency
Tuesday, June 12, 1945
The Bretton foods Agreements
»hen I appeared before tne House Committee on Banking
and Currency to discuss this legislation, 1 told the Coeaaittee
that
in ay opinion,
"the Bretton »code Agreements
are good for every American citizen" end that "the pro
gram we are advocating is definitely good business for
the United States."
In that statement I discussed the importance of
Bretton foods to world trade.
Before the war, we were
the largest exporting nation in tne world,
ft
needed
exports to maintain jobg, to absorb pert of the output
of Aiuericaa factories end farms.
We wer# also a large
importer, the second largest In the world,
fte needed
imported raw amterlais for our industries sad scores of
imported products to meet the everyday demands of our
consuaers.
After the war, we will have even more reason for ex
porting and importing, for expanding trade,
£ 6
- s ' &
~
g % .;
'
':;5| 'I | |
To make this
TREASURY DEPARTMENT
Washington
Statement of Secretary, Morgenthau before the
Senate Committee on Banking and Currency
Tuesday,' June 12, 1945
The Bretton Woods Agreements
When I appeared before the House Committee on Banking and
Currency to discuss this legislation, I told the Committee that in
my opinion, "the. Brett on Woods Agreements are good for every
American citizen" and that "the program we are advocating is deflnately good business for the United States."
t
In that statement I discussed the importance of Bretton Woods
to world trade.
Before the war, we were the largest exporting
nation in the world.
We needed exports to maintain jobs, to absorb
part of the output of American factories and farms. We were also
a large importer, the second largest in the world.
We needed
imported raw materials.for our industries and scores of imported
products to meet the everyday demands of our consumers.
After the war, we will have even mor,e reason for exporting and
importing, for expanding' trade.
To make this possible, the pro
ducing and trading power of many countries must be restored- and
developed; the currency restrictions and discriminations that
stifl0 trade must be relaxed and removed.
And that--in substance-is what the Bretton Woods proposals are about.
I
want to emphasize another aspect of the Bretton Woods Agree
ments no less important to American bus iness--that of establishing
a world in which international trade and international investment
can be carried on by businessmen on business principles-.
You can’t do business in ah environment of disorderly cur
rencies.
Carl Wynne, president of the" Chicago Exporters Club, told
the House Committee that arbitrary exchange practices make it. dif
ficult to import or export without taking risks that are too big
for the ordinarjr businessman.
As you know, during the 1930*s a number of countries began to
use their currency systems for the purpose of securing unfair
advantages in international trade.
Germany in particular, devel
oped numerous devices for exploiting, her creditors and competitors.
The use of these tricks by Germany forced other countries to adopt,
similar measures in self-defense. The result was an era of currency
2
warfare that virtually destroyed international trade and investment
and prepared the way for total war.
American businessmen have demonstrated that they are more than
willing to take their chance's in fair competition with the busi
nessmen of any country. All they ask is an opportunity to sell a
better product at a better price. But they can*t trade if the
marks or the pesetas they collect for their automobiles and their
movies are arbitrarily changed in value, or cannot be sold for
dollars.
ThatJo what happened to many American companies when they sold
goods to Germany.
They could either take blocked marks or some
commodity that .Germany .was '‘willing to offer in payment.
The Ameri
can •commercial attache in Berlin reported that one company had to
take 8 ,000,000 mouth organs in payment for petroleum, another
200,000 canaries for a large press for making automobile bodies,
and a movie company w a s .bamboozled into taking a live hippopotamus
for its films.
This /was only one of the many 'currency tricks widely used in
the 1930»s. Germany had more than 35 different kinds of marks,
some selling at discounts up to 50 percent.
She had about 40
bilateral clearing agreements under which exports to Germany were
paid for only if the country took German imports.
This country
eouldn»t 'and wouldn’t- do business on that basis.
I should add that this country was the principal victim of
these unfair currency practices.
Between 1928 and 1938 the value
of our expqrts fell by nearly one**half while world trade fell by
one-third.
We know a country cannot always keep the same export
markets.
But we believe that changes in trade among countries
should result from productive efficiency, not from exchange
restrictions,
With such currency practices as these, international trade and
investment can no longer be conducted along business lines. They
become a matter of international politics, and they may become an
international racket. ’
-~ *
One might suppose that when lias ism is destroyed, its strongarm currency practices will be destroyed, too.. But this will not
necessarily■happen. Many countries had to adopt similar measures
in self-defense.. They still have them.. And now, as these coun
tries look oh their shelled, bombed and pillaged l a n d s / a s they
contemplate the difficulties of reconstruction, there is real
danger that they may be tempted to continue and to extend these
practices•
- 3 If we do nothing to. help establish:orderly exchanges, to help
these countries, g e t .f oreign capital f or reconstruction, they will
feel compelled to revert to barter deals, clearing agreements,
competitive exchange depreciation and multiple currencies,
And
these devices will be used with greater ingenuity and with greater
effectiveness than ever before.'
Rebuilding and restoring the devastated countries, as I see it,
is primarily a ,job for their domestic industries.
Certain basic
essentials, however., will have to be imported.
These include
transportation equipment and industrial ''and agricultural machinery,
If private investors abroad will not 3.end the necessary capital on
reasonable terms, countries will be forced to seek help in other
ways. Foreign loans might then be arranged on a political basis,
This could only mean the rule of power politics in international'
economic relation's,
I repeat, the businessmen of this country .do not want to do
business that way, The extension.of these tactics, must mean in the
end the domination, of international trade and investment by govern
ments. This country has the greatest interest in seeing that
international-.' trade and investment are. determined by economic and
not by political considerations.'.
We in the Treasury have been aware of these dangers.
In 1941,
we began to work on post-war currency and investment problems. We
prepared a ■tentative proposal for a World Fund to set fair currency
rules and to.'help countries abide by these rules.
We also prepared
a tentative:proposal for a World B a n k ,to encourage private investors
to make sound and productive foreign loans, the risks to be shared
by all countries ..
"
*
•/
Our discussions showed that other countries were convinced
that our proposals offered a practical basis for the solution of
common monetary-and financial problems.
That conviction explains
the cooperative spirit at the Bretton Woods Conference.
All. the
44 countries were determined to ‘
p rotect their own interests--the
United States no less than others— yet all were* aware that their
own well-being depends on international cooperation.,
On some
* I
points, national- differences had to be reconciled.; and I may add
that Senator Wagner and Senator Tobey, both delegates to the
Conference, rendered conspicuous service in this delicate task.
Personally, I take pride in -the fact that in spite of all
the obstacles and pitfalls, we,did get an agreement on the basis,
of the proposals submitt ed by this Government * We had to compromise--of course we did--that is the democratic way.
But i t ’s
one thing to compromise on details, on procedures; and ,it is quite
another to compromise on fundamental principles.
That is where we
drew the line.
- 4 -
•One. aspect of “the Bretton Woods Agreements deserves special
emphasis, their relation, to peace*
Peace is more than a political
problem*
It is a complicated structure that can be built only
upon- the solid foundation of economic order and prosperity in all
countries.
Peace and prosperity are two sides of the same prob-~
lem. We c a n ’t neglect one without endangering the other.
:*
We all know how horrible war can be, and we are all deter
mined -to do everything possible to prevent these horrors from
happening again.
But you and I know that if peace is to endure,
there must be jobs, there must be hope of economic betterment.
Otherwise, men fall easy victim to the rabble-rouser, to the quack
with a dangerous nostrum.
It -is much the same with nations as -with men.
In either case,
southling, pushing and shoving soon lead to blows. And when blows
are struck in.a crowd, there is likely to be work for the police
riot squad.
There was no riot squad on duty to prevent World War II.
'There were no rules of the game to prevent pushing and shoving;
and the economic scuffling of trie 19p0 ’s developed the gangsters
who finally discarded their economic blackjacks and brass knuckles
In favor of the tanks and Dombs that bathed Europe, and most of
the world, in blood.
International monetary and financial problems have been a
source of conflict for a generation. We must see that after this
war they do not become the basis for new conflicts.
That will be
possible if international trade and investment are put on a busi
ness rather than a political basis.
In my opinion, the Bretton
Woods proposals give us the opportunity to decide whether inter
national trade and investment will be carried on through private
enterprise on the basis of fair currency rules or through govern
ments on the-oasis of bilateral agreements.
International cooperation is a continuing and difficult task.
But we are making progress. The overall job of building a world
security organisation is being worked out at San Francisco.
Bespite the obstacles to final agreement, the Conference never
theless moves on.
it will succeed because the people of all coun
tries insist that it must succeed.
The fact that at Bretton Woods we were able to .get repre
sentatives of 44 nations to agree on proposals for a monetary and
financial program is evidence that with care, patience and under
standing, we can get agreement on p.11 international problems.
The people of .this country have shown that t h e y _a r e _eager to
have our Government take the leadership in dealing with inter‘ no difference
There is
national economic and political1prob! .ems
of ouinlon among Americans, no partisan division in Congress on
this" policy. Action by this Committee approving the Bretton
Woods Agreements will be an inspiration to war-weary and hungry
people everywhere, to people who have faith that the United hations
can and will work together to bring about a better world..
■oOo-
TREASURY DEPARÎMENT
Washington
FOR RELEASE, HORN BIG NEWSPAPERS,
Tuesday, Jane 12. 1945._________
Press Service
/ (, -S'']
the Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated June 14 and to
mature September 13, 1945, which were offered on June 8, 1945, were opened at the
Federal Reserve Banks on June 11.
The details of this issue are as follows:
Total applied for - $2,111,747,000
Total accepted
~ 1,308,742,000
Average price
(includes $57,587,000 altered on & fixedprice basis at 99.905 and accepted in full)
- 99.905/ Equivalent rate of discount approx. 0.375# per annum
Range of accepted competitive bids:
High
Low
- 99.908 Equivalent rate of discount approx. 0.364# per annus
- 99*905
"
■
■
“
*
0.376# 8
*
(57 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New fork
Philadelphia
Cleveland
Richmond
Atlanta
$
$6,26$,000
1,430,288,000
73,505,000
20,610,000
23,055,000
12,270,000
296,669,000
44,085,000
11,010,000
19,520,000
8,635,000
65,935,000
$
$2,111,747,000
$1,308,742,000
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
TOTAL
35,233,000
995,703,000
54,499,000
19,320,000
21,765,000
12,270,000
175,345,000
27,079,000
8,860,000
16,295,000
6,033,000
44.335,000
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING- NEWSPAPERS,
rpi,oaday, June 12, 1945.
Press Service
No. 46-57
The Secretary of the Treasury announced last evening that
the tenders for $1,500,000,000,
or thereabouts,
of 91-clay Treasury
bills to be dated June 14 and- to mature September 13? 1945? which were offered on June 8, 1945? were opened at the Pederal Reserve
Banks on June 11.
The details of this issue are as follows:
Total applied for - $2,111,747?000
Total accepted
- 1,JOB,742,000 (includes $57,587,000
entered on a fixed-price basis at 99.905 and accepted' in
full)
Average price
- 9 9 .905/Eqnivalent rate of discount approx
0.375% per annum
Range of accepted competitive bids:
High
Low:
- 99.908
O.364 %
- 99 •pop.
0.376%
Equivalent rate of discount approx
per annum
Equivalent rate of discount approx
per annum
(57 percent of the amount bid for at the low price was a cc epte d )
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City ■
Dallas
San Francisco
TOTAL
56,265,000
1,480,288,000
73,505,000
20,610,000
23,055,000
. 1 2 ,270,000
296,669,000
44,085,000
1 1 ,010,000
1 9 ,520,000
8 ,635,000
65,835,000
¡$2 ,lli; 747,000
$
-0O0-
35,238,000
885,703,000
5 4 ,499,000
1 9 ,320?000
21,765,000
12,270,000
175,345,000
27,079,000
'8,860,000
1 6 ,295,000
8 ,033,000
44,335,000
$1 ,308,742,000
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE
Press Service
No.
The Secretary of the Treasury, Henry Morgenthau, Jr., and the
Charge d*Affaires of Cuba, Dr. Jose T. Baron, today extended for four
years beyond 30 June 194*5, the agreement under which the Government of
the United States undertakes to sell gold to the Government of the
Republic of Cuba.
The agreement provides that payment may be made
within one hundred and twenty days after delivery of the gold, provided
that the unpaid-for amount of gold shall not at any time exceed
#5,000 ,000 .
The agreement which was extended today evidences the close co
operation that exists between the Treasuries of the Republic of Cuba
and the United States, and will enable the Cuban Treasury to carry out
operations designed to stabilize the Cuban peso-United States dollar
rate of exchange.
The agreement has been in operation since July, 1942, and has
proved to be very effective.
oOo-
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, June 15, .1945»
Press Service
No* 46-58
The Secretary of the Treasury, Henry Morgenthau, Jr.,
and the Charge dJAffaires, of Cuba, Dr. Jose T. Baron, today
extended for four years beyond 30 June 1945, the agreement
under which the Government of the United States undertakes
to sell gold to the Government of the Republic of Cuba.
The agreement provides that payment may be made within one
hundred and twenty days after delivery of the gold, provided
that the unpaid-for amount of gold shall not at any time
exceed 15,000,000.
The agreement which was extended today evidences the
close cooperation that exists between the Treasuries of the
Republic of Cuba and the United States,, and will enable the
Cuban Treasury to .carry out operations designed to stabilize
the Cuban peso-United States dollar rate of exchange.
The agreement has been in operation since Jul;/, 1942,
and has proved to be very effective.
oOo
4
RjJ
if
3£k« Secretary
Morgenthau/?*|i announced toda^an
„ extension
extei
has been granted to overseas members of the armed forces on their
A
tax obligations which were postponed because of overseas service*
The action is intended particularly to help servicemen who stop in the
/
United States for a few months while enroute from the European to the Pacific
theater of war.
The extension is embodied in an amendment to the^ j i o o m e ^ f a x ¿Agitations
and was issued by Commissioner of Internal Revenue Joseph D. Nunan, Jr., with
the approval of the Secretary.
Specifically, the newRegulation provides that the postponement granted an
overseas serviceman will continue until he has been back in the United States for
a continuous period of five and one-half calendar months (not counting the
\
month in which he returns).
In other words, an overseas serviceman will not
lose his tax postponement if he stays in this country for a short period while
enroute to another overseas assignment.
The new time allowance was decided upon after consultation with the
War Department regarding the approximate time which may.be spent in this
country on furloughs and in retraining camps by servicemen being transferred
from Europe to the Pacific.
Formerly, the Regulations cancelled the tax post
ponement of an overseas serviceman after he had been back three and one-half
calendar months.
niTf)'*1 ■ ‘1 **'
'i t-Trrrtr
-°-9w ric ? n p n Ttrtn owt m y tiwror f ™ r p o r t ynnrffj
t lr ^ *
The tax laws exempt the first
#1500 of active service pay of each member of the Armed forces, and therefore
most enlisted men owe no taxes.
a
;
0
TREASURY DEPARTMENT
Washington
POR IMMEDIATE RELEASE,
Wednesday, June 13, 1945»
Press Service
No. 46-59
Secretary Morgenthau announced today that an additional
extension has been granted to overseas members of the armed
forces on their income tax obligations which were postponed
because of overseas service.
The action is intended particularly to help servicemen
who stop in the United States for a few months while enroute
from the European to the Pacific theater of war.
The'extension is embodied in an amendment to the income
tax regulations and was issued by Commissioner of Internal
Revenue Joseph D. Nunan, Jr., with the approval of the
Secretary.
Specifically, the new regulation provides that the post
ponement granted an overseas serviceman will continue until
he has been back in the United States for a continuous period
of five and one-half calendar months (not counting the month
in which he returns).
In other words, an overseas serviceman
will not lose his tax postponement if he stays in this coun
try for a short period while enroute to another overseas
assignment.
The new time allowance was decided upon after consulta
tion with the War Department regarding the approximate time
which may be spent in this country on furloughs and in r e
training camps by servicemen being transferred'from Europe
to the Pacific.
Formerly, the regulations cancelled the tax
postponement of an overseas serviceman after he had been back
three and one-half calendar months.
The tax laws exempt the first $1,500 of active service
pay of each member of the armed forces, and therefore most
enlisted men and women owe no taxes.
oOo
FOE IMMEDIATE HE LEASE
June 12. 1945______
The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse,
for consumption under the import quotas established in the President’s
proclamation of May 28, 1941, as modified by the President’s proclamations
of April 13, 1942, and April 29, 1943, for the 12 months commencing May 29,
1945, as follows:
Country
of
Origin
Wheat flour, semolina,
crushed or cracked
Wheat
wheat, and similar
wheat products
Established : Imports
Established * Imports
Quota
:May 29, 1945, to
Quota
: May 29, 1945,
:June 9, 1945 ¿/
:to June 2, 1945
(Bushels)
(Bushels)
(Pounds)
(Pounds)
Canada
795,000
China
Hungary
Hong Kong
Japan
United Kingdom
100
Australia
Germany
100
Syria
100
—
Hew Zealand
Chile
Netherlands
100
Argentina
2,000
Italy
100
Cuba
France
1,000
Greece
Mexico
100
Panama
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Humania
1,000
Guatemala
100
Brazil
100
Union of Soviet
Socialist Bepublics 100
Belgium
100
..
—
—
-
-
—
-
-
—
—
—
—
—
—
mm
—
—
—
—
—
—
—
_
-
-
—
—
-
—
-
-
—
—
-
—
800,000
3k/
703,234
-
Per telegraphic reports.
3,815,000
24,000
13,000
13,000
8,000
75,000
1,000
5,000
5,000
1,000
1,000
1,000
14,000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
mm
Q
mm
—
2,218
—
—
..
—
—
«■
_
_
—
—
-
mmm
—
-
-
-
-
-
703,234
4,000,000
2,218
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE*
Wednesday, June 13, 1945.
Press Service
No. 46-60
The Burean of Customsannounced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse-, for
consumption under the import quotas established in the Presidentas proclamation
of May 28, 1941, as. modified by the President’s proclamations of April 13, 1942,
an d April 29, 1943, for the 12 months commencing May 29, 1945, as follows:
Wheat
Country
of
Origin
Established
Quota
(Bushels)
795,000
Canada
China
Hungary Hong Kong
Japan
100
United Kingdom
mk
Australia
100
Germany
Syria
100
New Zealand
Chile
100
Netherlands
2,000
Argentina
Italy
100
Cuba,'
Prance
1,000
Greece
100
Mexico
_
Bahama
Uruguay
Poland and Danzig
*
Sweden
Yugoslavia
Norway .
Canary Islands
1,000
Rumania
100
Guatemala
Brazil ■
100
.Union of Soviet
Socialist Republics
100
100
Belgium
-
800,000
1.
:. . Imports
:May 29, 1945, to
jJune 9, 1945 1/
(Bushels)
703,234
- .
bm
■- .
-
-
703,234
Per telegraphic reports.
-oOo-
Wheat flour, semolina,
crushed or cracked
wheat, and similar
wheat products
Imports
Established •
•May 29, 1945,
Quota
:to June 2, 1945
(Pounds)
(Pounds)
3,815,000
24,000
13,000
13,000
8,000
75,000
1,000
5,000
5^000
1,000
1,000
1,000
14,000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
-
*•
4,000,000
2,218
■i
- 1
-
-
2,218
POE IMMEDIATE EELSASE
Wcr^/vi? i m v*
13,/?</
The Bureau of Customs announced today preliminary figures showing the
quantities of vfoeat and vheat flour entered, or withdrawn from warehouse,
for consumption under the import quotas established in the President's
proclamation of May 28, 1941, as modified by the President's proclamations
of April 13, 1942, and April 29, 1943, for the 12 months commencing May 29,
1944, as follows:
Country
of
Origin
Wheat flour, semolina,
crushed or cracked
Wheat
wheat, and similar
wheat products
Established:
Imports
Established
Imports
iMay
29,
1944,
to
May
29,
1944, to
Quota J May 28, 1945
Quota
May 28, 1945
(Bushels)
(Bushels)
(Pounds)
(Pounds)
Canada
795,000
China
Hungary
Hong Kong
Japan
United Kingdom
100
Australia
Germany
100
Syria
100
Hew Zealand
Chile
Netherlands
100
Argentina
2,000
Italy
100
Cuba
Prance
1,000
Greece
Mexico
100
Panama
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Humania
1,000
Guatemala
100
Brazil
100
Union of Soviet
Socialist Eepublics
100
Belgium
100
795,000
3,815,000
24,000
13,000
13,000
8,000
75,000
1,000
5,000
5,000
1,000
1,000
1,000
14,000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
3,114,335
800,000
795,000
—
—
—
W
-
-■
—
—
—
_
—
—
_
_
-
—
_
_
—
_
—
•
-
—
»
_
-
-
-
—
-
—
-
_
—
«M»
1-1
—
«Ml
—
—
MM
MM
-,
—
_
_
mm
—
—
—
-,
_
—
-
_
—
—
—
-
—
4,000,000
-
3,114,335
FOR IMMEDIATE RELEASE
Wednesday, Jane 13, 1945
TREASURY DEPARTMENT
Washington
Press Service
No, 46-61
The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse, .
for consumption under the Import quotas established in the Presided s
proclamation of May 28, 1941* as modified by the President’s proclamations
of April 13, 1942, and April 29, 1943* f°r ^ e 12 months commencing
May 29, 19 44* as follows?
Wheat flour, semolina,
crushed or cracked
Wheat
wheat, and similar
?_______wheat products______ _
«Established?
Imports
•Established?
Imports
to?
Quota
?May
29, 1944* to
Quota
?May 29, 1944*
?
May
28, 1945
•
: May 28, 1945
(Pounds)
(Pounds)
(Bushels)
(Bushels)
?
Country
of
Origin
795*000
Canada
—
China
—
Hungary
—
Hong Kong
—
Japan
100
United Kingdom
—
Australia
100
Germany
100
Syria
New Zealand
•—
Chile
100
Netherlands
2,000
Argentina
100
Italy
—
Cuba
1,000
France
Greece
100
Mexico
—
Panama
—
Uruguay
—
Poland and Danzig
.Sweden
—
Yugoslavia
—
Norway
—
Canary. Islands
1,000
Rumania
100
Guatemala "
100
Brasil
Union of Soviet
100
Socialist Republics
100
'Belgium
800,000
-795*000
3,815* 000
3,114*335
24*000
13 *0 0 0
13*000
8,000
75*000
1,000
5,000
5*000
1,000
1,000
1,000
1 4 *000
2,000
12,000
1,000
1, 000
1,000
1,000
1,000
1,000
1,000
1, 000
1, 000
1,000
795*000
0O0-
4,000,000
3*114*335
i
2
-
-
/
COTTON CARD STRIPS made from cottons having a staple of less than 1-3/16 inches
in lengthy COMBER WASTE, LAP WASTE, SLIVER WASTE, AID ROVING WASTE, WHETHER
OR HOT MANUFACTURED OR OTHERWISE ADVANCED IH VALUE. Annual quotas commencing
September 20, by Countries of Origin:
"
Total quota, provided, however, that not more than 33-1/3 percent of thé quotas
shall be filled by cotton wastes other than card strips made from cottons
having a staple less than 1-3/16 inches in length and comber wastes-mte.de from
cottons of 1-3/16 inches or more in staple length in the case ©f the follow
ing countries: United Kingdom, Prance, Netherlands, Switzerland, Belgium,
Germany, and Italy:
(In Pounds)
TOTAL IMPORTS : ESTABLISHED :: Impo rt S
Established *
: Sept. 20, 1944
Country of Origin : TOTAL QJJOTA j Sept. 20, 1944 : 33-1./3/0 of :
:
to Jtme 2» 1 9kZ>' Total Quota !: to J m m 2. 1/
i
United Kingdom.... .
Canada.,..... .,...
Prance.............
British India......
Hat her lands.........
Switzerland.........
Belgium.............
•Japan............
China......... .
Ec/pt..... ..... .
Cuba.......
Germany.............
Italy. ..............
TOTALS
1/
4,323 ,457
239,690
227,420
69,627
66,240 ‘
44,388
38,559
341,535
17,322
8,135
6 ,544
76,329
21,263
•*
- .
63,22k
- .
mm
*
*
63.22U
5,482,509
Included in total importsf column 2.
-oOot-- t
1,441,152
—
75,807
22,747
14,796
12,853
—
**
—-
—
25,443
7,088
1,599,886
r
mm
—
m
m
•
**
•*
•
mm-
-
.
FOE BÜBDIàTE RELEASE
J o !• ?L2,
T\he Bureau of Customs announced today that preliminary reports from the
collectors of customs show imports of cotton and cotton waste chargeable to the
import quotas established by the Presidents proclamations of September 5, 193S,
as amehded by the proclamations of December19, 1940, March 31, 1942, and June
29, 1942, during the period 'September 20, 1944, to
19k$*
Jtasui2»
COTTON HAVING- A STAPLE OP LESS THAN 1-11/16 INCHES (OTHER THAN HARSH OR ROUGH
COTTON OF LESS THAN 3/4 INCH IN STAPLE LENGTH AND CHIEFLY USED IN THE MANU
FACTURE OF BLANKETS AND BLANKETING, AND' OTHER THAN LINTERS). Annual quotas
commencing September 20, by Countries of Origin:
(In Pounds)
Country of
_ rt...Origin^.\
Staple length less : Staple length 1-1/8» or more
. than 1-1/8»
:
but less than 1-11/16»
'4'Imports Sept..: Established : Imports Sept.
V
20, 1944, to
..Quota
Established: 20, 1944, to.:
.45,656,420 ’' ¿ m * 2 f 1911*3.
Quota
îJune 2» 1
Egypt and the Anglo-> - Egyptian Sudan.......
783,816
Peru....................
247,952
p British India.. ........
2,003,483
Ghina................... 1,370,791
? Mexico.,..v ;......
8,8B3 ;259
- Brazil.................
618,723
’1•'¡sÊE' :
3§51;
ïT »Ì0m 1
'Union of Soviet
Socialist Republics...
475,124
~ Argentina.... .........
§ 5,203
~ Haiti,.... ............
237
~ Ecuador................
9,333
rHonduras................
752
'Paraguay...... .'.......
871
“ Colombia............. .......,
.1,34.
Iraq,.... 1.............
195
“ British East Africa..,,.
'2,240
Netherlands East Indies.
71,388
U
Barbados................
Other British Nest
Indies 1/.... ........
21,321
Nigeria................
5,377
Other British West
Africa 2 /
16,004
Other French África 3/..,
689
Algeria and Tunisia....
14,516,882
—
31,872,998
2,mj99
mm
8,863,»59
708,815
'— '
■mm
m
■mm
m'
m
«
-'
m
...
.m
mm
m
•
i,
_
Jtr ^
-
—
».
»
«
mm
.
m
mm
mm
4»
8,883,259
mm
45,656,420
Á: V. .
.*
1/ Other than Barbados, Bermuda, Jamaica, Trinidad, and'Tobago.
2/ -Other than Gold Coast and Nigeria.
3/ Other than Algeria, Tunisia, and Madagascar.'
37,695,212
TREASURE DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, June 15, 1945.
Dress Service
No. 46-62
The Bureau of Customs announced today that preliminary reports from the
collectors of customs show imports of cotton and cotton waste chargeable to the
import quotas established by the Presidents proclamations of September 5, 1939,'
as amended by the proclamations of December 19, 1940, March 31, 1942, and June
29, 1942, during the period September 20,, 1944, to June 2, 1945,
COTTON HAVING A STAPLE OF LESS THAN l-ll/l6 INCHES (OTHER THAN HARSH OR ROUGH
' COTTON OF LESS THAN .3/4 INCH IN STAPLE LENGTH AND CHIEFLY USED IN THE MANU
FACTURE OF BLANKETS AND BLANKETING, AND OTHER THAN LINTERS). Annual Quotas
commencing September 20, by Countries of Origin;
___________________________ (in Pounds)
'
.;"
Staple length less
•________than l-l/S"
Country of
;
;Imports Sept,
Origin
:Established:20, 1944, to
;
Quota
:June 2, 1945
Egypt and the Anglo
Egyptian Sudan^, •. •... 783,816
Peru,.,.,............ . 247,952
British India.........,2,003,483
China......
.....1,370,791
..8,883,259
Mexico.........
Brazil..... ......
618,723
Union of Soviet
Socialist Republics..
475,124
Argentina,....... .
5,203
Haiti.... ..........
237
Ecuador................
9,333
Honduras....,...*.....,
752
Paraguay....... ......
871
Colombia..,....,.,.....
124
I
r
a
q
,
,
195
British East Africa...^
2,240
Netherlands East Indies
71,388
Barbados,..,,.......,..
—
Other British West
Indies l/........
21,321
Nigeria,,.,..........
5,377
Other British West
Africa 2/.....
16,004
Other French Africa 3/.
x
689
Algeria and Tunisia..,.
14,516,882
I/
2j
-
,
; Staple length 1-1/8" or more
»
but less than l-ll/l6”
: Established : Imports Sept.
s
Quota
: 20, 1944, to
; 45,656,420 ; June 2, 1945
"v
8,883,259
-
''
34,872,998
2,113,399
708,845
--
-
-
-
-
-
-
-I
-
»
-
-
8,883,259
45,656,420 .
Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago.
Other than Gold Coast and Nigeria.
Other than Algeria, Tunisia, and Madagascar.
37,695,242
-
2.
-
COTTON CARD STRIPS made from cottons having a staple of less than l~3/l6 inches
in length, COMBER WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, WHETHER
OR NOT MANUFACTURED OR OTHERWISE ADVANCED IN VALUE. Annual quotas commencing
September 20, by Countries of Origin;
Total quota, provide d, however, that not more than 33-l/3 percent of the quotas
shall be filled by cotton wastes other than card strips made from cottons
having a staple less than 1-3/16 inches in length and comber wastes made from
cottons of 1-3/16 inches or more in staple length in the case of the follow
ing countries: United Kingdom, France, Netherlands, Switzerland, Belgium,
Germany, and Italy;
(in Pounds)
Country
of Origin
.
.
United Kingdom. ••
Canada......... .
France.... .
British India....
Netherlands.....
Switzerland.. . . . .
Belgium....... ..
Japan.. . . . . . . . . . .
China....... ...........
Egypt....................
Cuba.................
Germany........ .
Italy...... .
TOTALS
Established
TOTAL QUOTA
4,323,457
239,690
227,420
69,627
68,240
44,388
38,559
341,535
17,322
8,135
6,544
' 76,329
21,263
5,482,509
; TOTAL IMPORTS
: Sept. 20, 1944
: to June 2, 1945
ESTABLISHED
33-l/3^ of
Total Quota
_
1,441,152
-
63,224
i-
Imports
; Sept* 20 , 1944 to
: June 2 , 1945 l/
—
—
—
22,747
14,796
12,853
_
M,
75,807
'
_
mm.
_
—
63,224
l/ Included in total imports, column 2.
-oOo-
mf
)
25,443
7,088
-
1,599,886
-
-3-
Mrs. Roosevelt said:
"It has not been possible for us at home to stand
side by side with our sons in battle.
do that.
We would like to
There is probably no parent listening in who
would not willingly share his son’s own danger, and even
sacrifice his own life for the safety of that son.
Of
course, we cannot actually do that in person, and yet in
a very real sense we can do it.
When we buy War Bonds
we put a rifle into our son’s hands.
When we buy War Bonds
we put planes in the air to protect him as he hits the beach.
When we buy War Bonds we put bandages on his wounds ... we
put tools in the surgeon’s hand.
for his recovery.
We buy the time needed
Yes, we buy convalescent centers and
hospitals like Pawling.
"And yet sometimes people ask, ’Why do we need War
Bond Drives?’ We need them only because we have so little
contact with the actual war itself.
We need them to make
good on what our men died for - the full freedom man has
ever struggled for.
The heavy price God puts upon freedom
is clear - and there is no way of bargaining.
There are
no shortcuts to peace - and no bargain rates for freedom."
0 O 0 -0 O 0
-
2
-
there is another side to the war - the human side.
behind every fact and figure are people.
And
Tonight, here
at this convalescent hospital in the green Hills of Pawling,
we are going to take you behind the facts and figures, behind
the quotas, behind the E Bonds.
We are going to see, together,
War Bonds at work.11
Patients on the program discussed the various treatments
that were aiding their recovery.
Others interviewed included
officers of the hospital, the wife of one of the patients and
a worker of the Pawling Red Cross.
This worker told of an Air Force gunner, morose from
combat fatigue, whose recovery had been impeded until it was
learned that he was longing for a pet:
"A French poodle —
a little, white poodle is what I want.”
The worker added:
*1 got it for him the next day ... and you should have
seen that soldier change.
W e ’ve found that four legs, a
wagging tail and a friendly bark can do wonders.
at Pawling who wants a dog gets one —
wants.
Anyone
and the kind he
And when he leaves, the dog leaves with him.11
At the close of the program Secretary Morgenthau
introduced Mrs. Roosevelt as a neighbor who “has been a
neighborly friend to all America“.
RELEASE FOR THURSDAY MORNING PAPERS.
Secretary Morgenthau and Mrs. Franklin D. Roosevelt
spoke on a Seventh War Loan broadcast last night, devoted
largely to interviews with patients at the U. S. A m y Air
Forces Convalescent Hospital at Pawling, N. Y.
The theme of the broadcast, at 10:30 p.m., E.W.T.,
over the Blue Network of the American Broadcasting Company,
was the work of War Bond dollars in restoring the health of
disabled fighting men.
Although military hospitalization costs only $5 per
patient per day, Secretary Morgenthau said, "we can truth
fully say there never was so much of the best provided for
so many of the best for so little cost”.
In opening the half-hour broadcast, Secretary Mor
genthau said:
"These days we are engaged in another great demonstra
tion of our united determination to force complete defeat
upon our eneiry.
Loan.
We are doing that through the Seventh War
Few of us can share the actual immediacy of war.
We can only feel war by seeing what it does —
through
pictures and through the looks, the words, the actions of
the fighting men who return to us.
"We in the Treasury deal in facts and figures.
But
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G NEWSPAPERS-,
Thursday., June 14, 1945,
Press Service
No ♦ 4 6 -63
•Secretary M o r g e n t h a u and M r s ♦ F r a n k l i n D. Roosevelt
spoke on a s e v e n t h W a r L o a n b r o a d c a s t last night, d e v o t e d
largely to i n t e rviews w i t h p a t i e n t s at the U, S. A r m y Air
Forces C o n v a l e s c e n t H o s p i t a l at Pawling,. N., Y,
J ; h e theme o f the b r o a d c a s t , at 1 0 :30 p.m., E.W.T., over
he Blue N e t w o r k of the A m e r i c a n B r o a d c a s t i n g Company, was the
work of W a r B o n d d o l l a r s in r e s t o r i n g the h e a l t h of d i s a b l e d
fighting men.
A l t h o u g h m i l i t a r y h o s p i t a l i z a t i o n costs o n l y f;5 per
patient per day, S e c r e t a r y M o r g e n t h a u said, "we can t r u t h f u l l y
say there n e v e r was so m u c h of the b e s t p r o v i d e d for so m a n y
of the b e s t for so l i t t l e cost'1.
In o p ening
said :
the h a l f - h o u r broadcast,. S e c r e t a r y M o r g e n t h a u
"These days we are en g a g e d in a n o t h e r great d e m o n s t r a t i o n
of our
10
^ t e r m i n a t i o n to force complete d e f e a t u p o n our
enemy.
W e are d o i n g that t h r o u g h the S e v e n t h W a r Loan,
Few
I us can share the actu a l i m m e d i a c y of war,
We can only feel
? r, ^
whs t It does -x- th r o u g h p i c t u r e s an d t h r o u g h the
to0^ >
w o r hs, the actions of the f i g h t i n g m e n w h o return
nWe in the T r e a s u r y deal- in facts and figures.
But there
is another side to the w a r - the h u m a n side.
A n d b e h i n d every
fact and figure are people*, Tonight, h ere at this c o n v a l e s c e n t
hospital
in th _green h
C ,
xil
il
u s of
ox Pawling,
r a w i m g , we are g o i n g to take
you behind the facts and figures, b e h i n d the quot a =3 b e h i n d the
& tfonds.
We are g o i n g to see. together.
together, W
Wa
ar
r Ron
Bonds at'Work.'”
Patients on the p r o g r a m d i s c u s s e d the various t r e a tments
m a t were a i d i n g their recovery... Othe r s I n t e r v i e w e d included
xicers of the hospital, the wife o f one of the pa t i e n t s and
worker of the P a w l i n g Red Cross.
J ° T k e r told
of an A l r Porce Sinner, m o r o s e fr^orn
l e a n n ^ ^ i 1! ^ ' w h o a e r e c o v e r y had bee n impeded u n t i l it was
a
t h a t he was l o n g i n g for a pet:
»A F r e n c h p o o d l e -d
white p o odle is w hat I w a n t . "
r 2
T h e w o r k e r added:
”i got it for h i m the next" d a y ... and you should have
seen that s o l d i e r change.
W e ’ve found that four legs, a ;
w a g g i n g tail and a f r i endly b a r k c an do w o n ders.
A n y o n e at
P a w l i n g wh o wants a d o g gets one —
and the kin d he wants.
A n d w h e n he leaves, the d o g leaves w i t h him. ”
At the close o f the p r o g r a m S e c r e t a r y M o r g e n t h a u
i n t r o d u c e d Mrs. R o o s e v e l t as'a n e i g h b o r who ’’has b e e n a
n e i g h b o r l y friend to all A m e r i c a ” .
*
M r s • ¿Roosevelt said:
”It has b e e n a c o m f o r t to me, as it w o u l d be to all the
m o t h e r s l i s t e n i n g in, to hav e seen h o w well this conv a l e s c e n t
h o s p i t a l is operated.
*
"It has not b e e n p o s s i b l e for us at hom e to stand side
by side w i t h our sons in b a t tle.
W e w o u l d like to do that.
There is p r o b a b l y no p a r e n t l i s t e n i n g in w h o w o uld not
w i l l i n g l y share his s o n fs o w n danger, and even sacrifice his
own life for the s a f e t y of that son.
O f course, we cannot
a c t u a l l y do that in person, a n d y et in a ver y r e a l . s e n s e we
can do it.
W h e n we b u y W a r B o n d s we put a rifle into our
s o n ’s hands.
W h e n we b u y W a r Bonds we put planes in the a ir
to p r o t e c t h i m as he hits the beach.
W h e n we b u y W a r Bonds
we put b a n d a g e s on M s w o u n d s ... we p ut tools in the s u r g e o n ’s
hand.
We b u y the time n e e d e d for his recovery.
Yes, we b n y
c o n v a l e s c e n t centers and h o s p i t a l s like Pawling.
’’And yet sometimes people ask, ’W h y do we n e e d W a r Bond
D r i v e s ? ’ W e n e e d the m onl y b e c a u s e we h a v e so little contact
w i t h the actual w a r itself.
We n e e d them to m a k e goo d o h what
our m e n d i e d for - the f u l l " f r e e d o m m a n h as ever s t r u ggled
for.
The h e a v y price God puts u p o n f r e e d o m is clear - and
there is no w a y of b a r g a i n i n g .
T h b r e are no shortcuts to
peace*— and no b a r g a i n rates for f r e e d o m . ”
0 O0 *
•4
FOR IMMEDIATE RELEASE
June 12, 19U5
The Bureau of Customs announced today preliminary figures shoeing the
quantities of coffee authorised for entry for consunption under thebuotas for
the 12 months commencing October 1, 19i*l*» provided for in the Inter-Anerie«
Coffee Agreement, proclaimed by the President on April 1$, 19l*l> as follows*
Country of Production
s
s
s
Quota Quantity t
»
(Pounds) y
Authorised for entry
for consumption
km A t
Signatory Countries!
Brasil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venesuela
1 ,023,1*61,21*1
June 2, 191*5
2,353,626,932
n
1*1*8,016,659
796,79k,513
n
50,615,676
26,679,1)32
n
k,390,627
20,21*6,297
23,288,81)6
June 9, 19it5 2/
30,369,379
June 2, 191*5 ”
20,931,lk6
37,961,757
m
151,81*7,028
73,798,511»
135,396,920
t
58,1*32,292
m
1*3,151,681)
69,596,621
5,061,5kl (Import Quota Filled)
51*,822,787
120,212,296
June 2$ 19u5
«
k9»350,32k
12,581,959
it
3,169,272
6,326,893
*r
106,292,893
kk,68k,779
Non-Signatory Countries!
89,81*2,785
m
679,0119
1/ Quotas as of June 1, 191*5, determined by action of the Inter-American
Coffee Board on May 29, 191*5*
2/ Per telegraphic reports*
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE
Wednesday, June 13, 19 A 5
'
Press Service
No.46 -64.
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas for
the 12 months, commencing October 1, 1944* provided for in the Inter-American
Coffee Agreement, proclaimed by the President on April 1$, 1 9 4 1 , as follows:
«
Country of Production : Quota Quantity
«
•
(Pounds) 1/
Authorized for entry
for consumption
(Date)
: (Pounds)
:¿is of
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico ;
Nicaragua
Peru
Venezuela
Non-Signatory Countries:
2,353,628,932
796,794,513
50,615,676
20,-246,297
30 ,3 6 9 ,3 7 9
3 7 ,9 6 1 , 7 5 7
151,847,028
135,396,920
■ 69,596,621
5 ,0 6 1 ,5 4 1
1 2 0 ,2 1 2 ,2 9 6
49,350, 324
6,326,893
1 0 6 ,2 9 2 ,893
89,842,785
June 2 , 1 9 4 5
h
If
If
1,023,461,241
448,018,659
26,679,432
4,390,627
,June 9, 1945 2 / . . 23,288,846'
June 2, 1945
20,931,146
If
- -A..'
■7 3 ,7 9 8 ,5 1 4
If
5S,43^ ,2 9 2
If
4 3 ,1 5 1 ,6 8 4
(Import Quota Filled)
June 2 , 1 9 4 5
54,822,787
h
12,581,959
it
3,169,272
11 f|fe| it
44,684,779
11
6 7 9 ,0 4 9
1/
Quotas as of June 1, 1945* determined by action of the Inter-American
Coffee Board on May 29, 1945*
2/
Per telegraphic reports.
„ o..Wè
i
K
o
o —
Commodity
Silver or “black
foxes, furs,
May - Nov. 1945
and articles*
All countries
Foxes valued
under $250 each
and whole furs
and skins
Tails
12 months from
Dec. 1, 1944
Imports as of
June 2.
1945
52,176
Number
2,906
5,000
Piece
X
Paws, heads, or
other separated
parts
it
500
Pound
500
Piece plates
ii
550
Pound
-
Articles, other
than piece plates
it
500
Unit
18
0 O0
/
Unit
of
Quantity
Established Quota
Period and Country ? Quantity
Ipd today preliminary figures showing the
ties within quota limitations provided
•he beginning of the quota periods to
Is:
• Unit ! Imports as of
ed Quota
June 2,
-!
Of
!
1945
!
Quantity
:
ry: Quantity
3,000,000
Gallon
13,086
1,500,000
Mr. Shaeffer
Tish, fresh or
frozen, filleted,
etc., cod, haddock,
hake, pollock, cask,
and rosefish
Calendar year 17,668,311
Gallon
382
White or Irish
potatoes!
certified seed
other’
12 months from
Sept. 15,1944 90,000,000
60,000,000
Pound
16,439,040
Pound
Pound
Quota filled
Quota filled
Cuban filler tobacco
Pound
unstemmed or stemmed
(unstemmed
(other than cigarette
equivalent)
leaf tobacco), and
scrap tobacco
Calendar year 22,000,000
Quota filled
Calendar year
1,727,242
Square
684,387
Molasses and sugar
sirups containing
soluble nonsugar
solids equal to
more than 6$ of
total soluble
Calendar year
solids
1,500,000
Gallon
809,444
Bed cedar shingles
FOR IMMEDIATE RELEASE
June, 13. 2.945______
The Bureau of Customs announced today preliminary figures showing the
imports for consumption of commodities within quota limitations provided
for under trade agreements, from the beginning of the quota periods to
June 2, 1945, inclusive, as follows:
E s ta b lis h e d
Commodity
Q u o ta
tJ n it
Im p o rts a s o f
of
June 2,
1945
P e r io d and C o u n try :
Q u a n tity
Q uant i t y
Whole milk, fresh
or sour
Calendar year
3,000,000
Gallon
13,086
C ream , f r e s h
sou r
Calendar year
1,500,000
Gallon
382
Pish, fresh or
frozen, filleted,
etc., cod, haddock,
hake, pollock, cask,
and rosefish
Calendar year
17,668,311
Pound
16,439,040
000Pound
000Pound
Quota filled
Quota filled
or
White or Irish
potatoes:
certified seed
other'
12 months from
Sept. 15,1944 90.000.
60.000.
Cuban filler tobacco
unstemmed or stemmed
(other than cigarette
leaf tobacco), and
scrap tobacco
Calendar year
Red cedar shingles
Pound
(unstemmed
equivalent)
22,000,000
Quota filled
Calendar year
1,727,242
Square
684,387
Molasses and sugar
sirups containing
soluble nonsugar
solids equal to
more than 6$ of
total soluble
solids
Calendar year
1,500,000
Gallon
809,444
TREASURY DEPARTMENT
Washington
FOR RELEASE
at
b S S m
m ,,
m
P.M., .
WJP
8 P.M..
I JK
Press Service
N°*
Y&~6>(b
The following joint statement was issued today by the
Secretary of the Treasury of the United'States, Mr, Henry
Morgenthau, Jr,, in Washington, D, C. and by the Secretary
of Finance and Public Credit of Mexico, Mr. Eduardo Suarez,
in Mexico City, Mexico!
1
The Stabilization Agreement of 1941 between the United
States and Mexico, under which the United States Stabiliza
tion Fund undertakes to purchase Mexican pesos to the. amount
of $40 million for the purpose of stabilizing the U.S.
dollar-Mexican peso rate, has been extended today for a
period of two years beyond June 30, 1945. The Agreement
also provides for periodic conferences among representatives
of the two Treasuries and the Bank of Mexico.
The extension of the 1941 Agreement is in accord with
the policy of the Mexican and the United States Treasuries
of maintaining the stability of the rate of exchange between
the currencies of the two countries. In so doing* the
foundation for stable economic and financial relations
between Mexico and the United States is maintained. Once
the International Monetary Fund proposed at Bretton Woods
is in operation the Stabilization Agreement will be com
pletely consistent with it and will serve to supplement the
international organization’s efforts to stabilize the rates
of exchange between all the member countries.
The extension of this Agreement was signed today in
Washington by the Secretary of the Treasury of the United
States of America, the Charge d* Affaires of Mexico repre
senting the Secretary of Finance and public Credit of
Mexico and a special representative of the Bank of Mexico.
Ô
O
I
TREASURY- DEPARTMENT
Washington
Press Service
No • ¿¿S-66
FOR RELEASE AT S P.M., E.W.T
Wednesday, June 13, 1945»
The following joint statement was issued today by the Secretary
of the Treasury of the United States, Mr, Henry Morgenthau, Jr., in
Washington, D, C. and by the Secretary of Finance and Public Credit
of Mexico, Mr. Eduardo Suarez, in Mexico City, Mexico:
The Stabilization Agreement of 1941 between the
United States and Mexico, under which the United States
Stabilization Fund undertakes to purchase Mexican pesos to
the amount of 440 million for the purpose of stabilizing
the U.S. doliar-Mexican peso rate, has been extended today
for a period of two years beyond June 30, 1945* The Agree
ment also provides for periodic conferences among
representatives of the two Treasuries and the Bank of
Mexico,
The extension of the 1941 Agreement is in accord with
the policy of the Mexican and the United States Treasuries
of maintaining the stability of the rate of exchange
between the currencies of the two countries. In so doing,
the foundation for stable economic and financial relations
between Mexico and the United States is maintained. Once
the International Monetary Fund proposed at Bretton Woods
is in operation the Stabilization Agreement will be
completely consistent with it and will serve to supplement
the international organization’s efforts to stabilize the
rates of exchange between all the member countries.
The extension of this Agreement was signed today in
Washington by the Secretary of the Treasury of the
United States of America, the Charge d ’ Affaires of Mexico
representing the Secretary of Finance and Public Credit of
Mexico and a special representative of the Bank of Mexico«
■oOo-
The manner in which we meet them w ill shape
the nature of the victory which has already
been achieved on one great battlefront and
which is in the process of achievement on
another, le oust not, we cannot, fa lter now
that the goal lias been brought into view.
The
responsibility belongs to a ll of us, as
Individuals, and must be met by each of us
in accordance with his own conscience and his
own sense of partnership in the great American
tradition.
Your sons, your husbands and your
brothers w ill carry on the fig h t on distant
islands overseas*
They look to you, with high
fa ith , to carry or. the fig h t at hone.
4# i» ■%*»
Three great taste remain ahead, of us*
The f ir s t of these* of course, is to turn a ll
the might of America to the crushing of Japanese
barbarism and to the liberation of China as
speedily as possible.
The second is to turn
some of the bounty of America into rebuilding
c iv iliz a tio n in Europe* The third is to see
to it that the economy of America is kept on
an even keel — so that the men ¡¡.ho have done
the fighting can come home to a lend of
opportunity.
These taste present a challenge to our
quality as free men. They present a te s t of
our capacity for self-govermeant.
4
Since May 1, 1041, th© Treasury has received
about 34 b illio n dollars from the sale of 1 Bonds,
More than 15* b illio n s of th is amount have come
from the systematic month-by-month allotment
of wages on the part of some 27 m illion
American workers*
In addition, workers in thousands of plants
and the leaders of a ll the great labor unions,
have played an indispensable part in making
the payroll savings plan effectiv e and in
organizing American labor participation in the
series of special War Loan campaigns*
Both
Mr. Green and Mr. Murray have been unstinting
in their sympathy and their support.
Th® c iv ilia n goods «Men you can buy with
your money are very scarce.
They are going
to be scarce for a good, long while to cost#
f s need to make up our minds to th is fact
and face i t ,
#e must buy only the things we
actually need. The time w ill come when peace
Is
restored to the earth, when men can once
more turn their talen ts and their strength to
salting th® good things of life *
The money
you save now, the money you set aside in the
fora of war bonds, s i l l buy the things you
want when that time comes.
The men and women of America who work for
«ages have done their part magnificently
throughout the whole of the War Loan program.
Of the seven b illio n dollar quota for Individuals
four b illio n s must cone through the sal© of
1 Bonds — the bonds which are bought through
payroll deductions, through taking a goodly
amount out of your weekly pay envelope — the
bonds which are bought by most of you who have
assembled here today.
The reason for th is emphasis on E Bonds and
on sales to individuals is a simple one. Taken
c o llectiv ely , your incomes represent the great
bulk of American purchasing power. And, again
taken c o lle c tiv e ly , your incomes therefore
represent the most serious danger of in flation .
I am happy to have a share in "Labor’s
Salute to the Seventh far Loan."
in greater measure than ever before, the
Seventh far Loan makes it s appeal to the sen
and women of America who liv e by weekly wages.
These are the people whose response w ill determine
the success of the drive*
fe have an overall goal of 14 b illio n
dollars.
Half of th is great sum must be raised
by the sale of bonds to individuals —« as
distinguished from banks, corporations, li f e
insurance companies and other such in stitu tio n s.
TREASURY DEPARTMENT
Washington
FOR RELEASE, 5:30 PM, EWT,
Sunday, June 17, 1945«
Press Service
No* 46-67
(The following address by Secretary Morgenthau,
featuring " L a b o r s Salute to the 7th War Loan”
will be broadcast on a coast-to-coast Mutual
Broadcasting System hookup from Central Park,
New York City, Sunday, »tune 17, 1945, at
5:30 PM, EWT, and is for release at that time)*
I
am happy to have a share in " L a b o r s Salute to the
Seventh War Loan*”
In greater measure than ever before, the Seventh War
Loan makes its appeal to the men and women of America who
live by weekly wages*
These are the people whose response
will determine the success of the drive*
We have an overall goal of $>14,000,000,000* Half of
this great sum must be raised by the sale of bonds to indi
viduals — as distinguished from banks, corporations, life
insurance companies and other such institutions*
Of the
$7,000,000,000 quota for individuals, $4,000,000,000 must
come through the sale of E Bonds -- the bonds which are bought
through payroll deductions, through taking a goodly amount
out of your weekly pay envelope -- the bonds which are bought
by most of you who have assembled here today.
The reason for this emphasis on E Bonds and on sales to
individuals is a simple one* Taken collectively, your in
comes represent the great bulk of American purchasing power*
And, again taken collectively, your incomes therefore repre
sent the most serious danger of inflation.
The civilian goods which you can buy with your money
are very scarce*
They are going to be scarce for a good
long while to come* We need to make up our minds to this
fact and face it. We must buy only the things we actually
need. The time will come when peace is restored, to the
earth, when men can once more turn their talents and their
strength to making the good things of life. The money you
save now, the money you set aside in the form of war bonds,
will buy the things you want when that time comes *
2
The men and women of America who work for wages have
done their part magnificently throughout the whole of the
War Loan program*
Since May 1, 1941, the Treasury has
received about $ 3 4 f000,000,000 from the sale of E Bonds.
More than $15,500,000,000 of this amount have come from
the systematic month^by-month allotment of wages on the part
of some 27,000,000 American workers.
In addition, workers in thousands of plants and the
leaders of all the great labor unions, have played an indis
pensable part in making the payroll savings plan effective
and in organizing American labor participation in the series
of special War Loan campaigns.
Both Mr. Green and Mr. Murray
have been unstinting in their sympathy and their support.
Three great tasks remain ahead of us.
The first of
these, of course, is to turn all the might of America to the
crushing of Japanese barbarism and to the liberation of
China as speedily as possible.
The second is to. turn some
of the bounty of America into rebuilding civilization in
Europe.
The third is to see to it that the economy of
America is kept on an even keel -- so that the men who have
done the fighting can come home to a land of opportunity,,
These tasks present a challenge to our quality as free
men. They present a. test of our capacity for self-government.
The manner in which we meet them will shape the nature of the
victory which has already been achieved on one great battlefront and which is in the process of achievement on another.
We must not, we cannot, falter now that the goal has been
brought into view.
The responsibility belongs to all of us,
as individuals, and must be met by each of us in accordance
with his own conscience and his own sense of partnership In
the great American tradition, Your sons, your husbands and
your brothers will carry on the fight on distant islands
overseas.
They look to you, with high faith, to carry on the
fight at h o m e .
oOo
m m it
- 3 -
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is ma'de, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
su m
-
2
-
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of tfye amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final,
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
J u n e 2 1 .^ 1Q A 5
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be' considered to be interest,
Under Sections 42 and 117 (a) (1) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941» the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday. June 15. 1945__________ .
The Secretary of the Treasury, by this public notice, invites tenders
for $ 1.300.000.000 , or thereabouts, of
91 -day Treasury bills, to be issued
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series will be dated
June 21. 1945
, and will
'wibc
» when the face amount will be payable without
mature
September 20. 1945
» * * * ------interest. They will be issued in bearer form only, and in denominations of $1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clock p.m., Eastern War time,
Monday, June IS, 1945____
Tenders will not be received at the Treasury Department, Washington.
♦
Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g f, 99.925*
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty o f payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
treasury d e p a r t m e n t
Washington >
POR RELEASE, MORNING NEWSPAPERS,
Friday, June 1 5 » 1945'.
The Secretary of the Treasury, by this public notice, invites
tenders for $1,300,000,000, or thereabouts, of 91-day Treasury
bills, to be issued on a discount basis under competitive and
fixed-price bidding as hereinafter provided.
The bills of this
series Will be dated June 21, 1945? and will mature September 20,
1945, when the face amount will be payable without interest.
They
will be issued in bearer form only,
and in denominations of $1,000
|5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity
value ).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, two o ’clock p.m., E a s t e r n W a r time, Monday,
June 18, 1945*
Tenders will not be received at the Treasury
Department, Washington.
Each tender must be -for an even multiple
of $1,000, and the price offered must be expressed on thè basis of
100, with not more than three decimals, e. g., 99*925*
Fractions
may not be used.
It is urged that tenders be made on the printed
forms and forwarded in the special envelopes which will be supplied
by Federal Reserve Banks or Branches, on application therefor.
Tenders will be received Without deposit from incorporated
banks and trust companies and from responsible and recognized
dealers in investment securities.
Tenders fnom others must be
accompanied by payment of 2 percent of the face amount of Treasury
bills ’applied for, unless the tenders are accompanied by an expre'ss
guaranty of payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at
the Fédéral Reserve Banks and Branches, following which public
announcement will be made by the Secretary of the Treasury of the
amount, and price range of accepted bids.
Those submitting tenders
will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept
or reject any or all tenders, in whole or in part, and his action
in any such respect shall be final.
Subject to these reservations,
tenders for $200,000 or less from any one bidder at 99*905 entered
on a fixed-price basis will be accepted in full.
Payment of
accepted tenders at the prices offered must be made or completed
at the Federal Reserve Bank in cash or other immediately available
funds'on June 21, 1945*
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, shall not
have any exemption, as such, and loss from the sale or other dis
position of Treasury bills shall not-have any special treatment,
as such, und.er Federal tax Acts now or hereafter enacted. The
46-68
(O v e r )
bills shall be subject to estate, inheritance, gift, or other excise
taxes, whether Federal or State, but shall be exempt from all taxa
tion now or hereafter imposed on the principal or interest thereof
by any State, or any of the possessions of the United States, or bv
any local taxing authority. For purposes of taxation the amount of
discount at which Treasury bills are originally sold by the United
States shal! be considered to be interest.
Under Sections 42 and
lu! a -n
Revenue Code, as amended by Section 115
of the Revenue Act of 1941, the amount of discount at which bills
issued hereunder are sold shall not be considered to accrue until
such bills shall be sold, redeemed or otherwise disposed .of, and
such bills are excluded from consideration as capital assets.
Accordingly,, the owner of Treasury bills (other than life insurance
companies)' issued hereunder need include in his income tax return
only the difference between the price paid for such 'bills, whether
on original issue or on subsequent purchase, and the amount actually
received either upon sale or redemption at maturity during the
taxable year for which the return in made, as ordinary gain or loss.
Treasury Department Circular ATo. 418, as'amended, and this
notice, prescribe the terms of the Treasury bills a n d / g o v e W the
conditions of their issue.
Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
*-ouo-
TREASURY DEPARTMENT
Washington
FOR IMREEDIATE RELEASE,
Tbj.nojagyT—
Luring the month of
Press Service
No
4~^"*rPT-
1945? market
transactions in direct and guaranteed securi
ties of the Government for Treasury investment
and other accounts resulted in net sales of
1» 5GÜ", Secretary Morgenthau announced
today.
3
^
0 O
y
0O o
-oOo-
TREASURY REPART MEUT
Washington
FOR IMMEDIATE RELEASE,
Friday, June 15» 1945»
■pifII
Press Service
Do. 46-69
During the month of May 1945? market
transactions in direct and guaranteed securi
ties of the G-overnment for Treasury invest
ment and other accounts resulted in net sales
of $34,400,000., Secretary Morgenthau announced
today.
-0O0-
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE
Saturday. Jane 16. 1945
Press Service
Ho.
On June 15th the Treasury received the sum of $168*064.74
from the Government of Finland, representing the semiannual
payment of interest in the amount of $133,227.50 under the
Funding Agreement of May 1, 1923; $13,695.06 as the ninth
semiannual annuity due under the postponement agreement of
May 1, 1941, and $21,132.18 as the first semiannual annuity
due under the postponement agreement of October 14, 1943.
These payments represent the entire amount due from the
Government of Finland on June 15, 1945, under these agreements
■TREASURY DEPARTMENT
Washington
POR IMMEDIATE RELEASE,
Saturday, June IS, 1945«
Press Service
No. 46-70
On June 15th the Treasury received the sum of
'V
'V. iij
$168,054.74 from the Government of Finland, repre
senting the semiannual payment of interest in the
amount of $133?227.50 under the Funding Agreement
of May 1, 1923; $13?695.06 as the ninth semiannual
annuity due under the postponement agreement of
May 1, 1941? and $21,132.18 as the first semiannual
annuity due under the postponement agreement of
October 14'? 1943.
These payments represent the entire amount due
from the Government of Finland on June 15? 1945?
under these agreements.
- 0O0-
expeditiously.
expect more cases.
With, enlarged investigative forces we
We want to give every case intelligent,
thorough consideration, but we want no bottlenecks anywhere.
The Penal Division will have more lawyers.
They will be
in the field, with the investigators who are preparing the
cases.
I am confident that the new system will eliminate
lost motion and add to administrative efficiency.1*
Secretary Morgenth.au today announced action to
enlarge and decentralize the Penal Division of the Chief
Counsel’s Office of the Bureau of Internal Revenue.
The purpose is to e n a b l e d itjjljpd tax fraud cases
to be reviewed more expeditiously before being submitted
'to the Department of Justice.
At present cases prepared in the field pass through
offices of the Penal Division in Washington, D. C.
Under the new plan the Penal Division will have
ten field offices.
Five of these offices will be es
tablished immediately, in New York City, Philadelphia^
Chicago, Kansas City and San Francisco.
Other cities
in which Penal Division offices will be established will
be announced later.
Thereafter fraud cases prepared in
the field will be reviewed in the field with only general
supervision in Washington.
An additional Assistant Chief Counsel will be ap
pointed to head the reorganized and decentralized Penal
Division.
Secretary Morgenthau said:
"The purpose of this reorganization is to enable the
Penal Division to handle more cases and handle them more
TREASURY DEPARTMENT
Washington
EOR IMMEDIATE RELEASE,
Tuesday, June 19> 1945»
Press Service
No. 46-71
Secretary Morgenthau today announced action to enlarge
and decentralize the Penal Division of the Chief Counsel*s
Office of the Bureau of Internal Revenue.
The purpose is to enable tax fraud cases to be reviewed
more expeditiously before being submitted to the Department
of Justice.
At present cases prepared in the field pass through
offices of the Penal Division in Washington, D. C.
Under the new plan the Penal Division y/ill have ten
field offices.
Five of these offices will be established
immediately, in New York Citjr, Philadelphia, Chicago, Kansas
City and San Francisco.
Other cities- in which Penal Divi
sion offices will be established will be announced later.
Thereafter fraud cases prepared in the field will be reviewed
in the field with only general supervision in Washington.
An additional Assistant Chief Counsel, will be appointed
to head the reorganized and decentralized Penal Division.
Secretary Morgenthau said:
%
"The purpose of this reorganisation is to -enable the
Penal Division to handle more cases and handle them more
expeditiously.. With enlarged investigative forces we expect
more cases. We want to give every case intelligent, thorough
consideration, but we want no bottlenecks anywhere.
The
Penal Division will have more lawyers.
They will be in the
field, with the investigators who are preparing the cases.
I am confident that the new system will eliminate lost motion
and add to administrative efficiency."
oOo-
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday,
Press Sendee
«fane 19. 1945.
^ 6
• y L*
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated June 21 and to
mature September 20, 1945* which were offered on June 15, 194$, were opened at the Federa
Reserve Banks on June IS.
The details of this issue are as follows:
Total applied for - $2,242,931*000
Total accepted
- 1,305,403,000
Average price
(includes $59,039,000 entered on a fixed-price
basis at 99.905 and accepted in full)
- 99*905/ Equivalent rate of discount approx, 0.3752» per annua
Range of accepted competitive bids:
High
Low
- 99.90S Equivalent rate of discount approx. 0.364# per annum
- 99*905
"
■ » * » • ■
"
0.376# *
*
($2 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
Hew York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
$
39,260,000
1,547,935,000
39,600,000
27,980,000
32,115,000
$,066,000
345,320,000
61,410,000
4,450,000
29,750,000
20,370,000
88.895.000
»
12,242,931,000
»1,305,403,000
TOTAL
22,988,000
853,743,000
27,696,000
24,620,000
26,547,000
5,846,000
201,248,000
38,274,000
4,450,000
23,366,000
17,970,000
58.655,000
'' .
0
TREASURY DEPARTMENT
' Washington
FOR RELEASE, M O R N I N G N E W S PAPERS,
Tuesday, June 19, 1945»___________
The
Press Service
No# 46-72
S e c r e t a r y of the T r e a s u r y a n n o u n c e d last e v e n i n g that
the tenders
for $>1,300,000,000,
Treasury b i lls
or 'thereabouts,
to be d a t e d June 21 and to m a t u r e
1945, w h i c h were
offered on June 15,
Federal R e s erve Banks
The d e t ails
of 91-day
S e p t e m b e r 20,
1 9 4 5 , .were opened at the
on June 18#
of this
issue are as
follows:
T o tal a p p l i e d for
*$2,242,931,000
Total a c c e p t e d
r
1,305,403,000
(includes $ 5 9 , 0 3 9 , 0 0 0
entered on a fixe d - p r i c e basis at 99#905. and a c c e p t e d in
full)
A v e rage price
Range
-
of a c c e p t e d c o m p e t i t i v e bids:
High
-
Low
(52 percent
9 9 , 9 0 5 / E q u i v a l e n t rate of di s c o u n t
approx* 0 # 3 7 5 $ p er a n n u m
„
9 9 .908 E q u i v a l e n t rate of d i s c o u n t
approx# 0 # 3 6 4 $ p er a n n u m
9 9 ,905 E q u i v a l e n t rate of discount
approx# 0 . 3 7 6 $ per a n n u m
-
of t h e a m o u n t bid for at the low price was accepted)
Federal Reserve
District
Total
A p p l i e d for
Total
Accepted
Boston j
N ew Y o r k
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St* Louis
M inneapolis
Kansas City
Dallas
San Francisco
.
TOTAL
$
$
39,260,000
1,547,935,000
39.600.000
' 27,980,000
32.115.000
5.846.000
345,320,000
61.410.000
4.450.000
29.750.000
20.370.000
88.895.000
$2,242,931,000
oOo
22,988,000
853.743.000
27.696.000
24.620.000
26.547.000
5.846.000
201.248.000
38.274.000
4.450.000
. 23,366,000
17.970.000
58.655.000
$1,305,403,000
POR IMMEDIATS RELEASE
19 June 19*15
The Bureau of Customs announced today preliminary figures showing
the quantities of coffee authorised for entry for consumption under the
quotas for the 12 months commencing 1 October 1 9 *&t provided for in the
Inter-American Coffee Agreement, proclaimed by the President on 15 April
1 9 *1 1 , as follows:
Country of Production
-
>
:
:
Quota Quantity
(Pounds) 1/
:
:
Authorised for entry
for consumption
s As of (Date) T"
Signatory Countries:
Brasil
Colombia
Costa Bica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Yenesuela
2.353,628.932
796,79*.513
5 0 ,6 1 5 , 6 7 6
2 0 ,21*6 , 2 9 7
30,369.379
3 7 .96 l . 7 5 7
151,81*7,028
135,396.92(5
69,596,621
5,061,51*1
1 2 0 ,2 1 2 , 2 9 6
•*9.350,32*
6,326.893
106,292,893
Non-Signatory Countries:
89,gl|2,785
9 June 191*5
1, 0 2 3 ,1151*,61*1
*55,787,896
26,579,660
«
*,390,627
1 6 June I 9 U 5
2
25.*38.937
9 June 19*15
20.932.592
it
7 6 ,1 9 3 , 0 6 3
N
63,053,307
«
1*3,151,681*
(Import quota filled)
63.592.5a
9 June 19*5
«
1 6 ,8 6 3 ,71*0
■
3.213.5*3
1*6 ,1*6 2 , 1 0 5
«
s
f
R
679.057
1/
Quotas as of 1 June 19*^5* determined by action of the Inter-American
Coffee Board on 29 May 1 9 *^5 ,
2/
Per telegraphic reports*
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, June 20, 1945»
Press Service
No. 46-73
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas
for the 12 months commencing October 1, 1944, provided for in the InterAmerican Coffee Agreement, proclaimed by the President on April 15, 1941,
as follows:
Country of Production
:
:
Authorized for entry
: Quota Quantity :__________ for consumption____
:
(Pounds) 1/ : As of (Date)
Y
(Pounds)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
2,353,628,932
796,794,513
50,615,676
20,246,297
30,369,379
37,961,757
151,847,028
135,396,920
69,596,621
5,061,541
120,212,296
49,350,324
6,326,893
106,292,893
Non-Signatory Countries:
89,842,785
June 9, 1945
1,023,454,641
455,787,896
II
26,579,660
It
4,390,627
June 16, 1945 2/
25,438,937
June 9, 1945
20,932,592
it
76,193,063
h
63,053,307
ti
43,151,684
(import quota filled)
June 9, 1945
63,592,521
it
16,863,740
ti
3,213,543
it
46,462,105
It
it
679,057
l/
Quotas as of June 1, 1945, determined by action of the Inter-American
Coffee Board on May 2D, 1945*
2/
Per telegraphic reports.
-oOo-
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of tho tax to tho rolativo n t U U Í « i «ad ro#po«#ihÍXÍtio* of ih# taa^ay*
tax pabilo*
% u i t y also r««uir#s taxa# vhloh allow ao spool#! pririXag«»
aad iapofto ao spoalal potutiti os, •• wttdi k n
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foraly adalaiatorod at «odorato oost oad without undue «aaoyanoo and
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tho slaplifio^tioa of tho tax a n t « » , aad ««pttlslhr of tho
laeoao tax* i# «aothor «orthwhU« tax ohjootiro*
io ia g o a « m l *olf~a*soooo&.
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pay if ooop«ratioa «ad yoodjsill ar# to ho fruitful*
tkf©rtua*t#ly.
a tax that ranks hi¿h ia osuity a r a l l f raides low ta «iaplioityi
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othor ia #ati#faoto«y dogroo*
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«»rtljMi oxr»«rl«aoo «ould In g « t e
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te f ill»
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«al*
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leena* «odor «ay generally amopleà »«eoeftU&g pareoH e « *
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i s m t o i «tono
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• « o jío ie « rôt«»«
to la * * »
c o la t o o f i r t o to n r o t o li? t o f o t o «
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it
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*
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«on « y a lo n .
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TKfcAttÜ'lût DEPARTMENT
Washington
(The following address by Roy Biough, Assistant
to the Secretary of the Treasury, before the
New England Council, Boston, Massachusetts,
is scheduled for delivery at 1:00 PM« EWT,
Friday, June 22, 194-5* and is for release at
that time), 4
SELECTED ISSUES IN POSTWAR TAXATION
To be asked to speak before the New England Council is both
a pleasure and an honor. The Council’s work-is widely known and highly
regarded. Through its agriculture, labor, and industry committees,
for example, it has made important contributions to the understanding
of major public issues* Thro ugh Dean Donham and others, it has
recently rendered particularly valuable service in connection with
the hearings of the House Committee on Small Business.
Cutting across group lines and having wide representation, the
Council is able to approach problems of public policy without pressing
any special interest other than that of a healthy regionalism. It is
thus well equipped to look at such broad problems as that of Federal
tax policy, which has the difficult assignment of serving the public
interest as a whole. Taxation is a powerful instrument, requiring
judicious use. In the absence of restraint, it may be misused'to
penalize particular persons or groups. Or it may be bent to confer
special privilege at the expense of the general welfare. Organizations
like the New England Council help to keep the general public interest
at the forefront in considering such issues as that of postwar tax
reduction and revision.
As this audience is well awarej we face some of the most dif
ficult tax'problems in our history. One of the complicating factors
is that there is less room for tax reduction than most people appear to
expect. And it is human nature that everyone will want the lion's
share of that relatively small amount of reduction.' The limited scope
for reduction'and the imposing size of the remaining tax burden make
it doubly important that extreme care be exercised in shaping the post
war tax structure. In the absence of such care in devising postwar
taxes, it may be impossible to maintain the high level of consumption,
business activity, and employment which we must have if we are to
balance the budget and cut down our national debt. Confronted with
this difficult problem, one must nevertheless admit that the prospect
of working against a background of falling rather than rising taxes
is a new and refreshing one.
46-74
-
2
-
Wartime tax changes
Wot so long ago, we faced another and less inviting tax problem _
the expansion of the tax system to meet the vast needs of war. The
American capacity for adjustment to new conditions is sc great that
we tend to forget how truly gigantic that expansion has been. In the
fiscal year 1940, Federal tax revenues were $ 5 .4 .billion, and some
4 million individuals were paying Federal income taxes. Four years
later, Federal taxes had risen eight-fold to $ 44 billion and the number
of individual income taxpayers had skyrocketed to 50 million. No
attempt was made to convert the peacetime into a wartime tax system
at one stroke. Bather, the changes were made in successive stages to
which the expanding war economy cculd adjust without endangering its
stability and productivity.
i It is worth noting that our wartime taxes are doing much more
than producing enormous amounts of revenue. They are not only financ
ing a large proportion — currently almost half — of the cost of
the war. They are also helping to distribute that cost equitably.
They are also reducing the inflationary pressures which inevitably
grow out of a war economy operating under forced draft. They are
also recapturing excessive war profits. They are also supporting
the price and'wage stabilisation program. In short, taxes are
serving as an integral part of the war program.
Even while focussing On war finance, the Treasury and the
Congress have continuously kept the problems of postwar taxation
in their field of vision. Although the Vvartime tax system will
not serve and was never intended to serve as a postwar tax system,
many of its provisions have a postwar orientation. For example,
the Revenue Act of 1942 was looking squarely at the postwar period
when it provided for the carrybacks and the excess profits tax post
war refund. The carryback of unused excess profits credits and the
carryback of business losses were enacted asra means of permitting
deferred costs and reconversion costs and losses to be charged against
wartime income even if they were not incurred until after the end of
the war. Furthermore, the 1942 act set up a postwar credit or refund
of 1 0 percent of the excess—profits tax, to be evidenced by noninterest-bearing bonds payable at certain designated times soon after
the end of the war.
The postwar problems of the individual also loomed large in the
minds of the Treasury and the Congress, especially in the 1943 legisla
tion providing for withholding and current payment of income taxes.
These measures removed the specter of overhanging tax liabilities
which would otherwise plague millions of individuals when incomes
shrink because of cutbacks to peacetime production.
- 3 Congressional and Treasury tax studies '
In addition, to these specific measures,, intensive .study of
the •entire postwar tax problem by both Congressional and -Treasury.
..tax- staffs has lpng been under- way. Although a good; deal of spade.--..
work had gone before, a resolution by the .Congressional Joint Committee
on Internal Revenue Taxation on June 15* 1944* marked the beginning
of formal work on tax adjustment for the transition and postwar periods.
The Committee,, adding, a member from the.Minority party in each House
to-achieve equal representation for both parties, constituted itself
the Joint ^Committee on-. Internal Revenue Taxation for Postwar Taxation*
Its resolution called- on the Joint Committee staff and the Treasury
tax staff -to work as a unit, on the study of postwar tax problems and
to report their results and suggestions to the Committee.
The Joint Committee’s resolution was followed to the letter.
The tax staffs of the. Committee and the Treasury undertook a series
of joint studies relating to various aspects of postwar tax revision».
Representatives.of business, labor, agriculture, and other groups,
many of whom had undertaken their own postwar tax studies, were
invited to Washington :to present their views. Out of the many off- the—record conferences with these groups grew a body of information
and suggestions that has proved extremely valuable in our postwar tax
work. Together with the continuing studies of the Joint Committee and
Treasury tax staffs, this information has served as the background for
a number of confidential reports submitted to the Joint Committee in
meetings throughout this past winter and spring.
»
The program for the interim period
The first formal results of this work are reflected in the report
of the Joint Committee recently made public recommending certain tax
changes for the interim period between the end of the European war and
the end of the war with Japan. These recommendations> while not calling
for any reduction in tax rates, will materially improve the cash position
of business in the reconversion period.
That there should be official concern over the cash position
of business in spite of the favorable profits record of the war years
may puzzle some observers. It is true that business, taken as a whole,
appears to have enough cash and working- capital to finance reconversion
and to carry on into peacetime production. There are firms, however,
many of them small businesses, which are not in this fortunate position.
Some of them., because of the termina.tion of ¥iar contracts and the
extraordinary expensës and adjustments involved in reconverting to
peacetime production, will experience financial difficulties and at
least temporary shortages of cash and working capital. The program- .
which the Joint Committee has outlined in its first report is designed
primarily to aid reconversion by easing the financial.problems of these
firms.
The five-point program, of the Joint Committee for the interim
period has been widely publicized in the press, in the tax services,
and elsewhere. Members, of the New England Council are particularly
well acquainted with them as a result of the memorandum circulated .by
Mr. Tufts, the Chairman of your Industrial Committee. I shall, there
fore, not pause to describe the Committee*s recommendations but shall
be glad to answer questions about them later.
Since the time of its announcement by Chairmen Doughton and
George and Secretary Morgenthau at a joint press conference on May 10,
the five-point tax program has received widespread support. The
Small Business- Advisory Committee of the Commerce Department came
out with a program endorsed by Secretary Wallace, almost identical to
the Joint Committee program. Judge Vinson, the Director of War
Mobilization, endorsed the program. I note also that many private
groups and individuals, including members of the New England Council,
have called for prompt enactment of the jpj?cgP3m#
This interim program for the period between VS-Day and VJ^Day
would seem to be non-controversial, and its chances for early enactment
appear excellent. For the most part, it will not reduce ultimate tax
liabilities. Yet, by speeding the return to businesses of money due
them under wartime tax laws, it will materially strengthen their cash
and working capital position. To defer such settlements might slow
down reconversion and make it more difficult to sustain a high level
of business activity and employment during the transition years just
ahead.- Prompt enactment of the interim program will enable businessmen
to go ahead .with their production schedules and plans for the future
reassured that their special problems will receive every consideration
consistent with the country’s needs.
The Case against present tax reductions
The nation's revenue needs are, of course, still so pressing
as to rule out immediate tax reduction* You have noted that the
Joint Committee's interim-recornmendations do not contemplate reduc
tions in tax rates. Moreover, the Administration's position that
taxes should not be lowered until the end of the war with Japan has
recently been reaffirmed by President Truman, Secretary Morgenthau,
and Judge Vinson.: There are strong grounds for this position. The
Joint Committee, in explaining why they do net recommend that existing
tax rates be reduced at the present time, make the following statement
in their report:
"l. Federal expenditures can be expected to remain at a high
level after victory in Europe, and thus the need for revenue will not
be greatly lessened. With the war continuing on one front, it has
been estimated that the Federal Government will spend for ?;ar: alone
at the annual’rate of about ^70,000,000,000.
- 5 "2. It appears unlikely that there will be any serious general
unemployment during the period of the Pacific war. This period can be
expected to be one of reasonably full employment, since the pent-up
demand for goods and services is expected to offset the anticipated
cut-back in war production. Such unemployment'as may exist will largely
be caused by unavoidable delays in the reconversion of plants to peace-
time production. It is likely to be limited-.to a'.few areas in which
large cut-backs in war production .will be made. General tax reductions
could do little to help these isolated areas.
“3* Inflation will continúe to be a danger during the period of
the Pacific war* Tax reductions at this time might be an important
factor in starting a runaway inflation, since they might increase the
demand for civilian goods and services which is already in excess of
limited production. Furthermore, tax reductions at this time might
weaken other anti-inflationary controls.
11-4» The armed forces are still called upon to endure personal and
economic hards hips.11
We are still engaged in a bitter and.costly war with Japan.
Federal expenditures are continuing at levels never thought possible
before the war. A large sector of our economy is still devoted to
production for v:av instead of turning out the goods and services
normally consumed in peace. As long as these conditions prevail,
I believe it is generally accepted that no program of tax reduction
could be undertaken vdthout risking serious inflation and endanger
ing morale on both the home front and the war front.
The outlook for later tax reduction
The problems of the interim period have been considered first
because they must be solved first. But the proposals designed to
meet these problems are recognized by all concerned as only the opening
act — perhaps merely the prelude — - of the postwar tax drama. The
basic issues of tax revision and tax reduction for the postwar period
will still remain. You'will noto that I bracket the problem of revis*»
ing the tax structure with the problem of reducing taxes. I am sure
you have also noted that all of the postwar tax plans thus far advanced
by private groups have coupled structural changes in the tax system
with downward revision of tax rates. Tax reduction serves as an ef
fective lubricant.for tax readjustment. The goal towards which people
both inside and outside the Government are working is thus not only
lower taxes, but better taxes.
No 6ne can tell at this time how much tax reduction can be right
fully expected in the postwar period, blit it is safe to say that its
magnitude will be disappointing to many of our tax optimists. There
are too many imponderables in forecasting both expenditures and revenues.
How large must the armed forces be? What kind of foreign trade relations
will we have? What will be Congressional policy regarding aids to
6 agriculture.and aids to the unemployed? What will be the policy
toward veterans? Ve cannot now answer these and many other related
questions, and yet they have to be answered before anything like an
accurate forecast of postwar expenditures can be made#
The revenue side, too, has its uncertainties. The yield of any
given tax structure and set of ta$ rates is determined largelv by the
size and distribution of the national income# t o t these will actually
be from year to year depends on factors that cannot with any assurance
be measured at this time. Among these factors affecting the national
income are the size and the distribution of the tax load itself, not to
mention the amount and pattern of Government expenditures. These
interlocking relationships rob the tax future of its quantitative
certainty.
Despite the uncertainties, this much is clear, that the area for
postwar tax reduction is relatively small, and that the postwar level
of -business activity and employment will have much to do with the size
of that area. Full employment is the surest road to lower tax burdens.
In-some circles, the possibility of achieving and maintaining full emplo:
ment in the postwar period is being seriously questioned. If we hope
to achieve substantial tax reduction and yet balaice the budget, we
dare not conclude that substantially full employment is an impossible
ideal.High-level pro dueuicn and, with it, high-level employment can
be sustained only if there is a high level of total demand. The
source of that demand is a combination of consumers’ expenditures,
business expenditures, and Government expenditures. If one of these
shrinks without a compensating expansion in the other two, vie pay the
price of increased unemployment. In the coming transition years, the
slack created by rapidly shrinking Government expenditures must be
taken up by expansion in consumer and business expenditures.
Tax revision plays an important but by no means exclusive role
in this picture* Many writers oyer—simplify the postr/ar economic
problem by training their guns on high taxes as the only barrier to
permanent xull employment. But unemployment can occur in spite of low
taxes, as we know from the tragedy of 1929 and the ensuing years*
Clearly, no guarantee of high employment can be found in tax policy
alone.^ But v/e11 designed taxes can help to keep that goal within reach*
The major economic objective of tax policy is to raise any designated
amount of revenue in the manner most compatible with full employment.
From this it fellows that, in reducing taxes,■attention should be directed
not so much toward general, across—the— board reductions, as toward
selective or specific reductions where they can do the most good for
whe economy. The tax paring knife should be applied where it is most
likely to stimulate investment and remove restraints on consumer markets.
It may be unpalatable, yet it is inescapable, that the American public
will have to reconcile itself to a high level of taxes after the war. To
admit this is not to rule out considerable ta„x reduction and, perhaps
more important, a very substantial x’econstruction of our tax system*
Attention to tax structure is made all the more imperative by the fact
that taxes will have to be high*
- 7 Economic considerations in tax revision
What considerations should control policy decisions in recon
structing our tax system for the postwar period? As I have just
'indicated* the primary concern in postwar tax planning is to raise
the .necessary amount of revenue with the minimum restrictive effect
on business investment and consumer spending* This consideration
calls for an appraisal of the impact of each tax or tax change
upon the forces which motivate .businessmen and consumers*
'Many questions must be answered before we can decide what tax
measures have the most favorable economic overtones* For example*
there is the basic question: -Which taxes are less discouraging to
a high level of employment' end business' activity* those which fall
chiefly on consumption* or those which fall chiefly on investment?
One point of view holds that businessmen must have the assurance
of consumer markets to induce them to invest and expand. This.'view
calls for taxes which tread lightly on consumer purchasing power*
It would concentrate tax reduction in the excise taxes and lowerbracket individual income taxes* The opposing vie?/ sees the taxes
which impinge.directly on business profits as the chief influence
on the volume of investment* This approach lays the greatest stress
on easing the taxes which cut down the profits from investment* It
would concentrate reductions in the taxes on corporate profits and
high individual incomes*
One also comes face to face with a related question: .At what
point do taxes take hold on incentives? Is it on the incentives
of the individual investor* or is it on the incentives of the business
managers? Advocates of both points of view can readily be found*
One group maintains that the way to increase incentives and stimulate
investment' is to lighten the taxes on the individual investor* since
he is the primary custodian of potential investment funds* . Another «
view’holds that the business manager is at the nerve>•center of the
economic .system* His decisions to build a plant or buy new, machinery
or increase inventories are the key which unlocks the door -to a high
level of investment-. His decision to invest* it is said, will
quickly call forth the necessary funds from retained corporate profits*
from banks* and from individual investors. This view points to lower
corporate taxes as the most reliable investment stimulant*
No doubt* there is truth in each of the views on each of these
questions, and it is a delicate task tb; strike, a .correct balance*
In doing so* an important fact becomes clear* namely* that tax rates
and exemptions are only a part of the story* More and more* it is
becoming recognized that non-rate factors may have fully as great
an impact on people1s willingness to incur business risks* For example,
in computing income and profits taxes, the tax deterrents to risk-taking
can be materially lessened by permitting the losses of one year to be
offset against gains in other y^ars* A five or six-year carryover of
losses is widely advocated* loss offsets make the Government a partner
in losses as well as in gains* thus improving the terms of the investment
bargain*
- 8 Accelerated depreciation
Another proposal designed t c 'improve investment odds without
changing rates and exemptions is the allowance of accelerated
depreciation. This proposal does not relate to an increase-in the
depreciation rate to accompany a more-than-normal rate of use and
exhaustion of an asset, which is one usage of the term accelerated
depreciation. It relates rather to any of a-number-of possible
plans under which depreciation allowances for tax purposes on
newly acquired assets would be speeded up without any necessary
relation to the actual rate at which these assets were wearing
out* This proposal would allow taxpayers to write off capital
assets more rapidly than would be considered reasonable in computing
income under any generally accepted accounting practice. Hie
chief direct effect of accelerated depreciation would be to postpone
business taxes with respect to earnings of a new asset by enlarging
the .deduction-for depreciation in the early years of its life and
accordingly shrinking the deduction in the later years of its life.
Accelerated depreciation would improve investment odds by
allowing the taxpayer a speedier recovery of any given capital
outlay. Acceleration would add to his recovery of investment in
the early years of asset life an amount that would otherwise go to
the Government in taxes, thus reducing the risk from later loss
or unexpected obsolescence.
Proponents of accelerated depreciation for the postwar period
have placed varying emphasis on four major ends which they contend
it would serve. Some stress the argument that it would increase
total investment in plant and equipment, thereby stimulating'employment
and business activity. Others see in accelerated depreciation a means
of speeding up the replacement of obsolescent machinery, thereby
increasing the efficiency of production. Third, it is urged that in
certain forms it would spread replacement and. new investment mere
evenly over the different stages of the business cycle , thereby
helping to minimise business fluctuations. Finally, some emphasise
that it would stimulate investment on the- part of small and expanding
firms, thereby improving the competitive -structure •
Without discussing here the economic points involved, it is
suggested that various methods of accelerating, depreciation cculd
be designed which would tend to achieve one or another, or perhaps
all,* of these results. Like most tax inducements, this one. would have
its price, even though no one contemplates granting more, than 100 percent
depreciation. In this case, the price would be postponement, to some extent
a .permanent postponement,of revenue. This permanent postponement under
the acceleration scheme constitutes an actual long-run. loss of revenue.
This raises the question, of course, whether other measures involving
a similar revenue loss would, be more effective or less effective inpromoting desirable economic activity and distributing tax burdens
equitably.
- 9 Opponents of acceleration have raised a number of objections
to it. One is that it would depart from standard accounting procedures
and from a quarter century of peacetime income tax policy and practice*
Many accountants have asserted* with a good deal of anguish, that
accelerated depreciation would undermine their lifelong efforts to
teach businessmen sound principles of income determination*
Accelerated depreciation has also been opposed on the ground,
that it favors the strong over the weak* It is claimed that the
established concern with a large income could take full advantage of
the allowance, while the new or struggling firm, having little if any
income against which to charge the larger amount of depreciation,
would derive only minor benefits from it. The fact that small and
expanding businesses have in general shown more interest than large
and established ones in accelerated depreciation suggests, however,
that the benefits would by no means be restricted to the larger
corporations.
The question of allowing accelerated depreciation during the
transition period as distinguished from the postwar period involves
special considerations. It seems clear that no recognition should
be given to acceleration in computing the excess profits tax and
the carrybacks. Otherwise capital acquired for peacetime production
would be charged against wartime income while the taxable profits
thereby postponed until later years 'would be taxed at lo?/er postwar
rates. The resulting subsidy would be especially objectionable
since under this treatment the Corporations with the most favorable
wartime experience would in general also receive the most benefits
from acceleration in the transition period.
Another argument against allowing acceleration during the
transition is that inflationary pressures are likely to continue
strong in this period* If investment demands were given strong
additional impetus during such a period, the result might well be
not more plant and equipment but more inflation.
The question of when acceleration, if allowed, should go into
effect, is only one of several knots that would have to be untied
before a pla.n could be put into operation. Other questions, for
example, are whether acceleration would bo limited to machinery and
equipment or extended to plants and other buildings, and whether
it would be limited to small businesses or extended to large and
small alike.
It should be observed that a considerable speeding up of
depreciation is and has been available under existing law and Regulations,
but taxpayers have rarely availed themselves of it. I refer to the
declining balance method of computing depreciation* Although this method
has not had any considerable adoption in' this country, it is the method
ordinarily used in Great Britain for depreciating machinery and equip
ment* Under the declining balance method an asset with a useful life
of 20 years and a scrap value of 10 percent would, at the end of five
years, be 4A percent depreciated as compared to 2 5 percent under the
commonly used straight-line depreciation -method.
-.'10
Much has been said on both sides of the proposal to alloy/
accelerated depreciation, and I have endeavored here to do no more
than open up the question. Those.now studying postwar tax problems
would very much like to have the benefit .of additional facts and of
your views concerning accelerated depreciation.
Other objectives of tax polic?/
Another important objective of tax policy is that the tax load
should be distributed in & fair and equitable manner, ihe importance
of tax equity is only one reason, but a very important one, why the
individual income tax will undcribtedly have the central position in
the postwar Federal tax system. Net income is the best single measure
of taxpaying ability and the individual income tax permits adjustment
of the tax to the relative abilities and responsibilities of the taxpay
ing public.
Equity also requires taxes which allow no special privileges and
impose no special peha3.ties, — which have a minimum of loopholes and
of hardships. Equity requires uniform administration• Indeed, one
test of a good tax is that it be pne. that can be uniformly administered
at moderate cost and without undue annoyance and expense to taxpayers.
The simplification of the tax system, and especially of the
income tax, is rnother.'worthwhile tax objective. The income tax is
in general self-assessed. The cooperation and good will of the great
majority of taxpayers are necessary to its successful operation.
Taxpayers must understand the* taxes they are called upon to pay if
cooperation and good will are to bp fruitful. Unfortunately, a tax
that ranks high in equity usually ranks low in simplicity; there must
be a partial sacrifice of each in order to achieve the other in
satisfactory degree. The specialized technical provisions of the law
which cause the loudest complaints have usually been placed in the law
at the request of taxpayers in order to achieve greater equity. It is
fortunate that they ordinarily apply to only a limited number of
taxpayers. Any broad view of tax simplification must distinguish
between the complications which affect the few and those which affect
the many. A great deal of progress has already been made in simplifying
taxes for the many.
Finally, the taxpayer and especially the business taxpayer desires
and needs the maximum possible certainty in the tax structure and in
tax rates so that he may plan with more assurance. This objective
ranks high in the factors which should influence postwar* tax adjust
ment. It .cannot be expected that in a world full of change the tax
structure or tax rates car; be kept rigid.. One may also observe that
a large proportion of tax changes arise from the demands of taxpayers
who believe '
“they are not being equitably treated under existing law.
Moreover , the Government cannot stand by and fail to ask for changes
which experience has demonstrated are necessary. Nevertheless a good
deal can be done to prevent avoidable tax changes. To achieve maximum
stability it is important that the postwar tax revisions be made with
great care and after adequate study so that a rfdnimum of later
correction will be required.
*. ■.
- XI Conclusion
In bringing m y remarks to a close* I wish to emphasize something
I am sure you have all observed* namely, that this discussion has been
highly selective, I have made no attempt to examine with 'you more than
a few of the many tax problems we face in the immediate future. Many
others have not been discussed* including important issues Auch as the
disposition of the excess profits tax, the so-called double taxation
of distributed corporate profits* the taxation of small business* the
tax treatment of capital gains and losses* the rates and exemptions
of the individual income tax, the structure of the estate and gift
taxes* and so on. I assume that the discussion to follow will bring
out questions on these and other Federal tax problems.
Let me add that we in the Treasury welcome and value your
questions and comments on matters of Federal tax policy. Through
them we can obtain a better conception of the problems of those who
must pay the taxes and a clearer idea of the effects of proposed tax
modifications. An interchange of ideas can* moreover* contribute to
public comprehension of the difficult problems involved in tax policy
and tax administration. Better mutual understanding is a worthy goal
for tax discussion#
— on 0—
TREASURY DEPARTMENT
Washington
A/\0 i f A/ /A f ù ~
FOR R E L E A S E , N E W S P A P E R S
Monday,
UuIy--3.7, 1044:______
Press Service
No, AU1"^1©
V<é-73
Secretary Morgenthau today made public, in accordance with a provision
of the Internal Revenue Code, a list of individuals receiving from corporations
c o ^ e risation for personal services in excess of §¡>75,000 for the calendar year
fiscal years ending in 194Î^» a*d supplemental report for the calendar
j f y 2)
year 1941 and fieeal year* anded in 1943*
The Secretary of the Treasury is required by Section 148 (f) of the Code,
as amended by Section 407 of the Revenue Actoof 1939, to make public the
names of such individuals as were reported by employing corporations in their
income tax returns.
The list compiled shows the amounts paid to officers and
employees by reporting corporations in the form of salary, commission, bonus
or other compensation for personal services.
Section I48 (f) cf the Internal Revenue Code, as amended by Section 407
of the Revenue Act of 1939, is as follows:
“Compensation of Officers and Employees: — Under regulations
prescribed by the Commissioner with the approval of the Secretary,
every corporation subject to taxation under this chapter shall, in
its return, submit a list of the names of all officers and employees
of such corporation and the respective amounts paid to them during
the taxable year of the corporation by the corporation as salary,
commission, bonus, or other compensation for personal services
rendered, if the aggregate amount so paid to the individual is in
excess of $75*000.
“The Secretary shall compile from the returns made a list con
taining the names of, and the amounts paid to, each such officer
and employee and the name of the paying corporation and shall make
such list available to the public. It shall be unlawful for any
person to sell, offer for sale, or circulate, for any consideration
whatsoever, any copy or reproduction of any list, or part thereof,
authorized to be made public by this Act or by any prior Act, relat
ing to the publication of information derived from income tax re turns ;
and any offense against the foregoing provision shall be a misdemeanor
and be punished by a fine not exceeding $1,000 or by imprisonment not
exceeding one year, or both, at the discretion of the court: Provided,
that nothing in this sentence shall be construed to be?., applicable
with respect to any newspaper, or other periodical publication
entitled to admission to the mails as second-class matter.“
The names of the corporations and of the officers and employées who
received compensation in excess of $75,000, as reported to the Secretary
by the Bureau of Internal Revenue, are as follows:
T R E A S U R Y
D E PA R T M E N T
WASHINGTON
2f>
O F F IC E O F
COMMISSIONER OF IN TER N AL REVEN U E
ad d r ess
reply
to
COMMISSIONER O F IN T E R N A L REVE N U E
AND R E F E R TO
ITsReciDIS
1 4 JUN 1945
Mémorandum for Mr. Charles P* Shaeffer
Director of Public Relations
Treasury Department
There is transmitted a report of payments of salary, com
mission, bonus or other compensation paid in excess of $73>>000*00
compiled from income tax returns, Schedule F-l, filed for the
calendar year 19U3 and fiscal years ended in i9i4.ll and a supple
mental report of payments for the calendar year 19l|l and fiscal
years ended in 19U3*
2$
1 4 JUN B45
IT:P.oc:DLS
Memorandum for Mr, Charles P. Shamffar
Director of Public Relations
Treasury Department
There Is transmitted a report of payments of salary, cosh*
mission, beams or other compensation paid jin excess of $7 5 *0 0 0 ,0 0
compiled from income tax returns, Schedule F-l, filed for the
calendar year 191*3 said fiscal years ended in 19 14 » and a supple
mental report of payments for the calendar year 19l|l and fiscal
years ended in 19U3*
(Signed) Joseph D* l n r i sfe
Commissioner
Lame of c o r p o r a t io n a n d o f f ic e r s o r e m p l o y e e s
CALENDAR
OR F IS C A L
YEAR ENDED
SALARY
COMMISSION
BONUS
OTHER
COMPEN
SATION
TOTAL
ALABAMA
tee
BIRMINGHAM NEWS COMPANY
12 / 3 1 A 3
9 3 , 9 0 0 .0 0
Hanson, V* H .
9 ,0 0 0 .0 0
10 2 ,9 0 0 .0 0
5 ,0 0 0 .0 0
7 5 ,2 2 0 .1 * 7
2 ,3 7 6 .0 0
7 7 ,3 7 6 - 0 0
CALIFOR N IA
12 / 3 1 / 4 3
K. ARAKELIAN, IN C .
A ra k e lia n , E d d ie
7 0 ,.220 .Iff
BANK o f AMERICA NATIONAL TRUST & SAVINGS A SSO C IA TIO N
G ia n n in i, L . M.
PHIL BERG-BERT ALLENBERG, IN C .
A l le n b e r g , B e r t r a m
Note*
12 /31A 3
7 5 ,0 0 0 .0 0
12/31/43
*2,083.1*3
102,666.66
T h i s i t e m r e p r e s e n t s p r e m iu m s o n l i f e i n s u r a n c e c a r r i e d o n l i f e o f B e r t r a m A l l e n b e r g b y t r u s t e e s
D e c l a r a t i o n o f P e n s i o n T r u s t f o r t h e E m p lo y e e s o f P h i l B e r g - B e r t A l l e n b e r g , I n c .
BULLOCK’ S , IN C .
Winnet t , P . G .
I CAGNEY PRODUCTIONS, IN C .
C agney, Jam es
. Cagney, W i l l i a m
DESMOND ’ S
Euesman, R a lp h R .
THE EMPORIUM CAPWELL COMPANY
F is h e r , H a ld a n e S .
Lipman, E . C .
THE FELDMAN-BLUM CORPORATION
Feldm an, C h a s . K e n n e t h
FOX WEST COAST AGENCY CORPORATION
Skou ras, C h a r le s P .
under
I/3 1 M
7 5 ,0 0 0 .0 0
20 ,000.00
9 5 ,0 0 0 .0 0
7 / 31 / k k
1 5 0 .0 0 0 .
1 5 0 .0 0 0 .
7/31M
00
00
5 0 .0 0 0 . 00
1 5 0 .0 0 0 .
1 5 0 .0 0 0 .
80 ,517.00
1 3 0 .5 1 7 .0 0
6 1 ,3 4 9 - 1 7
1 0 1 ,3 4 9 .1 7
1 0 5 ,9 6 6 .4 6
4 0 .0 0 0 .
3 5 .0 0 0 .
00
00
70,966.46
6/30/1*4
1 2 7 ,8 0 6 .2 7
1 2 7 ,8 0 6 .2 7
12/31A3
12 /3 1/4 3
HEARST PUBLICATION S, INCORPORATED
H e a r s t, Y i i l l i a m R a n d o lp h
LOCKHEED AIRCRAFT CORPORATION
B ark er, C . A . , J r .
G ro ss, R o b e r t E*
MARCHANT CALCULATING MACHINE COMPANY
Cooke, D w ig h t R .
MC NEIL CONSTRUCTION COMPANY
M cN eil, L a w r e n c e G .
THE NATIONAL DOLLAR STO R ES, L T D .
Shoong, J o e
1 2 /3 1/4 3
IN C .
WELLS FARGO BANK & UNION TRUST CO.
L ip m a n , F . L .
1 3 0 .0 0 0 .
00
1 3 0 .0 0 0 .
00
10 0 .0 0 0 .
00
100 . 0 0 0 .
00
10 0 .0 0 0 .
00
100 , 0 0 0 .0 0
1 2 /3 1/4 3
9 0 .0 0 0 . 00
1 2 5 .0 0 0 .
00
9 0 .0 0 0 .
1 2 5 .0 0 0 .
00
00
12/31/43
1 3 2 , 1 0 4 .9 9
1 3 2 ,1 0 4 .9 9
12/31A3
8 0 , 0 0 0 .0 0
8 0 , 0 0 0 .0 0
12/31A3
7 5 .1 2 0 .0 0
90 ,0 0 0 .0 0
1 6 5 .1 2 0 .0 0
12/31A3
170 ,0 0 0 .0 0
1 7 0 .0 0 0 .
12/31A3
3 ,6 0 0 .0 0
8/31/1*4
9 0 ,1 8 4 .7 7
2 6 .4 6 6 .6 7
9 3 ,7 8 4 .7 7
1 0 2 ,1 2 4 .9 6
1 * 9 ,7 1 4 . 4 8
1 7 8 ,3 0 6 .1 1
5/31A4
2 5 .0 0 0 .
00
159,353.24
1 3 4 ,3 3 3 .2 4
7/31A4
8 9 .7 9 1 .6 7
8 7 .5 0 0 .0 0
S e lz n ic k , D a v id 0 .
W o o le y , M o n ty
185,000.00
2 3 ,1 2 5 .0 0
8 7 ,0 8 3 .2 9
8 9 ,7 9 1 .6 7
8 7 .5 0 0 .0 0
2 0 8 ,1 2 5 .0 0
8 7 ,0 8 3 .2 9
12/31A3
80. 000.
00
8 0 ?0 0 0 ,0 0
CONNECTICUT
THE HOHELITE CORPORATION
A b b o tt, J . A .
12/31A3
THE NATIONAL FOLDING BOX COMPANY
L y n c h , W a lt o n D .
M ab ee, G e o r g e W.
12/31A3
NORTHAM WARREN CORPORATION
W a r r e n , N o rth a m
00
00
1/31A 4
HEARST CONSOLIDATED P U B LICA T IO N S, IN C .
H e a r s t, W i l l i a m R a n d o lp h
NATIONAL THEATRES AMUSEMENT C O .,
S k o u ras, C h a r le s P .
PACIFIC CRANE & R IG G IN G , IN C .
Coon, H . L .
HAL ROACH ST U D IO S, IN C .
B e n d ix , W i l l i a m E .
HOSENBERG BROS. & CO.
O p p e n h e im e r, A r t h u r C .
VANGUARD F IL M S , IN C .
D ie te r l e , W illia m
S c h a r y , D o re
1 0 4 ,7 5 0 .0 9
5 ,5 0 0 .0 0
7 2 ,7 4 0 .3 6
7 8 ,2 4 0 .3 6
96,500.00
3 8 ,7 6 1 .6 7
13 4 ,0 0 0 .0 0
1 3 5 ,2 6 1 .6 7
13 4 ,0 0 0 .0 0
9 4 , 5 0 0 .0 0
9 4 ,5 0 0 .0 0
12/31A3
00
■-— '•---- - —
|[|ïïAHE OF CORPORATION AND OFFICERS OR EMPLOYEES
CALENDAR
OR FISCAL
YEAR ENDED
COMMISSION
SALARY
BONUS
OTHER
COMPENSATION
TOTAL
DELAWARE
■AMERICAN SUPPLIERS, INCORPORATED
Lipscomb, James E., Jr.
■ TEE COCA-COLA COMPANY
Acklin, A. A.
Jones, Harrison
■ COLUMBIA GAS & ELECTRIC CORPORATION
Gossler, Philip G.
|E. I. du PONT de NEMOURS & COMPANY
Bolton, Elmer K.
Brown, J. Thompson
1
Carpenter, Walter S., Jr.
Crane, Jasper E.
J du Pont, Henry B.
Echols, Angus B.
Harrington, Willis F.
McCoy, John W.
Richter, William
Robinson, Edmund G.
Stine, Charles M. A.
Wardenburg, Frederic A.
Yancey, Edward B.
Yerkes, Leonard A.
■ HERCULES POWDER COMPANY
Higgins, Charles A.
TEE LAMBERT COMPANY
Johnston, John L.
IVICK CHEMICAL COMPANY
Preyer, W. Y.
B
Richardson, E. S.
12/31A3
12/31/43
12/31/43
12/ 31/43
12/31A 3
12/31A3
6/ 30/44
120 , 000.00
120 , 000.00
60,000.00
60 , 000.00
20 , 000.00
20 , 000.00
80 , 000.00
80, 000.00
90,000.00
90,000.00
55 , 516.00
50 , 000.04
150,000.00
50 , 000.04
50 , 000.04
57 , 999.96
50 , 000.04
50,000.04
45 , 912.00
45,912.00
50,000.04
58,520.00
41,736.00
52,968.00
57 , 624.00
45 . 9 A .38
66 , 352.75
62,988.58
62,988.58
3 8 ,7 4 4 .7 5
48 , 837.38
62 , 988.58
46 , 337.38
55.9A.63
49 , 000.50
60,000.00
50 , 800.00
90 , 800,00
80 , 000.00
15,000.00
95,000.00
40,654.75
62 , 988.58
64,625.00
50,625.00
55O.OO
55O.OO
600.00
55O.OO
55O.OO
5OO.OO
6OO.OO
600.00
6OO.OO
45O.OO
55O.OO
6OO.OO
600.00
25,010.00
25,010.00
58O.OO
5OO.OO
75 , 970.75
113,538.42
150,550.00
108, 224*04
96,534.42
124,902.71
115,4.88.1*2
115, 588 . 1}2
85.256.75
95,349.38
113,438.42
85,407.38
98,300.63
102,568.50
90,215.00
76,155.00
FLORIDA
I
GIBBS GAS ENGINE COMPANY of FLORIDA
Gibbs, Geo. W.
12/31A3
55,000.00
50,000.00
85,000.00
60,000.00
50,000.00
90,000.00
—ILLINOIS
*
I AMERICAN STEEL FOUNDRIES
Drever, Thomas
I B and K MANAGEMENT CORPORATION
Balaban, John
1 BORG-WARNER CORPORATION
Blood, Howard E.
■ BRINK'S INCORPORATED
J
9 / 30/44
12/31A3
12/31A3
12/31A3
A^
Allen, John D.
BURGESS-NORTQN MANUFACTURING COMPANY
Smith, H. S,
BUTLER BROTHERS
Freeman, Thomas B.
CENTRAL STEEL AND WIRE COMPANY
Lowenstein, Mandel
CONTAINER CORPORATION OF AMERICA
Paepcke, Walter P.
CONTINENTAL ILLINOIS NATIONAL BANK
AND TRUST COMPANY OF CHICAGO
Cummings, Walter J.
CORNELL FORGE COMPANY
Cornell, Arthur M.
CRANE CO.
Collier, j.
DIAMOND T MOTOR CAR COMPANY
Bush, E. J.
Cook, S. A.
Peirce, c. A,
FAIRBANKS, MORSE & CO.
Morse, Robert H.
TBE FIRST MTIGHAL BAHK OF CHICAGO
Brown, E. E.
GREAT LAKES CARBON CORPORATION
Skakel, George
104,000.00
104,000.00
58,000.00
29,000.00
85.000.
00
85. 000.
00
45O.OO
87,450.00
575.00
575.00
85,575.00
85,575.00
12 /S 1 /Î.3
5,000.00
12 / 3 1 A 3
12 / 3 1 A 3
12 / 3 1 A 3
12 / 3 1 A 3
12 /3 1A 3
12 /3 1A 3
12 /3 1A 3
12 /3 1A 3
12 / 3 1 A 3
10 /3 1/4 4
101,525.65
15.000.
00
119,525.65
50.000.
00
51.000.
00
81 , 000.00
66.000.
00
18. 000 .
00
8 4 ,0 0 0 .0 0
60.000.
00
50.000.
00 110,000.00
150,000.00
1.200.00
151,200.00
15.000.
00
?0,079.26
50.000.
00
¿5,000.00
600.00
75,600.00
25.000.
25.000.
25.000.
00
00
00
55.460.29
55.460.29
55.460.29
140.00
80,600.29
120.00
120.00
80 ,580.29
80 ,580.29
75.000.
00
85,500.00
85.000.
00
75.000.
00
105,079.26
5.000. 00 161,500.00
5.525.00
40,000.00
88,525.00
115,000.00
2
ta i s m a a —
o r FISCAL
TEAR SIDED
SALARY
COMMISSION
BONUS
---OTHER--COMPEN
SATION
TOTAL
ILLINOIS
12/31A 3
HARPER-WYMAN COMPANY
Harper, Philip S.
HOUSEHOLD FINANCE CORPORATION
Henderson, B. E.
INDEPENDENT PNEUMATIC TOOL COMPANY
Hurley, Neil C., Sr.
INLAND STEEL COMPANY
Sykes, Wilfred
INTERNATIONAL FORWARDING CO.
Bade, William A.
INTERNATIONAL HÄRTESTER COMPANY
Elliott, William S.
Holahan, Maurice F.
McCormick, Fowler
INTERNATIONAL-MINERALS AND CHEMICAL CORPORATION
Ware, Louis
WILLIAM F. JOBBINS, INCORPORATED
McKnight, William A.
LUMBERMENS MUTUAL CASUALTY CO.
Kemper, James S«
MAYBELLDJE COMPANY
Williams, Thomas L.
MID-1EST DYNAMOMETER & ENGINEERING CO.
Öberreutter, Pa.ul H.
W. H. MINER, INC.
Withall, A. P.
MONTGOMERY' WARD & CO., INCORPORATED
Avery, S. L.
Ryan, C. D.
PABST BREWING COMPANY
Perlstein, H.
[ THE PEPSODENT CO.
Luckman, Charles
Smith, Kenneth G.
REID MURDOCH & CO.
Anderson, L. S.
REPUBLIC FOOD PRODUCTS CO.
Clair, J. M.
C. A. ROBERTS CO.
Kaiser, A. A.
THE ROSS MANUFACTURING CO.
Ross, Kenneth B.
A. E. STALEY MANUFACTURING COMPANY
Staley, A. E., Jr.
SWIFT AND COMPANY
Holmes, John
CHICAGO TRIBUNE-NEW YORK NEWS SYNDICATE, INC.
Gray and Gray
NEWS SYNDICATE CO., INC.
Clarke, R. W.
Flynn, F. M.
Holliss, R. C.
TRIBÜNE COMPANY
Campbell, C. M.
Mac farlane, W. E.
Rose, L. H.
UNITED DRILL AND TOOL CORPORATION
Kearins, M. J.
VICTCE MANUFACTURING[& GASKET COMPANY
victor, John H.
12/31A3
12/31A 3
12/31A 3
12/31A 3
10 / 3 1 /bk
6 / 30 /hb
12/31A3
12/31A 3
103,560.19
103, 560.19
75,038.36
25,000.00
50,000.00
125, 038.36
103, 950.00
50,000.00
128,950.00
30,000.00
80,000.00
87,065.85
87,065.85
60,000.00
65,000.04
99 >999.96
15,000.00
16,250.00
25,000.00
700.00
1,250.00
1,270.00
75 , 700.00
82 , 500.04
126,269.96
50,000.00
50,000.00
1,200.00
101,200.00
10,000.00
75,000.00
60,000.00
85,000.00
190,000.00
250,000.00
6/30/kk
80 , 000.00
12/31A3
12/31A 3
1/31Ah
12/31A3
80 , 000.00
85,000.00
50,000.00
200.00
96,328.38
83,200.00
146, 328.38
99,999.96
60,000.01
23,850.00
66,000.00
16,000.00
'
600.00
550.00
100 , 599.96
84,400.01
82 , 000.00
12/31A3
100,000.00
118,333,38
12/31A 3
12/31A3
25,000.00
130,264.27
155 . 261+.27
26,100.00
62,620.00
88,720.00
12/31A3
12 /3 1 /1+3
12/3lA 3
12/31A3
12/31A3
12/31A3
77 . 6 H+A8
77 . 6 A A 8
80,074.54
80 , 07l+.5 l+
48,000.00
4^,500.00
92,500.00
85,000.00
85,000.00
13,000.00
81,048.65
67.200.00
67.200.00
67.200.00
22 , 800.00
22 , 800.00
22 , 800.00
90,000.00
90,000.00
90,000.00
12/31A3
12/31A3
12/31A3
9 4 , 048.65
81,275.66
103,692.50
111,068.00
21+.999.81+
65,000.00
75,000.00
3,867.61
89 , 999 . 81+
125.00
78 , 992.61
IOWA
THE REGISTER AND TRIBUNE COMPANY
Martin, Henry p., jr#
12/ 31A 3
6 , 573.75
7 l , 933 . A
78,506.99
MARYLAND
s°mer^
LIFE i n s u r a n c e
William
c°“
company
* rac-
12/31A3
12/31A3
75.000.
00
53.000.
00
150.00
75,150.00
31,877.76
81}., 877.76
3
■—
W
------ "---------0F CORPORATION AND O FFICERS OR EMPLOYEES
CALENDAR
OR F IS C A L
YEAR ENDED
OTHER
SALARY
COMMISSION
BONUS
COMPENSATION
TOTAL
MARYLAND
TEE BALTIMORE SALESBOOK COMPANY
S p e e r, T a lb o t T .
STEWART & C O ., INCORPORATED
A b b o t t, T . P .
12/3 lA 3
l/3 V 44
31,350.00
55,650.00
35,000.00
87,000.00
14.6 , 14.01+ .] ^
8 l , l 4.0l+ .l 42
MASSACHUSETTS
Van K e u r e n , H a r o ld L .
WHEELOCK, LOVE JOY & COMPANY, IN C .
F u lt o n , A . Oram
12/31A3
12/3 V 43
1/31A4
12/31A3
12/31A3
12/31A3
90.000.
100.000.
00
00
90.000.
100 . 0 0 0 .
137 .+ 57.77
137 ,+57.77
137,457.77
137A57.77
80 , 000.00
80 , 000.00
28,750.00
52,238.32
80,988.32
6,000.00
12,000.00
67,129.86
111,883.11
77,029.86
12i+,483.11
0 0
0• 0.
0 0
AMERICAN OPTICAL COMPANY
C ozzen s, C . O.
M osher, I r a
THE ATLANTIC LUMBER COMPANY
F re n ch , E d w a rd V .
McHugh, Thom as J .
1M. FILENE’ S SONS COMPANY
F r o s t , E d w a rd J .
■ HAFFBNREFFER & C O ., IN C .
E a ffe n re ffe r, T . C.
I THE KEYSTONE CORPORATION OF BOSTON
Rehm, T . A .
S h o lle y , S . L .
THE LAEEY CLIN IC
L ah ey, F ra n k H.
MASSACHUSETTS INVESTORS TRUST
G r is w o ld , M e r r i l l
PACKARD M ILL S, IN C .
H u b bard , R a lp h K .
POTTER DRUG & CHEMICAL CORPORATION
B e s t , S a m u e l M.
THOMPSON WIRE COMPANY
Thom pson, G e o r g e M.
UNITED SHOE MACHINERY CORPORATION
Todd, A l b e r t W.
W in s lo w , S i d n e y W ., J r .
THE: VAN KEUREN CO.
100,000.00
100,000.00
12/31A3
12/31A3
12/31/43
12/31A3
2/29A 4
12/31A3
12/31A3
78,585.61+
26,400.00
53,222.55
25,000.00
78,585.61+
20,000.00
99,622.55
50,272.46
75,272.1+6
100,000.00
100,000.00
76,300.00
106,666.76
76,300.00
106,666.76
100,000.00
100 ,0 0 0 .0 0
5+,163.60
25,000.00
79,163.60
MICHIGAN
BOHN ALUMINUM & BRASS CORPORATION
Bohn, C h a s . B .
Mar k e y , P . A .
12/31A3
BURROUGHS ADDING MACHINE COMPANY
D o u g h ty , A . J .
CHRYSLER CORPORATION
H u t c h in s o n , B . E .
K e lle r , K. T.
Z e d e r , F r e d M.
DETREX CORPORATION
E m m ett, R o b e r t A .
EVANS PRODUCTS COMPANY
E van s, E . S .
S i n g e r , R . M.
12/31A3
FORD MOTOR COMPANY
C r a ig , B . J .
S o ren sen , C . E .
GENERAL MOTORS CORPORATION
A n d e r s o n , H a r r y W.
A n d erso n , A n th o n y C .
A r c h e r , Thomas P .
12/31A3
100.125.00
99.150.00
80 , 000.00
90.000.
100 . 000 .
00
00
85,000.00
-12/31A3
175.00
80,175.00
900.00
900.00
90,900.00
100,900.00
1+00.00
85,1+00.00
25,000.00
58,200.00
12/31A3
83,200.00
685.71
7 5 ,000,00
83,1+96.16
12/31A3
12/31A3
119 , 543*46
230.000.
30.000.
25.000.
60.000.
B r a d le y , A lb e r t
1Q 0 ,Q 0 0 .Q 0
B row n , D o n a ld s o n
C o d r i n g t o n , G e o r g e W.
C o y l e , M a r v in E .
C u r t i c e , H a r lo w H.
D o n n e r, F r e d e r i c G .
P r e y s ta d t, N ic h o la s
E a r l , H a r le y j .
E v a n s , R o n a ld K .
F i s h e r , E d w ard F .
F is h e r , L aw ren ce p .
100 . 0 0 0 .
6,360.00*
00
50.000. 00
100,000.00
90.000.
50.000.
60.000.
60.000.
65.000. 00
100,000.00
75.000.
/
119 , 543.46
230,000.04
01+
00
00
00
00
00
00
00
5 7 .5 4 6 .3 8
2,960.55
49.452.38
79,006.25
230,050.25
1,122.00
1 , 800.00
lb , 022.07
200,1+92.75
85,91+1.63
178.868.00
152.169.00
96.285.50
101.121.50
61+, 867.38
5.668.00
1 3 5 ,l4 l}i+ .2 5
00
75,685.71
83,496.16
155,91+7.13
7 9 .8 2 8 .5 0
6,339.57
5,11+6.00
10,1+31.90
4,72+8.77
6,928.50
5 , 2498.90
8 ,198.93
3.868.00
9,625.60
90,506.93
75,574.38
140,806.25
350,432.32
306,160.75
142,281.20
284,014.00
252,600.90
151,034.27
168,050.00
130,366+28
208,643.18
259,815.13
164,454* 10
00
00
OTHER
COMPEN
SATION
CALENDAR
OR F IS C A L
YEAR ENDffD
OF CORPORATION AND O FFICERS OR EMPLOYEES
U m
SALARY
COMMISSION
BONUS
TOTAL
MICHIGAN
® BEAL MOTORS' CO EPO R ilED
12 /31/4 3
)
Goad, Louis C .
Grant, Richard H.
Hamilton, Harold L.
Hogan, H e n r y M.
1 0 0 ,0 0 0 .0 0
1 0 0 ,0 0 0 .0 0
7 0 , 000.00
6 0 ,0 0 0 .0 0
Hunt, Ormond E .
Kettering, Charles F.
K lin g le r , H a rry J .
Kroeger, Frederick C.
Kunkle, B a y a r d D.
McCuen, Charles L.
Osborn, Cyrus R.
R i l e y , E d w a rd C .
S k in n e r , S h e r r o d E .
S lo a n , A lfr e d P . , J r *
S m ith , J o h n Thom as
P r e n t i s , M e y e r L#
W illia m s , W i l l i a m C * ,
W ils o n , C h a r l e s E .
I
*
A llo w a n c e
fo r
4 5 , 000.00
3 , 8 3 7 . 69 *
7 5 , 000.00
3 0 , 000.00
5 0 , 000.00
1 2 9 ,5 8 9 .8 7
1 1 6 , 888.63
4 6 , 7 1 5 .3 8
9 8 , 0 99.0 0
2 5 2 , 7 5 3 .0 0
3 , 9 0 6.0 0
9 5 8 .0 0
1 9 5 . 7 9 4 .6 3
7 7 , 6 7 3 .3 8
4 , 7 7 2 .5 0
6 , 7 6 6 .0 0
5 , 4 7 4 .0 0
1 5 2 ,8 7 1 .5 0
3 5 9 ,5 1 9 .0 0
3 0 6 ,1 1 7 .8 8
6 , 5 l j 2 .68 , 1 6 8 ,7 1 3 .8 1
7 ,7 9 2 .8 0
1 8 1 ,6 5 9 .4 3
2 ,0 8 6 .0 0
1 6 3 ,9 2 9 .1 9
2 1 8 ,8 7 1 .0 5
8 ,4 2 6 .8 0
2 , 5 1 7 .0 0
8 2 ,9 3 0 .5 6
3 , 4 2 8 .9 6
9 2 ,1 2 5 .8 4
1 3 4 * 1 8 0 .5 8
5 ,1 8 0 .9 5
2 0 0 ,8 0 0 .0 0
8 0 0 .0 0
5 ,8 1 8 .0 0
306 , 3 1 0 .7 5
92, 1 7 1 .1 3
1 1 3 , 8 6 6 .6 3
10 6 , 4 6 1 .2 5
1 3 5 , 4 4 4 .2 5
4 2 , 7 6 9 ,3 8
4 8 , 6 9 6 .8 8
68 , 9 9 9 .6 3
5 5 ,3 8 1 .9 4
3 7 ,6 4 4 .1 8
4 0 , 000.00
60 , 000.00
liv in g
3 ,3 0 7 .3 0
2 0 0 ,6 4 3 .8 8
7 5 , 000.00
2 0 0 ,0 0 0 .0 0
1 0 0 ,0 0 0 .0 0
3 5 , 000.00
60 , 000.00
1 5 0 , 000.00
Jr.
7 7 , 1 ( 4 4 .8 8
200 , 4 9 2 .7 5
60 , 2 6 6 .3 8
1 0 8 ,7 7 8 .7 5
289 , 6 9 5 .3 8
4 ,6 6 6 .3 4
1 , 9 7 0 .0 0
1 9 ,3 4 6 .0 0
9 9 , 9 3 2 .7 2
1 7 0 , 7 4 8 .7 5
4 5 9 , 0 4 1 .3 8
exp en ses.
Bonus j
I n c l u d e s t h e t o t a l 1 9 4 2 a w a r d p a y a b l e i n 1 9 4 3 i n G e n e r a l M o t o r s C o r p o r a t i o n Common s t o c k , c o m p u te d a t # 5 5 . 2 5 p e r
s h a r e , t h e c l o s i n g m a r k e t p r i c e o n J u n e 7 , 1 9 4 3 , t h e a v a i l a b l e d e l i v e r y d a t e , a s e v i d e n c e d b y t h e New Y o r k S t o c k
E xchange, p lu s a c a s h d iv id e n d e q u i v a l e n t o f 5 0 / f o r e a c h s h a r e o f s t o c k a w a r d e d , e x c e p t i n g i n t h e c a s e o f S h e r r o d E .
S k in n e r w h o s e 1 9 4 2 a w a r d w a s c o m p u t e d ,
as
fo llo w s *
7 5 0 s h a r e s G e n e r a l M o t o r s C o r p o r a t i o n o n | 1 0 p a r Common s t o c k , c o m p u te d a t # 5 4 * 6 2 5 p e r s h a r e ,
th e c l o s i n g m a rk e t p r i c e on June 9 , 1943* t h e a v a i l a b l e d e l i v e r y d a t e , a s e v id e n c e d b y t h e
New Y o r k S t o c k E x c h a n g e
P lu s a d iv id e n d e q u i v a l e n t i n
#4®*96 8 * 7 5
th e
am ount o f
Ite m (4 ) a l s o i n c l u d e s t h e f o u r t h f o u r t h o f t h e 19 4 0 a w a rd a n d t h e t h i r d f o u r t h o f t h e 1 9 4 1 a w a rd p a y a b le i n 194 3 *
com puted a t # 5 0 .3 7 5 p e r s h a r e , t h e
c l o s i n g m a r k e t p r i c e o f G e n e r a l M o t o r s C o r p o r a t i o n Common s t o c k o n D e c e m b e r 1 0 ,
1943» t h e a v a i l a b l e d e l i v e r y d a t e , a s e v i d e n c e d b y t h e N ew Y o r k S t o c k E x c h a n g e .
O th er C o m p e n s a tio n *
In c lu d e s c e r t a i n d iv id e n d s r e c e i v e d on b o n u s s t o c k h e ld i n e s c r o w and c o v e r s G e n e r a l M o to rs c o s t
b e n e f i t s t o p a r t i c i p a t i n g e m p l o y e e s u n d e r t h e G e n e r a l M o t o r s E m p lo y e e s C o n t r i b u t o r y R e t i r e m e n t P l a n .
T o t a l*
I n c lu d e s a l l c o m p e n s a tio n p a id b y G e n e r a l M o to rs C o r p o r a t io n i n t h e y e a r 19 4 3 i n t h e c a s e
L o u is C . G o ad , a n d C y r.u s R . O s b o r n , w ho w e r e e l e c t e d . . V i c e - P r e s i d e n t s d u r i n g t h e y e a r 1 9 4 3 *
¡■ HOLLAND F u A fc lE COMPANY
I
C h e ff, P . T .
I KOESTLIN TOOL & DIE CORPORATION
[ F r a lic k , F o ste r L .
p .
s.
KRESGE COMPANY
T u ttle , C. B.
Williams, R. R.
LYON INCORPORATED
Lyon, G. A.
NATIONAL BANK OF DETROIT
McLucas, W. S.
PACKARD MOTOR CAR COMPANY
Christopher, G. T.
PALMER-BEE COMPANY
Bee, George A.
SQUARE D COMPANY
_Magin, F. W.
THE TIMKEN-DETROIT AXLE COMPANY
Rockwell, Walter F.
in
p r o v id in g
o f T h om as P . A r c h e r ,
12 /31/4 3
3 0 ,0 0 0 .0 0
6 3 ,7 0 0 .0 0
9 3 * 7 0 0 .0 0
12/31/43
2 3 ,0 0 0 .0 0
5 5 ,0 0 0 . 0 0
12 /31/4 3
89.250.00
89.250.00
89,250.00
8 9 ,2 5 0 .0 0
12/31/1+3
100,000.00
50,000.00
50,000.00
12/31A 3
7 8 , 0 0 0 .0 0
38,050.00
5 0 , 000.00
12/31/I+3
88.050.00
86.370.00
8 6 , 370 .0 0
12/31/2+3
3 7 ,3 8 1 + . 80
12/31/2+3
4 3 ,5 5 9 * 9 2
80,914.72
45.000.
00
7 2 , 1 5 3 .1 4
1 1 7 , 1 5 3 .1 4
5 0 . 000 .
04
¡3 1 , 4 9 3 .3 0
8 1 , 4 8 3 .3 4
60.000.
00
1 6 , 3 4 3 .8 0
7 6 , 3 4 3 .8 0
36.000.
00
6/30/L1+
MINNESOTA
MINNESOTA AND ONTARIO PAPER COMPANY
Robinson, R, h . M.
POWERS DRY GOODS CO., INCORPORATED
Olson, Doddrick
12/31A 3
1/31/2+4
48,885.89
8 4 ,8 8 5 .8 9
5
-—
------------ “
'
CALENDAR
} ] m 0F CORPORATION AND O FFICERS OR EMPLOYEES
[
COMMISSION
SALARY
OTHER
COMPEN
SATION
BONUS
TOTAL
M ISSOURI
d ’ARCY
ADVERTISING C O I Ä N Y
L ee, A . L .
I _
u w t0 N BYRNE BRUNER INSURANCE AGENCY C O .
L aw ton, C . S .
I THE MAY DEPARTMENT STORES COMPANY
Brunm ark, W. J .
Dauby, Jerom e
Dauby, N a th a n L .
G e l l e r , D a ve
G r ie s , L i n c o l n
May, M o rto n J .
May, Tom
R o s e n b e r g , S . M.
■
Salom on, F r e d Z •
AVt A
S t r a u Ms ms , TL Ae o
n a rd
THE PULITZER PUBLISHING COMPANY
P u litz e r , Josep h
SOUTHERN COMFORT CORPORATION
F o w le r, F . E . , J r .
12/31/43
li|9,8ii7.00
12 /31/4 3
.
149, 847.00
f
108,462.46
„ ,
108,462.46
l/3Vm
50,000.04
10,000.00
50,000.00
75,000.00
100,000.00
62,025.69
65,000.00
14,000.00
20,000.00
100,000.00
32,500.00
23,000.00
10,000.00
20,000.00
12/31A3
12/31A3
67,500.00
77,000.00
90,000.00
67,236.56
100,000.00
115,580.26
10,000.00
67,470.32
75.00
I5O.OO
25.OO
25.OO
100.00
150.00
50,000.00
100,000.04
85,000.00
100,000.00
76,025.6?'
85,075.00
100,150.00
100,025.00
100,025.00
100,100.00
87,386.56
265,580.26
77,470.32
NEW HAMPSHIRE
EXETER MANUFACTURING CO.
K en t, H e r v e y
9 / 30/ k k
16,000.00
60,000.00
76,000.00
NEW JERSEY
BENGUE, IN C.
S e lt z e r , T h eo d ore
CAMPBELL SOUP COMPANY
D o rra n c e , A r t h u r C .
CQLGATE-PALMOLIVE-PEET COMPANY
C o u lt e r , J . A .
L i t t l e , E . H.
R a i l e y , B . W.
FORSTMANN WOOLEN CO.
F orstm ann, C u r t E .
F orstm ann, J u l i u s G .
W ils o n , K e n n e th
HAHNE & COMPANY
Buck, J u n i o r C .
; HOFFMAM-LA ROCHE, IN C .
B a r e li, £ . C .
B o b st, E . H .
A . HOLLANDER & SON, IN C .
H o lla n d e r , M i c h a e l
! IRVINGTON VARNISH & BISULATOR COMPANY
J o n es, A . E .
NEW JERSEY WORSTED M ILLS
H alterm an n , F r e d e r i c k W.
| THE PRUDENTIAL INSURANCE COMPANY OF AMERICA
D’ O l i e r , F r a n k l i n
/
12/31 A 3
7/31M
12/31A 3
12,000.00
188,394.50
200,394.50
95,250.00
95,250.00
40.000. 08
100 , 000.08
40.000.
08
37,777.06
157,405.08
61,650.58
77,777.14
257,405.16
101,650.66
11/30M
25.000.
15.000.
15.000.
1/31A
h
00
00
00
126,951.57
63.475.79
63.475.79
30,000.00
1.300.00
1.200.00
1,200.00
153,251.57
79.675.79
79.675.79
70,000.00
100 , 000.00
12/31A3
12/31A3
106,908.25
308,175.00
52,200.00
52,000.00
104,200.00
12/31A3
12/31A3
12^ 1/1+3
80,723.80
12 , 000.00
103,471.42
91,471.42
100 , 000.00
100 , 000.00
NEW YORK
J* N. ADAM & CO.
H o ld e r , A l b i n 0 .
ALLIED STORES CORPORATION
C o on s, A l b e r t
B r o id y , Edw ard W.
L a w sie , W a lt e r H .
P u c k e tt, B . E a r l
1/31A+
1/31A1+
45,000.00
26.000.
26.000.
24.000.
30.000.
75,000.00
A n d e rso n , T . N .
^ g g i s , D . W.
S u l l i v a n , M. J .
AMERICAN LOCOMOTIVE COMPANY
D ick e rm a n , W. C .
F r a s e r , D . W.
12/31A 3
AMERICAN SMELTING AND R EFIN IN G COMPANY
I 2/ 3 1 A 3
Guess, H. A.
55,000.00
00
00
00
00
52,329.46
81,509.28
161,427.19
171,647.57
30,000.00
100 , 000.00
78,329.46
107,509.28
185,427.19
201,647.57
90.00
105,090.00
M
V
J1 od CO
000
0
0
00
00
0
0
• . 0•
000
000
I
OR F IS C A L
YEAR ENDED
4,000.00
4.200.00
3.900.00
84,000.00
84,200.00
153,900.00
112,500.00
90,000.00
2.056.00
2.191.00
114.556.00
92.191.00
76,875.00
76,875.00
6
NAME
of c o r p o r a t i o n a n d o f f i c e r s
or e m p l o y e e s
CALENDAR
OR FISCAL
YEAR ENDED
SALARY
COMMISSION
BONUS
OTHER
COMPEN
SATION
TOTAL
HEW YORK
BLR ICAN TELEPHONE AND TELEGRAPH COMPANY
Cooper, C. P»
Gifford, W. S.
the AMERICAN TOBACCO COMPANY
Hfthn, Paul M.
Hill, George W.
Riggi°, Vincent
12/31A3
12/31A3
82,365.1a
137, 275.68
82,365 A l
*50,000.00
120,000.00
50,000.00
ly but billed to subsidiary -
* Less Salary paid to P# M. Hahn by the Ameri<
12/31A3
12/ 31A 3
12/31A3
12/ ^ lA 3
I/3 1M
12/3 l A 3
68,825.76
52 , 166.67
95.000.
150.000. 00
200,000.00
101,299.96
210,350.00
132.365.41
257,275.68
132.365.41
150,000 .00.
00
100,000.00
1
120, 992.43
1,766.00
1,666.00
1 , 186.00
96,766.00
151,666.00
201,186.00
5,630.00
105,650.00
18 , 000.00
64 , 298.13
3,000.00
85,298.13
50,000.00
50,000.00
650.00
100,650.00
30,000.00
27,000.00
18,557.50
75 , 557.50
12/31A 3
12/31A3
1/31A\h
12/ 31A 3
100,159.A
100, 159.44
*
135,568.11
105,568.11
30,000.00
183,300.00
108,300.00
8,300.00
8,300.00
0 0
0• 0.
0 0
0 0
12/31A 3
92,179.45
0 0
n «V
Lf\O
cr
H*0
f—1
AMERICAN WEEKLY, INC.
Berkowitz, Mortimer
ANACONDA COPPER MINING COMPANY AND SUBSIDIARY
COMPANIES
Dwyer, Robert E.
Hobbins, James R.
_ Kelley, Cornelius F.
BANKERS TRUST COMPANY
Colt, S. Sloan
HERMAN BASCH & CO., INC.
Vortrefflich, Paul William
BEST & CO., INC.
LeBoutillier, Philip
BROCKWAY MOTOR COMPANY, INC.
Piroumoff, G. S.
CANNON MILLS, INC.
Phillips, Stanley
CENTRAL HANOVER BANK AND TRUST COMPANY
Gray, W. S., Jr.
CHARLES STORES COMPANY, INC.
Hornstein, B. S.
THE CHASE NATIONAL BANK OF THE CITY OF NEW YORK
Aldrich, Winthrop W.
Campbell, H. Donald
CHEMICAL BANK & TRUST COMPANY
Houston, Frank K.
CLUETT, PEABODY & CO., INC.
Palmer, C. R.
COLUMBIA BROADCASTING SYSTEM, INC.
Kesten, Paul W.
CORN EXCHANGE BANK TRUST COMPANY
Sherer, Dunham B.
THE CRÖWELL-COLLIER PUBLISHING COMPANY
Beck, Thomas H.
j/RUCIBLE STEEL COMPANY OF AMERICA
Hufnagel, F. B.
DAILY MIRROR INC.
Winehell, Walter
DAZIAN’S, INC.
Feinberg, George
Friedlander, Emil
THE DIAMOND MATCH COMPANY
Fairburn, William A.
DONAHUE & CO., INC.
Churchill, E. J.
.EASTMAN KODAK COMPANY
Hargrave, Thomas J.
Lovejoy, Frank W.
Sievers, Herman C.
Sulzer, Albert F.
ELECTRO-CHEMICAL ENGRAVING CO., INC.
Jacober, M. C.
ETHYL CORPORATION
^ Webb, Earle W.
^
FAIRCHÎLD ENGINE AND AIRPLANE) CORPORATION
Ward, J. Carlton, Jr.
THE FIRST NATIONAL BANK OF THE CITY OF NEW YORK
Fraser, Leon
Welldon, Samuel A.
THE FLINTKOTE COMPANY
Harvey, I. j#> jr#
GENERAL CABLE CORPORATION
Palmer, D. R. g .
1,300.00
4,100.00
99,999.96
206,250.00
75,000.00
76,725.00
1,725.00
12/31/1+3
95,000.00
95,000.00
12/3 l A 3
12/ 31A 3
84,999.76
75,000.00
1,000.00
76,000.00
260.00
80,260.00
12 / 3 1 /Ì.3
75,000.00
12/31A3
12/ 31A 3
12 A 1A 3
12/ 31A 3
5,000.00
150,000.00
57,600.00
150,000.00
28 , 743.73
86,343.73
87,633*80
92,833.80
87.633.80
92.833.80
100,000.00
100,000.00
12/3 l A 3
130,900.00
12/ 31A 3
Î 2/ 31A 3
12/ 31A 3
12/^1A 3
107.596.15
87 , 399.04
76,237.50
107.596.15
lb , 800.00
71,835.511.
60,000.00
3,000.00
12/ 31A 3
12/ 31A 3
8 5 ,0 0 0 .0 0
75.000.
00
75.000.
00
14,400.00
60.000.
00
30,000.00
89,695.54
• 99 , 931.48
. 59,931-48
115,000.00
12/ 31A 3
60.00
600.00
115,600.00
1 ,2 0 0 .0 0
1 ,2 0 0 .0 0
76,200.00
86,200.00
6OO.OO
90,000.00
90,000.00
7
NAME
of c o r p o r a t i o n a n d
officers or e m p l o y e e s
CALENDAR
OR FISCAL
YEAR ENDED
SALARY
COMMISSION
BONUS
OTHER
COMPENSATION
TOTAL
NEW YORK
W. R. GRACE & CO.
12/31/10.
1+8 ,000.00
Tglehart, D. S.
f. T. GRANT COMPANY
1/31/4460,000.00
Fogler, Raymond H.
THE GREAT ATLANTIC & PACIFIC TEA COMPANY (NEW JERSEY) 2/29/44
100 ,021.00
Adams, O. C*
1 0 0 ,0 2 1 .0 0
Brooks, C. A.
100 ,021.00
Byrnes, W. M.
100,025.00
Smith, R. B.
GUARANTY TRUST COMPANY OF NEW YORK
12/31/10
100 ,000.00
Conway, W. Palen
100 ,000.00
Stetson, Eugene W.
FARCOURT, BRACE AND COMPANY, INC.
12/31/10
7,500.00
Brace, Donald C.
5,000.00
Scott, S. Spencer
TEE WILLIAM HENGERER COMPANY
l/31/44 30.000.
Hecht, Harold M.
HICKOK MANUFACTURING COMPANY, INC.
4/30/4427.000.
Hickok, S. Rae
HDROK ATTRACTIONS, INC.
12/31/10
Anderson, M.
INGERSOLL-RAND COMPANY
12/31/43
7 8 .0 0 0 .
Doubleday, George
INTERNATIONAL BUSINESS MACHINES CORPORATION
12/31/20
100. 000. 00
Niehol, ^derick.JC.^
100,
000.00
J
^
jÉfe'-MANYILLE CORPORATION
12/31/2+3
9 6 .0 0 0 .
Brown, Lewis H.
JOHNSON & HIGGINS
Davey, W. N.
_Hall, W. E.
?Smt, E. F.
La Boyteaux, W. H.
Lowe, H. W.
Keegan, J. S.
Otis, Courtlandt
JORDAN MARSH COMPANY
Litton, Edward R.
JULIUS KAYSER & CO.
Mueller, T. H.
KENNECOTT COPPER CORPORATION
Stannard, E. T.
WALTER KIDDE & COMPANY, INC.
Morris, R. V.
KING FEATURES SYNDICATE, INC.
McManus, George
Ripley, Robert L.
Young, Murat
LACKAWANNA STEEL CONSTRUCTION CORPORATION
Phillippi, William H.
THE LANDER CO., INC.
Oestreich, Charles H.
LENIÙJN & MITCHELL, INC.
Leimen, Philip W.
FREDERICK LOESER & CO., INC.
Pridday, Joseph E.
LONGINES-WITTNAUER WATCH CO., INC.
Cartoun, M. F.
^__Guildeu, Morris
nèinmuller, J. p. V #
Perlman, Samuel
LORD & TAYLOR
Hoving, Walter
CARL MARKS à CO., INC.
Marks, Carl
Zack, Abe
McCALL CORPORATION
Warner, William B.
JANIES McCREERY & COMPANY
Davidson, J. Edward
METROPOLITAN LIRE INSURANCE COMPANY
Lincoln, Leroy A.
3 4 ,3 8 3 .3 3
58 ,181.81
82,383.33
118,181.81
40 .00
100.061.00
2 0 .0 0
6 0 .0 0
10 0 .0 4 1.0 0
100.081.00
100.025.00
6,493.13
7,560.60
8 6 .7 1 9 .3 1
8 6 .7 1 9 .3 1
525.00
350.00
00
00
93.000.
1 0 6 .4 9 3 .1 3
1 0 7 ,5 6 0 .6 0
9 4 .7 4 4 .3 1
9 2 .0 6 9 .3 1
70,000.00
100,000.00
00
120,000.00
9 5 ,5 5 1 .8 8
9 5 .5 5 1 .8 8
7 8 .0 0 0 .
00
10 . 0 0 0 .
5 .3 3 1 .0 0
00
3 2 5 ,5 4 8 ,9 4
00
00
115.554.00
fê5 ,548.9ïï)
2 .4 0 0 .0 0
9 8 .4 0 0 .0 0
260.00
240.0 0
240.0 0
260.00
240 .0 0
240.00
260.00
240.0 0
1 3 4 .9 4 8 .3 0
1 1 9 .9 6 2 .9 3
1 1 9 .9 6 2 .9 3
2 0 9 .7 7 5 .1 3
1 3 4 .9 2 8 .3 0
13 4 .9 2 8 .3 0
12/31/2+3
1 / 3 1 /hh
1 3 4 .6 8 8 .3 0
1 1 9 .7 2 2 .9 3
1 1 9 .7 2 2 .9 3
2 0 9 ,5 1 5 .1 3
1 3 4 .6 8 8 .3 0
13Ì+, 6 8 8 .30
7]+, 8 2 6 .8 3
1 0 4 ,7 5 7 .5 7
4 9 .0 0 0 .
00
55,881.88
1 0 4 .8 8 1 .8 8
6 6 ,1 9 7 .0 0
103.697.00
6/30/kk
3 7 ,5 0 0 .0 0
12/31A3
1 2 5 .0 0 0 .
75,086.83
lo i+ ,9 9 7 .5 7
00
1 ,0 0 0 .0 0
1 2 6 .0 0 0 .
4 ,944*79
18 7 ,2 7 6 .9 4 .
1 0 0 ,9 9 5 .2 5
9 4 ,2 8 9 .1 6
1Í+6,4 2 1 .3 2
10 0 .9 9 5 .2 5
00
12/31A3
6 5 ,0 0 0 .0 0
1 1 7 ,3 3 2 .1 5
12/31A3
12/31A3
9 8 .0 0 0 .
94,289.16
Á 6 , 4 2 1 .3 2
9 8 .0 0 0 . 00
00
12/31A3
1 3 .0 0 0 . 00
6 7 ,4 9 1 .4 3
80,491.43
7 9 ,9 9 9 .9 2
3 ,3 3 3 .3 3
8 3 .3 3 3 .2 5
00
3 2 ,0 0 8 .5 1
8 2 ,0 0 8 .5 1
1 0 .0 0 0 .
1 5 .0 0 0 .
00
00
10 . 0 0 0 .
10,000.00
00
2 5 .0 0 0 .
9 5 ,8 8 3 .9 4
7 0 ,8 8 4 .0 3
00
00
5 8 ,4 9 8 .9 1
5 3 ,1 6 3 .0 2
00
7 0 .0 0 0 .
00
12/31A3
1 / 3 1 /kb
5 0 .0 0 0 .
3/31A4
3 3 .0 0 0 .
21. 000.
1 0 5 .8 8 3 .9 4
118,884.03
89 ,498.91
8 8 ,1 6 3 .0 2
l/31/Uî5 7 ,0 1 5 .5 6
I2 / 3 1 A 3
1 7 5 .0 0 0 .
1 2 ,0 4 0 .0 0
175.000.
00
7 5 .0 0 0 .
00
60.000.
00
I2 / 3 1 A 3
1 2 5 .0 0 0 .
00
i t f , 0 3 1 .3 9
00
8 4 , 0 4 0 .0 0
172,000.00
I2 /3 1 A 3
I/3 I/4 4
127,015.56
600.00
1 2 2 ,6 3 1 .3 9
39,412.75
9 9 ,4 1 2 .7 5
125.000.
8
00
hame of c o r p o r a t i o n a n d o f f i c e r s
or e m p l o y e e s
CALENDAR
OR FISCAL
YEAR ENDED
SALARY
COMMISSION
BONUS
OTHER
COMFENSAT ION
TOTAL
NEW YORK
MoCALLUM-HATCH BRONZE CO., INC.
McCallum, John C.
PHILIP MORRIS & CO., LTD. ;INC. ; _
Chalkley, 0. H.
Lyon« A. E.
NATIONAL BISCUIT COMPANY
Tomlinson, R. E.
NATIONAL DAIRY PRODUCTS CORPORATION
Mclnnerney, T. H.
Van Bomel, L. A.
NATIONAL DISTILLERS PRODUCTS CORPORATION
Balfe, Thomas W.
I Mac Namara, M. J.
Porter, Seton
NATIONAL GYPSUM COMPANY
Baker, Melvin H.
NBf YORK LIFE INSURANCE COMPANY
Harrison, George L.
THE NEW YORK TRUST COMPANY
Bierwirth, John E •
NORDA ESSENTIAL OIL AND CHEMICAL CO., INC.
Kohl, Hermann J.
Rowse, William H.
* Includes
$21 ,5li2 .4 4
allocated as Traveling
OLEAN GLASS COMPANY, INC.
Pollock, Franklin B.
pPTICAL RESEARCH, INC.
Feinbloom, William
¡PARAMOUNT PICTURES INC.
Balaban, Barney
Bracken, Edward V.
Brackett, Charles
Butler, Frank
Colbert, Claudette
Cooper, Gary
Crosby, Harry L.
Deleon, Vialter
Desylva, George G.
Englund, Ken
Freeman, Y. F.
Gibney, Sheridan
Ginsberg, Henry
Goddard, Paulette
„Hope, Bob
Jennings, Talbot
Keough, Austin C.
Lamour, Dorothy
Lanfield, Sidney
Leisen, Mitchell
Lewis, David
MacMurray, Fred
Marshall, George
Milland, Raymond
Miller, Seton I.
Robinson, Edward G. Rogers, Ginger
Sandrich, Mark
Scott, Allan
Stanwyck, Barbara
Sturges, Preston
Tugend, Harry
Wilder, Billy
Young, Loretta
Zukor, Adolph
PHELPS DODGE CORPORATION
Cates, Louis S.
RADIO CORPORATION OF AMERICA
Sarnoff, David
12/ 51A 3
84,195.39
84,195.39
3/31/44
25,000.00
25,000.00
79.950.00
79.950.00
12/31/43
104.950.00
104.950.00
91,200.00
91,200.00
12/31/43
i440.00
540.00
87,000.00
109,583.33
12/31/43
% 50,000.00
50,000.00
100,000.00
37,500.00
12/31/43
85,000.00
85,000.00
85,000.00
85,000.00
75 ,000.00
12/31A 3
87,500.00
87,500.00
197,000.00
37,500.00
97,000.00
12/31/43
12/31A 3
87,440.00
110,123.33
4,900.00
15 ,000.00
*76,229.45
59,010.00
79,900.00
91,229.45
18,225.00
77,235.00
ses.
12/31A 3
25,000.00
50,740.17
12/31/43
20,000.00
12/31A3
75 ,740.17
62,686.45
100 ,000.00
88,208.324.
95.400.00
85.100.00
150.000.
00
187.500.00
294,4W*.42
75 .400.00
246.833.33
82.750.00
130.500.00
80.500.00
127.316.67
166.500.00
6,100.00
88,786.45
41,451.18
141,451.18
88,208.34
95.400.00
85.100.00
150.000.
00
187.500.00
2 9 4 ,4144.242
75 .400.00
246.833.33
82.750.00
130.500.00
80.500.00
127.316.67
166.500.00
2144.583.33
79.916.67
244,583.31.
79.916.67
78.000. 00
134.083.33
111 .785.65
193,270.74
76.000. 00
7 8 . 0 0 0 . 00
134.083.33
111 ,785.65
193,270.74
76 ,000.00
2419,166.66
144.666.67
169.000.
00
120.500.00
419.166.66
144.666.67
169.000.
00
120.500.00
100.000.
00
122.500.00
156.000.
00
84.250.00
100.000.
00
100. 0 0 0 .
00
122.500.00
156.000.
84,250.00
00
188.708.33
116 ,250.00
92.916.67
90.666.67
104.000.
100 . 0 0 0 .
00
00
188.708.33
116 .250.00
92.916.67
90.666.67
109,000.00
150.000.
00
100. 000.
00
12/ 31 / 1$
5 ,000.00
150,000.00
12/31Ä3
720.00
100,720.00
9
OF CORPORATION AND OFFICERS OR EMPLOYEES
CALENDAR
OR FISCAL
YEAR ENDED
SALARY
COMMISSION
BONUS
OTHER
COMPEN
SATI ON
TOTAL
NEW YORK
T0S READER'S^ DIGEST ASS*N. INC.
Cole, A. L.
payne, Kenneth W.
Jallace, De Witt
REMINGTON RAND INC.
Knapp, S. M.
Rand, J. H., Jr#
RUSSELL AND STOLL CO., INC.
Stoll, Albert F.
RYAN INC.
F. B.
S-MUEWS CO., INC.
Smith, Wilbert L.
SALMANSON & CO., INC.
Friedman, Joseph
SAVAGE ARMS CORPORATION
Hickey, Frederick F.
THE F. & M. SCHAEFER BREWING CO.
Schaefer, F. M. E.
Schaefer, R. J.
I. SCENEIERSON & SONS, INC.
Schneierson, A. J.
Schneierson, D. S.
Schneierson, S. S.
Shuwall, E. D.
SHELL O IL COMPANY, INCORPORATED
Belither, S.
Fraser, Alexander
SIMPLICITY PATTERN CO., INC.
Shapiro, Joseph M.
STANDARD OIL COMPANY (NEW JERSEY)
Gallagher, R. W.
Harden, Orville
^Holman, E.
v
S3RN BROTHERS AND WHOLLY OWNED SUBSIDIARIES
Riordan, William 0.
TECHNICAL METAL FINISHING CORPORATION
Munzer, Alfred E.
Munzer, William
Munzer, William A.
THE TITCEE-GOETTINGER COMPANY
Brown, William J.
TUBIZE RAYON CORPORATION
Bassill, J, E.
TWENTIETH CENTURY-FOX FILM CORPORATION
Ameche, Don F.
Bankhead, Tallullah
Connors, Thomas J.
Faye, Alice
Foster, Preston S.
Foy, Bryan
Goetz, William
Goulding, Edmund
Grable, Betty
Hathaway, Henry L.
Henie, Sonia
Johnson, Nunnally H.
Kane, Robert T.
King, Henry
Lang, Walter R.
Le Baron, William
LubitscH, Ernst
Mayo, Archie Louis
McCrea, Joel A.
' MacGowan, Kenneth
Michel, ¥. C.
Miranda, Carmen
Mitchell, Thomas
Newman, Alfred
Oakie, Jack
Perlberg, William
Power, Tyrone
Preminger, Otto L.
12/31A3
5/31M
84,500.00
8 4 ,5 0 0 .0 0
¿4.8,000.00
9 9 .5 0 0 .0 0
36,1+62.82
5 2 ,0 0 0 .0 0
99.500.00
3 .300.00
3 .300.00
8 5 .5 0 0 .0 0
2 2 2 ,214.
3 .1 3
12/31A3
84,1+62.82
99 ,900.98
¿4.
7 ,9 0 0 .9 8
12/31A3
100 ,000.00
12/31/1+3
1 7 ,¿4.
1 6 .6 5
12/31A 3
li+0.00
98 ,259.28
92A 6I.56
92,461.58
26 ,300.00
86 ,037.16
240.00
220.00
84,240.00
108,220.00
80 ,7 0 2 .6 3
12/31A3
12/31A3
35 ,737.16
21}.,000.00
81].,000.00
108,000.00
37.500.00
75.385.58
112,885.58
3 7 . 50 0 .0 0
514, 000.00
15,076.27
75.385.58
96 ,394.68
60.000.
00
112,885.58
150,394.68
75 ,076.27
60 ,000.00
70,000.00
30.000.
30.000.
00
00
90,000.00
100,000.00
64 ,510.16
124,510.16
12 /3 1 /I+3
12/ÿlA3
60,000.00
1 2 A iA 3
98 .333.00
90,000.00
98.333.00
90,000.00
80.833.00
1/31Ah
88 ,8 0 0 .0 0
225,514.3.13
.
80 833.00
25.000.
50,000.00
12/31A3
00 I4O.OO
75 ,140.00
36.11.00.
36.11.00.
00
00
52.175.00
52.175.00
52.175.00
88,575.00
88,575.00
18.000.
00
60.004.58
78 ,004.58
75 .000.
00
7 ,500.00
82,500.00
3 6 , 14.0 0 .0 0
1/3
12 /^ 1 /I+3
88,575-00
12 /3 1 /2+3
214.
7 ,6 6 6 .6 7
76 .666.67
104,000.00
163,333.33
82,691.66
1 6 9 . 000 .
9 ,0 0 0 .0 0
1 6 3 .3 3 3 .3 3
8 2 ,6 9 1 . 6 6
1 6 9 .00 0 .
1 8 3 .1 6 6 .6 7
1 1 6 .6 0 0 .0 0
1 2 4 .0 0 0 .
1 3 0 .0 0 0 .
ll{8 ,6 ll .0 5
1 2 0 .1 6 6 .6 7
1 0 4 .0 0 0 .
00
183.166.67
116 ,600.00
124,000.00
130.000.
00
11+8,611.05
120.166.67
loi).,000.00
208.000.
114.
9 ,14.11.76
00
00
118,750.0 0 /
78.000.
00
67.250.00
138.514.1.67
128.14.16.67
78,057.10
78,851+.17
138.250.00
1^8 , 283.83
91 .000.
00
00
00
00
00
00
208 .333.33
110,333.31
2 0 8 ,3 3 3 * 3 3
110 ,333.31
156.000.
2 4 7 .6 6 6 .6 7
7 6 .6 6 6 .6 7
1 1 3 .0 0 0 .
1 5 6 .0 0 0 .
00
208.000.
00
149,411.76
118, 750 . 00^
6 ,1 0 0 .0 0
78 ,000.00
75,350.90
138.541.67
1 2 8 .4 1 6 .6 7
7 8 ,0 5 7 .1 0
7 8 ,8 5 4 .1 7
.
138 250.00
l48,283.83
9 1 ,0 0 0 .0 0
10
UAME OF CORPORATION AND OFFICERS OR EMPLOYEE!
CALENDAR
OR FISCAL
YEAR ENDED
SALARY
COMISSION
BONUS
OTHER
COMPEN
SATION
TOTAL
NEW YORK
TWENTIETH CENTURY-FOX FILM CORPORATION
Robinson, Edward G.
Ryskind, Morrie
Sanders, George H.
Schenck, Joseph M.
Skouras, Spyros P*
Stahl, John M.
Swerling, Joseph
Trotti, Lamar
Wellman, William A.
Wurtzel, Sol M.
Zanuck, Darryl F.
UNDERWOOD ELLIOTT FISHER COMPANY (DEL.)
Wagoner, P. D.
--- ~
UNION PACIFIC RAILROAD COMPANY AND^FFILLJATED
! RAILROAD COMPANIES
^
Jeffers, W. M.
r T"T. VANDERBILT COMPANY, INC.
Somerville, A. A.
Vanderbilt, R. T.
M CHANG TRADING CORPORATION
Li, K. C.
¡WALL ROPE WORKS, INC.
Wall, Harold M.
WALWORTH COMPANY
Holton, W. B., Jr.
WARNER BROS. CIRCUIT MANAGEMENT CORPORATION
Hoffmann, I, J.
WARNER BROS. PICTURES INC.
Benny, Jack
Berkeley, Busby
Bernhard, Joseph
Blanke, Henry
Bogart, Humphrey
Butler, David
Chertock, Jack
Crawford, Joan
Curtiz, Michael
Daves, Delmar
Davis, Bette
Flynn, Errol
Forbstein, Leo
Garfield, Jules
Goulding,' Edmund
: Greenstreet, Sydney
Hawks, Howard
Hellinger, Mark
I Henreid, Paul
Hillman, Sam ,_.
"&sky, Jesse L., Sr.
Rains, Claude
Russell, Rosalind
Sheridan, Anna
Stanwyck, Barbata
Steiner, Max
Wallis, Hal B.
Walsh, Raoul
Warner, Albert
Warner, H. M.
Warner, j. l .
R* °. WILLIAMS & CO., INC.
Bechamps, Raymond
McMahon, Joseph F.
Ravaud, Jean
F. W. WOOLWORTH CO.
Chamberlain, C. S,
Crowther, H. S.
Cornwell, a . l !
Dfyo, C. Vi.
Nicholson, j, j,
O’Neil, H. E.
y o u n g a n d RUBICAM, INC.
Rübicam, Raymond
12 / 3 1 A 3
110.416.67
95*666.67
93,583.34
1 1 0 .4 1 6 .6 7
9 5 .6 6 6 .6 7
124,467.92
249,999.88
179.916.67
6 ,2 0 0 .0 0
1 0 2 ,5 0 0 .0 0
9 3 ,5 8 3 .3 4
1 2 4 ,4 6 7 .9 2
2 5 6 ,1 9 9 .8 8
1 7 9 .9 1 6 . 6 7
1 0 2 .5 0 0 .0 0
10 4 ,0 0 0 .0 0
110^576.97!
1 1 4 .6 6 6 .6 7
1 2 7 ,5 0 0 .0 0
1 1 0 ,5 7 6 .9 7
1 1 4 .6 6 6 .6 7
1 2 7 .50 0 .0 0
1 3 9 ,1 2 0 .0 0
1 3 9 .1 2 0 .0 0
12/31/43
12/31A 3
7 5 .0 0 0 .
00
4 1 5 .0 0
7 5 ,4 1 5 .0 0
12 A i A 3
1 7 5 .0 0 0 .
1 9 4 ,1 2 6 .0 0
00
194.126.00
5 5 ,00 0 .0 0
2 3 0 .0 0 0 .0 0
12/31A3
4 ,5 0 0 .0 0
.1 2 0 ,5 0 0 .0 0
4 0 .0 0
1 2 5 ,0 4 0 .0 0
12/31A3
3 0 .0 0 0 .
00
7 5 .0 0 0 .
00
5 3 .0 0 0 .
00
5 8 ,9 6 8 .7 5
8 8 ,9 6 8 .7 5
12/31A3
45,000.00
120,000.00
8/ 3 1 A 4
27,208.82
80,208.82
8/ 3 1 A 4
1 3 7 .5 0 0 .0 0
8 1 .2 5 0 .0 0
1 3 2 .5 0 0 .0 0
1 3 2 .5 0 0 .0 0
1 0 7 .2 5 0 .0 0
8 1 .8 7 5 .0 0
7 9 .5 0 0 .0 0
1 3 2 .5 0 0 .0 0
1 5 2 ,5 0 0 .0 0
1 0 7 ,2 5 0 .0 0
144,556.78
193,377.92
144,556.78
8 1 ,2 1 6 .6 7
2 4 1 .0 8 3 .3 4
1 4 2 .0 0 0 .
241.083.34
137.500.00
81,250.00
81 ,875.00
79.500.00
193,377.92
81,216.67
00
1 4 2 ,0 0 0 .0 0
81,958.33
81,958.33
8 4 .2 5 0 .0 1
7 5 .0 0 0 . 10
J4,25Q^Q„3^
C
102,666.66
200,000.00
1 0 5 .0 0 0 .00
1 4 0 ,6 2 4 .9 0
7 9 .5 0 0 .0 0
8 5 .10 0 .0 0
9 2 .0 0 0 . 00
2 0 2 .5 0 0 .0 0
9 1 .6 2 5 .0 0
2 2 3 .3 3 3 .3 4
8 7 .4 5 0 .0 0
,
. ^
75 000 1 0
102,666.66
200 ,0 0 0 .0 0
1 0 5 .0 0 0 .00
1 4 0 ,6 2 4 .9 0
7 9 .5 0 0 .0 0
8 5 .1 0 0 .0 0
9 2 .0 0 0 . 00
2 0 2 .5 0 0 .0 0
9 1 .6 2 5 .0 0
2 2 3 .3 3 3 .3 4
8 7 .4 5 0 .0 0
1 2 4 ,8 3 3 .3 3
1 5 8 .5 0 0 .0 0
9 2 .7 5 0 .0 0
1 8 5 .5 0 0 .0 0
1 8 5 .5 0 0 .0 0
124,833«33
1 5 8 .5 0 0 .0 0
9 2 .7 5 0 .0 0
1 8 5 .5 0 0 .0 0
1 8 5 .5 0 0 .0 0
4 / 30 A 4
7 8 ,1 8 5 .8 0
9 0 ,7 5 0 .3 4
18,000.00
7 8 ,1 8 5 .8 0
9 0 ,7 5 0 *5 4 ,
7 7 ,0 6 3 .6 0 ^ 9 5 /0 6 3 .6 o~"
1 2 A 1A 3
7 5 ,1 5 6 . 7 6
7 5 ,1 5 6 . 7 6
80,484.29
80,484.29
9 4 ,2 0 9 .0 1
2 5 0 ,9 7 4 .5 0
7 6 ,9 8 6 .9 8
8 7 ,6 7 5 . 8 7
9 4 ,2 0 9 .0 1
2 5 0 ,9 7 4 .5 0
7 6 ,9 8 6 .9 8
8 7 ,6 7 5 .8 7
12/31/43
9 2 ,5 0 0 .1 6
11
______
U m OF CORPORATION AND OFFICERS
EMPLOYEES
CALENDAR
OR FISCAL
YEAR ENDED
SALARY
COMMISSION
OTHER
COMPEN
SATION
BONUS
TOTAL
NORTH CAROLINA
NORTE CAROLINA EQIJIPMENT COMPANY
Finley, A, E.
r . J. REYNOLDS TOBACCO COMPANY
Williams, S. Clay
1 2 /3 1 A 3
12/31A3
6,000.00
75 , 008.07
69,008.07
100,000.00
100,000.00
OHIO
THE AMERICAN ROLLING MILL COMPANY
Hook, Charles R.
Verity, Calvin
THE CROSLEY CORPORATION
Cosgrove, R. C.
THE DENISON ENGINEERING COMPANY
Denison, W. C., Jr.
EATON MANUFACTURING COMPANY
Eaton, J. 0.
THE ELECTRIC AUTO-LITE COMPANY
Martin, Royce G.
THE FOREST CITY PUBLISHING COMPANY
Bellamy, Paul
McCarrens, John S.
THE FOSDICK MACHINE TOOL COMPANY
Linden, C. E.
GENERAL MACHINERY CORPORATION
! Rentschler, G. A.
[ïïf B. F. GOODRICH COMPANY
Collyer, John L.
Graham, T. G.
j Newman, J. J.
Vaught, G. W.
TEE GRUEN WATCH COMPANY
Katz, Benjamin S.
ROBERT HELLER & ASSOCIATES, INCORPORATED
Heller, Robert
HICKMAN, WILLIAMS & COMPANY
Caulkins, H. L.
INDUSTRIAL RAYON CORPORATION
Rivitz, Hiram S.
12/31A3
12/31A3
12 / 3 1 A 3
12/31A3
12/31A3
12/31A3
12/31A3
12/31A3
12/31A3
3/31A k
12/31A3
3/3 1 M
12 / 3 1 A 3
80,291.00
58,881.814.
3 0 ,0 1 7 .4 5
2 2 ,4 +9 . 5 7
110,508.1+5
81 , 531.41
50,000.00
1+0 ,0 0 0 .0 0
90,000.00
100,000.00
100,000.00
100 , 000.00
40,000.00
60,000.00
107,500.00
250.00
15,600.00
55,000.00
9 7 , 576.35
152,581.92
5,200.00
107Î750.00 )
112,976.35
167,381.92
85,078.60
79,878.60
9 0 ,0 0 0 .0 0
10,000.00
100.00
100,100.00
100,000.00
45,000.00
l a , 000.00
lj.0,000.00
1+5,000.00
50,000.00
50,000.00
50,000.00
8 , 573.27
5,009.45
4 , 866.79
5,466.56
153.373.27
78,009.45
75,866.79
75,466.36
56,000.00
1+7 , 145.50
83, A5-50
75,000.00
1,150.67
76,150.67
15,200.00
62,292.56
75,492.36
75,000.00
55,895.84
(A)
108 , 893.84
Note A - This amount does not include an amount of f26,106.16 paid by Industrial Rayon Corporation during 1943 into
Industrial Rayon Corporation Employees* Pension Fund Trust for the benefit of this officer. This amount
was not available to this officer during the year 19 i
THE ANDREW JERGENS COMPANY
Beucus, R. V.
Jergens, Andrew
Nelson, Joseph D.
the KROGER GROCERY & BAKING CO.
Bracy, Harry W.
( THE F. AMD R. LAZARUS AND COMPANY
Lazarus, Simon
§ THE LeBLGND ENGINEERING CO.
LeBlond, Harold R.
the r . K. LeBLOND MACHINE TOOL CO.
Brockman, B. N.
Groene, Wm. F.
LeElond, R. E.
LeBlond, R. R.
Schultz, E. G.
THE^ LINCOLN ELECTRIC COMPANY
Lincoln, James F.
THE MIDLAND STEEL PRODUCTS COMPANY
^ Kulas, E. J.
Ov'ffiNS-ILLINOIS GLASS COMPANY
Levis, j. p,
Levis, W. E.
THE WILLIAM POWELL COMPANY
Coombe, H. E.
THE PROCTER & GAMBLE COMPANY AND AFFILIATED GROUP
Barnes, F. m .
Brodie, R. r .
Deupree, R. r .
Knowles, H. C.
nAoA4
12/31A3
1/31A 4
12/31A 3
12^ 1/43
12 A 1A 3
12/31A3
12/31A3
15,000.00
5.000.
5.000.
00
00
25,000.00
69,185.34
250.000.
250.000.
00
00
165, 245.70
140,245.70
100, 000.00
100,000.00
108 , 343.00
100, 468.00
7,875.00
6,965.90
6 , 534.10
11,761.35
10,436.35
6,534.10
84 ,185.34
255,000.00
255,000.00
31,369.82
8,427.67
12,571.55
12,903.50
791.35
19,618.40
34 , 990.74
98 , 463.26
98 , 280.86
202 , 373.87
91 , 594.47
81 , 754.13
117 , 580.91
122 , 945.71
213 , 601.57
117 , 746.97
81 , 186.00
81 , 186.00
99 , 428.92
99 , 428.92
90,000.03
100 , 000.02
90,000.03
100 , 000.02
12/31A3
6/30A4
88 , l 4 l .66
75,000.00
75,000.00
100 , 000.00
60,000.00
19,000.00
19,000.00
88, 620.00
20 , 000.00
94,000.00
94,000.00
188, 620.00
80 , 000.00
12
L
of
CORPORATION ifflD OFFICERS OR EMPLOYEES
CALENDAR
OR FISCAL
YEAR ENDED
OTHER
SALARY
COMISSION
BONUS
COMPEN
SATION
TOTAL
OHIO
TÎ3E RIDGE TOOL COMPANY
Ingwer, C. H.
yUg STANDARD OIL CO. (OHIO)
Holliâay* W. I.
U TO. TAYLOR SOI & COMPANY
i Scholl, D. H.
THOMPSON PRODUCTS, INCORPORATED
Crawford, F. C.
THE TIMKEN ROLLER BEARING COMPANY
Umstattd, Wm. E.
THE WELDON TOOL COMPANY
Bergstrom, C. A.
THE WARNER & SWASEY COMPANY
McDonald, L. D.
Stilwell, C. J*
12 / 3 1 /1.3
108,2ij0.00
1 0 8 ,2 4 0 .0 0
1 2 0 ,0 0 0 .0 0
1 2 0 ,0 0 0 .0 0
1 2 /3 1 A 3
1 / 31/244
108,573.26
76,073.26
3 2 ,5 0 0 .0 0
12/$lA3
9 0 ,9 9 9 .9 6
6 OO.OO
9 1 ,5 9 9 .9 6
1 0 9 ,2 0 0 .0 0
3 2 ,6 0 0 .0 0
1 4 1 ,80 0.00
12 / 3 1 A 3
12 / 3 1 A 3
2 5 ,0 9 0 .0 0
7 1 ,6 2 0 .0 0
9 6 ,7 1 0 .0 0
5 0 ,0 0 0 .0 0
6 0 ,0 0 0 .0 0
8 5 ,0 0 0 .0 0
1 0 5 ,0 0 0 .0 0
12 A 1A 3
3 5 .0 0 0 .
4 5 .0 0 0 .
00
00
OKLAHOMA
CONTINENTAL OIL COMPANY
Moran, Dan
12 / 3 1 A 3
2 0 0 .0 0
1 0 0 ,0 0 0 .0 0
10 0 ,2 0 0 .0 0
PENNSYLVANIA
12 / 3 1 A 3
1 0 ,0 0 0 .0 0
105,709.18
109,763.40
1 0 5 ,7 0 9 .1 8
9 9 ,7 6 3 .4 0
12 / 3 1 A 3
7 6 ,3 5 0 .0 0
7 6 ,4 0 0 .0 0
6 0 ,0 0 0 .0 0
6 0 ,0 0 0 .0 0
1 5 ,8 0 0 .0 0
1 5 ,80 0 .0 0
9 0 ,0 0 0 .0 0
59,760.00
1 4 9 ,7 6 0 .0 0
59.760.00
I{.7,7l42.00
71.645.00
l47,7 Ì42.0 0
147.7142.00
5 9 .7 6 0 .0 0
147.714.2.00
147.714.2.00
59.760.00
59.760.00
1 4 9 ,7 6 0 .0 0
6 0 0 .0 0
12 /3 1A 3
12 /3 1 A 3
9 0 .0 0 0 .
5 0 .0 0 0 . 00
1 5 0 ,0 0 0 .0 0
H.5 ,0 0 0 .0 0
5 0 .0 0 0 .
4 0 .0 0 0 .
5 0 .0 0 0 .
5 0 .0 0 0 .
6 0 .0 0 0 .
6 0 .0 0 0 .
00
00
00
00
00
00
00
12 / 3 1 A 3
97.742.00
2 2 1 ,6 4 5 .0 0
9 2 .7 4 2 .0 0
9 7 .7 4 2 .0 0
9 9 .7 6 0 .0 0
9 7 .7 4 2 .0 0
9 7 .7 4 2 .0 0
1 1 9 .7 6 0 .0 0
1 1 9 .7 6 0 .0 0
A ^
2 7 ,5 2 0 .0 0
1 2 4 ,4 6 0 .^ 0
9 6 ,9 ^ 0¿60
12 A i A 3
1 7 ,5 5 0 ,0 0
2 3 ,14.
0 0 .0 0
\ 1 3 8 ,3 2 6 .5 6
1 4 4 ,1 7 6 .5 6
120.776.56
1 2 0 .7 7 6 .5 6
12 / 3 1 A 3
6 2 ,5 0 0 .0 0
7 5 ,0 0 0 .0 0
1 3 7 ,5 0 0 .0 0
44,648.64
142,2 3 5 .2 0
5 6 ,7 6 0 .9 0
5 3 ,6 9 2 .7 4
1 0 1 ,4 0 9 .5 4
9 5 ,9 2 7 .9 4
1 /3 1 A 4
1 2 /3 1 A 3
1 2 0 ,0 0 0 .0 0
1 2 0 ,0 0 0 .0 0
1 2 0 ,0 0 0 .0 0
1 2 0 ,0 0 0 .0 0
1 5 6 ,0 0 0 .0 0
1 5 6 ,0 0 0 .0 0
24,999,96
2 4 ,9 9 9 .9 6
12 / 3 I/I4.3
12/31/43
3 5 .0 0 0 .
3 5 .0 0 0 .
2 0 ,00 0.00
1 5 ,0 0 0 .0 0
2 0 ,0 0 0 .0 0
80,000.00
69,379.00
80,000.00
6 ,0 0 0 .0 0
82,428.50
5 5 ,0 0 0 .0 0
3 2 ,1 0 0 .0 0
8 7 ,1 0 0 .0 0
66,666.66
1 0 ,0 0 0 .0 0
7 6 ,6 6 6 .6 6
0 0
0 0
» *
0 0
0 0
0 0
•* •*
CM
-T
THE ANCHOR PACKING COMPANY
[ Clarke, W. J.
Kohl, Frank
THE BALDWIN LOCOMOTIVE WORKS
Brinley, Charles E.
Kelly, Ralph
BETHLEHEM STEEL COMPANY (DELAWARE)
I Mackall, Paul
gpLEHELl STEEL COMPANY (PENNSYLVANIA)
!Bent, Quincy
Berkeley, Norborne
Grace, E. G.
Gross, J. M.
Holton, C. R.
Homer, A. B.
Jacobs, M. L.
Larkin, J. M.
I McMath, R. E.
; Shick, F. A.
C0PPER1ELD STEEL COMPANY
Bramer, S. E.
FIRTH-STERLING STEEL COMPANY
Clark, Donald G.
Firth, S. Gerald
GREAT LAKES STEEL CORPORATION
Fink, G. R.
JOSEPH HORNE CO.
Burchfield, W. H.
Friesell, Wm. H., Sr.
LEWIS PRODUCTION COMPANY
McCu»e, C. L.
Parker, George
jfcCLOSKBY & CO,
ifeCloskey, M. H., Jr.
Reimbursable under cost plus Fixed Fee
Contracts,
THE MIDVALE COMPANY
Bradley, Francis
Frevert, K L.
G* c* murphy Co m p a r y
*&ck, E. M.
Sample, p. l .
Shaw, W. C.
12 / 3 1 /L3
PENNSYLVANIA INDUSTRIALENGINEERS, INC.
Olson, Oscar R.
12/31 A3
POTSBURGH PLATE GLASS CO. (PENNA.)
Wherrett, H. S.
\
12/^lA3
00 5 0 0 .0 0
00 4 5 0 .0 0
7 7 .5 0 0 .0 0
80 .4 .
5 0 .0 0
1 0 0 ,0 0 0 .0 0
84,379.00
10 0 ,0 0 0 .0 0
1 5 0 .3 3
88 ,5 7 8 .8 3
13.
jjg OF CORPORATION AND OFFICERS OR EMPLOYEES
name
CALENDAR
OR FISCAL
YEAR ENDED
COMMISSION
SALARY
BONUS
OTHER
COMPEN
SATION
TOTAL
PENNSYLVANIA
JACOB SIEGEL COMPANY, INC«
Siegel, Jacob
SMITH, KLINE & FRENCH LABORATORIES
Boyer, Franc is
Kline, C. Mahlon
TOWERS* PERRIN* FORSTER & CROSBY* INC«
Forster, E« Walter
TOWNSEND COMPANY
Weidner, H« C«
ffilRTON STEEL COMPANY
Millsop, T. E.
WBSTINGHÖOSE ELECTRIC & MANUFACTURING COMPANY
Bucher, Geo. H.
Robertson, A. W.
1 / 31 / k k
9 0 ,0 0 0 .0 0
9 0 ,0 0 0 .0 0
12/$lA3
2 7 ,5 0 0 .0 0
3 0 ,0 0 0 .0 0
6 6 .5 5 0 .0 0
7 2 .6 0 0 .0 0
9 4 .0 5 0 .0 0
1 0 2 .6 0 0 .0 0
4 5 ,1 2 0 .0 0
3 3 ,8 4 0 .0 0
7 8 ,9 6 0 .0 0
3 0 ,0 0 0 .0 0
4 8 ,7 3 5 .7 0
78,735.70
3 3 ,6 6 6 .7 2
5 0 ,0 0 0 .0 0
8 3 ,6 6 6 .7 2
12/31A3
6/ 30 /Î44.
12/31A3
12/31A3
9 5 .0 0 0 .
1 5 0 .0 0 0 .
04
00
4 5 .000 .
4 7 .000 .
1 .8 5 0 .0 0
00
1 .7 0 0 .0 0
00
1 4 1 ,8 5 0 .0 4
1 9 8 ,7 0 0 .0 0
TEXAS
12/31A3
TEE TEXAS COMPANY
Klein, Harry T.
Rodgers, W* S. S.
100,000.00
10 0 .0 0 0 .
1 2 5 .0 0 0 .
1 2 5 ,0 0 0 .0 0
VERMONT
12/31A 3
CHICAGO STOCK YARDS COMPANY
Prince, Frederick Henry
,
10 0 ,0 0 0 .0 0
1 0 0 0 0 0 .0 0
VIRGINIA
NEWPORT NEWS SHIPBUILDING AND DRY DOCK COMPANY
b Ferguson, H. L.
12/31A3
RICHMOND ENGINEERING COMPANY, INC.
Starke* Thos« J.
7 5 ,4 0 8 .2 0
i;0,000.00
a
1 1 5 ,4 0 8 .2 0
12 /3 i A 3
8 3 3 .3 3
1 2 0 ,3 9 0 .71+
1 2 1 ,2 2 4 .0 7
WEST VIRGINIA
HAZEL-ATLAS GLASS COMPANY
Brady, A. F.
1 2 A iA 3
7 6 ,6 8 5 .5 6
7 6 ,6 8 5 .5 6
WISCONSIN
[THE FALK CORPORATION
Falk* Harold S.
GIDDINGS & LEWIS MACHINE TOOL COMPANY
Kraut, H. B.
WESTERN PRINTING & LITHOGRAPHING COMPANY
Beng^ead, H. M.
/< Voigt, Elmer G.
Wadewitz, E. H.
Wadewitz, W. R.
1 2 A iA 3
2 6 .0 0 0 .
00
6 8 ,5 6 7 .0 7
9 4 ,5 6 7 .0 7
5 0 .0 0 0 .
00
36 ,0 0 0 .0 0
8 6 ,0 0 0 .0 0
9 .6 0 0 .0 0
9 .6 0 0 .0 0
1 5 .0 0 0 .
9 .6 0 0 .0 0
79,054.27
91,750.69
00
125,470.1a
12/3 iA 3
1 2 A iA 3
8 8 ,6 5 4 .2 7
1 0 1 ,3 5 0 .6 9
140,470.41
111,044.96
ioi,444*96
REPORT OF PAYMENTS OF SALARY, COMISSION
BONUS OR OTHER COMPENSATION PAID IN
EXCESS OF 175,000.00 COMPILED FROM
INCOME RETURNS, SCHEDULE F-l, FILED
FOR THE CALENDAR, YEAR 1941 AND FISCAL
YEARS ENDED IN 1943
SUPPLEMENTAL REPORT
CALIFORNIA
NORTH AMERICAN AVIATION, INC,
Atwood, J. l .
Kindelberger, J. H.
9/30A3
3 00.00
3 00.00
7 5 ,0 0 0 .0 0
1 3 9 ,9 9 9 .9 2
7 5 ,3 0 0 .0 0
1 4 0 ,2 9 9 .9 2
KANSAS
THE CESSNA AIRCRAFT COMPANY
Wallace, Dwane L.
Wallace, Dwight S.
9/30A3
5 2 ,0 0 0 .0 0
5 2 ,0 0 0 .0 0
26,000.00
26 ,000.00
7 8 ,0 0 0 .0 0
78,000.00
26 ,4 0 0.00
128,500.00
1 5 4 ,9 0 0 .0 0
MICHIGAN
EX-CELL-0 CORPORATION
Huber, Phil
1 1 / 30 A 3
14 .
00
00
o
CALENDAR
NAME OF CORPORATION AND OFFICERS OR EMPLOYEES
CR FISCAL
SALARY
__________________________________________________ YEAR ENDED__________
COMMISSION
BONUS
-- OTHER--------COKPEN- TOTAL
SATION
REPORT OF PAYMENTS OF SALARY, COMMISSION,
BONUS OR OTHER COMPENSATION PAID IN
EXCESS OF 175,000.00 COMPILED FROM
INCOME RETURNS, SCHEDULE F-l, FILED
FOR THE CALENDAR YEAR 1941 AND FISCAL
YEARS ENDED IN 1943
SUPPLEMENTAL REPORT
(CONTINUED)
NEW JERSEY
MAGNUS TOOL & DIE COMPANY
Kindblom, Peter M.
6 / 30 /2+3
1 5 0 ,5 1 7 . 8 1
150.517.81
NEW YORK
EMERSON RADIO & PHONOGRAPH CORP.
Abrams, B.
UNIVERSAL FILM EXCHANGES, INC.
Scully, William A.
10 / 3 1 /2+3
5 0 ,0 0 0 .6 0
35,72+0.2+3
85,72+1.03
10 / 3 1 A 3
7 8 ,0 0 0 .0 0
78 ,000.00
WISCONSIN
AMPCO METAL, INC.
Zaiser, C. J.
12 / 3 1 /1)1
1 0 ,4 0 0 .0 0
b
9 5 ,8 8 8 .4 9
1 0 6 ,2 8 8 .4 9
- 38 -
CALENDAR OR
EISCAL YEAR
ENDED
name o f c o r p o r a t i o n
and officers o r
EMPLOYEES
SALARY
COMMISSION
BONUS
OTHER
COMPENSATION
TOTAL
REPORT OE PAYMENTS: OP SALARY, COMMISSION,
BONUS OR OTHER COMPENSATION PAID IN
EXCESS OF $75,000.00 COMPILED FROM
INCOME RETURNS, SCHEDULE F-l, FILED
FOR THE CALENDAR YEAR 19^1 AND FISCAL
YEARS ENDED IN 19^3
SUPPLEMENTAL REPORT
(CONTINUED)
HEW JERSEY
W W S TOOL & DIE COMPANY
6 /3 0 /Î+3
1 5 0 ,5 1 7 . 8 1
Kindblom, Peter M.
1 5 0 ,5 1 7 . 8 1
NEW YORK
Emerson r a d i o & p h o n o g r a p h c o e p .
Abrams* B.
UNIVERSAL FILM EXCHANGES, INC.
Scully, William A*
ic/31/^3
, „
1 0 /3 1 /1+3
,
5 0 ,0 0 0 .6 0
3 5 .7 >*o . ^ -
7 8 ,0 0 0 .0 0
i
8 5 ,71*1 . 0 3
7 8 ,0 0 0 .0 0
WISCONSIN
AKPCO METAL, INC.
Zaiser, C. J.
12 / 3 1/ k l
1 0 ,^0 0 .0 0
0O0
9 5 ,888.^-9
1 0 6 ,2 8 8 .^ 9
TREASURY DEPAEZEiiENT
BuaMJ of imtereal r e v m j e
Washington 25, D. C.
Joseph D* Nunan, Jr., Commissioner of Internal Revenue, today authorized
a plan under which businessmen can obtain advance assurance for a period of
five years on the treatment of their depreciation deductions for purposes of
the income tax and excess profits tax.
"This is another of our steps to make the application of the tax laws
more definite and certain and at the same time to be of all possible assistance
to businessmen insofar as the statutes and regulations permit," Commissioner
Hunan said.
"It is already the policy of.the Bureau of Internal Revenue to avoid
unnecessary changes in depreciation rates and methods.
The new plan carries
this policy a step farther by making it possible for a businessman to get
written assurance that specific rates "mutually agreed upon by him and the Bureau
will not be disturbed for at least five years, except on his own request.
"This plan was adopted after consultations with-many businessmen end their
representatives, and we look forward to substantial mutual, advantages as a
result of it."
A businessman desiring to obtain such an agreement should consult the
Internal Revenue Agent-in-Charge in the district in which he normally files
his income tax returns.
- 0 -
. TREASURY DEPARTMENT
BUreau of Internal'Revenue
Washington
POR IMMEDIATE RELEASE,
Thursday, June 21, 19 4 5 »
•
Press Servine
No, 46-76
Joseph D. Nunan, Jr,, Commissioner of Internal Revenue,
today authorized a plan under which businessmen can obtain
advance assurance for a period of five years on the treat- .
•ment of their depreciation deductions for purposes of the
income tax and excess profits tax.
MThis is another of our steps to make the application
of the tax laws more definite and certain and at the same
time to be of all possible assistance to businessmen insofar
as the statutes and regulations permit," Commissioner Nunan
said*
"It is already the policy of the Bureau of Internal
Revenue to avoid unnecessary changes in depreciation rates
and methods.
The new,plan carries this policy a step
further by making it possible for a businessman to get
written assurance that specific rates mutually agreed upon
by him and the Bureau will not be disturbed for at least
five years, except on his own request.
"This plan was adopted after consultations with many
businessmen and their representatives, and we look forward
to substantial mutual advantages as a result of it."
A businessman desiring to obtain such an agreement
should consult the Internal Revenue Agent-in-Charge in the
district in which he normally files his income tax returns.
-oOOf•
M
M
- 3 -
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, pre
scribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
- 2 Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
submitting'tenders will be advised of the acceptance or rejection thereof.
Those
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
oTl tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed~price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
June 28, 1945
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the. bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (1) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941, the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, June 00 1945__________ •
The Secretary of the Treasury, by this public notice, invites tenders
for I 1,300.000,000 , or thereabouts, of
91 -day Treasury bills, to be issued
'''
'
t
on a discount basis under competitive and fixed-price bidding as hereinafter provided.
mature
September 27, 1945
interest.
15,000,
June 2Ö, 1945
, and will
—
4#
, when the face amount will be payable without
The bills of this series will be dated
They vfill be issued in'bearer form only, and in denominations of $1,000,
fio,000,
$100,000, 1500,000, and fl,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o ’clock p.m., Eastern War time,
Monday, June 25, 1945-------w
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g f, 99-925.
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty of payment by an incoroorated bank or trust company.
Immediately after the closing hour, tenders will be ooened at the Federal
TREASURY DEPARTMENT
Washington
- FOR RELEASE, M O R N I N G N E W S PAPERS,
Friday, June 22, 1 9 4 5 » _______
6-21-45
The S e c r e t a r y of the Treasury, by this public notice,
invites tenders for Æ l , 300,000,000, or thereabouts, of 91-d a y
T r e a s u r y bills, to be issued on a d i s c o u n t basis u n d e r c o m
p e t itive and f i x e d - p r i c e b i d d i n g as h e r e i n a f t e r provided,.
The b i l l s of this series will be dated June 28, 1945, and will
m a ture S e p t e m b e r 27, 1945, w h e n the face amount w i l l be p a y able
wi t h o u t interest.- ' T h e y will' be issued in b e a r e r f o r m only,
and in d e n o m i n a t i o n s of $1,000, $5,000, $ 1 0 , 0 0 0 , * $ 1 0 0 , 0 0 0 ,
$500,000, and $ 1 , 0 0 0 , 0 0 0 (maturity value).,
$
s
"
'
■
•■
T e n ders will be r e c e i v e d at Federal Reserve Banks and
Br a n c h e s up to the closing hour, two o ’c l ock p.m., E a s t e r n
War time, Monday, June 25, 1945.
T e n d e r s will not be r e c e i v e d
at the T r e a s u r y Department, W a s h i n g t o n ,
E a c h tender m u s t be
for an even m u l t i p l e of $1,000, and the price o f f ered mus t be
expressed on the basis of 100, w i t h not more than three d e c i
mals, e. g,., 99,925,
Fractions m a y n o t be used,.
It is u r g e d
that tenders be m a d e on the p r i n t e d forms and f o r w a r d e d in the
special envelopes w h i c h will .be supplied b y Federal R e s e r v e
Banks or B r a n c h e s on a p p l i c a t i o n therefor.
Te n d e r s will be received wi t h o u t d e p o s i t from i n c o r p o r a t e d
banks and trust companies and f r o m r e s p o n s i b l e and reco g n i z e d
dealers in inv e s t m e n t .securities.
T e n d e r s f r o m others m ust be
a c c o m p a n i e d b y p a y ment of 2 p e r c e n t of the face amount of
T r e a s u r y b i lls a p p lied for, u n l e s s the tenders are a c c o m p a n i e d
by an express g u a r a n t y of p a y m e n t b y ah i n c o r p o r a t e d b a n k or
trust company,I m m e d i a t e l y after the c l o s i n g hour, tenders will be
opened at the Federal Reserve Banks and Branches, f o l l owing
w h i c h public a n n o u n c e m e n t will be mad e by the S e c r e t a r y of
the T r e a s u r y of the amount a nd price range of a c c e p t e d bids.
Those s u b m i t t i n g tenders will be a d v ised of the a c c e p t a n c e or
r e j e ction thereof.
The S e c r e t a r y of the T r e a s u r y e x p r e s s l y
reserves the r i ght to accept or reject any or all tenders,, in
whole or in part, and h i s a c t i o n in a ny s u c h r e s p e c t shall be
final.
S u b ject to these reservations, tenders for $ 2 0 0 , 0 0 0 or
less fro m any one b i d d e r at 99.905 e n t e r e d on a fixe d - p r i c e
basis will be a c c e p t e d in full.
P a y m e n t of a c c e p t e d tenders
at the p r i c e s of f e r e d m u s t be m ade or co m p l e t e d at the Federal
Reserve B a n k in cash or o t her i m m e d i a t e l y a v a i l a b l e funds on
June 28, 1945.
46-77
(Over)
2
The income derived from Treasury hills, whether interest
or gain from the sale or other disposition of the hills, shall
not have any exemption, as such, and loss from the sale or
other disposition of Treasury hills shall not have any special
treatment, as such, under Federal tax Acts now or hereafter
enacted. The hills shall he subject" to e stale, inheritance,
gift, or other excise taxes, whether Federal* or State, hut
shall he exempt from all taxation now or hereafter imposed on
the principal or interest thereof by any State, or any of the
possessions of the United States, or-by any local taxing,
authority.
For^ purposes of taxation the amount of discount
at which Treasury hills are originally sold hy the United.
States shall he considered to be interest. Under Sections 42
and 117 (a) (l). of the Internal Revenue :Code, as amended hy
Section 11.5 of the Revenue Act of 1941, the amount of discount
at which hills issued hereunder, are sold shall not be considered
to. accrue until such hills shall he sold, redeemed' or other
wise disposed of, and such hills are excluded* from consideration
.as capital assets. Accordingly, the owner of Treasury bills
{other than life insurance companies) issued hereunder need
include in his income -tax return only the difference, .between
the price, paid for such bills, whether on original issue or on
subsequent purchase, and the amount actually received either
upon sale or redemption at maturity during the taxable year
.for.: which the return is made, as ordinary gain or .loss•
treasury Department Circular Uo. 418, as amended, ,and this
notice, prescribe the terms of the. Treasury hills and govern
the. conditions, of their issue.. Copies of the circular may he
obtained from any Federal Reserve Bank or. Branch*
oOo
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, June 26, 1945»
Press Service
The Secretary of the Treasury announced last evening that the tenders for
11,300,000,000, or thereabouts, of 91-day Treasury bills to be dated June 28 and to
mature September 27, 1945, which were offered on June 22, 1945, were opened at the Feder
Reserve Banks on June 25*
The details of this issue are as follows:
Total applied for - $2,256,345,000
Total accepted
- 1,317,766,000
Average price
(includes $63,655,000 entered on a fixed-price
basis at 99.905 and accepted in full)
- 99.905/ Equivalent rate of discount approx. 0.375* per annum
Range of accepted competitive bids:
High
Low
- 99.908 Equivalent rate of discount approx, 0.364* per annum
- 99.905
n
•
•
•
"
0.376* "
**
(51 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New Tork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
|
51,210,000
1,570,715,000
76,215,000
41,470,000
23,365,000
9,290,000
290,295,000
33,850,000
29,595,000
36,980,000
14,950,000
78,410.000
$
12,256,345,000
«.,317,766,000
TOTAL
30,287,000
873,245,000
56,321,000
35,100,000
19,935,000
9,040,000
162,675,000
20,571,000
17,345,000
28,846,000
12,451,000
51,950,000
TREASURY DEPARTMENT
Washington
Press Service
Do. 46-78
The Secretary of the Treasury announced last evening that the
tenders for $1,300,000,000,
or thereabouts,
of 91-day Treasury
bills to be dated June 28 and to mature September 27, 1945? which
were offered on June 22, 1945, were opened at the Federal Reserve
Banks on June 25.
The details of this issue are as follows:.
Total applied for - $2,256,345,000
* '
Total accepted
- 1,317,766,000 (includes $63,855,000
entered on a fixed-price basis at 99*905 and accepted in
full)
Average price
99.905/Equivalent rate of discount approx
0*375% per annum
Range of accepted competitive bids:
High
- 9 9 .9 O 8 Equivalent rate of discount approx
low
Q.364^ per annum
- 99.905 Equivalent rate of discount approx
0.37 6% per annum
(51 percent of the amount bid for at the low price was accepted)
Federal Reserve
District ____
Total
Applied for
Total
Accepted
Boston
lew York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St.. Louis
Minneapolis
Kansas City
Dallas
San Francisco
$ • 51,210,000
$
873.245.000
76,215,000
56,321,000
35,100,000
41.470.000
23.365.000
9,290,000
290,295,000
33.850.000
29.595.000
3 6 . 9 80.000
1 4 , 950,000
78,410,000
TOTAL
30 , 287,000
1,570,715,000
$2,256,345,000
19.935.000
9,040,000
162.675.000
2 0 .5 7 1 . 0 0 0
17.345.000
28.846.000
1 2 ,4 5 1 , 0 0 0
51,950,000
$ 1 ,3 1 7 ,7 6 6 , 0 0 0
TREASURY D3PARTMMT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Thursday. June 28, 1945«
Press Service
W < a
* ?
f
The Secretary of the Treasury today called attention to the fact
that the subscription books for the four issues of marketable securities
will dose, and the Seventh War Loan Drive will terminate, at the close
of business June 3 0 ,
These issues are the 2 - 1 / 2 percent Treasury Bonds
of 1 9 6 7 -7 2 , the 2 - 1 / 4 percent Treasury Bonds of 19 5 9 -6 2 / the 1 - 1 / 2 percent
Treasury Bonds of 1950 and the 7/8 percent Treasury Certificates of In
debtedness of Series E -1 9 4 6 *
Sales of the three issues of savings bonds,
Series E, F and G, and of Series C Savings Notes, will, of course, continue.
Subscriptions for the four issues of marketable securities which are
placed in the mail up to midnight of June 30 will be treated as timely
subscriptions•
Aft previously announcedj imibntrlptlonn fnr nnvingo bond" _
•end savings,notes processed br the Federal Rfm m m
tip to ilia ivhuMTTiP
n Jul y 7
Banko or ttm Treasury
tir tht PrlVÛ ,
^
TREASURY DEPARTMENT
Washington
FOR RELEASE * MORNING NEWSPAPERS,
Thursday, June 28. 1945.
Press Service
No. 46-79
The Secretary of the Treasury today called attention to
the fact that the subscription books for the four issues of
marketable securities will close, and the Seventh War Loan
Drive will terminate> at the .close of business June 30.
These issues are the 2-1/2 percent Treasury Bonds of 1967-72,
the 2-1/4 percent Treasury Bonds of 1959-62* the 1-1/2 percent
Treasury Bonds of 1950 and the 7/8 percent Treasury Certificates
of Indebtedness of Series E-1946*
Sales of the three issues
of savings bonds, Series E, F and G, and of Series C Savings
Notes, will, of course, continue,
Subscriptions for the four issues of marketable securi
ties which are placed in the mail up to midnight of June 30
will be treated as timely subscriptions.
0 O0
Y
FOR IMMEDIATE RELEASE
U
Jane 26. 19*M5
'
t o
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas
for the 12 months commencing October 1 # 19*&* provided for in the InterAmerican Coffee Agreement, proclaimed by the President on April 15, 19*11»
as follows:
Country of Production
:
:
:
Quota Quantity
(Pounds) 1/
:
:
:
Authorized for entry
for consumption
As of (Date)
t (Pounds)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Hicaragua
Peru
Venezuela
2.353,628,932
796,79^,513
5 0 ,6 1 5 , 6 7 6
2 0 .2 U6 . 2 9 7
30,369,379
37,961,757
1 5 1 ,8 U 7 , 0 2 8
135.396,920
6 9 ,5 9 6 , 6 2 1
5 ,0 6 l, 5 Ul
1 2 0 ,2 1 2 , 2 9 6
U9.350.32U
6 ,3 2 6 , 8 9 3
106,292,893
Hon-Signatory Countries:
8 9 ,8 U2 , 7 8 5
June l 6 # I 9 U5
tt
H
Il
June
June
«
R
R
(Import
June
R
R
R
R
1,.0 3 1 .5 6 U .0 1 7
U6 1 .2 3 8 . 3 2 2
1»
3 2 ,2 3 5 , 6 3 6
H
U. 3 9 0 .6 U6
2 5 .U9 0 .U8 U
23, 19^5 2/
2 i. 0 3 U. 2 2 U
16 # 19*i5
w
8 2 ,7 6 2 , 9 1 2
R
6 6 .9 0 5 .5 2 U
R
UU. 3 9 6 .8 U2
quota filled)
16» 19^5
65.007,333
R
1 7 .7 U 8 .UU2
R
3 ,2 1 1 , 3 1 6
R
U7.95U,U77
r
R
679,0 6 U
1/
Quotas as of June l t 19**5» determined by action of the Inter-lmerican
Coffee Board on May 29, 19**5»
2/
Per telegraphic reports.
TREASURY DEPARTAIENT
Washington
Press Service
No« 46-80
RELEASE,
Wednesday, June 27, 1945,
for i m m e d i a t e
The Bureau of* Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas for
the 12 months commencing October X, 1944, provided for in the Inter-American
Coffee Agreement, proclaimed by the President on April 15, 1941, as follows:
Country of Production
Quota Quantit
(Pounds) 1 /
As of
(DateJ
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
Non-Signatory Countries:
2,353,628,952
796,794,513
50,615,676
20,246,297
30,369,379
37,961,757
151,847,028
135,396,920
69,596,621
5,061,541
120,212,296
49,350,324
6,326,893
106,292,893
.89,842,785
1, 031,564,017
461,238,322
tt
it
32,235,636
tt
tt
4,390,646
25,490,484
1945
2/
June 23,
21,034,224
June 16, 1945
tt
tt
82,762,912
tt
tt
66,905,524
tt
tt
44,396,842
(import quota filled)
65,007,333
June 16, 1945
tt
tt
17,748,442
u
tt
3,211,316
tt
tt
47,954,477
June 16, 1945
tt
tt
tt
tt
679,064
1/
Quotas as of June 1, 1945, determined by action of the Inter-American
Coffee Board on May 29, 1945,
2/
Per telegraphic reports.
-oOo-
•Mr
^
«•»
te have given assurance to people everywhere
that we shall do our part to broaden the flow
of friendly commerce among the nations of the
earth.
Taken together, these three achievements the San Francisco charter, the Bretton woods
Agreements, and the Reciprocal Trad© Facts for« a pattern for the future.
point to a new horizon,
Together they
slowly, the fog which
has shrouded our view is liftin g ,
we have reason
to celebrate - and to hope - and to work
steadfastly for a brighter l i f e that lie s ahead.
The investment that millions of Americans 85 m illion of them - have made in war Bonds Is
an investment in that new l i f e .
we mean to do the same In the fie ld of
economic a ffa irs.
The agreements reached at
Bretton foods by the representatives of
forty-four nations, already approved by the
House of Representatives, afford a mechanism
by which men can stamp out some of the basic
causes which have brought them into con flict
with on© another.
America's intention to share in solution
of the world's economic problems was sad® clear
the other day when the congress of the united
States voted to extend the Reciprocal Trade
program.
3
At San Francisco, Just yesterday, the
statesmen of many nation® succeeded in forging
a constitution for the world,
i t is a
constitution which gives nope that the terrible
blight of war w ill not f a ll upon us again.
It
is a constitution which gives promise that men,
and the governments under which they liv e , w ill
seek from now on to compose their differences
and solve their common problems in friendship
and cooperation.
Franklin Roosevelt’s vision,
carried forward under the leadership of
President Truman, is beginning to find its
realization.
It Is a time to rejoice; but i t is not a
time to pause or to fa lte r .
Millions of young
Americans must s t i l l go into battle on the
island® and in the waters of the P acific.
Our job, of course, is to give them the
fu lle st measure of support within our power.
The Seventh far Loan Drive is one teat of this
support.
Let us make it an overwhelming
demonstration to the men in combat that we, at
home, are with them in fu ll fa ith .
Our faith and our support demand something
more. They demand preparation for the kind of
world we hope to win. And in this realm, too,
*e have cause for celebration,
%e have begun at
la st to chart the new li f e that lie s before us.
«4
a»!
4' V
«y
i
«S
Th® world stands today In something lik e
the situation of an individual who has survived
a painful and dangerous operation - who knows
that pain and danger remain ahead of him, hut
who knows, too, that he w ill triumph over them,
that he w ill be, in a sense, reborn, and that
a new li f e lie s before him.
The total victory we sought In Europe has
been won.
i t Is fittin g that we should pay
tribute, as we have dan© during this past week,
to General Eisenhower and to others who have
been the architects of victory, and who are
symbols of the collective heroism of the a illio n s
of young Americana they led into b attle.
TREASURY DEPARTMENT
Washington
FOR RELEASE, 9; 30 PM, EWT,
Wednesday, June 27, 1945*
Press Service
^°* 46-81
-(•f lie-following ""address "tty Oeci 0 tax y M01 gen Lliau*
(The following address by Secretary Morgenthau,
featuring "Victory Parade of Spotlight Bands” will
be broadcast on a coast-to-coast Mutual Broadcasting
System hookup at 9? 50 PM, EWT, Wednesday, June 27,
1945, and is for release at that time)«
TREASURY DEPARTMENT
Washington
FOR RELEASE, 9:50 PM, EWT,
June 27, 1945«
W ed n esday,
Press Service
No, 46-81
(The following address by Secretary Morgenthau,
featuring ’'Victory Parade of Spotlight Bands
will be broadcast on a coast-to-coast Mutual
Broadcasting System hookup at 9:50 PM, EWT,
Wednesday, June 27, 1945, and is for release
at that time)..
The world stands today in something like the situation
of an individual who has survived a painful and dangerous
operation - who knows that pain and danger remain ahead of
him, but who knows, too, that he will triumph over them,
that he will be, in a sense, reborn, and that a new life
lies before him.
The total victory we sought in Europe has been won.
It
is fitting that we should pay tribute, as we have done during
this past week, to General Eisenhower and to others who have
been the architects of victory, and who are symbols of the
collective heroism of the millions of young Americans they
led into battle.
It is a time to rejoice^ but it is not a time to pause
or to falter. Millions of young Americans must still go into
battle on the islands and in the waters of the Pacific,
Our job, of course, is to give them the fullest measure
of support within our power. The Seventh War Loan Drive is
one test of this support.
Let us make it an overwhelming
demonstration to the men in combat that we, at home, are with
them in full faith.
Our faith and our
demand preparation for
in this realm, too, we
begun at last to chart
support demand something more.^ They
the kind of world we hope to win.
And
have cause for celebration. We have
the new life that lies before us.
At San Francisco, just yesterday, the statesmen of many
nations succeeded in forging a constitution for the^world.
It is a constitution which gives hope that the terrible
blight of war will not fall upon us again.
It is a consti
tution which gives promise that men, and the governments under
which they live, will seek from now on to compose their differ
ences and solve their common problems in friendship and cooper
ation,
Franklin Roosevelt’s vision, carried forward under the
leadership of President Truman, is beginning to find its
realization*
2
We mean to do the same in the field of economic affairs.
The agreements reached at Bretton Woods by the representatives
of forty-four nations, already approved by the House of
Representatives, afford a mechanism by which men can stamp
out some of the basic causes which have brought them into con
flict with one another.
America*s intention to share in solution of the world*s
economic problems was made clear the other day when the Congress
of the United States voted to extend the Reciprocal Trade
program. We have given . assurance to people everywhere that
we shall do our part to broaden the flow of friendly commerce
among the nations of the earth.
Taken together, these three achievements - the San Francisco
charter^ the Bretton Woods Agreements, and the Reciprocal Trade
Pacts - form a pattern for the future. Together they point to
a new horizon.
Slowly, the fog which has shrouded our view is
lifting.. We have reason to celebrate - and to hope - and to
work steadfastly for a brighter life that lies ahead.
The in
vestment that millions of Americans - 85 million of them - have
made in War Bonds is an investment in that new life.
0O0
T R S A S W D W illTi-m ?
B u reau o f I n t e r n a l R evenue
W a s h in g t o n 2 5 , I)« C .
'lV^=>
J o s e p h D . H u n a n } J r . , C o m m is s io n e r o f I n t e r n a l R e v e n u e , t o d a y d i r e c t e d
f i e l d o f f i c e s o f t h e B u r e a u o f I n t e r n a l R e v e n u e t o g i v e s p e c i a l a t .t e n t i o n t o
t h e t a x " p r o b l e m s o f a l i e n w a r r e f u g e e s l i v i n g i n t h e U n i t e d ¿ s t a t e s , bo a s s u r e
f a i r a n d p r o p e r t a x a t i o n o f t h e in c o m e , i f a n y , o f s u c h , i n d i v i d u a l s »
H o t i n g t h a t t h e in c o m e t a x l a w s e x e m p t n o n - r e s i d e n t a l i e n s , n o t e n g a g e d
i n a t r a d e o r b u s i n e s s i n t h e U n i t e d S t a t e s , f r o m t a x a t i o n o n p r o f i t s fr o m
t r a n s a c t i o n s u p o n s e c u r i t i e s o r c o m m o d it ie s e x c h a n g e s , t h e C o m m is s io n e r d i r e c t e d
careful s c r u t i n y o f c l a i m s f o r s u c h e x e m p t i o n s »
B e f o r e a l l o w i n g s u c h e x e m p t io n s ,
p r o o f w i l l b e r e q u ir e d t h a t t h e i n d i v i d u a l s c o n c e r n e d w ere n o t , i n f a c t ,
r e s i d e n t s o f t h e U n ite d S t a t e s and w e re n o t e n g a g e d i n a t r a d e o r b u s in e s s in
th is
co u n try *
A l i e n s i n t h i s . c o u n t r y w ho a r e c l a s s i f i e d a s ’» r e s i d e n t a l i e n s ’» a r e s u b j e c t
t o t h e sa m e t a x e s a s c i t i z e n s o f t h e U n i t e d S t a t e s .
U n d e r t h e t a x l a w s , an
a l i e n m ay b e r e g a r d e d a s a ’ » re sid e n t» » o f t h e U n i t e d S t a t e s e v e n t h o u g h h e
i n t e n d s t o r e t u r n tx> h i s own c o u n t r y *
T h e c l a s s i f i c a t i o n o f ’» n o n - r e s i d e n t
a l i e n ” i s l i m i t e d p r i m a r i l y t o t r a n s i e n t s w ho a r e i n - t h e U n i t e d S t a t e s o n l y or
a v e ry b r ie f o r fix e d
I
1
p e r io d
o f tim e .
I n o r d e r t o establish e x e m p t i o n , a n o n - r e s i d e n t a l i e n m u s t a l s o sh o w t h a t
h e w a s n o t e n g a g e d i n a t r a d e o r b u s i n e s s i n t h i s c o u n t r y . '' T h e r e f o r e , t h e
e x e m p t i o n c a n n o t o r d i n a r i l y b e a l l o w e d t o a n a l i e n w h o h a s , w h i l e i n t h e U n it e d
S t a t e s , e a r n e d c o m p e n s a t i o n f o r p e r s o n a l s e r v i c e s , p a r t i c i p a t e d i n c o n iu je ¿ c ia i
o r i n d u s t r i a l a c t i v i t i e s , o r b o u g h t and s o ld p ro p e rty
A l i e n s who d e s i r e t o c l a r i f y t h e s t a t u s o f s e c u r i t i e s o r co m m o d ity t r a n s a c t i o i |
w h ic h t h e y h a v e n o t r e p o r t e d i n U n i t e d S t a t e s in c o m e t a x r e t u r n s f o r y e a r s sub
s e q u e n t t o J a n u a r y 1 , 1 S 4 0 , s h o u ld c o n s u lt t h e I n t e r n a l R e v e n u e A g e n t - in - c h a r g e
o r t h e C o l l e c t o r o f I n t e r n a l R e v e n u e i n t h e l o c a l d i s t r i c t i n w h ic h t h e y r e s id e ^
S u ch in t e r v ie w s a re a d v is e d p a r t i c u l a r l y i n t h e c a s e o f a l i e n s p la n n in g t o re tu rn
t o f o r e i g n c o u n t r i e s , in a s m u c h a s t h e y a r e r e q u i r e d t o o b t a i n t a x c l e a r a n c e
c e r t i f i c a t e s b e fo r e d e p a r tin g .
-
0
-
I
y
TREASURY DEPARTMENT
B u reau o f I n t e r n a l R evenue
W a s h in g t o n
P ress
FOR IMMEDIATE R ELEASE ,
T h u rsd ay,
S e r v ic e
46-82
Ju n e 2 8 , 1 9 4 5 «
. J o s e p h D . N u n a n , J r . 3 C o m m is s io n e r o f I n t e r n a l R e v e n u e ,
to d a y d ir e c t e d f i e l d ' o f f i c e s o f t h e B u reau o f I n t e r n a l R evenu e
t o g i v e s p e c i a l a t t e n t i o n t o t h e t a x p r o b le m s o f a l i e n w a r
r e f u g e e s l i v i n g in t h e U n ite d S t a t e s , t o a s s u r e f a i r and p r o p e r
t a x a t i o n o f t h e in c o m e , i f a n y , o f s u c h i n d i v i d u a l s .
N o tin g t h a t th e in c o m e .t a x la w s e x em p t n o n - r e s i d e n t a l i e n s
n o t e n g a g e d i n a t r a d e o r b u s i n e s s i n t h e U n i t e d ^ S t a t e s fr o m
t a x a t i o n on p r o f i t s fr o m t r a n s a c t i o n s u p o n s e c u r i t i e s o r com
m o d i t i e s e x c h a n g e s , t h e C o m m is s io n e r d i r e c t e d c a r e f u l s c r u t i n y
o f c la im s f o r su ch e x e m p tio n s .
B e fo r e a llo w in g su ch e x e m p tio n s ,
p r o o f w i l l b e r e q u i r e d t h a t th e i n d i v i d u a l s c o n c e r n e d w e re n o t ,
i n f a c t , r e s i d e n t s o f th e U n ite d S t a t e s and w e re n o t e n g a g e d m
a tra d e
o r b u s in e s s
in
th is
co u n try .
A l i e n s i n t h i s c o u n t r y who
a l i e n s ' * a r e s u b j e c t t o t h e sam e
S ta te s.
U nder th e t a x la w s , an
'» r e s id e n t '* o f t h e U n i t e d S t a t e s
a re c l a s s i f ie d a s " r e s id e n t ^
t a x e s a s c i t i z e n s o f th e U n ite
a l i e n m ay b e r e g a r d e d a s a
e v e n th o u g h h e in t e n d s to r e t u r n
t o h i s own c o u n t r y .
The c l a s s i f i c a t i o n o f " n o n - r e s id e n t a li e n "
i s l i m i t e d p r i m a r i l y t o t r a n s i e n t s w ho a r e i n t h e U n i t e d S t a t e s
o n ly fo r
a very b r ie f
or
fix e d
p e r io d
o f tim e .
In o r d e r t o e s t a b l i s h e x e m p tio n , a n o n - r e s id e n t a l i e n m u st
a l s o sh o w t h a t h e w a s not e n g a g e d i n a t r a d e o r b u s i n e s s i n t h i s
co u n try .
T h e r e f o r e , t h e e x e m p tio n c a n n o t o r d i n a r i l y b e a ll o w e d
t o a n a l i e n who h a s , w h i l e i n t h e U n i t e d S t a t e s , e a r n e d com p en
s a t i o n f o r p e r s o n a l s e r v i c e s , p a r t i c i p a t e d i n c o m m e rc ia l o r
i n d u s t r i a l a c t i v i t i e s , o r b o u gh t and s o ld p r o p e r t y .
A lie n s
who d e s i r e
to
c la r ify
th e
sta tu s
o f s e c u r itie s
op
c o m m o d ity t r a n s a c t i o n s w h i c h t h e y h a v e n o t r e p o r t e d i n U n i t e
S t a t e s in c o m e t a x r e t u r n s f o r y e a r s s u b s e q u e n t t o J a n u a r y 1 ,
1 9 4 0 , s h o u ld c o n s u l t t h e I n t e r n a l R e v e n u e A g e n t - A n - c h a r g e o r
t h e C o l l e c t o r o f I n t e r n a l R ev en u e i n th e l o c a l d i s t r i c t i n w h ic h
th e y r e s id e .
Such i n t e r v i e w s a r e a d v is e d p a r t i c u l a r l y i n , t h e
c a s e o f a l i e n s p l a n n i n g t o r e t u r n t o f o r e i g n c o u n t r i e s , in a s m u c h
a s th e y a r e r e q u ir e d t o o b ta in t a x c le a r a n c e c e r t i f i c a t e s b e fo r e
d e p a r tin g •
oOoi
TREASURY DEPARTMENT
Office of Commissioner of Internal Revenue
Washington 25, D. C,
Com#~Mimeograph
Coll* Ho, 5883
R, A, Ho, 1434
T. S. Ho, 376
June 27, 1945.
Taxation of Aliens Deriving Income from
Transactions on the Stock Market,
from the Sale of Securities, from
Dealings in Commodities, and from
other Sources within the United
States.
COLLECTORS OF INTERNAL REVENUE,
INTERNAL REVENUE AGENTS IN CHARGE,
HEADS OF FIELD DIVISIONS OF THE TECHNICAL STAFF,
AND OTHERS CONCERNED:
1, The Bureau has under consideration the question of the taxation'
of capital gains, profits, and other income derived from sources within
the United States by aliens who have left their country of origin, espe
cially in Europe, on account of war conditions and who during their stay
in the Unitéd States have accumulated considerable income as the result of
transactions in the stock market and on the commodity exchanges. Atten
tion is invited to the fact that aliens for Federal income tax purposes
fall within the following general classes; (l) nonresident aliens not en
gaged in trade or business within the United States who are taxed only on
fixed or determinable annual or periodical income; (2) nonresident aliens
not engaged in trade or business within the United States whose fixed or
determinable annual or periodical income exceeds $15,400; (3) nonresident
aliens engaged in trade or business within the United States; (4) resident
aliens. .
V-.
2. Very little difficulty is encountered in connection with the col
lection of income tax with respect to' the first class. Such aliens áre
taxable under section 211(a) of the Internal Revenue Code at the rate of
30$, and the entire amount of tax is, in general, required to be withheld
at the source under section 143(b) of the Internal Revenue Code. With
respect to the second class, although a tax at the rate of 30$ is required
to be withheld at the source from their fixed or determinable annual or
periodical income, they are also subject to surtax and returns are required
to be filed by the individuals in such cases on Form 1040NB(a), accounting
for the balance of the tax. With respect to those »individuals engaged in
trade or business within the United States, such aliens are subject to tax
on their entire income from sources within the United States, including
capital gains. However, as provided in section 211(b) of the Internal
Revenue Code the phrase ^engaged in trade or business within the United
States”-does not include the effecting, through a resident broker, commis
sion agent, or custodian, of transactions in the United States in commod
ities, or in stocks or securities, it follows that a nonresident alien,
(over)
Com •-Min*, Coll ,'ÎTol 5883
' -2-
Í W ^ -
*’ ** '
not otherwise engaged in trade or “business in the United States, would not
“be subject to tax on capital gains merely by reason of such transactions
in commodities, or stocks, or securities* Special attention should, however, be given to the cases of aliens who derive profits from these* trans
actions and who claim to be nonresident aliens not engaged in trade or *
business within the United States. In this connection it should be pointed
out...that the term wengaged in trade or business within the United States”
includes the' performance of personal service within the United States at
any time within the taxable year, as specifically provided by section 211(b)
of the Code,, It follows, therefore, that if any of the aliens of this
class perform personal services, in the United. States at any time during the
taxable year they would be subject to tax on^ their entire income derived
from sources within the United States, including capital gains. However,
certain other activities such as'the buying and selling of personal or real
property, on the aliènes own behalf or on behalf of others, would ordinari
ly constitute engaging in trade or business. -In the investigation of the
tax liability of any nonresident alien claiming not to be engaged in trade
or business within..the United States, particular attention should, therefore,
be given to such activities of the alien. ., ,
3.
¡The most sj^ortaht .cláss,;p£- eii^^. wi^h whom. th,e. Bureau is con—
cerned áre those 'who, ;having realized pCofit.s on-.^cn^it£es transactions
or otherwise, claimi tôjbe. nxúireC^ents .Of .thej^l^ed.^ptates and, have- thus
•i'o’
.proper income, ’tax returns. even jihqugh they are i n ;fact,resi-dents of the. Uni ted States.,,In, connection ^irh.the general ¿«luestion'/as to
what constitutes residence in the United .States -it should be-borne in mind
that residence is a-inixei question of law and fact and the element of’in
tention is one of primary.importance.. The Federal .income tax laws havebeen, uniform in levying a tax on the entire income of aliens, if resident
in .the United States,, aiid residence has been construed by t>he Bureau in
all rulings as something 'which may be less than domicile,., (Bowring v*
Bowers, 24 F. (2) 918). In other words, residence, although used as the
equivalent of domicile in. connection with probate matters, succession
taxes, and inheritance taxes, as well as the estate tax law, is not neces
sarily the same as domicile for Federal income tax purposes. It is stated
in section 29.211-2 of Regulations 111 that an alien actually present in
the United States who is not a mere transient or sojourner is a resident
of the United States for the purposes of the income tax. It is also stated
in that section that if he lives in the United States and has no definite
intention as to his stay, he is a resident* Furthermore, one who comes to
the United States for a definite purpose which in its nature maybe prompt
ly accomplished is a transient; but if hie purpose is of such a nature that
an extended stay may be necessary for its accomplishment, and to that end
the alien makes his home temporarily in the United States, he becomes a
resident, though, it maybe his intention at all times to return to his
domicile abroad when the purpose for which he came has been consummated or
abandoned*. These provisions of the regulationsf. it is thought, will cover
many cases of aliens who, by reasons of conditions stemming from the war,
have come to the United States.
,
*
4* Attention' is invited to the last sentence pif, section 29.211—2,
Regulations 111, which;states/that an alien who,se, àt'ày;'in the United
States ib limited-to “á definite period by immigration laws is not a
C o n u rM im .,
C o l l • H o . 5883
—
3 -
.
,
r e s i d e n t o f t h e U n i t e d S t a t e s w i t h i n t h e m e a n in g o f t h a t s e c t i o n , i n t h e
a b se n ce o f e x c e p tio n a l c ir c u m s ta n c e s » T h e g e n e r a l r u le a d o p te d b y th e
B u re a u i s t h a t th e t y p e o f v i s a is s u e d i s o h l y on e o f e le m e n ts e n te r in g ^
in to th e c l a s s i f i c a t i o n o f th e a li e n a s a r e s id e n t o r n o n r e s id e n t.
It is
" b e l i e v e d t h a t t h e r e a r e m an y c a s e s now w h i c h w i l l com e u n d e r t h e p h r a s e
» in t h e a b s e n c e o f e x c e p t i o n a l c ir c u m s t a n c e s » "b ecau se o f t h e f a c t t h a t
m any v i s i t o r s * p e r m i t s , o r t e m p o r a r y v i s a s , w e r e i s s u e d t o a l i e n s who de*s i r e d m e r e ly t o g e t o u t o f th e w a r - t o r n c o u n tr y u n d e r a n y c o n d it io n s an d
u n d e r a n y p a s s p o r t o r v i s a so l o n g a s t h e y r e a c h e d th e s h o r e s o f t h e U n it e d
S ta te s.
F o r e x a m p le , w h i l e t h e v a s t m a j o r i t y o f s u c h a l i e n s o r i g i n a l l y
e n t e r e d t h e U n it e d S t a t e s on te m p o r a r y p e r m it s , n u m erou s e x t e n s i o n s o f s u c h
p e r m i t s h a v e "been a p p l i e d f o r a n d g r a n t e d a n d a g r e a t n u m b e r o f a p p l i c a
t i o n s h a v e b e e n m ade b y s u c h a l i e n s t o e n t e r a t h i r d c o u n t r y i n o r d e r t o
q u a l i f y f o r r e - e n t r y t o t h e U n it e d S t a t e s on im m ig ra n ts * v i s a s , t h u s i n
d i c a t i n g an i n t e n t i o n to becom e r e s i d e n t s o f th e U n ite d S t a t e s e v e n th o u g h
s u c h im m i g r a n t s * v i s a s m ay n o t h a v e b e e n g r a n t e d .
On t h e o t h e r h a n d t h e
p o s s e s s io n o f an im m ig r a n t s v i s a b y an a l i e n , upon h i s i n i t i a l e n tr a n c e
in to th e U n ite d S t a t e s , i s n o t c o n c lu s iv e o f h i s c l a s s i f i c a t i o n a s a r e s i
dent o f t h is c o u n tr y .
T h o s e a l i e n s , t h e r e f o r e , w ho a r e p r o p e r l y c l a s s i
f i e d a s r e s i d e n t s w i t h i n t h e m e a n in g o f t h e r e g u l a t i o n s r e f e r r e d t o a b o v e
and u n d e r th e g e n e r a l r u l e s o f la w r e l a t i n g t o w h at c o n s t i t u t e s r e s id e n c e ,
s h o u l d i n e v e r y c a s e b e r e q u i r e d t o f i l e r e t u r n s o n F orm 1 0 4 0 a c c o u n t i n g
f o r in c o m e fr o m a l l s o u r c e s , b o t h w i t h i n a n d w i t h o u t t h e U n i t e d S t a t e s ,
in c lu d in g c a p i t a l g a in s .
F u r t h e r m o r e , a l l n o n r e s i d e n t a l i e n s who a r e
p h y s i c a l l y p r e s e n t i n t h e U n i t e d S t a t e s a n d who h a v e b e e n e n g a g e d i n t ir a d e
o r b u s i n e s s w i t h i n t h i s c o u n t r y a t a n y t im e d u r i n g t h e t a x a b l e y e a r s h o u l d
f i l e c o m p l e t e r e t u r n s o n F orm 1 0 4 0 B , a c c o u n t i n g f o r t h e i r e n t i r e in c o m e
fro m s o u r c e s w i t h i n t h i s c o u n t r y , i n c l u d i n g c a p i t a l g a i n s .
5»
I n v ie w o f w hat h a s b e e n s a i d ab o ve th e f i e l d o f f i c e r s o f th e
B u re a u a r e r e q u e s t e d t o t a k e p rom p t a c t i o n a n d s e t u p t h e n e c e s s a r y p r o
ced u re f o r th e p u rp o se o f i n v e s t i g a t i n g th o s e c a s e s w h ere i t i s e v id e n t
t h a t t h e a l i e n s h a v e m ade g a i n s fr o m d e a l i n g s i n s t o c k s , s e c u r i t i e s , com
m o d itie s an d s i m i la r t r a n s a c t i o n s , t o th e e n d t h a t a l i e n s e n g a g e d in
t r a d e o r b u s i n e s s w i t h i n t h e U n i t e d S t a t e s , a n d t h o s e who a r e r e s i d e n t
a l i e n s , m ay b e p r o p e r l y t a x e d o n s u c h c a p i t a l g a i n s a n d t h a t o n l y n o n r e s i
d en t a l i e n s n o t.e n g a g e d in t r a d e o r b u s in e s s w it h in th e U n ite d S t a t e s
s h a ll b e r e li e v e d o f t a x a t io n in t h i s r e s p e c t , a s p r o v id e d b y s e c t io n s 2 1 1
(a)
and 2 1 1 ( c )
o f th e I n t e r n a l R evenue C od e.
6.
I n c o n n e c t io n w it h th e e x a m in a tio n o f a l i e n s in f o r m a t io n s h o u ld
be o b ta in e d r e g a r d in g ( a ) d a te o f a r r i v a l in th e U n ite d S t a t e s ; (b ) w h e th e r
m em bers o f t h e a l i e n * s f a m i l y a c c o m p a n ie d h im ; ( c ) t y p e o f v i s a o r p e r m i t
i s s u e d t o h im ; ( a ) r e a s o n s f o r c o m in g t o t h e U n i t e d S t a t e s ; .( e ) w h e t h e r
th e a l i e n r e g i s t e r e d u n d e r th e S e l e c t i v e S e r v ic e A c t; ( f ) w h at fu n d s ,
s e c u r i t i e s , o r o t h e r p e r s o n a l p r o p e r t y w ere b r o u g h t i n t o , t h e U n it e d S t a t e s
b y th e a l i e n o r t r a n s f e r r e d to h i s a c c o u n t, o r h e ld f o r h i s b e n e f i t d i r e c t
l y o r i n d i r e c t l y t h r o u g h n o m in e e s o r o t h e r w i s e , p r i o r . t o o r a f t e r h i s
a r r i v a l ; , ( g ) w h e th e r he p e r fo r m e d p e r s o n a l s e r v i c e s o r e n g a g e d i n a n y o t h e r
b u s i n e s s a c t i v i t i e S ' w i t h i n t h e U n it e d S t a t e s ; ( h ) c o m p le te d i s c l o s u r e a s t o
c a p i t a l g a i n s fr o m d e a l i n g s i n s e c u r i t i e s o r c o m m o d it i e s ; ( i ) w h e t h e r h e
ow ns a n y r e a l e s t a t e i n t h e U n i t e d S t a t e s i n h i s own nam e o r i n t h e nam e o f
a n o m in e e ; ( j ) i f t h e a l i e n e n t e r e d t h e U n i t e d S t a t e s o n a t e m p o r a r y p e r m i t
(o ver)
J r
Com.-Him., Coll. Ho. 5883
-— 4r-
^
K * ", ’
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^
*
how many times has it been renewed; and (k) has the- alien applied for or
been granted an immigration visa or-.otherwise declared his desire or in
tention to reside in the United States.
7. I.T. 3386 (C.B. 1940-1, 66) holding that a subject of a foreign
country who entered the United States on a temporary visa which had been
renewed from time to time during continuance of the war, has the status of
a nonresident alien, Is modified to accord with the foregoing principles.
Correspondence relating to this mimeograph should refer to its number
and the symbols IT:P.
JOSEPH D. HUHAH, Jr.,
Commissioner.
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th e se r e s e r v a tio n s ,
e n te re d
and h i s
te n d e rs
on a f i x e d ~ p r i c e
a t th e p r ic e s
in
o r o t h e r im m e d ia te ly a v a i l a b l e
fr o m
s a le
o r o th e r
d is p o s itio n
and lo s s
fr o m t h e
s a le
s p e c ia l tre a tm e n t,
b ills
s h a ll be
as
fo r
in
fu n d s on
I n te r n a l R evenue
accru e u n til
su ch b i l l s
are
to be in t e r e s t .
Code,
in
g ift,
fu ll,
P a y m e n t o f a c c e p te d
ta x a tio n
(o th e r
th a n l i f e
in c o m e t a x r e t u r n
as
o n ly th e
t a x e s , w h e th e r
of
s o ld
(a)
( l)
o f th e
th e
s h a l l n o t b e c o n s id e r e d
c a p ita l a s s e ts .
c o m p a n ie s )
d iffe r e n c e
th e
s o ld b y th e .U n ite d S ta te s
o f th e R evenue A c t o f 19 4 1?
in s u r a n c e
The
F o r p u rp o se s o f ta x a tio n
redeem ed o r o th e r w is e
c o n s id e r a tio n
e n a cte d .
e x c is e
U nder S e c t io n s 42 and 1 1 7
s o ld ,
su ch ,
now o r h e r e a f t e r im p o s e d
o r ig in a lly
115
as
o r an y o f th e p o s s e s s io n s
a u th o r ity ,
are
fr o m
s h a ll n o t h ave any
o r o th e r
is s u e d h ereu n d er a re
s h a ll be
e x c lu d e d fro m
h is
s h a ll be fin a l.
fr o m a n y o n e b i d d e r a t
o f T reasu ry b i l l s
a s am ended b y S e c t i o n
su ch b i l l s
ow ner o f T r e a s u r y b i l l s
n eed in c lu d e
ta x in g
T reasu ry b i l l s
am o u n t o f d is c o u n t a t w h ic h b i l l s
to
a n y su ch r e s p e c t
s h a l l n o t h a v e a n y e x e m p tio n ,
in h e r ita n c e ,
o r by any lo c a l
am ount o f d is c o u n t a t w h ic h
c o n s id e r e d
a c c e p t o r r e j e c t any or
s u c h , u n d e r F e d e r a l t a x A c t s now o r h e r e a f t e r
e s ta te ,
The
w h e th e r i n t e r e s t o r g a in
on t h e p r i n c i p a l o r i n t e r e s t t h e r e o f b y a n y S t a t e ,
s h a ll be
th e re o f.
July 5* 1945_________ •
T reasu ry b i l l s ,
o f th e b i l l s ,
T h o se
c o m p l e t e d a t t h e F e d e r a l R e s e r v e Bank
b u t s h a l l b e ex e m p t fro m a l l
th e U n ite d S t a t e s ,
to
$ 2 0 0 ,0 0 0 o r l e s s
o r o th e r d is p o s itio n
s u b je c t to
F ed eral or S ta te ,
a c tio n
o f f e r e d m u s t b e m ad e o r
T h e in c o m e d e r i v e d
th e
th e r ig h t
b a s is w i l l b e a c c e p te d in
te n d e rs
cash
ran ge o f a cce p te d b id s .
o f th e a c c e p ta n c e o r r e je c t io n
T rea su ry e x p r e s s ly r e s e r v e s
i n w h o le o r i n
a n n o u n c e m e n t w i l l b e m ade b y th e
am ount and p r i c e
te n d e r s w i l l b e a d v is e d
te n d e rs,
S u b je c t to
f o l l o w i n g w h ic h p u b l i c
T rea su ry o f th e
o f th e
-
d is p o s e d o f ,
A c c o r d in g ly ,
and
th e
is s u e d h ereu n d er
b e tw e e n
th e p r i c e p a id
TREASURY DEPARTMENT
W a s h in g t o n
The S e c r e t a r y o f th e
fo r
|
1,300.000.000
on a d is c o u n t b a s i s
vided.
,
T reasu ry, by th is
o r th e re a b o u ts,
of
p u b lic n o t ic e ,
91 - d a y T r e a s u r y b i l l s ,
u n d er c o m p e t it iv e and f i x e d - p r i c e
The bills of this series will be dated
mature
in v ite s
to
b e is s u e d
b id d in g a s h e r e in a f t e r p ro , and w i l l
July 5* 1945
w;hen
h e n the
t h e face
f a c e amount
a m o u n t will
w i l l be
be p
,v
pa y a b le
October A. 1945
te n d e rs
w ith o u t
w
in te r e s t.
T hey w i l l b e is s u e d
in
b e a r e r fo r m o n l y ,
7 ^ 500 , 000 , a n d $ 1 ,0 0 0 ,0 0 0
T en d ers w i l l b e r e c e iv e d
c lo s in g h o u r,
tw o o ’ c l o c k p . m . ,
and i n
d e n o m i n a t i o n s o f $ 1,0 0 0 ,
( m a tu r ity v a l u e ) .
a t F e d e r a l R e s e r v e B a n k s a n d B r a n c h e s up t o
E a s t e r n W ar t i m e ,
th e
Monday, July 2, 1945_____
im
T en d ers w i l l
m u st b e f o r
n o t be r e c e iv e d
an ev en m u lt ip le
on th e b a s i s
o f 10 0 , w ith
m ay n o t b e u s e d .
w ard ed i n
th e
I t is
s p e c ia l
tru st
tie s .
th e
T r e a s u r y D e p a r tm e n t, W a s h in g to n .
o f $ 1 ,0 0 0 ,
and th e p r ic e
n o t m o re t h a n t h r e e
u rg ed
E ach te n d e r
o f f e r e d m u st b e e x p r e s s e d
d e c im a ls ,
e.
t h a t t e n d e r s b e m ad e o n t h e
e n v e lo p e s w h ic h w i l l b e
o r B ra n c h e s on a p p l i c a t i o n
T en d ers w i l l
at
g f,
9 9 -9 2 5 -
p r in te d
F ra c tio n s
fo rm s an d f o r
s u p p lie d b y F e d e r a l R e s e rv e Banks
th e re fo r.
b e r e c e iv e d w ith o u t d e p o s it
c o m p a n ie s a n d fr o m r e s p o n s i b l e
and r e c o g n is e d
fr o m i n c o r p o r a t e d b a n k s a n d
d e a le r s in
in v e s tm e n t s e c u r i
T e n d e r s fr o m o t h e r s m u s t b e a c c o m p a n ie d b y p a y m e n t o f 2 p e r c e n t o f t h e f a c e
am ount o f
T reasu ry b i l l s
a p p lie d
fo r ,
u n le s s
th e
t e n d e r s a r e a c c o m p a n ie d b y a n
e x p r e s s g u a r a n ty o f paym en t b y an in c o r p o r a te d b an k o r t r u s t
com pany,
Immediately after the closing hour, tenders will be opened at the Federal
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday, June 29, 1945,.--- ------ _
6-20^45 .
The Secretary of the Treasury, by this public notice,
invites tenders for $ T ’
v 360,000,000, or thereabouts, of; 91day Treasury bills, to be Issued on a dj.scou;it basis under
competitive and fixed-price bidding as hereinafter provided*
The bills of this series Will be dated July 5, 1945, and.will
mature October 4,, 1945, when the face,;amount will be payable
without interest. They will be issued in bearer foriji only,
and in denominations o f ’$lyQ00$ $5,o6o, $.10,000, $100,000, $500,000,
and $1,000,000 (maturity value).
Tenders will .be received at Federal Reserve Banks and
Branches up.to the closing hour, two o ’clock p.m.,-Eastern War
time, Monday, July 2, 1945* Tenders will not be received at
the Treasury Department,. 'Washington. Each tender must be
for an even multiple of $1,000, arid the price offered must be
expressed on the basis of 100, with not more than three deci
mals, e. g.-, 99.925. Fractions may not be used.
It is.urged
that tenders be made on the printed forms and forwarded-in the
special envelopes which will be supplied by Federal Reserve
Banks or Branches on application therefor.
Tenders will be received without deposit-from incorporated
banks, and trust companies and from responsible and recognized
dealers in investment securities. Tenders from others must be
accompanied by payment, of 3 percent of the face amount of
Treasury bills applied for1, unlebs 't!he tenders,, are accompanied
by an express guaranty of payment by an incorporated bank or
trust company.
|
Immediately after the closing hour, tenders will be opened
at the Federal Reserve Banks and Branches, following which
public announcement will be made by the Secretary of^the
Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or re
jection thereof.
The Secretary of the Treasury expressly
reserves the right to accept or reject any or all, tenders, in
whole or in part, and his action in any such respect shall be
final.
Subject to these reservations, tenders for $200,000^
or less from any one bidder at 99.905 entered on a fixed-price
basis will be accepted in full.
Payment of accepted tenders
at the prices offered must be made or completed at the Federal
Reserve Bank in cash or other immediately available funds on
July 5, 1945.
46-85
(Over)
2
TÎie Income derived from Treasury bills, whether interest
or gain from the sale or other disposition of the bills, shall
not have any exemption, as such, and loss from the sale or
other disposition of Treasury bills shall not have any special
treatment, as such, under Federal tax Acts.now; or hereafter
enacted. The bills shall be subject to-¿state,- inheritance,gift, or other excise taxes, whether Federal or $tate, but
shall be exempt, from all taxatioh now or hereafter imposed on
the principal or interest thereof by any State, or any.of the
possessions of the United States, or by any local taxing
authority.
For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United’
States shall be considered to be interest, Under Sections 42
and 117 (a) (1). of the Internal Revenue Code, as amended by
Section 115 .of the Revenue Act of 1941, the amopnt of discount
at which bills Issued hereunder*are;sold shall not b e ”.CQnsidered to? accrue until' such bills'¿hall be sold, redeemed or
otherwise disposed of, and* such bills are excluded from con
sideration as capital assets,
Accordingly, the owner of
Treasury bills (other than life insurance companies) issued
hereunder need include in his income tax return, only the
difference, between the price paid for such bills»whether on
original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity
during the taxable year for which the return^ is made, as
ordinary gain or loss..
Treasury-Department Circular No. 418, as amended, and
this notice, prescribe the ‘terms of the Treasury bills and
govern the conditions of their issue.
Copies of the circular
may be obtained from any Federal Reserve Bank*or Branch.
oOo
TBMSUKT OSPABTHSHT
Washington
FOR RELEASE, m m m mstSPAPMS, *
Monday. July 2. 1945»-------
Press Service
Secretary Morgenthaw today released the new Treasury Department regula
tions governing the simplified plan for the redemption of Savings Bonds of
Series A through 8. The Public Debt Act of 1945 authorised the Secretary,
under certain conditions, to utilise savings and loan associations, building
and loan associations (including cooperative banks), credit unions, cash
depositories, industrial banks and similar financial institutions to make
payments in connection with the redemption of these bonds. Dp to this tine
such payments have been made only by the Treasury Department, the Federal
Reserve Banks and their Branches, and incorporated banks and trust companies
which have qualified for that purpose.
Before any of these institutions win be permitted to make any such pay
ments they must apply to and be qoalifisd by the Federal Reserve Bank of the
District in which they are located. Dnder the Act and the regulations, an
institution mast meet the following tests in order to bo considered eligible
to qualify to pay the bonds. It must (a) bo incorporated under Federal law
or under the laws of a state, territory, possession, the District of Columbia
or the Commonwealth of the Philippine Islands} (b) in the usual course of
business accept, subject to withdrawal, funds for deposit or the purchase of
shares} (e) be under the supervision of the banking department or equivalent
authority of the jurisdiction in which it is incoiporatsd} (d) maintain a
regular office for the transaction of its business} and (o) bo open daily
and observe regular business hours. Full details with respect to qualifi
cation, the scope of authority of paying agents and the details of payment
and accounting will be found In Department Circular Ho* 750# Revised.
Tim experience of incorporated banks and trust companies in paying
these bonds during the last nine months warrants a slight reduction in the
scale of reimbursement to paying agents for. the bonds which they pay and
forward to the Federal Reserve Bank which qualifies then. Effective as to
bonds paid on and after July 2, therefore, the reimbursement which agents
now qualified, as wall as the new agents which will qualify under the re
vised regulations, will be entitled to claim will be 15 cents each for the
first 1,000 bonds paid in any one calendar quarter and 10 cents each for
all over 1,000 bonds paid in the quarter.
The text of the official circular follows*
TREASURY DEPARTMENT
Washington
FOR RELEASE* MORNING NEWSPAPERS,
Monday« July 2, 1945»
Press Service
No. 46-84
Secretary Morgenthau today released the new Treasury Department
regulations governing the simplified plan for the redemption of Savings
Bonds of Series A through E . .The Public Debt Act of 1 9 4 5 authorized
the Secretary, under certain conditions, to utilize savings and loan
associations, building and loan associations (including cooperative
banks), credit unions, cash depositories, industrial banks and similar
financial institutions to make payments in connection with the redemp
tion of these bonds. Up to this time such payments have been made only
by the Treasury Department, the Federal Reserve Banks and their Branches,
and incorporated banks and trust companies which have qualified for that,
purpose.
Before anv of these institutions will be permitted to make any such
payments they must apply to and be qualified by the Federal Reserve Bank
of the District in which they are located, Under the Act and the regu
lations, an institution must meet the following tests in order to be
considered eligible to qualify to pay the bonds. It mus (a ) Q m c o
porated under Federal law or under the laws of a state, territory,
possession, the District of Columbia, or the Commonwealth of the Philippine
Islands; (b) in the usual course of business accept, subject to
drawal, funds for deposit or the purchase of shares; (c) be under the
supervision of the banking department or equivalent authority ot the ■
jurisdiction in which it is incorporated; (d) maintain ,a
_^***.:...
for the transaction of its business; and (,e) be open daily and o 'e
regular business hours. Full details with respect to qualification,
the scope of authority of paying agents and the details pf payment and
accounting will be found in De/artjuent Circular No, 75 > evise •
The experience of Incorporated banks and trust companies in paying
these bonds during the last nine months warrants a slight reduction in
the scale of reimbursement to paying agents for the bonds whic,
y pJ
and forward lo the Federal Reserve Bank which qualifies them, MIeciive
as to bonds paid on and after July 2, therefore, the reimbiirsemen wn
agents now qualified, as well as the new agents which will qualify
the revised regulations, will be entitled to claim w i l l e 1 5
for the. first 1,000 bonds paid in any one calendar quarter and 10 cen s
each for all over 1,000 bonds paid in the quarter.
The text of the official circular follows;
REGULATIONS GOVERNING PAYMENTS BY BANKS AND OTHER FINANCIAL
INSTITUTIONS IN CONNECTION VTITH THE REDEMPTION OF UNITED
STATES SAVINGS BONDS
1945
Department Circular No. 750
Revised
Fiscal Service
Bureau of the Public Debt
TREASURY DEPARTMENT,
Office of the Secretary,
Washington, June 30, 1945.
Department Circular No. 750, dated September 5, 1944 (9 F,R. 10,846),
is hereby amended, ’effective July 2, 1945, and issued to read as follows,
Pursuant to the authority of the Second Liberty Bond Act, as amended,
the following regulations are hereby prescribed to govern payments by
banks and other financial institutions in connection with the redemption
of United States Savings Bonds.
Subpart A - AUTHORITY TO ACT
Sec, 321.1, Financial institutions authorized to act. -Commercial
banks, trust companies, savings banks, savings and loan, associations,
building and loan associations (including cooperative banks), creditunions, cash depositories, industrial banks, and similar iinancio.1 in
stitutions which (a) are incorporated under Federal Law or under the laws
of a State, Territory b r possession of the United States, the District
of Columbia, or the•Commonwealth of the Philippine Islands; (b) in the
usual course of business accept, subject to withdrawal, funds for deposit
or the purchase of shares; (c) are under the supervision of the banking
department or equivalent authority of the jurisdiction in which incorpor
ated; (d) maintain regular offices for the transaction of their business;
and (e) are open daily and observe regular business hours, are eligible
to become paying agents and, upon qualification in accordance witn
Section 321,2 hereof, are hereby authorized to make payments in connection
with the redemption of United States Savings Bonds, subject to the pro
visions of this circular and any instructions issued hereunder.
Sec. 321,2. Application and qualification. - Federal Reserve Banks,
as Fiscal Agents of the United States, are authorized to qualify eligible
institutions hereunder, and to terminate any such qualification as here
inafter provided. Any eligible institution possessing adequate authority
under its charter which desires to qualify to make payments in connection
with the redemption of United States Savings Bonds, should make applica
tion to the Federal Reserve Bank of the Federal Reserve District in which
it is located!/ on. Application-Agreement Form PD 1958, Revised (see
appended Exhibit A), copies of which may be obtained from the approp
riate Federal Reserve Bank, If the application is approved, the Federal
Reserve Bank will forward to the applicant a Notice of Qualification .
Form PD 1959, Revised (see appended Exhibit B), establishing that it is
qualified to make payments in connection with the redemption of the
United States Savings Bonds hereinafter specified,^ If the application
is not approved, the applicant will be so advised in writing by the
Federal Reserve Bank of the District.
(a)
Continuation of existing qualifications, - Any incorporated
bank or trust company duly acting as a paying agent at the effective
date of this revision may continue so to act under its present qualifi
cation^; but subject to the terms and conditions of this circulai,
Sec, 321.3. Tenidnation of an agent’s qualification to pay bonds.
The Secretary of the Treasury or under authority of the Secretary the
appropriate Federal Reserve Bank, as Fiscal Agent of the United States,
may, by written notice, at any time and without previous demand or notice,
terminate the qualification of any paying agent nereunder, A duly qual
ified paying agent may discontinue making payments at any time upon written
notice to the Federal Reserve Bank, and its qualification shall thereupon
0 €2ci 2 0 •
Subpart B — GENERAL
Sec. 321.4. Meaning of terms in this circular. - For the purpose of
this circular, unless otherwise indicated specifically, or by context,
the terms:
(a)
"Paying agent(s)" or "agent(s)" shall mean any eligible financial
institution duly qualified pursuant .to the provisions of this circular to
make payments in connection with the redemption of the United States Sav
ings Bonds hereinafter specified, including such branches located within
the United States (including its territories and possessions,and.,t/he^nal
Zone) and the Commonwealth of the Philippine Islands, as it may wish to
utilize, For the purpose of this circular the term "branches" shall in
clude those bank facilities at army and navy installations and at defense
plants which have been established for the duration of the War with the
specific approval of the Treasury Department.
1/ For the purpose of this circular, eligible institutions in Puerto
Rico, the Virgin Islands and the Canal Zone shall be considered as being
within the Second Federal Reserve District and shall make application to
the Federal Reserve Bank of New York, and eligible•institutions in Alaska,
Hawaii, Guam and the Philippine islands shall be considered as being
within the Twelfth Federal Reserve District and shall make application
to the Federal Reserve Bank of San Francisco.
- 3 (b) ‘’Bondis)” shall include only United States S a v i n g s Bonds of Series
A B, C, D or E, including bonds of Series E designated "Defense Savings
Bonds“ or “Far Savings Bo.ùs.” (SAVINGS BONDS OF SERIES F AND G ARE NOT
INCLUDED.)
.
v .
(c) “Owner(s)“ shall mean an individual (natural person) whose para is
inscribed as an owner (or coowner) in his own right on
bona which is
registered in any of the following forms.
(1) in the name of a single individual in his own right, e.g. “John A.
ijfon&s *
(2) in thé names of two individuals as coowners, e.g. "John A. Jones
or irs. Ella S. Jones" (each is considered as an "owner," and pay
ment may be made to either without the consent of the other;; or
(3) in the name of one individual, payable on death to another, «•£•
"John A. Jones, payable on death to firs. Ella S. Jones, or John
A. Jones, p.o.d. 1rs. Ella S. Jones." (In this example, John a ,
Jones is the "owner" and 1rs. Ella S. Jones is the beneficiary.
:Payment under this circular to a beneficiary is not authorized.;
(d) "Federal Reserve Bank" includes each Federal Reserve Bank and each
Branch of a Federal Reserve Bank conducting any of the transactions in con
nection with which the term is used in this circular.
Sec. 321.5. Reimbursement of agents' costs. - (a) Each paying agent
shall be entitled to receive, for its service in paying bonds hereunder,
reimbursement for bpnds paid and forwarded to the Federal Reserve Bank
each calendar quarter according to the following scale, which shall be
applicable separately to the agent and to each of its branches utiliz d
in making payments hereunder, if the bonds paid by each are separately
scheduled and accounted fori
15 cents each for the first 1,000 bonds
10 cents each for ail over 1,000 oonds
The date such bonds are forwarded to the Federal Reserve
govern
the rate of reimbursement, and the payment of suen amount
the agent H
entitled to receive shall be made by the Federal Reserve Bank on behalf
of the Treasury Department.
(b)
Paying agents shall not make any charge whatever to owners of
savings bonds in connection with payments hereunder.
Sec. 321.6. Announcements, etc, of authority to.pay bonds. - Any
announcement of or any reference to an agent’s authority to p^y savings
bonds may be made only in a form or manner or contain such statements r
substance as may be approved by the Secretary of the Treasury or, under
authority of the Secretary', by the Federal Reserve Bank of the District,
as Fiscal Agent of the United States. An eligible financial institution
shall not make such announcements or references unless and until it is
officially qualified to pay bonds.
Subpart C - SCOPE OF AUTHORITY OF PAYING AGENTS
Sec. 321.7. General. - In order to protect the interests of
owners and to insure receipt by the proper persons of the proceeds there
of, savings bonds are registered, are not transferaDle, and, in accord
with their terms, are payable only to the owner name' on
e
bonds')
as otherwise specifically provided in the regulations govern ng
- 4 +.h*v mav not be used as security for loans or advances in ay.i g g :_
ibiicy must be understood and effectuated by each agent, notwithstanding
the authority granted herein to make payments oi bonds, since it is ol
ihe utoost Importance that payment of the appropriate ademption value of
the bonds be made onlyto. and .'.received^? the ^rsonsentiUedand stoic y
under the terms and conditions of the bonds and applic 1
qcx.R. Pavments-to owner named on bond, - Subject to the terms
of the bonds and J t h e provisions of t h e l ^ t i o n s governing them
(Treasury Department Circular Ho. 530, as currently in effect on the dat
of payment) and the provisions of this circular, an agent may make p y
inant of any United States Savings Bond oi Series A, B, C,j3 a t E, t
individual (natural person) whose name is inscribed as the om e r (or
owner) in his own right on the bond: Provided, Tnat “ ch individ^l
presents the bond to the agent for payment and tnat the
known to the agent or establishes his identity to
named
faction of the agent. This authority to make payments to the owner n
on the bond will be held to include the lollowing exceptional c~ses.
(a) Payments - owner's name changed by marriage. - there
the name of the owner as inscribed on the bond has
been changed by marriage and the agent knows or can
establish to its complete satisfaction the identity
of the owner whose name has been so changed. 1
signature to the request for payment should snow both
names, for example - "miss t o y T. Jones, now 7
marriage Mrs. t o y J. Smith." AN AGEN1 IS
AUTHOR _
IZED TO PAY A BOND FOR AN OWNER WHOSE NAME AS*INSCRIBED
ON THE BOND HAS BEEN CHANGED IN ANY OTHER MANNER.
(b) Payments - to parent of a minor. - Where the name of
the owner inscribed on the bond is that of a m n °r
child who is not of sufficient competency and under
standing to execute the request for payment and com
prehend 'the nature of such act but upon whose ^eha^
request for payment is made by a parent witn whom the
.child resides; Provided, however, That^the form o
registration does not indicate a guardian or similar
representative of the estate of the minor owner has
been appointed or is otherwise legally qualified.
The parent requesting payment on behalf of the
child must be known or his or ner identity establish,
to the complete satisfaction of the agent, and the
parent must sign the request for payment in the fo r m "John A. Jones, on behalf of John C. cones^ and affix
an endorsement in substantially the fol owing orm,
which may be typed on the back of the bond;
ce
that
I
am
the
_
(father
or
mother)
of
John
C.
in a u
. cu u
u u v
________'
u .
.
Jones and the person with whom he resides. He is
yoars of age and is not of sufficient competency and
understanding to sign the request." Such a p a y m e n t ^
not be made to anv person other than a father or mother.
j
- 5 Sec. 321.9. Specific limitations of payment authority. - An agent
is not authorifced to pay a bond:
(a) If the bond is presented for payment prior to the
expiration of 60 days from the issue date (the
issue date should not be confused with the date
appearing in the issuing agent’s dating stamp).
Any payment or advance to a bond owner before a
bond is eligible for redemption is not authorized
in any circumstance.
(b) If the agent does not know or cannot establish to
its complete satisfaction the identity of the per
son requesting payment as the owner of the bond
(including the establishment of the identity of
parents requesting payment on behalf of minor
children, as set forth in Sec. 321.8 (b) ).
(c) If the owner requesting payment (form for which
appears on the back of each bond) does not sign
his name in ink as it is inscribed on the face of
the bond and show his home or business address.
(See also Secs. 321.8 (a) and (b) and 321.10 (d).)
(d) If the bond appears to bear a material irregularity,
for example, an altered, illegible, incomplete or
unauthorized inscription, issue date or issuing
agent's validating stamp impression: or if a bond
appears to be altered, or is mutilated or defaced in
such a manner as to create doubt or arouse suspicion
with respect to the bond or any essential part thereof.
(e) If the bond is marked "DUPLICATE."
(f) If Treasury Department regulations require the submission
of documentary evidence to support the redemption of the
bond, as in the case of deceased owners, incompetents or
minors under legal guardianship or the change of an
owner's name as inscribed on a bond if for any reason
other than marriage.
(g) If the owner named on the bond and requesting payment
is a minor who, in the opinion of the agent, is not
of sufficient competency and understanding to execute
the request for payment and comprehend the nature of
such act. (Note the authority granted to agents to
make payments .of bonds to either parent on behalf of
a minor child under the provisions of Sec. 321.8 (b).)
(h) If it is known to the agent that the owner has been
declared, in accordance with law, incompetent to
manage his estate.
(i) If partial redemption is requested.
Attention is directed to Sec. 321.17 hereof for handling bonds of the
foregoing classés of cases, which may not be paid by agents.
Subpart D - PAYMENT AND ACCOUNTING
Sec. 321*10. Examination of bonds presented for payment. - Before
making payment of bonds presented hereunder the agent:
(a) Shall determine that the person requesting payment as the
’’owner'1 (as defined in this circular) is known or his iden
tity is established to the satisfaction of the a^ent.
(b) Shall examine the bond and determine that it is a bond which
the agent is authorized to pay under the provisions of this
circular.
(c) If the request for payment on the back of the bond is already
executed, shall determine that the request is properly signed
by the registered owner presenting the bond and that his
home or business address is shown.
(d) If the request for payment on the back of the bond has not
been executed or has been improperly executed by the 'owner
presenting the bond, shall require such owner to properly
sign the request and show his home or business address.
Sec. 321.11. Certification of requests for payment. - In view of
the provisions of this circular governing payment of bonds and the re
quirements as to the data to be.endorsed on each bond, under Sec. 321.12
an agent will not be required in the case of any bond paid by it to
complete the certification form at the end of the request for payment,
nor determine the authenticity of any certification which may appear
on the bond at the time it is presented for payment: Provided* however,
That each agent submitting paid bonds shall be understood by such sub
mission to have represented and certified that the identity of the owner
requesting payment has been duly established to the satisfaction of the
agent by one of its officers or by an employee duly authorized by the
agent.
Sec. 321.12. Determination of redemption values and payment of
bonds. - The redemption value of a bond is determined from the period
of time (years and full half-year) that it has been outstanding, and
the table of redemption values on each bond. The Federal Reserve Bank
of the District will furnish each agent monthly with a table of redemp
tion values from which it will be possible, after determining the month
- 7 and year of issue of any bond, to immediately establish its current
value. After establishing such value, payment thereof to the owner
requesting payment shall be made in cash. No objection will be made
to an arrangement between the owner and the agent under which the owner
accepts in lieu of cash, a credit to his checking, savings or share
account with the agent, or a check or similar instrument payable to
his order. Each agent shall place on the face of each bond paid by
it the word MPAID,M the amount and date of payment and the name, loca~
tion and code number assigned to the agent by the Federal Reserve^Bank,
Other data pertinent to the payment procedure of an agent may be in
cluded if approved by the Federal Reserve Bank of the District. The
Federal Reserve Bank will furnish rubber stamps for this purpose or,
in lieu thereof, will approve suitable stamps prepared by an agent.
The affixation of such data shall be construed by and between the agent
and the Treasury Department to be a certification by the paying agent
that the bond has been paid in accordance with the terms and require
ments of this circular and that payment of the proceeds of the bond has
been made to the owner.
Sec. 321.13. Forwarding paid bonds to the Federal Reserve Bank. After payment, the bonds shall be forwarded to the Federal Reserve Bank
of the District in accordance with instructions issued by such Federal
Reserve Bank.
Sec. 321.14. Redemption of paid bonds by Federal Reserve Banks, Upon receipt of the paid bonds the Federal Reserve Bank will make im
mediate settlement with the topaying:..' agent for the total amount of
payments made on such bonds; however, such settlement shall be subject
to adjustment if any discrepancies are discovered at a later date.
Sec. 321,15« Losses resulting from payments. - Section 22 of the
Second Liberty Bond Act, as amended, provides:
”(i) Any losses resulting from payments made in connection with
the redemption of savings bonds shall be replaced out of
the fund established by the Government Losses in Shipment
Act, as amended, under such regulations^/ as may be pre
scribed by the Secretary of the Treasury. The Treasurer of
the United States, any Federal Reserve Bank, or any quali
fied paying agent authorized or permitted to make payments
in connection with the redemption of such bonds, shall be
relieved from liability to the United States for such losses,
upon a determination by the Secretary of the Treasury that
such losses resulted from no fault or negligence on tne part
of the Treasurer, the Federal Reserve Bank, or the qualified
2/ Regulations governing replacement of losses resulting from payments
made in connection with the redemption o|* United States Bonds are set
forth in Treasury Department Circular No. 751 > Revised,
paying a g e n t T h e provisions of Section 3 of the Govern
ment Losses in Shipment Act, as amended,3/ with respect to
the finality of decisions by the Secretary of the Treasury
shall apply to the determinations made pursuant to this subsection.'5HHi'.n
(a) Consideration of facts concerning loss, - In any case in
which a loss occurs, the paying agent shall be afforded ample oppor
tunity to present all of the facts pertaining to the circumstances oi
the payment for consideration by the Secretary.
Sec. 321.16. Preservation of rights. - Nothing contained in
these regulations shall be construed to limit or restrict any exist
ing rights which holders of savings bonds may have acquired under tne
circulars offering such bonds for sale and the regulations proscribe
thereunder.
M
Sec. 321.17. Redemption of bonds not payable by agents. - Any _
bonds which an agent is not authorized to pay pursuant to the provisions
of this circular should be forwarded by the owner, or his o.gen , a ,££
certification of the requests for payment, to the Federal Reserve Bank
or Branch of the District for redemption. If an agent should undertake
to forward such unpaid bonds at the request and in behalf oi tge person
entitled to payment, such bonds must be sent separate arid .apart iggjL
hnnds which'the agent has paid. Any documentary evidence required
^
support the redemption shouidTaccompany the bond or bonds when „orwarded
to the Federal Reserve Bank.
Sec. 321,18. Functions of Federal Reserve Banks. - The Federal
Reserve Banks, as Fiscal Agents of the United States, are authorized
to perform such duties, and prepare and issue such forms and mstru tions, as may be necessary to the fulfillment of the purpose and. re
quirements of this circular. The Federal Reserve Banks,-in their
discretion, may utilize' any or all of their Branches in the performance
of these duties.
Sec. 321.19, Supplements, Amendments, etc. - The Secretary of the
Treasury may at any time or from time to time revise, -supplement, amen ,
or withdraw, in whole or in part, the provisions of
circ c'r,^or
of any revisions, supplements, or amendments thereto, 1 orma ion as
which will be furnished promptly to the Federal Reserve ^anks and to he
agents qualified hereunder.
HENRY MORGENTHAU, JR,,
Secretary of the Treasury.
3/ The provisions of Section 3 of the Government Losses in Shipment Act,
as amended, with respect to the finality of decisions by ie ecre
?,
.the Treasury are — ’’Notwithstanding any provision of law o
e con r ^ ,
the decision of the Secretar, of the Treasury that such loss, destruction
or damage has occurred or that such shipment was made substantially in
accordance with such regulations shall be final and conclusive an s r
not be. subject to review by any other officer of the United States,
- 9 EXHIBIT "A"
Form PD 1958, Revised
( July 2, 1945)
Treasury Department
Fiscal Service
Bureau of the Public Debt
APPLICATION- AGREEMENT
Payments by banks and other financial institutions in
.connection with the redemption of United States Savings Bonds
Dated,.•.. ♦............ » 194* •••
TO THE FEDERAL RESERVE BANK OF .....
Fiscal Agent of the United States
hereinafter referred to as the underNane of institution
_
signed, hereby applies for qualification to make payments in connection
with the redemption of United States Savings Bonds, as provided in
Treasury Department Circular No. 750, Revised. Tiie undersigned nereby^
certifies that (a) it is incorporated under the laws of --- .
:.9
(b) in the usual course of business it accepts, subject to withdrawal,
funds for deposit or the purchase of shares; (c) it is under the super
vision of the
------ ------ m **— rr---rrr— ■
Name of supervising Dept, or similar office
of
:
- T,''/ ; (d) it maintains a regular office
State or other jurisdiction
for the transaction of its business at the address specified below;
(e) it is open daily and observes regular business hours; and U ; ^
has adequate authority undef its charter .to enter into t m s agreement.
The
In. consideration of being qualified as a paying agent, the under
signed hereby agrees;
x.
To be bound by and to comply with the provisions of Treasury
Department Circular No. 750, Revised, including all supplements and amendments thereof and instructions issued tnereundor.
2.
That the Secretary of the Treasury, or the Federal Reserve Bank
of ............... . by written notice, may, at any time, and
without *previous demand or notice, terminate the qualification
of the undersigned; and that in the event of such termination
the undersigned, after receipt of such notice or after the dcte
of termination specified therein, will not therealter pay any^
United States Savings Bonds.
-
10
-
V
It is understood that the undersigned may withdraw from this
Agreement at any time upon written potice of such intention to the
Federal Reserve Bank o f ......................
IN WITNESS WHEREOF, the undersigned has caused this Agreement
to be executed under seal by the officer below named, thereunto duly
authorized by a resolution of its governing board or committee adopted
on the ........ ......... day of ....... *•*....... . 194. .*...
(Name )
t (Address)
(SEAL)
By
(Signature of Officer)
(Title of Officer)
ACKNOWLEDGMENT
State of
County of
)
) ss#
On this ........ ....... day of ............ -, 194• • • • • > before
me appeared ............... .,.... .... ., to me personally known, who,
being by me duly sworn, did say that he is the .*(f£tie’of
---
of the ...................... and that the seal affixed to the above
(Name of institution;
instrument is the corporate seal of sai?l Institution, and that the above
instrument was signed and sealed in behalf of said institution by authority
of its governing board or committee, and said officer acknowledged said
instrument to be the free act and deed of said institution.
Notary Public
(SEAL)
My commission expires.
(in case the applicant has no corporate seal omit the words, ’’and that
the seal affixed to the above instrument is"the corporate seal of said
institution”, and add at the end of the affidavit ’’The institution has
no corporate seal”.)
-
11
-
E X H IB IT
Form PD 1 9 5 9 ,
"B "
R e v is e d
( J o lly 2 , 1 9 4 5 )
T r e a s u r y D e p a rtm e n t
F i s c a l S e r v ic e
B u reau o f th e P u b lic D ebt
NO TICE OF Q U A LIFICA TIO N OF A BANK OR OTHER FIN A N CIA L IN STIT U TIO N
TO MAKE PAYMENTS IN CONNECTION LTTH THE REDEMPTION OF
UNITED STA TE S SAVINGS BONDS
, 19 4 .
T
Xo :
G e n t le m e n :
has
Y o u r A p p l i c a t i o n - A g r e e m e n t F orm PD 1 9 5 8 , R e v i s e d , d a t e d ..........................
been ap p roved a s o f t h is d a te .
You a r e h e r e b y n o t i f i e d t h a t y o u a r e
q u a lifie d
S ta te s
to
m ake p a y m e n t s
in
c o n n e c tio n w it h t h e
S a v in g s Bonds p u r s u a n t t o
C ir c u la r N o. 7 5 0 , R e v is e d ,
and in s t r u c t io n s
is s u e d
th e
p r o v is io n
r e d e m p tio n o f U n ite d
o f T r e a s u r y D e p a rtm e n t
a n d a n y s u p p l e m e n t s o r a m e n d m e n ts t h e r e o f
p u rsu an t th e r e to .
FEDERAL RESERVE BANK OF ............................
F i s c a l A g e n t o f t h e U n ite d S t a t e s
'i
-
2-
reckon the cost of redeeming civilization.*
radio address opening Third War Loan Drive
Ij
(Sept* 7, 1943,
Submitted by
3
Ned Brooks, newspaper correspondent.£
Third award:
ttIn the strength of great hope we must all
shoulder our common load**
1932.)
(Address at San Francisco, Sept. 23,
Submitted by Thomas W. Kelleyr, news photographer.
Mr. Brooks receives a $50 war bond and Mr. Kelley a $25 bond.
All prizes were provided personally by Secretary Morgenthau.
The competition was open to Washington correspondents of
daily newspapers and periodicals, radio correspondents, and White
House news photographers, and was conducted by a Joint Committee.
Samuel W. Bell, chairman of the Press Galleries Standing Committee,
was chairman of the Joint Committee, and G. W. Stewart, Jr.,
chairman of the executive committee of the Periodical Corres
pondents Association, was its secretary.
Other members of the
Joint Committee were William Costello, acting chairman of the
executive committee of the Radio Correspondents Association,
and Charles J. Mack, president of the White House News Photographers
Association.
Secretary Morgenthau tonight announced the results of the
competition to select a quotation from the late President Roose~
velt, to be used on a special memorial bond which will be issued
during the Eighth War Loan.
The bond will have a maturity value of $200, selling for
$150, and will bear the likeness of the late President.
The quotation, submitted by Daniel
M.
Kidney, Washington,D.C.
newspaper correspondent, is:
"Every single man, woman and child is a partner in the most
tremendous undertaking of our American history.
The quotation was taken from President Roosevelt’s Address
to the Nation, December 9, 1941, two days following the Japanese
attack on Pearl Harbor.
Associate Justice Owen J. Roberts of the Supreme Court of
the United States selected the quotation entered by Mr. Kidney,
who received an award of a $100 Series E War Bond.
Secretary Morgenthau and Mr. Kidney participated m
a
nationwide broadcast, at 10:45 p.m^ J'July 29, in which the
circumstances leading up to President Roosevelt’s Address to
the Nation, December 9, 1941, -ms dramatized.
The following quotations were selected by Justice Roberts
for second and third awards:
Second award:
"The American people will never stop to
TREASURY DEPARTMENT
Washington
FOR RELEASE AT 11:00 PM, EWT,
Friday, June 29, 1945.________
Press Service
No. 46-85
Secretary Morgenthau tonight announced the results of the
competition to select a quotation from the late President
Roosevelt, to he used on a special memorial bond which will be
issued during the Eighth War Loan.
The bond will have a maturity value of ft200, selling for
|150, and will bear the likeness of the late President.
The quotation, submitted by Daniel M • Kidney, Washington,
D. C., newspaper correspondent, is:
’’Every single man, woman and child is a partner in the
most tremendous undertaking of our American history.”
The quotation was taken from President Roosevelt’s
Address to the Nation, December 9, 1941, two days following
the Japanese attack on Pearl Harbor,
Associate Justice Owen J* Roberts of the Supreme Court of
the United States selected the quotation entered by Mr. Kidney
who received an award of a ft100 Series E War Bond.
Secretary Morgenthau and Mr. Kidney participated in a
nationwide broadcast, at 10:45 p.m. ( Junei2D,),in which the
circumstances leading up to President Roosevelt1 s Address to
the Nation, December 9, 1941, were dramatized.
The following quotations were selected by Justice Roberts
for second and third awards:
Second award:
’’The American people will never stop to
reckon the cost of redeeming civilization.” (September 7,
1943, radio address opening Third War Loam Drive.) Submitted
by Ned Brooks, newspaper correspondent.
Third award:
”In the strength of great hope we must all
shoulder our common load.” (Address at San Francisco,
September 23, 1932.) Submitted by Thomas W. Kelley, news
photographer.
Mr. Brooks receives a- ft50 War Bond and Mr. Kelley a ft25
Bond. All prizes were provided personally by Secretary
Morgenthau.
2
The competition was open to Washington correspondents of
daily newspapers
and periodicals, radio correspondents, and
white House news photographers, and was conducted by a Joint
Committee,
Samuel W, Bell, chairman of the Press Galleries
Standing Committee, was bhairman of the Joint Committee, and
G. W. Stewart, Jr,, chairman of the executive -committee of the
Periodical Correspondents Association, was its secretary.
Other members of the Joint Committee wepe V^illiam Costello,
acting chairman of the executive committee of the Radio
Correspondents Association, and Charles J, Mack, president of
the White House News Photographers1 Association,
0O0
DIVISION OF PUBLIC RELATIONS
Assignment sheet»
Release date
Title
Fiscal yeaiw»ad ata.teBiont
T/3/48________
46-8S
Press Service No.
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TAC (
Mailing
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General *_ • • . » » » « » » * » • •
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( ) Financial
( ) News Editors
Editors 11VIM
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( ) Speech list
1,575
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PUBLIC RELATIONS, Room 4416 . . . ,
*
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Oliiil • •
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W
0
TREASURY DEPARTMENT
Washington
FOR RELEASE, 11:00 AM, EWT
T u e s d a y , July 3« 1945»
Press Service
No. 46-86
The following statement was made today by Secretary Morgenthau;
The financial operations of the Government for the fiscal year 1945
are set forth in the Daily Treasury Statement for June 30, 1945, released
today.
This statement covers the fourth fiscal year in which the country
has been engaged in a two-front war, and following closely the pattern of
the previous war-time years, receipts and expenditures again reached un
precedented peaks.
Although the war in Europe ended in May, 1945, the
full effect o#f its termination will not be reflected in governmental
receipts and expenditures for some time.
Receipts for the fiscal year 1945 amounted to $46,457,000,000, (ex
clusive of $1,283,000,000 of Social Security employment taxes set aside
for account of the Federal Old-age and Survivors Insurance Trust Fund) an
increase of $2,308,000,000 over 1944, the previous record year.
Total budgetary expenditures amounted to 7100,405,000,000, an increase
of $6,661,000,000, as compared with total budgetary expenditures of
$93,744,000,000 for the fiscal year 1944»
The net budgetary deficit for the year was $53,948,000,000, as com
pared with $49,595,000,000 for the preceding fiscal year, an increase of
$4,353,000,000.
Expenditures for war activities amounted to $90,029,000,000 and con
tinued to account for the major portion of total expendituresf In addition
war expenditures by the Reconstruction Finance Corporation and its subsid
iaries, while much less than in preceding years, amounted to $472,000,000.
These war expenditures, together with interest on the public debt, tax
refunds and Veterans’ expenditures, accounted for about, 98$ of total
expenditures for the fiscal year 1945, the same as for similar items in
the fiscal year 1944*
Budgetary receipts and expenditures for the fiscal years 1944 and
1945 are given in the following table which also indicates the total
increase or decrease^ for each listed classification:
2
BUDGETARY RECEIPTS AND EXTENDITORES. FISCAL TBARS 1944 AND 1945
(In B illio n s of dollars)
1945
Receipts:
Internal revenues
Income tax:
Withheld by employers (Current Tax Payment
Act of 1943) ............................. .
Other
Miscellaneous internal revenue
Social security taxes
Taxes upon carriers and their employees
Railroad unemployment insurance contributions ....... .
Customs
i
Miscellaneous receipts .............. ........... .
Total receipts
Increase (+)
Decrease (-)
8,393
26,262
5,291
1,472
267
12
431
3,280
10,289
24,884
6,949
1,494
285
13
355
3.470
v 1,896
- 1,378
» 1,658
*
22
v
18
a
1
76
»
189
45,408
47,740
♦
2,331
Deduct net appropriations to Federal old-age and survivors
.....
insurance trust fund
1,260
1,283
♦
23
Net receipts.......... ........... .
44,149
46,457
♦
2,308
793
892
*
100
257
484
36
a
-
257
352
74
488
88
140
54
15
12
29
6
177
65
455
94
100
50
12
9
1
6
142
20
+
34
6
40
4
3
3
30
*
35
45
2,609
3,617
134
133
629
894
821
934
♦
e
♦
760
689
305
6,188
8,751
♦
2,563
49,302
26,538
2,143
133
228
539
1,432
3,812
1,922
-
50,399
30,047
1,198
122
185
70
1,462
3,227
2,042
140
991
114
1,022
»
♦
114
32
87,039
90,029
♦
2,990
Expenditures:
I. General:
Departmental (not otherwise classified) .........
Agriculture Department:
War Food Administration:
Conmodity Credit Corporation - Restoration
of capital Impairment
Other......................
Other ..................... .
Federal Security Agency:
Social Security Board ........................
Other ............................... .
Federal Works Agency ........ ..... ......... .
Interior Department - Reclanatlon Projects .....<
National Housing Agency ......................
Panama Canal ....................................
Post Office Department (deficiency)
Railroad Retirement Board .......................
River and harbor work and flood control .........
Tennessee Talley Authority ......................
Treasury Department:
Interest on the public debt ..................
Refunds of taxes and duties:
Excess Profits Tax Refund Bonds ...........
Other........ ............. ........ .
Veterans' Administration
836
38
i/
Subtotal ..............................
II. War Activities:
War Department
Navy Department ...................................
Agriculture Department ............................
Federal Security Agency ...........................
Federal Works Agency ..............................
National Housing Agency ................ ......
Treasury Department ...............................
United States Maritime Coemlssion .................
war Shipping Administration
Aid to China .......... .
Payments for united Nations Relief and Rehabilita
tion Administration
Other ................. ....... .
Subtotal ...............................
III.
Revolving Funds (net):
Farm Credit Acbninlstratlan .
Public Works Administration
Subtotal .........
IT.
Transfers To Trust Accounts, Etc.:
Adjusted Service Certificate Fund
Federal contributions to District of Columbia
(United States share)
Ooveraaent employees' retirement funds (U nited
States share) .......... ........ ........
National servios life insurance fund
Office of Distribution (surplus commodity
stamps) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Railroad retirement account
Railroad unemployment insurance administration fund
transfers to unemployment trust fund (Act Oct. 10,
1940) ......................................
a 1,008
« 1,098
♦ 3,510
945
10
43
469
♦
30
585
a
120
»
140
a/
21
«
♦
a
a/
a
»
9
S/
♦
♦
-
»
17
1
18
9
6
6
-
177
101
197
1,117
♦
19
a 1,015
3
263
a/
*
309
♦
♦
3
¿6
3
12
9
556
1,646
a 1,090
Total expenditures (excluding public debt
retirements)
........
93,744
100,405
a 6,661
49,595
53,948
Figures are rounded to the nearest million and will not necessarily add to the totals shown,
a/ Excess of credits, deduct.
*
38
-
Subtotal .................................
Net deficit
Hots:
S/
a/ 1
a/ 39
#/
Lass than $500,000.
a
4,353
- 3 -
Financing net deficit and other requirements
The following table shows the factors involved in financing the net
deficit and other requirements:
(In millions of dollars)
Net deficit, excluding debt retirements ..................••••••#*$53,943
Excess of receipts (-) or expenditures (/) in
(a)
Checking accounts of governmental agencies:
General
Sales and redemptions of obligations
in the market (net)
(b)
•
374
f 1,553
Trust and other accounts ••••••♦••«•«••* «* 1,977
Increase in general fund balance
Total requirements •.*.*.»•••»•«•«•••••••*»*****
-
79B
/
4,529
57,679
Means of financing:
Public debt receipts (net) from
(a)
Public issues:
Treasury Bills ••*•••..«••••••••
Treasury Certificates of In
debtedness
Treasury Notes ................ *
Treasury Savings Notes ••••*•••«
Treasury Bonds ».««««•......
U. S. Savings Bonds
Other issues
(b)
2,302
5,356
6,097
560
27,142
10,979
718
53,154
Special issues:
Unemployment Trust Fund •••••♦• •
Federal Old-Age and Survivors
Insurance Trust Fund
National Service Life Ins. Fund,
Other issues
Total .......... .......•
1,137
542
1,974
8724,525
..... .
Figures are rounded to nearest million and do not necessarily
add to totals shown.
$ 57,679
~ u -
RECEIPTS AND EXPENDITURES
Total receipts for the fiscal year 194-5 amounted to $47,740,000,000
as compared to $45,408,000,000 in 1 9 4 4 , an increase of $2,331,000,000.
Income taxes showed a neb increase of $518,000,000, Income taxes with
held by employed under'the Current^*tax'Payment Act of' 1943 increased
$1 ,8 9 6 ,000,000 and other income taxes decreased. $1,378,000,000P All other
classes of receipts, except those from customs, increased over the preceding
fiscal year* Social security taxes and taxes upon carriers and their em
ployees increased $40,000,000; miscellaneous internal revenue increased
$1,658,000,000, and miscellaneous receipts increased "£189,000,000.
Customs collections, amounting to $355,000,000, were'$76,000,000 less
than in. 1944.
Included among the miscellaneous receipts were more than
$2,000,000,000 on account of renegotiation of war contracts; approximate
ly $275,000,000 from the- sale of surplus property, and $188,000,000 from
surplus postal revenues. The surplus postal revenues paid into the
Treasury during' the’fiscal* ;vear 1945 exceeded the total surplus receipts
from this source since the establishment of the Government.
The total receipts for the fiscal year just ended were only
$717,000,000 or l|$> more than the Budget estimate of January 3, 1945.
Total budgetary expenditures (excluding debt retirement) for the
fiscal year 1945 amounted to $100,405,000,000, an increase of
$6,661,000,000 compared with the previous fiscal year. Total budgetary
expenditures exceeded the Budget estimate of January 3, 1945 by
$1 ,4 9 2 ,000,000, or about l^ydue primarily to continuing high expendi
tures for war activities, which were $2 ,0 29 ,0 0 0,000 higher than the
Budget estimate.
•*
s*' *
Budgetary expenditures-classified as "war activities" amounted to
$90,029,000,000 for the fiscal year 1945, an increase of $2,990,000,000
compared with 1944. Some of- the larger war agencies contributed to the
higher level of expenditures* in the year just ended, while there were
offsetting decreases in other items in the war activities classification.
The increases were as follows: War Department,' $1,098,000,000; Navy
Department, $3,510,000,000; Treasury Department war expenditures, prin
cipally purchases for Lend-Lease* export, $30,000,000; War Shipping
Administration, $120,000,000; and otter miscellaneous items, $32,000,000.
Expenditures for aid to China*and payments for United Nations Relief and
Rehabilitation Administration aggregated $254,000,000, while there Yrere
no expenditures for'these items in the fiscal‘year 1944. Decreases in
war activities expenditures in 1945 compared with the previous fiscal
year were as follows; ..Department of -Agriculture, mainly the Lend-Lease
food-.program, $945,000,000; United States Maritime Commission,
$585,000,000, and an aggregate of $522,00.0,000 under the Federal Security
Agency, Federal Works Agency, ana the National Housing Agency.
\
General expenditures, excluding revolving funds and transfers to
trust accounts, amounted to $8,751,000,000, an increase of $2,563,000,000
as compared vdth 1944# However, the increase in total general expendi
tures was more than offset by the increases in certain items classified
as general expenditures which reflect the impact of war activities,
namely, interest on the public debt, which increased $ 1 ,008 ,000 ,000 ,
refunds of taxes and duties, which increased $ 1 ,4 4 8 ,000 ,000 , and
veterans* expenditures which increased $ 3 0 5 ,000 ,000 ; and by a payment
of $257,000,000 to restore the capital impairment of the Commodity
Credit Corporation applicable to the-fiscal years 1943 and 1944, hut
not appropriated by the Congress until April 25, 1945«
Expenditures representing amounts transferred to trust accounts,
etc*, increased $1,090,000,000, as compared vdth the previous year*
This increase was accounted for as follows: By a payment of $9,000,000
to the Adjusted Service Certificate Fund; transfers to Government em
ployees* retirement funds were $19,000,000 greater than the preceding
year; transfers to the National Service life Insurance Fund were
$1 ,0 1 5 ,000,000 more than last year, and the amount transferred to the
Railroad Retirement account exceeded the previous year by $46,000,000.
The trend in recent years of Government expenditures including net
expenditures of certain governmental corporations and credit agencies
is shown in the following table which breaks down budgetary items into
war activities; interest on the public debt, tax refunds, and Veterans*
Administration; and all other:
6
Summary of Government expenditures
for the fiscal years 1941 to 1945, showing
budgetary items and transactions of Government corporations
•"
(In millions of dollars)
Fiscal
; Year
!
• 1941■
Fiscal
Year
1942
Fiscal
Year
1943
Fiscal
Year
1944 ,
Fiscal
Year
1946
6.301
26,011
72.109
87,039
9Q,029.
Interest.............. ...... .
1,111
1,260
1,808
2,609
Tax refunds......... ....... .•
90
94
79
Veterans1 Administration........
563
556
602
730
2,060
2/4,647
4,475
3.580
3,099
2,984
Total other aotivi titles....
6,410
6,386
6.070
6,705 ’10.375
Total budgetary items.......
12,711
32,397
78,179
93,744 100,405
Government corporations (net),
excluding sales and redemptions
of market obligations...........
1,069
1,815
1,500
13,780
34,212
79,679
Budgetary items :
War a c t i v i t i e s .....
Other activities;
Grand total...... .
y
y
i/
3,617
1/ 267 1/1,715
1,529
3/374
95,273 100,030
Includes refunds of $134 millions in 1944 and $894 millions in 1945 in the
form of Excess Profits Tax Refund Bonds.
Reduced by $329 millions, return of surplus funds of Government corporations,
repaid to appropriations.
Excess of credits, deduct.
7
Summary of expenditures other than war activities,
interest on public debt, tax refunds, and Veterans1.
Administration, by fiscal-years
,
..v
r.
(In millions of ■dollars^
Classification
1941
1.942
..,1943
676
685
732
1/811
1,109
1,046
Departmental (not otherwise .
classified)
Agriculture Department
Federal Security Agency;
Civilian Conservation Corps
National Youth Admin.
Social Security Board ;
Other
Total Federal Security Agency
Federal Works Agency;
Public Buildings Admin,
Public Roads Admin,
Public Works *Admin. ' '.
Work Projects Admin,
Other
•
Total Federal Works .Agency
ZStk1
163 •
88
475 ‘
75
799
90.
423
66
836 .
1945
1944:-:
793 :
892
833
683
mm
18 2
%J
474
81
575
—
488 .. , 455
94
.88,
57-6.•c-v. 549
•-52 '
v. 66:
4-,'fai
17 •
; 1 ,¿g
46
49
~
5
69
174
3/126
: 1,285
60
153
40
882
-
48
87
12
299
1
1,654
. 1,136
447
93
103
107
18
15
15
12
Gov’t. Employees Retirement Funds
National Housing Agency •-
:‘
‘ 'i .
17' •*.
100
139
. I77:‘IL 1 9 7
Railroad Retirement Board 4/
139
155
228
280'
it/ 324
River and harbor work and flood
control
219
193
201
• 177
'a42
127
111
65
Tennessee Valley Authority
51
151.f54 r •.153 •, •, *.120
Other
Total
.
20
<•
4,647 ...1 ,4 7 5 ...
. 3,580...
43 *|||
3,099
65
2,984
Figures are rounded and will not necessarily add to totals.* •
1/ Reduced by $515,000,000 return of surplus funds from Government Corporations,
repaid to appropriations,
v
'••••'v 7
2/ Some functions abolished and-other functions transferred to other agencies.
3/ Reduced by $14,000,000 return of surplus funds, repaid to appropriations..
4/ Includes transfers to Railroad Retirement Account and to Railroad Unemploy
ment Insurance Account.
r. 8 -
WAR EXPENDITURES
Total expenditures for defense and war activities since July 1,
l W r have amounted tp |29Q,441,000,000.
Since December 7, 1 9 a , these
expenditures have amounted to <276,185,000,000.
The monthly trend of
budgetary vjar expenditures and' total expenditures for war activities by
the Reconstruction Finance Corporation and its subsidiaries, during the
fiscal years 1 9 4 1 to 1 9 4 5 , are shovai in the following table:
(3ii millions of dollars) 1 /
Fiscal Year
July
August
September
October
November
December
January
February
March
April
May
June
Total
budgetary
expenditures,
1941
1942
1943
1944
1945
199
223
241
311
393
495
589
969
1,131
1,330
1,537
1,448
6,432
7,232
6,952
6,989
7,541
6,718
.7,138
7,518
7,726
7,346
7,879
7,567
7,201
7,571
6,998
7,479
7,401
7,503
7,551
6,948
832
2,104
2,208
2,809
3,238
3,560
3,829
4,498
4,884
5,384
5,481
6,042
5,825
5,947
5,770
6,744
6,974
7,092
7,469
6 ,3 0 1
26,011
72,109
87,039
90,029
3,189
2,682
472
75,298
89,721
9 0 ,5 0 1
6 10
769
782
857
2 / 1 ,8 5 0
Total fiscal year
expenditures for
v/ar activities by
Reconstruction
Finance Corporation
and
subsidiaries
354
2,255
Grand Total
28,266
6,655
1/ Figures are rounded, to nearest
to totals shorn,
2/ First month of war, December 1
8 ,2 4 6
7,139
8,156
7,837
illiori and vall liot necessarily add
- 9 THE PUBLIC DEBT
The gross public debt on June 30, 19-45, amounted to $258,682,000,000
as compared with $201,003,000,000 on June 30, 1944, an increase of
$57,679,000,000.
. The computed rate of interest on the total interest—bearing public
debt was 1.936 percent on June 30, 1945, as compared with 1.929 percent
on June 30, 1944*
The following statement shows the .public debt as of June 30, 1944,
and June 30, 1945, classified by character of issues, as between public
issues and special issues for account of Government trust and special
funds.
The amount of outstanding public, issues, increased $53,154,000,000
during the year, and special issuejs. increased $4,525,000,000.
-
10
-
Statement of the outstanding public
debt on June 30. 1944. and June 30« 19-45
(In millions of dollars)
Issues
Public issues
Postal savings and other bends..... ..
Treasury bonds..•••.••.... .........•.
United States' Savings Bonds..........
Depositary Bonds..... ................
Adjusted Service Bonds•*••...... .
Treasury Notes«............. .
Treasury Tax and Savings Notes...... .
Certificates of Indebtedness.........•
Treasury Bills»•»....
Matured debt on which interest
has c e a s e d .......... .
Debt bearing no interest:
Excess profits tax refund bonds.....
Other........... ...............
Subtotal
Special issues
Retirement accounts*
Alaska Railroad Retirement Fund...,.
Canal ¿one Retirement Fund.........
Civil Service Retirement Fund.......
Foreign Service Retirement Fund.,...
Railroad Retirement Account........
Special funds;
Adjusted Service Certificate Fund...
Federal Old-age and Survivors
Insurance Trust Fund.......... .
Government Life Insurance Fund......
National Service Life Insurance Fund
Unemployment Trust Fund.... ........
Investment accounts:
Canal Zone Postal Savings System...*
Federal Deposit Insurance Corporation
Federal Savings £- Loan. Insurance Coip.
Pos tal Savin gs Sys tern............ .
• Subtotal.*.......... .
Grand Total
NOTE:
June
30
. 194-5
June
30
194-4.
Change during
fiscal year
194-5
—
196
79,24-434,606
474
217
17,405
9,557
28,822
14,734
196
106,4-48
45,586
505
—
23,497
10,136'
34,136
17,041
201
269
134
1,125
1,028
1 ,0 2 9
y
—
894
96
186,716
239,871
y
53,154
2
9
1,451
7
319
2
10
1,848
8
y
ï
/
-
27,204
10,980
31
217
6 ,0 9 2
i
/
579
5,314
2,307
i
68
—
501
/
y
1
"397
1
182
15
—
a
4,766
502
1,213
5,610
5,308
588
3,187
6,747
/
y
4
98
27
264
4
97
37
461
14,287
201,003
17 .
ÿ
è
i
542
86
1,974
1,137
——
/
1
10
197
18,812
/
4,525
258,682
/
57,679
—
Figures are rounded to the nearest million and do not necessarily add
to totals shown#
-
11
-
STATUTORY DEBT ^IMITATION
Under the Public Debt Act of 194-5, approved April 3, 194-5* the limitation on
the general borrowing power under the Second Liberty Bond Act, as amended, was in
creased from $260,000,000,000, applicable to public debt obligations issued under
that Act, to $300,000,000,000, applicable to public debt obligations and publicly
held obligations guaranteed as to principal and interest by the United States. As
of June 30,- 194-5, the unused borrowing authorization under the limitation was
$3 1 ,329 ,000 ,000 , as shown by the following table:
Total face amount that may be outstanding at any one time ....... $300,000,000,000
Outstanding June 30, 194-5
Obligations issued under Second Liberty Bond Act, as amended
Interest-bearing
Bonds
Treasury.... .
$106,448,403,950
Savings (maturity value)*'56,194,678,475
.......
504,534,000
Depositary *
........................
500,157,956 $163,647,774,3B1
Adjusted Service
Treasury n o t e s .... ........43,449,495,525
Certificates of
42,631,353,000
indebtedness
17,041>258,000
Treasury b i l l s ..... .
Total interest-bearing *♦**... w *u.......... *
*
Matured, interest ceased ... *.*.4 ... .*•>*•• ,
•
Bearing no interest
War Savings Stamps
177,598,269
Excess profits tax refund
bonds
iiQ^«¡7f 713>601
Total ....
Guaranteed obligations (not held by Treasury)
Interest-bearing
Debentures: F.H.A 4
33,930,536
Demand obligations: C . C.C. _______375.l6l.331
Matured, interest ceased
103.122,106,5^5
266,769,880,906
262,412,300
1.205.31!*87Q
268,237,605*076
409,091,867
24,066,525
433,158,392
Grand total outstanding ................... ....... . 268,670,763,468
Balance face amount of obligations issuable under above authority
31,329,236,532
Reconcilement with Statement of the Public Debt — June 30, 1945
Outstanding June 30, 1945
Total gross public d e b t .... ....................................
Guaranteed obligations not owned by the Treasury
L
2*8,o8^,18/,^41
433,158,39
Total gross public debt and guaranteed obligations •••...••••»••.» 259,115,345,802
Add - unearned discount on U.S, Savings Bonds
(Difference between maturity value and current
redemption value) .......... ...»......
10,609,089,829
Deduct - other outstanding public debt obligations
not subject to debt limitation •,..,•>.••••*«* 1,053,672,163
9,555,417,666
268,670,763,468
* Approximate face or maturity value; current redemption value $45,585,588,646
~
12
~
THS GUARANTEED DEBT
The contingent liabilities of the Government on acoount of out
standing market issues of obligations of governmental corporations and
credit agencies, guaranteed as to principal and interest, decreased
from $1,623,000,000 on June 30, 1944, to $433,000,000 on June 30, 1945,
a decrease of $1,190,000,000. This decrease is largely due to the
continuation of the policy announced in October, 1941, under which the
funds needed by governmental corporations are provided by the Treasury
in lieu of having such corporations sell their obligations in the market.
With the repayment on June 1, 1945 of the outstanding 1-1/2$ Home
Owners» Loan Corporation bonds of 1945-47*, called for redemption on that
date, there remain outstanding only two groups of unmatured obligations,
except those held by the Secretary of the Treasury, which are guaranteed
by the United States; (1) $375,000,000 of certain demand obligations of
the Commodity Credit Corporation issued to commercial banks in connection
with commodity transactions, and (2) $34,000,000 of debentures issued by
the Federal Housing Administration in connection with mortgage insurance.
During the year the securities of governmental corporations and credit
agencies held directly by the Treasury increased from $10,717,000,000 to
$12,169,000,000, an increase of $1,452,000,000.
A statement of guaranteed obligations outstanding as of June 30,
1944, and June 30, 1945, is as folllows:
STATEMENT OF AMOUNT OF ■OUTSTANDING MATURED AND UNMAUKED
OBLIGATT QNS'GU ARANTEBP AS TO PRINCIPAL AND INTEREST
BY THE UNITED STATES AS OF JUNE 30. 1944. AND
• JUNE ,30. 194-5
(In millions of dollars)
1945
Subtotal.. . * . « . • • • . 1.623
433
375
8
34
-
•
-
Subtotal. . . . . . . . .
10,717
Grand Total . . . . . . .
12.340
'
- 1
/
691
258
15
430
604
-
—
—
-
16
-
Issues held by the Treasury and ,. ..
reflected in the public debt:
Commodity Credit Corporation • .
900
366
Federal Farm Mortgage Corp* * .
398
Federal Public Housing Authority
Home Owners'Loan Corporation ... . 580 .
Reconstruction. Finance Corp. . • 8,416
Tennessee Valley Authority * . *.
57
-
186'
35
10
803
176
o
o
i—i
' ’
;. •
1944
Public issues:
Commodity Credit Corporation. . . 561
Federal Farm Mortgage Corp. . . •
43
Federal Housing Administration .
24
Federal Public Housing Authority
Home Owners’ loan Corporation . . 819
Reconstruction Finance .Corp* . • .176
1945
Increase (/)
:
Decrea se
—
1, 591
108
383
1,010
9.020
57
-
4
4 1.452
12.169
12.602
........
_ 262
- 14 -
TREASURY FINANCING OPERATIONS
Daring t}|e fiscal year 194-5, cash sales of marketable securities,
other than the weekly issues of Treasury bills, were confined to the '
Fifth, Sixth and Seventh War Loan Drives,. The Fifth War Loan Drive
overlapped the beginning of the fiscal year and the Seventh War Loan
Drive overlapped the end of,the year..
In addition to new funds amounting to $39,753,000,.000 raised by
cash sales of marketable issues in the War Loan Drives, new funds
aggregating $24,570,000,000 were also raised by the sale of savings
bonds, savings notes, savings stamps, Treasury bills, etc. The total
of such issues for cash were as follows:
(In millions of dollars)
Public issues for cash:
Fiscal Year 1945
Treasury certificates of indebtedness... $
Treasury notes..... ................ .
Treasury bonds,,,...........;.,...,.....
Treasury bills (net)....................
Treasury savings notes...... ..........
United States Savings bonds........ .
United States Savings stamps...........
Depositary bonds.............
Total...... ............ $
10,072
2 212
27 468
2,302
7 016
14,891
268
94 .
64,323
During the fiscal year 1945 there were lb issues of marketable
Treasury issues and guaranteed obligations (other than Treasury bills)
aggregating $37,608 ,000 ,000 , which matured or-were called for redemp
tion prior to maturity. For each of these issues the Treasury offered
the holders the option of receiving new Treasury is.sues in exchange.
The holaers of about 94^ of the amount of maturing or called issues
elected to take new securities in exchange, and holders of $2 306 000 ,000 ,
or only about 6% elected to take cash.
The following table shows details of public issues (including
issues for exchange purposes) of Treasury bills, Treasury certificates
of indebtedness, Treasury notes and Treasury bonds offered by the.
Treasury during the fiscal year 1945:
PRENCI PAL TREASUHY ISSOES AMD EXCHANGE OPERAI!CHS OH THK MARKET
fINCLODINO EXCHANGES OF OPARANTEED Q3LIOATICHS1 . FISCAL "BEAR 1945
«
(Dollar amounts in millions)
Description of New Treasury Security
Date of
Issue
Treasury Bonds
2%
1952-54§/
2p>
1965-706/
?|%
1966-71
2%
1952-54
24%
1967-72
24%
1959-62
l£%
1950
Treasury Notes
.
— "ES
BÜ947S/
là
A-1946
iÿ
0.90%
0.90%
C-1947
C-1946
»
12/
12/
6/
6/
6/
1/44
1/44
l/45
1/45
1/45
6/26/44
9/L5/44§/
12/ 1/44
12/ I/44
6/ 1/45
D-1946
Certificates of Indebtedness
6/26/44
C-1945S/
7/8%
8/ 1/44
E-1945
7/8%
9/ 1/44
F-1945
7/B%
10/ 1/44
0-1945
7/3%
12/ I/44
H-1945
7/B%
A-1946
2/ 1/45
7/8%
Call and
Maturity
Dates
For
Cash
6/15/52-54
5/15/65-70
5/15/66-71
12/15/52-54
6/15/67-72
6/L5/59-62
12/15/50
1,619
408
5,448
7,922
7,199
4,508
2,365
In Exchcnge
m
2/
y
-
—
5/LS/47
2/15/46
662
9/15/47
l/ 1/46
7/ 1/46
1,550
1/
5,416
-
4,910
-
788
1/45
1/45
1/45
1/45
1/45
1/46
1,213
—
-
wm
4,595
2,511
3,694
5,492
-
5,043
B-1946
5/ 3/45
5/ 1/46
-
4,147
7/8%
7/8%
7/8%
C-1946
D-1946
E-1946
4/ 1/45
5/ 1/45
6/ 1/45
4/ 1/46
5/ 1/46
6/ 1/46
•
4,464
4,811
1,579
-
Various
Various
2,302
(aatli/
Total
1,619
408
3,448
7,922
7,199
4,508
2,365
662
I 602
\ 185
1,550
.3,416
\ 4,187
725
Class of
Security
Call and
Maturity
Dates
-
-
3/4% Treasury Nòte
1%
Treasury Note
7/8% Certificate
7/8% Certificate
libi HOLC Bond
9/15/44
9/15/44
12/ 1/44
6/ 1/45
6/ 1/45-47
Date of
Original
Issue
AOOUlt
For Cash
Redemption
1/51/41
12/22/59
55
98
12/ Ï/4S
6/26/44
6/ 1/59
124
585
52
I
6/
8/
9/
10/
12/
2/
7/3%
Treasury Rills
Description of Security Refunded
Amount Issued
-
1,213
2,511
3,694
3,492
4.395
<jf4,649
595
[2,109
493
yl,546
4,811
1,579
4,464
2,302
7/8% Certificate
7/8% Certificate
7/8% Certificate
7/8%
1-1/8%
0.90%
5/4%
lj%
7/3%
7/3%
Certificate
CCC Note
Treasury Note
Treasury Note
Treasury Note
Certificate
Certificate
Treasury BIUsS/
8/ i/44
9/ I/44
10/ 1/44
8/ 2/45
9/15/45
10/15/45
54
428
27
2/3/45
2/15/45
5/ I/45
3/15/45
5/Ì5/45
4/ 1/45
5/ 1/45
2/1/44
7/21/41
2/ 1/44
5/15/40
9/25/42
4/ I/44
5/ 1/44
400
17
18
225
60
Various
tferious
66
55
Detail of Exchange Operation.
IZÙâM
Treasury Bond 1966-71
2% Treasury Bond 1952-54
l ÿ Treasury Note C-1947
Total
\J
2/
5/
4/
£/
6/
12/15/44|/
12/15/44|/.
12/15/442/
5A 5 /6 6 -7 1
12/15/52-54
9A 5 /4 7
-
42,055
see detail of exchange operation of December 15, 1944.
Additional to 2/1/44 issue with interest from June 26, 1944.
Additional to li/l/41 issue with interest from 9/15/44.
Weekly issues and redemptions of 90-92 day bills.
Additional to 12/1/44 issues.
Fifth War Loan Drive issues.
si\
740 f
137J
55,501
911
4% Treasury Bond
12/15/44-54
12/15/24
126
2,306
77,558
NOTE» Figures are rounded to the nearest million and do not
necessarily add to totals.
I
16
-
TREASURY SAVINGS NOTES
Sales of Treasury savings notes during the fiscal year 194-5 were
leaver than in either of the two preceding fiscal years» The amount of
notes received for taxes were $ 4 5 9 ,00 0,00 0 less than in 1944 and the
amount presented for cash redemption increased $48,000,000 over last
year» The following table shows issues and redemptions of Treasury notes
(tax and savings series)?
Treasury Notes (Tax and Savings Series)
(In millions of dollars)
Fiscal Year
?
•
*
Total
Issues
j
?
?
Total ^Redemptions
for cash
:
Amount
? received for taxes : outstanding
«
•
:at end of year
1942
V 4,139
21
1,104
3,015
1943
8 ,6 9 0
115
4,094
7,495
19W
8,954
502
6,365
9,582
1945
7,016
550
5,906
10,141
WAR LOAN DRIVES
To supplement the continuous intensified War Savings Bond sales
program, two additional War Loan Drives were initiated by the Treasury
Department during the fiscal year just ended*
The Sixth War Loan which extended from November 20 to December 16,
1944, resulted in hi$ier sales of United States Government securities
than in any previous War Loan Drive» Sales in the Sixth War Loan total
ling $2 1 * 6 billions topped the $ 1 4 .billions quota by $ 7 . 6 billions*
The goal for the Seventh War Loan which opened Jay 14, 1945, and closed
June 30 was also $14 billions. As of June 30, 1945 $23,600,000,000 had
already been subscribed, or $ 2 ,000 ,0 0 0,00 0 more than the entire amount
of sales in the Sixth War Loan. In view of the fact that many subscrip
tions were in transit on June 30 and that all savings bonds and savings
notes processed through the Federal Reserve Banks and the Treasury De
partment between April 9 and July 9 are to be credited to the drive,
final results are not yet available*
17 -
ADJUSTED SERVICE BONDS
Adjusted Service bonds issued to veterans of the First World War
in payment of amounts due on Adjusted Service C e r t i f i c a t e s , ^ a.Uf6
June -1$ 1945. The face amount, of. each bond, $50.00, plus % m t ere
per annum for the full 'nine-year, period, or $13.5°, was Pa^ | £
a
time. No further interest will accrue after June 15. Of these bon
the?e was outstanding as of May 31, 1945, ^ 1 6 ,73^9 , 1 5 0 which was re
duced through redemptions to $109,355, 300 as of June 30, 1,45.
These hands were originally issued as of June 15, W'j’A ,
were redeemable on demand sat the option of the owner. About 12% were
held to maturity. The yearly issues, and redemptions were as follows:
Fiscal
Year
| ,
Amount
Amount
Redeemed
Issued
(In millions of dollars)
to total issues
$724.2
6 9 6 .5
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945
Total
% of Redemptions
$1.848.2
Outstanding
June 30, 1 9 4 5 .•
$1.738.8
94.0
...$109.4'
SAVINGS BONDS
The savings bond
.progxiajn completed its first cycle.on^March-1,
1 9 4 5 , w?en toiled States Sa«ngA Bonds, ihoie of;Series A which w ®
first sold in March 1935, began to mature. In-crder to make xt possibl
for these investors to reinvest the proceeds of th-xr maturing
■ savings bonds in Series E bonds, arrangements were made for them to do
so outside, of the limitation of $5,000, maturity value, applicable to
•annual purchases of .Series E bonds.,.
"* 18 ~
As of February 28, 1945, $181 millions (current redemption value)
of Series.A savings bonds were.outstanding and began to mature monthly
beginning March 1, 1945. The.foilowing.table shows Series A savings
bonds originally issued, plus accruals of discount to February 28,1945,
redemptions, and the* amount outstanding as of Februaiy 28, 1945, at cur
rent redemption value, by month of issue.
Month of Issue,
1935
and Maturity,
,1945
March
April
May
June
July
August
September
October
November
December
Total
\in millions
Amount issued, ,
including accrual
of discount to
Februaiy 28,1945
oi Goiiars j
Redemptions.to
February 28,1945
at curreht re. demption values
48
. 29
22
. 20
26
15
11
24
23
32
13
8
6
6<
7
4■
3
7.
7
b
. 250
69
Amount outstand
ing February 28,
1945 at current
redemption value
35
21
16
14
19
10
8
17
16
24
181
On basis of public debt accounts
In view of the tremendous increase in the sales of savings bonds, it
became apparent that additional facilities for payment would be necessary
for convenience of the bond owners. - In anticipation of this situation,
authority for changing the procedure relating to the redemption of United
States Savings Bonds was incorporated in the law by an amendment in April
1 9 4 3 ,to the Second Liberty Bond Act. Under this authorization, regulations
were made effective October 2, 1944, whereby individual owners or coowners
of United States Savings Bonds, Series A-E, may present them for cash
redemption without charge’to them at any eligible .bank or trust company
which has qualified for such service. Nearly 50,000 issuing agents are
authorized to sell savings bonds, whereas, prior to October 2, 1944, there
were only 37 direct outlets for their redemption - the Federal Reserve
Qanks. and Branches and the Treasurer’s office in Washington.. With the
introduction of the new procedure about 13,000 banking institutions
throughout the country are now participating in the program.^ Under the
Public Debt Act of 1945, other classes of financial institutions are
eligible, under regulations effective July 2, 1945,. to qualify as paying
agents for Savings bonds. The following table shows the monthly sales
and redemptions of savings bonds from July, 1944 to June, 1945.
:- 19 -
SALES AND REDEMPTIONS OF UNITED STATES SAVINGS BONDS
FISCAL YEAR 1945
Cash sales
including
discount
accruals
Year
and
Month
Redemp
tions
Outstanding at end
of month
Percentage of redemp
tions to outstanding
All Series
Series
(In millions of dollars)
1944
July
2,150.6
226.9
. 36,537.8
•62
.87
August
624.3
273.7
3 6 ,883.5
.76
Ì.07
September
722.8
283.0
37,323.3
.76
1.10
October
721.9
400.6
37,644.7
1.06
1. 58
November
1,046.0
382.4
38,308.2
1.00
1.47
December
2,417.8
365.3
40,360.8
.91
1.31
1,120.9
3 4 1 .4
41,140.3
*83U
1.17
February
881.0
3 2 3 .I
41,698.2
.77
1.10
March
925.1
463.8
•
42,159.5
1.10
1. 52
Apri}.
869.6
403.6
42,62$.6
.95
1.32
May
1,567.9
426.5
43,767.0
.97
1.34
June
2.221.7
403.2
45,585.6
•b8
1.21
15.277.8
4.298.4
1945
January
Total
The redemption of Savings bonds should be viewed in the light of the
fact that these bonds are non-transferable and- are redeemable at-any time
after fixed periods (60 days for Series E bonds) from date df'is sue";
These features were especially incorporated in the bonds to. adapt them
primarily for the investment of savings, of individuals of limited means
and so tint they could be readily redeemed to meet emergencies without
loss of principal.
The table which follows gives cumulative figures for all series of
Savings bonds issued and redeemed since 1935 through June 30, 1945,
indicating that only about 15$ of all Savings bonds issued have been
redeemed, leaving 85$ of every dollar of Savings bondo sold still in
the hands of the original buyers:
-
20
-
United States Savings Bonds Issued and Redeemed Through June 30, 194-5
(Dollar amounts in millions - rounded and T/ill not necessarily add to totals)
Amount Out Percent Redeemea
Amount
Redeemed % / standing z/ of Amount Issued
Amount
Issued
Series A-f):
Series A-1935
Series B-1936
Series C-1937
Series C-19.38
Series D-1939
Series D-1940
Series D-1941
$
253
446
551
617
$
119
327
415
490
802
990
442
52.96
26.68
24*50
20.58
17.05
14.21
11.24
2 0 .0 8
•♦•*••••♦•*..
............
•*•*»«•«•••••
1,154
498
$ 3/ 134
~ 119
135
127
165
164
56
Total Series A-D ••••••«•••
4,487
901
3,585
E-1941 «••••*...•#*•
1>405
6 ,3 8 2
E""1942 *«•••»« ••••••
E-1943
10,544
E-1944
12,405
E-1945 (6 mo*) ..... 4/5,055
.
183
1,319
2,475
2,345
315
" -
1 ,2 2 2
1 3 .0 2
5,063
8,069
20.67
23.47
Series E:
Series
Series
Series
Series
Series
..•«#•*•••«,•
#••••«••••*♦•
968
10 ,0 6 0
1 8 .9 0
4/ 4,740
6.23
18.55
35,792
6 ,6 3 8
29,154
Unclassified Redemptions
Series A**E *•**-*••««**•*••*
•m
56
-56
Total Series A-E «*•*.»«•••
40,278
7,596
3 2 ,6 8 2
18.86
7.18
7.00
5.49
1
1,409
*2,936
3,152
3,597
1,809
13,491
588
12,903
4.36
Total all series *»»«.»*•...••« 53,769
8,184
45,586
1 5 .2 2
Total Series E
•
Series F and Gt
Series F and
Series F and
Series F and
Series F and
Series F and
—..
...'t.... -.... ■— ..
i
G-1941
G-1942 *••••*•
G-1943 «»•«»«»
G-1944
G-1945 (6 mo.)
Total Series F and G
1/
?/
3/
y
.-1
1,518
3,157
3,335
3,671
1,810
I
109
221
183
74
2 .0 2
*06
Includes accrued discount*
Current redemption values*
Includes redemptions of bonds -which matured March * June, 1945*
Includes $ 1 3 7 millions reported on public debt statement as Unclassified sales”
m A S U K Î DEPARTM2KT
Washington
FOR RELEASE, MORNING NEWSPAPERS
Tuesday, July 3« 194$._________
Fj
The Secretary of the Treasury announced last
*
Ice
that the tenders for
fL,300,000,000, or thereabouts, of 91-day Treasury bills to be dated July 5 and to mature
October 4, 1945, which were offered on June 29, 1945, were opened at the Federal Reserve
Banks on July 2.
The details of this issue are as follows:
Total applied for - ^2,028,528,000
Total accepted
- v 1,304,858,000
Average price
(includes 151,883,000 entered on a fixed-price
basis at 9 9 *9 0 5 and accepted in full)
- 99.905/ Equivalent rate of discount approx. 0.375* per annum
Range of accepted competitive bids:
High
Low
- 99.907 Equivalent rate of discount approx. 0.368* per annum
- 99.905
*
m
u
m
m
0 .3 76 * "
■»
( 5 9 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Tbtal
Applied for
Total
Accepted
Boston
New Tork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
I
$
36,510,000
1,481,995,000
30.395.000
.
23 231.000
28.255.000
6 ,670,000
255,693,000
32.835.000
24.770.000
17.030.000
.
14 840.000
TOTAL
25,399,000
931.365.000
21 ,785,000
1 8 ,721,000
22.925.000
6,670,000
156.371.000
2 3 .528.000
18,210,000
15 ,062,000
76.304.000
13,118,000
51,704,000
$2,028,528,000
$1,304,858,000
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, July 5, 1945*_______
Press Service
The S e c r e t a r y of the T r e a s u r y a n n o u n c e d last e v e n i n g that
the tenders
for $ 1 , 3 0 0 , 0 0 0 , 0 0 0 ,
T r e a s u r y b i lls
1945,
or thereabouts,
of 9 1 -day
to be d a t e d July 5 and to m a t u r e O c t o b e r 4,
w h i c h were of f e r e d on June 29,
Federal R e s erve Banks
$
1945,
wer e
opened at the
on July 2*
The d e t a i l s of this
issue are as
follows:
T o tal a p p l i e d for ~ $ 2 , 0 2 8 , 5 2 8 , 0 0 0
(includes $ 5 1 , 8 8 3 , 0 0 0
T o tal a c c e p t e d
1',304,858,000
9
9
. 9 0 5 and a c c e p t e d in
entered on a f i x e d - p r i c e basis at
full)
Average price
-
99.905/ Equivalent rate of discount
approx* 0.375% per annum
Range of a c c e p t e d comp e t i t i v e bids:
9 9 . 9 0 7 E q u i v a l e n t rate of d i s c o u n t
approx* 0 . 3 6 8 % per a n n u m
9 9 . 9 0 5 E q u i v a l e n t rate of di s c o u n t
approx. 0 * 3 7 6 % per a n n u m
High
L ow
59 p e r cent of the a m o u n t ' b i d for at
the low price was accepted)
Federal Reserve
District
Total
Total
Applied for
Accepted
Boston
New York
P h i l adelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
M i n n e apolis
Kansas City
Dallas
San Francisco
$
56, 5 1 0 , 0 0 0
"1,481,995,000
30. 3 9 5 . 0 0 0
23.231.000
28.255.000
6,6 7 0 , 0 0 0
255,693,000
32. 8 3 5 . 0 0 0
24.770.000
17.030.000
14.840.000
76.304.000
$
$2,028,528,000
$1-, 3 0 4 , 8 5 8 , 0 0 0
TOTAL
25,399,000
931.365.000
21.785.000
18.721.000
22.925.000
6,670,000
156.371.000
23.528.000
18.210.000
15.062.000
13.118.000
51.704.000
July 3* 1945
STATUTORY DEBT LIMITATION
AS OF JUNE 30» 1945
Under the Public Debt Act of 1945* approved April 3* 1945* the limitation on
the general borrowing power under the Second Liberty Bond Act, as amended* was in
creased from $260,000,000,000, applicable to public debt obligations issued under
that Act, to $300,000,000,000, applicable to public debt obligations and publicly
held obligations guaranteed as to principal and interest by the United States. As
of June 30, 1945, the unused borrowing authorization under the limitation was
1 3 1 *32 9 *000 ,000 , as shown by the following table:
Total face amount that may be outstanding at any one t i m e ....... $300,000,000,000
Outstanding June 30* 1945
Obligations issued under Second Liberty Bond Act, as amended
Interest-bearing
Bonds
Treasury.......... ,.....
$106,448 ,403* 9 50
Savings (maturity value )*
56*194*678,475
Depositary .............. •
504* 534* 000
Adjusted S e r v i c e .......
500*157*956 $163*647,774*381
Treasury notes ...........
43*449*495*525
Certificates of
indebtedness .............
42*631*353*000
Treasury bills ............
17,041*258,000 103.122.106*525
266,769,880,906
Total interest-bearing.............. •....
262,412,300
Matured, interest ceased .....................
Bearing no interest
War Savings Stamps .......
f, Excess profits tax refund
bonds .......... .........
177,598,269
1,027*713* 601
Tot)5LJL
1.205*311*870
268,237,605*076
Guaranteed obligations (not held by Treasury)
Interest-bearing
Debentures: F.H.A. .......
33*930*536
Demand obligations: C.C.C.
_____375* 161,331
Matured, interest c e a s e d ............... .
409,091,867
24*066*525
433*158*392
Grand total outstanding........... ................ ••*'•••••••••*
Balance face amount of obligations issuable under above authority
268*670*763*468
31*329*236*532
Reconcilement with Statement of the Public Debt — June 30, 1945
Outstanding June 30, 1945
258,682,187,410
Total gross public d e b t ..... .....................
433*158*392
Guaranteed obligations not owned by the Treasury ..
259*115*345*802
Total gross public debt and guaranteed obligations
Add - unearned discount on U.S. Savings Bonds
(Difference between maturity value and current
redemption value) .................. .
Deduct - other outstanding public debt obligations
not subject to debt limitation
*
10,609,089,829
1,053*672,163
9*555,417*666
268,670,763,468
Approximate face or maturity value; current redemption value $45*585*588,646
46-88
FOR IMMEDIATE HELSASS
**y C..3dg
The Bureau of Customs announced today preliminary figures shoving the
quantities of eoffee authorised for entry for consumption under the quotas for
the 12 months commencing October 1, 19*&, provided for in the Inter-American
Coffee Agreement, proclaimed h y the President on April 15• 19*11 > as follows:
•
•
Country of Production
1
f
e
Quota Quantity
(Pounds) 1/
:
:
:
Authorised for entry
for consumption
As of (Date) : (Pounds)
Signatory Countries:
Brasil
Colombia
Costa Rica
Cuba
Dominican Bepublic
Ecuador
SI Salvador
Cuatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
2.353.628,932
7 9 6 .7 9 ^ .5 1 3
5 0 .6 1 5 .6 7 6
20,2*6,297
3 0 .3 6 9 .3 7 9
3 7 .9 6 1 ,7 5 7
1 5 1 ,81*7 ,0 2 8
1 3 5 .3 9 6 .9 2 0
6 9 .5 9 6 .6 2 1
5,061,5*1
1 2 0 ,2 1 2 ,2 9 6
*9.350.32*
6.326,893
1 0 6 ,2 9 2 ,8 9 3
Non-Signatory Countries:
8 9 ,8 *2 , 7 8 5
June 2 3 . 1 9 * 5
1 ,0 5 1 .3 2 0 ,1 2 9
0
N
II
June 3 0 . 19*5
June 2 3 . 19*5
2/
0
0
0
(Import quota filled)
June 23, 1 »
0
0
0
n
*87,522,979
32,3*3,f96
*,390,656
25,932,211
21.255,256
8 6 ,**9 ,6 1 *
7 2 ,2 5 5 ,2 8 s
**,5 0 1 ,6 1 0
6 5 ,**6 3 ,h83
19,682,5*5
3,211,316
* 8 ,6 8 5 ,8 8 9
6 7 9 ,0 7 0
1/
Quotas as of June 1, 19*15/ determined by action of the Inter-American
Coffee Board on Kay 29» 19^9*
2/
Per telegraphic reports.
TREASURY DEPARTMENT
Washington
s
FOR INCEDIATE RELEASE,
Thursday, July 5, 1945«
Press Service
No# 46-89
The Bureau of Customs announced today preliminary figures showing
/.
;
the quantities of coffee authorized for entry for consumption under the
quotas for the 12 months commencing October 1, 1944, provided for in the
Inter-American Coffee Agreement, proclaimed by the President on April 15,
1941, as follows:
Country of Production
!
: Quota Quantity
: (Pounds) l /
:
Authorized for entry
:
for consumption
: As of (pate)
: (Pounds)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Hondura s
Mexico
Nicaragua
Peru
Venezuela
2,353,628,932
796,794,513
50,615,676
20,246,297
30,369,379
37,961,757
151,847,028
135,396,920
69,596,621
5,061,541
120,212,296
49,350,324
6,326,893
106,292,893
Non-Signatory Countries
89,842,785 '
June 23, 1945
tt
it
tt
June 30* 1945
June 23, 1945
n
tt
it
(import Quota
June 23, 1945
tt
tt
tt
tt
1,051,320,129
487,522,979
32,343,798
4,390,656
25,932,211
2/
21,255*256
86,449,614
72,255,288
44,501,610
filled)
65,463,483
19,682,545
3,211,316
48,685,889
679,070
l/
Quotas as of June 1, 1945, determined by action of the Inter-American
Coffee Board on May 29., 1945#
2/
Per telegraphic reports#
for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 41$* as amended, and this notice, orescribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
- 2 -
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
July 12. 1 9 4 5 ________ •
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority,
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941? the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration a^^pital asse^^s^Accordingly? the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
m:t
TREASURY DEPARTMENT
Washington
FOR RELEASE., MORNING NEWSPAPERS,
Friday, July 6 , 1-945
w
The Secretary of the Treasury, by this public notice, invites tenders
for % 1.300.000.000 . or thereabouts, of
91 -day Treasury bills, to be issued
w
---~ w
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided*
es will be dated
The bills of this series
mature
October 11, 1945
3 ^ ’
interest.
July 12, 1945
, and will
W c
, when the face amount will be payable without
They will be issued in bearer form only, and in denominations of $1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o'clock p.m,, Eastern War time,
Monday. Ju*
9. 1945_____
»
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g,, 99-925.
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in Investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty ©f payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
4 4 ' T o
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G N E W S P A P E R S
Friday, July 6, 1945,
7-5-45
Th e S e c r e t a r y of the Treasury, by this public no ’tice,
invites tenders for $ 1 , 3 0 0 , 0 0 0 , 0 0 0 , or thereabouts, of 91day T r e a s u r y bills, to be issued on a d i s c o u n t basis u n d e r
comp e t i t i v e and fixe d - p r i c e b i d d i n g as h e r e i n a f t e r provided.,
The bills of this series will b e d a ted Jul y 12, 1945, and
will matu r e O c t o b e r 11, 1945, w h e n the face amount w ill be
p a y a b l e w i t h o u t interest,
T h e y will be issued in b e a r e r form
only, and in d e n o m i n a t i o n s o f $1,000, $5,000, $10*000,
$100,000, $500,000,. and $ 1 , 0 0 0 , 0 0 0 (maturity value).
T e n d e r s will be received at Federal R e s e r v e B a n k s and
B r a nches up to the closing hour, two o* c l o c k p , m , ,.E a s t e r n
W a r time, Monday, July 9, 1945,
T e n ders will ijot.be r e e eived
at the T r e a s u r y D epartment, W a s h i n g t o n .
E a c h tender m u s t be
for an eve n m u l t i p l e of $1,000, and the price o f f e r e d m u s t be
e x p r e s s e d on the basis o f 100, w i t h not m o r e than three d e c i - .
mals, e, g., 99.925.
Fractions m a y n ot be used.
It is u r g e d .
that t e n ders be m a d e on the p r i n t e d form's and f o r w a r d e d in the
special envelopes w h i c h will be supplied b y Federal Reserve
Banks or B r a n c h e s on a p p l i c a t i o n therefor,
Te n d e r s will be r e c e i v e d w i t h o u t de p o s i t f r o m * i n c o r p o r a t e d
banks and trust companies and fro m r e s p o n s i b l e and- r e c o g n i z e d
dealers in i n v e stment securities. ' T e n ders f r o m others m u s t be
a c c o m p a n i e d by payment of 2 percent o f the face amount of
T r e a s u r y b i l l s a p p l i e d for, unle s s the tenders are a c c o m p a n i e d
b y an express g u a r a n t y of payment by an i n c o r p o r a t e d b a n k or
trust company.
I m m e d i a t e l y a f t e r the cl o s i n g hour, tenders will be opened
at the Federal R e s e r v e Banks and Branches, f o l l o w i n g w h i c h
public a n n o u n c e m e n t will be made b y the S e c r e t a r y of the
T r e a s u r y of the a m ount and p r i c e range of acc e p t e d bids*.
T h ose
sub m i t t i n g tenders wil l be ad v i s e d of the a c c e p t a n c e or r e
jection thereof.
The S e c r e t a r y of the T r e a s u r y e x p r e s s l y
reserves the right to a c cept or reject any or all tenders, in
whole or in part, and his a c t i o n in any sucji r e s p e c t shall be
final.
S u b ject to these reservations, tenders for $ 2 0 0 , 0 0 0
or^less from any one b i d d e r at 99.905 entered on a fixedprice b a sis will be a c c e p t e d in full,
Pa y m e n t of a c c e p t e d
tenders at the prices o f f ered m u s t be mad e or c o m p l e t e d at the
Federal Reserve Bank in c a s h or other i m m e d i a t e l y a v a ilable
funds on July 12, 1945.
46-90
(Over)
2
.
The .income 'derived f r o m T r e a s u r y bills, w h e t h e r interest
or gain from' t h e - s a l e :or other d i s p o s i t i o n of the bills, shall
not have any exemption, as’ such, and loss f r o m the sale or
o t her d i s p o s i t i o n of T r e a s u r y bills sh&ll n o t have any special
treatment, as such, u n d e r Federal tax Acts n o w or h e r e a f t e r
enacted.
The .bills shall be subject to estate, inheritance,
giftj or other excise ta^es, w h e t h e r Federal or State, but
.»'shall be exempt from all t a x ation n o w or h e r e a f t e r imposed on
the p r i n c i p a l or interest t h e r e o f by any State, or any of the
p o s s e s s i o n s .of the U n i t e d States, or b y any local taxing
authority.
For p u r poses of t a x ation the amount of d i s c o u n t
at w h i c h T r e a s u r y b i l l s are o r i g i n a l l y sold by the U n i t e d States
shall b.e c o n s i d e r e d to be interest.
U n d e r Sec t i o n s 42 and 117
(a) (1) of the in t e r n a l R e v e n u e Code, as. a m e n d e d by S e c t i o n
115 of the R e v e n u e Act of 1941, the amount of di s c o u n t at
’' w h i c h bills issued h e r e u n d e r are sold shall not be considered
to»accrue u n til such b i l l s shall be sold, red e e m e d or otherwise
d i s p o s e d of, and s u c h b i l l s are e x c luded f r o m c o n s i d e r a t i o n as
capital
assets.
A c cordingly, the owner of T r e a s u r y bills
.(other than, life insurance companies) Issued h e r e u n d e r h e e d
include in his income tax return only the d i f f e r e n c e b e t w e e n
the price pai d for such bills, w h e t h e r on original issue or
on s ubsequent purchase, and the a m o u n t a c t u a l l y received either
u p o n sale or r e d e m p t i o n at m a t u r i t y d u r i n g the taxable y e a r for
w h i c h the r e t u r n is made, as o r d i n a r y g a i n or loss. •
T r e a s u r y D e p a r t m e n t C i r c u l a r No. 418, as amended, and this
notice, p r e s c r i b e the terms of the T r e a s u r y bills and g o v e r n
the c o n d itions of their issue.
Copies of the circu l a r m a y be
o b t a i n e d f r o m any Federal Reserve B a n k or Branch.
oOo
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, July 10« 1945»
Press Service
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated July 12 and to
nature October 11, 1945, which were offered on July 6 , 1945, were opened at the Federal
Reserve Banks on July 9«
The details of this issue are as follows:
Total applied for - #2,232,925,000
Total accepted
- 1,310,619,000
Average price
(includes #57,927,000 entered on a fixedprice basis at 99*905 and accepted in full)
- 99*905/ Equivalent rate of discount approx. 0*3752 per annum
Range of accepted competitive bids:
H4«h
Low
- 99*907 Equivalent rate of discount approx. 0.3682 per annum
- 99.905
11
»
»
*»
»
0.3762 **
H
($ 2 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
t
TOTAL
2 2 ,7 2 0 ,0 0 0
1,571,638,000
4 2 ,565,0 0 0
2 0 ,9 4 1,0 0 0
2 7 ,8 5 1,0 0 0
21,080,000
318,875,000
9 ,8 8 5,0 0 0
22,535,000
1 7 ,8 0 5,0 0 0
13,415,000
143.615,000
#2,232,925,000
Total
Accepted
t
1 4 ,992,0 0 0
895,318,000
29,989,000
15,949,000
2 6 ,8 91,0 0 0
1 6 ,0 30,000
180,899,000
7,005,000
1 2 ,935,00 0
14,541,000
12,455,000
83.615,000
11,310,619,000
■V ' ■
x-
\ m
DIVISION O? PUELIC RELATIONS
Assignment sheet*
Release date
Title
Peilt Lialt&tloaPress Service No.
v fn fA .*
Bldg-.
dist#
Q
(
)
(
)
TAC
CFQ
( ) Coffee quotas * » « * • « » * • * •
CQ
( ) Cotton quotas « • • • • • • • • * »
TiiQ
( ) 1/me|it quotas
(
(
B
(
•
2Ä7
• • • t •
•
Debt limitation • «t » '• »
/W ?
SF
#
-13!
• . • •
) Treasury monthly Bulletin • « * •
M f J
\ '
>
^ binane e • • • « • ^* /i* t*
•
#
A
/I
) .Net, Market tra actljPm
• • •
•
DLI ( / )
No» copies
to be sent
Special messenger • » • • • « » » >
General
• « • • • • * • • . •
'% \ ■ ‘
( ) Trade Agreement Commodities « • * *
BUL (
F
(
Mailing
list
I
\
325
A
) Stabilization fund»\ •1^ • • • « * •
/
I
I Weekly bill offer ing\
B&B ( /), Bills & Bpnds other than weekly • «
FE
NE
fM?. ;
■
'
( ) Financial Editors • • • • • . . • •
( ) News Editors •
( | Speech list • » • • • • * • • • • «
,:4j • .
**
i<
■f PUBLIC RELATIONS, Room 44-16 . . . •
4-69
1,575
1B6
m
Press room • « • .
<w
OWT • • • • * ♦ » »
Building distribution
7/1/45
-J ¿3
191
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G N E W S PAPERS,
Tuesday, July 10, 1945. __________
Press
No.
Service
46-91
The S e c r e t a r y of the T r e a s u r y a n n o u n c e d last e v e n i n g
that
the tenders for $ 1 , 3 0 0 , 0 0 0 , 0 0 0 ,
d ay T r e a s u r y bills
O c t o b e r 11,
or thereabouts,
to be d a t e d J u l y 12 a nd to m a t u r e
1945, w h i c h w e r e o f f e r e d on July 6, 1945,
opened at the Federal
The details
of 91-
Reserve Banks
of this
were
on July 9.
issue are as follows:
Total a p p l i e d for - $ 2 , 2 3 2 , 9 2 5 , 0 0 0
Total a c c e p t e d
1,310,619,000
(includes $ 5 7 , 9 2 7 , 0 0 0
e n t e r e d on a f i x e d - p r i c e b a s i s at 99, 905 and a c c e p t e d in
full)
A v e r a g e price
- 9 9 , 9 0 5 / E q u i v a l e n t rate of d i s c o u n t
approx, 0 . 3 7 5 $ per a n n u m
Range
c o m p e t i t i v e bids:
of a c c epted
- 99,9 0 7 E q u i v a l e n t rate of di s c o u n t
approx. 0 . 3 6 8 $ per a n n u m
- 9 9 . 9 0 5 E q u i v a l e n t rate of d i s c o u n t
approx. 0 . 3 7 6 $ per a n n u m
High
Low
(52 p e r c e n t of the ,
a mount b id for at the low price accepted)
Federal Reserve
D i s trict
Total
Applied
Boston
New Y o r k
P h i l adelphia
Cleveland
Richmond
Atlanta
Chicago
St, Louis
M i n n eapolis
Kan s a s C i ty
Dallas
San Fra n c i s c o
$
TOTAL
for
22,720,000
1,571,638,000
42,565,000
20,941,000
27,851,000
21,080,000
318,875,000
9,885,000
22,535,000
17,805,000
13,415,000
143,615,000
$2,232,925,000
oOo
Total
Accepted
#
14,992,000
895,318,000
29,989,000
15,949,000
26,891,000
16,030,000
180,899,000
7,005,000
12,935,000
14,541,000
12,455,000
83,615,000
$1,310,619,000
SP
,.
-.2 -
V:-;,' ' -
COTTON CARD STRIPS made from cottons having;a staple of'less than 1-3/16 inches
in length, COMBER WASTE,.LAP WASTE¿^SLIVER WASTE, AND ROVING WASTE,' WHETHER
OR NOT MANUFACTURE!) OR OTHERWISE ADVANCED IN VALUE. Annual quotas commencing
September 20, by Countries of Origin:
Total quota,, provided, however, that not mono than 33-?l/3-percent of the quotas
shall he filled by cotton wastes other-, than card strips made from cottons
having a staple less than 1-3/16 inches in length and comher wastes made from
cottons of 1-3/16 inches or more in staple length in the case of the follow
ing: countries: United Kingdom, France, Netherlands, Switzerland, Belgium,
Germany, and Italy:
(In Pounds)
Established : TOTAL IMPORTS : ESTABLISHED : Imports
Country of Origin : TOTAL QUOTA : Sept. 20, 1944 : 33-1/3^ of : Sept. 20, 1944
Total Quota
: tojuiift 30, 1
to ffiam 30 1/
~ w ~
•
•
United Kingdom... .
1,441,152 .
4,323,45?
m
Mm,.
CanadaU...........
239 ,6§P
m.
m
France............
227,42P
75,807
.
.
British India.......
69,627
mm
. 69,62T
22,747
Netherlands.........
68 ,240
14,796 ,
Swit zerland... .
44,388
'
.
12,853
Belgium........ .
38,559
Japan............
341,535
vmm
China........ .
17,322
■■mm
Egypt......... .
8,135
"mm
■mm
.■^
6,544
Cuba... ...........
mm
■
.25,443
Germany............
76,329
Mm
mm
Italy ....... .
21,263
7,088
mm
TOTALS
1/
5,482,509
69,627
Included in tolal imports, column 2.
-oOo-
•1,599,886
wm
FOR IMMEDIATE RELEASE
July 30, J3k5
The Bureau of Customs announced today that preli'minaj^^eports from the
collectors of customfe show imports of cotton and cotton(]wastexchangeable to the
import quotas established by the President's proclamations pfSeptember 5,-1939,
as amended by the proclamations of December 19, 1940, March'Si, 1942, and June
29, 1942, during the period September 20, 1944, to Jitt* 30, 3^5*
COTTON HAVING A STAPLE OF LESS THAN 1-11/16 INCHES (OTHER THAN HARSH OR ROUGH
COTTON OF LESS THAN 3/4 INCH IN STAPLE LENGTH AND CHIEFLY USED IN THE. MANU
FACTURE OF BLANKET^ AND BLANKETING, a nd OTHER THAN"LINTL|S). .■Annual quotas
CoraineKcing Eiepbember 20, by Countries of Origin:
■* r~t • rV
(In Pounds)
Country of
Origin
t
Staple length less : Staple length 1-1/8” or more
than 1-1/8”
: but less than 1*11/16”
iImports Sept.: Established :1 Imports Sept.
T 20, 1944, to
Established!30 , 1944-, to i
Quota
45,656,420
Quota ': tale 30, 1$L£
«feae 30» 2A5
Egypt and the AngloEgyptian Sudan,,...,.,
Peru.................
British India..... ...
China................
Mexico. .............. .
Brazil...............
Union of Soviet
Socialist Republics...
Argentina............
Haiti..... ......... ...
-Ecuador... ..........
Honduras............. .
Paraguay... ..........
Colombia......,........,
Iraq.
.............
British East Africa.....
Netherlands East Indies.
Barbados,........... .
Other British West
Indies i f ...........
Nigeria..............
Other British West
Africa 2/
Other French Africa 3/..
Algeria and Tunisia...
783,816
247,952
2,003,483
1,370,791
8,883,259
618,723
mm
~
3
>
m
mm
mm
mm
m,
■ mm
i i ’’
•'V
M
'f ^ 0 ■\ '■
■mm
mm-
m
' m m
_
mm
■mm
: -
»
mm
-•
mm
'mm
mm
m
mm
'w
8,883,259
mm
mm
45,656,420
Other than Barbados, Bermuda, Jamaica, Trinidad, and'Tobago,,
2 / Other than Gold Coast and Nigeria,
3/
■
-
21,321
5,377
■-
.
mm-
-
16,004
689
36,36L»ii25
2 ,£66,81*8
5,87?
8*883,25?
475 *124
5,203
237
9,333
752
- 871
v. , r .124
195
2,240
71,388
14,516,882
if
.Hi'"- :■
Other than Algeria, Tunisia, and Madagascar,
38,9)41,05?
TREASURY DE& RIMENT
Washington
FOR IMMEDIATE REEASE
Wednesday. July II, 1945«
Press Service
No* 46-9?
The Bureau of Customs announced today that preliminary reports from the
collectors of customs show imports of cotton and cotton waste chargeable to the
import quotas established by the President* s proclamations of September 5, 1939,
as amended by the proclamations of December 19, 1940, March 31, 1942, and June
29, 1942, during the period September 20, 1944, to June 30, 1945«
COTTON HAVING A STAPLE OF LESS THAN 1-11/16 INCHES (OTHER THAN HARSH OR ROUGH
COTTQM OF LESS THAN 3/4 INCH IN STAPLE LENGTH AND CHIEFLY USED IN THE MANUh*
FACTURE OF BLANKETS AND BLANKETING, AND OTHER THAN LINTERS). Annual quotas
commencing September 20, by Countries of Origin:
(In Pounds)
Country of
Origin
______________
i
Staple length less : Staple length 1-1/81* or more
:______than 1—1/8**______: but less than 1-11/16**
s
:Imports Septs Established s Imports Sept*
:Established:20, 1944, to:
Quota
: 20, 1944, to
t Pouta
sJune 30. 1945 45*656,420 s June 30» 1945
Egypt and the Anglo—
Egyptian Sudan.•••••..
783,816
Peru...*..... ,...... .
247,952
British India.........
2,003,483
China................
1,370,791
Mexico...............
8,883,259 8,883,259
Brazil..... ..... .
618,723
Union of Soviet
Socialist Republics...
475,124
Argentina.....
5,203
237
Haiti.............
Ecuador...............
9,333
Honduras.......
752
Paraguay.........
871
Colombia..............
124
Iraq... ...........
195
British East Africa.....
2,240
Nether3ands East Indies.
71,388
Barbados. ............
Other British West
Indies 1/...........
21*321'.
—
Nigeria............. .
5>277.
Other British West
Africa 2/.••••••••••••
16^004
Other French Africa ¿/. •
689
Algeria and Tunisia.....
—
14,516,882 8,883,259
1/
2/
1/
36,364,429
2,566,848
5,879
3,903
—
—
-
45,656,420
Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago.
Other than Gold Coast and Nigeria,
Other than Algeria, Tunisia, and Madagascar.
38,941,059
-
2
-
COTTON CARD STRIPg made from cottons, having a staple of less than 1-3/16 inches
m length, COMBER WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, WHETHER
OR not MANUFACTURED OR OTHERWISE ADVANCED IN VALUE. Annual q u ^ a s ^ o m e n c L g
Septemjer 20, by Countries of Origin:
T°tSii?U2tai PFovided^ h°wever, that not more than 33-1/3 percent of the quotas
snail be filled by cotton wastes other than card strips made from cottons
having a staple less than 1—3/16 inches in length and comber wastes made from
cottons of 1-3/16 inches or more in staple length in the case of the follow
ing countries: United Kingdom, France, Netherlands, Switzerland, Belgium,
Germany, and Italy:
*
(In Pounds)
§ Established :
#
TOTAL IMPORTS : ESTA3LSIHED : Imports
Country of Origin : TOTAL QUOTA : Sept. 20, 1944 : 33-1/3$ of : Sept. 20, 191
#
• to June 30, 1945 Total Quota t to June BO 1/
.. -r.....
*
United Kingdom* •.... 4,323,457
Canada..............
239,690
oon(,4^u
/on
France••••.........1
Aq Aon
British India......f
Netherlands.........
68,240
Switzerland..... .
44,388
Belgium. .•••••••..,.
38,559
Japan.
341,535
China............ .
17,322
Egypt....... .
•8,135 '
Cuba...... ...... ;,
6,544
Germany.......... .
76,329
Italy.
21,263
TOTALS
y
5>482,509
1945 "
«M*
1,4a,152
69,627
75,807
—
-
14,796
12,853
I
_
22,747
mm
—
—
—
25,443
7,088
69,627
Included in total imports, column 2«
— oOo
1,599,886
I
FOR IMMEDIATE RELEASE
July 10. 19*45
",
The Bare«» of Customs announced today preliminary figurea shoving the
quantities of coffee authorised for entry for consumption under the quotas
for the 12 months commencing October 1 » 19*4*4, provided for in the Inter*
American Ooffee Agreement, proclaimed by the President on April 15» 19*41*
as follows:
$
:
Authorised for entry
Country of Production * Qaota Quantity !______ for consumption
; (Pounds) l/ : As of (Date) ! (Pounds)
Signatory Countries!
Brasil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
nicaragua
Peru
Venezuela
Hon-Signatory Countries!
2,353.^8,932
796.79U.513
5 0 ,6 1 5 , 6 7 6
2 0 .2 U 6 . 2 9 7
30,369.379
37,961,757
1 5 1 ,8 U 7 ,0 2 g
135.396,920
6 9 ,5 9 6 , 6 2 1
5 .0 6 I, 5 U 1
1 2 0 ,2 1 2 , 2 9 6
U9.350,32U
6,326,893
106,292,893
89.8U2.785
June 3 0 , I 9 U 5
s
1,098,287,181
t
N
*»iy 7. 1 9 U5 2 /
Jane 3 0 , I 9 U 5
tt
>;
«
H
(Import quota filled)
Arne 3 0 , 19U5
«
t
ft
«
5 0 2 ,9 3 6 ,0 0 2
32.3UO.328
U, 3 9 0 , 6 5 6
2 6 .0 2 U . 2 3 8
2 1 .2 5 5 . 2 5 6
8 6 ,8 2 9 , 9 2 3
7 3 ,3 0 0 , 5 3 0
UU, 5 0 1 , 6 1 0
67,97U.U3g
19.683,305
3,317,889
Ug.685.919
679.080
1 / Quotas as of June 1, 19*45, determined by action of the Inter-American
Coffee Board on May 29, 19*45.
2/ Per telegraphic reports.
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE
Wednesday, July 11. 1945
'
press Service
No. 4.6-93
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas
for the 12 months commencing October 1, 1944, provided for in the InterAmerican Coffee Agreement, proclaimed by the President on April 15, 1941,
as follows:
Country of Production
Quota Quantity
(Pounds) 1/
Authorized for entry
for consumption
As of (Datef
(Pounds')
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
2,353,628,932
796,794,5X3
50,6X5,676
20,246,297
30,369,379
37,'96X, 757
X5X,347,028
X35,396,920
69,596,62X
5,06X,54X
X20,2X2,296
49,350,324
6,326,893
X06,292,893
Non-Signatory Countries:
89,842,785
June 30, X945
X,098,287,181
502,936,002
ti
32,340,328
it
4,390,656
July 7, X945 2/
26,024,238
June 30, 1945
21,255,256
11
86,829,923
II
73,300,530
II
44,501,610
(Import quota filled)
June 30, X945
67,974,438
11
19,683,305
ti
3,317,889
u
48,685,919
11
H
679,080
1/ Quotas as of June 1, 1945, determined by action of the Inter-American
Coffee Board of May 29, 1945«
2/ Per telegraphic reports.
FOR IMMEDIATE RELEASE
July 10, 191*5
The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, dr withdrawn from warehouse, for
consumption under the import quotas established in the President's proclamation
of Kay 28, 191*1, as modified by the Presidents proclamations of April 13, Iji^
and April 29, 191*3, for the 12 months commencing Kay 29, 19i*5, as follows*
9
----r
— J--------- — ------------------ ---s
t Wheat flour, semolina,
*
t
crushed or cracked
Country
*
Wheat
i
wheat,
and similar
of
*
s
, wheat products
Origin
i£ staoilshed:
Imports
tEstablished*
Imports
*
Quota
«May 29, 191*5, to
s
Quota
sMay 29, 191*5,
m
0
J
»June 30, 19l»5
*
*t© June 30, 19U9
(Bushels)
Canada
795,000
China
Hungary
Hong Kong
Japan
United Kingdom
100
Australia
Germany
100
Syria
100
Now Zealand
'Chile
Netherlands
100
Argentina
2,000
Italy
100
Cuba
''•
France
1,000
r{m
Greece
Mexico
100
Panama
Uruguay
«
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Rumania
1,000
Guatemala
100
Brazil
100
Union of Sòvièt
Socialist Republics 100
Belgium
100
800,000
(Bushels)
791»,375
•
•
•
—
mm
(Pounds)
(Pounds)
3,815,000
21*,000
13,000
13,000
8,000
75,000
1,000
5^000
16,039
a»
a.
«a
»
mm
mm
a.
a.
£
ljooo^
mm
•
mm
mm
•
«
—
.*
•
mm
1*000
lit,000
2,000
12,000
1,000
1,000
1,000
1^000
1,000
1^000
1,000
1,000
1,000
1,000
.
«a
•»
m
a.
a»
•a
a.
•k
•
a
a.
a*
mm
a.
a>
a»
a»
mm
a>
a.
mm
•
79V,375
1»,000,000
16,039
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE
Wednesday» July 11» 1945
Press.Service
No. 46-94
The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse, for
consumption under the import quotas established in the President’s proclamation
of May 28, 1941, as modified by the President’s proclamations of April 13, 1942,
and April 29, 1943, for the 12 months commencing May 29, 1945, as follows:
Country
of
Origin
Wheat
Established:
Imports
Quota
tMay 29, 1945, to
:June 30, 1945
(Bushels)
(Bushels)
(Pounds)
(Pounds)
794,375
3,815,000
24,000
13,000
13,000
8,000
75,000
1,000
5,000
5,000
1,000
1,000
1,000
14,000
2,000 ■
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
ï,ooo
1,000
1,000
1,000
18,039
—
—
—
—
M
_
—
...
_
—
—
—
—
m»
—
—
—
_
—
—
—
m.
•»
—
—
mm
**
.
mm
mm
mm
m*
«m»
mm
mm
mm
m*
mm
_
—
mm
mm
♦
—
—
-
-
794,375
o
o
o
o
o
o•
Canada
795,000
—
China
Hungary
Hong Kong
—
Japan
—
United Kingdom
100
Australia
Germany
100
Syria
100
New Zealand
—
Chile
Netherlands
100
Argentina
2,000
Italy
100
Cuba
—
France
1,000
Greece
Mexico
100
—
Panama
—
Uruguay
— ■
Poland and Danzig
—
Sweden
Yugoslavia
Norway
—
—
Canary Islands
Rumania
1,000
Guatemala
100
Brazil
100
Union of Soviet
Socialist Republics 100
Belgium
100
800,000
Wheat flour, semolina,
crushed or cracked
wheat, and similar
wheat products
Established:’. Imports
Quota
:May 29, 1945,
:to June 30, 1945
mm
18.039
•
♦
Commodity
•
•
♦
: Unit íImports as of
:
of
Established CJnota
: June 30,
Period and Country : Quantity t Quantity
19 *«
Silver or black
foxes, furs,
and articles: May - Hot. I9U5
All countries
Poxes valued
under $250 each
and whole furs
and skins
12 months from
Dec.
1, I9I&
fails
Paws, heads, or
other separated
parts
«
5 2 .17 6
Dumber
11.053
1
5,000
Piece
500
Pound
500
—
Piece plates
s
550
Pound
Articles, other
than piece plates
*
500
Unit
——
IS
__
^ 6 - f t
FOB IMMEDIATE RELEASE
July 10» 1 » 5
The Bureau of Customs announced today preliminary figures shoving
the Imports for consumption of commodities within quota limitations
provided for under trade agreements« from the Beginning of the quota
periods to June 3$» 19^5* Inclusive, as follows:
: Unit : Imports as of
:
of
: June 30,
Established Quota
t
Commodity :
: Period and Country : Quantity : Quantity :
Whole milk, fresh
Calendar year
or sour
3 ,000,000
Gallon
15.793
Cream, fresh or
sour
Calendar year
1 ,500,000
Gallon
516
Fish, fresh or
frozen, filleted,
etc«, cod, haddock,
hake, pollock, eusk,
and roseflsh
Calendar year
1 7 ,6 6 8 ,3 11
Pound
Quota filled
12 months from
S«pt. 1 5 , 19 W+ 90 ,000,000
60 ,000,000
Pound
Pound
Quota filled
Quota filled
White or Irish
potatoes: certified seed
other
Cuban filler tobacco
unstemmed or stemmed
(other than cigarette
leaf tobacco), and
scrap tobacco Calendar year
,
Found
(unsteamed
equivalent)
22 000,000
Quota filled
Bed cedar shingles Calendar year
1,727,2H2 Square
823,^3*
Molasses and sugar
sirups containing
soluble nonsugar
solids equal to
more than 6# of
total soluble
solids
Calendar year
1,300,000 Gallon
987.98H
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Wednesday. July 11. 1945»
Press Service
No* 46^-95
The Bureau of Customs announced today preliminary figures showing
the imports for consumption of commodities within quota limitations
provided for under trade agreements, from the beginning of the quota
periods to June 30, 1945, inclusive, as follows:
Commodity
Unit
Established Quota
of
Period and Country : Quantity : Quantity
Imports as of
June 30,
1945
Whole mille, fresh
or sour
Calendar year
3,000,000
Gallon
15,793
Cream, fresh or
sour
Calendar year
1,500,000
Gallon
516
Fish, fresh or
frozen, filleted,
etc*, cod, haddock,
hake, pollock, cusk
and rosefish
Calendar year
17,668,311
Pound
Quota filled
White or Irish
potatoes:
certified seed
other
90.000.
60.000.
000
000
12 months fron
Sept* 15, 1944
Pound Quota filled
Pound Quota filled
Cuban filler tobacco
unstemmed or stemmed
(other than cigarette
leaf tobacco), and
scrap tobacco
Calendar year
22,000,000
Red cedar shingles Calendar year
1,727,242
Square
823, 43B
Molasses and sugar
sirups containing
soluble nonsugar
solids equal to
more than 6% of
total soluble
solids
Calendar year
1,500,000
Gallon
987,984
Pound
(unstemmed
equivalent)
Quota filled
Commodity
•
•
•
:
Established Quota
; Period and Country: Quantity
Silver or black
foxes, furs,
and articles; May - Nov# 1945
Foxes valued All countries
under $250 each
and whole furs
and skins
12 months from
Tails
Dec« 1, 1945
♦
•
:
:
Unit
of
Quantity
52,176
Number
5,000
Piece
s Imports as of
June 30,
:
:
1945___
11,053
Paws, heads, or
other separated
parts
w
500
Pound
500
Piece plates
"
550
Pound
—
Articles, other
than piece plates
11
500
Unit
18
DIVISION OF PUBLIC RELATIONS
Release
T/T0/4B_______ Press
Service No*.
46-96
Bldg*.
dist ».
c
G
) Special messenger. • * • • * »
( A
Mailing
list
♦• *
65
••
60
General *». *. #. • •
TAC (
) Trade Agreement Commodities « • •
22
158
CFQ (
) Coffee quotas * » »
22
136
CQ
(
) Cotton quotas • » • • • • • •
22
135
WQ
(
) Yiheat quotas
22
115
BUL (
• • • ». » •
•
•
• • » • * » • «
—
) Treasury monthly Bulletin • « • «
F
(A
NM
{
T
(
Finance • • • » • « *
• *.*.•
1,367
167
540
) Net Market transactions *. *a* • • •
142
207
) Taxes • *.«-•.• • *.. * # » • • •»• »
167
600
DLI (
) Debt limitation • • » » • • •
151
325
SF
(
) Stabilization fund* • • • • •
174
551
E
(
) Weekly bill offering* • • • •
150
178
) Bills & Bonds other than weekly
156
275
B&B (
FE
NE
’• .•
*r
( ) Financial Editors • • • » • ... • •
( ). News Editors • • . . * * . •
( A Speech lis*b #< « • # • # a•# • •
PUBLIC RELATIONS, Room 4416 ♦ • a a
469
1,575
186 AT OIOS
186
«*-*«*•
Press room » • • •
• tmdfc
up
owx • • •„'*.* *. * •
lldg Attribution thie afternoon# pleas«»
Building distribution
7/1/45
No» copies
to be sent
100 •
15
TREASURY DEPARTMENT
Washington
(The following address by Secretary Morgenthau featuring
“The Seven Challenges“, was broadcast, by the Columbia
Broadcasting System from 7 to 7.30 o.m., EWT. Julv 10.
1945.)
------- ---- 1---
One of the jnost.:pleasant 'tasks I have ever had to perform as
Secretary of the Treasury is to report to you tonight the final results
of the Seventh war Loan. We set ourselves, as you know, an overall
goal of 14 billion dollars* The people of America have subscribed to
the Mighty Seventh'a total of 126,313,000.000.
We asked for seven billion dollars in individual subscriptions.
We have received a total of $8,681,000,000.
ilnally, and most important of all, we set for the wage earners
of the country the difficult goal of four billion dollars in E Bonds.
The final figures show that E Bond sales have amounted to $3,976,000,000.
The War Bond program has been, I think, a magnificent demonstra*
tión of the voluntary teamwork of a free people. Through this program,
•'more than 85 million individual Americans have enlisted in the national
cause — have engaged in an act of faith.
It has seemed to me from the beginning that the essence of this
program lay in its voluntary character. When I asked the Congress of
the United States in January, 1941* for authorization to borrow from
the general public through a defense savings bond campaign, I said:
“I can think of no other single way in which so many people can become
partners of their Government in facing this emergency. It is the
purpose of the Treasury to raise money for national defense by methods
which strengthen national morale.“
To achieve its aims, the Treasury sought to make the American people
understand the meaning and the magnitude of the crisis that they faced.
It endeavored to forge, through united action, the'national unity needed
to overcome our common problems.
* How well this has been done the record will attest. I take par
ticular pride in the knowledge that it was done throughout by wholly
democratic means. There has been no resort at any time to coercion or
intimidation
or social pressure. Instead, the method pursued was to
organize state by state, community by community, millions of volunteer
war bond workers — drawn from the ranks of business, of labor unions,
of the professions, indeed from all the segments of our society — and
to let them carry the appeal to their fellow-citizens. Every American
has been left free to contribute in accordance with his own conscience
and his own capabilities. It is a kind of program which could have been
undertaken, perhaps, in no other country in the world — a kind of program
peculiarly adapted to the democratic pattern of American life.
46-96
-
2
-
Special praise is due, I think, to the part played in the War Bond
program by the men and women in our. armed, services* These Americans
have not been content to bear the brunt of this nation’s fight for free
dom; they have also played a mighty part, as citizens, in helping to
finance the war weapons they havb^wielded.
The war bond program stands, I believe, as a powerful bulwark to
the economy of this nation, both now and in the future. The savings
of the American people, set aside during a time when most of our pro
ductive energy had to be devoted to making materials of war, played an
indispensable part in averting the danger of inflation. The economy
of the United States has been kept sound and. secure, so that the men
who have fought for us overseas can return to a land of opportunity.
And in the difficult days of reconversion which lie ahead, these savings
will provide an invaluable backlog of mass buying power to start civilian
production on its way.
My talk to you this evening is, as you know, somewhat in the nature
-of a valedictory. I should like, therefore, to say a few words directly
to the men and women who have so long and so faithfully and so generously
given their time, their skill and their energy to. the war bond program. ,
To them belongs the full credit for what has been achieved. The service
they hav© rendered is beyond my praise; the gratitude they have earned
is beyond my power of expression. But they have found, I know, the only
reward that they have ever sought: the sense of partnership in a great
national undertaking.
J want to pay special tribute to the men and women who have been
the leaders of the Yfer Finance Division., Under the captaincy of
Ted R. Gamble, they have worked tirelessly and devotedly to bring about
the magnificent record of the war bond program. M y warm appreciation
goes also to my chief fiscal aid, the Undersecretary of the Treasury,
Danibl W. Bell#
I thank all of you from the bottom of my heart for the cooperation
you-have given to me. I know that your cooperation will be continued
with the same devotion, and zeal under the able leadership of my suc
cessor, Judge, Fred Vinson* There is still'a. titanic task before us.
In taking leave of you, I should like to express one thought, one
testament of faith, iii/hatever the tasks, whatever the problems of the
future, I know that we shall meet and overcome them as we have ih the
past through the methods of freedom, through the voluntary unity of
free men.
-0O0-
mm
-3for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, pre
scribe the terms of the Treasury bills and govern the conditions of their issue.
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
* fc < >
-
2
-
Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
submitting tenders will be advised of the acceptance or rejection thereof.
Those
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed*.price basis will be accepted in full,
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
July 19« 1945
Ihe income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.: The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941? the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only txhe difference between tiie price paid
TREASURY DEPARTMENT
Washington
FOR RELEASE,' MORNING NEWSPAPERS,
Friday, July 13^ 1945
The Secretary of the Treasury, by this public notice, invites tenders
for $ 1 .300 .000,000 , or thereabouts, of
91 -day Treasury bills, to be issued
&
~ w ~
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series will be dated
mature
October 13, 1945
interest.
July 19, 1945______ * and will
, when the face amount will be payable without
They will be issued in bearer form only, and in denominations of $1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
■\
y
closing hour, two o’clock p.m„, Eastern War time,
Monday, July 16, 1945
Tenders will not be received at the Treasury Department, Washington.
*
Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g., 99.925.
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty of payment by an incoroorated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
TREASURY DEPARTMENT. ■
Washington
■ <
,. FOR RELEASE, .MORNING NEWSPAPERS,
Friday* July .13, 1945*
7-12-45
. '
The Secretary of the Treasury, by this public notice,
invites tenders for $1,300,000,000, or] thereabouts, of 91day Treasury bills, to be issued on a discount basis uhder
competitive and fixed-price bidding as-hereinafter*provided*
The bills-of this series will be dated July 19, 1945, and will
mature October 18, 1945, when-the face amount will be payable
without interest*
They will be issued in bearer form only,
and in denominations of $1,000,’$5,000-, $10,000, $100,000,
$500,000, and'$1,000,000 (maturity value)*
Tenders will be- received at Federal Reserve Banks and
Branches up to the closing hour-, two o.* clock-p*m., Eastern
War time, Monday, July 16, 1945* Tenders will pot be
received.at the Treasury Department, Washington.
Each tender
must be for an even multiple of $1,000, and the price offered
must be expressed on the basis of 100, with -not more than
three decimals, e. g., 99.925.
Fractions may not be used*
It -is urged that, tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by
Federal.Reserve Banks or Branches on application therefor*
Tenders will be received without deposit from incorporated
banks and trust companies and from responsible and recognized
dea'Iers in investment securities.
Tenders from others must be
accompanied by payment of .2 percent of the face amount of
•Treasury bills applied for, unless the tenders are accompanied
by an express guaranty of payment by an incorporated bank or
trust company.
■%
Immediately after the Closing hour, tenders will be
opened at the Federal Reserve Banks and Branches, following
which public announcement will be made by the Secretary of
the Treasury of the amount and price range of accepted bids*
Those submitting tenders will be advised of the acceptance
or rejection thereof.
The Secretary of the Treasury ex
pressly reserves the right to accept or reject any or all
tenders, in whole or in part, and his action in any such
respect shall be final.
Subject to these reservations,
tenders for $200,000 or less from any one bidder at 99.905
entered on a fixed-price basis will be accepted in full.
Payment of accepted tenders at the prices offered must be
made or completed at the Federal Reserve Bank in cash or
other immediately available funds on July 19,-1945.
46-97
(Over)
2
The income derived from Treasury bills, whether interest
or gain from- the^sale'. or other disposition of the bills,
shall not have any exemption, as such, and loss from the sale
or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or
hereafter enacted*1 The bills shall be subject to estate,
inheritance, ‘gift, or other-,excise taxes, whether Federal or
. State, but shall be exempt from, all ^taxation now or hereafter
* 'imposed on the principal or interest thereof by any State, or
any of the .possessions, of the United States, or by any local
' taxing authority* - For purposes o.f;taxation the amount of
J discount at which Treasury bills- are originally sold by the
United' States shall"'be considered to be interest*
Under
Sections 42 And ’117 (a) (1) of the Internal Revenue Code,
as -amended by Section 115 of the Revenue Act of 1941, the
amount, of discount at which bills issued hereunder are sold
shall' hot be considered to accrue: until such bills shall be
sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets*
Accordingly,
the owner of Treasury bills (other than life insurance
'companies) issued hereunder need include, in his income tax
return only the difference -.between the price paid for such
bills, whether on original issue or.’on subsequent purchase,
and the amount actually received either upon sale or -redemption
at maturity during the tax-able year for which the return is
.made, as ordinary gain or loss.
Treasury Department Circular No* 418, as amended, and
this notice, prescribe the terms of the Treasury bills and
govern the conditions of their issue*
Copies of the circular
may be obtained, from any Federal Reserve Bank or Branch*
*
oOo
I f
July 7» 1945
TO IE, D, I. BELLI
During the month of June, 1945# the following s&rket trans
actions took pl&oe in direct and guaranteed securities of the
Gowernaent;
Sales »#•«**••#**«••«*•« #56,414#050*00
Purchases •*•*•***••••«•
Slet sales **•*»*««*««
(Sgd) Joseph Greonherg
Joseph Greenberg
HH&ud
TREASURY DEPARTMENT
Washington
FOR IMMEDIATE RELEASE,
Monday, July 16, 1945.
Press Service
No. 46-98
During the month of June, 1945, market
transactions in direct and guaranteed securities
of the Government for Treasury investment and other
accounts resulted in net sales of $56,414,050,
Secretary Morgenthau announced today.
oOo
TREASURY DEPARTMENT
Washington
Press Service
FOR RELEASE, HORNING NEWSPAPERS,
Tuesday, July 17. 1945._________
4^
The Secretary of the Treasury announced last evening that the tenders for
$1,300,000,000, or thereabouts, of 91-day Treasury bills to be dated July 19 and to mature
October 1ft, 1945» which were offered on July 13, 1945» were opened at the Federal Reserve
Banks on July 16.
The details of this issue are as follows:
Total applied for - $2,044,672,000
Total accepted
- 1,305,479,000
Average price
(includes $6ft,084,000 entered on a fixed-price
basis at 99*905 and accepted, in full)
- 99*905/ Equivalent rate of discount approx. 0.375$ per annum
Range of accepted competitive bids:
High
Low
- 99*906 Equivalent rate of discount approx. 0.364$ per annum
- 99*905
*
•
*
■
"
0.376$ *
«
(59 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Applied for
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
#
16,610,000
1,461,251,000
30,655,000
10,190,000
14,500,000
19,095,000
310,679,000
30,050,000
13,540,000
36,900,000
18,164,000
60,636,000
#
#2,044,672,000
#1,305,479,000
TOTAL
14,059,000
922,425,000
22,512,000
10,190,000
13,680,000
14,995,000
187,167,000
19,759,000
9,390,000
30.9U.000
18,023,000
42,365,000
TREASURY DEPARTMENT
Washington
Press Service
No. 46-99
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, July 17» 1945.
The Secretary of the Treasury announced last evening that the
tenders for $1,300,000,000,
or thereabouts,
of 91-day Treasury
bills to be dated July 19 and to mature October 18, 1945? which
were offered on July 13, 1945? were opened at the Federal Reserve
Banks on July 16.
The details of this issue are as follows:
Total applied for - $2,044,672,000
Total accepted
- 1,305,479,000 (includes $68,084,000
entered on a fixed-price basis at 99.905 and accepted in
full)
Average price
99.905/Equivalent rate of discount approx
0.375% P er annum
Range of accepted competitive bids:
- 99.908
0 .364%
- 99.905
0.376%
High
Low
Equivalent rate of discount approx
per annum
Equivalent rate of discount approx
per annum
(59 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Total
Total
Accepted
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
1
$
TOTAL
18,610,000
1,481,251,000
30,855,000
10,190,000
14,500,000
19,095,000
310,679,000
30,050,000
13,540,000
36,900,000
18,164,000
60,838,000
$2,044,672,000
- 0O0-
14,059,000
922,425,000
22,512,000
10,190,000
13,680,000
14,995,000
• 187,167,000
19,759,000
9,390,000
30,914,000
18,023,000
4 2 ,365,000
¡$1 ,305,479,000
ICE IMMEDIATS RELEASE
July 17. 19N5
The Bureau of Customs announced today preliminary figures shoving the
quantities of coffee authorised for entry for consumption under the quotas
for the 12 months commencing October 1, 19*&* provided for in the Inter*
American Coffee Agreement, proclaimed by the President on April 151 19^it
as follows:
•
j
Authorised for entry
Country of Production t Quota Quantity :
for consumption
________________ I (Pounds) 1/ : As of (Bate) : (Pounds)
Signatory Countries:
Brasil
Colombia
Costa Bica
Cuba
Dominican Bepublic
Xcuador
XI Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru-'?
Venezuela
2,353.628.932
796.79^.513
50,615,676
20.2N6.297
30,369.379
37.961,757
151,8^7,028
135.396,920
69,596.621
5,o6l,5Nl
i2 0 .a 2 .2 9 6
N9.350.32N
6,326.893
106,292,893
Non-Signatory Countries:
89.8N2.785
July
7 , 1 9 N5
July
July
July
IN, 1 9 N5
7. 19N5
7. 19N5
1 .1 N5 .7 5 3 . 0 6 1
5 1 7 ,5 2 8 , 0 3 8
3 2 .3 N0 . 3 2 8
N, 3 9 0 , 6 9 0
•
«
■
2/
s
s
(Import quota filled)
July 7 , 1 9 N 5
R
R
R
R
29.273,056
2 1 .2 5 N . 9 1 0
8 6 .9 a . N 0 1
73.N55.723
NN. 5 0 1 .6 lO
6 8 ,5 2 2 , 0 6 1
18.335.615
3,339.935
5 1 .3 8 8 .N2 0
6 7 9 ,0 9 1
1/ Quotas as of June lt 19^5» determined by action of the Inter-American
Coffee Board on May 29, 19^5.
2/ Per telegraphic reports
TREASURY DEPARTHT;TT
Washington
FOR IMMEDIATE RELEASE,
Wednesday, July 18, 1945.
Press Service
No. 47-0
The Bureau of Customs announced today preliminary figures showing the
quantities of coffee authorized for entry for consumption under the quotas
for the 12 months commencing October 1, 1944, provided for in the InterAmerican Coffee Agreement, proclaimed by the President on April 15, 1941, as
follows s
Country of Production
•
•
: Quota Quantity
(Pounds) 1 /
:
Authorized for entry
:
for consumption
: As of (Date)
(Pounds)
Signatory Countries:
Brazil
Colombia
Costa Rica
Cuba
Dominican Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Mexico
Nicaragua
Peru
Venezuela
2,353,628,932
796,794,513
50,615,-676
20,246,297
30,369,379
37,961,757
151,847,028
135,396,920
69,596,621
5,061,541
120,212,296
49,350,324
6,326,893
106,292,893
Non-Signatory Countries:
89,842,785
1,145,753,061
517,528,038
It
32,340,328
4,390,690
29,273,056
July 14, 1945 2/
July 7, 1945
21,254,910
86,981,401 .
July 7, 1945
ti
73,455,723
tt
44,501,610
(import quota filled)
68,522,061
July 7, 1945
tt
18,335,615
tt
3,339,935
tt
51,388,420
July 7, 1945
tt
I!
679,091
l/ Quotas as of June 1* 1945, determined by action of the Inter-Amerioan
Coffee Board on May 29* 1945.
2/ Per telegraphic reports.
-oOo-
TREASURY DEPARTMENT
Bureau of Internal Revenue
Washington .25, D. C.
For Release
n
/ r t f
t-f'-J-t.
Adoption of a revised form of Withholding Receipt (Form W-2) for the
year 1945 was announced today hy Joseph D. Nunan, Jr., Woinmlg5ioner of
Internal Revenue.
The revised fprm is basically the same as the old form, but has been
improved, on the basis of experience, in arrangement, wording and typography.
The revised form will be usable immediately, but employers are authorized
to use up existing stocks of the old form before adopting the new one. This
policy has been adopted to prevent waste of paper or needless expense to
employers•
Form W—2 is the receipt which each employer is required by law to furnish
to each employee at the end of each year ( or upon termination of employment,
if it occurs at an earlier date) to show the amount of the employee's wages
and the amount of income tax withheld from his wages
during the year.
Most employees whose incomes are under $5,000 also may use the receipt
as a simple income tax return. This form of return has been designated
"Employee's Optional Income Tax Return" and is printed on the back of the
revised receipt.
Except for improved wording and arrangement, this form of
return will be the same as on the 1944 receipts, which were used by approxi
mately 20,000,000 employees for their 1944 returns.
Employers desiring copies of the revised form may requisition them
from local collectors of internal revenue in the usual manner^ tJmployersdesiring to print their own receipts must submit samples to the Commissioner
of Internal Revenue, Washington, 25, D. C.
S.
TREASURY DEPARTMENT
Bureatf of Internal Revenue
Washington 25, D. C.
Adoption of a revised form of Withholding Receipt (Form W-2) for the
year 194-5 was announced today hy Joseph D. Nunan, Jr., Commissioner of
Internal Revenue.
The revised fprm is basically the same as the old form, but has been
improved, on the basis of experience, in arrangement, wording and typography.
The revised form will be usable immediately, but employers are authorized
to use up existing stocks of the old form before adopting the new one. This
policy has been adopted to prevent waste of paper or needless expense to
employers.
Form W-2 is the receipt which each employer is required by law to furnish
to each employee at the end of each year ( or upon termination of employment,
if it occurs at an earlier date) to show the amount of the employee’s wages
and the amount of income tax withheld from his wages
during the year.
Most employees whose incomes are under $5,000 also may use the receipt
as a simple income tax return. This form of return has been designated
"Employee’s Optional Income Tax Return” and is printed on the back of the
revised receipt.
Except for improved wording and arrangement, this form of
return will be the same as on the 1944 receipts, which were used by approxi
mately 20,000,000 employees for their 1944 returns.
w
7
TREASURY DEPARTMENT
Bureau of Internal Revenue
Washington 25, D. C.
FOR RELEASE MORNING NEWSPAPERS,
Thursday. July 19« 1945._____
Press Service
No* 47—1.
Adoption of a revised form of Withholding Receipt (Form W-2) for the
year 1945 was announced today by Joseph D. Nunan, Jrf, Commissioner of
Internal Revenue.
The revised form is basically the same as the old form, but has been
improved, on the basis of experience, in arrangement, -wording and typography.
The revised form will be usable immediately, but employers are authorized
to use up existing stocks of the old form before adopting the new one. This
policy has been adopted to prevent waste of paper or needless expense to
employers.
Form W —2 is the receipt which each employer is required by law to furnish
to each employee at the end of each year (or upon termination of employment,
if it occurs at an earlier date) to show the amount of the employee1s wages
and the amount of income tax withheld from his -wages during the year.
Most employees whose incomes are under i$5y00CLalso may use the receipt
as a simple income tax return. This form of return has been designated
“Employee* s Optional Income Tax Return“ and is printed on the back of the
revised receipt. Except for improved wording and arrangement, this form of
return will be the same as on the 1944 receipts, which were used by approxi
mately 20,000,000 employees for their 1944 returns.
A limited number of sample copies of the revised form are available now,
but about October 1, employers may requisition them in quantity from local
collectors of internal revenue in the usual manner. Employers desiring to
print their own receipts must submit samples to the Commissioner of Internal
Revenue, Washington, 25, D. C.
0O0
TREASURY DEPARTMENT
Washington
JIG NEWSPAPERS,
m
_________ •
ptary of the Treasury, by this publi • notice, invites tenders
____________ b , or thereabouts, of
91 -day Treasury bills, to be issued
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series will be dated
July 26, 1945___ _, and will
mature
October 25« 1945
interest.
They will be issued in bearer form only, and in denominations of $1,000,
» when the face amount will be payable without
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o'clock p.irw, Eastern War time,
Monday, July 23» 1945
Tenders will not be received at the Treasury Department, Washington.
____ •
Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g., 99.925.
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty pf payment by an incoroorated bank or trust company,
~
^
o?
Immediately after the closing hour, tenders will be opened at the Federal
4
1
r ^
TREASURY DEPARTMENT
Washington
FOR RELEASE, MORNING NEWSPAPERS,
Friday. July 20, 1945_________•
The Secretary of the Treasury, by this publi
notice, invites tenders
for -I 1*300,000,000 , or thereabouts, of
91 -day Treasury bills, to be issued
— s r
~ s r
on a discount basis under competitive and fixed-price bidding as hereinafter pro
vided.
The bills of this series will be dated
July 26. 1945
, and will
» when the face amount will be payable without
mature
October 25, 1945
interest.
They will be issued in bearer form only, and in denominations of $1,000,
$5,000, $10,000, $100,000, $500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
closing hour, two o’clock p.m., Eastern War time,
Monday, July 23, 1945
Tenders will not be received at the Treasury Department, Washington.
_____ •
Each tender
must be for an even multiple of $1,000, and the price offered must be expressed
on the basis of 100, with not more than three decimals, e. g., 99.925.
may not be used.
Fractions
It is urged that tenders be made on the printed forms and for
warded in the special envelopes which will be supplied by Federal Reserve Banks
or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and
trust companies and from responsible and recognized dealers in investment securi
ties.
Tenders from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are accompanied by an
express guaranty of payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal
4
l
- 2 Reserve Banks and Branches, following which public announcement will be made by the
Secretary of the Treasury of the amount and price range of accepted bids.
Those
submitting tenders will be advised of the acceptance or rejection thereof.
The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be final.
Subject to these reservations, tenders for $200,000 or less from any one bidder at
99.905 entered on a fixed-price basis will be accepted in full.
Payment of accepted
tenders at the prices offered must be made or completed at the Federal Reserve Bank
in cash or other immediately available funds on
July 26. 1945
iS3c
The income derived from Treasury bills, whether interest or gain from
the sale or other disposition of the bills, shall not have any exemption, as such,
and loss from the sale or other disposition of Treasury bills shall not have any
special treatment, as such, under Federal tax Acts now or hereafter enacted.
The
bills shall be subject to estate, inheritance, gift, or other excise taxes, whether
Federal or State, but shall be exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the possessions of
the United States, or by any local taxing authority.
For purposes of taxation the
amount of discount at which Treasury bills are originally sold by the United States
shall be considered to be interest.
Under Sections 42 and 117 (a) (l) of the
Internal Revenue Code, as amended by Section 115 of the Revenue Act of 1941* the
amount of discount at which bills issued hereunder are sold shall not be considered
to accrue until such bills shall be sold, redeemed or otherwise disposed of, and
such bills are excluded from consideration as capital assets.
Accordingly, the
owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
u m
- 3 for such bills, whether on original issue or on subsequent purchase, and the amount
actually received either upon sale or redemption at maturity during the taxable
year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 413, as amended, and this notice, orescribe 'the terms of the Treasury bills and govern the conditions of their issue..
Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
-2-
Conference and for th e ir fine work in securing the enactment
of th is le g is la tio n .
j t is hoped that the other United Nations w ill follow
the lead of the United S tates by promptly accepting membership
in both the Fund and Bank.
Such acceptance w ill be the
re a liz a tio n of the policy of in tern atio n al cooperation for
which the Treasury has striven during i t s eleven years under
ny d ire c tio n .
y 7July 20-j 1945.
v
FOR IMMEDIATE RELEASE.
* L K X k t© t» C
.J<r* The completion of le g is la tiv e action on the Bretton
Woods Agreements w ill be an in sp ira tio n to the peoples of*
the United Nations who' believe that in tern atio n al problems
can and must be solved through world cooperation.
responsible leaders of the United Nations have
recognized in the San Francisco Charter and in the Bretton
Woods Fund and Bank th at peace is possible only, in a pros
perous world.
We know now th a t peace and prosperity are
in d iv isib le and th at they can be achieved only i f countries
work together to bring about a b e tte r world.
^The vote of 61 to 16 in the Senate and the vote of
345 to 18 in the House show clearly that there is no par
tisa n division in Congress or the country on th is policy.
The American people are united in th e ir determination to
cooperate with other countries in the s e ttlin g of in te r
national problems by the method of discuss, on and agreement.
W Senators Wagner and Tobey and Congressmen Spence and
Wolcott have given the country a splendid example of nonI p artisan leadership.
The people of th is country are indebted
I to them for what they did as delegates a t the Bretton #oods
■a***'"
treasury: department
Washington
FOR IMMEDIATE RELEASE,
Friday, July 20, 194.5.
Press Service
No• 47-3
Secretary Morgenthau today issued the following statement*
The completion of legislative action on the Bretton Woods
Agreements will be an inspiration to the peoples of the United e
Nations who believe that international problems can and must
be solved through world cooperation.
The responsible leaders of the United Nations have
recognized in the San Francisco Charter and in the Bretton ¿foods
Fund and Bank that peace is possible only in a prosperous world.
We know now that peace and prosperity are indivisible, and that
they can be achieved only if countries work together to bring
about a better world.
The vote of 61 to 16 in the Senate and the vote of 345 to
IS in the House show clearly that there is no partisan division
in Congress or the country on this policy. The Ameridan people
are united in their determination to cooperate with other countries
in the settling of international problems by the method of dis
cussion and agreement.
Senators Wagner and Tobey and Congressmen Spence and Wolcott
have given the country a splendid example of non-partisan leader
ship. The people of this country are indebted to them for what
they did as delegates at the Bretton Woods Conference and for
their fine work in securing the enactment of this legislation.
It is hoped that the other United Nations will follow the
lead of the United States by promptly accepting membership in^
both the Fund and Bank. Such acceptance will be the realization
of the policy of international cooperation for which the Treasury
has striven during its eleven years under my direction.
-oOo—
-
8
-
Customs seizures of all types of smuggled goods dropped
from 17,815 in 1944 to 16,400 in 1945.
Liquor seizures, small lot
stuff, -dropped from 7,098 in 1944 to 4,200 in 1945.
Among important seizures of smuggled merchandise was a
lot of 600 watches and 200 watch movements found cleverly concealed
in sleeping compartments on a Montreal train*
The find was made at
Rouses Point, New York, and two men were arrested.
At New Orleans,
agents broke up an attempted illegal exportation as ship*s stores,
Canadian officers, Customs helped break up a large scale smuggling
of gold from this country and Canada to North Africa.
Royal Aijjforce
Transport Command pilots were involved in the erstwhile highly profit
able venture^/
Customs officers continued to devote major attention to
war services such as control of merchant shipping, of imports and
exports, and of persons arriving and leaving the United States.
Evidence gathered by Alcohol Tax agents during the success
ful 1944 drive to smash the black market in liquor resulted in further indictments during the 1945 period of 351 persons, while 3 2 2
persons were convicted on various charges.
One of the most important
of these cases involved Robert Gould, Cincinnati broker, who was
given a six-year prison sentence and fined, with one of his companies,
|240, 000.
- 7 -
information leading to his arrest and conviction.
The bills, some
4,0 or 50 of which are passed each month, all bear the serial number
K7002536A.
Submerged as he is in New York City’s millions, the ,
passer's one-at-a-time technique, and the $1 denomination make in
terception extremely difficult.
Total seizures of Narcotic drugs during the 1945 fiscal
year by Narcotics and Customs were 9,831 ounces, compared to 4,54-2
ounces in 1944- Marihuana seizures were 12,381 ounces bulk, and
/
V
15,38# cigarettes, compared with 7,651 ounces bulk in 1944, and
/
24,196 cigarettes.
.
New York City appeared to be the focal point
drugs in the illicit trade continued, and numerous thefts from
legitimate stocks and illegal diversions through fraudulent pre
scriptions resulted from frantic efforts of peddlers and addicts to
get supplies.
Despite vigorous efforts by the Mexican Government to
eradicate clandestine plantings of opium in remote mountain regions,
sizeable seizures of the drug from these sources were made.
Addi
tional large seizures were made aboard ships arriving at United
States ports, particularly those from Iran and India.
One such
seizure made at Baltimore consisted of 63 ^ pounds, which, in the
New York illicit market would have brought $63,000.
The smuggler,
crewman on a Chinese vessel, said he purchased the lot in India for
$1,000.
is to merchants such as those who cashed the checks stolen and
forged by these youngsters that the Secret Service directs its
«Know'Your Endorser" campaign.
The merchants lose their money in
such cases.
The Secret Service smashed quickly two elaborate counter
feit Treasury check enterprises^with Edwin D. Long, Oklahoma City
printer, drawing a three-year prison term -- his twelfth since 1924.
For a similar offense, Frank Garrett, who has spent 35 of his 55
years in prison for forgery, was given a three-year term at Dallas,
Texas.
No major _ T_„
::¥,
. Jj.. , |Mj
1
the year, and the loss to the public from counterfeit bills and
coins was only $28,852, a new low.
The Service seized two„large
lots of long-cached counterfeit bills, the producyjp o
s.__a
.rposes, years ago.
✓“
V
One lot of $13,400 in counterfeit $100 bills was captured
at Cudahy, Wisconsin.
Five traffickers in these notes drew long
\/
prison terms.
The other catch was that of 5C^ $5 silver certifi
cates seized at Philadelphia, which resulted in the conviction of
Anthony Peter Campanaré.
Chief Wilson said the only actively circulating counterfeit at this time is a crude $1 bill being passed regularly in the
New York area.
Believed to be a lone^wolf operator J^this counter
feiter has eluded capture since 193S.
A reward is offered for
- 5 \/
Louis S. Berkhoff, Milwaukee, was sentenced in June to a
v/
_
four-year prison term for filing false financial statements with
the Bureau of Internal Revenue.
He allegedly concealed his wealth
in some 250 banking and other financial accounts.
Despite the record flow of Government checks to the public,
which, swelled by allowance, allotment and discharge compensation
for service men, is at the rate of 1,000,000 each working day, the
number of checks reported for investigation by the Secret Service
during the 194-5 fiscal year actually declined from 18,163 in 1944-, to
/
16 , 380 .
±
The S e r v ic e
s conducted a nationwide program to educate
recipients and cashers of these checks in means of foiling the forger.
With some 85,000,000 persons now owning Government bonds, potential
ities for theft and fraudulent negotiation increased, and 241 arrests
were made for this crime.
Agents found the victim of one such theft
had bean forced into a ^ r i t y h o m e .
£ < 2 ^
The number o^itrrestsCfor check theft and forgery increased
✓
^
1/
from 1,691 in the 1944- fiscal year. to 1,722, of whom 706, or 41 percent, were under 21 years of age, pointing up the seriousness of
these offenses as factors contributing to juvenile delinquency.
In New York City, one gang of 31 juvenile forgers was broken
up by arrests.
At Newark, New Jersey, officers rounded up 13 teen
age girls, who called themselves the «Jacket Club» (from the »window»
envelopes in which the Treasury checks they stole were mailed).
It
He pointed out that the type of cases referred to the Unit
frequently requires long and arduous investigative work*
Indictments
were obtained against 86 individuals during the year, 70 persons
for tax evasion*
It was charged that he failed to report fully fees
received in a federal court receivership case.
*
Evidence presented
in the Memoir trial was brought before a judiciary sub-committee of
the House of Representatives in Washington, which investigated con
duct in office of Albert W. Johnson, former federal judge in that
district.
As the fiscal year closed, 10 persons were indicted on var
ious charges growing out of a grand jury investigation at Wichita,
Kansas, into tax liabilities of various individuals allegedly en
gaged in illicit liquor and gambling operations.
At Chicago, a federal jury on June 28, indicted Harry E.
/
Jacoby, President, and the Amazon Hose and Rubber Co., on charges
of attempted evasion of taxes.
The indictment charged that only
negligible amounts of war-contract earnings of $4 0 0 ,0 0 0 in a threeyear period were reported for tax purposes.
Also indicted at
Chicago, just after the fiscal year closed, was Bert K. Naster, owner
of sin electrical equipment company, on charges of evading $221,000 in
taxes.
- 9 -
The Unit produced potential additional revenue to the
Government of nearly two million dollars from investigation of floor
tax evasion, and in compromise settlement by a large group of
breweries charged with illegally subsidizing retail outlets.
Prop
erty valued at another two million dollars was seized in connection
with liquor law violations. Illicit still seizures in 1945 were
v
1/
8,34o, against 6,801 in 1944* Arrests made by the Unit totalled
11,104, compared to 11,525 in 1944*
-0 O0 -
»
- 3 -
The Alcohol Tax Unit of the Bureau of Internal Revenue con
tinued its successful prosecution of black market liquor racketeers,
and reported seizures indicating a 22 percent increase in illicit
distilling operations, made possible largely by illegal diversion of
sugar.
This latter offense is being combatted jointly by the Unit
and the Office of Price Administration.
Commissioner,
Stewart Berkshire, Deputy
of the Unit, said the quantity of mash de
stroyed still was 57 percent less than in the pre-rationing year 1941.
The Foreign Funds Compliance Section continued to ferret
out and establish controls over unreported or unblocked funds of na
tionals of enemy or enemy looted countries, one case involving
$420,000, money which apparently was transferred from France to
Switzerland, to Portugal, and finally to the United States.
*7 yvuM
(fee. i
^
v
^The six Treasury agencies, with an average of 1,885 investi
gators employed during the fiscal vear, provided evidence upon which
federal court convictions of 11,535 violators of laws within Treasury
jurisdiction were obtained.
The convictions total compares with
10,518 in the 1944 fiscal period./
Mr. Woolf reported that, while the expansion of personnel
was just getting underway, the Intelligence Unit had made notable
progress in combatting felonious evasion of taxes, with scores of
major cases being prepared for early presentation to federal grand
juries, some carrying claims for taxes and penalties of from
$1,000,000 to $5,000,000*
-
2
-
taxes recommended, a record f&r the Unit also.
The Unit handles cases
that involve deliberate fraud, and in whichr criminal penalties usually
are sought.
This force is being built up to 1400 special agents, which,
with the additional Revenue Agents, Deputy Collectors, and clerical
and other employees, will give the Bureau a potent army in the field
against wartime chiselers.
Other highlights of Mr, Irey!s report were:
Frank J, Wilson, Chief of the United States Secret Service
reported that money counterfeiting
nned» of negligible propor■
(r*~ ca
tions, but that theft and forgery of Government checks continued a»\v-7
A
enforcement problem.
Similar offenses against holders of Government
ds assume^p^oportions^ nf gnme ^ eftimirnne#
, ^
Pi/&~
JOaaajl
L* C^r
Seizure of drugs $
ports *and borders by Customs and in
the interior traffic by Narcotic agents^ increased sharply, but re
mained below the volume of pre-war years,
Iran, India, and Mexico
were the principal sources for drugs intended for illicit use,
Harry J. Anslinger, Commissioner of Narcotics, reported a wholesale
round-up of eastern distributors of a major California-New York drug
ring, following conviction last year of the West Coast principals of
the traffic,
E. J. Shamhart, Deputy Commissioner of Customs, reported
a decline in seizures of commodities other than \larcotics, due prin
cipally to a sharp drop in liquor smuggling as the supply situation
in this country improved.
With totals swelled in the closing months by the Treasury*s
intensified drive against tax evaders, additional taxes and penalties
recommended for assessment by the Bureau of Internal Revenue during
the 1945 fiseat year reached a record total of $885,000,000,
Of this
amount, $700,0Q0/|was based on delinquencies in income and excess
profits taxes, and the remainder consisted of excise and other miscel
laneous taxes.
Commissioner Joseph D. Nunan, Jr,, said the figures repre
sent potential revenue over and above initial returns filed by tax
payers.
For the 1944 fiscal year the grand total of such assessments
was $730,000,000; and for the 1943 period, $566,000,000.
Mr. Nunan said that, as the new fiscal year began, millions
of additional dollars were being paid into the Bureau by taxpayers,
who, prompted by publicity given the campaign against evasion, are
anxious to square their accounts by voluntary disclosures.
Treasury officials have estimated that the record •# 1945
PI__
___
/tV7
potential recovery of revenue will be topped by-another bi!h
/ 3
* '
results of the recently instituted dri^re-as <rs^uitment and
'
t
v
n
of 10,000 additional personnel ^aaetfasads*.
Elmer L. Irey; Coordinator of Law Enforcement agencies, in
a review of the fiscal year*s work, said that the Intelligence Unit,
headed by W. H. Woolf, with an average investigative personnel of only
330 agents, accounted for $123,000,000 of the 1945 total of additional
TREASURY DEPARTMSNT
'W a s h i n g t o n .
FOR RELEASE, M O R N I N G NEWSPAPERS,
Sunday,- -July 2 9 1 1945»
1
'
Press Se r v i c e
No. 47-4 ,
W i t h ' t o t a l s s w e lled in the cl o s i n g m o n t h s by the
;
_
T r e a s u r y ’s inte n s i f i e d drive a g a i n s t tax evaders, a d d i t i o n a l
taxes and p e n a l t i e s r e c o m m e n d e d for a s s e s s m e n t b y the B u r e a u
of Inter n a l R e v enue d u r i n g the 1 9 4 5 fiscal Y e a r r e a c h e d a
record total of # 8 8 5 , 0 0 0 , 0 0 0 .
Of this amount, $ 7 0 0 , 0 0 0 , 0 0 0
was b a s e d on d e l i n q u e n c i e s in income and excess pr o f i t s taxes,
and the ^remainder 'consisted o f exicise and other m i s c e l l a n e o u s
taxes.
C o m m i s s i o n e r J o s e p h D, Nunan, Jr., said the figures r e p r e
sent p o t e n t i a l revenue over and above initial ret\irns filed
b y taxpayers*
For the 1944 fiscal y e a r the grand total of
s uch a s s e s s m e n t s was # 7 3 0 , 0 0 0 , 0 0 0 ; and for the 194 3 period,
#566,000,000.
Mr. N u n a n said that, as the n e w fiscal yea r began, m i l l i o n s
of a d d i t i o n a l do l l a r s w e r e b e i n g p a i d into the B u r e a u b y t a x —
payers, who, p r o m p t e d b y p u b l i c i t y g i v e n the c a m paign a g a inst
evasion, are anxious to square their accounts b y v o l u n t a r y
disclosures.
T r e a s u r y o f f icials h a v e estimated that the r e c o r d ^ 1945
p o t e ntial r e c o v e r y of revenue will be topped s u b s t a n t i a l l y
in the p r e s e n t fiscal y e a r as results of the r e c e n t l y
ins t i t u t e d drive are felt th r o u g h r e c r u i t m e n t and a s s i g n m e n t
-of 1 0 , 0 0 0 a d d i tional personnel.
E l m e r L. Irey, C o o r d i n a t o r of L a w E n f o r c e m e n t Agencies,
in a revi e w o f the fiscal y e a r ’s wTork, said that the I n t e l l i
gence Unit, h e a d e d b y W. H* Woolf, w i t h an av e r a g e i n v e s t i
gative- p e r s o n n e l of onl y 330 agents, a c c o u n t e d for # 1 2 3 , 0 0 0 , 0 0 0
of the 1945 total of addi t i o n a l taxes recommended, a record
fbr the U n i t also.
The U nit h a n d l e s cases' that, involve
d e l i b e r a t e -Fraud, and in w h i c h criminal, p e n a l t i e s u s u a l l y are
sought.
This
w i t h the
clerical
army in
force is b e i n g b u ilt up to 1 400 special agents, which,
a d d i t i o n a l Revenue agents, D e p u t y C ollectors, and
and other employees, will give the B u r e a u a pote n t
the .field a g a i n s t w a r t i m e chiselers.
-
O t h e r h i g h l i g h t s of Mr.
2
-
Irey* s report were:
Prank J. Wilson* C h i e f of the U n i t e d States Secret
Service, r e p o r t e d that m o n e y c o u n t e r f e i t i n g a g a i n this last
year was of n e g l i g i b l e p roportions, h u t that t h e f t ^ a n d
forgery of ^Government checks, continued, to be a serious
e n f o r c e m e n t problem.
S i m i l a r of f e n s e s a g a inst h o l d e r s of
G o v e r n m e n t b o nds a s s u m e d sizeable p r o p o r t i o n s .
D R U G SE I Z U R E S M O U N T
Se i z u r e of d r ugs at ports and b o r d e r s b y C u s t o m s an d in
the I n t e r i o r t r affic b y N a r c o t i c agents inc r e a s e d sharply,^
but r e m a i n e d b e l o w the volume of p r e - w a r years.
Iran, India,
and M e x i c o w e r e the p r i n c i p a l sources for drugs i n t e n d e d for
illicit use.
H a r r y J* A nslinger, Corftroissloner of N a r c otics,
re p o r t e d a w h o l e s a l e r o u n d - u p o f e a s t e r n d i s t r i b u t o r s o f a
m a j o r Cal i f o r n i a - N e w T Y o r k d r u g ring, f o l l o w i n g c o n v i c t i o n
last y e a r of the Vvest C o ast p r i n c i p a l s o f the traffic.
E. J. Shamhart, D e p u t y C o m m i s s i o n e r of Customs, r e p o r t e d
a d e c l i n e in s e i z u r e s of c o m m o d i t i e s o t h e r than nar c o t i c s ,
-due p r i n c i p a l l y to a sharp d r o p in l i quor s m u g g l i n g as the
supply s i t u a t i o n in this c o u n t r y improved.
The A l c o h o l T a x U nit of the B u r e a u of Internals R e v e n u e
c o n t i n u e d its s u c c e s s f u l p r o s e c u t i o n of b l a c k m a r k e t l i q u o r
racketeers, and r e p o r t e d seizures i n d i c a t i n g a 22 p e r c e n t
increase in illicit d i s t i l l i n g opeations, m a d e p o s sible
l a r g e l y by illegal d i v e r s i o n of sugar.
Thi s l a t t e r offense
is b e i n g c o m b a t t e d jointly b y the U n i t and the O f f i c e ^ o f
Price A d m i n i s t r a t i o n .
S t e w a r t Berkshire, D e p u t y Commissioner,
h e a d of the Unit, said the q u a n t i t y of m a s h d e s t r o y e d still
was 57 p e r c e n t less than in the p r e - r a t i o n i n g y e a r 1941.
The F o r e i g n Funds C o m p l i a n c e S e c t i o n c o n t i n u e d to ferret
out and e s t a b l i s h control over u n r e p o r t e d o r ^ u n b l o c k e d funds
of n a t i o n a l s of e n e m y or e n emy looted countries, one case
i n v o l v i n g $'420,000, m o n e y w h i c h a p p a r e n t l y was t r a n s f e r r e d
f r o m France to Switzerland,\ to Portugal, and f i n a l l y to the
U n i t e d States.
MORE CONVICTIONS REPORTED
The six T r e a s u r y agencies, w i t h . a n a v erage of 1 , 8 8 5
i n v e s t i g a t o r s e m p l o y e d d u r i n g the fiscal year, p r o v i d e d
ev i d e n c e u p o n w h i c h federal court c o n v i c t i o n s of 11,535
violators of ,laws w i t h i n T r e a s u r y j u r i s d i c t i o n w ere obtained.
The c o n v i c t i o n s total co m p a r e s w i t h 10,518 in the 1944 fiscal
period.
5
Mr. W o o l f r e p o r t e d that, w h i l e the e x p a n s i o n of p e r s o n n e l
was just g e t t i n g u n d e r w a y ^ the I n t e l l i g e n c e U n i t h a d mad e
n o t a b l e p r o g r e s s in c o m b a t t i n g f e l o nious ev a s i o n of taxes,
w i t h scores o f m a j o r cases b e i n g p r e p a r e d for e a r l y p r e s e n
t a tion to Federal g r a n d juries, some ca r r y i n g claims for
taxes and p e n a l t i e s of f r o m $ 1 , 0 0 0 , 0 0 0 to $ 5 , 0 0 0 , 0 0 0 •
?%
'; \ ■
He p o i n t e d out that the type of cases r e f e r r e d to the
U n i t f r e q u e n t l y requires long and arduous i n v e s t i g a t i v e work*
I n d i c t m e n t s were ob t a i n e d a g a i n s t 86 i ndividuals d u r i n g the
7vesr, 70 p e rsons were b r o u g h t t o ‘trial, and 65 w e r e convicted.
A m o n g o u t s t a n d i n g cases closed was. that inv o l v i n g John
Memolo, Scranton, Pennsylvania' attorney, g i v e n a t h r e e - y e a r
t e r m for tax evasion.
It w a s charged that he failed to reDort f u lly fees r e c eived in a F e d e r a l court r e c e i v e r s h i p case.
E v i d e n c e p r e s e n t e d in the M e m o l o trial '-was b r o u g h t b e f o r e
a jud i c i a r y sub^-committee of the H o u s e of R e p r e s e n t a t i v e s in
Washington, w h i c h i n v e s t i g a t e d conduct in office of A l b e r t W.
Johnson, f o r m e r F e d e r a l .j u d g e ‘in that district.
IllVBSTIGAl Ï ON IN K A N S A S ’
As the fiscal y e a r closed, 10 p e r sons w e r e ind i c t e d on
various charges g r o w i n g out of a g r and jury i n v e s t i g a t i o n at
W i c h i t a , Kansas, into tax. l i a b i l i t i e s of v&rious i n d i viduals
a l l e g e d l y engaged in illicit l i q u o r and g a m b l i n g o p e r ations*
At Chicago, a federal jury on June 28, indic t e d H a r r y E.
Jacoby, President, and the A m a z o n Hose and R u b b e r Co., on
charges of a t t e m o t e d ev a s i o n o f taxes.
T h e i n d i c t m e n t charged
that only n e g l i g i b l e amounts of w a r - c o n t r a c t earnings of
$400,000* in a t h r e e - y e a r period were r e p o r t e d for tax purposes.
A l s o i n d i c t e d at Chicago, just a f t e r the fiscal y è a r closed,
was B ert K. Naster, owner of an e l e c t r i c a l e q u i p m e n t company,
on c h a r g e s o f e'vading $ 2 2 1 , 0 0 0 in taxes.
’ * -,
L o uis S. Berkhoff, Milwaukee, wa s sen t e n c e d in
a f o u r - y e a r p r i s o n t e r m f o r ' filing false fi n a n c i a l
w i t h the B u r e a u of Internal Revenue.
-He a l l e g e d l y
his w e a l t h in some 250 b a n k i n g and o t h e r f i n ancial
June to
s tatements
concealed
a c c ounts*
D e s p i t e the r e c o r d flow' of G o v e r n m e n t checks to the
public, which, swelled b y allowance, a l l o t m e n t and d i s c h a r g e
c o m p e n s a t i o n for service-men, is at the rate o f 1 , 0 0 0 , 0 0 0
e a c h w o r k i n g day, the' n u m b e r of checks r e p o r t e d for i n v e s t i
g a t i o n by the Secret S e r vice d u r i n g the 1945 fiscal y e a r
ac t u a l l y
d e c l i n e d f r o m 1 8 ,168 in" 1944, to 16,380-*
T he S e r v i c e
4
has c o n d u c t e d a 'nationwide p r o g r a m to educate reci p i e n t s
and cashers of t h e s e checks in m e a n s of ^foiling the forger*
W i t h some 35,-000,000 persons n o w o w n i n g G o v e r n m e n t bonds,
p o t e n t i a l i t i e s for t h eft a n d 'f r a u d u l e n t n e g o t i a t i o n increased,
and 24Í arrests: w e r e m a d e for this crime*
A g e n t s f o und the
v i c t i m of one suc h theft h a d bee n forced into a c h a r i t y home*
FORGERY ARRESTS
INCREASE
The n u m b e r o f a r r ests for check theft and f o r g e r y in
cr e a s e d f r o m 1,691 in the 1944 fiscal year, to 1,722, of w h o m
706, or 41 percent, were u n d e r 21 years o f age, p o i n t i n g up
the s e r i o u s n e s s of these off e n s e s as factors c o n t r i b u t i n g to
juvenile d e l i n q u e n c y *
I n N e w Y o r k City, one g a n g of 31 juvenile forgers was
b r o k e n up b y arrests*
At Newark, N e w Jersey, officers rounded
u p 13 teen-age girls, who call e d them s e l v e s the ”Jacket C l u b ”
(from the ”w i n d o w ” env e l o p e s in w h i c h the T r e a s u r y checks
the y stole w e r e ma i l e d ) *
It is to m e r c h a n t s suc h as those
w h o c a s h e d the checks s t o l e n and forged b y these y o u n g s t e r s
that the S e c r e t Service d i r ects its ’’K n o w Y o u r E n d o r s e r ”
campaign.
The m e r c h a n t s lose their m o n e y in s u c h cases*
The S e cret S e r v i c e s m a shed q u i c k l y two ela b o r a t e c o u n t e r
feit T r e a s u r y check enterprises, w i t h E d w i n D* Long, Oklahoma
C i t y printer, d r a w i n g a t h r e e - y e a r p r i s o n t e r m - - 1 his t w e l f t h
since 1924*
Por a s i m i l a r offense, F r a n k Garrett, w h o has
spent 35 o f his 55 y e ars in p r i s o n for forgery, w as g i v e n a
t h r e e - y e a r t e r m at Dallas,, Texas.
COUNTERFEIT LOSSES SMALL
No m a j o r m o n e y c o u n t e r f e i t i n g a c t i v i t i e s d e v e l o p e d during
the year, and th e . l o s s to t he p u b l i c f r o m c o u n t e r f e i t bills
and coins w a s onl y $28,852, a n e w low.
Th e Service seized
two large lots of l o n g - c a c h e d c o u n t e r f e i t bills, the product
o f criminal, gangs which, for all p r a c t i c a l purposes, was
s m a shed years ago.
One lot of $ 1 3 , 4 0 0 in c o u n t e r f e i t $ 1 0 0 b i lls was captured
at Cudahy, W i s c o n s i n *
Five t r a f f i c k e r s in these n o tes drew
long p r i s o n terms*
T he other c a t c h was that of 50 $ 5 silver
c e r t i f i c a t e s seiz e d at Ph i l a d e l p h i a , w h i c h r e s u l t e d in the
c o n v i c t i o n o f A n t h o n y P e t e r C a m p anaro.
C h i e f W i l s o n said the o n l y a c t i v e l y c i r c u l a t i n g c o u n t e r
feit at this
time is a crude $1 b i l l b e i n g p a s s e d r e g u l a r l y
in the N e w Y o r k area*
B e l i e v e d to be a l o n e - w o T f operator,
this c o u n t e r f e i t e r has eluded capture since 1938.
A reward
is o f f ered for i n f o r m a t i o n l e a d i n g to his arrest a nd c o n
viction.
The bills, some 40 or 50 of which, are p a s s e d eac h
month, all b e a r the serial n u m b e r K700 2 5 3 6 A , ■ S u b m e r g e d as
he is in N e w Y o r k C i t y 1s millions, the p a s s e r ’s o n e - a t - a - t i m e
technique, and the $1 d e n o m i n a t i o n m a k e i n t e r c e p t i o n e x t r e m e l y
dif f i c u l t #
T o t a l seizures of n a r c o t i c drugs duri n g the 1 9 4 5 , fiscal
y ear by N a r c o t i c s and C u s t o m s w e r e 9,831 ounces, c o m p a r e d to
4,542 ounces in 1944#
M a r i h u a n a seizures wer e 12,381 ounces
bulk, and 15,3 8 8 cigarettes, c o m p a r e d w i t h 7,651 ounces
b u l k in 1944, a n d 24,196 cigarettes.
New Yor k City appeared
to b ^ the focal point for internal traffic in m a r i h u a n a .
ILLICIT DRUG
PRICES HIGH
R e l a t i v e s c a r c i t y and e x t r e m e l y h i g h prices for n a r c o t i c
d r ugs in the illicit trade continued, and n u m e r o u s thefts fro m
l e g i t i m a t e stocks and illegal d i v e r s i o n s t h r o u g h fraudulent
p r e s c r i p t i o n s r e s u l t e d f r o m frantic efforts of p e d d l e r s and
a d d icts to g et supplies.
'
...
•i
D e s p i t e v i g o r o u s efforts b y the M e x i c a n G o v e r n m e n t to
e r a d i c a t e c l a n d e s t i n e p l a n t i n g s of o p i u m in remote m o u n t a i n
regions, sizeable seizures of the d r u g f r o m these sources
were made,
Add i t i o n a l large seizures wer e m a d e aboard ships
a r r i v i n g at U n i t e d States ports, p a r t i c u l a r l y those f r o m I r a n
and India,
O ne s uch seizure made at B a l t i m o r e c o n s i s t e d of
63s- pounds, which, in the N e w Y o r k illicit m a r k e t w o u l d h a v e
b r o u g h t ¿63,000.
The smuggler, cr e w m a n on a C h i nese vessel,
said he p u r c h a s e d the lot in I n d i a for $1,000.
Cu s t o m s seizures of all types of sm u g g l e d goods d r o p p e d
f r o m 1 7 , 8 1 5 in 1944 to 1 6 ,400 in 1945,
L i q u o r seizures, small
lot stuff, d r o p p e d f r o m 7,098 in 1944 to 4 , 2 0 0 in 1945.
A m o n g imp o r t a n t seizures of s m u g g l e d m e r c h a n d i s e was a
lot o f 600 w a t c h e s a nd 200 w a t c h m o v e m e n t s found c l e v e r l y con~
cealed in s l e e p i n g c o m p a r t m e n t s on a M o n t r e a l train.
The find
was m a d e at R o u s e s Point, N e w York, a nd two m e n wer e arrested.
At N e w Orleans, agents broke up an a t t e m p t e d illegal e x p o r t a
tion as ship*s stores, of n e a r l y 2 , 0 0 0 , 0 0 0 cigarettes.
GOLD SMUGGLING CHECKED
W o r k i n g w i t h the U n i t e d States Secret Se r v i c e and w i t h
C a n a d i a n officers, C u s t o m s h e l p e d b r eak up a large scale
smu g g l i n g of gol d f r o m this c o u n t r y and C a n a d a to N o r t h
Africa,
Royal Air Force T r a n s p o r t C o m m a n d p i lots were in
volved in the erstwhile h i g h l y p r o f i t a b l e venture.
6
-
C u s toms officers c o n t i n u e d to devo t e m a j o r a t t e n t i o n to
w a r services ,su,ch as. control of m e r c h a n t shipping, of imports
and exports, a n d . o f persons a r r i v i n g and l e a v i n g the U n i t e d
States»
E v i d e n c e g a t h e r e d by Alcohol Tax agents d u r i n g the s u c c e s s
ful 1944 d r ive to s m a s h the b l a c k m a r k e t in l i q u o r resulted
in further indi c t m e n t s d u r i n g the .1945 p e r i o d of 35.1 persons,
while 3 2 2 . pe r s o n s wer e c o n v i c t e d on various charges.
One of
the m o s t i m p o rtant of these cases in v o l v e d Robe r t Gould,
C i n c i n n a t i broker, w ho was g i v e n a six-^year p r i s o n sentence
and fined, w i t h one of h i s companies, $ 2 4 0 , 0 0 0 »
'Mf -
The U n i t p r o d u c e d p o t e n t i a l a d d i t i o n a l re v e n u e to the
G o v e r n m e n t of n e a r l y two m i l l i o n d o l l a r s f r o m i n v e s t i g a t i o n
of f l o o r tax evasion, and in c o m p romise s e t t l e m e n t b y a large
g r o u p of b r e w e r i e s c h a r g e d w i t h i l l e g a l l y s u b s i d i z i n g retail
outlets.
P r o p e r t y v a l u e d at a n o t h e r two m i l l i o n d o l l a r s was
seized in c o n n e c t i o n w i t h l i q u o r law violations.
Il l i c i t
still seizures in 1945 were 8,346, ag a i n s t 6,801 in 1944,
A r r e s t s m a d e by the U n i t tot a l l e d 11,104, c o m p a r e d .to 11,525
in 1944,
.oQo
TREASURY DEPARTMENT
Washington
Press Service
No.
FOR RELEASE, MORNING NEWSPAPERS,
Tuesday, July 24, 1945__________
Personal support remittances are now authorized to any part of
Italy, the Treasury Department announced today# Mo assurance can be
given, however, as to the outpayment of remittances to certain areas
in Northern Italy since banking aid communication facilities may not
yet be available*
Under General License No* 32A, as amended today, a maximum of
$1,000 per month may be sent through banking channels to any individual
within Italy for his support and that of his family* Such remittances
may be made from blocked accounts of individuals living in Italy except
the accounts of subjects of Italy or citizens or subjects of other coun
tries against which we have declared war# Persons desiring to effect
remittances to individuals in Italy should consult their local banks.
Yifhile the Italian Government has presently authorized only the Bank
of Italy, the Bank of Naples and the Bank of Sicily to handle support
remittances, today*s amendment to General License No* 32A makes it pos
sible for additional banks in Italy to participate in this program should
the Italian authorities permit them to do so*
The Treasury Department also announced that General Licenses Nos# 32
and 33, which authorize support remittances to non-enemy blocked countries,
have been amended by increasing from $500 to $1,000 the maximum amount
which may be remitted in one month# Attention was directed to the fact
that, in view of General Ruling No* 11A, General License No* 32 does not
authorize debits to the accounts of citizens or subjects of Germany or
Japan who have been within enemy territory at any time since December 7,
1941.
ooOoo—
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G NEWSPAPERS,
Tuesday, July 24, 1945»___________
Press Service
No. 47-5
P e r sonal support r e m i t t a n c e s are n o w a u t h o r i z e d to
a n y part of Italy, the T r e a s u r y D e p a r t m e n t a n n o u n c e d today.
No ass u r a n c e can be given, howev e r , as to the o u t p a y m e n t
of remi t t a n c e s to c e r t a i n areas in N o r t h e r n I t a l y since
b a n k i n g and c o m m u n i c a t i o n fac i l i t i e s m a y not yet be available.
U n d e r G e n eral L i c e n s e No. 32A, as am e n d e d today, a
m a x i m u m of $ 1 , 0 0 0 p e r m o n t h m a y be sent t h r ough b a n k i n g
chann e l s to an y individual w i t h i n I t a l y for hi s support and
that of his family.
S u c h r e m i t tances m a y be m a d e fro m
b l o c k e d ac c o u n t s of indi v i d u a l s l i v i n g in I t a l y except the
a c c ounts of subjects of I t aly or citizens or subjects of other
c o u n tries a g a i n s t w h i c h we hav e d e c l a r e d war.
Persons d e s i r i n g
to effect r e m i t tances to indi v i d u a l s in I t a l y should consult
their local banks.
W h i l e the I t a l i a n G o v e r n m e n t has p r e s e n t l y a u t h o r i z e d
only the B a n k of Italy, the B a n k of N a p l e s and the B a n k of
S i c i l y to h a n d l e support remittances, t o d a y 1s a m e n d m e n t to
General L i c e n s e No. 32A m a k e s it p o s s i b l e for a d d i t i o n a l banks
in I t a l y to p a r t i c i p a t e in this p r o g r a m should the I t a l i a n
a u t h o r i t i e s perm i t t h e m to do so.
The T r e a s u r y D e p a r t m e n t also a n n o u n c e d that General
L i c e n s e s Nos. 32 and 33, w h i c h a u t h o r i z e support remittances
to n o n - e n e m y b l o c k e d countries, hav e b e e n a m e n d e d b y i n c r e a s
ing f r o m $ 500 to $ 1 , 0 0 0 the m a x i m u m amount w h i c h m a y be r e
m i t t e d in one month.
A t t e n t i o n w as d i r e c t e d to the fact that,
in view of G e n e r a l R u l i n g No. 11A, G e n e r a l L i c e n s e No. 32
does n ot a u t h o r i z e debits to the ac c o u n t s of citizens or
subjects of G e r m a n y or J a p a n who have b e e n w i t h i n enemy
t e r r i t o r y at any time since D e c e m b e r 7, 1941*
oOo
DIVISION OF PUBLIO RELATIONS
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Title
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Press room • • • •
OMI « • • * • • • •
Building distribution
o o
■jr
7/1/45
d
TREASURY DEPARTMENT
Washington
FOR RELEASE, M O R N I N G NEWSPAPERS,.
Monday, July 25, 1945»_________No*. 47-6
Press Se r v i c e
The S e c r e t a r y o f the T r e a s u r y t o day a n n o u n c e d an
offering, t h r o u g h the Federal R e s erve Banks, of 7/8 p e r c e n t
T r e a s u r y C e r t i f i c a t e s of I n d e b t e d n e s s of S e ries F-1946, open
on an e x c h a n g e basis, par for par, to h o l d e r s of T r e a s u r y
C e r t i f i c a t e s of I n d e b t e d n e s s of S e r i e s .E-1945,. m a t u r i n g
A u g u s t 1, 1945*
C a s h s u b s c r i p t i o n s will not be received#
The c e r t i f i c a t e s n ow of f e r e d will be d a t e d August 1,
1945, and w i l l b e a r interest f rom that date at the rate of
s e v e n - e i g h t h s of one p e r c e n t per a n n u m pa y a b l e s e m i a n n u a l l y
on F e b r u a r y 1 and August 1, 1946*
T h e y will m a t u r e August 1,
1946.
T h e y will be issued in b e a r e r f o r m only,, in d e n o m i n a t i o n s
of $1,000, $5,000, $10,000, $ 1 0 0 , 0 0 0 and $1,000,000*.
P u r s u a n t to the p r o v i s i o n s of the P u b l i c D ebt A c t of 1941,
interest u p o n the c e r t i f i c a t e s now o f f e r e d shall not have any
exemption, as such,^ u n d e r Federal tax acts n ow or h e r e a f t e r
enacted.
The full p r o v i s i o n s r e l a t i n g to t a x a b i l i t y are set
forth in the official c i r cular r e l e a s e d today*
S u b s c r i p t i o n s will be r e c e i v e d at the Fe d e r a l R e s e r v e
B a n k s and Bra n c h e s and at the T r e a s u r y D e p a r t m e n t , W a s h i n g t o n ,
and should be a c c o m p a n i e d b y a like face a m ount of the m a t u r i n g
certi f i c a t e s .
Subject to the u s u a l r e s e r vations, all s u b
s c r i ptions will be a l l o t t e d in full*'
T h e r e are now o u t s t a n d i n g $ 2 , 5 1 0 , 9 5 9 , 0 0 0 of the Series
E-1945 certificates.
The text of the o f f icial
c i r c u l a r follows:
UNITED STATES OF AMERICA
7/8 PERCENT TREASURY CERTIFICATES OF INDEBTEDNESS OF SERIES F-1946
Dated and bearing interest from August
1945
.
Due August 1, 1946
TREASURY DEPARTMENT,
Office of the Secretary,
Washington, July 23, 1945.
1945
Department Circular No, 773
Fiscal Service
Bureau of the Public Debt
I*
OFFERING OF CERTIFICATES
■j
-,•
: ■■' .:X
1,
The Seferetary of the Treasury, pursxiant to the authority of the Second
Liberty Bond;Act, as amended* invites subscriptions, at oar, from the people of
the United States for Certificates of indebtedness of the United States, desig
nated 7/8 percent Treasury Certificates of Indebtedness of Series F-1946, in
exchange for Treasury Certificates 6f Indebtedness of Series E-1945> maturing
August lji 1945.
II.
DESCRIPTION OF CERTIFICATES
1. The certificates will be dated August 1, 1945, and will bear interest
fr«n that date at. the rate of 7/8 percent per annum, payable semiannually on
February 1 and August 1, 1946. They, will mature August 1, 1946, and will not
be subject to cali for redemption prior to maturity.
2. The income derived from the certificates shall be subject to all
Federal taxes, now or hereafter imposed. The certificates shall be subject
to estate, inheritance, gift or other excise taxes, whether Federal or State,
but shall be exempt from all taxation now or hereafter imposed on the prin
cipal or interest thereof by any State, or any of the possessions of the
United States, or by any local taxing authority.
3.
moneys.
The certificates will be acceptable to secure deposits of public
They will not be acceptable in payment of taxes.
4. Bearer certificates with interest coupons attached will be issued in
denominations of $1,000, $5,000, $10,000, $100,000 and $1,000,000. The certif
icates will not be issued in registered form.
5. The certificates will be subject to the general regulations of the
Treasury Department, now or hereafter prescribed, governing United States cer
tificates.
Ill,
SUBSCRIPTION AND ALLOTMENT
1.
Subscriptions will be received at the Federal Reserve Banks and
Branches and at the Treasury Department, Washington. Banking institutions
,
- 2 -
generally may submit subscriptions for account of customers, but only the
Federal Reserve Banks and the Treasury Department are authorized to act as
official agencies.
2.
The Secretary of the Treasury reserves the right to reject any sub
scription, in whole or in part, to allot less than the amount of certificates
applied for, and to close the books as to any or all subscriptions at any time
without notice; and any action he may take in these respects shall be final.
Subject to these reservations, all subscriptions will be allotted in full.
Allotment notices will be sent out promptly upon allotment.
IV.
PAYMENT
1. Payment at par for certificates allotted hereunder must be made on or
before August 1, 1945, or on later allotment, and may be made only in Treasury
Certificates of Indebtedness of Series E-1945, maturing August 1, 1945, which
will be accepted at par, and should accompany the subscription*
V.
GENERAL PROVISIONS
1. As fiscal agents of the United States, Federal Reserve Banks are
authorized and requested to receive subscriptions, to make allotments on the
basis and up to the amounts indicated by the Secretary of the Treasury to the
Federal Reserve Banks of the respective Districts, to issue allotment notices,
to receive payment for certificates allotted, to make delivery of certificates
©n full-paid subscriptions allotted, and they may issue interim receipts pend
ing delivery of the definitive certificates.
2. The Secretary of the Treasury may at any time, or from time to time,
prescribe supplemental Or amendatory rules and regulations governing the offer
ing, which will be communicated promptly to the Federal Reserve Banks*'
D. W. BELL,:
Acting Sécretary of the Treasury.
of the Treasury would be chairman*
The committee would
consist o f representatives from each of eight subcommittees
covering the fie ld s of (1) Industrial Finance (2) Agricultural
Finance (3) Foreign Finance (4) Maritime Finance (5) Money and
Credit (6) Housing Finance (7) Public Works Finance (8) Federal
Budget•
It is suggested in th is connection that many corporate
organizations could he dissolved and their functions woven
into those of the executive departments.«
Mr. Morgenthau added
that personally he f e lt that the responsibility for preparing and
submitting the President’ s budget should be returned to the
Treasury.
program, sim plification and greater effectiveness would result."
The report also suggests sim plification of the financial
structures of Government-owned corporations and more lucid public
reports covering their finances.
The retiring Secretary adds:
"To me, the outstanding weakness in the management of
Federal fis c a l business is the absence of a single, responsible
o fficer to whoa the President may look for complete and compre
hensive policy direction over the entire fie ld of borrowing,
lending, spending and in su r in g ....
Since the Treasury Secretary
is charged with the responsibility for raising the funds, managing
the public debt, collectin g the taxes and maintaining the accounts
he is id en tified as the Chief Fiscal O fficer.
l e t in actual
practice the area of control and influence exercised by the
Secretary of the Treasuiy is largely lim ited to one side of
the ledger.
He is not in a position to exert proper influence
over the use and disposition of the funds he mist raise and
account for to the nation.
This weakness is a material handicap
to the functioning of the Treasury Department and, moreover, to
the orderly and unified conduct of th is Government’s financial
affairs."
In th is direction the report suggests establishment of
a Rational Committee for Fiscal Affairs of which the Secretary
and courteous service to taxpayers, public creditors and
others with whom the Treasury does business* and (3) a fu ll
and complete disclosure for the Congress and the nation of
the financial operations of our Government.11
The report notes continuous steps to improve working
conditions and safeguard the health and well being of Treasury
workers, and points out that the organisation of more than
97,000 employees has one of the lowest turnover rates of the
Federal agencies*
Establishment of a permanent Fiscal Service within the
Treasury, the coordination of the work of law enforcement
agencies, and the decentralisation of much of the work of the
Bureau of Internal Bevenue through the establishment of fie ld
o ffic e s , are among the administrative improvements of recent
years, as noted in the report*
The report also summarises recommendations made by
Secretary Morgenthau to the Congress and the President*
In 1939, It is noted, the Secretary suggested "that i f
the Ways and Means and Appropriations Committees of the House
and the Finance and Appropriations Committees of the Senate
would meet each session as one joint committee on fis c a l policy
to consider the overall aspects of the expenditures and revenue
.0
ADMINISTRATION.
' V t :'
1 *?S '
*
J
Pointing out that the United States Treasury is
the
largest financial in stitu tion in the world", the section of ■
the report devoted to administration c ite s a number of sta
t is t ic s indicating the magnitude of it s operations.
Dqring
the la st fis c a l year there passed through the Treasurer’s
money accounts more than $500 b illio n of receipts and d is
bursements, including public debt and currency transactions,
at the rate of $ li b illio n per working day.
The Division
of Disbursement issued nearly 82 m illion checks, amounting
to over $19 b illio n .
All told , the Treasurer of the United
States paid over 3S2 m illion checks involving $189 b illio n .
The Bureau of Engraving and Printing produced 1.7 b illio n
pieces of currency, bonds, notes, c e r tific a te s and b ills ,
representing a money value of $245 b illio n .
The SurelM
the Mint produced 2.6 b illio n separate domestic coins, with
-a money value of nearly $125 m illion, and 1.4 b illio n Individ•'
|
-
/
•
ual foreign colas.
la carrying out fisc a l operations involving these im~
mense sums of public monies, the retiring Secretary notes, he
has been guided by three fundamental procedural principles:
"(1) The maintenance of adequate control over the funds
and secu rities at a minimum of administrative expense} (2) prompt
unblocking night permit ths Suit to koop their loot
aest egg for mother m r.*
e ffe c t,
the b&sie principles followed in th is procedure,
It i s noted, ere these;
"The rights of American creditors and other American
claimants
mast he adequately safeguarded}
assets
held
in
til# names of persons within blocked areas, but whieh actually
belong to the enemy, must continue under American control}
no benefits must be permitted to accrue to elements which
have
collaborated
with the eneny;
looted property must be
returned to rightful owners and transfers executed under
duress snd compulsion mist bo vitiated.
In administering freeling control«, the Treasury has
also been eonotrned with the larga number of accounts bald
in the name of neutrals which actually represent enemy assets«
During the Bratton Woods Conference a resolution was
adopted callin g upon a l l neutral nations to cooperate in
solving tills problem, the report notes, adding}
"Our success in securing the forthright and active
cooperation of the neutrals in such programs w ill have a
direct hearing on the uafretalng of their assets in thia
oountiy, for such measures can he taken only after bona fide
neutral assets have been segregated from cloaked enemy a s s e t s ...
Otherwise, neutral accounts in our own banks nay serve as haven*
for the ill-g o tte n galas of Has! war criminals.
Indiscriminate
la the ensuing economic warfare program, the United
States applied
a
"scorched earth* policy to ourreaojr
and
seen rltles whleh could not be removed from the Philippines
and planned similar protective measures in the event that Hawaii
thouId be Invaded.
The report adds«
"Se prevented the use of United States financial fa c ilitie s
by the eneiqr even In oases wherein no frossn funds were involved.
Beoause the dollar la the strongest ourrenoy in the world, i t
ie the medium of exchange most widely used in international
transaotlone.
Through oseforation receivad from our brake,
we were able to examine hundreds o f financial transactions
handltd through United States f a s i l l t i s s or persons in countries
#ilch wars not blocked, thus preventing the en*flf from using
channels such as South America for affecting transactions inI |
* *
m
me war progressed i t he cane apparent that the
Government required further information on American property
in terests abroad.
Under a reporting system in stitu ted two
years ago, i t is noted, some 235,000 reports wart obtained,
rad preliminary tabulations of those reports indicate total
holdings abroad o f approxiuately $13 b illio n .
With the cassation of h o s tilitie s in Europe tm orderly
program for terminating free sing controls is being put into
completed lest m k .
In the overwhelming votes bywhich
the Bratton food» bill n i approved, Secretary lergenthan
uyt,
kmBAM1
"The
p«opl» s a d tholr Congress demonstrated
to »11 that they are united la their willlngneee to fulfill
tha grave responsibilities of world leadership.“
Tha report raoita» tha vari. ous »taps takaa in carry lag
cut gold and aliver policies*
«arid far II» with it» widaapraad battlefrents, pre■antad ourranoy and exchange problems unique in world history,
the report not»#.
lis t la
From tha
1*42 whan the Treasury
provided tha gold coin which General Clark carried to Berth
Africa by submarine» and throughout tha campaigns in Europe
and the Paolflo, new procedure« were required to w e t totally
new conditions»
the report dleoueeae in detail tha aid rendered by the
Treasury to the Chinaee Republic» in 1937 Mid subsequent years,
and tha steps taken to facilitate supplies for the British end
French governments, prior to the institution of Lend-Lease.
Tha development of .Foreign Funds Control, it le noted,
likewise traeaa from activities instituted by the Treasury,
'. ■ |
v|
0
"
'•
; .
•'
|
gt
|f|
A
aeveral years prior to the outbreak of World *ar II, to limit
the benefits which aggressor nations might obtain by sal sing
the foreign exchange assets of invaded countries.
iwmmmmt m m m m
In
Ik#
iimcial
sphere of international money
hsv# keen Ik# mojft
last twelve years
history, Ik# report notes*
m m fm m*
mi
finance*
the
Important in Ualltd States
Caring the period this nations
aonetaiy policy has had two objective» ** restoration of our
international economic position through revaluation of tha
dollar and atabla exchange arrangements following reval nation *
Stabilisation of currencies at exchange: rates prevail*
lug in 1933, while tha World Monetary and Economio Conference
was in aaaalon in London* would have perpetuated tha aarloua
overvaluation of tha dollar» it is explained,
justment
had bean
But one« read
effected, tha Treasury proceeded with its
policy of international monetary cooperation.
The Tripartite
Declaration of September* 1936» and numerous bilateral agree*
manta are cited,
*Tfae experience of the 19309s convinced me that it was
possible to obtain international agreement on foreign exchange
problems,* Secretary Morgenthau says,
^Accordingly* in 1941*
1 instructed the Treasury staff to begin work on the inter*
national monetary and financial problems that would confront
■ i" '\•
„
.
< L _
'
- r
■
ue after the war*
From this sprang the Bratton Woods Agreements* accepted
by the Congress of the United States in legislative action
Art
\
ft 1
'7^»—g u
JL
v
mediately prior to M #
retlre-
wry, and now released, Eanry
| broad raaaona for hi» lnt»ra»t
»eoonseralon.
lerican public after tbia war»
layer by that tax hill and the
lie public debt atructare will
■the dagraa of auooaaa wa aohioso
|tiaf paaea and full employment,"
Mr. Shaeffer
L g
r«p0rt.
"The policia» of
the Treasury Department in the fiacal field are, therefor»,
inexorably affeotad by what la done in the»» field».
"Specifically, if the end of thia war find» a world
torn with fear and auaplelon -
with nation» doubtful of the
real intention» of other nation» —
till» country and other
eountrlea will be cospelled to aeek aeeurlty through the
Btaintenanee of a huge «llitary eatabliahnent...."
The recognition of thia fact ha» intenaified the Sec
retary’s con o a m for the auooeaa of the Bratton Woods program
"and the formulation of an effect!« prograa fro« presenting
Germany and Japan fro« fomenting another war," he ooamenta.
I
1
FOE RELEASE, MOUSING HE1SPAP1BS,
Wednesday, July 25, 1945«
...—
In « report prop»rod Immediately prior to his retlrsasat as Secretary of the Treasury* sad
bow
released, Henry
Morganthau, Jr., dlsoossos the broad reasons for his Interest
In the problems of peso# sad reconversion.
"The tax bill of the Aasriean publie after this war,
the burden loosed on the taxpayer by that tax bill and the
soundness of this nation's whole publie debt structure will
be affected in a major way
by the
degree of euooess we achieve
In solving the problems of lasting peace and full employment,’
Secretary Mergenthau said In hie report.
"The policies of
the Treasury Department In the fiscal field are, therefore,
inexorably affected by what is done in these fields.
"Specifically, If the end of this war finds a world
torn with fear end suspicion —
with nations doubtful of the
reel Intentions of other nations —
tills country and other
' countries will be compelled to seek security through the
maintenance of a huge military establishment....9
The recognition of this fast has Intensified the Sec
retary's concern for the success of the Bretton foods program
•and the formulation of an effective program from preventing
Germany and Japan from fomenting another war," he comments.
On the domeatia front, the report Indicates concern
for the reconversion period.
If it is aerked by unemployment,
retrenchment and an eeonosQr of scarcity, the cost of government
will fall heavily on the depleted income of the taxpayer, re
gardless of tax rates, the report says.
But if incomes are high and business is good, the cost
of government —
including the servicing of the debt —
can be
met with substantially lower taxes, it is pointsd out.
*Incomas will be high and business will be good if this
country ui^ertakes a epeedy post-war reconversion accompanied
by Intelligent protection for the wage-earnera' pay snvslope,
stability in farm prlcss wad reasonabls profits for business.
Such a program
calls
for a high ordar of statesmanship on the
part of our industrial sad financial loaders.
billty falls upon them."
*
A great responsi
.’ ' 7
Mr. Morgenthau pays tribute to the two Presidents under
whom he has served in these final wordst
"In the long and sometimes trying years during whioh
I have held stewardship over the financial affairs of this
Nation, I have leaned veiy heavily upon the support and the
/
| | »'
inspiration of the great President under whom I served —
Franklin D. Roosevelt.,
It was President Roosevelt who gave
me the opportunity to serve*
It was President Boossvelt’s
confidence which enabled me to cariy through the policies
which
have governed
our fiscal affairs through the crisis
years of the great depression and the greatest of World Wars.
I could not take leave of my stewardship without an expression
of ^
gratitude and affection for him»
There are bright horisons before us.
Under the leader
ship of President Truman, we can move toward them, if we will,
in the new national unity forged.for us by war.
We can move
toward, and beyond, them with the sure confidence of a free
people who have found In the ways of freedom a pattern for
the solution of whatever problems may confront them.
The reason for. the issuance of the report some months
In advance of the n o m a i appearance of the annual report of
the Secretary of the Treaaury, and for the broad field it
covert, ia set forth as follows in a foreword!
"Since 1 am about to retire as Ssoretary of the Treasury,
end since the more important data dealing with the operation» of
the Treasury Department are already available, it seems fitting
that I should give an accounting of the last fiscal year under
iSy stewardship.
Actually, moat operations of the Department
are not rigidly partitioned into fiscal years, hut are affected
by developing conditions and policies*
Therefore, this
accounting deals broadly with the period since January 1934,
the date on which I assumed the Secretaryship*
And since
we should utilise whatever light the past end present can
throw toward the future, I am noting certain matters in
which further action seems desirable*11
The body of the report deals with the major subjects
of Taxation, Borrowing, International Monetary and Financial
D*t «1opssnt■i and iiilnlstretIon•
Following la a digest of the roport, by. subjects!
Treasury tax policy in the past 12 years has been
changing needs of the nation la de-
anoe, and active support of the nation’s economic policies —
the Treasury has continually sought to adapt the tax system
to fit the needs of the time.
These same considerations
apply to the revision of the tax
that will
meets
saiy to adapt it to postwar conditions.*
under the Impact of war» 1940 collections were multiplied
® times to reach $43.3 billion in 1943#
*In oontraet with
World f®r I# when lees than one-third of our expenditures
were financed from taxes and other non-borrowing sources, we
hare in this war financed 41 percent of our total expenditure
since July 1, 1940, from such sources, and reached a peak of
46 percent in the fiscal year 1945.*
ha the p r e
period, Treasury tat pollar mi
direetsd
chiefly toward mmJdng th# tax system aora equitable and com
battili tax avoidance*
Loopholes whioh stili aaad t© ba dosed,
it Is noted, allow laterest upon state and municipal securities
«•
to escape taxation, give married couples In. community property
states special advantages* and provide **©verly generous deple
tion allowances on oil, gas and mineral properties” .
Other recommendations during the thirties included an
undistributed profits tax and steps to alleviate taxation which
discriminated
against
certain types of business, operated as
Irritants or otherwise hampered business expansion.
Attention
m e also paid to the need for coordinating Federal, State and
local tax systems to prevent overlapping and conflicting taxes.
Wartime tax policy, in a series of steps, has resulted
in tax revenues meeting nearly half of current expenditures,
*without sacri fining standards of equity and justice*, the
report says,
^fhe test of taxation according to ability to *
pay has in general been met through heavy reliance on progressive
taxes, through special relief provisions to avoid hardship and
through continued efforts to close avenues of escape from just
*
taxation. ««• Through the Introduction of withholding end the
drastic simplification of individual tax returns, the compliance
burden of the mass of taxpayers has been
greatly eased.”
The wartis# tax system has also "played a major role
la restricting mar profiteering and curbing inflation", it
is noted.
This has been dens without hampering wartime pro
duction, the report points oat.
it the same time, the Treasury
has opposed a tax pattern for individuals which weald "sneroaoh
harmfully upon tha standard of living*.
Throughout the de
velopment of these polieies, It Is noted, emphasis has been
placed upon "the need of cutting down borrowing by courageous
taxation, so that our postwar debt problem would be mere man
ageable and that our returning service men end women would not
be burdened with the cost of the war thay had fought for us".
In the field of postwar taxation it is noted that staff
members from the Trsasury have aided the Joint Committee on
Internal Revenue in preparation of tax legislation, recently
enacted for the pre-TJ Day period, and adds that "although
this legislation masts the more immediate interim problems
it does not deal with more fundamental long-range aspects
of postwar taxation,
fork on thass la
being
continued by
the Joint Committee staff and Treasury staff."
The report also deals with ths currently intensified
campaign against tax svaalon and points out that "The ob
jective of this campaign is not merely to detect end punish
those who have evaded their obligations, but ala© to snaourags
4
rotpoot for th# law**
BQBR0IX»*
Federal expenditures la the present war period already
are approximately
nine
times these of the World War I period -
$325,000,000,000 as against $37,000,000,000 —
qnd gigantic
sums have had to be borrowed by the Government to supplement
Its tax revenues*
But the net cost of each dollar borrowed
In this war Is only about one-thlrd that of the last war.
This is pointed out by Secretary Morgenthau In the section
of his report reviewing the. Treasury’s wartime borrowing
program*
The period covered is from June 30, 1940, to
duly 9, 1945, when final figures on the 7th War Loan
were tabulated*
,
Hieing interest rates i&ieh were paid on Government
loans for World War I had reached an average of 4*22 percent
on dune 30, 1920, the report notes*
Declining rates paid
on loans for World War II were down to an average of 1*94 per
cent on dune 30, 1945*
The net cost per dollar borrowed
for torld War II has been further lowered by reason of the
fact that interest paid on all Government securities issued
since March 1, 1941, has been subject to the full rates of
the federal income tax, whereas t h e ^ y i e H ^ f World far I
securities was either wholly or partially tax exempt*
*1 hava sald on pravious ©ocasiona, and I say hirc
•gala* th&t I &
^rtth .
not anticípala
m lacrease
la intaraat ratas
„ t <..1 U . 1« tari trio..) U U ,
tha rétiriag Sacratary comentad *
t u . ~r-,
la poi&iat ont that A l i a
Imtarast ratas have a© affact on p ricas inring
mr*
a lew
laval ©f ratas nlll bs a highly importan! factor ln stlmlatiag
ssipicymant la
lia
pest nar parlad»
Tha w a r t l » borrowiag pro gran has haan kayad to two
©bjactlTss ©thar than that af raasonabla intarast ratas, tha
Saoratary salá*
Gas of thsse has baan tha ralslng ©f tha
aecsssary fhsás la such a m a n a r as t© alnimisa Inflatlon
dsagars»
Tha o thar has basa tha ©fftrimg ©f sacurltlas saltad
to tha naaás ©f purchasera*
As aa aat i-Infla tica safeguard 11 ñas nacessary to
borran snbstantially fren ©thar soarcas than baaks»
Tha
Traasury sat about accomplishlng this by offtring caringa
bonds ©f tha Sari as lf F and 0 Issuas and ©thar sacar Illa»
planead te aaat spaoifl© naaás $ tgr laanchlng lis payroll
sarlaga plan ©f regular boná purchaaes by naga acá ealary
eamersf
and by ©onduoting nar loan campa I p # simad apeei f-
loally ai nonbank iavastors.
As an Indicatión ©f tha sucosas ©f thasa staps, tha
raport notas that of a $211,000,000,000 lncraasa ln tha
interest-bearing public debt during the period fro®
July 1*
1940* through July 9* 134$» nonbank investors absorbed about
$122*000*000*000 and concretai and Federal B*serve Banks
about $89*000*000,000*
The savings bonds offered to snail individual investors
as part of the «ertine borrowing program are completely free
fro® risk* it is noted*
This fact is one of the important
features of the Treasury plan to adapt its wartime securities
to the needs of the various classes of buyers*
The savings
bonds have guaranteed redemption values, which protect the
purchaser in the event that he is compelled to part with his
securities*
In contrast* securities sold to small investors
in lorld War 1 were of the marketable type* and when market
prices droppsd precipitously after the war* many small Investors
suffered*
The report says that from July 1* 1940* through July 9*
1948, $Sl*0OG»9OQfOO0 m s raised by selling savings bonds to
approximately 86*000*000 persons «
Of this total* bonds to the
amount of $43*000*000,000 still are outstanding^^'
Of days to oome* Secretary ttorgemthm remarked*
*The job of war finance is not yet finished.
The peak*
both in war expenditure* and in borrowing requirements* has
probably passed!
but* in some respects* the most crucial
period still list shssd.
This is because, A i l s the physical
distensions of ths problem art shrinking» its psychological
difficulties wayincrease,
"Psriods of crisis units aen in sotion for ths cowaon
good» while victory too often brings relaxation and recrimina
tion.
i aa sure, however, that ths people of ths United
States are not going to hasard the postwar seonoaio stability»
which ia now alaost within thoir grasp» by prematurely re
laxing their efforts on the i®r Bond front, or any other.*
TREASURY DEPARTMENT
Washington
I
*
':
nl
f * rit *> l
FOR RELEASE, MORNING NEWSPAPERS,
Wednesday, July 25, 1945»
'
*f
*i ^
,
f|£.; Press Service
No.* 47-8
July 21, 1945
Digest of Report to Congress
by Secretary Morgenthau
In a report to the -Congress prepared immediately prior
to his retirement as Secretary of the Treasury,, and now
released, Henry Morgenthau, Jr*,- discusses the broad reasons
for his Interest in the problems <?f peace and reconversion,
"The tax bill of the American public after this war,
uthe burden imposed on the taxpayer by that tax bill and the
■soundness, of this nation* s'whole public debt structure will
be affected in a major way by the degree of success we
achieve in solving the problems of lasting peace and full
employment," Secretary Morgenthau said in a concluding
section of hrs report* "The policies of the Treasury
Department in the fiscal field are, therefore., inexorably,
affected* by what Is done in these fields,*
"Specifically, if the end of this war finds a world
torn with fear and suspicion — with nations doubtful of the
real intentions of other nations — this country and other
countries will be compelled to seek security through the
maintenance of a huge military establishment,” entailing
immense expenditures*
•The recognition of this fact intensified the Secretary’s
concern for the success of the Bretton Woods program "and
the formulation of an effective program from preventing
Germany and Japan from fomenting another war," .
On the domestic front, the report indicates,concern for
the reconversion period* If the period is marked by unemploy
ment, retrenchment and an economy of ,scarcity, the cost of
government will fall heavily on the depleted income of the
taxpayer, regardless of tax rates, the report says*
But if incomes are high and business is good, the cost
of government -- including-the servicing of the debt -- can
be met with substantially lower taxes*
2
MIncomes will be high and business will be good if\ this
country undertakes a speedy post-war reconversion accompanied
by intelligent protection for the wage-earnerspay envelope,
stability in farm prices and. reasonable »profits for business•
Such a ;program calls for a high order of« statesmanship on
the part of our industrial and financial leaders. A great
responsibility falls upon them.”
Mr.. Morgenthau* s final .report as Secretary of the
Treasury closes with these words:
»In the long and sometimes trying years during which
I have held-stewardship over the financial affairs of this
Nation, .1 have leaned very heavily upon the support and the
inspiration'of the great President under whom I served —
/Franklin D, Roosevelt. It'was President Roosevelt who gave
^me the opportunity to serve^ It was President Roosevelt *s
confidence which.enabled me ‘to carry through the policies
wkich have.goverp-ed our fiscal affairs through the crisis
•
.years of. the great depression' and the greatest of World Wars.
I could not. take leave of my stewardship.without an expression
of my gratitude and affection for him.
"There are bright horizons before us. Under the leader
ship, of President Truman, we can move toward them, if we will,
in the new national unity forged for us by war. We can move
toward, and beyond, them with the sure confidence of a free
people who have found in the ways of freedom a pattern for
the solution of whatever problems may confront them»"
The reason for thè issuance of the report, some months
in advance of the normal appearance of the annual report of
the Secretary of the Treasury, and for the broad.field it
covers, is set forth as follows in a*foreword: •
"Since I am about to retire as Secretary of the Treasury,
and since the more important data dealing with the operations
of the Treasury Department are already available, it seems
fitting that" I should give an accounting of the last fiscal
year under my stewardship. Actually, most operations of the
Department are not rigidly partitioned into fiscal years, but
are affected by developing conditions and policies. Therefore,
this accounting deals broadly with the period since January
1934, /the date on which Ì assumed the Secretaryship. And
since we should utilize whatever light the past .and present
can throw toward'the future, I am noting certain matters in
-which further action seems desirable."
5
The body of the report deals with the major subjects
öf -Taxation-, Borrowing', International Monetary ’and Financial
Developments, and Administration«
Following is a digest of the report, by subjects;
TAXATION,
The report states:
’’Treasury tax policy in the past 12 years has been
guided by the rapidly changing needs of the nation in^de
pression, recovery, defense and war. While holding firm to
certain basic tax objectives -«* fairness in distribution of
tax burdens, ease of administration and taxpayer compliance,
and active support of the nation’s economic policies, -- the
Treasury has continually sought to adapt the tax system to
fit the needs of the time. These same consideration^:apply
to revision of the tax system that will be necessary to adapt
it to postwar conditions•”
»," •
The report notes that through a combination of tax
increases and a rising national income the total yield of
internal revenue taxes grew from f>2,670,000,000 in th£ fiscal
year 19,34 to $5,340,000,000 in the fiscal year 1940, and that
under the impact of war, 1940 collections were multiplied
8 times to reach 143,800,000,000 in 1945. ”In contrast with
World War I, when less than one-third of our expenditures
were financed from taxes and other non-borrowing sources, we
have in this war financed 41 percent of our total expenditures
since July 1, 1940, from such sources, and reached a peak of
46 percent in the fiscal year 1945.”
In the pre-war period, Treasury tax policy was directed
chiefly toward making the tax system more equitable and com
batting tax avoidance. Loopholes which still need to beclosed, it is noted, allow interest upon state and municipal
securities to escape taxation, give married couples in
community property states special advantages, and provide
’’overly generous depletion allowances on oil, gas and mineral
properties” .
Other recommendations during the thirties included an
undistributed profits tax and steps to alleviate taxation
which discriminated against' certain types of business, operated
as irritants or otherwise hampered business expansion. Atten
tion 'was also paid to the need for coordinating Federal, State
and local tax systems to prevent overlapping and conflicting
taxes•
4
Wartime tax policy, in a series of steps, has resulted
in tax- revenues meeting nearly half of current expenditures,
"without sacrificing standards of equity and justice", the
report says* "The test of taxation according to ability to
pay has' in general been met through heavy reliance on pro
gressive taxes, through special relief provisions to avoid
hardship and through continued efforts to close avenues of
escape from just taxation* *** Through the introduction of
withholding and the drastic simplification of individual tax
returns, the compliance burden of the mass 9 f taxpayers has
been greatly eased*"
The wartime tax system has also "played a major role in
restricting war profiteering and curbing inflation", it is
noted. This has been done without hampering wartime production,
the report points out* At the same time, the Treasury has
opposed a. tax pattern for individuals which would "encroach
harmfully upon the standard of living".» Throughout the de
velopment of these policies, it is noted, emphasis has been
placed upon "the need of cutting down borrowing by courageous
taxation, so that our postwar debt problem would be more
manageable and that our returning service men and women would
not be burdened with the cost of the war they had fought for
us" •
In the field of postwar taxation it is noted that staff
members from the Treasury have aided the Joint Committee on
Internal Revenue in preparation of tax legislation, recently
enacted for the pre*VJ Day period, and adds that "although
this legislation, meets the more immediate interim problems
it does not deal with more fundamental long-range aspects of
postwar taxation*, Work on these is being continued by the
Joint Committee staff and Treasury staff*"
The report also deals with the currently intensified
campaign against tax evasion and points out that "The objective
of this campaign is not merely to detect and punish those who
have evaded, their obligations, ,but also to encourage respect
for the law*"
■. <
BORROWING* •
Federal expenditures in -the present war period already
are approximately nine times those of the World War I period -$325,000,000,000 as agains-t $37,000,000,000 — and gigantic
sums have had to be borrowed by the Government to supplement
its tax revenues* But the net cost of each dollar borrowed
5
in this war is only about one-third that of the last war.
This is pointed out by Secretary Morgenthau in the section
of-his report reviewing the Treasury1s wartime borrowing
program. The period covered is from June 30, 1940, to
July 9, 1945, when final figurés on the 7th War Loan were
tabulated.
f*
Rising interest rates which were paid on Government loans
for World War I had reached an average of 4.22 percent on
June 30, 1920, the report notes. Declining rates paid on
loans for World War II were down to an average of 1.94 per
cent on June 30, 1945. The net cost per dollar borrowed for
World War II has been further lowered by reason of the fact
that interest paid on all Government securities issued since
March 1, 1941, has been subject to the full, rates of the
Federal income tax, whereas the yield of World War I securities
was either wholly or partially tax exempt.
”1 have said on previous occasions, and I say here again,
that I do not anticipate an increase in interest rates.(with
a consequent decline in bond prices) after this war”, the re
tiring Secretary commented.. He pointed out that while interest
rates have no effect on prices during war, a low level of rates
will be a highly important factor in stimulating employment
in-the post war period.
The wartime borrowing program has been keyed to two
objectives other than that of reasonable interest rates, the
Secretary said. One of these has been the raising of the
necessary funds in such a manner as to minimize inflation
dangers. The other has been the offering of securities suited
to the needs of purchasers.
As an anti-inflation safeguard it was necessary to borrow
substantially from other sources than banks«, The Treasury set
about accomplishing this by offering savings bonds of Series
E, F and G issues and other securities planned to meet specific
needs; by launching its payroll savings plan of regular bond
purchases by wage and salary earners; and by conducting war
loan campaigns aimed specifically a‘t nonbank investors.
As an indication of the success of these steps, the
report notes that of a $211,000,000,000 increase in the
interest-bearing public debt during the period from July 1,
1940, through July 9, 1945, nonbank investors absorbed about
$122,000,000,000 and commercial and Federal Reserve Banks
about $89,000,000,000.
6
The savings bonds offered to small individual investors
as part of the wartime borrowing* program are completely free
from risl$, it is noted. This fact is one.'fof' the important
features, of the Treasury pl&n to adapt its wartime securities
to the needs of the various classes of buyers. The savings
bonds have guaranteed redemption values, which protect the
purchaser in the event that he is compelled to part with
his securities* In contrast, securities sold to small in
vestors In World War I were .of the marketable .type, .and when
market prices dropped precipitously after the war, many small
investors suffered.
,•
The report says that from July 1, 1940, through July 9,
1945, f51,000,000,000 was raised by selling savings bonds to
approximately 85,000,000 persons. Of this total, bonds to
the amount o f '$43*000,000,000 still are outstanding.
Of days to come, Secretary Morge.nthau remarkeds ,
’’The job of war finance is not yet finished. The peak,
both in war expenditures and in borrowing requirements, has
probably passed; but, in some respects, the most crucial period
still lies ahead. This Is because, while the physical
dimensions of the problem are shrinking, its psychological
difficulties may increase.
’’Periods of crisis unite men in action for the common
good, while victory too often brings relaxation and recrimina
tion. I am sure, however, that the people of the United
States are not going to hazard the postwar economic stability,
which is now almost within their grasp, by prematurely re
laxing,'their efforts on the War Bond front, or any other.”
INTERNATIONAL MONETARY AND FINANCIAL DEVELOPMENTS.
In the sphere of international money and finance, the
last twelve years have been the most important in United States
history, the report notes. During the period this nation’s
monetary policy has had two objectives -- 'restoration of our
international economic position through revaluation of the
dollar and stable exchange arrangements following revaluation.
Stabilization of currencies ,at exchange rates prevailing
in 1933, while the World Monetary and Economic Conference was
in session in London, would have perpetuated the serious over
valuation of the dollar, it is explained. But pnce readjustment
had been effected, the Treasury proceeded with its policy of
international monetary cooperation. The Tripartite Declaration
of September, 1936, and numerous bilateral agreements are cited.
’’The experience of the 1930*s convinced me that it was
possible to obtain international agreement on foreign exchange
problems,” Secretary Morgenthau .said-. ’’Accordingly, in 1941,
I instructed the* Treasury stjajff to begin work on the inter»
national monetary and financial problems that would confront
us after the war.”
Prom this sprang the Bret ton W.ood:s? Agreements, accepted
by the-Congress,of the,United States;in^legislative,action
just completed. In the overwhelming cvotes, by .which the
,
Brettop Woods bill was approved* Secretary Morgenthau said, •
’’The American people and th*e.ir Congress demonstrated to all
that they are united in their willingness to: fulfill the
grave responsibilities of world leadership.”
■ The report; recites the'various: steps taken In carrying
out gold and. sliver •policies. -.
,,
;
World War II, with Its widespread battlefronts, pre
sented currency and exchange problems unique in world history,
the report?notes. Prom the time in 1942 when the Treasury
provided the gold coin which General Clark carried to North
Africa by submarine, and throughout the campaigns in Europe
and the Pacific, new procedures were required to meet totally
new conditions. .
' ••
The report discuss.es in detail the aid rendered by the
,Treasury to the Chinese Republic,.in 1937 and subsequent years
and the steps taken to facilitate supplies for the British and
French governments, prior to the institution of Lend-Lease.
The development of Foreign Funds Control, it Is noted, likewise traces from activities Instituted by the Treasury,
several years prior to the outbreak of World War II, to limit
the benefits which aggressor nations might obtain by seizing
the foreign exchange assets of invaded countries.
In the ensuing economic warfare program,’the United
States applied a ’’scorched earth” policy to currency and
securities which could not be removed from the Philippines
and planned similar protective measures in the event that
Hawaii should be Invaded, The report adds:
”We prevented the use of United States financial facili
ties by the enemy even in cases wherein no frozen funds were
involved. Because the dollar is the strongest currency in the
world, it is the medium of exchange most widely used in inter
national transactions. Through cooperation received from our
banks, we were able to examine hundreds of financial trans»
actions handled through United States facilities or persons
in countries which were not blocked, thus preventing the enemy
8
from Rising channels-' bach as South America for effecting
transactions inimical to" us.*’
/
"
"
As the war progressed it became apparent that the
Government required further information on American property
interests abroad* Under a reporting system instituted two
years ago,*- it is noted, some 235,000 reports were obtained,
and preliminary tabulations of these reports indicate total
holdings abroad of approximately $13,000,000,000*
With the cessation of hostitilies in Europe an orderly
program for terminating’freezing controls is being put into
effect* The basic principles followed in this procedure, it
is noted, are these:
HThe rights of American creditors and other American
claimants must be adequately safeguarded; assets held in the
name's of'persons within blocked areas, but which actually
belong to the enemy, must continue under American control;
no benefits must be permitted to accrue to elements which have
collaborated with the enemy; looted property must be returned
to rightful owners and transfers executed under duress and
compulsion must be vitiated?n
In administering freezing controls, the Treasury .has also
been concerned with the large number of accounts held in the
name of neutrals which actually represent enemy assets*
*
Dufing the Bretton Woods Conference a resolution was'
adopted calling upon all neutral nations to cooperate in
solving this problem, the report notes, adding:
,f0ur success in securing the forthright and active 1
cooperation of the neutrals in such programs will have a
direct bearing on the unfreezing of their assets in this
country, for such measures can be taken only after bona fide
neutral assets have been segregated from cloaked enemy assets •••.
Otherwise, neutral accounts in our own banks may serve as
havens for the ill-gotten gains of Nazi war criminals* Indis
criminate unblocking might permit the Nazis to keep their loot
as a nest egg for another war.”
*
111
ADMINISTRATION.'
\ ' v,
Pointing out that the United States Treasury is "the
largest financial institution in the w®rldM, the section of
the report devoted to administration cites a number of sta
tistics indicating the magnitude of its operations* During
9
the last fiscal year there passed through the Treasurer^
money accounts more, than $500,000,000,000 of receipts and
disbursements, including public debt and currency transactions,
at the rate of n ,500,000,000 per working day. The Division
of Disbursement issued nearly 82 million checks, amounting to
over ¿19,000,000,000. All- told, the Treasurer of the United
States paid over 352 million checks involving $189,000,000,000.
The Bureau of Engraving and Printing produced 1,700,000,000
pieces of currency, bonds, notes, certificates and bills,
representing a money value of $245,000,000,000. The Bureau
of the Mint produced 2,600,000,000 separate domestic coins,
with a money value of nearly $125,000*000 and 1,400,000,000
individual foreign coins.
. \ In carrying out fiscal operations involving these immense
sums .of public monies, the retiring Secretary noted, he had
been guided by, three fundamental procedural principles•
and
(2)
and
and
the
11(1) The maintenance of adequate control over the funds
securities at a minimum of administrative expense;
prompt and courteous service to taxpayers, public creditors
others with whom the Treasury does business; and (3) a full
complete disclosure for the Congress and the nation of
financial operations' of our Government.”
The report notes continuous steps to improve working
conditions and safeguard the health and well being of Treasury
workers, and points out that the organization of more than
97,000 employees has one of the lowest turnover rates of the
Federal agencies.
Establishment of a permanent Fiscal Service within the
Treasury, the coordination of the work of law enforcement
agencies, and the decentralization of much of the work of the
Bureau of Internal Revenue through the establishment of field
offices, are among the administrative improvements of recent
years, as noted in the report.
The report also summarizes recommendations made by
Secretary Morgenthau to the Congress and the President..
In 1939, It is noted, the Secretary suggested ’’that if
the Ways and Means and Appropriations Committees of the House
and the Finance and Appropriations Committees of the Senate
would meet each session as one joint committee on fiscal policy
to consider the overall aspects of the expenditures and revenue
program, simplification and greater effectiveness would result.”
10
... The report also suggests simplifications of the financial
structures of Government-owned corporations and more .lucid
public reports covering their finances*
The-retiring ....
Secretary added:
!
■
,
’’To" me,, the outstanding weakness in the management of
Federal fiscal business is- the absence of a single ,-reaponsib4,e,
~*
officer to whom the President may look for complete and compre
hensive policy direction over the entire field of borrovtfing,
lending, spending and insuring •••• Sin.ee the Treasury. ;
Secretary i,s charged with the responsibility for raising the
funds, managing the public «debt, collecting the taxes and main
taining the accounts, he is identified as the Chief Fiscal
Officer* Yet in actual practice .the area of control and in
fluence exercised by the Secretary of the treasury is largely
limited to one side of the ledger* He is not in a position
to exert proper influence over the use and disposition of the
funds he must raise and account for to the nation* This
weakness is a material handicap to the functioning of the
Treasury Department and, moreover, to the orderly and unified
conduct of this Government1s financial, affairs*11
‘ - In this direction the report suggests establishment of
a National Committee for Fiscal Affairs of- which; the. Secretary
of the Treasury would be chairman. The committee would consist
of representatives from each of eight subcommittees covering
the fields of (1) Industrial Finance (2) Agricultural Finance
(3) Foreign Finance (4) Maritime Finance (5) Money and Credit
(6) .Housing Finance (7) Public Works Finance (8) Federal Budget.
It is suggested in this connection ,that many corporate
organizations could be dissolved and their functions woven into
those, of the executive departments* Mr. Morgenthau added that
> personally he felt that the responsibility for preparing and
submitting the President1s budget should be returned to the
...Treasury*
: -r
■r ■
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@FedFRASER