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CONFIDENTIAL December 12, 1951 MEMORANDUM To: Mr. Murphy From: J. S. Lanigan Attached is a very brief memorandum referring to the failure of the Bank of China, New York Agency, to fully account for that portion of the 1942 U. S. credit devoted to the redemption of dollar savings certificates. There appears to have been a violation of the requirements in the licenses that a full report on the disposition of these funds be made to the United States government. If this failure to report was willful, there may have been a criminal violation of the Trading with the Enemy Act. Further investigation is needed before such a determination can be made. DECLASSIFIED E.O. 12065, Sec. 3-402 State Dept. Guideline, June 12, 1979 JSL:FK copy to TREASURY By NLT- NE NARS, Date 3-17-40 LTR. 6-27-79 David Lloyd