sions. A bank is entitled to rely on such certificate. Special certificates may also be required by the terms of particular PAS or PIOs or letters of commitment; in such cases, a bank is entitled to rely on such certificates.

of

(2) Provisions beyond bank responsibility. Certain other provisions § 201.6 are included solely for the instruction of suppliers, purchasers, and the cooperating countries themselves, and are not matters for which banks are to assume responsibility. In this category are the provisions of § 201.6 (f) (2), (g), (h), (i), (j), (k), (1) and (m).

(j) Ocean transportation. A bank which obtains a supplier's certificate is not required to assume responsibility for compliance with § 201.7, regardless of whether other documentation or information received indicates compliance or non-compliance with such section.

(k) Contracting and reporting under PAs and PIOS. Banks financing transactions under letters of commitment or PAS or PIOs are not required to assume responsibility for compliance with the provisions of § 201.5 (a) (1) and (2).

(1) Responsibility of importers and suppliers. Subpart B of this part (§§ 201.10 to 201.13) contains provisions concerning use of the PA or PIO number, placement of orders and delivery dates, markings of commodities, and notice to the ICA Office of Small Business. Banks financing transactions under letters of commitment or PA's or PIO's are not required to assume responsibility for compliance with this subpart.

(m) Bank letter of commitment; expiration in letter of credit transactions. The letter of commitment constitutes an obligation to reimburse for any drafts or documents negotiated under letters of credit prior to the date of maturity specified in the letter of commitment, even though such drafts or documents are paid after such date.

(n) Bank letter of commitment; payment to third persons. The right of reimbursement for a payment made by a bank under a letter of commitment will not be affected by the fact that such payment is made to the approved applicant named in the letter of commitment. or, at the request of the approved applicant, to a person other than the supplier, provided the bank has complied with the other requirements of the letter of commitment and has satisfied itself in good

faith that the person to whom it makes payment has made payment to the supplier.

(0) Bank unable to deliver or send non-negotiable document to forwarding agent under § 201.18 (a) (3). The right of reimbursement for payment made by a bank under a letter of commitment will not be affected by the fact that the bank is unable to deliver or send a nonnegotiable shipping document or receipt to the designated person as contemplated by § 201.18 (a) (3) (iii) (a), if the bank is prevented from doing so because of any action by the United States Government or other causes beyond its control. In such case, the bank's certificate may be altered accordingly, and may state that the bank does not have a written undertaking from the designated person, but the certificate may not be altered in any other way, and the bank will continue to hold the document involved subject to the instructions of ICA, except that if it becomes possible before any such instructions are received, the bank will deliver or send such document to the designated person.

SUBPART FWAIVER AUTHORITY AND
TRANSITORY PROVISIONS

§ 201.23 Waiver and amendment authority. The Director may waive, withdraw, or amend at any time, or from time to time, any or all of the provisions of this part.

§ 201.24

Continuation in effect of certain prior issuances. Cooperating country allotments, PAs or PIOS, U. S. Government agency purchase requisitions, letters of commitment to banking institutions and letters of commitment to suppliers, issued by ECA under ECA Regulation 1, as amended, and by MSA under MSA Regulation 1, as amended, and by FOA under FOA Regulation 1, as amended, are reaffirmed and will continue in effect, subject to the terms and conditions thereof. The provisions of this part may be satisfied by the submission of a certificate or writing in a form: (a) Prescribed by or provided for by corresponding provisions of ECA Regulation 1, as in effect on December 29, 1951, or authorized by ECA on that date, or referring to an ECA Commodity Code number; or (b) prescribed by or provided for by corresponding provisions of MSA Regulation 1, as in effect on July 31, 1953, or authorized by MSA on that date, or referring to an MSA Commodity Code number; (c) or prescribed by or

provided for by corresponding provisions of FOA Regulation 1, as in effect on June 30, 1955, or authorized by FOA on that date, or referring to an FOA Commodity Code number; or (d) prescribed by or provided for by corresponding provisions of ICA Regulation 1, as in effect on October 24, 1955, or authorized by ICA on that date, or referring to an ICA Commodity Code number. Authorizations, bank contracts, letters of guaranty to banking institutions or suppliers issued by The Institute of Inter-American Affairs, the Technical Cooperation Administration, the Foreign Operations Administration, and the International Cooperation Administration, all prior to October 25, 1955, are reaffirmed and will continue in effect subject to the terms and conditions thereof. Amendments to any of the above documents may continue to be made in accordance with the procedures in effect prior to October 25, 1955.

§ 201.25 Transitory provision. This revision of Part 201 shall become effective as of November 11, 1957. However, none of the amendments to Part 201 made effective by this revision will be applicable to claims for reimbursement from, or payments made to, a supplier pursuant to letters of credit issued, confirmed, or advised, or payment instructions received prior to November 11, 1957.

Part 202-Ocean Shipments of Supplies by Voluntary Nonprofit Relief Agencies

202.5 Refund by agencies. 202.6 Saving clause.

AUTHORITY: §§ 202.1 to 202.6 issued under sec. 521, 68 Stat. 855, as amended; 22 U. S. C. 1781. Interpret or apply secs. 409, 525, 68 Stat. 845, as amended, 856, as amended; 22 U. S. C. 1928, 1785, E. O. 10575, 19 F. R. 7249, 3 CFR, 1954 Supp., E. O. 10610, 20 F. R. 3179, 3 CFR, 1955 Supp.

SOURCE: §§ 202.1 to 202.6 appear at 22 F. R. 8468, Oct. 26, 1957.

§ 202.1 Definition of terms. For the purposes of this part:

(a) "The Director" means the Director of the International Cooperation Administration.

(b) "The Committee" means the Advisory Committee on Voluntary Foreign Aid of the International Cooperation Administration.

(c) "Supplies" means relief and rehabilitation supplies shipped in support of programs registered with the Committee as well as administrative supplies and equipment shipped in support of such programs. In no case shall such supplies include items for the personal use of representatives of the registered agency.

(d) "Agency" or "agencies" means the American Red Cross and any United States voluntary nonprofit relief agency registered with, and approved by, the Committee.

(e) "Duty free" means exempt from all customs duties, and other duties, tolls, and taxes of any kind.

§ 202.2 Shipments eligible for payment of ocean freight charges. The Director, in order to further the efficient use of United States voluntary contributions for relief in nations or areas designated by him from time to time, may pay ocean freight charges from United States ports to initial foreign ports of entry of such nations or areas on shipments by agencies of supplies donated to, or purchased by, such agencies.

§ 202.3 Applications for payment or reimbursement of ocean freight charges. Any agency may make application for payment or reimbursement of ocean freight charges on shipments of supplies donated to or purchased by it for distribution within foreign nations and areas designated by the Director pursuant to § 202.2, provided:

(a) An agreement for duty-free entry and defrayment of inland transportation costs of relief supplies within the scope of the regulations in this part has been concluded between the United States and the recipient country, or in the case of supplies of surplus agricultural commodities made available pursuant to the Agricultural Trade Development and Assistance Act of 1954 (Public Law 480, 83d Congress), as amended, the agency concerned has submitted evidence satisfactory to the Committee that the recipient country in fact accords

duty-free entry and defrays the inland transportation costs of the commodities.

(b) The general program and projects, by countries of operation of the agency, and the supplies in support thereof, have been approved by the Committee and by the recipient country.

§ 202.4 Manner of payment of ocean freight charges. By means of an equitable apportionment of the funds available for this purpose the Director will pay or reimburse agencies for ocean freight on shipments made in conformity with the regulations in this part: Provided, That application for such payment or reimbursement is submitted to the Director of the International Cooperation Administration, Attention: Advisory Committee on Voluntary Foreign Aid, International Cooperation Administration, Washington 25, D. C., within fortyfive days of date of shipment, together with receipted invoices for such charges, supported by ocean bills of lading, showing that such charges are limited to the actual cost of transportation of the supplies from end of ship's tackle at the United States port of loading to end of ship's tackle at port of discharge, correctly assessed at the time of loading by the carrier for freight on a weight, measurement, or unit basis, and free of any other charges.

§ 202.5 Refund by agencies. Any agency to or for whom ocean freight charges have been paid or reimbursed under this part will refund promptly to the Director upon demand the entire amount, or any lesser amount specified, of ocean freight charges paid or reimbursed, and to the recipient country upon demand the entire amount, or any lesser amount specified, of inland transportation costs paid or reimbursed, (a) whenever the Director determines that the payments or reimbursements were improper as being in violation of any of the provisions of the Mutual Security Act of 1954 (Public Law 665, 83d Congress), any acts amendatory thereof or supplemental thereto, any relevant appropriation acts, or any rules, regulations or procedures of the International Cooperation Administration, or (b) unless such agency files, within ninety days after reimbursement has been made, a certificate stating that all supplies for which such reimbursement was made have been accorded duty free status by the recipient country.

AUTHORITY: §§ 203.1 to 203.9 issued under sec. 521, 68 Stat. 855, as amended; 22 U. S. C. 1781. Interpret or apply sec. 525, 68 Stat. 856, as amended; 22 U. S. C. 1785, E. O. 10610, 20 F. R. 3179, 3 CFR, 1955 Supp.

SOURCE: §§ 203.1 to 203.9 appear at 22 F. R. 8469, Oct. 26, 1957.

§ 203.1 A register of voluntary foreign aid agencies and their activities. ΤΟ foster the public interest in the field of voluntary foreign aid and the activíties of nongovernmental organizations which serve the public interest therein, the Advisory Committee on Voluntary Foreign Aid of the International Cooperation Administration (referred to in this part as the Committee) is hereby authorized and directed to establish and to maintain, pursuant to the rules set forth in this part, a register of such nongovernmental organizations qualified for and voluntarily accepting registration; such register (a) to serve as a repository of information, including currently recording therein the organization, purposes, programs, finances and other pertinent activities of the registrants for public guidance; (b) to enable the Committee to facilitate the programs and projects of the registrants through the exercise of its good offices and the provisions of facilities authorized by the laws, regulations and procedures related to voluntary foreign aid as administered by the Committee, other United States agencies, or by international governmental agencies supported by the United States; and (c) to provide information and advice, and perform such other functions, as may be necessary in furtherance of the purposes of this section.

§ 203.2 Application for registration. Any person or nongovernmental organization or agency carrying on any nonprofit activities in the United States for the purpose of furthering or engaging in voluntary aid in areas outside the United States, including, but not limited to, projects and services of relief, rehabilitation, reconstruction and welfare in the fields of health, education, agriculture and industry, emigration and resettlement, may voluntarily make application for registration to the Chairman, Advisory Committee on Voluntary Foreign Aid, International Cooperation Administration, Washington 25, D. C. Any person, organization, or agency whose application for registration is accepted under this part shall be referred to in this part as a registrant.

§ 203.3 Requirements for registration. To establish that the primary purpose to be served is the provision of voluntary foreign aid, an applicant for registration shall submit evidence by its charter, articles of incorporation, constitution, bylaws, and other relevant documents, and a statement upon forms to be provided by the Committee or otherwise as may be required that:

(a) It maintains its principal place of business in the United States;

(b) It is controlled by an active and responsible body composed principally of United States citizens, who serve without compensation, who have accepted the responsibility to carry out the activities of the agency to be reported to the Committee, and who will exercise satisfactory controls to assure that its services and resources are administered competently in the public interest;

(c) It has been authorized by the Internal Revenue Service to inform donors that their contributions may be deducted for Federal income tax purposes;

(d) It is not engaged, or will not be engaged, in any activities or enterprises inconsistent with the fulfillment of the purposes and objectives as set forth in the application, or which may be recorded in the registration, or in any programs or projects thereunder;

(e) The funds and resources of the registrant, will be obtained, expended and distributed in ways which conform to accepted ethical standards without

unreasonable cost for promotion, publicity, fund raising and administration at home and abroad;

(f) The Committee will be informed of any plans, including projected publicity, for popular drives for funds or other forms of support to permit the Committee to offer suggestions and where appropriate to lend its good offices. Such popular drives will be timed, insofar as practicable, to avoid conflict with national appeals for public support during the limited periods of the countrywide campaigns of the American National Red Cross, the Community Chests, Savings Bond drives of the United States Treasury, or similar campaigns of accepted general national interest;

(g) It will refer to the Committee for appropriate consideration any proposed programs, procedures or agreements affecting other Federal agencies or international governmental agencies but which also affect the action responsibilities of the Committee before formal steps are concluded with such agencies, and in order that the Committee may lend its good offices and that coordination may be assured pursuant to the President's Directive of May 14, 1946;

(h) Such current and periodic reports and information will be provided as the Committee may require from time to time pertaining to the registrant's organization, programs, projects, and finances, including audits by a certified public accountant, or other pertinent activities. All records pertaining to responsibilities as a registrant and related to activities as such shall be made available for official inspection. Information on registration, organization, periodic reports on programs and finances shall be available for public inspection.

§ 203.4 Validation of registration. Certificates of registration will be issued by the Committee to applicants which fulfill the requirements set forth in § 203.3 and upon the finding of the Committee that the general purposes to be served are of a character and fulfill a need that justify appeals for voluntary support, warrant the cooperation of the United States Government, and otherwise are deemed to serve the public interest. Such certificates may be withheld, in the discretion of the Committee, until an initial program has been recorded under the terms set forth in

duty-free entry and defrays the inland transportation costs of the commodities.

(b) The general program and projects, by countries of operation of the agency, and the supplies in support thereof, have been approved by the Committee and by the recipient country.

§ 202.4 Manner of payment of ocean freight charges. By means of an equitable apportionment of the funds available for this purpose the Director will pay or reimburse agencies for ocean freight on shipments made in conformity with the regulations in this part: Provided, That application for such payment or reimbursement is submitted to the Director of the International Cooperation Administration, Attention: Advisory Committee on Voluntary Foreign Aid, International Cooperation Administration, Washington 25, D. C., within fortyfive days of date of shipment, together with receipted invoices for such charges, supported by ocean bills of lading, showing that such charges are limited to the actual cost of transportation of the supplies from end of ship's tackle at the United States port of loading to end of ship's tackle at port of discharge, correctly assessed at the time of loading by the carrier for freight on a weight, measurement, or unit basis, and free of any other charges.

Any

§ 202.5 Refund by agencies. agency to or for whom ocean freight charges have been paid or reimbursed under this part will refund promptly to the Director upon demand the entire amount, or any lesser amount specified, of ocean freight charges paid or reimbursed, and to the recipient country upon demand the entire amount, or any lesser amount specified, of inland transportation costs paid or reimbursed, (a) whenever the Director determines that the payments or reimbursements were improper as being in violation of any of the provisions of the Mutual Security Act of 1954 (Public Law 665, 83d Congress), any acts amendatory thereof or supplemental thereto, any relevant appropriation acts, or any rules, regulations or procedures of the International Cooperation Administration, or (b) unless such agency files, within ninety days after reimbursement has been made, a certificate stating that all supplies for which such reimbursement was made have been accorded duty free status by the recipient country.

AUTHORITY: §§ 203.1 to 203.9 issued under sec. 521, 68 Stat. 855, as amended; 22 U. S. C. 1781. Interpret or apply sec. 525, 68 Stat. 856, as amended; 22 U. S. C. 1785, E. O. 10610, 20 F. R. 3179, 3 CFR, 1955 Supp.

SOURCE: §§ 203.1 to 203.9 appear at 22 F. R. 8469, Oct. 26, 1957.

§ 203.1 A register of voluntary foreign aid agencies and their activities. ΤΟ foster the public interest in the field of voluntary foreign aid and the activities of nongovernmental organizations which serve the public interest therein, the Advisory Committee on Voluntary Foreign Aid of the International Cooperation Administration (referred to in this part as the Committee) is hereby authorized and directed to establish and to maintain, pursuant to the rules set forth in this part, a register of such nongovernmental organizations qualified for and voluntarily accepting registration; such register (a) to serve as a repository of information, including currently recording therein the organization, purposes, programs, finances and other pertinent activities of the registrants for public guidance; (b) to enable the Committee to facilitate the programs and projects of the registrants through the exercise of its good offices and the provisions of facilities authorized by the laws, regulations and procedures related to voluntary foreign aid as administered by the Committee, other United States agencies, or by international governmental agencies supported by the United States; and (c) to provide information and advice, and perform such other functions, as may be necessary in furtherance of the purposes of this section.