CODEL COTTER AND STAFF INVESTIGATE P.L. 480 PROGRAM IN JAPAN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP64B00346R000100120010-1
• Release Decision: RIFPUB
• Original Classification: U
• Document Page Count: 2
• Document Creation Date: December 15, 2016
• Document Release Date: November 10, 2003
• Sequence Number: 10
• Publication Date: April 30, 1962
• Content Type: TELEGRAM

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DEPARTMENT OF STATE
A-895
A54-
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State Department review completed
FROM
SUBJECT :
REF
Oso Ul1A .
(Departmental and Foreign Service)
UN I SSrFrED
Secretary of State
Amembassy TOKYO
April 30, 1962
CODEL Cotter and Staff Investigate P. L. 4480 Program in Japan
Dept. Cirs. 1343, Feb. 1 1962 and 1363 Feb. 5
,~-.~ a----- 1363, , 1962
----.- s .~,..~L V L. -~nvrtiley, agency for Inter-
national Development, Washington, and Sebastino Castro, from the General -
Accounting Office in Frankfurt, arrived in Tokyo, Japan. The primary pur-
pose of their visit was to investigate the P. L. 1180 program in Japan.
They received briefings from-the Economic and Political Sections of
the Embassy,, and MAAG Japan. Meetings were arranged with USIS, the
Agricultural Attache and the Financial Attache. The Financial Attache,
the Embassy United States Disbursing Officer, and the USAID/Japan assisted
in furnishing the statistical and fiscal data the group requested.
As advised by Circular 1313, dated February 1, 1962, their particular
interest was in determining the effectiveness of the program, the amount
of support from USIS, and various fiscal data. Mr. Cotter pointed out
that the P. L. 180 program in Japan is unique in that the sales are complete
and the Government of Japan has b
e
e
n repaying in dollars the loans which it
received from its "sharer of the proceeds. -
Mr. Cotter made particular mention of the fact that repayments were
being made by GOJ to the ExTM Bank i
T.1-
h
n
ington instead of to the
Disbursing Officer in Tokyo. It was s
pointed out to him that this repayment
procedure is in accordance with th y
o
e an Agreements. He also called at-
tendon to the fact that no interest was paid on the residual balances of
the funds for United States use kept on deposit in the Bank of Japan. It
was pointed out to Mr. Cotter that
Japan does not Day interest o as a matter of policy, the Bank of
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ny funds kept on deposit with it.
 Approved For.Release 2004/02/03 : CIA-RDP64B00346R000100120010-1
AIRGRAM UNCLASSIFIED
2
As far as can be determined, the group obtained the information it
desired and seemed to be satisfied with what it found. Mr. Cotter did
indicate, however, that he intended. to inquire further in Washington
into U. S. Government plans for using unexpended funds remaining on
deposit at the Bank of Japan. (Notes The P. L. 1180 program in Japan
was previously audited by AID auditors, who found it satisfactory,)
The group departed Tokyo for Korea on April 2 - returning to
Tokyo on April I and then departing for Honolulu on April 5.
Approved For Release 2004/02/03&0346R000100120010-1