Executive Order 9935—Directing the Transfer of Certain Vessels to the Government of Italy

By virtue of the authority vested in me by the Constitution and laws of the United States, including the Trading with the Enemy Act of October 6, 1917 (40 Stat. 411), as amended, and the act of August 5, 1947, Public Law 370, 80th Congress, 1st Session, it is hereby ordered as follows:

1. The Attorney General and the United States Maritime Commission are authorized and directed to transfer to the Government of Italy all right, title, interest, and possession of the United States, the Attorney General, or the Maritime Commission in the following vessels, which were under Italian registry and flag on September 1, 1939:

ELWOOD (ex. LACONIA)

GALLANT FOX (ex. GUIAN)

GOLD HEELS (ex. BRENNERO)

HERMITAGE (ex. CONTE BIANCAMANO)

LOWLANDER (ex. LEME)

MOKATAN (ex. MAR GLAUCO)

TROUBADOR (ex. CONFIDENZA)

TYPHOON (ex. COLORADO)

WHITE CLOVER (ex. MONFIORE)

ALCIBIADES (ex. IOLE FASSIO)

FAIRENO (ex. DENTICE)

Malvern (ex,. TROTTIERA)

MONTICELLO (ex. CONTE GRANDE)

SWIVEL (ex. BACICIN PADRE)

2. The United States Maritime Commission is authorized an directed to designate 15 surplus Liberty ships and to transfer them to the Government of Italy, it having been determined by the Commission that 15 Liberty ships have a total tonnage approximately equal to the total tonnage of vessels under Italian registry and flag on September 1, 1939, and subsequently seized in United States ports and thereafter lost while being employed in the United States war effort.

3. The above transfers shall be made pursuant to agreements to be executed by the Attorney General or the United States Maritime Commission or both, as the case may require, acting on behalf of the United States, and by the Government of Italy, which agreements shall contain substantially the following provisions and such other provisions consistent with the act of August 5, 1947, as the Attorney General and the Maritime Commission, in consultation with the Secretary of State, shall consider necessary and appropriate:

(a) No monetary compensation shall be paid for the use by the United States or its agencies of former Italian vessels acquired or seized by the United States after September 1, 1939.

(b) All costs incurred to return or transfer a vessel to the Government of Italy shall be borne or reimbursed by the Government of Italy.

(c) The Government of Italy shall agree to discharge and save harmless the Government of the United States of America from any responsibility and liability for the processing, settlement and satisfaction of any claims to or against the vessels so transferred or the lost vessels in respect of which substitute vessels are transferred.

(d) Prior to the removal of any vessel to be transferred from the custody, actual or constructive, of any court, the Government of Italy shall make or cause to be made arrangements, including the posting of a stipulation for value or other security in nature and amount satisfactory to such court, to secure the payment of any unpaid claims against the vessel.

(e) Of the 15 surplus Liberty ships designated for transfer to the Government of Italy the Maritime Commission shall retain such number as will constitute security for the payment of such sums of money as the Attorney General may determine sufficient for the processing, settlement and satisfaction of any claims not otherwise secured to or against the lost vessels in respect of which the substitute ships are being transferred.

(f) Delivery of the HERMITAGE (ex. CONTE BIANCAMANO) and MONTICELLO (ex. CONTE GRANDE) pursuant to this order shall be without prejudice to any rights of the Government of the United States, under existing agency agreements with the Government of Italy, with respect to (1) accounting for revenues of such vessels accruing prior to the date of delivery of such vessels pursuant to this order, and (2) the operation of the SS SATURNIA and SS VULCANIA, or either, in accordance with existing agreements between the United States and Italy.

4. The Liberty ships to be transferred to the Government of Italy shall be selected by the United States Maritime Commission, in consultation with the Government of Italy, such vessels to be operated by Italy for commercial use. Provision shall be made that such Liberty ships are to be operated under the Italian flag and shall not be sold to any person or corporation not a national of Italy, without the consent of the Government of the United States.

5. The Attorney General and the United States Maritime Commission shall act in consultation with the Secretary of State in carrying out the terms of this Executive order with all possible promptness in a manner which will effectuate the foreign policy of the United States to assist friendly and democratic European nations to rebuild their economies without delay.

HARRY S. TRUMAN

THE WHITE HOUSE,

March 16, 1948