AN ITALIAN DECREE

Evening Star, Issue 21899, 10 December 1934, Page 9

AN ITALIAN DECREE

THE GOVERNMENT'S CLAIM RIGHT TO CONTROL PRIVATE CAPITAL Press Association—By Telegraph—Copyright ROME, December 8. A drastic credits decree demands that all Italians resident in Italy must surrender within ten days all credits held abroad, for which they will be compensated in lire. Those who do.not comply will be subjected to severe penalties, including the possibility of imprisonment, transportation, or a fine amounting to a sum which is not disclosed. The decree also empowers foreign exchanges to institute the use of credits of Italian banks and individuals abroad, which must be similarly surrendered in exchange for lire in order to make payments outside Italy. It is also obligatory on banks and commercial houses to declare before December 31 credits and foreign Italian bonds held abroad. The mobilisation of foreign securities is necessary to maintain the live lire abroad, leaving the gold standard in which connection Signor Mussolini is emphatic. The newspapers declare that the Government has '.the right to control private capital, as it does production and commerce. The decree is causing consternation. DECREE RESENTED. LONDON, December 9. (Received December 10, at 12.45 p.m.) The British United Press Associa'tion’s correspondent at Rome says that there is much resentment regarding tho decree, which threatens temporarily to disorganise the tourist trade and the operations of the Italian branches ol foreign banks. Those most affected are American heiresses married to Italian noblemen. It is estimated that the decree will give tho Government control of £20,000,000»of Italian investments in the United States, largely consisting of the fortunes of “dollar princesses.”