Page:United States Statutes at Large Volume 57 Part 2.djvu/303

 57 STAT.] CANADA, GREAT BRITAIN-INDUSTRIAL DIAMONDS-MAR. 26, 1943 939 ARTICLE 3. No part of the Reserve shall be removed from the approved addresses in Canada except with the consent of the Minister or except at the request of the Minister to meet an emergency requirement for industrial diamonds notified to the Corpora- tion by the Minister. On receipt of such notification, the Corporation will arrange for the sale from the Reserve of such classes and quantities of diamonds to the Government of or merchants in the country where the emergency require- ment has arisen as may be specified in the notification. The notification will specify the quantities of diamonds to be sold in the normal selling classifications of the Trading Company and each of the Companies will sell to the Corporation, according to the normal contracts existing between it and the Corporation, such quantities and classes of diamonds as the Corporation may call upon it to provide as being necessary to meet the emergency requirement. ARTICLE 4. (1) It is the intention of the parties hereto that the Companies, the Corporation and the Trading Company shall be relieved of all payments in connexion with the diamonds provided for the Reserve other than payments which the Companies, the Corporation or the Trading Company would have made if the diamonds had not been provided for the Reserve and with a view thereto the following provisions shall apply:- (2) The Minister shall- (a) discharge all expenses of the transfer of diamonds to North America for the Reserve and of the maintenance, sorting and liquidation of the Reserve; (b) discharge all other proper payments, including all (if any) taxes, duties, assessments or charges, whether on export, sales, income or otherwise, which would not have been incurred or levied if the diamonds had not been removed to North America for the purposes of the Reserve. (3) Each of the Companies shall refund to the Minister from the proceeds of the sale by it of any diamonds comprised in the Reserve such expenses or pay- ments discharged by the Minister in respect of those diamonds as the Company would have discharged if those diamonds had been sold in London to the Diamond Corporation on the 30th June, 1942. (4) The Diamond Corporation shall refund to the Minister from the proceeds of the sale by it of any diamonds comprised in the Reserve such expenses or pay- ments discharged by the Minister in respect of those diamonds as the Corpora- tion would have discharged if those diamonds had been sold by it on the 30th June, 1942. (5) The Trading Company shall refund to the Minister from the proceeds of the sale by it of any diamonds comprised in the Reserve such expenses or pay- ments discharged by the Minister in respect of those diamonds as the Trading Company would have discharged if those diamonds had been sold by it in London on the 30th June, 1942. In addition, the Trading Company shall refund to the Minister from the sales of diamonds comprised in the Reserve the proceeds of such additions (if any) to the selling prices of the 30th June, 1942, as are made to the selling prices of those diamonds under Article 7 of this Agreement to meet the additional costs of the Minister. (6) If on the termination of this Agreement there remain unsold any diamonds which were included in the Reserve the Minister will be entitled to the refund out of the proceeds of the sale of those diamonds by the Company owning them, the Corporation and the Trading Company of only such expenses or payments discharged by him in respect of those diamonds as the Company, the Corporation and the Trading Company respectively would have discharged if the diamonds had not formed part of the Reserve. The Minister will, however, be prepared to consider with the other parties hereto when the time arises whether this obligation should be discharged by part payment of the estimated amount due from those other parties or otherwise.

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