By virtue of the authority vested in me by section 404 of the Mutual Defense Assistance Act of 1949, approved October 6, 1949 (Public Law 329, 81st Congress), hereinafter referred to as the Act, and as President of the United States, it is hereby ordered as follows:
1. (a) The Secretary of State is authorized and directed to perform the functions and exercise the powers and authority vested in the President by the act, except by section 303, section 405, subsection (e) of section 406 clause 2 of subsection (b) of section 407, and subsection (b) of section 411 thereof.
(b) Within the scope of the authority delegated to him by this order, the Secretary of State shall (1) have responsibility and authority for the direction of the programs authorized by the Act, (2) make full and effective use of agencies, departments, establishments, and wholly-owned corporations of the Government, with the consent of the respective heads thereof, in the conduct of operations under such programs, and coordinate the operations of such programs among them, and (e) advise and consult with the Secretary of Defense and the Administrator for Economic Cooperation in order to assure the coordination of the mutual-defense-assistance activities with the national-defense and economic-recovery programs.
2. All assistance provided to recipient countries under the authority delegated by this order shall be in conformity with programs approved by the Secretary of State after consultation with the Secretary of Defense and the Administrator for Economic Cooperation. As provided in section 401 of the Act, no equipment or material may be transferred out of military stocks if the Secretary of Defense, after consultation with the Joint Chiefs of Staff, determines that such transfer would be detrimental to the national security of the United States or that such equipment or material is needed by the reserve components of the armed forces to meet their training requirements. The Administrator for Economic Cooperation shall advise the Secretary of State concerning the effect of programs approved by the Secretary of State under the authority delegated to him by this order upon the achievement of the purposes of the Economic Cooperation Act of 1948, as amended, and of the purposes of the United States program of economic assistance in Korea.
3. Funds appropriated or otherwise made available for the purposes of carrying out the portions of the Act pertinent to the authority delegated by this order may be allocated by the Secretary of State to any agency, department, establishment, or wholly-owned corporation of the Government for obligation and expenditure in accordance with programs approved by the Secretary of State under such authority.
HARRY S. TRUMAN
THE WHITE HOUSE,
January 27, 1950