Executive Order 10489—Providing for the Administration of Certain Loan and Loan Guarantee Functions Under the Defense Production Act of 1950, as Amended

By virtue of the authority vested in me by the Constitution and laws of the United States, including the Defense Production Act of 1950, as amended (50 U.S.C. App. 2061 et seq.), and the Reconstruction Finance Corporation Liquidation Act (67 Stat. 231; Public Law 163. approved July 30, 1953), and as President of the United States and Commander in Chief of the armed forces of the United States, it is hereby ordered that section 310 of the "Executive Order Further Providing for the Administration of the Defense Mobilization Program," being Executive Order No. 10480 of August 14, 1953 (18 F.R. 4342), shall be. and it is hereby, amended, effective at the close of business on September 28, 1953, to read as follows:

"SEC 310. (a) The Secretary of the Treasury, hereafter in this section referred to as the Secretary, is hereby authorized and directed to make loans (including participations in, or guarantees of, loans) to private business enterprises (including research corporations not organized for profit) for the expansion of capacity, the development of technological processes, and the production of essential materials, including the exploration, development, and mining of strategic and critical metals and minerals, exclusive of such expansion, development and production in foreign countries, as authorized by and subject to section 302 of the Defense Production Act of 1950, as amended. The functions assigned to the Secretary by this section include the administration and servicing of all loans (including participations in, or guarantees of, loans) made by the Reconstruction Finance Corporation prior to September 29, 1953, pursuant to the said section 302.

"(b) Loans under section 310 (a) hereof (1) shall be made upon such terms and conditions as the Secretary shall determine, (2) shall be made only after the Secretary has determined in each instance that financial assistance is not available on reasonable terms from private sources or from other governmental sources, and (3) shall be made only upon certificate of essentiality of the loan, which certificate shall be made by the Director of the Office of Defense Mobilization.

"(c) Applications for loans under section 310 (a) hereof shall be received from applicants by the Secretary or by such agencies of the Government as the Secretary shall designate for this purpose."

DWIGHT D. EISENHOWER

THE WHITE HOUSE,

September 26, 1953.