From: "MPCgram" To: Subject: MPCGram 856 Date: Sunday, February 23, 2003 8:45 PM =========================================== MPC GRAM =========================================== Covering the entire World of Military Numismatics Series 004 - Number 856 Sunday February 23, 2003 JAPANESE MILITARY PESOS AFTER THE WAR By Jim Donwey The principles of international law recognize the right of an occupying force to determine what medium will serve as legal tender in the area under occupation. Through the course of history, different occupying forces have chosen to deal with the issue in many different ways. Japanese Invasion Money (JIM) and Allied Military Currency are two examples of currency declared as legal tender by the occupying powers and imposed on the local population. Not all occupying forces imposed a new currency in the territory they occupied. While the Germans issued Reichskreditkassenschein marks in occupied eastern Europe while they allowed the Bank of France to continue to circulate its notes in Vichy and occupied France. More recently, Israel allowed the Jordanian dinar to circulate in the occupied West Bank until 1987. The use of occupation currency leads to the question of ?What is the status of debts paid using occupation currency after the occupation ceases?? The post-war treatment of debts paid in Japanese Military Pesos is interesting and somewhat surprising. The Japanese Military Administration in the Philippines declared the JIM Peso notes as legal tender in the Philippines by a Military Proclamation dated January 3, 1942. (I have been unable to locate a copy of the Proclamation. If anyone has access to one, please contact me at mufelika@itol.com . The information that follows regarding the Proclamation is taken from the post-war decisions of the Philippine Supreme Court that will be discussed below.) The Proclamation of January 3 imposed severe penalties for refusing to accept JIM. Although the Proclamation of January 3 did not invalidate the pre-occupation currency of the Philippine Commonwealth, this currency nonetheless disappeared from circulation. Despite the occupation and the turmoil of the war, commercial life in the Philippines continued under Japanese rule. The occupation did not terminate the civil and contractual obligations between citizens. Rent was still paid, contracts were made, and debts were due. The disappearance of Commonwealth currency and the penalties for using Guerrilla currency compelled many Filipinos to use JIM in everyday commerce. Court records indicate the JIM peso circulated at par with the pre-occupation Commonwealth peso and at the pre-war exchange of 2 pesos to the US dollar until the middle of 1943. The JIM peso began a quick devaluation as the tide of the war turned against Japan. After liberation of the Philippines by MacArthur?s forces, a question arose as to the status of the contracts and other settlements made during the occupation. In a letter to the Secretary of the Treasury dated October 25, 1945, President Truman directed that the issue be looked into. The United States High Commissioner for the Philippines Paul V. McNutt, in consultation with the Treasury and Philippine and American business leaders, developed a plan to validate certain payments made in JIM. The Philippine Congress rejected the proposal. Instead, in February 1946 the Philippine Congress passed an act that validated all transactions made in JIM. The Act was subsequently signed by Philippine President Sergio Osmena. Under the Tydings-McDuffie Act of 1936 which gave the Philippines commonwealth status and the Philippine Constitution, all acts of the Philippine Congress that affected currency were subject to approval by the President of the Unite States. In a statement dated February 7, 1946, President Truman rejected the act of the Philippine Congress that validated payments made in JIM. (Incredibly, the Truman Statement refers to the Japanese pesos as ?mickey mouse? money.) The issue remained unsettled when the Philippines attained independence on July 4, 1946. In a series of cases beginning in 1946, the Philippine Supreme Court upheld the validity of the payment of debts in JIM that were incurred both before and during the occupation. The Court based its decisions on the long-recognized principle of international law that an occupying force has the authority to declare legal tender. In support of this conclusion, the Court pointed to the Combined Directives of the Combined Chiefs of Staff of the Supreme Allied Commander dated June 24, 1943, April 28, 1943 and June 27, 1947 which authorized the use of yellow seal dollars and British Military Authority notes in Sicily, AMC marks and yellow seal dollars in Germany, and AMC schillings in Austria. (If anyone has access to the Combined Directives, please contact me.) The Court also based their decisions on the fact that it was impossible to make payment in any currency other than JIM since the Commonwealth currency had disappeared from circulation. Interestingly, the Court does not mention the circulation of guerrilla currency, a fact of which they must have been aware. In the case of Rosario v. Sandico (G.R. No. L-867) the Philippine Supreme Court made the following observations: If the Japanese war notes became depressed and valueless, it was because the war was prolonged and lost by the Japanese contrary to their expectation of winning the war in a short time, and not because they issued purposely a depressed and valueless currency as legal tender. If their expectations had been realized no question as to the validity of the Japanese military notes as legal tender would have come up. Besides, the Court of Appeals could not have rendered a judgment sentencing the plaintiffs to pay this obligation or to pay money or the sum of P3,944.20 to Sandico in a currency other than the Japanese war notes; because such judgment would have been contrary to the Proclamation of January 3, 1942 and notification of February 23, 1942 issued by the Japanese Military Administration . . . And because, although the circulation of the Commonwealth currency was not then prohibited legally because of the Proclamation of January 10, 1942, they had already disappeared from circulation at that time, as above stated; and for the Court of Appeals to have ordered in the judgment that the sum of P3,944.20 shall be paid . . . in Commonwealth legal currency, would have been tantamount to order the execution of a thing which was impossible to do and which might be possible to perform in the future, inasmuch as there was no assurance that the Commonwealth of the Philippines shall be restored, and such kind of currency recognized as legal tender by the government then established by the Japanese or to be established in the future. NOTE: The text of Truman?s letter to the Secretary of the Treasury can be found at http://www.trumanlibrary.org/trumanpapers/pppus/1945/176.htm . The text of Truman?s statement disapproving the act of the Philippine Congress is at http://www.trumanlibrary.org/trumanpapers/pppus/1946/31.htm . Rosario v. Sandico can be found at http://lawphil.net/judjuris/juri1949/dec1949/gr_1-867_1949.htm . =========================================== Editorial =========================================== Saturday was another busy day at CPMX. Treasures were still to be found, but the order of the day was club meetings. The SPMC and IBNS meetings in the morning centered on grading notes. The afternoon featured the meeting of M2C2 was moderated by the man of the hour?Marvin Mercile. Larry Smulczenski described his work on the POW money catalog. He also showed the group some of his finds at the show. I would elaborate on those, but I think that he might to that himself for the missing Thurski column. As for myself I found a number of interesting things today. Most were low priced, but interesting. Doug Bell recruited a new Fester yesterday. That is always good news. Welcome Steve Swoish. Doug also dropped a little bombshell on me that he needs to have the home towns of the new Festers. Please send that information to him at doug@papermoneyworld.net. Marcus is working on his column for today as I write this. We will run it Monday instead of Sunday. Fred =========================================== MAIL CALL =========================================== Hi Gramsters! AND "AL!" Just watch out buddy!, next time wont be so easy! I was just a little short $$!!.... Next time!!!..... P.S. Congratulations on a Great buy! Guy! Hi Fred, I am back from Japan, a little jet-lagged out but here. Today I attended the first day of the Collectorama Show in Lakeland. Interestingly I passed through Chicago on my flight home from Tokyo. In fact I was at O'Hare at about 1600 hours (4PM) Thursday. It occurred to me (too late) that I should have not checked my bag thru to Tampa, but rather spent the night at Ohare and went to the CPMX Friday morning!!!!! Too late! Would have loved to been there and see everyone as well as see the Miracle Miricle collection make history. Best regards, Mike Dear Mike, Welcome home. Too bad about Chicago, but this means that you are home in time to come to the Fest, the bar maid at Nates says you should come! Editor Dear Editor, It was a pleasure meeting you. It was nice to put a face to the other end of the computer. I want to say a few words about my interests as I may have left some of you with the impression that my interests are narrow. I am a history and fact junkie. As part of my appreciation of history, I collect financial documents (currency, checks, stocks, etc.) as tangible pieces of history. Military numismatics is just one aspect of this interest in history. My research projects are focused on using original primary sources to explain the who, what, where, when, why and how of the puzzles of historical numismatics, and to bring those primary sources to the attention of others with similar interests. The Gram is a great outlet for this. Jim Downey =========================================== CALENDAR OF EVENTS =========================================== MPC Fest IV: 28 Feb - 2 March, Port Clinton, OH Fest Registrants: Doug Bell, Joe Boling#$, Guido Crapanzano#, Dick Freyser$$, Philip M. Goldstein$, Gary Hicks, Harold Kroll, Jack Lippincot$$, Kevin Maloy$$, Leo May$$, Fred Schwan, David Seelye, Nick Shrier$, Larry Smulczenski$$, Warner Talso$$, Marcus Turner$, Tom Warburton, Mark Watson$, Bill Yanchick, Nancy$# and John Wilson#, Bill McNease, Cuneyd Tolek#, Wendell Wolka#$$, Al Glaser$$, Ian Marshal, Carlson Chambliss, Wes and Rod Hardy, Sam Feeback$?, George Fitzgerald$, Kevin Neidy#, Bill Haines#?, Ed Beaman$$, Marv Mericle, Cameron Bueschel#$, Tiffany Bueschel$#, Russ Walsh$$, Robert Drew#$, Bob Olson#, Ron Waddell#$, Loretta Freyser#$, Steve Swoish#. Registration fee: $148 double occupancy $198 single occupancy (including meals and motel). Payments may be sent to BNRPress, 132 E. Second St., Port Clinton, OH 43452 or via PayPal to fredschwan@yahoo.com. Suggested airports in order of desirability: Toledo, Cleveland, Detroit (attempts will be made to provide ground transportation to/from these airports (coordinate w/Sparky Watson mcwatson@yahoo.com) $$ = Paid. Running total: 43, #=new fester (running total 16 new Festers). Fest Auxiliary: Jane Talso, Judy Schwan. Coordinate arrival and departure with adjutant Sparky Watson: mcwatson@yahoo.com The Fest will be held at the same location as the past two years: Holiday Inn Express 50 NE Catawaba Road Port Clinton, OH 43452 Phone 419 732-7322 DO NOT MAKE RESERVATIONS AT THE HOTEL OR PAY ANYTHING DIRECTLY TO THE HOTEL!!! View the auction catalog at: http://members.aol.com/delcocoins/auction.html Fest IV Training Schedule (Draft) Friday 28 February 1200-1800 in process Watson 1800-1930 chow mess sergeant 1800-2230 exhibits (concurrent) Joe Boling 1930-2030 group therapy Gary Hicks 2030-2130 pay call paymaster May 2130-2200 March madness pairings Wendell Wolka 2230-2300 March madness first round Wendell Wolka 2300-2330 bull session 2330 exhibits must be removed Boling 2331 px, canteen closed TBA 2400 lights out first sergeant Saturday 1 March 0400-0600 10k run, 3k swim (ice permitting) first sergeant 0600-0641 work detail laying out Series 641 0641 photo detail in messhall 0600-0800 chow first sergeant 0830-1000 show n tell Gail Baker 1000-1100 March Madness round II Wolka 1100-1230 snow n tell Gail Baker 1230-1245 company picture Hardy and Hardy 1245-1315 chow mess sergeant 1315-1630 bourse Seelye 1630-1745 show n tell Baker 1745-1800 nap individual 1800-1845 chow mess sergeant 1900-1930 March Maness finals Wolka 1930-1945 awards John Wilson 2000-2400 RVN poker game reenactment Schrier 2000-2100 auction lot viewing (concurrent) 2400 canteen closes, lights out 2401 bed check Sunday 2 March 0400-0600 10k run, 3k swim (ice permitting) first sergeant 0600-0700 chow mess sergeant 0700-0730 destruction of MFC 011 (from last year) Bill McNease 0730-0830 auction lot viewing Goldstein/Ski 0845-1030 auction MPCFest IV Auction Online Catalog 1100-1230 police call and early departures Watson 1230-1315 chow mess sergeant 1315-1500 field trip (TBA) Judy 1500-1800 pool party Jodi Foster Monday 3 March 0830-0900 breakfast Holiday Inn 0900- final departure Coordinating instructions: Show n tell contact Gail Baker (education@money.org) Arrival and departure coordination: Mark Watson MCW@qnet.com Auction items coordinate : Larry Smulczenski skifla@prodigy.net, Phil Goldstein IWANTMYMPC@aol.com Exhibits contact joeboling@aol.com MPCFest V, reservations now being accepted. Reservations entered in order received: (Feb-Mar 2004): Roger Urce#, John Cheney#, David Seelye, Phil Goldstein, Harold Kroll, Gail Baker#, Fred Schwan. # new Fester, $ paid. $$ paid single occupancy. Running totals: total 7, new festers 3. March 12, deadline for Bank Note Reporter MPC issue. Submitt your ads and editorial material for this special issue. Contact Mary Roloff: roloffm@krause.com. ANA National Money Show, March 21-23, 2003, Charlotte (NC) Convention Center, Contact ANA Convention Department at convention@money.org or JoeBoling@aol.com for forms to exhibit. Hours are 10-6:30 Friday & Saturday & 10-2 Sunday. Hotels are The Westin Charlotte (704-375-2623) and the nearby Hampton Inn Charlotte Uptown (704-373-0917). Howard Daniel will be manning a joint NI/NBS/IBNS club table where Gramsters can meet each other. He is also conducting a joint NI/IBNS meeting on Saturday and invites all Gramsters to the meeting's show and tell session and to meet other collectors with similar interests. Masstricht April 4-6, Valkenburg, The Netherlands, contact Jos Eijsermans, Box 3240, NL 5930 Tegelen Netherlands May 30 ? June 1 POW Conference II, Coe College, Cedar Rapids, IA Registration fees: $150 for general registration; $200 after 1 May 2003. (A day fee of $50 per full day, $25 per half day will be accepted at the time of registrationŻas space allows for walk-in registrants to join pre-regs.) $100 for presenters, uni/college students, senior citizens, veterans of any age, overseas participants. (Registrations must be received by 1 May to qualify.)(Presenters coming for one day may attend half of that day free; if they'd like to attend the entire day they will be asked for a $25 contribution to help defray conference costs. [Basically, all presenters and panelists are being given $50 credit.]) $50 for TRACES donors/non-working TRACES board members. $50 for Journalists may attend the exhibit opening, 1-5 Saturday afternoon at the Johnson County History Center in Iowa City/Iowa, for free; those wishing to attend the rest of the conference in order to write articles/tape reports may do so at $25 per day. The exhibit itself is free and open to the public. We are very pleased to have, per plan, some half dozen German POWs or their families with us for the exhibit and conference; as much as we would like to waive the conference registration fee, we must ask that they make a one-time $50 contribution to help defray the unavoidable costs of making this conference a reality. Berlin Study Tour participants may attend for free. Please (!) pass this invitation to anyone you think might be interested in either presenting or attending. For more information about TRACES visit www.TRACES.org. Memphis International Paper Money Show: 13-15 June, Cook Convention Center, 255 N. Main St., Memphis TN 38103-1623 Military Numismatics Summer Seminar Session I dates are Saturday, June 28, to Friday, July 4; session II, Saturday, July 5 to Friday, July 11, 2003 Link for more and general information: http://www.money.org/sumsem2003.html Link to photos from Seminar II http://www.money.org/summer2002images5.html application for military money scholarship http://www.papermoneyworld.net/news/MilitaryNumismatists Scholarship Fund 2003.pdf PCDA National and World Paper Money Convention. November 19-23, 2003. St. Louis Hilton Airport Hotel, 10330 Natural Bridge Road, St. Louis, MO 63134. ======================================== 2003 scholarship fund Donations of cash and numismatic material will be gladly accepted. Generally the numismatic material is auctioned at MPCFest, but might be sold via ebay or other places. Your scholarship donations help the hobby by sending qualified individuals to the ANA summer seminar military money class. Except for unavoidable charges like ebay fees, 100% of your donation goes to scholarships. 2003 Scholarship Donors Ed Hoffman RA Medina Dick Freyser Larry Smulczenski David Seelye Howard Daniel Steve Feller Warner Talso Pam West Mr. 691 Leo May John & Nancy Wilson Max Spiegel Gail Baker Chris Connell Bill Haines Joel Shafer Mikhail (Misha) Istomin Gary Hicks Robert Drew Contact me at: "Marcus Turner" mailto:maturner@indy.rr.com Checks should be made out to the "Military Numismatists Scholarship." or Marcus Turner 8103 East US Highway 36 Suite 163 Avon, Indiana 46123 USA IMPORTANT SCHOLARSHIP INFORMATION The last information given in the gram did not include the official release of application/donation information. This information can be found at the link below. We encourage everyone to print copies of this information and distribute it to those who might be interested. Further you are encouraged to e-mail the pdf document to anyone you see fit. Thank you http://www.papermoneyworld.net/news/Military Numismatists Scholarship Fund 2003.pdf Marcus Turner Scholarships from the ANA: See the following location for an application for financial aid to the summer seminar: http://www.money.org/sumsemfin.html =========================================== MPC ANA Museum Project =========================================== ANA collection of MPC: Thanks to donations from Douglas Bell, Dick Fryser, Ed Beaman, David Seelye, Philip Goldstean, Michael Cummings, Ray Czahor, David Pitchford and Mr 691the ANA MPC collection is current as follows: Series 100 - [50 sen], [1Y, 5Y, 10Y, 20Y all A underprint] Series 461 - 5, [10] cents, [$1] Series 471 - [5, 10, 25, 50 cents, $10] Series 472 - [5, 10 cents], [$1, $10] Series 481 - 5 cents, [10, 25 cents], 50 cents, $1, [$5] $10 Series 521 - 5, 10, 25, 50 cents, [$10] Series 541 - 5, 10, 25 cents Series 591 - [5, 10, 25, 50 cents, $1] Series 611 - [5, 10, 25 cents, $1] Series 641 - 5, 10, 25, 50 cents, $1, $5, $10 Series 651 - [$1] Series 661 - [10, 25, 50c], [$5], [$1, $5] $10 Series 681 - 5, 10, 25, 50 cents, $1, [$5], [$20] Series 691 - [$1, $5, $10, $20] Series 692 - 5, 10, 25, 50 cents, $1 Series 701 - [$1, $5, $10, $20] [50c etc.] = notes donated by Gramsters --Chris Connell =========================================== RESEARCH =========================================== New modification to the database you can now retrieve your password if you have forgotten at the main logon screen. Keep in mind syntax is important. The mpc database has changed its name it now going to be refered as, WW II P a p e r M o n e y D a t a B a s e This is just a hint of things to come If you are having truble loging on please inform doug bell At doug@papermoneyworld.net Papermoneyworld maintains an innovative interactive data base of all military payment certificates. Everyone is invited to enter notes in their possession or that they have observed. Visit the site at: http://www.papermoneyworld.net/user/default.asp this project is financially supported by David Seelye http://www.thempcman.net/, mailto:coinman@rochester.rr.com =========================================== Subscription information: =========================================== You can enter an email address to receive the gram by using the link below. Use this to change your address (add the new one), add a friend or enemy. http://www.papermoneyworld.net/WebMailList/Default.asp ========================================= HOT CONTACT LIST - DEALER & RESOURCE LIST Below is the BNR Press Hot Contact List. This list serves several functions. Obviously it is an outreach by the dealers listed for your business. Most of them buy and sell MPC. Others organize shows or publish periodicals, or furnish information dedicated to this field. They have supported the new Comprehensive Catalog of Military Payment Certificates with their advertising. They deserve your support and patronage! Name phone fax / cell email Allens (614) 882-3937 (614) 882-0662 info@allens.com American Coins & Collectibles (800) 865-3562 American Numismatic Ass'n(800) 367-9723 ana@money.org Guy Araby(562) 945-7891(310) 508-0018 guyaraby@earthlink.net Bob Baker(713) 864-3122 Ken Barr (408) 272-3247 ken@kenbarr.com Fred Bart (810) 979-3400 Dick Balbaton(508) 699-2266 (508) 643-1154 RBalbaton@aol.com Keith and Suzanne Bauman (248) 647 8938 tnaksbauman@earthlink.net Joe Bissell (602) 440-0442 (602) 494-9103 BNR Press(419) 732-6683 (419) 732-6683 fredschwan@yahoo.com Remy Bourne(800) 789-7070 (763) 789-4747 Ed Carne (614) 882-3937 (614) 882-0662 info@allens.com Champion Stamp (212)489-8130 (212) 581-8130 Cookie Jar Collectibles (301) 604-9225 cjcpi@comcast.net Guido Crapanzano [39] 2-8056228 [39] 2-4459856 Currency Dealer Newsletter (310) 515-7369 David F. Cieniewicz(205)852-7015 CGC (602) 493-4758 (602) 494-9103 sales@gradedcurrency.com Mike Cummings (863)603-9899 (863) 603-9880 mpccoin@hotmail.com Cygnet Charters(419) 734-2422 Ray Czahor (301) 604-9225 cjcpi@comcast.net Doric Coins & Currency (508) 699-2266 (508) 643-1154 FUN(407) 321-8747 Philip M. Goldstein : (845) 586-4672 iwantmympc@aol.com Great Lakes Bank Note Company(419) 732-6683 IBNS joeboling@aol.com Essie Kashani(909) 627-3996 (909) 627-2776 kashani10@aol.com Lowel Horwdel (765) 583-2748 (765) 583-4584 horwdel@inshightbb.com Lyn Knight(800) 243-5211 Krause Publications (715) 445-2214 (715) 445-4087 bnr@krause.com Harold Kroll(251) 649-5134 HARBONS@aol.com Leo May (305) 271-8391(305) 720-0695 LeoMayEnt@aol.com or Wide World of Banknotes Ian Marshall(416) 445-0286 (416) 445-0286 iam@total.net Memphis Coin Club (901) 757-2515 MPCGram (419) 732-6683 MPCGram@yahoo.com Pomexport Ltd. 1-201-641-6641 / Fax: 1-201-641-1700 E-Mail: Info@pomexport.com // website: http://www.Pomexport.com Bob Reed(504) 361-5684 bobreed@rrcoins.net Fred Schwan (419) 732-6683 (419) 732-6683 FredSchwan@yahoo.com David Seelye(585) 594-1987 (585) 594-2311 coinman@rochester.rr.com Richie Self (318) 868-9077 R. M. Smythe(800) 622-1880 (212) 908-4047 www.smytheonline.com Mel Steinberg & Son(415) 453-9750 (415) 457-4432 melsteinberg@mindspring.com Military Trader(800) 334-7165 Scott Winslow Associates (603)472-7040 (603) 472-8773 scott@scottwinslow.com George Warner(307) 672-3700 Pam West [44] 0208 641 3224[44] 0208 641 3224 pamwestbritnotes@compuserve.com ======================================= POST / BASE EXCHANGE(PX/BX/NEX) Dump your dupes! Your classified advertisement for items for sale, purchase or trade will be run here for free. Send your ads to the gram. This service is for everyone, most humble dealer or most advanced collector. The point is to make the gram more interesting. In all cases confirm your order via email first. WANTED SECTION: Collectors may submit lists of items wanted for their collections for listing here. Dealers and collectors who have these items, are then encouraged to list them for sale in the above section as a reply. Wanted listings will run for a period of 1 month. WANTED Rendezvous with Destiny MFC Series 022 souvenir notes. Paying up to five times face value. Put your for sale notice in the Gram. =========================================== MPC Gram Staff: Publisher: Fred Schwan - MPCGram@yahoo.com Editor: Philip M. Goldstein - IWANTMYMPC@aol.com Subscription Manager:Doug Bell - doug@papermoneyworld.net Tuesday Columnist : Joe Boling - JoeBoling@aol.com Thurski Columnist: Larry "Ski" Smulczenski - skifla@prodigy.net Friday Columnist:Fred Schwan - MPCGram@yahoo.com Critic: Harold Kroll - HARBONS@aol.com Scholarship Coordinator: Marcus Turner - maturner@indy.rr.com Index & Back Issue Manager:vacant Webmaster & Technical Advisors:Doug Bell "Wiz" - doug@papermoneyworld.net Russ Walsh - russ.walsh@gte.net Fact Checker: Warner Talso - Calendar Coordinator: John & Nancy Wilson - The Boss: Judy Schwan ===== MPC Gram is published by BNR Press and papermoneyworld.com as a free service to the community of military money collectors. Your suggestions, criticisms, complaints, editorial contributions, letters, and even praise are very welcome. The entire contents including linked illustrations are copyright protected by the publishers. In the case of contributors, the copyright is protected on behalf of the creators. Please send all correspondence regarding the gram to MPCgram@yahoo.com. Thank you very much for your participation. __________________________________________________ Do you Yahoo!? Yahoo! Tax Center - forms, calculators, tips, more http://taxes.yahoo.com/