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Military government weekly information bulletin
Number 98 (June 1947)

Powers of economic council set,   pp. 14-17 PDF (2.8 MB)

Page 14

M      J G Proclamation No. 5, imple-
menting in the US Zone the
agreement between the British and
US Military Governments for the
establishment of a bizonal Economic
Council, has attached Appendix B re-
lating to production, allocation, and
distribution of goods and raw materials
in the Combined USIUK Zones.
In the US Zone, Appendix B is
designated as MG Ordinance No. 14.
This ordinance is designed to give the
present bizonal Executive Committee
for Economics at Minden certain eco-
nomic powers in the interim period
until the new Economic Council is
established and functioning. This ordi-
nance supersedes OMGUS letter
AG 001, "Ordinance Relating to Pro-
duction, Allocation, and Distribution
of   Goods    and   Raw    Materials,"
19 May 1947.
The text of Proclamation No. 5 and
Appendix A were printed in Issue
No. 96 of the Weekly Information
Bulletin of 9 June 1947. It also has
been published in a "Special Report
of the Military Governor," dated
1 June 1947. This report, giving both
the English and German texts, was
titled "Documents on Bizonal Econo-
mic Organization". Likewise, these
texts along with that for Appendix B
were issued in OMGUS letter AG 010.6
(LD), "Military Government Procla-
mation No. 5 Economic Council,"
9 June 1947.
Appendix B details the powers and
scope   of  the   Economic    Council.
Though lengthy and highly technical,
it is published as follows for the in-
formation of all MG and occupational
Section 1
(1) The Executive Committee for Economics
(E.C.E.) is authorized to establish general
policies, to be announced in the form of
decisions, governing the production, allocation,
and distribution of goods and raw materials
which must be executed in the several
Laender under implementing regulations issued
promptly by appropriate Laender authorities.
(2) It is further empowered with such super-
vision of the production, allocation, and dis-
tlbution of goods and raw materials as may
be necessary to determine and to insure that
its general policies are being implemented in
the several Laender. Within this law, exist-
ing laws, and such other laws as may be
enacted, it may issue any executive orders
which appear necessary to define  and to
clarify Its general policy decisions. In addi-
tion thereto, it is empowered  to  allocate
directly, by executive orders, such scarce-
basic commodities as may be determined by
the Committee to specific industrial purposes
and among the several Laender. Likewise, it
is empowered to require, by executive
order, the distribution of goods and raw
materials as may be necessary to execute its
policies, which will include the determination
of goods in sufficient supply to permit ration-
ing  and  the  establishment  of rationing
standards. It may also issue such executive
orders as may be necessary to govern the
seizure of goods and raw materials within
the several Laender which are not being
utilized under the policies which it has
Section 2
The E.C.E. is empowered, so far as it deems
it necessary for the control and regulation
of production, allocation, and distribution of
goods and raw materials, to issue executive
orders regarding the recording of business
transactions, and in particular regarding book-
Section 3
The executive orders referred to in Sec-
tions 1 (2) and 2 shall be issued under, and
pursuant to, the general policy decisions re-
ferred to in Section 1 (1). Like the general
policy decisions, such executive orders shall
be directed to the respective Laender, except
in the case of the allocation power provided
by the third sentence of Section 1 (2), under
which such orders (including 'in particular
cases orders allocating the end product to
assure the carrying-out of the intent of the
original allocation) may be directed to per-
sons and enterprises. All general policy de-
cisions, and those executive orders directed
to the Laender, shall become binding upon
and enforceable against persons generally only
upon implementation by the Laender, as
provided in Section 1 (1), and in accordance
with such implementation. Executive orders
directed to persons and enterprises require
no implementation by the Laender in order
to become effective.
Section 4
(1) The E.C.E. may, with respect to specific
branches of trade and industry, delegate its
powers under Sections 1 (2) and 2 to its
(2) The Chairman of the E.C.E. shall im-
mediately notify the members of the E.C.E.
of any executive orders issued by him.
Section 5
Where the special conditions of a Land or
any part thereof render it necessary, the
Supreme Land Authority may, in agreement
with the E.C.E., or, if the latter has availed
itself of the possibility of delegation under
Section 4 (1), in agreement with the Chair-
man of the E.C.E., issue orders of general
application within the scope of this Ordinance
for either the whole Land or part thereof.
The Supreme Land Authority may delegate
such power to a superior Land Authority
having jurisdiction over the whole territory of
the Land.
Section 6
The provisions of the Verordnung fiber die
Wirkungen der Beschlagnahme zur Regelung
des Warenverkehrs vom 4. Marz 1940 (RGBI. I,
S. 551), shall apply mutatis mutandis to
seizures in virtue of this Ordinance.
Section 7
Before issuing executive orders, the Chair-
man of the E.C.E. shall consult whenever
practicable with the committees attached to
the Executive Agency for Economics in the
American and British Zones of Control (Ver-
Section 8
(1) Publication in the Mitteilungsblatt des
Verwaltungsamts shall be sufficient for the
promulgation of orders containing a delegation
of powers to the Chairman of the E.C.E.
(Section 4) or the revocation of such powers.
Orders containing a delegation of powers to
a superior Land Authority (Section 5, sen-
tence 2) or the revocation of such. powers
shall be promulgated in accordance with the
provisions of the law of the Land in question.
(2) Orders containing delegation of powers
shall become effective one week after pro-
mulgation; those containing a revocation
thereof, on the day following the promulga-
tion. The order may provide otherwise.
Section 9
(1) Publication in the Mitteilungsblatt des
Verwaltungsamts shall be sufficient for the
promulgation of general policy decisions, and
executive orders of the E.C.E. or Its Chair-
man; such decisions and orders shall become
effective one week after their promulgation
unless otherwise provided.
(2) Orders of general application issued by
the Land authorities under Section 5 shall
be promulgated in accordance with the pro-
visions of the law of the Land.
Section 10
(I) The service of orders directed to per-
sons or enterprises Is governed mutatis muu-
tandis by the provisions of the Zivilprocess-
ordnung concerning the Service of documents
ex officio (Zustedlung von Amts wegen) with
the exception of Sections 189, 203 to 207, 210a
and 212a.
(2) Service may also be effected by re-
gistered letter.
Section 11
(I) All general policy decisions, executive
orders, other orders and implementing regula-
tions under this Ordinance shall state the
duration of their validity. They shall clease
to be valid, in any event, not later than
3 years after their coming into force.
(2) The period of validity may, however.
be extented for three years at the most on
each extension.
Section 12
(1) The Verwaltungsamt and the Land author-
ities referred to in Section 5 are agencies
entitled to information within the meaning of
the Verordnung fiber Auskunftspflicht voai
13. Juli 1923 (RGBl. I, S. 723).
(2) They may order the personal appearance
of a person liable to give information and
may require commodities or other objects, in
particular samples and specimens, to be for-
warded or submitted to them    or to theifs
authorized agents,. and for containers to bW
opened for inspection. Further, they or their
authorized agents may demand from any per-
son information as to economic data as well
as the production  of books, vouchers Pt
other documents. On ordering such measur3i
the Verwaltungsamt shall immediately notift
the Supreme Land Authority.
23 JUNE 1-9

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