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PART 53—INSTRUCTIONS OF THE offered after January 17, 1934, to the
SECRETARY OF THE TREASURY Secretary of the Treasury, the Treasurer CONCERNING WRONG FULLY
of the United States, any United States
mint or assay office or to any fiscal agent WITHHELD GOLD COIN AND GOLD
of the United States, the Secretary of BULLION DELIVERED AFTER JANU
the Treasury, the Treasurer of the ARY 17, 1934
United States, any United States mint 8 53.1 Wrongfully withheld gold coin
or assay office, and the fiscal agents and gold bullion delivered after
of the United States shall pay for such January 17, 1934.
gold coin the dollar face amount thereof,
and for gold bullion $20.67 an ounce. The order of the Secretary of the
Member banks of the Federal Reserve Treasury dated January 15, 1934, as
System may receive such gold coin and amended, supplementing the order of
gold bullion for account of the Treasurer December 28, 1933, requiring the delivery
of the United States and forthwith forof gold coin and gold bullion to the Treas.
ward the same to the Secretary of the urer of the United States provides, in
Treasury, the Treasurer of the United part, as follows:
States, any United States mint or assay ... I, Henry Morgenthau, Jr., Secretary office or any fiscal agent of the United of the Treasury, do hereby fix midnight of States, whichever is nearest. Wednesday, January 17, 1934, as the expir
(Sec. 3, 48 Stat. 2; 12 U.S.C. 248(1)) (29 ation of the period within which any gold
F.R. 5557, Apr. 25, 1964) coin or gold bullion may be paid and delivered to the Treasurer of the United States in compliance with the requirements contained in PART 54—GOLD REGULATIONS such Order of December 28, 1933, as amended. In the event that any gold coin or gold
Subpart A-General Provisions
Sec. bullion withheld in noncompliance with
54.1 said Order and of this Order are offered after
Authority for regulations.
54.2 General provisions. January 17, 1934, to the Secretary of the
54.3 Titles and subtitles. Treasury, the Treasurer of the United States,
54.4 Definitions. any United States mint or assay ofice, or to
54.5 General provisions affecting applicaany fiscal agent of the United States, there
tions, statements, and reports. shall be paid therefor only such part or none
54.6 of the amount otherwise payable therefor
General provisions affecting licenses
and authorizations. as the Secretary of the Treasury may from
54.7 General provisions affecting export 11. time to time prescribe and the whole or any
censes. balance shall be retained and applied to the
54.8 General provisions affecting import penalty payable for failure to comply with
licenses. the requirements of such Order and of this
54.9 Forms available. Order. The acceptance of any such coin or
54.10 Representations by licensees. bullion after January 17, 1934, whether or
54.11 Civil and criminal penalties. not a part or all of the amount otherwise payable therefor is so retained, shall be with.
Subpart BConditions Under Which Gold May Be out prejudice to the right to collect by suit
Acquired and Held, Transported, Melted or or otherwise the full penalty provided in
Treated, Imported, Exported or Earmarked Section 11(n) of the Federal Reserve Act, as amended, less such portion of the penalty as
54.12 Conditions under which gold may be may have been retained as hereinbefore
acquired, held, melted, etc. provided.
54.13 Transporting or holding gold in safe
keeping. Subject to the rights reserved in said
54.14 Gold situated outside of the United Order of January 15, 1934, supplement
States. ing the order of December 28, 1933, re
54.15 Trading in gold on exchanges. quiring the delivery of gold coin and gold
54.16 Fabricated gold. bullion to the Treasurer of the United 54.17 Metals containing gold. States and without prejudice to the right 54.18 Unmelted scrap gold. to alter or amend these instructions from 54.19 Gold in its natural state. time to time by notice to the Treasurer of 54.20 Rare coin. the United States, the United States
Subpart C-Gold for Industrial, Professional, mints and assay offices, and the Federal
and Artistic Use Reserve banks, I do hereby prescribe that
64.21 Fifty ounce exemption for processors. in the event that any gold coin or gold
64.22 Licenses required. bullion held in noncompliance with said 54.23 Issuance of licenses or general authororder of December 28, 1933, as amended,
izations. and said order of January 15, 1934, are 54.24 Applications.
of October 25, 1933 and 9193 of July 6, 54.25 Licenses.
1942, as amended (7 F.R. 5205; 3 CFR, 54.26 Investigations; records; subpoenas.
1943 Cum. Supp.), which delegations 54.27 Reports.
were made by the President of the Subpart D-Gold for the Purpose of Settling United States by virtue of and pur
International Balances and for Other Purposes suant to the authority vested in him 54.28 Acquisitions by Federal Reserve banks
by section 5 (b) of the act of October for purposes of settling interna 6, 1917 (40 Stat. 415), as amended by tional balances, etc.
section 2 of the act of March 9, 1933 54.29 Dispositions by Federal Reserve banks. (48 Stat. 1), and title III, section 301 of 54.30 Provisions limited to Federal Reserve the "First War Powers Act, 1941” (55 banks.
Stat. 839; 12 U.S.C. 95a), and all other Subpart Gold for Other Purposes Not Incon
authority vested in him, the following sistent with the purposes of the Gold Reserve
regulations, entitled “Gold Regulations," Act of 1934 and the Act of October 6, 1917, deemed in the public interest and necesas Amended
sary and proper to carry out the pur54.31 Licenses required.
poses of said acts and Executive orders, 54.32 Gold imported in gold-bearing ma are issued by the Secretary of the terials for re-export.
Treasury. 54.33 Gold imported for re-export. 54.34 Licenses for other purposes.
§ 54.2 General provisions. 54.35 Rare gold bars.
(a) Scope. Sections 54.12 to 54.35 reSubparts F, G, and H (Reserved)
fer particularly to section 3 of the Gold
Reserve Act of 1934, as amended, and to Subpart General License to Hold Gold
Executive Order No. 6260 of August 28, Certificates
1933, sections 4, 5, and 6 of the Executive 64.83 General license; gold certificates. Order No. 6359, of October 25, 1933, and AUTHORITY: The provisions of this part 64
Executive Order No. 9193 of July 6, 1942, issued under sec. 5, 40 Stat. 416, as amended,
as amended. secs. 3, 8, 9, 11, 48 Stat. 340, 341, 342; 12 (b) Delivery requirements of 1933 gold U.S.C. 95a, 31 U.S.C. 442, 733, 734, 822b, E.O. orders. Executive Order 6102 of April 6260, Aug. 28, 1933, as amended by E.O. 10896, 5, 1933, Executive Order 6260 of August E.O. 10905, E.O. 11037; 3 CFR, 1959–1963
28, 1933 (31 CFR 1936 ed. Part 50), Comp. and E.O. 6359, Oct. 26, 1938, E.O. 9193,
and the order of the Secretary of the as amended; 3 CFR, 1943 Cum. Supp., E.O. 10289; 3 CFR, 1949–1953 Comp., unless other
Treasury of December 28, 1933, as wise noted.
amended and supplemented, required
that, with certain exceptions, all perSOURCE: The provisions of this Part 54
sons subject to the jurisdiction of the appear at 19 F.R. 4309, July 14, 1964, as amended at 26 F.R. 9551, Oct. 10, 1961, unless
United States deliver to the United States otherwise noted.
gold coins, gold bullion and gold certifi
cates situated in the United States and Subpart A-General Provisions
held or owned by such persons on the § 54.1 Authority for regulations.
dates of such orders. Gold coins having
a recognized special value to collectors By virtue of and pursuant to:
of rare and unusual coin, including El (a) The authority vested in the Secretary of the Treasury by the Gold Re
gold coins made prior to April 5, 1933, serve Act of 1934, approved January 30,
and gold certificates of the type issued 1934 (48 Stat. 337; 31 U.S.C. 440), and before January 30, 1934, have been exthe authority with respect to the ap empted from such delivery requirement. proval of regulations issued thereunder The regulations in this part do not alter which the President of the United States or affect in any way the requirements has delegated to the Secretary of the under said orders to deliver gold bullion, Treasury in paragraph 2(d) of Execu and gold bullion required to be delivered tive Order No. 10289 of September 17,
pursuant to such orders is still required 1951 (16 F.R. 9501; 3 CFR, 1951 Supp.)
to be delivered and may be received in and
accordance with the Instructions of the (b) The authority which the Presi
Secretary of the Treasury of January 17, dent of the United States has delegated 1934 ($ 53.1 of this chapter), subject to to the Secretary of the Treasury by Ex- the rights reserved in such instructions. ecutive Orders Nos. 6260 of August 28, (c) Effect of authorizations and li1933 (31 CFR 1938 ed. Part 50), 6359 censes. (1) A general authorization con
tained in, or a license issued pursuant to the regulations in this part, permitting the acquisition, holding, transporting, melting or treating, importing, exporting or earmarking of gold, constitutes within the limits and subject to the terms and conditions thereof a license issued under and pursuant to Executive Order No. 6260 of August 28, 1933, for such acquisition, holding, transporting, etc.
(2) Any authorization in the regulations in this part, or in any license is sued hereunder to acquire, hold, transport, melt or treat, import or export gold in any form shall not be deemed to authorize, unless it specifically so provides, the acquisition, holding, transporting, melting or treating, importing, or exporting of the following:
(i) Any gold coin (except rare gold coin as defined in $ 54.20) or any gold melted by any person from gold coin subsequent to April 5, 1933.
(ii) Any gold which has been held at any time in noncompliance with the acts, the orders, or any regulations, rulings, instructions or licenses issued thereunder, including the regulations in this part, or in noncompliance with section 3 of the act of March 9, 1933, or any orders, regulations, rulings, or instructions issued thereunder.
(d) Revocation or modification. The provisions of this part may be revoked or modified at any time and any license outstanding at the time of such revocation or modification shall be modified thereby to the extent provided in such revocation or modification. (Sec. 3, 48 Stat. 2; 12 U.S.C. 248) (19 F.R. 4309, July 14, 1954; 26 F.R. 9551, Oct. 10, 1961, as amended at 29 F.R. 5557, Apr. 25, 1964; 33 F.R. 5794, Apr. 16, 1968] $ 54.3 Titles and subtitles.
The titles in this part are inserted for purposes of ready reference and are not to be construed as constituting a part of the regulations in this part. § 54.4 Definitions.
(a) As used in this part, the terms:
(1) "The acts” means the Gold Reserve Act of 1934, as amended, and section 5(b) of the act of October 6, 1917, as amended by section 2 of the act of March 9, 1933 and Title III, section 301 of the "First War Powers Act, 1941” approved December 18, 1941.
(2) “The orders” means Executive Orders Nos. 6260 of August 28, 1933; 6359
of October 25, 1933; and 9193 of July 6, 1942, as amended.
(3) "United States" means the Government of the United States or where used to denote a geographical area, means the States of the United States, the District of Columbia, and all other places subject to the jurisdiction of the United States.
(4) “States of the United States" means the States of the United States and the District of Columbia.
(5) "Person” means any individual, partnership, association, or corporation, including the Board of Governors of the Federal Reserve System, Federal Reserve banks, and Federal Reserve agents.
(6) "Mint” means a United States mint or assay office, and wherever authority is conferred upon a “mint” such authority is conferred upon the person locally in charge of the respective United States mint or assay office acting in accordance with the instructions of the Under Secretary of the Treasury for Monetary Affairs or his delegate or the Secretary of the Treasury.
(7) “Gold coin” means any coin containing gold as a major element, including gold coin of a foreign country.
(8) "Gold bullion" means any gold which has been put through a process of smelting or refining, and which is in such state or condition that its value depends primarily upon the gold content and not upon its form; the term "gold bullion" includes, but not by way of limitation, semi-processed gold and scrap gold, but it does not include fabricated gold as defined in this section, metals containing less than 5 troy ounces of fine gold per short ton, or unmelted gold coin.
(9) Fabricated and semi-processed gold:
(i) "Fabricated gold” means processed or manufactured gold in any form (other than gold coin or scrap gold) which:
(a) Has a gold content the value of which does not exceed 90 percent of the total domestic value of such processed or manufactured gold; and
(b) Has, in good faith, and not for the purpose of evading or enabling others th to evade the provisions of the acts, the orders, or the regulations in this part, been processed or manufactured for some one or more specific and customary industrial, professional or artistic uses.
(ii) “Semi-processed gold” means processed or manufactured gold in any form (other than gold coin or scrap gold) which:
(a) Has a gold content the value of which exceeds 90 percent of the total domestic value of such processed or manufactured gold; and
(b) Has, in good faith, and not for the purpose of evading or enabling others to evade the provisions of the acts, the orders, or the regulations in this part, been processed or manufactured for some one or more specific and customary industrial, professional or artistic uses.
(iii) The value of the gold content of an article shall be computed for the purposes of this subparagraph at the cost to the manufacturer of the gold in the article.
(iv) For the purpose of this subparagraph, the total domestic value of processed or manufactured gold shall be based on the cost to the owner and not the selling price. The allowable elements of such value are:
(a) In the case of a manufacturer or processor, only the cost of material in the article, labor performed on the article, and processing losses and overhead applicable to the manufacture or processing of such article; and
(b) In the case of a dealer or other person who holds or disposes of gold without further processing, only the net purchase price paid by such person, including transportation costs, if any, incurred in obtaining delivery of such article to his usual place of business.
(10) "Scrap gold” means gold filings, clippings, polishings, sweepings and the like and any other melted or unmelted scrap gold, semi-processed gold or fabricated gold, the value of which depends primarily upon its gold content and not upon its form, which is no longer held for the use for which it was processed or manufactured.
(11) “Gold in its natural state" means gold recovered from natural sources which has not been melted, smelted, or refined, or otherwise treated by heating or by a chemical or electrical process.
(12) “Hold”, when used with reference to gold includes actual or constructive possession of or the retention of any interest, legal or equitable, in such gold.
(13) "Person subject to the jurisdiction of the United States” means:
(i) Any individual who is a citizen of the United States;
(ii) Any individual, wheresoever located, who is a resident of, or domiciled in, the United States:
(iii) Any partnership, association, corporation, or other organization which is organized or doing business under the laws of the United States or of any state or territory thereof or of the District of Columbia;
(iv) Any partnership, association, corporation, or other organization wheresoever organized or doing business, which is controlled, or a substantial part of the stock, shares, bonds, debentures, notes, drafts, or other securities or obligations of which, is owned or controlled, directly or indirectly, by persons specified in subdivision (i), (ii), or (iil) of this subparagraph.
(14) "Customary industrial, professional or artistic use" means the use of gold in industry, profession or art, in a manner, for a purpose, in a form, and in quantities in which gold is customarily used in industry, profession or art. Without limitation, the following are not deemed to be customary industrial, professional or artistic uses of gold:
(i) The manufacture of gold medals other than the manufacture of special award medals and the manufacture by persons subject to the jurisdiction of the United States but situated abroad of gold medals for sale abroad to persons not subject to the jurisdiction of the United States; and
(ii) The acquisition and holding, transportation, importation, or exportation of any gold medals other than: Special award medals; antique medals; and commemorative medals for regular public display by a museum or other institution serving the public.
(15) “Possessions of the United States” means Guam, the Virgin Islands, American Samoa, Midway Islands, Wake Island, Johnston Island, and Sand Island, Swan Island and the other Island Possessions of the United States.
(b) Wherever reference is made in this part to equivalents as between dollars or currency of the United States and gold, $1 or $1 face amount of any currency of the United States equals fifteen and five twenty-firsts (15521) grains of gold, nine-tenths fine.
(c) Wherever reference is made in this part to "sections", the reference is, unless otherwise indicated, to the design nated sections of this part. (19 F.R. 4309, July 14, 1954, as amended at 25 FR. 12346, Dec. 2, 1960; 26 F.R. 323, Jan. 17, 1961; 28 F.R. 8289, Aug. 13, 1963; 33 F.R. 5794, Aur. 16, 1968; 36 F.R. 7659, Apr. 23, 1971) $ 54.5 General provisions affecting ap
plications, statements, and reports. Every application, statement, and report required to be made under this part shall be made upon the appropriate form prescribed by the Secretary of the Treasury. Actions upon any application or statement may be withheld pending the furnishing of any or all of the information required in such forms or of such additional information as may be deemed necessary by the Secretary of the Treasury, or the agency authorized or directed to act under this part. There shall be attached to the applications, statements, or reports such instruments as may be required by the terms thereof and such further instruments as may be required by the Secretary of the Treasury, or by such agency. $ 54.6 General provisions affecting li
censes and authorizations. (a) Licenses issued pursuant to the regulations in this part shall be upon the appropriate form prescribed by the Secretary of the Treasury. Licenses shall be nontransferable and shall entitle the licensee to acquire, hold, transport, melt or treat, import, export, or earmark gold only in such form and to the extent permitted by, and subject to the conditions prescribed in the regulations in this part and such licenses.
(b) Revocation or modification of licenses: ' Licenses may be modified or revoked at any time in the discretion of the Under Secretary of the Treasury for Monetary Affairs or his delegate. In the event that a license is modified or revoked (other than by a modification or revocation of the regulations in this part), the Under Secretary of the Treasury for Monetary Affairs or his delegate shall advise the licensee by letter, mailed to the last address of the licensee on file
in the Treasury Department. The censee, upon receipt of any notice from the Director of modification or revocation of license, shall forthwith surrender his license as directed. If the license has been modified but not revoked, the Under Secretary of Treasury for Monetary Affairs or his delegate shall thereupon issue or cause to be issued & modified license.
(c) Exclusions: The Under Secretary of the Treasury for Monetary Affairs or his delegate may exclude particular persons or classes thereof from the operation of any section of the regulations in this part (except $ $ 54.28 to 54.30, inclusive) or licenses issued thereunder or from the privileges therein conferred. Such action shall be binding upon all persons receiving actual notice or constructive notice thereof. Any violation of the provisions of the regulations in this part or any license issued hereunder, shall constitute, but not by way of limitation, grounds for such exclusion.
(d) Requests for reconsideration: A written request for reconsideration of a denial of an application for a license, of a revocation, suspension, or modification of an existing license, or of an exclusion from the authorizations or privileges conferred in any section of the regulations in this part setting forth in detail the reasons for such request, may be addressed to the Under Secretary of the Treasury for Monetary Affairs, Treasury Department, Washington, D.C. 20220. In addition, upon written request, the Under Secretary or his delegate will schedule a hearing in the matter at which time there may be brought to the attention of the Treasury Department any information bearing thereon.
(e) No license issued hereunder shall exempt the licensee from the duty of complying with the legal requirements of any State or local authority.
(f) No license shall be issued to any person doing business under a name which in the opinion of the Secretary of the Treasury or the designated agency issuing the license, is designed or is likely to induce the belief that gold is purchased, treated, or sold on behalf of the United States or for the purpose of carrying out any policy of the United States. (19 F.R. 4309, July 14, 1954, as amended at 25 F.R. 12346, Dec. 2, 1960; 33 F.R. 5794, Apr. 16, 1968)
1 Regulations governing procedures for denying an application for a license, for revoking, suspending or modifying a license, and for excluding any person from the privileges conferred in the regulations in this part are set forth in § 93.10 of this chapter.