and delivery to the purchaser of a milk export payment certificate for the balance which may be used on a subsequent purchase from CCC. The date of export shown on the balance certificate will be the date shown on the original certificate, or if more than one certificate is applied to the purchase, the date of export shown on the balance certificate will be the latest date of export shown on a certificate applied to the purchase. The face value of the balance certificate will be determined by deducting from the total face value of the certificates surrendered to CCC, the purchase price of the commodity and any discount applicable to the portion of the certificates being applied to the purchase as provided in § 485.121.

MISCELLANEOUS PROVISIONS

The exporter warrants that no person or selling agency has been employed or retained to solicit or secure agreements as provided under § 485.107 upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee, excepting bona fide employees or bona fide established commercial agencies maintained by the exporter for the purpose of securing business. For breach or violation of this warranty, CCC shall have the right to annul the agreement without liability, or in its discretion, to deduct from the value which a certificate would otherwise have, the full amount of such commission, percentage, brokerage, or contingent fee, or to otherwise recover such full amount from the exporter.

§ 485.126 Performance guarantee.

CCC reserves the right to require the exporter to furnish a cash deposit, performance bond, or irrevocable commercial letter of credit, acceptable to CCC, to guarantee performance of any of his obligations under this subpart.

§ 485.127 Good faith.

If the Vice President, CCC, after affording the exporter an opportunity to present evidence determines that such exporter has not acted in good faith in connection with any transaction under this subpart, such exporter may be suspended from participation in this program for such period as the General Sales Manager may determine and may be denied the right to receive certificates

No exporter shall assign any right to any export payment under this subpart, except that certificates received by him may be transferred by endorsement as provided in § 485.120.

§ 485.129 Records and accounts.

Each exporter shall maintain accurate records showing all commodities exported or to be exported in connection with this program. Such records, accounts and other documents relating to any transaction in connection with this program shall be available during regular business hours for inspection and audit by authorized employees of the United States Department of Agriculture, and shall be preserved for three years after date of export.

§ 485.130 Reports.

The exporter shall file such reports as may be required from time to time by the CCC subject to the approval of the Bureau of the Budget.

§ 485.131 ASCS Commodity Offices.

(a) Information concerning this program may be obtained from representatives of the General Sales Manager:

(1) Joseph Reidinger, 80 Lafayette Street, New York 13, New York.

(2) Callan B. Duffy, Balboa Building, 593 Market Street, San Francisco 4, California.

(b) Information concerning this program or the purchase of milk, cheddar cheese, butter with milk export payment certificates may be obtained from the following offices:

(1) Cincinnati ASCS Commodity Office, U.S. Department of Agriculture, 222 East Central Parkway, Cincinnati 2, Ohio.

(2) Portland ASCS Commodity Office, U.S. Department of Agriculture, 1218 Southwest Washington Street, Portland 5, Oregon.

(c) Information concerning the purchase of rice with milk export payment certificates may be obtained from the following offices:

(1) Dallas ASCS Commodity Office, U.S. Department of Agriculture, 500 South Ervay Street, Dallas 1, Texas.

(2) Portland ASCS Commodity Office, U.S. Department of Agriculture, 1218 Southwest Washington Street, Portland 5, Oregon.

(d) Information concerning the purchase of feed grains and wheat may be obtained from the following offices:

(1) Dallas ASCS Commodity Office, U.S. Department of Agriculture, 500 South Ervay Street, Dallas 1, Texas.

(2) Evanston ASCS Commodity Office, U.S. Department of Agriculture, 2201 Howard Street, Evanston, Illinois.

(3) Kansas City ASCS Commodity Office, U.S. Department of Agriculture, Box 205, Kansas City 41, Missouri.

(4) Minneapolis ASCS Commodity Office, U.S. Department of Agriculture, 6400 France Avenue, South, Minneapolis 10, Minnesota.

(5) Portland ASCS Commodity Office, U.S. Department of Agriculture, 1218 Southwest Washington Street, Portland 5, Oregon.

§ 485.132 Officials not to benefit.

No member or delegate to Congress, or resident Commissioner, shall be admitted to any benefit that may arise from any provision of this program, but this provision shall not be construed to extend to a payment made to a corporation for its general benefit.

§ 485.133 Amendment and termination. This program may be amended or terminated by filing of such amendment or termination with the FEDERAL REGISTER for publication. Any such amendment or termination shall not be applicable to contracts made prior to the time such amendment or termination becomes effective.

of the United States and Puerto Rico excluding any country or area for which a license is required under regulations issued by the Bureau of International Programs, U.S. Department of Commerce, unless a license for shipment or transshipment thereto has been obtained from such Bureau.

§ 485.141

Export and exportation.

"Export" and "exportation" means, except as hereinafter provided, a shipment from the Continental United States destined to another area excluding Alaska, Hawaii, and Puerto Rico. The milk so shipped shall be deemed to have been exported on the date which appears on the applicable on-board vessel export bill of lading or other document authorized by this subpart to be furnished in lieu of such bill of lading, or if shipment from the Continental United States is by truck or rail, the date the shipment clears United States Customs. If milk is lost, destroyed, or damaged after loading on-board an export ship, exportation shall be deemed to have been made as of the date of the on-board ship ocean bill of lading or other document authorized by this subpart to be furnished in lieu of such bill of lading, or the latest date appearing on the loading tally sheet or similar documents if the loss, destruction, or damage occurs subsequent to loading aboard ship but prior to issuance of onboard ship ocean bill of lading or such other document: Provided, That if the "lost" or "damaged" milk remains in the United States, it shall be considered as reentered milk and shall be subject to the provisions of § 485.109(e).

§ 485.142 Exporter.

"Exporter" means an individual, corporation, partnership, association, or other business entity, which is regularly engaged in the business of buying and selling milk and for this purpose maintains a bona fide business office in the Continental United States and therein has a person, principal or resident agent upon whom service of process may be had.

§ 485.143 Milk or nonfat dry milk.

"Milk" or "nonfat dry milk" means U.S. Extra grade spray process nonfat dry milk (evidenced by USDA inspection certificates issued not earlier than 90 days prior to the date of export), produced and processed in the United States.

"Foreign buyer" as used in this subpart means the buyer (a) who is named in a Notice of Sale registered in accordance with § 485.106 as having a contract of sale with the exporter, and (b) who is the importer to the eligible country. Such foreign buyer must be a legal entity separate from the exporter, but may, however, be a foreign affiliate of the exporter. If the sale is made by the exporter with an agent or broker of the foreign buyer, the contract of sale must be in the name of the foreign buyer. § 485.146 Date of sale.

"Date of sale" as used in this subpart, and in certificates, as applied to contracts of purchase of dairy products from Commodity Credit Corporation means the date of the contract as defined in sales announcements LD-33 and LD-35.

The reporting and record-keeping requirements contained herein have been approved by the Bureau of the Budget in accordance with the Federal Reports Act of 1942.

APPENDIX

NOTICE TO EXPORTERS

The Department of Commerce, Bureau of International Programs (the Bureau of Foreign Commerce until August 9, 1961), pursuant to regulations under the Export Control Act of 1949, prohibits the exportation or re-exportation by anyone of any commodities (except absorbent cotton and sterilized gauze and bandages with respect to Cuba only) under this program to Cuba, the Soviet Bloc, or Communist-controlled area of the Far East

including Communist China, North Korea, and the Communist-controlled area of Vietnam, except under validated license issued by the U.S. Department of Commerce, Bureau of International Programs.

These regulations generally require that exporters, in or in connection with their contracts with foreign purchasers, where the contract involves $10,000 or more and exportation is to be made to a Group R country, obtain from the foreign purchaser a written acknowledgment of his understanding of (1) U.S. Commerce Department prohibitions (Comprehensive Export Schedule, 15 CFR 371.4 and 371.8) against sales or resale for re-export of said commodities, or any part thereof, without express Commerce Department authorization, to the Soviet Bloc, Communist China, North Korea or the Communist-controlled area of Vietnam or to Cuba, and (2) the sanction of denial of future U.S. export privileges that may be imposed for violation of the Commerce Department regulations. Exporters who have a continuing and regular relationship with a foreign purchaser may obtain a blanket acknowledgment from such purchaser covering all transactions involving surplus agricultural commodities and manufactures thereof purchased from CCC or subsidized for export by the Secretary of Agriculture or CCC. Where commodities are to be exported by a party other than the original purchaser of the commodities from the CCC the original purchaser should inform the exporter in writing of the requirements for obtaining the signed acknowledgment from the foreign purchaser.

For all exportations, one of the destination control statements specified in Commerce Department Regulations (Comprehensive Export Schedule, 15 CFR 379.10(c)) is required to be placed on all copies of the shipper's export declaration, all copies of the bill of lading, and all copies of the commercial invoices. For additional information as to which destination control statement to use, the exporter should communicate with the Bureau of International Programs or one of the field offices of the Department of Commerce.

Exporters should consult the applicable Commerce Department regulations for more detailed information if desired and for any changes that may be made therein.