Peking, May 15.
A decree prohibiting all Japanese banks im North China from handling yen-blot paper money was issued jointly yesterday by the Director of the North China Liaison Office of the Asia Development Board and the Japanese Financial Commissioner resident in Peking. The decree, which gives one month's grace, will go into effect on June 15.
It was revealed that this strict measure was taken because of the continued influx of a vast amount of yen-bloc notes into North China, It was estimated that last year alone the total aggregated Y.100,000,000 causing an unfavourable effect from the point of view of exchange control and the position of the Federal Reserve Bank notes.
The new official decree prohibits Japanese banks, including the Yokohama Specie Bank, the Bank of Chosen, the Tientsin Bank, the Tsinan Bank and the Central Bank of Manchoukuo, as well as other banking institutions, from paying out yen-bloc Currencies unless with the special permission of the authorities concerned.
Banks will be forbidden from receiving yen-bloc notes on and after June 15 unless they obtain special permission. All yen-bloc bank notes held by individuals and firms are ordered to send them to near
Text read from the printed page and cleaned; old type leaves the occasional error.