On behalf of the industry I represent, I wish to express our thanks for this opportunity to express our views, and ask that this letter of support be inIcluded in the official record of any hearing held on S. 1499. Sincerely, CARL E. BAGGE, President. HON. JAMES O. EASTLAND, CHAMBER OF COMMERCE OF THE UNITED STATES, Chairman, Sumcommittee on Internal Security, DEAR MR. CHAIRMAN: The National Chamber is seriously concerned about Section 2(b) of your bili, S. 1503, which would repeal-perhaps inadvertently— the "commercial exemption" provisions of the Foreign Agents Registration Act, as amended in 1966. The National Chamber and a number of our member companies took an active interest in the development of the "commercial exemption" provisions of the 1966 legislation (S. 693 - 89th Congress). As you know, that legislation contained far-reaching amendments to the Foreign Agents Registration Act. making it imperative that the "commercial exemption" [Section 3(d)] be clarified in order to avoid the imposition of unrealistic, burdensome and unnecessary registration and reporting requirements in connection with bona fide business operations of U.S. companies with foreign affiliates. Accordingly, as enacted, Section 3(d) exempts from registration "any person engaging or agreeing to engage only (1) in private and non-political activities in furtherance of the bona fide trade or commerce of such foreign principal; or (2) in other activities not serving predominantly a foreign interest . Section 1(q) of the 1966 act further clarifies the "commercial exemption," particularly with regard to clause (2) quoted above. Unfortunately, Section 2(b) of the pending bill, S. 1503, has the effect of eliminating clause (2) of the present "commercial exemption" and thereby would also make Section 1(q) of the act inoperable. Thus, the current proposal would substantially narrow the exemption provided by Section 3(d) and would open the possibility that hundreds of U.S. companies might be required to register as foreign agents in order to conduct normal business discussions with government officials. The National Chamber believes that such a change in the "commercial exemption" would result in very serious problems for international business entities, without strengthening the internal security of the United States. We urge your Subcommittee to eliminate Section 2(b) of S. 1503 so as to continue the existing exemption for commercial operations. We will appreciate your consideration of this recommendation and request that it be made a part of the hearing record on this legislation. Cordially, HILTON DAVIS, Manager, Legislative Action. we INDEX (NOTE. The Senate Internal Security Subcommittee attaches no significance to the mere fact of the appearance of the name of an individual or organization in this index.) A Allen, Admiral_ . American Legion, The_ Page 210 216-218 S. 1499. A bill to amend title 18, United States Code, with respect to certain offenses against the security of the United States. 213, 216-219 S. 1500. A bill to amend the Immigration and Nationality Act, and for other purposes - S. 1501. A bill to amend titles 18 and 28, United States Code, with respect to proceedings before committees of the Congress, and for other purposes. S. 1502. A bill to amend the Internal Security Act of 1950, and for other purposes 217 217 189, 190 S. 1503. A bill to amend the Foreign Agents Registration Act of 1938.- 217, 219 S. 1504. A bill to provide for the internal security of the U.S. Government, and for other purposes- S. 2988. San Juan, P.R.. Secretary of Defense.. Secretary of State.. Shozan Maru (Japanese ship). Sinatra, Frank_. Smith Act- Smith Act Amendments_ 213, 217, 218 190, 202, 205 193, 194 204 217 194, 195, 196 212 212 216 189-219 216 212, 217 217 191, 192, 201, 209 209, 210 210 193, 197 |