54 STAT.] 76TH CONG. , 3D SESS.-CH. 693-AUG. 27, 1940 Stat. 973; U. S . C ., 1934 edition, Supp. V, title 49, sec. 401, and the following), the Postmaster General shall have heretofore fixed and put into effect, or shall hereafter fix and put into effect, the rates of compensation to be charged foreign countries for the transportation of their mail by air carriers and where the collections from such foreign countries of the amounts owing by them for such transporta- tion are required by such subsection to be made by the United States for the account of such air carriers, the Postmaster General may simplify and expedite the settlement of accounts for such carriage by offsetting against any balance due a foreign country resulting from the transaction of international money order business or otherwise, such amounts as may be then due from such country to the United States and to the United States for the account of such carriers; and the Postmaster General and the General Accounting Office shall thereupon give the foreign country involved the appropriate credit for such payment by offset, paying to the carrier that portion of the amount so charged as may be owing to the carrier for its services in transporting the mail of such foreign country and depositing as "miscellaneous postal receipts" that portion of the amount so charged as may be due the United States on its own account: Provided,That no adjustment of accounts authorized by this Act shall apply to appropriations for fiscal years prior to the fiscal year 1940: Provided further, That any adjustments made under the authority of this section shall be subject to the right of the United States to deduct from any sums due or thereafter becoming due to a carrier such amounts as may have been paid it on account of foreign countries which amounts, for any reason, the United States shall have been unable to collect, either by offset or otherwise, from the debtor country. SEC. 2 . In any case where collections are to be made by the United States from a foreign country for the transportation of mails of such countries for the account of an air carrier pursuant to section 405 (i) (2) of the Civil Aeronautics Act, whether such transportation occurred before or after the passage of this Act, the Postmaster Gen- eral, taking into consideration the state of the balance carried in the appropriation, in his discretion, is hereby authorized to make advances to such air carrier out of sums appropriated for "balances due foreign countries", upon determination by the Postmaster General from time to time of the amounts due from any such foreign coun- tries for transportation, and thereafter such amounts shall be collected by the United States from foreign countries by set-off, or otherwise, in the manner hereinbefore provided, and the appropriation for pay- ment of "balances due foreign countries" shall be reimbursed by collections so made by the United States: Provided, however, That if the United States shall fail to collect any such amount or any part of such amount from such foreign country owing same within twelve months after the United States has paid such amount to the carrier, the United States may deduct such uncollected amounts from any sums owing by it to the carrier. SEC. 3 . The General Accounting Office shall make the necessary credits and debits in the respective appropriations and accounts involved and adopt such procedure as may be necessary to conform to and effect the purposes of this Act. Approved, August 27, 1940. 863 52 Stat. 996. 49 U.S. C., Supp. V, 485 (i) (2). Settlement of ac- counts for carriage. Payment to carrier, etc. Proviss. Adjustments not applicable prior to fiscal year 1940. Adjustments sub- ject to deductions. Advances to carriers on foreign accounts. 52 Stat. 996. 49 U.S. C., Supp. V, § 485 (i) (2). Collectlon by set. on, etc. Proiso. Deduction of uncol- lected amounts from sums owing to carriers. Accounting.
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