Orig.

on

55249/2/45

Tel. No. Whitehall 9400

THE WAR OFFICE,

LONDON, S.W.1.

11th October, 1945.

35

124/Malaya/18 (C.A.1.)

Sir,

I am commanded by the Army Council to enclose herewith a draft interim directive, together with an explanatory memorandum, on matters relating to transactions in land and property in Malaya during the Japanese occupation.

As you will see from Para. 2 of the memorandum, the policy embodied in the draft directive may be summarized as follows:-

(a) to recognize voluntary transactions in land made inter vivos during the Japanese occupation between parties present in Malaya and at liberty to exercise their rights; but

(b) to refuse to recognize titles based on confiscation, duress or not in accordance with pre-occupation law;

(c) to restore their lands and premises to prisoners of war, internees and refugees (hereinafter, for brevity, referred to together as "war absentees");

(a) in the case of "war absentees" who are mortgagers or lessees to stop mortgage interest and rents running during the period of the Japanese occupation;

(e) to restore their premises (on terms) to "war absentee" lessees and tenants;

(f) to allow claims by "war absentee" owners against occupiers and trespassers for damage to premises or waste committed by them subject to a set-off of the value to the owner of permanent improve- ments made by occupiers or trespassers;

but

(g) to disallow claims for rents and profits accrued during the Japanese occupation.

The draft directive has not yet been approved as a whole and you are requested to forward your comments as early as possible. If, however, you see no objection, sub-Paras (a), (b), (c) and (e) above may now be regarded as approved policy and you are authorized to act accordingly.

Further consideration is being given to sub-Paras (d) and (f)

which

The Supreme Allied Commander,

South East Asia Command.

involve

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