§ 88. Mr. Teeling
asked the Secretary of State for Foreign Affairs how many lire paid as compensation to British subjects under the Anglo-Italian Peace Treaty are at present held in blocked accounts in Italy; and what restrictions the Government imposes on the use of these funds by the owners in Italy.
§ Mr. Selwyn Lloyd
It is not possible to quote figures in respect of lire compensation held in blocked accounts in Italy. Claimants were under no obligation to present their claims through Her Majesty's Government and many were presented direct to the Italian Government. Compensation is paid direct to the claimant.
Under Article 78 of the Treaty all compensation is payable in lire in Italy and is made subject to the current exchange control regulations in force in that country. Up to the present these regulations 182W have not permitted transfer across the exchanges.
As with British-owned assets in other countries, owners of blocked accounts in Italy require the approval of the British Exchange Control Authorities before using these funds. The latter are prepared to allow such funds to be used in certain ways, such as for holidays.