may be applied such other standards or criteria as may be deemed necessary by the head of such department or agency, or official to carry out the policies of this Act [sections 2021-2032 of this Appendix]. (Feb. 26, 1949, ch. 11, § 4, 63 Stat. 8.) SURVEY OF IRON AND STEEL SCRAP AVAILABLE AND Section 2 of act June 29, 1956, ch. 473, 70 Stat. 408, directed the Secretary of Commerce to make a complete survey of the iron and steel scrap available and potentially available and to file with the Congress an interim report within three months and a final report not later than January 31, 1957. § 2025. Violations; penalties. (a) Except as provided in subsection (b) of this section, in case of any violation of any provision of this Act [sections 2021-2032 of this Appendix] or any regulation, order, or license issued hereunder, the violator or violators, upon conviction, shall be punished by a fine of not more than $10,000 or by imprisonment for not more than one year, or by both such fine and imprisonment. For a second or subsequent offense, the offender shall be punished by a fine of not more than three times the value of the exports involved or $20,000, whichever is greater, or by imprisonment for not more than five years, or by both such fine and imprisonment. (b) Whoever willfully exports any material contrary to any provision of this Act [sections 20212032 of this Appendix] or any regulation, order, or license issued hereunder, with knowledge that such exports will be used for the benefit of any Communist-dominated nations, shall be punished by a fine of not more than five times the value of the exports involved or $20,000, whichever is greater, or by imprisonment for not more than five years, or by both such fine and imprisonment. (Feb. 26, 1949, ch. 11, § 5, 63 Stat. 8; July 1, 1962, Pub. L. 87-515, § 5, 76 Stat. 128.) AMENDMENTS 1962 Subsec. (a). Pub. L. 87-515 designated existing provisions as subsec. (a), and provided penalties for second or subsequent offenses. Subsec. (b). Pub. L. 87-515 added subsec. (b). § 2026. Enforcement; compliance with requirements; disclosure of information. (a) To the extent necessary or appropriate to the enforcement of this Act [sections 2021-2032 of this Appendix], the head of any department or agency exercising any functions hereunder (and officers or employees of such department or agency specifically designated by the head thereof) may make such investigations and obtain such information from. require such reports or the keeping of such records by, make such inspection of the books, records, and other writings, premises, or property of, and take the sworn testimony of, any person. In addition, such officers or employees may administer oaths or affirmations, and may by subpena require any person to appear and testify or to appear and produce books, records, and other writings, or both, and in case of contumacy by, or refusal to obey a subpena issued to, any such person, the district court of the United States for any district in which such person is found or resides or transacts business, upon application and after notice to any such person and hearing shall have jurisdiction to issue an order requiring such person to appear and give testimony or to appear and produce books, records, and other writings, or both, and any failure to obey such order of the court may be punished by such court as a contempt thereof. (b) No person shall be excused from complying with any requirements under this section because of his privilege against self-incrimination, but the immunity provisions of the Compulsory Testimony Act of February 11, 1893 (27 Stat. 443) [section 46 of Title 49] shall apply with respect to any individual who specifically claims such privilege. (c) No department, agency, or official exercising any functions under this Act [sections 2021-2032 of this Appendix] shall publish or disclose information obtained hereunder which is deemed confidential or with reference to which a request for confidential treatment is made by the person furnishing such information unless the head of such department or agency determines that the withholding thereof is contrary to the national interest. (Feb. 26, 1949, ch. 11, § 6, 63 Stat. 8.) § 2027. Exemption from Administrative Procedure Act. The functions exercised under this Act [sections 2021-2032 of this Appendix] shall be excluded from the operation of the Administrative Procedure Act (60 Stat. 237) [chapter 19 of Title 51, except as to the requirements of section 3 thereof [section 1002 of Title 51. (Feb. 26, 1949, ch. 11, § 7, 63 Stat. 9.) § 2028. Quarterly reports. The head of any department or agency, or official exercising any functions under this Act [sections 2021-2032 of this Appendix] shall make a quarterly report, within forty-five days after each quarter, to the President and to the Congress of his operations hereunder. (Feb. 26, 1949, ch. 11, § 8, 63 Stat. 9.) § 2029. Definitions. The term "person" as used herein [sections 20212032 of the Appendix] shall include the singular and the plural and any individual, partnership, corporation, or other form of association, including any government or agency thereof. (Feb. 26, 1949, ch. 11, § 9, 63 Stat. 9.) § 2030. Effect on other Acts. The Act of February 15, 1936 (49 Stat. 1140) [former sections 86-88 of this title], relating to the licensing of exports of tin-plate scrap, is superseded; but nothing contained in this Act [sections 20212032 of this Appendix] shall be construed to modify, repeal, supersede, or otherwise affect the provisions of any other laws authorizing control over exports of any commodity. (Feb. 26, 1949, ch. 11, § 10, 63 Stat. 9.) § 2031. Effective date. This Act shall take effect February 28, 1949, upon the expiration of section 6 of the Act of July 2, 1940 (54 Stat. 714), as amended [former section 701 of this Appendix]. All outstanding delegations, rules, regulations, orders, licenses, or other forms of administrative action under said section 6 of the Act of July 2, 1940 [former section 701 of this Appendix], shall, until amended or revoked, remain in full force The authority granted herein [sections 2021--2032 of this Appendix] shall terminate on June 30, 1965, or upon any prior date which the Congress by concurrent resolution or the President may designate. (Feb. 26, 1949, ch. 11, § 12, 63 Stat. 9; May 16, 1951, ch. 83, 65 Stat. 43; June 16, 1953, ch. 116, 67 Stat. 62; June 29, 1956, ch. 473, § 1, 70 Stat. 407; June 25, 1958, Pub. L. 85-466, 72 Stat. 220; May 13, 1960, Pub. L. 86-464, 74 Stat. 130; July 1, 1962, Pub. L. 87515, 1, 76 Stat. 127.) AMENDMENTS 1962-Pub. L. 87-515 extended termination date from June 30, 1962, to June 30, 1965. 1960-Pub. L. 86-464, extended termination date from June 30, 1960, to June 30, 1962. 1958-Pub. L. 85-466 extended termination date from June 30, 1958, to June 30, 1960. 1956-Act June 29, 1956, extended termination date from June 30, 1956, to June 30, 1958. 1953-Act June 16, 1953, extended termination date from June 30, 1953 to June 30, 1956. 1951-Act May 16, 1951, extended termination date from June 30, 1951 to June 30, 1953. ALIEN PROPERTY DAMAGE CLAIMS ACT MAR. 15, 1949, CH. 19, 63 STAT. 12 SS 2041-2045. Omitted. Sec. 2093. Purchase of raw materials and installation of equipment Continued (c) Subsidy payments on domestically produced (d) Transportation, storage, and processing. (f) Transfer of excess materials to national (g) Development of substitutes for strategic and critical materials. 2094. Utilization and creation of agencies; borrowing from Treasury; revolving fund; contingent liability of United States. TITLE IV-PRICE AND WAGE STABILIZATION 2101-2112. Omitted. TITLE V-SETTLEMENT OF LABOR DISPUTES 2121-2123. Omitted. TITLE VI-CONTROL OF REAL ESTATE CREDIT 2131. Repealed. 2132-2137. Omitted. 2156. Jurisdiction of courts; injunctions; venue; process: effect of termination of Act. 2157. Liability for compliance with invalid regulations; discrimination against orders or contracts affected by priorities or allocations. 2158. Voluntary agreements and programs; exemptions from anti-trust laws and Federal Trade Commission Act; surveys and reports to Congress; termination. 2159. Exemption from Administrative Procedure Act; statements in rules, regulations, and orders as to consultation with industry representatives. 2160. Employment of personnel; appointment policies; nucleus executive reserve; use of confidential information by employees; printing and distribution of reports. 2161. Appropriations authorized; availability of funds. 2162. Joint Committee on Defense Production. 2163. Territorial application of Act. 2163a. Small Defense Plants Administration. 2164. Separability of provisions. 2165. Persons disqualified for employment; penalties. 2166. Termination of Act. AMENDMENTS 1952-Act June 30, 1952, ch. 530, title I, § 116 (a), 66 Stat. 305, in title heading in table of contents struck out "Consumer And" in title VI. 1951-Act July 31, 1951, ch. 275, title I, § 107, 65 Stat. 138, amended heading of title II by adding "And Condemn". § 2061. Short title. This Act [sections 2061, 2062, 2071-2073, 20912094, 2151-2163 and 2164-2166 of this Appendix], divided into titles, may be cited as "the Defense Production Act of 1950". (Sept. 8, 1950, ch. 932, § 1, 64 Stat. 798.) TERMINATION DATE Termination of sections 2061, 2062, 2071-2073, 20912094, 2151-2163 and 2164-2166 of this Appendix, see section 2166 of this Appendix. § 2062. Declaration of policy. In view of the present international situation and in order to provide for the national defense and national security, our mobilization effort continues to require some diversion of certain materials and facilities from civilian use to military and related purposes. It also requires the development of preparedness programs and the expansion of productive capacity and supply beyond the levels needed to meet the civilian demand, in order to reduce the time required for full mobilization in the event of an attack on the United States. In order to insure productive capacity in the event of such an attack on the United States, it is the policy of the Congress to encourage the geographical dispersal of the industrial facilities of the United States in the interest of the national defense, and to discourage the concentration of such productive facilities within limited geographical areas which are vulnerable to attack by an enemy of the United States. In the construction of any Governmentowned industrial facilities, in the rendition of any Government financial assistance for the construction, expansion, or improvement of any industrial facilities, and in the procurement of goods and services, under this or any other Act, each department and agency of the Executive Branch shall apply, under the coordination of the Office of Defense Mobilization, when practicable and consistent with existing law and the desirability for maintaining a sound economy, the principle of the geographical dispersal of such facilities in the interest of national defense. Nothing contained in this paragraph shall preclude the use of existing industrial facilities. (Sept. 8, 1950, ch. 932, § 2, 64 Stat. 798; June 30, 1953, ch. 171, § 2, 67 Stat. 129; Aug. 9, 1955, ch. 655, § 2, 69 Stat. 580; June 29, 1956, ch. 474, § 4, 70 Stat. 408.) REFERENCES IN TEXT This Act, referred to in the text, means the Defense Production Act of 1950, which is classified to sections 2061. 2062, 2071-2073, 2091-2094, 2151-2163 and 2164-2166 of this Appendix. AMENDMENTS 1956-Act June 29, 1956 inserted paragraph relating to encouragement of the geographical dispersal of the industrial facilities of the United States. 1955-Act Aug. 9, 1955 provided that the mobilization effort requires the development of preparedness programs and the expansion of productive capacity and supply in order to reduce the time required for full mobilization. 1953-Act June 30, 1953, amended section generally to make it conform to the more limited scope of sections 2061, 2062, 2071-2073, 2091-2094, 2151-2163 and 21642166 of this Appendix. EFFECTIVE DATE OF 1955 AMENDMENT Section 11 of act Aug. 9, 1955, provided that the amendments made by act Aug. 9, 1955, to sections 2062, 2093 (g), 2151 (c), (d), 2158 (b), (d), (e), 2160 (b), (e-g), 2162 (c), (e), and 2166 (a) of this Appendix shall take effect as of the close of July 31, 1955. SHORT TITLE OF 1955 AMENDMENT Section 1 of act Aug. 9, 1955, provided that act Aug. 9, 1955, which enacted amendments to this section and sections 2093 (g), 2151 (c), (d), 2158 (b), (d), (e), 2160 (b), (e-g), 2162 (c), (e), and 2166(a) of this Appendix, should be popularly known as the "Defense Production Act Amendments of 1955". SHORT TITLE OF 1953 AMENDMENT Section 1 of act June 30, 1953, provided that act June 30, 1953, which enacted amendments to this section and sections 2071, 2091(a), 2093 (b), (f), 2151(c), 2152(d), 2155 (e), former section 2163a, and section 2166(a) of this Appendix, should be popularly known as the "Defense Production Act Amendments of 1953." TRANSFER OF FUNCTIONS Functions of the Office of Defense Mobilization were transferred to the President of the United States by section 1 of 1958 Reorg. Plan No. 1, eff. July 1, 1958, 23 F.R. 4991, 72 Stat. 1799, as amended by Pub. L. 85–763, Aug. 26, 1958, 72 Stat. 861; Pub. L. 87-296, § 1, Sept. 22, 1961, 75 Stat. 630; Pub. L. 87-367, title I, § 103 (10), Oct. 4, 1961, 75 Stat. 788; Pub. L. 88-426, title III, § 305 (11), Aug. 14, 1964, 78 Stat. 423, set out as a note under section 2271 of this Appendix, and the Office of Defense Mobilization was consolidated with the Federal Civil Defense Administration to form the Office of Emergency Planning in the Executive Office of the President. TITLE I-PRIORITIES AND ALLOCATIONS § 2071. Priority in contracts and orders. The President is authorized (1) to require that performance under contracts or orders (other than contracts of employment) which he deems necessary or appropriate to promote the national defense shall take priority over performance under any other contract or order, and, for the purpose of assuring such priority, to require acceptance and performance of such contracts or orders in preference to other contracts or orders by any person he finds to be capable of their performance, and (2) to allocate materials and facilities in such manner, upon such conditions, and to such extent as he shall deem necessary or appropriate to promote the national defense. (b) Critical and strategic materials. The powers granted in this section shall not be used to control the general distribution of any material in the civilian market unless the President finds (1) that such material is a scarce and critical material essential to the national defense, and (2) that the requirements of the national defense for such material cannot otherwise be met without creating a significant dislocation of the normal distribution of such material in the civilian market to uch a degree as to create appreciable hardship. (Sept. 8, 1950, ch. 932, title I, § 101, 64 Stat. 799; July 31, 1951, ch. 275, title I, § 101(a), 65 Stat. 132; June 30, 1952, ch. 530, title I, §§ 101, 102, 66 Stat. 296; June 30, 1953, ch. 171, § 3, 67 Stat. 129.) AMENDMENTS 1953-Subsec. (a). Act June 30, 1953 eliminated the provisions which related to the slaughtering of livestock and allocation of meat and meat products. Subsec. (b). Act June 30, 1953, retained priorities and allocation authority for defense production but generally to discontinue such authority with respect to the civilian market except in respect to the civilian market except in the special cases where, because of shortages and demands of the defense effort, there otherwise would be a significant dislocation in the civilian market resulting in appreciable hardship. 1952-Act June 30, 1952, redesignated former section subsec. (a) and added provisions relating to meat and meat products, and added subsec. (b). 1951-Act July 31, 1951, added provision relating to slaughtering of livestock. SHORT TITLE Section 1 of act June 30, 1952, provided that act June 30, 1952, which amended the Defense Production Act of 1950, generally, should be popularly known as the "Defense Production Act Amendments of 1952". For distribution of act June 30, 1952, see Tables Volume. Section 1 of act July 31, 1951, provided that act July 31, 1951, which enacted amendments of sections 1884, 1892-1896, 1898, 1899, 2071, 2072, 2074, 2081, 2093, 2094, 2102, 2103, 2105, 2109, 2122, 2123, 2131, 2133, 2135, 2151, 2153-2156, 2160, and 2163a-2166 of this Appendix and repealing section 694f of Title 38, Pensions, Bonuses, and Veterans' Relief, should be known as the "Defense Production Act Amendments of 1951." TERMINATION DATE Termination of this section on June 30, 1966, see section 2166 (a) of this Appendix. CROSS REFERENCES Discrimination against orders or contracts affected by priorities or allocations prohibited, see section 2157 of this Appendix. Ex. ORD. No. 10161 Ex. Ord. No. 10161, Sept. 9, 1950, 15 F. R. 6105, as amended by Ex. Ord. No. 10200, Jan. 3, 1951, 16 F. R. 61; Ex. Ord. No. 10233, Apr. 23, 1951, 16 F. R. 3503; Ex. Ord. No. 10281, Aug. 28, 1951, 16 F. R. 8789; Ex. Ord. No. 10301, Nov. 5, 1951, 16 F. R. 11257; Ex. Ord. No. 10324, Feb. 6. 1952, 17 F. R. 1171; Ex. Ord. No. 10359, June 9, 1952, 17 F. R. 5269; Ex. Ord. No. 10373, July 15, 1952, 17 F. R. 6425; Ex. Ord. No. 10377, July 28, 1952, 17 F. R. 6891; Ex. Ord. No. 10390, Sept. 2, 1952, 17 F. R. 7995; and Ex. Ord. No. 10433, Feb. 4, 1953, 18 F.R. 761, which related to delegation of President's functions, was revoked by Ex. Ord. No. 10480, Aug. 18, 1953, 18 F.R. 4939 set out as a note under section 2153 of this Appendix. ESTABLISHMENT AND FUNCTIONS OF NATIONAL PRODUCTION AUTHORITY Secretary of Commerce by F. R. Doc. 50-8068, filed Sept. 13, 1950, 15 F. R. 6182, provided as follows: "Section 1. Purpose. The purpose of this notice is to establish the organization necessary to carry out the functions assigned to the Secretary of Commerce by Executive Order 10161, 'Delegating Certain Functions of the President Under the Defense Production Act [see note under this section],' and is issued pursuant to the authority vested in the Secretary by such order and by Reorganization Plan No. 5 of 1950 [set out as a note under section 133z-15 of Title 5]. "Section 2. Establishment of National Production Authority. There is hereby established in the Department of Commerce a National Production Authority which shall be headed by an Administrator appointed by the Secretary. The National Production Administrator shall report and be responsible to the Secretary. "The National Production Authority shall perform the functions and exercise the powers vested in the Secretary of Commerce by Executive Order 10161, 'Delegating Certain Functions of the President Under the Defense Production Act of 1950 [see note under this section].' These functions shall include but not be limited to: (1) Determination of the requirements for materials and commodities needed for defense, civilian, foreign, and all other purposes; and (2) formulation and execution of the policies and programs necessary for the fulfillment of such requirements. "Section 3. Establishment and functions of the Advisory Committee on Priorities Administration. There is hereby established an Advisory Committee on Priorities Administration consisting of the Administrator as Chairman and representatives from the following agencies and such other agencies as the Secretary may designate from time to time: (1) Department of Defense; (2) Department of the Interior; (3) Department of Agriculture; (4) Department of State; (5) Department of Labor; (6) Department of the Treasury; (7) Office of International Trade (Department of Commerce); (8) Economic Cooperation Administration; (9) Atomic Energy Commission; and (10) Housing and Home Finance Agency. "The National Security Resources Board shall be invited to designate an observer to attend all meetings of the Advisory Committee on Priorities Administration. "The Advisory Committee on Priorities Administration shall serve in an advisory capacity with respect to policy and program matters affecting the interests of the represented agencies. More specifically, the Committee shall: (1) Consider all factors relevant to the determination of the direct and indirect military, civilian, and foreign requirements for essential and critical raw materals and industrial products; (2) recommend programs for the production and allocation of such materials and products; and (3) review proposed orders and regulations and perform such other functions as the Chairman may assign. "The Administrator, as Chairman, is authorized to: (1) Establish such subcommittees and working groups subsidiary to the Committee as he may determine to be necessary; and (2) establish rules and regulations governing the procedures and operations of the Committee and its sub-groups. "Section 4. Organizational adjustments. The following industry divisions of the Office of Industry and Commerce of the Bureau of Foreign and Domestic Commerce, together with their personnel, are transferred to the National Production Authority: Iron and Steel; Metals and Minerals; Rubber; Textiles and Leather; Chemicals; Forest Products; Construction; Machinery and Equipment; General Products; Motion Pictures; Food; Petroleum; Fuels and Energy. "The Division of Small Business and the Marketing Division of the Office of Induɛtry and Commerce are transferred to the National Production Authority, together with related personnel. "Section 5. Administrative and Field Services. Pending further development of the organization and facilities of the National Production Authority and until otherwise directed, the central personnel, accounting, information, and other administrative service facilities of the Office of the Secretary shall provide administrative and other services to the National Production Authority. "In addition, any necessary field services will be provided by the Department Field Service pending development of a sufficient volume of field work to justify separate field offices for the National Production Authority. "Section 6. Reemployment rights. All permanent employees of the Office of Industry and Commerce who are transferred by the terms of this order to the National Production Authority and who remain with that organization and perform satisfactory service shall be entitled to reemployment rights in an appropriate position of at least the same grade held on the effective date of this order, when the transferred functions are returned to that Office. Other permanent employees of the Department who are transferred individually to the National Production Authority shall be entitled to reemployment rights under the same terms in the bureau or office from which transferred when their services are no longer needed in the National Production Authority. "Section 7. Internal organization. The temporary internal organization of the National Production Authority shall consist of the following: (1) Administrator; (2) Deputy Administrator; (3) General Counsel; (4) Executive Officer; (5) Director of Public Information; (6) Office of Civilian Requirements; (7) Office of Labor Production; (8) Office of Manpower Requirements; (9) Office of Small Business; (10) Assistant Administrator for Program Determination; and (11) Assistant Administrator for Industry Operations. "Section 8. Status in the Department. The National Production Authority shall operate as a primary organization unit of the Department of Commerce and shall be administered in conformance with established Departmental policies, regulations and procedures as set forth in the Department of Commerce 'Manual of Orders.' "Section 9. Records transfer. All records remaining in the custody of the Department of Commerce relating to the War Production Board and its predecessor and successor agencies and transferred to the Department by Executive Order 9841 of April 23, 1947, are transferred to the custody and use of the National Production Authority." § 2072. Hoarding of designated scarce materials. In order to prevent hoarding, no person shall accumulate (1) in excess of the reasonable demands of business, personal, or home consumption, or (2) for the purpose of resale at prices in excess of prevailing market prices, materials which have been designated by the President as scarce materials or materials the supply of which would be threatened by such accumulation. The President shall order published in the Federal Register, and in such other manner as he may deem appropriate, every designation of materials the accumulation of which is unlawful and any withdrawal of such designation. In making such designations the President may prescribe such conditions with respect to the accumulation of materials in excess of the reasonable demands of business, personal, or home consumption as he deems necessary to carry out the objectives of this Act [sections 2061, 2062, 2071-2073, 20912094, 2151-2163 and 2164-2166 of this Appendix]. This section shall not be construed to limit the authority contained in sections 101 and 704 of this Act [sections 2071 and 2154 of this Appendix). (Sept. 8, 1950, ch. 932, title I, § 102, 64 Stat. 799; July 31, 1951, ch. 275, title I, § 101(b), 65 Stat. 132.) AMENDMENTS 1951-Act July 31, 1951, authorized the President to prescribe conditions and exceptions allowing the maintenance of substantial inventories of critical materials in certain cases. TERMINATION Date Termination of this section on June 30, 1966, see section 2166(a) of this Appendix. § 2073. Penalties. Any person who willfully performs any act prohibited, or willfully fails to perform any act required, by the provisions of this title [sections 20712073 of this Appendix] or any rule, regulation, or order thereunder, shall, upon conviction, be fined not more than $10,000 or imprisoned for not more than one year, or both. (Sept. 8, 1950, ch. 932, title I, § 103, 64 Stat. 799.) TERMINATION DATE Termination of this section on June 30, 1966, see section 2166(a) of this Appendix. § 2074. Limitation on import of fats and oils; termination date; exercise of authority. CODIFICATION Section, act Sept. 8, 1950, ch. 932, title I, § 104, as added July 31, 1951, ch. 275, title I, § 101 (c), 65 Stat. 132, and amended June 30, 1952, ch. 530, § 103, 66 Stat. 297, terminated on June 30, 1953 by the terms of section 2166 (a) of this Appendix, and has been omitted from the Code. TITLE II-AUTHORITY TO REQUISITION AND CONDEMN AMENDMENTS 1951-Act July 31, 1951, ch. 275, title I, § 102 (a), 65 Stat. 132, in heading added "And Condemn". § 2081. Requisition of property needed for national defense. CODIFICATION Section, acts Sept. 8, 1950, ch. 932, title II, § 201, 64 Stat. 799; July 31, 1951, ch. 275, title I, § 102 (b), 65 Stat. 132, terminated on June 30, 1953, by the terms of section 2166 (a) of this Appendix, and has been omitted from the Code. TITLE III-EXPANSION OF PRODUCTIVE CAPACITY AND SUPPLY § 2091. Loan guarantees. (a) Purpose of loans; guaranteeing agencies. In order to expedite production and deliveries or services under Government contracts, the President may authorize, subject to such regulations as he may prescribe, the Department of the Army, the Department of the Navy, the Department of the Air Force, the Department of Commerce, and such other agencies of the United States engaged in procurement for the national defense as he may designate (hereinafter referred to as "guaranteeing agencies"), without regard to provisions of law relating to the making, performance, amendment, or modification of contracts, to guarantee in whole or in part any public or private financing institution (including any Federal Reserve bank), by commitment to purchase, agreement to share losses, or otherwise, against loss of principal or interest on any loan, discount, or advance, or on any commitment in connection therewith, which may be made by such financing institution for the purpose of financing any contractor, subcontractor, or other person in connection with the performance of any contract or other operation deemed by the guaranteeing agency to be necessary to expedite production and deliveries or services under Government contracts for the procurement of materials or the performance of services for the national defense, or for the purpose of financing any contractor, subcontractor, or other person in connection with or in contemplation of the termination, in the interest of the United States, of any contract made for the national defense; but no small-business concern (as defined in section 714 (a) (1) of this Act) shall be held ineligible for the issuance of such a guaranty by reason of alternative sources of supply. (b) Fiscal agents; accountability; reimbursement. Any Federal agency or any Federal Reserve bank, when designated by the President, is authorized to act, on behalf of any guaranteeing agency, as fiscal agent of the United States in the making of such contracts of guarantee and in otherwise carrying out the purposes of this section. All such funds as may be necessary to enable any such fiscal agent to carry out any guarantee made by it on behalf of any guaranteeing agency shall be supplied and disbursed by or under authority from such guaranteeing agency. No such fiscal agent shall have any responsibility or accountability except as agent in taking any action pursuant to or under authority of the provisions of this section. Each such fiscal agent shall be reimbursed by each guaranteeing agency for all expenses and losses incurred by such fiscal agent in acting as agent on behalf of such guaranteeing agency, including among such expenses, notwithstanding any other provision of law, attorneys' fees and expenses of litigation. (c) Supervision; interest, fees, procedures. All actions and operations of such fiscal agents under authority of or pursuant to this section shall be subject to the supervision of the President, and to such regulations as he may prescribe; and the |