768 



concurring reply to this note. The subsequent instalhnents shall be 

 made at such dates and in such manner as the United States Govern- 

 ment and the FAO later agree. 



3. The FAO shall draw on letters of credit issued under paragraph 

 2 solely on the basis of such requirements for expenditure as arise 

 in carrying out the purposes of the Fund-in-Trust and shall return 

 to the United States Government any portion of the Fund-in-Trust 

 wliich is not so applied. In the event that the purpose of the Fund- 

 in-Trust can no longer be effectively carried out, the unexpended 

 portion of the funds shall be returned to the United States. Govern- 

 ment. The FAO also shall pay to the United States Government its 

 proportionate share of all refunds, rebates, and credits wliich it 

 receives in connection with the purposes of the Fund-in-Trust. 



4. The FAO shall be solely responsible for the arrangements to be 

 made with the Government of Vietnam, which has requested this aid, 

 and for the execution of the Project, and shall be free to delegate 

 and/or subcontract its responsibilities for all or any part of the 

 Project in accordance with the rules and practices of the FAO. 



5. The FAO shall furnish the United States Government an annual 

 report on the activities financed by this Fund-in-Trust and an annual 

 statement of account thereon. 



I propose that, if these terms are acceptable to the FAO, this note 

 and the FAO's concurring reply shall constitute an agreement between 

 the Government of the United States and the FAO, effective on the 

 date of such reply. 



Very truly yours, 



For the Secretary of State : 

 Walter Kotschistig 

 Deputy Assistant Secretary of State 

 for International Organization Affairs . 



The Director- General of the 



Food and Agriculture Organization 

 OF the United Nations. 



The Director-General of the Food and Agricultwe Organization to 



the Secretary of State 



organisation des nations organizacion de las naciones 



UNiEs pour l'alimentation unidas para la agricultura 



et l'agriculture y la alimentacion 



food and agriculture organization 



OP THE united nations 



43 Via de]le Terme dl Cables : Telex : Telephone : 



Caracalla ROME ^ FOODAGRI ROME 61181 FOODAGRI 5797 



Eef. 



26 IIay 1967 

 Sir, 



I have the honor to refer to your letter of 26 May 1967 which reads 

 as follows: 

 "Sir:^ 



"I inform you that the Government of the United States is pre- 

 pared to grant funds to the Food and Agriculture Organization of 

 the United Nations (the FAO) under the Freedom from Hunger 



