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supported by substantial evidence, shall be conclusive unless it shall clearly appear that the findings of the Secretary are arbitrary or capricious. The court's judgments shall be final, subject, however, to review by the Supreme Court of the United States, upon writ of certiorari on petition therefor, under section 347 of Title 28, as amended, by appellant, by the Secretary, or by any interested party intervening in the appeal.

(f) Same; costs.—The court may, in its discretion, enter judgment for costs in favor of or against an appellant, and other interested parties intervening in said appeal, but not against the Secretary, depending upon the nature of the issues involved in such appeal and the outcome thereof.

(g) Philippine allotments.—The Government of the Commonwealth of the Philippine Islands shall make allotments of any quota established for it pursuant to the provisions of this chapter on the basis specified in section 1236 (d) of Title 48. (Sept. 1, 1937, ch. 898, title II, $ 205, 50 Stat. 906.)

CROSS REFERENCE Delegation of regulatory functions of Secretary of Agriculture, see section 516a et seq. of Title 5, Executive Departments and Government Officers and Employees.

8 1116. Temporary quotas.

Section, act Sept. 1, 1937, ch. 898, title II, § 206, 50 Stat. 907, provided temporary sugar quotas until quotas for calendar year 1937 could be estalished, which was to be within sixty days after enactment of section.

8 1117. Amount of quota to be filled by direct-consumption(a) Hawaii.—Not more than twenty-nine thousand six hundred and sixteen short tons, raw value, of the quota for Hawaii for each of the calendar years 1937, 1938, and 1939 may be filled by direct-consumption sugar; and not more than four thousand nine hundred and thirty-six short tons, raw value, of the quota for Hawaii for the calendar year 1940 may be filled, during the first two months of such year, by direct-consumption sugar. This subsection is hereby extended so that not more than twenty-nine thousand six hundred and sixteen short tons, raw value, of the quota for Hawaii for any calendar year may be filled by directconsumption sugar: Provided, however, That the amount of said quota which may be filled by direct-consumption sugar for the calendar year 1940 shall not be less than the quantity of directconsumption sugar from Hawaii actually brought into the continental United States, for consumption therein, after December 31, 1939, and up to and including October 15, 1940.

(b) Puerto Rico.—Not more than one hundred and twenty-six thousand and thirty-three short tons, raw value, of the quota for Puerto Rico for each of the calendar years 1937, 1938, and 1939 may be filled by direct-consumption sugar; and not more than twenty-one thousand and six short tons, raw value, of the quota for Puerto Rico for the calendar year 1940 may be filled, during the first two months of such year, by direct-consumption sugar. This subsection is hereby extended so that not more than one hundred and twenty-six thousand and thirty-three short tons, raw value, of the quota for Puerto Rico for any calendar year may

Country

be filled by direct-consumption sugar: Provided, however, That the amount of said quota which may be filled by direct-consumption sugar for the calendar year 1940 shall not be less than the quantity of direct-consumption sugar from Puerto Rico actually brought into the continental United States, for consumption therein, after December 31, 1939, and up to and including October 15, 1940.

(c) Virgin Islands.—None of the quota for the Virgin Islands for any calendar year may be filled by direct-consumption sugar.

(d) Philippine Islands.-Not more than eighty thousand two hundred and fourteen short tons, raw value, of the quota for the Commonwealth of the Philippine Islands for any calendar year may be filled by direct-consumption sugar.

(e) Cuba.--Not more than three hundred and seventy-five thousand short tons raw value of the quota for Cuba for any calendar year may be filled by direct-consumption sugar.

(f) Hawaiian and Puerto Rican local consumption.—This section shall not apply with respect to the quotas established under section 1113 of this title for marketing for local consumption in Hawaii and Puerto Rico. (Sept. 1, 1937, ch. 898, title II, § 207, 50 Stat. 907; Oct. 15, 1940, ch. 887, SS 4, 5, 54 Stat. 1178.)

$ 1118. Liquid sugar foreign quotas.-Quotas for liquid sugar for foreign countries for each calendar year are hereby established as follows:

In terms of wine gallons of

72% total sugar content Cuba..

7,970,558 Dominican Republic...

830,894 Other foreign countries..

0 (Sept. 1, 1937, ch. 898, title II, § 208, 50 Stat. 908.)

Section as originally enacted contained a paragraph affecting the liquid sugar foreign quotas for calendar year 1937.

8 1119. Prohibited acts.-All persons are hereby prohibited(a) Importation in excess of foreign quotas.-From bringing or importing into the continental United States from the Territory of Hawaii, Puerto Rico, the Virgin Islands, the Commonwealth of the Philippine Islands, or foreign countries, any sugar or liquid sugar after the quota for such area, or the proration of any such quota, has been filled;

(b) Transportation in excess of domestic quota.–From shipping, transporting, or marketing in interstate commerce, or in competition with sugar or liquid sugar shipped, transported, or marketed in interstate or foreign commerce, any sugar or liquid sugar produced from sugar beets or sugarcane grown in either the domestic-beet-sugar area or the mainland-cane-sugar area after the quota for such area has been filled;

(c) Marketing in Hawaii and Puerto Rico in excess of quotas therefor.-From marketing in either the Territory of Hawaii or Puerto Rico, for consumption therein, any sugar or liquid sugar after the quota therefor has been filled;

(d) Exceeding allotments or prorations.-From exceeding allotments of any quota or proration thereof made to them pursuant to the provisions of this chapter. (Sept. 1, 1937, ch. 898, title II, § 209, 50 Stat. 908.)

§ 1120. Terminology of determinations—(a) Raw value to govern.- The determinations provided for in sections 1111 and 1113 of this title, and all quotas, prorations, and allotments, except quotas established pursuant to the provisions of section 1118 of this title, shall be made or established in terms of raw value.

(b) Sugar to include liquid sugar.--For the purposes of this subchapter, liquid sugar, except that imported from foreign countries, shall be included with sugar in making the determinations provided for in sections 1111 and 1113 of this title and in the establishment or revision of quotas, prorations, and allotments. (Sept. 1, 1937, ch. 898, title II, § 210, 50 Stat. 908.)

§ 1121. Credit against quota; nature of sugar for domestic quota-(a) Credit upon exportation of imported sugar.-The rawvalue equivalent of any sugar or liquid sugar in any form, including sugar or liquid sugar in manufactured products, exported from the continental United States under the provisions of section 1313 of Title 19 shall be credited against any charges which shall have been made in respect to the applicable quota or proration for the country of origin. The country of origin of sugar or liquid sugar in respect to which any credit shall be established shall be that country in respect to importation from which drawback of the exported sugar or liquid sugar has been claimed. Sugar or liquid sugar entered into the continental United States under an applicable bond established pursuant to orders or regulations issued by the Secretary, for the express purpose of subsequently exporting the equivalent quantity of sugar or liquid sugar as such, or in manufactured articles, shall not be charged against the applicable quota or proration for the country of origin.

(b) Exportation defined. Exportation within the meaning of sections 1309 and 1313 of Title 19 shall be considered to be exportation within the meaning of this section.

(c) Domestic quota to be filled with products of local beets and cane.--The quota established for any domestic sugar producing area may be filled only with sugar or liquid sugar produced from sugar beets or sugarcane grown in such area: Provided, however, That any sugar or liquid sugar admitted free of duty from the Virgin Islands under section 1394 of Title 48 may be admitted within the quota for the Virgin Islands. (Sept. 1, 1937, ch. 898, title II, $ 211, 50 Stat. 909.)

$ 1122. Exceptions to quota provisions. The provisions of this subchapter shall not apply to (1) the first ten short tons, raw value, of sugar or liquid sugar imported from any foreign country, other than Cuba, in any calendar year; (2) the first ten short tons, raw value, of sugar or liquid sugar imported from any foreign country, other than Cuba, in any calendar year for religious, sacramental, educational, or experimental purposes; (3) liquid sugar imported from any foreign country, other than Cuba, in individual sealed container of such capacity as the Secretary may determine, not in excess of one and one-tenth gallons each; or (4) any sugar or liquid sugar imported, brought into, or produced or manufactured in the United States for the distillation of alcohol, or for livestock feed, or for the production of livestock feed. (Sept. 1, 1937, ch. 898, title II, § 212, 50 Stat. 909.)

PROCLAMATION No. 2551

April 13, 1942, 7 F. R. 2826
SUSPENSION OF OPERATION OF SECTIONS 1111-1122
Proclamation provided in part:

"Whenever the President finds and proclaims that a national economic or other emergency exists with respect to sugar or liquid sugar, he shall by proclamation suspend the operation of title II or III above, which he determines, on the basis of such findings, should be suspended, and, thereafter, the operation of any such title shall continue in suspense until the President finds and proclaims that the facts which occasioned such suspension no longer exist. :; and

"WHEREAS the outbreak of war has resulted in dislocation of sugar supplies from certain customary sources; and a shortage of sugar required to meet the needs of consumers; and

"WHEREAS such dislocation of supplies has brought about a shortage of sugar required to meet the needs of consumers; and

“WHEREAS it is possible to obtain sugar from areas not included, or not adequately

included, in the quota provisions of that Act: "Now, THEREFORE, I, FRANKLIN D. ROOSEVELT, President of the United States of America, acting under and by virtue of the authority vested in me by the foregoing provision of the Sugar Act of 1937, as amended, do hereby find and proclaim that a national economic emergency exists with respect to sugar and do by this proclamation suspend the operation of title II of that Act."

SUBCHAPTER III.-CONDITIONAL-PAYMENT PROVISIONS § 1131. Conditions of production. The Secretary is authorized to make payments on the following conditions with respect to sugar or liquid sugar commercially recoverable from the sugar beets or sugarcane grown on a farm for the extraction of sugar or liquid sugar:

(a) Child labor.—That no child under the age of fourteen years shall have been employed or permitted to work on the farm, whether for gain to such child or any other person, in the production, cultivation, or harvesting of a crop of sugar beets or sugar cane with respect to which application for payment is made, except a member of the immediate family of a person who was the legal owner of not less than 40 per centum of the crop at the time such work was performed; and that no child between the ages of fourteen and sixteen years shall have been employed or permitted to do such work, whether for gain to such child or any other person, for a longer period than eight hours in any one day, except a member of the immediate family of a person who was the legal owner of not less than 40 per centum of the crop at the time such work was performed. The Secretary is authorized to make payments, notwithstanding a failure to comply with the conditions provided in this subsection, but the payment made with respect to any crop shall be subject to a deduction of $10 for each child for each day, or a portion of a day, during which such child was employed or permitted to work contrary to the foregoing provisions of this subsection, in the 1940, and subsequent crops.

(b) Wage standards.—That all persons employed on the farm in the production, cultivation, or harvesting of sugar beets or sugarcane with respect to which an application for payment is made shall have been paid in full for all such work, and shall

have been paid wages therefor at rates not less than those that may be determined by the Secretary to be fair and reasonable after investigation and due notice and opportunity for public hearing; and in making such determinations the Secretary shall take into consideration the standards therefor formerly established by him under sections 601-608, 608a-608c, 608d-612, 613619, 620, 623, 624 of this title, and the differences in conditions among various producing areas: Provided, however, That a payment which would be payable except for the foregoing provisions of this subsection may be made, as the Secretary may determine, in such manner that the laborer will receive an amount, insofar as such payment will suffice, equal to the amount of the accrued unpaid wages for such work, and that the producer will receive the remainder, if any, of such payment.

(c) Proportionate share production.—That there shall not have been marketed (or processed) an amount (in terms of planted acreage, weight, or recoverable sugar content) of sugar beets or sugarcane grown on the farm and used for the production of sugar or liquid sugar to be marketed in, or so as to compete with or otherwise directly affect interstate or foreign commerce, in excess of the proportionate share for the farm, as determined by the Secretary pursuant to the provisions of section 1132 of this title, of the total quantity of sugar beets or sugarcane required to be processed to enable the area in which such sugar beets or sugarcane are produced to meet the quota (and provide a normal carry-over inventory) as estimated by the Secretary for such area for the calendar year during which the larger part of the sugar or liquid sugar from such crop normally would be marketed.

(d) Payment of producer by processor.—That the producer on the farm who is also, directly or indirectly, a processor of sugar beets or sugarcane, as may be determined by the Secretary, shall have paid, or contracted to pay under either purchase or toll agreements, for any sugar beets or sugarcane grown by other producers and processed by him at rates not less than those that may be determined by the Secretary to be fair and reasonable after investigation and due notice and opportunity for public hearing.

(e) Soil preservation.—That there shall have been carried out on the farm such farming practices in connection with the production of sugar beets and sugarcane during the year in which the crop was harvested with respect to which a payment is applied for, as the Secretary may determine, pursuant to this subsection, 'for preserving and improving fertility of the soil and for preventing soil erosion, such practices to be consistent with the reasonable standards of the farming community in which the farm is situated.

The conditions provided in subsection (a) and in subsection (b) with respect to wage rates, of this section shall not apply to work performed prior to the enactment of this chapter; and the condition provided in subsection (c) of this section shall not apply to the marketing of the first crop harvested after the enactment of this chapter from sugar beets or sugarcane planted prior to such enactment. (Sept. 1, 1937, ch. 898, title III, 301,

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