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That repurchase of foreign currency will not
result in increasing the foreign currency holdings
beyond the immediate disbursing requirements.
That repurchases are made at the rate at which
the DO is holding the foreign currency.
That repurchase of foreign currency has been
approved by the CO or area commander.
That a record is maintained on the DD 2664 to
reflect the amount and source of funds.
FOR PERSONNEL DEPARTING THE
OVERSEAS AREA. There are additional rules for
the repurchase of foreign currency from personnel
departing the overseas area either on permanent change
of station orders or for temporary home leave. In these
cases, the DO must follow the appropriate rules
according to the specific situation and make certain the
following conditions are enforced:
The amount repurchased does not increase the
DOs foreign currency on hand beyond that
needed for official purposes.
The repurchase is within existing foreign
currency control laws; agreements between the
U.S. Government and the host country; or the
spirit of the policies governing business
activities of the Department of Defense, its
personnel, and their dependents.
If the amount repurchased exceed 1 month of
the persons salary and allowances, a signed
statement from the person and the written
approval of the CO or area commander must be
provided to the DO. The signed statement must
describe the source of the foreign currency and
certify that it was not received in violation of
military regulations or the currency control laws
of the country concerned.
FOR AFLOAT UNITS VISITING A FOREIGN
AREA. The guidelines for DOs of afloat or mobile
units visiting foreign ports or areas are slightly
different. In these cases, DOs are authorized to make
accommodation exchanges for assigned personnel
without prior approval. The DO is required to maintain
a record of sales using a DD 2664. For afloat or mobile
units, repurchase is permitted according to the
following conditions:
The DO needs the foreign currency or can
dispose of it within 30 days.
The individual requesting the repurchase is not
attempting to convert an amount greater than the
amount he or she last purchased (as shown by the
DOs records).
As indicated by the applicable rules and
regulations governing accommodation
repurchases, a DO must follow the guidelines
that pertain to the specific situation.
DEPOSITARY CHECKING ACCOUNTS
Many DOs in foreign countries will maintain
depositary checking accounts. A depositary checking
account allows a DO to pay for government obligations
by check in the local currency. A DO who maintains a
depositary checking account must deposit any excess
currency and checks payable in the local currency to
that account.
SALE TO ANOTHER DOD DISBURSING
OFFICER
For a DO without access to a depositary checking
account, the next preferred method of disposal of
foreign currency is by sale to another Navy or Marine
Corps DO located in the country of the monetary unit
involved. The selling DO must deliver the excess
currency and negotiable instruments by registered mail
or courier to the purchasing DO. The selling DO must
include a Shipment of Funds, DD Form 165, and a letter
of transmittal requesting a U.S. Treasury
exchange-for-cash disbursement check. The DD Form
165 must indicate the country, type, amount, exchange
rate, and U.S. dollar value of the instruments and cash.
Normally, the rate of exchange used should be the
rate at which the currency is carried in the accounts of
the selling officer. However, if the selling officers rate
is different from the official rate established by the local
government or by another competent authority, the
official rate must be used. And, the selling officer must
account for the resulting gain or loss.
SALE TO AN MBF
A DO who does not have the option of selling
foreign currency to another DOD DO is authorized to
sell it to an MBF. But, the DO is authorized to do this
only under certain conditions.
First, the selling DO must ascertain that no other
DOD DO is available to purchase the foreign currency.
Next, the MBF to which the DO intends to sell the
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