M ORE THAN SIXTEEN YEARS have elapsed since the termination of hostilities of World War II and the United States Government still has the bulk of the enemy property seized during that war. Through 1958 and early 1959, the problem hung in balance as to whether the American Government would retain, permanently, these fromer enemy assets, as provided in the War Claims Act of 1948, or whether they would be returned. As of 1960, full return to the original German and Japanese owners seemed rather remote and the likelihood of partial return is becoming increasingly doubtful at the present time. But even with the alternative of full return to the former owners virtually ruled out, there are still many serious problems as to how to get rid of all of the properties still in the hands of the Government, or the assets derived therefrom. Heading the list of such properties is the giant General Aniline and Film Corporation (GAFC), the status of which will be discussed later on in the article. The alien enemy property question has had a long and rather peculiar history in the United States. It has been fraught with numerous conflicting factors and influences which have made it infinitely complex. These entangling forces remain unresolved. Commencing long before the end of the War, almost every proposal thinkable has been offered with regard to disposing of the seized assets. Some were made in accordance with what was considered to be the international legal requirements regarding the disposition of enemy property, while others have been made with little or no respect for international legal rules, having been motivated by domestic and selfish factors of private interest. Primary interest in the present article is centered on the German properties. The large majority of the seized assets were German and the interplay of international relations factors and the