UA-R-GC-1914-01-01-1972-01-07_Page-004

., Page Four Oil in New York on November 24, 1971. The meeting was called to discuss the proposal that Mobil Oil forgive the entire principal and interest due by making a grant to the University in that amount and receiving from the U.S. Government a corresponding tax credit. The Mobil Oil repre­sentatives indicated that because of the company's corporate structure and tax situation, it could not at present receive such a tax credit and that, therefore, the proposal held no attraction from a business point of view. Their advice was to let the issue lie dormant until the loan falls due (1975) at which time, they believe, the corporate and tax situation will have changed so as to make possible the kind of tax credit comtemplated. 8. President Thoron recapped the history of the Egyptian Pound Investment Fund and summarized its various conditions precedent, one of which provides that the FUnd cannot be disbursed by AID until sequestra­tion is lifted. President Thoron said that the Egyptian Government is now taking active steps to encourage foreign investment and that he therefore considers conditions ripe for requesting an amendment of the grant to permit disbursement and investment regardless of sequestration. The Egyptian Government, he said, is favorably disposed toward the con­cept of the University's providing the Egyptian pound component for a venture in which another investor would supply dollars . Such a joint venture might even result in some dollar return for the University, President Thoron said. Upon the request of President Thoron, the Board gave its approval for the Administration to proceed with: A. Development of proposals for amending the grant as note