Article 1.　The CMMC shall, instead of paying retirement allowance (hereinafter called "retirement allowance" ) for the term from April 1, 1947 to the day on which they have retired from CMMC (hereinafter called "served term" ) directly to such seamen (hereinafter called "seamen" ) as have been employed by shipowners immediately after they have retired from CMMC during the period from April 1, 1949 to March 31, 1950 in consequence of the conclusion of a time-charter-party in accordance with the provisions of Article 13 of the Cabinet Order pertaining to Administration over Ship's Operation (Cabinet Order No.26 of 1949), pay, without delay after compilation of the 1949/50 budget, to any shipowner concerned the total sum of the compensation calculated for each "seaman" in accordance with the standard as shown in the Attached Table. This shall not apply, however, to the payment of discharge allowance as provided for in Article 46 of the Mariners Law (Law No.100 of 1947).

2　The sum total of the compensation which will be paid to shipowners in accordance with the provisions of the preceding paragraph shall not exceed four hundred fifty million yen (\450,000,000).

3　The compensation paid to any shipowner by CMMC in accordance with the provisions of the preceding paragraph 1, shall completely discharge liability of CMMC for payment of "retirement allowance" to the "seaman" concerned.

Article 2.　Any shipowner shall, in case the employment contract between the shipowner and the "seaman" as referred to in the provisions of paragraph 1 of the preceding Article, has been rescinded or expired, pay as the minimum amount "retirement allowance" as calculated in accordance with the standard of payment of the Attached Table.

Article 3.　No shipowner shall expend the compensation which he has received in accordance with the provisions of Article 1, paragraph 1 for any purpose other than that as provided for in the preceding Article.

2　In case where any shipowner has gained an interest or other monetary profits from the compensation received from CMMC in accordance with the provisions in Article 1, paragraph 1 he shall expend such profits for the welfare facilities for seamen as directed by the Minister of Transportation.