763.72 Su/1: Telegram

The Special Representative (House) to the Secretary of State

901. The Supreme War Council sat at Versailles this morning at 10:30. General Bliss and I represented the United States. Clemenceau and Foch, France, Milner and Lloyd George, Robertson and Wilson, Great Britain, Orlando and Cadorna, Italy, were present. The French Prime Minister presided. The following questions submitted for examination: One, Italy, two, Saloniki, three, Roumania.

One, Italy. The French Prime Minister said it was necessary to know whether offensive or defensive measures were to be considered and that choice of operation should not be left to enemy. Orlando thought that aid should be sent to Italy immediately without waiting for a report, alleging that if divisions sent were in excess of requirements they could always be sent back. Lloyd George said that railway facilities to Italy were so limited that with six French divisions using the Mont Cenis and six British divisions using the Ventimiglia route no transportation facilities would be left for supplying Saloniki. He suggested that a railway expert be appointed to report on the transportation situation as a whole including not only Italian transportation question, but also transportation across the Atlantic and railway transportation on the various theatres of the war. He said that Geddes would be a good man to draw up this report if he could be spared and report could be made in about 2 months. Orlando said that in addition to the railways between France and Italy it was possible always to send men by [ship?] from Marseilles to Genoa, a trip which would involve only one night. At Genoa he said that the Italians had six large steamers which could be utilized for this work.

Two. The French Prime Minister proposed that the disposition of the Belgian [Greek?] army consisting of six divisions which had done nothing up to the present time but issue communiqués be considered. It was agreed that a dossier on this subject be distributed.

Three. The question Saloniki was taken up and the chairman said that unfortunately very little was known about the situation and what was known was unfavorable. He stated that the British had 170,000 troops at Saloniki and only 40,000 bayonets. Wilson objected to this latter figure but could not give reliable estimate thereof. The French Prime Minister said he could give absolutely no details as to French army. Sarrail had been directed to report but the report was not satisfactory. He stated that the French Government intended to reorganize the French army at Saloniki and that, in view of the fact [Page 69] that in addition to the French and British troops there were also Italian, Greek and Russian forces there, he did not think that the expedition should be abandoned. The French [Greek?] Prime Minister in the meantime having [assured?] the conference there were three Greek divisions actually on the front at Saloniki and that Greece was prepared to put nine divisions more into the field if the munitions promised by the Allies at the conference in Paris of the present year as well as the provisions were forthcoming. He said that the essential thing was that Greece should receive provisions as his country was on starvation rations. Foch objected that the Greeks had not lived up to their agreement to disband their old army and to send the men back to the Peloponnesus. Venezelos admitted that this had not been done because all of the rolling stock of the Greek railways had been taken by the Allies for work at Saloniki and that the Greeks had had most of their merchant marine taken by the Allies and if these ships were restored to them they would transport their own provisions.

Lloyd George said he thought it vital to the Allies that authority of Venezelos be supported and that provisions be sent to Greece. He said that he had not realized how badly and how unintelligently the Allies had treated Greece. Klotz, the French Minister of Finance, appeared before council and stated that after conferring with Venezelos [?] and Crosby he had ascertained that sum of 50 million francs was immediately necessary for the expenses of November and December of the Greek army. This sum has been placed at the disposal of the Greek Government yesterday although Crosby had made certain reservations as far as the United States was concerned. The French Prime Minister asked House whether the United States were prepared to participate with France and England in lending money to Greece. House replied that he thought they would be. Klotz said that Greek army budget for the year 1918 amounted to 900 million francs divided as follows: 350 million francs pay for 1918. Venezelos stated that Greece herself could provide internally 150 million francs of the amount, leaving balance of 750 million francs to be provided by the Allies. Bliss and House approving. Crosby states that he will recommend to McAdoo that the United States provide one-third of this amount, England and France making up balance provided tentative estimate of 600 million francs additional for the Greek army munition program for 1918 is taken care of in similar or other manner. Crosby will explain in a separate cable to the Treasury details of proposed arrangement.

Four. Details of the Roumanian situation left to military authorities which have already discussed situation. Thereupon conference adjourned at 1:30 p. m.

Edward House