763.72119/10526a: Telegram

The Secretary of State to the Ambassador in France (Wallace)

1527. For Boyden, B–132.

1.
Following telegram in substance received by War Department. Reparation Commission desires that statement costs of armies of occupation be accompanied by letter from each government certifying that figures given are covered under article 249. It will facilitate presentation of bill if Commanding General American Forces in Germany is authorized to transmit covering letter as required by Commission in behalf of the United States Government. If this is approved by War Department, please request concurrence of Department of State. Allen.
2.
Your B–194, August 10th, in reference to statement that bills for army costs be accompanied by Government certificate to effect [Page 334] that claim covers only expenses specified under 249, states that United States certificate should refer to agreement of June 28, 1919, instead of Article 249.
3.
As this Government has not ratified Treaty and has specifically stated that it is not bound by Rhineland agreement of June 28, 1919, until ratified by it, but on other hand considers that Armistice continues in force as to United States (See telegram No. 71 of January 9 to Embassy, Paris45), Department believes that so far as United States is concerned its right to reimbursement by Germany for costs of occupation is based on terms of Armistice. Department can not approve reference in statement to agreement of June 28. Since by treaty Germany undertakes to pay all expenses of armies of occupation, it would seem that Germany is obligated to pay all costs of American troops irrespective of our ratification. In view of our understanding with Allies that full costs of American troops in occupation will be met, such costs should be paid by Reparations Commission in the same manner as that of the Allied Armies of Occupation.
4.
Following certificate is suggested and if you approve form and content of certificate arrange matter directly with General Allen.
5.
“On behalf of the Government of the United States I certify that the charges shown under each item of the attached accounts have been prepared on the basis of the ascertained expenditure incurred during the period stated for each of the various items shown in these accounts, and that the total sum thus arrived at, viz. - - - - - - -, may properly be considered the total cost of the American army of occupation in German territory for the period - - - - - - - to - - - - - - -, which Germany is obligated to pay under the terms of the Armistice Agreement of November 11, 1918,46 as well as Article 249 of the Treaty of Versailles. Should any question be raised as to whether any items of these accounts are properly to be considered the cost of the American army of occupation within the meaning of the Armistice Agreement and said Article 249 of the Peace Treaty, the Government of the United States will be happy to furnish any explanation that the Reparation Commission may require.”
6.
Foregoing is based on proposed form of certificate suggested by the Legal Service in its Opinion No. 77, June 25, 1920. Department not advised whether this form actually adopted. Paragraph 5, however, represents this Government’s adaptation of form, consistent with its position in relation to Armistice and non-ratification of Treaty.
Colby