463.11 W 891/17: Telegram

The Minister in Austria (Washburn) to the Secretary of State

20. Department’s telegram 20, April 9, 4 p.m. As main illustration of first suggestion, if public claim be decided adversely to old dual monarchy Austrian Government does not believe Commissioner can decide in what respective proportion judgment shall be satisfied by Austria and Hungary but thinks that this is a question of interior relations to be settled by these two powers. Basis of settlement hitherto two-thirds Austria and one-third Hungary but negotiations in progress to readjust ratio. America holds excess of security and it is pointed out that Austria and Hungary would have every inducement to effect speedy amicable arrangement in this respect. Foreign Office states that anyway this first suggestion is only a reservation and need not call for change of phraseology in submitted draft.

For class of possible cases covered by third suggestion see my despatch number 446 mailed April 5th.22 I believe these more or less hypothetical cases can be provided for by protocol or supplemental agreement if necessary. Schüller has been ill with influenza and left last evening for Rome on urgent business back in 10 days and he promises me on his return to wind up this matter speedily. I am convinced that in the last analysis with some understanding about cases embraced in suggestion 3, the submitted draft amended only by ratification clause of suggestion 2 can, provided Hungary assents, be signed before May 15th.

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