800.51 W 89 Austria/7
Memorandum by the Economic Adviser (Young)59
Dr. Young informed the Austrian Minister that the proposed Austrian debt settlement had recently been under consideration within the American Government and that there was every disposition on the part of the American executive branch to do everything possible to promote the enactment at the next session of Congress of the pending Joint Resolution. It would, of course, be necessary to inform Congress of the fact that since the adjournment of the last session Austria has negotiated terms of settlement with its other creditors other than Italy.
The Austrian Minister stated that he was expecting to receive in the near future an exhaustive economic and financial study which the Austrian Government, on his recommendation, had prepared for submission to the American Government in support of the proposed debt settlement. When this was received he would communicate it to the Department of State, together with official notice regarding the other debt settlements which Austria had negotiated.
The Austrian Minister referred to his previous suggestion that his Government might send representatives to negotiate a settlement with the United States. He was told that, after consideration, the American Government did not want to be in the position of taking any responsibility for the dispatch of such representatives. It was felt that the presence in Washington of such a Commission, while the Joint Resolution is pending, might be misconstrued. The Austrian Minister stated that he had recommended to his Government that Dr. Schüller be sent and had been informed that the latter would come to Washington, about November 15. He had felt that Dr. Schüller would be of real assistance to him and also relieve him of some of the responsibility in case the Resolution was not enacted during the next short session. It would be difficult for him [Page 915] to recommend against Dr. Schüller coming. He would report the doubt whether the visit would be helpful and he requested Minister Washburn to discuss the matter with the Austrian Foreign Minister and Dr. Schüller at an early date after his arrival in Vienna. It was suggested that in case only one man came, presumably Dr. Schüller, and visited the Legation quietly to assist the Minister in the matter, there might be no ill effect. It was for the Austrian Government to determine whether it desired to take the possible risk which had suggested itself to the minds of the American officials.
- The American Minister to Austria and Mr. Livesey from the Office of the Economic Adviser were also present at this conversation.↩