751.67/264: Telegram
The Chargé in France (Wilson) to the Secretary of State
[Received June 7—6:14 p.m.]
1088. I handed Lagarde today an aide-mémoire making full reservation of all rights as set out in your 401, June 5, 6 p.m.
Lagarde said that in the negotiations with Turkey the French Government had tried to safeguard in general the rights which foreigners enjoy in the Hatay under the Mandate. A special provision had been incorporated regarding archaeological missions providing that contracts in existence would be respected. Lagarde gave me in confidence a copy of article 4 of the draft agreement concerning the Hatay which relates to the rights of foreigners and which reads in translation as follows:
“Individuals at the present time established or having possessions in the territory and who will not be of Turkish nationality after the coming into force of the present arrangement shall enjoy continued protection for their persons, their property and their vested rights. These individuals shall have during a period of 2 years beginning with the said entry into force (of the arrangement), the right to transfer freely outside the territory in whatever money they may choose and [Page 843] notwithstanding any regulation to the contrary the proceeds of the eventual liquidation at an equitable price of the said property and vested rights.
The same guarantees are assured in the territory to archaeological missions, to foreign welfare and educational institutions, as well as to foreign companies established therein at the present time. In case of repurchase by Turkey, the conditions of repurchase shall be determined by the agreement or failing this, by an arbitrator designated by common accord, or, that failing, by the President of the Permanent Court of International Justice.
Contracts in force shall be respected.”
Lagarde said that the foregoing was the most which would be obtained from the Turks who would not agree to the incorporation of any of the phraseology employed in the terms of the Mandate. He said that in any case the French Government looked upon the cession of the Hatay as being merely a “frontier rectification” similar to others which had taken place in this area in the past. (It is of course to be assumed that the treaty rights which American nationals now enjoy in Turkey will extend to the Hatay upon the transfer of this territory.)
Lagarde stated in confidence that the various agreements under negotiation with Turkey comprise the following: (1) A Franco-Turkish declaration similar to the Anglo-Turkish declaration of May 11 [12]; (2) an agreement covering the cession of the Hatay and the settlement of major questions in connection therewith such as the rights of foreigners; (3) a protocol concerning other questions arising out of the cession; and (4) a unilateral declaration by the French Government referring to the settlement of territorial questions with Turkey and stating that the French Government has no intention of abandoning to a third power its rights or historical mission as regards Syria and the Lebanon.
Lagarde said that just one point was still holding up the conclusion of these agreements namely the determination of the southern frontier of the Hatay. France desired to retain within the Syrian frontiers a small fringe of territory inhabited mainly by Armenians. The negotiations were difficult and every centimeter was being contested but Lagarde believes that final agreement will be reached within a few days.
Lagarde went on to say that announcement of the cession of the Hatay would not be received with enthusiasm by French public opinion which was opposed to territorial concessions: the agreement certainly was not a “glorious victory” from the French point of view. The French Government had agreed to the concession however in order to remove what it hoped would prove to have been the final obstacle to the establishment of permanently peaceful conditions in this area. Whether the desired objective would be attained by this [Page 844] cession or whether Turkey after obtaining the Hatay would raise further territorial claims remains to be seen. Lagarde himself did not seem very optimistic on this score.