661.7131/11: Telegram

The Ambassador in the Soviet Union (Steinhardt) to the Secretary of State

1783. A member of the Rumanian trade delegation states that the economic negotiations with the Soviet Government are still suspended pending a clarification of the incident referred to in my telegram No. 1762, December 21, 4 p.m.62 He said that the first explanation of the incident received from the Rumanian Government had been rejected as “unsatisfactory” by the Soviet Foreign Office and that this fact had been reported by his Legation which is now awaiting his Government’s further reply. He added that he was still unable to ascertain why, when the negotiations had been proceeding so satisfactorily, the Soviet Government should suddenly have suspended them on what he is inclined to regard as a pretext. He was frank in admitting that the attitude of the Soviet Government was causing the Rumanian Government some concern.

Information from other diplomatic sources in Moscow refers to increase in Soviet activity and intrigue inside Rumania recently. I have been able to obtain no satisfactory information as to the reason for this alleged activity or as to the extent to which it may be directed against German interests there or is in possible agreement with Germany.

  1. Not printed; a member of the delegation staff of the Soviet Union was said to have been assaulted in Bucharest (661.7131/10).