847.24/88
Memorandum of Conversation, by the Assistant Secretary of State (Acheson)
| Participants: | Messrs. Watt and Brigden of the Australian Legation, |
| Mr. Robinson of Dr. Evatt’s staff, | |
| Mr. Acheson. |
The above-mentioned gentlemen called at their request. They referred to the Department’s memorandum of March 24 relating to reciprocal aid so far as Australia was concerned, and asked me to clarify the matters which the Department wished to discuss.
I stated to them that the presence of American forces in Australia and also in the British Isles raised questions regarding the arrangements which should be entered into for the supplying of those forces and the performance of tasks in connection with their operations. This was necessary both because our authorities here should know what materials could most effectively be sent to the points in question [Page 543] from this country, and also so that some understanding could be reached upon the financial implications arising from the local supplying of our forces. I pointed out that both the Australian Government and the United Kingdom Government were interested in this matter; first, because the same problems arose in both areas and second, because according to my understanding, the British dollar pool had undertaken to care for Australian dollar requirements in this country.
I said that the questions asked in the memorandum related to the procedures to be followed in discussing these questions and to the forms to be utilized in recording the decisions which might be reached. In regard to procedures, the memorandum inquired whether the Australian and British Governments wished to discuss the questions with us in joint meetings or whether they preferred to discuss them in separate meetings. As to the forms to be utilized, questions related to what form should be used to indicate that the provisions of the Agreement of February 23—the Master Lend-Lease Agreement with the United Kingdom—were applicable to transactions between Australia and the United States. One form might be the execution of an identical agreement between Australia and the United States. Another form might be an exchange of notes between the two Governments, or possibly the three Governments recording that the provisions of the Agreement of February 23 were regarded as in effect between Australia and the United States. In regard to reciprocal aid or Lend-Lease in reverse it seemed to me likely that the forms used would have to be such as to keep the arrangements entered into extremely flexible. Experience might show that an arrangement which appeared to be workable was not in fact workable and that it should be changed. A method of meeting this situation might be to have an exchange of notes laying down certain procedures to be followed until either Government wished to have them reconsidered.
After some questions directed toward clarifying matters discussed above, Mr. Robinson said that he thought that they understood the problem very clearly and that they proposed to discuss it with Sir Frederick Phillips and then let me know Dr. Evatt’s views.