Pauley Files

No. 988
United States Delegation Working Paper

Memorandum by US Delegation

It is the view of the United States that a declaration should be issued by the Conferring Powers and by France to the effect that German external assets are subject to the jurisdiction of the Powers occupying Germany,2 and of the ACC, acting through the diplomatic representatives of the occupying Powers. Such a declaration would be of invaluable assistance in obtaining control over German external assets, especially those located in neutral countries and such countries as Turkey and Argentina. The declaration should be in such form that it may readily be adhered to by France and it should be presented to France with a view to joint issuance by the four occupying Powers.3 [Page 955] Should France demur, the declaration should be issued by the Conferring Powers alone, as an outgrowth of the Potsdam Conference.


Text of Proposed Declaration

The Chiefs of State of the U. S., U. K., and U. S. S. R. having met at Potsdam [and having concerted with the Government of France],4 the following declaration is issued:

The Governments of the U. S., U. K., U. S. S. R. [and France] declare that German external assets, not already under the control of United Nations which have taken a direct part in the war with Germany, are subject to the jurisdiction of the Powers occupying Germany and of the Allied Control Council.

All countries in which such assets are located are hereby called upon to place such assets at the disposition of the occupying Powers and of the Allied Control Council. The diplomatic representatives of the Powers signatory to this Declaration will act as their representatives and as the representatives of the Allied Control Council in obtaining control and the power of disposition over such assets, for such use as is determined to be in the interests of security and other Allied objectives.

The Allied Control Council and such representatives shall take such action as may be appropriate to carry out the purposes of this declaration.

  1. So dated in a manuscript notation which also contains Rubin’s initials.
  2. Another version of this memorandum in the Pauley Files, dated July 21, reads: “of the occupying Powers of Germany”.
  3. The version referred to in the preceding footnote reads: “by France and the U. S., U. K, and U. S. S. R.”
  4. These brackets and those in the following paragraph have been inserted in pencil on the source copy.