500.CC/3–3045

The British Ambassador (Halifax) to the Secretary of State

No. 150

Sir: I have the honour, on instructions from His Majesty’s Secretary of State for Foreign Affairs, to communicate to you herewith a summary of a report by the Committee of officials set up in London to study the problems which will arise when it becomes necessary to wind up the League of Nations.63

2.
I am to explain that His Majesty’s Government in the United Kingdom wish to avoid any confusion resulting from the simultaneous existence of the League and the new World Organisation and they are anxious to arrange for the formal dissolution of the League as speedily as possible after the San Francisco Conference.
3.
While there is no question of the League as such continuing in any form there are certain technical services, experienced international officials and valuable records which might with advantage be taken over by the new Organisation. Similarly the new Organisation might with advantage take over the financial assets and liabilities of the League, which is in a sound financial position.
4.
His Majesty’s Government do not favour any arrangement whereby the new Organisation would be committed to take over all existing League functions, assets, and liabilities. It would be for the new Organisation to decide what it was proposed to take.
5.
In order to facilitate progress, His Majesty’s Government earnestly hope that the convening Governments will agree that a resolution should be presented to the San Francisco Conference indicating willingness to take over certain non-political functions, assets and liabilities of the League, on terms to be agreed; and appointing a committee to negotiate with the League on these matters.
6.
You will observe that the Report does not deal with the Permanent Court, the International Labour Office, or the Permanent Mandates Commission, all of which call for separate examination.
7.
A similar communication is being made to the other convening Governments, and also to the French Provisional Government.

I have [etc.]

Halifax
[Enclosure]

Summary of Report

1.
The establishment of the new World Organisation will involve the disappearance of the League of Nations, but this result will not be produced automatically. Some formal step will be necessary.
2.
It is desirable that useful non-political functions of the League (together with experienced staff and records) should be transferred to the new World Organisation where this seems advantageous to the new Organisation.
3.
Some arrangement must be made to wind up the finances of the League, which has certain assets and liabilities which it may be desirable to transfer to the new Organisation.
4.
The Committee make the following recommendations:—
(i)
The League should be wound up in a dignified and orderly manner as soon as possible after the formal establishment of the new World Organisation. The initiative with regard to the transfer of such functions, assets and liabilities as it is agreed should be taken over should come from the new World Organisation. The necessary arrangements for transfer should be made as far as possible during the period before the new World Organisation is fully established.
(ii)
It is desirable that the non-political activities of the League which are still being continued on a reduced scale should be maintained until the new Organisation is in a position to take them over.
(iii)
The transference to the new Organisation of the League Departments responsible for carrying out the main non-political activities would not be difficult. Only a small nucleus of experienced officials remain in these Departments. The services of many of them would be valuable to the new Organisation, as would also be those of some experienced League officials now engaged elsewhere. The value of the League’s records and archives needs no emphasis.
(iv)
Some reorganisation of the present system of international drug control and of international health organisation is probably necessary, but it seems best to transfer the existing functions of the League to the new Organisation before embarking on major changes.
(v)
It is for consideration whether the best course would be to transfer the functions of the League High Commissioner for Refugees to the new Organisation or to the Inter-Governmental Committee on Refugees.64
(vi)
The future of the League Organisation for Intellectual Cooperation and with it the Paris Institute of Intellectual Co-operation must be considered in relation to the proposed United Nations Organisation for Educational and Cultural Reconstruction and to the suggestion that a permanent International Education Organisation should be established.
(vii)
All of the League’s remaining non-political work—activities with regard to economic, financial and other social questions, communications and transit; suppression of slavery, treaty registration, etc.,—could be transferred to the new Organisation so far as may be desired without any obvious difficulty.
(viii)
In view of the existence of a large number of international treaties, conventions and agreements which attribute powers and duties to the League a most unsatisfactory situation will arise on the dissolution of the League unless measures are taken to transfer the functions conferred on the League by these instruments, to the new Organisation. This will involve
(a)
the agreement, expressed in some appropriate form, of the parties to each instrument and
(b)
the acceptance of the functions in question by the new Organisation.
Each of the instruments in question must, generally speaking, be dealt with separately. We feel, however, that the process of obtaining the consents of the parties would be much facilitated and accelerated if this were done under the auspices of the new Organisation and with the assistance of its Secretariat.
(ix)
The question of transferring to the new Organisation the functions of the League arising out of the Protocols, General Bonds and Loan Contracts of the League Loans, which owe their origin to the various schemes of financial reconstruction undertaken by the League between the wars, is one of some complexity. It is considered, however, that it would suffice if agreement to the transfer of functions were obtained only from the League and the new Organisation, and simply notified to the interested parties.
(x)
The present financial position of the League is sound. In addition to substantial fixed assets in the form of land, buildings and equipment, there are considerable liquid assets in the various funds built up by the League which should be sufficient to provide for an orderly liquidation provided that the present financial position of the League does not deteriorate in the interval.
(xi)
The Committee which it is suggested should be set up by the League to arrange the transfer of functions to the new Organisation should be given the necessary authority to liquidate the finances of the League. This Committee should make arrangements for meeting the outstanding liabilities of the League, and for the future administration of the Pension Funds. When all claims have been met, and drafts on the Working Capital Fund made good, the assets outstanding should be distributed among Members with due regard to their record of contributions.
(xii)
It is hoped that it will be possible to transfer the League buildings, its unique library, etc., to suitable international bodies, which may or may not be associated with the proposed United Nations Organisation. If that Organisation does not require them and if the International Labour Organisation should return to Geneva, the latter might take over the League buildings. Failing their transfer to the new Organisation, the International Labour Organisation, or some other suitable body, it will be desirable to set up a body of Trustees to manage the Library, buildings, and any other special assets which serve international purposes.
5.
The following procedure is suggested for bringing the League of Nations to an end, and to effect the transference of its functions, assets and liabilities to the new Organisation.
6.
A suitable resolution should be passed at the San Francisco Conference indicating willingness in principle to take over certain non-political functions of the League and certain of its assets and liabilities, on terms to be agreed. The resolution would also appoint a committee for the purpose of negotiating with the League and would invite the League to appoint a corresponding committee. Subsequently a meeting of the League Assembly would be called at which a resolution would be passed welcoming the initiative of the United Nations and appointing a negotiating committee to meet the committee appointed by them and to co-operate in drawing up the necessary instruments. The results of these negotiations would be submitted for confirmation to the appropriate body of the new Organisation, and to a second and final meeting of the League Assembly, at which a resolution would be passed confirming and giving effect to the agreement reached, and providing for the signature on behalf of the League of any necessary instruments for this purpose. Finally the resolution would announce the dissolution of the League of Nations and the release of its members from their obligations under the Covenant.
7.
In making these recommendations account has been taken of the political factors which may complicate the transference of the League’s functions to the new Organisation. For a decision in the Assembly a unanimous vote is necessary, and if unanimity does not exist the most that can be obtained is a recommendation to the Members of the League. Much will depend on the attitude of the smaller State Members of the League to the new Organisation as it takes shape at San Francisco. If their attitude is not unfriendly and there is a general desire to make the most of the opportunities which the establishment of the new Organisation will present, we do not expect any serious difficulties. It should be possible to ensure the compliance of ex-enemy States which are still nominally Members of the League. Neutral States, which will not become original members of the new Organisation, will it is hoped, not be likely to prejudice their chances of being admitted later by ill-considered action during the obsequies of the League.
  1. In note 167, April 11 (500.CC/4–1145), Ambassador Halifax submitted to Secretary Stettinius copies of an “Abbreviated Report of the Committee on the Future of the League of Nations”, considerably fuller than the summary transmitted in this note.
  2. For press release of March 15 concerning the status of the Committee, see Department of State Bulletin, March 18, 1945, p. 452.