Foreign Relations of the United States: Diplomatic Papers, 1945, General: Political and Economic Matters, Volume II

Council of Foreign Ministers Files: Lot M–88: CFM London Documents

Memorandum by the United States Delegation to the Council of Foreign Ministers ¹¹

C.F.M.(45) 16

London, 14 September, 1945.

Suggested Directive to Deputies From the Council of Foreign Ministers to Govern Them in the Drafting of a Treaty of Peace With Italy

i. territorial provisions for italy in europe

1. The frontier with France would be unchanged, subject to hearing any case the French may present for minor rectification.

2. The frontier with Switzerland will remain unchanged.

3. The frontier with Austria would be unchanged, subject to hearing any case Austria may present for minor rectification in her favour.

4. The frontier with Yugoslavia should be substantially adjusted in favour of Yugoslavia to follow roughly the ethnic factor subject to necessary modification to preserve the essential economy of the local region. There is suggested the old Wilson line in part,¹² with certain modifications in favour of Yugoslavia in the north and in favour of Italy in the south. The modification in the north is primarily for ethnic reasons; the modification in the south is for both ethnic and economic reasons and would preserve for Italy coal and bauxite deposits which are important to her economic life.

The foregoing will give Trieste to Italy. It is suggested, however, that a substantial part of the port of Trieste be made a free port, administered by a commission containing representatives of the nations which use the port.

5. The Dodecanese Islands will be ceded to Greece and demilitarized.

6. Italy will renounce all claims in relation to prewar Albania.

7. Pantelleria and Isole Pelagie will be demilitarized.

8. Zara and the Dalmatian Islands will go to Yugoslavia.

9. Saseno will go to Albania.

ii. human rights

By the treaty Italy should voluntarily undertake to maintain a bill of rights which will correspond to the freedom of speech, religious worship, political belief and public meeting which were to be sought for Italy by the United Nations pursuant to the Moscow Declaration of November 1943 and also confirming the human rights and fundamental freedoms of the United Nations Organisation.

iii. italian colonies

Libya will be granted independence at the end of ten years. In the interval it will be under a UNO trusteeship agreement. This will provide for an administrator with full executive power appointed by and responsible to the Trusteeship Council of UNO. To him will be attached an Advisory Committee of seven composed of representatives of the United Kingdom, the Union of Soviet Socialist Republics, France, Italy and the United States and a European and an Arab resident of Libya selected by the five governments named.

Eritrea will be accorded the same treatment as in the case of Libya, the Advisory Committee in this case, however, to include two residents of Eritrea appointed by the five governments. There will, however, be a territorial cession in favour of Ethiopia which will give Ethiopia access to the sea through the port of Assab.

In the case of Italian Somaliland, there will be a similar trusteeship arrangement, without, however, any fixed date for independence. There will be an administrator appointed by and responsible to the Trusteeship Council of UNO and an Advisory Committee including two residents of Somaliland in addition to the representatives of the five governments named.

In the case of all three colonial areas, the Security Council of UNO may, if it deems necessary, select strategic points for administration by it as strategic areas in the interest of world security.

iv. armaments

1. The maintenance of armaments for land, sea and air will be closely restricted to the necessities of (a) maintenance of order in Italy; (b) such military contingents, if any, in addition to the foregoing as may be required by the Security Council.

2. The factory and tool equipment designed for manufacture of war implements which is not required by the permitted military establishments and is not readily susceptible of conversion to civilian purposes will be surrendered to the Four Powers for such disposition for reparations account or otherwise as they may determine.

3. A liberal attitude should be taken towards the production of aircraft and airplane engines for civilian use.

v. war crimes

Appropriate provision will be made, preferably by a separate protocol, to deal with the war criminals, return of prisoners of war, etc.

vi. reparations

The Italian Government will authorise each of the United Nations to take over and apply to their respective reparation claims such of the assets of the Italian Government (excluding diplomatic and consular premises) and of Italian nationals as are within the jurisdiction of the respective United Nations and the Italian Government will undertake to indemnify, in accordance with Italian law, the Italian nationals whose property will thus have been requisitioned. Subject to the provision above with respect to war-making machinery, each of the United Nations will limit its reparation claim against Italy to the amount which will thus be made available to it and each of the United Nations will be free to allocate that amount to the indemnification of the state or its nationals as it may determine as a matter of domestic policy.

In view of the fact that no general reparations claim will be made upon Italy, there may be given a right to recover identifiable property taken from a national of the United Nations; this right to be exercised through a commission composed of representatives of the Four Powers. There should also be a provision entitling a national of any of the United Nations owning property in Italy that has been damaged as a result of the war to secure the same indemnification as is accorded Italian subjects.

vii. economic and financial matters

There are a number of matters affecting future economic and financial relations which might be dealt with in the treaty of peace, but in view of the complexities raised by the large number of states involved, these might preferably be dealt with by separate commercial and financial treaties.

11. The text of this memorandum was transmitted to the Department in telegram 9459, Delsec 15, September 14, from London, Telegram 9529, Delsec 18, September 16, from London, from the Secretary of State to the Acting Secretary read as follows: “Please prevent circulation in the Department or anywhere else of paper quoted in Embassy’s 9459, September 14. My experience is that circulation means publication. The rules of the Council prohibit this and leakage must be avoided.” (740.00119 Council/9–1645)
12. For a description of the Italo-Yugoslav frontier proposed by President Woodrow Wilson in 1919, see Foreign Relations, The Paris Peace Conference, 1919, vol. v, p. 579.