Foreign Relations of the United States, Diplomatic Papers, 1945, European Advisory Commission, Austria, Germany, Volume III

740.00119 EW/11–145

The Ambassador in Paris (Caffery) to the Secretary of State

Paris, November 1, 1945—5 p.m.
[Received 6 p.m.]

6351. No. 10 from Angell to Dept: 6 from Angell to Berlin: 2 from Angell to London. At meeting October 31 French joined me in supporting general gold pot principle. Waley first argued for identification principle but subsequently accepted our position.

British and French expressed warm conviction that US Govt has information on identification of gold by country of ownership which has not been given them. As a result of my conversation with Murphy and Clay I told French and British that to best of my knowledge all information available to us had been transmitted to them. Please determine whether any data now available including that secured by Bernstein⁸⁶ has been withheld. I assume that assayer’s report has already been given to French Embassy.

Waley inquired whether Danzig and Poland should be allowed to participate in pot. Consensus of meeting seemed to be that Potsdam waiver by USSR of claim to gold should control irrespective of whether gold pot is regarded as restitution or reparation and consequently that Danzig and Poland should not share in gold pot.

When we discussed Italy, Austria, Hungary and Albania, in relation to gold pot Waley agreed with us that they should receive restitution of monetary gold. French indicated reluctance to permit these countries to share in gold pot.

Regarding Italian and Hungarian gold I concurred in suggestion by Waley that these countries be allocated their respective shares in gold pot shares to be set aside for disposition in accord with final peace settlement with these countries. I said that if Council of Foreign Ministers had come to definite understanding that Italy is to receive restitution then Italy should participate in gold pot. Waley agreed with these principles. Please advise on any CFM understanding on restitution for Italy.⁸⁷

I also stressed right of Austria to participate immediately in gold pot pointing out Potsdam Agreement on Austrian economic independence⁸⁸ and that insofar as I know peace treaty settlement with Austria is not contemplated.

Rueff stated that he was not in position to agree that Italy, Hungary and Austria should be brought into pot at all but he would request instructions from his Govt.

We discussed procedure for implementing gold pot if agreement is reached on countries entitled to share. Consensus was that any agreement reached should be transmitted to our Govts for confirmation. Each of three occupying powers would then notify its zone commander to put gold pot agreement into operation. In practice of course this would mean that JCS would direct USGCC⁸⁹ to act in premises.

Sent Dept 6351; repeated Berlin 185, London 783. [Angell.]

Caffery

86. Col. Bernard Bernstein, Director, Finance Division, OMGUS.
87. See telegram 5221, November 8, 6 p.m., to Paris, p. 1376.
88. Presumably this is a reference to the agreement in the Potsdam Protocol that reparations would not be exacted from Austria; see Conference of Berlin (Potsdam), vol. ii, p. 1490.
89. The United States Group, Control Council, had been succeeded by OMGUS as of October 1, 1945.