861.24/10–3145

The Secretary of State to the War Shipping Administrator (Land)19

My Dear Admiral Land: At the time of the conclusion of the agreement with the Soviet Union on October 15, 1945, covering lend-lease goods in production [procurement?] or in inventory in the United States, it was understood that there would be cargoes available for shipment to the Soviet Union to cover seventeen sailings of United States vessels prior to the expiration of the sixty-day extension of lend-lease aid for ocean transportation charges, i.e., prior to midnight October 31. Shipments to the Soviet Union which would normally have been handled under the sixty-day extension previously granted by Mr. Crowley were held up by this Government pending the signing of the 3 (c) agreement. Consequently, the Soviet Union received less favorable consideration in this regard than other countries which either had signed such an agreement prior to V–J day or which continued to receive lend-lease shipments after V–J day without a formal agreement but on the basis of an understanding that an agreement would be signed. The Department furthermore understands that the shipments which were agreed upon at the time of the conclusion of the October 15 agreement have been unavoidably delayed due to these special circumstances, thus making impossible their loading prior to the termination of the sixty-day period of extension of lend-lease payment for ocean transportation.

In view of these circumstances, the War Shipping Administration is authorized to use lend-lease funds to cover ocean transportation for shipments to the USSR in seventeen War Shipping Administration vessels provided such vessels are berthed prior to midnight November 15, 1945.

Sincerely yours,

For the Secretary of State:
W. L. Clayton

Assistant Secretary
  1. Vice Adm. Emory S. Land.