102.1/2–945: Telegram
The Ambassador in China ( Hurley ) to the Secretary of State
Chungking
, February 9,
1945—10 a.m.
[Received February 9—9:43 a.m.]
[Received February 9—9:43 a.m.]
198. To Secretary of Treasury from Adler:
- 1.
- US Army figures reveal gross expenditure of CN” dollars 9.1 billion for last quarter, 1944. According to preliminary data, net expenditures totalled CN dollars 7.8 billion after appropriate deductions for tax payments, goods and services paid for by US Army in CIST dollars which goods and services it made available to Chinese Army, et cetera. Details of deductions en route to Washington by diplomatic pouch. (Reurtel 183, February 3.)
- 2.
- In view of reduction in airfield construction and increase in prices in last quarter of 1944, army estimates show actual goods and services received in that period were from one-half to two-thirds of those in previous quarter. On basis of payment for third quarter of 1944 their US dollar value should average roughly $10 million per month. This estimate tentative and we feel that settlement should be held up until all data available.
- 3.
- Army no rate expenditures18 are rising rapidly in view of particularly swift advance in prices since beginning of year. This fact should be kept in mind in negotiations for settlement of next quarter of 1944.
- 4.
- Am in constant contact with General Wedemeyer and General Olmsted19 and we are in complete agreement. Am keeping General Hurley fully informed. [Adler.]
Hurley