862.602/7–946: Telegram
Mr. Donald R. Heath, Counselor of Mission in the Office of the United States Political Adviser for Germany (Murphy), to the Secretary of State
[Received July 9—2:12 p.m.]
1687. There has been forwarded by despatch 4969, July 5,34 text of new Soviet proposal on prohibition of excessive concentration of economic power which goes beyond previous proposals in two essential respects—prohibition of all cartels within the Reich as well as membership by any German enterprise or person in an international cartel. Likewise, it proposes that title be taken to assets of 170 specified firms.
Economic Directorate considered this proposal July 5th and agreed to instruct decartelization working party to use Soviet proposal as basis for consideration in preparing a draft deconcentration law and to include in draft an agreed list of plants which constitute excessive concentration of economic powers. Directorate also agreed that provision for permanent committee on deconcentration should be included in draft law.
Decartelization working party on July 8 attempted to reach agreement. [Page 576] However, British members insisted that resulting law must be non-mandatory to obtain British consent; result will be divided working party report. Majority draft supported by US, Soviets and French members, minority report by British.
- Not printed.↩