Foreign Relations of the United States, 1946, The British Commonwealth, Western and Central Europe, Volume V

740.00119 Control (Germany)/8–246: Telegram

The United States Political Adviser for Germany (Murphy) to the Secretary of State

confidential

Berlin, August 2, 1946—9 p.m.
[Received August 2—5:06 p.m.]

1855. Reference my 1754, July 19.⁴⁸ Inter-Divisional Committee’s final report on bi-zonal organization took form described in telegram under reference. General Draper refused concurrence on behalf Economic Division, however, on ground he had already begun discussions with British along somewhat different lines. General Clay subsequently gave Committee instructions to re-draft paper within following limitations:

(1) Plan for economic integration of zones must exclude any implication of political integration;

(2) present position and powers of Laenderrat in US zone must be fully preserved;

(3) following by implication from (1) and (2) there must be no over-all inter-zonal German Council established;

(4) any economic agencies established should be scattered in two or more cities in US and British zones to avoid implication we are establishing western German capital.

Discussion in subsequent Committee meeting brought out view that imposition of inter-zonal organizations on top of present zonal organization will create extremely difficult channels of communication. Another view strongly expressed was that preservation of Laenderrat is not consistent with principle hitherto maintained that any step forward should be in direction of abolishing zonal boundaries, and zonal concept of administration. Committee, nevertheless is engaged in attempt to draft plan conforming with principle announced for its guidance.⁴⁹

Murphy

48. Not printed; this telegram reported on a preliminary plan concerning interzonal organization drawn up by the Inter-Divisional Committee on German governmental structure, designed to meet the situation created by Secretary Byrnes’ offer at the Paris Council of Foreign Ministers to integrate the economy of the U.S. zone with that of any other (740.00119 Control (Germany)/7–1946).
49. The Department’s reply, contained in telegram 1675, August 7, 8 p.m., to Berlin, indicated its essential agreement with General Clay’s new instructions to the Inter-Divisional Committee (740.00119 Control (Germany)/8–246).