7400.00119 Control (Germany)/7–3046: Telegram

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

secret

1826. After protracted and fine argumentation in which British were chiefly concerned with excluding Coal Experts Committee from examining political questions, Control Council accepted solution of terms of reference for Committee based substantially on General Clay’s compromise proposal made at last meeting of Coordinating Committee. (See mytel 1813, July 28.) British member at first objected that enlarged terms of reference suggested by Soviets covered many points which were the primary responsibility of the zone commander and he said he could not accept these implications as long as [Page 790]there was failure to agree on the treatment of Germany as an economic whole.

French member indicated that in report due for submission to Council of Foreign Ministers on September 1 primary emphasis might be given to coal distribution, whereas the more complicated question of production could be dealt with more fully in subsequent study.

Control Council finally agreed to following conclusion: (a) Preliminary report on coal production and apportionment to be presented by experts by August 25 with a view to submission to CFM by September 1, after examination by Coordinating Committee and Control Council, (b) Second and final report to be completed by coal experts by October 10. (c) First report would cover points envisaged in proposed US, British and French terms of reference, plus such points from proposed Soviet terms of reference as might be found necessary, and in addition any other matters found to be appropriate for study on the spot, (d) Full and final report would contain complete program determined by Experts Committee.

Sent Department as 1826; repeated to Moscow as 204 (Dept please relay to Moscow), Paris for Matthews as 223; London as 264.

Murphy