893.24/9–1746

The Acting Secretary of State to the Chinese Ambassador (Koo)

Excellency: I have the honor to refer to the Agreement between the Government of the United States of America and the Government of the Republic of China under Section 3 (c) of the Lend-Lease Act which was signed on June 28, 1946.26 This Agreement provides in Article II (c) for the continuation after June 30, 1946 of the Chinese Air Force training program, and in Article III for the payment therefor by the Chinese Government upon presentation of bills.

I have been advised by the War Department that the Chinese Air Force training program cannot be continued beyond the next few weeks without the receipt of additional funds to cover the anticipated future costs of the program.

The check for $4,000,000 which was turned over by your Government to the War Department at the end of June, 1946 in partial payment of the anticipated costs of the training program after June 30, 1946 will have been obligated by the end of this month. Consequently, if the program is to be continued without interruption, it will be necessary for the War Department to receive an additional amount of $4,750,000 to cover the estimated future costs of the program.

It would be appreciated if payment of the sum of $4,750,000 could now be made in the form of a check drawn to the order of the “Treasurer of the United States”, which should then be forwarded to this Department for appropriate disposition.

Accept [etc.]

William L. Clayton
  1. Department of State T.I.A.S. No. 1746, or 61 Stat. (pt. 4) 3895.