740.00119 Control (Italy)/1–1347

The Yugoslav Ambassador ( Kosanović ) to the Secretary of State

Pov. Br. 56

The Ambassador of the Federal Peoples Republic of Yugoslavia presents his compliments to the Honorable the Secretary of State and has the honor to inform that since April, 1946, machines, industrial plants and transportation equipment are being transported to Italy or those parts of Zone A which according to Draft Peace Treaties would not be allotted to Yugoslavia.

Among other things there have been removed from shipyard Olivi in Pula: one cilindrator weighing 12 tons (on 16th August, 1946), seven electrical motors, six hydraulic pumps and other machines; and there appears to exist scheme to dismantle whole shipyard and transfer it from Pula to Trieste. From Vallelunga in Puza following equipment has been taken away: about twenty machines, three complete lathes with motors and one lathe without motor from mechanic workshop, four electric motors from powerstation, six pumps of sixty to eighty horsepower from laboratory and other machines. Preparations are made at present for the dismantling of padlock factory Fonda at Pulz; twenty-nine electrical machines of this factory have as a matter of fact already been dismantled and packed into cases bearing inscription tobacco with view to their clandestine removal from Pula.

Allied Military Authorities themselves take active part in this economic devastation of Julian March by offering their assistance with regard to aforesaid removals. For in most cases dismantling is done by members of civil police themselves, that is, by organs of Allied Military Authorities. Moreover these authorities have dismantled and removed railway tracks on the line Prvacina–Volcja Drage–Gorica which finds itself in that part of Zone A which according to Draft Peace Treaties is to fall to Yugoslavia. Furthermore, Allied Authorities [Page 57] have exported to Italy transport equipment (Diesel operated carriages, locomotives and carriages) from stations of Pravcina, Volcja Draga, Sv. Gora and others.1

The Yugoslav Government consider that both toleration of removal and active participation in it by Allied Military Authorities are in contradiction with clauses of Devin Agreement.2 Indeed, according to this agreement, no plants or industrial facilities shall be removed from Julian March. This rule has expressly been inserted in agreement so that normal economic life of Julian March would not be disorganized. By said removals, however, the economic structure of whole districts of Julian March is being altered and their normal economic life greatly interfered with, in fact, precisely that is being done which according to Devin agreement should have been prevented. Up to the present several thousands of workers are unemployed in Pola district alone because of the displacement of industry, and in addition to this craftsmen, merchants and officials linked with this industry, are forced to emigrate which in its turn has further serious economic consequences. To what extent the interests of the inhabitants of Julian March are thus involved is shown by the fact that the local population by all means at their disposal try to prevent dismantling and removal of machinery upon which their livelihood depends.

Moreover, the Yugoslav Government consider that such proceedings of Allied Authorities constitute also attempt to frustrate in advance of Yugoslavia in case peace treaty comes into force. According to Draft Peace Treaty with Italy (Annex 3) prepared by the Council of Foreign Ministers successor state shall be entitled to statal rastatal [parastatal?] property situated on territory assigned to it, and in respect of private property only optants shall be permitted, under certain conditions to take with them their movable property. Industrial plants, however, cannot be treated as movable but they must be treated as immovable property. In addition, the Yugoslav Government consider that the Draft Peace Treaty, although not yet binding powers having prepared it nevertheless, having the character of an international declaration, obliges them not to undertake actions which would in advance frustrate the possibility of its fulfillment.

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In view of the above, the Yugoslav Government:

Firstly, most energetically protest against aforesaid violation of Devin Agreement and evading of obligations which the American Government undertook as one of the chief authors of the Draft Peace Treaty with Italy, thereby most ruthlessly offending the interests of those districts which, according to Draft Peace Treaty, should fall to Yugoslavia, as well as the interests of Yugoslavia herself;

Secondly, request for immediate suspension of further removals and displacements of industrial plants and transport equipment at Pola and other parts of Zone A of Julian March and for the return of equipment already taken.

Notwithstanding the above however the Yugoslav Government reserve the right to make the British and the United States Governments—as the mandatory occupying governments—responsible for all the damage which has been caused to Yugoslavia legitimate interests by such proceedings of Allied Military Administration.

S[ava] N. K[osanović]
  1. The spelling of place names in this paragraph follows exactly that of the original text.
  2. Appendix “I” of the Duino Agreement, “Economic and Traffic Measures,” merely provides in paragraph 4 of clause 1c: “No plant or industrial facility will be moved out of Venezia Giulia during the period of this agreement.”

    The full text of the Agreement, signed on June 20, 1945, at Duino by Lt. Gen. W. D. Morgan for Field Marshal Sir Harold R. L. G. Alexander, Supreme Allied Commander, Mediterranean Theater of Operations, and by A. Jovanovic for Marshal Josip Broz Tito, Supreme Commander of the Yugoslav Army, together with the appendices and map, is filmed on Roll 342–C, Microfilm Records of Allied Force Headquarters, National Archives and Records Service. The original papers are in London at the Historical Section of the British Cabinet Office.