740.00119 FEAC (Info)/7–3147: Telegram

The Secretary of State to the Political Adviser in Japan (Atcheson)

confidential

296. FEC 24. Reparations Shares. Reparations Committee of FEC has been working intensively for past several months in effort to obtain precise views of each country on FEC regarding percentage shares of Japanese industrial assets available for reparations to be allotted claimant countries. So far Committee has before it four complete official schedules submitted by USSR, US, UK and Netherlands; one official schedule by groups of countries submitted by China; one tentative official schedule by groups submitted by Canada; and four complete schedules submitted by New Zealand, Indian, Philippine, and French members, either as personal or delegation views. Australian only member who has submitted no views.

Problem now is to find equitable method of reconciling conflicting views of various countries, who place differing weights on various factors governing determination of reparations shares. However general pattern for shares of small countries has emerged and such shares could probably be approved with little difficulty. Principal differences of opinion are encountered in determination of shares of Big Four, but it is still hoped that solution to problem can be found.

Marshall