859B.20/1–2948

Memorandum of Conversation, by the Acting Chief of the Division of Northern European Affairs (Hulley)

top secret

The Danish Ambassador2 talked with Mr. Lovett3 January 29, 1948 for nearly two hours. He said that he spoke as the representative of his Government, as a friend of the United States, and as a personal friend of Mr. Lovett. He would discuss three problems, namely, Green land, German refugees, and compensation for requisitioned ships. He then took up these problems in inverse order.

. . . . . . . . . . . . . .

German Refugees in Denmark

The Ambassador emphasized Danish inability to understand why the United States Zone in Germany could not take the small number of 8,000 or 10,000 refugees and in cooperation with the other Zone enable Denmark to get rid of this unfair burden which it had carried for two and one-half years.

Mr. Lovett said that he had been conducting a crusade to relieve Denmark of these refugees, and that both he and the Secretary had thrown their full weight behind the Danish request. They had no succeeded so far because of the extremely serious problem in Germany which he feared was not adequately understood in Denmark Mr. Lovett pointed out that the American Zone has already received refugees from other countries and that more refugees continue to in filtrate. The problem was complicated by our now taking over financia responsibility for the British Zone so that our occupation of Germany is costing $1,250,000,000 a year. Acceptance of additional refugee into the British Zone would mean their support at American expense. The problem was further complicated by Congressional objections to [Page 585] increasing our occupation costs in Germany and to the delivery of German industrial equipment to IARA countries of which Denmark being one receives a small share.

The Ambassador said that it would help him very much to receive a note showing what efforts had been made by the United States to solve the problem and setting forth the obstacles which prevent solution. Mr. Lovett said that such a note could be prepared if he felt it would serve any useful purpose. After further discussion of the difficulties in Germany, Mr. Lovett said that preparation of a note along the lines desired would be undertaken. He added that the ultimate solution might depend on arrangements for relieving the German population congestion by sending DP’s out of Germany thereby making room for German refugees from Denmark. Mr. Kauffmann said that he had advocated to his Government last summer that it participate in the settlement of DP’s abroad and had suggested that the Scandinavian countries plan together to receive a share of them, but that his Government refused to consider the project before the refugees now in Denmark were removed.

Greenland

The Ambassador said that Greenland was the biggest problem for discussion. The Greenland Agreement4 had been a war-time arrangement which had continued for over two years since hostilities ceased, and he thought it was high time to liquidate it in line with the general idea of returning to peace-time conditions. He wanted to describe the present status of Danish public opinion on the question. He takes a more and more serious (evidently meaning pessimistic) view of the probability that the Danish people would accept an arrangement. Public opinion was influenced not only by the other problems he had mentioned, but also by the continuous Soviet propaganda which gained in effect because of Denmark’s exposed geographical location. It had also been influenced by the recent Panama episode,5 in that the Danes reason that they are much less favorably situated than Panama to take action which would be considered in some quarters as unneutral. He did not think that the recent change in Government in Denmark6 would influence the decision one way or the other.

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Mr. Lovett said we had been working on a draft agreement which would embody the views of the various Departments of our Government and he would present it at an early date. He hoped that the draft which was now practically ready could be finished in another week.

In closing Mr. Lovett left with the Ambassador the thought that conclusion of a satisfactory arrangement for the defense of Greenland might have a salutary effect on other Departments whose cooperation is necessary to reach solutions of the other problems presented.

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  1. Henrik de Kauffmann.
  2. Robert A. Lovett, Under Secretary of State.
  3. For the text of the Defense of Greenland Agreement of April 9, 1941, see Department of State Executive Agreement Series No. 204, or 55 Stat. (pt. 2) 1245; for documentation regarding the conclusion of the agreement, see Foreign Relations, 1941, vol. ii, pp. 35 ff.
  4. Reference here is presumably to the Panamanian National Assembly’s rejection on December 23, 1947, of the ratification of a defense sites agreement signed on December 10 by the United States and Panama. For documentation, see ibid., 1947, vol. iii, pp. 881 ff. Subsequent developments are documented in ibid., 1948, vol. ix, pp. 664 ff.
  5. A new government was formed by Prime Minister Hans Hedtoft on November 12, 1947.