740.00119 Control (Germany)/10–1549: Telegram

The United States High Commissioner for Germany (McCloy) to the Secretary of State

confidential
priority

3136. 1. The Allied High Commission met today with Chancellor Adenauer at Petersberg at 9:30 and 3:30 and with IAR at 11 o’clock.

[In numbered paragraphs 2–4 McCloy summarized the discussion with Adenauer concerning Franco-German relations and European integration. For further documentation relating to these subjects, see pages 266 ff.]

5. At 3:30 p. m. the discussions resumed with statements made by Adenauer concerning Berlin. He maintained that SPD factions in [Page 417] the Bundestag were going to raise the issue of the admittance of the Western sectors of Berlin as a 12th Land. This he attacked as appeals to “cheap nationalism”. He made it clear that in his opinion, giving Land status to Berlin would not solve the present difficulties in Berlin. Regarding the financial status of Berlin, he stated that money poured into Berlin is being wasted and that orders which should have been filled in Berlin were being filled in Western Germany because prices were lower in the latter area; Further, that because of “Socialist” policy in Berlin, business as a whole is suffering. He proposed that Federal Republic representatives of the Economics, Food and Finance Ministries should be installed and located in one building in Berlin as soon as possible and that the Federal Republic should supervise the utilization of the money spent in Berlin including approval of the budget.

6. With respect to Berlin as a 12th Land, he asked the council if quadripartite agreements on status of Berlin were still in force. He pointed out that the Soviets maintain that such agreements are still valid. This is manifest in the Soviet action in not incorporating Berlin in the area under new Eastern German Government. I replied that our position has been that quadripartite agreements as to international character of Berlin are still in force and are in a state of suspended animation. Although quadripartite agreements have been violated by one party, we maintain our rights in Berlin and that any further violation of these agreements would be of greatest concern to the Western Allies.

7. I informed Adenauer that the Council was not in a position to state our opinion with respect to Berlin as a 12th Land, and that we reserved our position in order to study further developments and the views of the Germans. At this point, a recess was called. Upon reconvening, I declared that the Council agreed,

(1)
That we welcome proposals on aid to Berlin based upon Federal Republic control of utilization of funds;
(2)
That Federal Republic representatives from the Economies, [Economics] Food and Financial [Finance] Ministries in Berlin is in order;
(3)
That quadripartite agreements, even though repeatedly violated by one party, do have juridicial existence;
(4)
That our position with respect to Berlin must be clarified as soon as possible and measures we had discussed should be expedited. In this connection, the Council agree to make available to Adenauer the Allied financial report on Berlin1 and to facilitate meetings between our experts and Federal Republic experts on this matter.

[Page 418]

[In the last three paragraphs of the source text McCloy reported on dismantling, a statement to the press concerning the meeting with Adenauer, and the High Commission’s meeting with the IAR. Regarding the subject of dismantling, see pages 594 ff.]

McCloy
  1. The report under reference has not been identified further.