Foreign Relations of the United States, 1949, Council of Foreign Ministers; Germany and Austria, Volume III

CFM Files: Lot M–88: Box 142: United States Delegation Minutes

[Translation]

Memorandum by the Soviet Delegation to the Council of Foreign Ministers ¹

secret

[Paris, June 16, 1949.]

[Austrian Treaty]

The USSR Delegation agrees with the proposals set forth in the Memorandum of Mr. Schuman of June 15 on the Treaty for Austria² provided that the following more accurate definitions are introduced into these proposals:

1. To add in par. “a” that the Treaty for Austria shall contain provisions for the guarantees of the rights of the Slovene and Croat national minorities in Austria.

2. In par. “c” after the words: “except those rights to the oil assets and Danube Shipping Company properties transferred to the Soviet Union under other paragraphs of Article 35 of the Treaty” to add the words: “indicated in the USSR proposal of January 24, 1948.”³

Also in the part which deals with reciprocal waivers of creditor claims delete the words: “with reciprocal waivers of creditor claims arising out of exercising the Allied Control of these properties, rights or interests after May 8, 1945” and insert the words “and the assets transferred to the Soviet Union as well as the assets which the Soviet Union cedes to Austria shall be transferred without any charges or claims either on the part of the Soviet Union or on the part of Austria.” At the same time it is understood that the words “charges or claims” mean not only creditor claims arising out of exercising the Allied control of these properties, rights or interests after May 8, 1945, as it is stated in the Memorandum of Mr. Schuman of June 15, 1949, but also all other claims including the claims on taxation.

It is also understood the reciprocal waivers by the USSR and Austria of charges and claims apply to all charges and claims to such extent as they will be on the date when Austria formalizes the rights of the USSR to the German assets transferred to it and on the date of the actual transfer to Austria of the assets ceded by the Soviet Union.”

3. As to the proposal set forth in the Memorandum of Mr. Schuman with respect to war booty the USSR Delegation agrees to cede to Austria on account of the global sum of $150 million the industrial enterprises of military character, houses and similar real estate property on the understanding that the Deputies will be instructed to define more accurately the category of war booty transferred to Austria.

1. This memorandum was circulated at the 21st meeting of the Council June 16, 1949; for the minutes of that session, see p. 1026.
2. For the text of this memorandum, see footnote 5 to the minutes of the 21st session of the Council, June 16, p. 1009.
3. The text of the January 24, 1948, Soviet proposal on German Assets in Austria, CFM(D) (L) (48) (A)1, is printed in Foreign Relations, 1948, vol. ii, p. 1448.