861.24/6–2649
The Ambassador of the Soviet Union ( Panyushkin ) to the Secretary of State
[Translation]
No. 78
Sir: With reference to the note of the Acting Secretary of State of the U.S.A. Mr. Webb of May 25, 1949, I have the honor upon instructions from the Soviet Government to communicate the following.
The Embassy’s note of December 9, 1948 set forth the proposals of the Soviet Government concerning the settlement of all questions relative to the lend-lease accounts and in particular advised of the agreement of the Soviet Government that experts of both parties would discuss the arrangements and date for the return by the Soviet Union of the 28 frigates and 3 icebreakers, the conditions of sale to the Soviet Union of a certain quantity of naval vessels transferred to the USSR under lend-lease, and the arrangement and dates for the return to the U.S.A. of the remaining portion of these vessels. In this connection it was envisaged that experts would also discuss the question concerning the conclusion of a special agreement on the sale of merchant vessels to the Soviet Union.
The Soviet Embassy in making the proposals set forth in the Embassy’s note of December 9, 1948 and in particular expressing agreement for the return of the icebreakers, frigates and a portion of the other naval vessels in the absence of the necessary conditions arising from Article V of the Agreement of June 11, 1942 had grounds to expect that the Government of the United States would appropriately evaluate the significance of the proposals contained in the reference note as a step contributing to the rapid and complete settlement of lend-lease questions.
Instead of this, the Government of the U.S.A. in its notes of January 11 and May 25, 1949 pursued the course of artificially isolating the question of the return of the naval vessels from the series of questions forming the contents of the Embassy’s note of December 9, 1948, and has given no reply up to the present on the substance of all the proposals of the Soviet Government relative to the lend-lease settlement.
Such a position of the Government of the U.S.A. has been the reason for the delay in the settlement of the questions relating to the vessels mentioned in the note of the Acting Secretary of State Mr. Webb of May 25, 1949.
In view of the foregoing, the Soviet Government cannot concur in the assertion contained in the reference note of Mr. Webb that the Soviet Government is allegedly not fulfilling its obligations under [Page 710] Article V of the Agreement of June 11, 1942 and considers such an assertion as groundless.
The Government of the USSR rests on its former position of desiring the most rapid settlement of lend-lease questions. Accordingly and for the purpose of creating favorable conditions for the successful conclusion of the negotiations on the lend-lease questions the Government of the USSR will appoint in the near future its experts to discuss with American experts the dates and arrangements for the return of the 3 icebreakers and the 28 frigates.
Accept [etc.]