Telegram from Secretary of State Dean Acheson to American Embassy, Pusan

OUTGOING TELEGRAM Department of State RE 11474 INDICATE: COLLECT SEORUT CHARGE TO THIS MSG STATE DISTRIBUTION RECEIVED DC/T ACCEPTANCE UNIT SENT TO: AMEMBASSY, PUSAN 572 RPT TO: USPOLAD, TOKYO TOPAD 2091. JAN 29 9 34 PM '52 24- Origin FC See DA reply being sent today to CINCUNC's CX 62138. info: Part one reply authorizes CO clusion aid agreement with joint control SS G foreign exchange in language acceptable UNC in consultation with you, and UNA E authorises as bergaining lever assurances RE releases accrued and future DOIS DCR DCRM from WORD sales to troops. Part two grants CINCUNC as interim matter AUTH requested PARA 5 CX 62138. Part three sets forth as suggestion for discussing with ROK without consitment and SUBJ later WASH action (1) reduction won drawings inter alia by payments in kind for services and transfer some charges to ROK budget, using proceeds sales aid goods as ROK revenue to help defray; (2) pay- as-you-go for won drawings for US forces procurement excluding won dream expenditures on behalf ROK within framework financial agreement and related xprocedures. Dist. FOL comments for your gaidance in your discretion in discussions in field. Desired (Offices Only) DEPT proposed Part three reply as reformulation in less far-reaching form of CINCUNC proposals and WLD have preferred have set forth without strings attached. DEPT consurred in DA MSG because of limited time and importance giving adequate discretion authorities in field. While exact operation CINCUNC proposals not clear, appears undesirable sano use proceeds won sales as source won for needa US forces since fresses objective can be Drafied by: Telegraphic transmission and 1/29/52 classification approved by: NA and Robert J. G. McClurkin in principle E.O. 12065, Sec. 3-402 ⑉ line SEORED State Dept. Guidelines, March 6, 1982 REPRODUCTION FROM THIS By, DEB NLT, CLASSIFIED, IS 5