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J. 333305-M N Galley 161 UNCORRECTED GALLEY PROOF has just been sent to me, runs counter to this concept, and, as far as I can understand it, sets up an economic control within each of the three or four separate military zones without taking account of the existing nationalized transport system and without prior provision for common utilization of the food surpluses, most of which will be in the Russian zone, and of coal, all of which will be in the British and Russian zones. These are only examples of problems that must be faced. There are two other considerations that I believe should not be lost sight of. One, that contradictory basic regulations in the separate zones are likely to lead to serious friction between the Allied forces of occupation and would encourage the Germans to try to play one Ally against another. Two, sinco we have insisted in the Surrender Instrument that the signatory Powers are "acting in the interests of the United Nations", we have taken on a trustee obligation to other European United Nations which we will fail to discharge unless we get agreement, for example, on freezing of property until equitable arrangements can be made to protect the rights of our other Allies to restitution and reparation. I hope I may have an opportunity to discuss these problems with you when we meet. Sincerely, JOHN GILBERT WINANT Matthews Files The Ambassador in the United Kingdom (Winant) to the Secretary of State [Excerpts]1 1 For other portions of this letter, see post, p. - SECRET LONDON, January 28, 1945. DEAR ED, Since I have not had an opportunity to see you, there are two matters that I would like to bring to your attention before the coming Conference. The other matter I want to take up with you has to do with the European Advisory Commission. I am enclosing a copy of a letter which I am sending to the President,2 and also a copy of an Economic 2 Supra. Directive which I received this week from the Department and was told to present to the Commission. If you read it you will find that 3 Not printed. it is in contradiction with the position of the State Department as it relates to Germany, according to the most recent policy statement, which I am also enclosing. This latter paper is in line with the posi- tion taken informally by the Russians and the British in the Advisory Commission. The proposal in the Economic Directive forwarded to me is so con- trary to the Russian position and to that of the British that I am post- poning introducing it into the Commission until I have had an oppor- tunity to talk with the President. If I did introduce it, the Russian Government might fail to confirm either the Control Machinery Agreement or the Protocol on Zones of Occupation recommended by

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    "ocrText": "J. 333305-M N\nGalley 161\nUNCORRECTED GALLEY PROOF\nhas just been sent to me, runs counter to this concept, and, as far\nas I can understand it, sets up an economic control within each\nof the three or four separate military zones without taking account\nof the existing nationalized transport system and without prior\nprovision for common utilization of the food surpluses, most of\nwhich will be in the Russian zone, and of coal, all of which will be in\nthe British and Russian zones. These are only examples of problems\nthat must be faced.\nThere are two other considerations that I believe should not be\nlost sight of. One, that contradictory basic regulations in the separate\nzones are likely to lead to serious friction between the Allied forces of\noccupation and would encourage the Germans to try to play one Ally\nagainst another. Two, sinco we have insisted in the Surrender\nInstrument that the signatory Powers are \"acting in the interests of\nthe United Nations\", we have taken on a trustee obligation to other\nEuropean United Nations which we will fail to discharge unless we\nget agreement, for example, on freezing of property until equitable\narrangements can be made to protect the rights of our other Allies to\nrestitution and reparation.\nI hope I may have an opportunity to discuss these problems with\nyou when we meet.\nSincerely,\nJOHN GILBERT WINANT\nMatthews Files\nThe Ambassador in the United Kingdom (Winant) to the Secretary\nof State\n[Excerpts]1\n1 For other portions of this letter, see post, p. -\nSECRET\nLONDON, January 28, 1945.\nDEAR ED, Since I have not had an opportunity to see you, there are\ntwo matters that I would like to bring to your attention before the\ncoming Conference.\nThe other matter I want to take up with you has to do with the\nEuropean Advisory Commission. I am enclosing a copy of a letter\nwhich I am sending to the President,2 and also a copy of an Economic\n2 Supra.\nDirective which I received this week from the Department and was\ntold to present to the Commission. If you read it you will find that\n3 Not printed.\nit is in contradiction with the position of the State Department as it\nrelates to Germany, according to the most recent policy statement,\nwhich I am also enclosing. This latter paper is in line with the posi-\ntion taken informally by the Russians and the British in the Advisory\nCommission.\nThe proposal in the Economic Directive forwarded to me is so con-\ntrary to the Russian position and to that of the British that I am post-\nponing introducing it into the Commission until I have had an oppor-\ntunity to talk with the President. If I did introduce it, the Russian\nGovernment might fail to confirm either the Control Machinery\nAgreement or the Protocol on Zones of Occupation recommended by"
}