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TOP SECREI - 168 - The Reparations Commission also agreed on a tentative procedure for dividing reparations among the smaller recipients. The following steps would be taken: (1) The Reparations Commission was to invite each of the United Nations to submit data describing the nature of its reparations claims. (2) The Commission would then decide on a tentative list of countries to receive reparations and on a tentative distribution of shares among them. (3) The Com- mission would negotiate with the governments entitled to reparations in an effort to gain their agreement to the percentage share allotted to them. (4) If these negotiations were successful, the Commission would invite the nations to a special conference which would proceed to draft a general reparations agree - ment. 1 The Reparations Commission did not agree on a detailed plan for carrying out the actual distribution of reparations among Allied nations. The United States Delegation, however, prepared a staff memorandum which contained such a plan. 2 After the percentage formula had been worked out by the Reparations Commission and a diplomatic meeting of all interested nations had been held, an inter-Allied agency would be created which would perform a number of policy and adjudicative functions. It would determine priorities, apportion transfers by zones, study the effects of removals on the German economy, approve or issue vesting orders on German foreign and domestic assets, and adjudicate claims, conflicts, and appeals under the reparations agreement. Under this American staff proposal, administrative functions, as distinct from policy and adjudicative functions, were to be performed by the zone commanders, acting in 1ACR, "Procedure for Settling the Provision of Reparations between Countries other than the U.K., U.S.A., and U.S.S.R. (Collado Papers, No. 2, p. 12.) 2ACR Report, Appendix 20. TOP SECRET

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    "ocrText": "TOP SECREI\n- 168 -\nThe Reparations Commission also agreed on a\ntentative procedure for dividing reparations among\nthe smaller recipients. The following steps would\nbe taken: (1) The Reparations Commission was to\ninvite each of the United Nations to submit data\ndescribing the nature of its reparations claims. (2)\nThe Commission would then decide on a tentative list\nof countries to receive reparations and on a tentative\ndistribution of shares among them. (3) The Com-\nmission would negotiate with the governments entitled\nto reparations in an effort to gain their agreement to\nthe percentage share allotted to them. (4) If these\nnegotiations were successful, the Commission would\ninvite the nations to a special conference which\nwould proceed to draft a general reparations agree -\nment. 1\nThe Reparations Commission did not agree on a\ndetailed plan for carrying out the actual distribution\nof reparations among Allied nations. The United\nStates Delegation, however, prepared a staff memorandum\nwhich contained such a plan. 2 After the percentage\nformula had been worked out by the Reparations\nCommission and a diplomatic meeting of all interested\nnations had been held, an inter-Allied agency would\nbe created which would perform a number of policy\nand adjudicative functions. It would determine\npriorities, apportion transfers by zones, study\nthe effects of removals on the German economy,\napprove or issue vesting orders on German foreign\nand domestic assets, and adjudicate claims, conflicts,\nand appeals under the reparations agreement. Under\nthis American staff proposal, administrative functions,\nas distinct from policy and adjudicative functions,\nwere to be performed by the zone commanders, acting\nin\n1ACR, \"Procedure for Settling the Provision of\nReparations between Countries other than the U.K.,\nU.S.A., and U.S.S.R. (Collado Papers, No. 2, p. 12.)\n2ACR Report, Appendix 20.\nTOP SECRET"
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