Extracted text

OCR Page 1 of 6
NLT(PSF/NSC) 316 TOP SECRET MINUTES OF THE 7th MEETING OF THE NATIONAL SECURITY COUNCIL held on Thursday, March 11, 1948, in the Conference Room at The White House MEMBERS PRESENT George C. Marshall, Secretary of State, presiding Kenneth C. Royall, Secretary of the Army John L. Sullivan, Secretary of the Navy Arthur M. Hill, Chairman, National Security Resources Board Eugene Zuckert, Assistant Secretary of the Air Force SECRETARIAT Sidney W. Souers, Executive Secretary James S. Lay, Jr., Assistant Executive Secretary TRUMAN ARCHIVES *NATIONAL RECORDS AND ADMIN." Es ACTIONS THE POSITION OF THE UNITED STATES WITH RESPECT TO ITALY (NSC 1/2) In response to a question, SECRETARY ROYALL stated that he has received an Executive Order authorizing him to transfer equipment to Italy without reimbursement. He said that the current problem in this respect is that Iran is unable to pay the packing and ship- ping charges for military equipment. In Secretary Royall's opinion, the Iranians need and deserve these arms and should receive them if any way can be found for the U.S. to pay the packing and shipping charges. He feels that the Iranians have shown themselves to be as courageous as any people. SECRETARY MARSHALL said that he was very concerned about the lack of financial resources in this Government to do things quickly, particularly when it is desirable that the actions not be documented. He had an emergency fund during the war which proved very valuable. He did not spend much of it but used it primarily to underwrite urgent projects until the necessary funds could be obtained. He feels there is an urgent necessity for concealed funds which should probably be appropriated to the Central Intelligence Agency. He believes that Congress may be ready to appropriate such funds. DECLASSIFIED E.O. 12958, Sec. 3.5 BYDJM Date 5/29/98 TOP SECRET