Foreign Relations of the United States: Diplomatic Papers, 1943, Europe, Volume II

740.00113 European War 1939/1076: Telegram

The Acting Secretary of State to the Consul General at Algiers (Wiley)

Washington, November 2, 1943—midnight.

2048. For Murphy and Hoffman⁸¹ from Stettinius⁸² and Morgenthau. Your 1513, September 1; 1962, September 20;⁸³ and BOC Airgram 129, October 11.⁸⁴ Issue raised in telegrams and airgram under reference have received detailed consideration and the following position has been decided upon:

1. The United Nations Declaration is not sufficiently relevant to warrant its use as the basis for this Government’s position on the discrimination issue. The issue is faced on its merits and the conclusion is in no way dependent upon the Declaration.

2. As we understand it, the Commissariat of Finance is examining three possible courses of action for recommendation to the Comité with respect to fines and levies imposed on the Jewish Community in Tunis.

(a) Loans would be made to the Jewish Community which would distribute funds to individual members of the Community and the Community would formally acknowledge the debt to the banks but no security would be pledged. Loans would be of indefinite maturity and guaranteed by Tunisian Treasury which would pay all charges, including interest. Amount of loans would be sufficient to repay previous bank loans and to reimburse fully the members of the Community who advanced funds and mortgaged or sold property to meet fines and levies. Ultimate decision on question whether loans are to be considered as final obligation of the government or to be repaid by the Community, and if so under what terms and conditions, would be made only after the facts concerning fines and levies in other areas of colonial and metropolitan France have been ascertained.

(b) To have the French authorities assume responsibility in the first instance, i.e., to make funds available in the form of a gift by the authorities, rather than by a loan which would permit the authorities to leave the ultimate decision for later determination.

(c) To take action as provided in (a) or (b) above and also to make funds available up to fixed amount to all persons in Tunis for repair of property damaged or destroyed as result of war.

3. This Government favors the proposal as set forth in (b) and (c) with the French authorities assuming responsibility in first instance, subject to the following modificaton which is an additional point. Any other person or group of persons who were subjected to similar discriminatory treatment and injury should be entitled to relief also upon submitting proof of such discriminatory treatment and injury. For example, if Nazis seized or requisitioned property from a person or group of persons solely for the reason of such person or group of persons’ race or political views, similar discrimination would seem to be proved.

4. The reasons for this Government’s position are:

(a) Unless funds are now made available as gifts, total relief will be lacking as recipients will not have same freedom in respect to use of such funds in absence of knowledge that repayment will not be expected, nor payment of any carrying or interest charges, and

(b) From the standpoint of psychological warfare, restitution for the Jews is essential to show to the world that the United Nations guarantees of the Atlantic Charter⁸⁴ against racial discrimination mean what they say, and that Allies are fighting Hitler’s methods as well as Hitler.

The modification embodying an additional point is to provide a means for not disturbing the delicate Arab-Jewish relationship. We recognize the strength of the argument for the proposal contained in 2(a), as reported by you, but have concluded that this argument is over-weighed by the considerations set forth in 4 (a) and (b).

5. It is requested that the position of this Government be presented to the appropriate French authorities, unless you perceive some objection. At that time it should be made wholly clear to such authorities that we recognize clearly that the decisions are for the French to make and merely present our views to them for their consideration.⁸⁵

6. For your information we are repeating this to London⁸⁶ with the request that the British be strongly urged to take a similar position and because of the urgency of the matter do so without delay. We have asked the Embassy in London to keep you informed directly. [Stettinius and Morgenthau.]

Stettinius

81. M. L. Hoffman, Assistant Director of Foreign Funds Control, Treasury Department, on detail in North Africa.
82. Edward R. Stettinius, Jr., Under Secretary of State.
83. Not printed.
84. Not printed.
84. For text of United Nations Declaration of January 1, 1942, embodying the Atlantic Charter, see Foreign Relations, 1942, vol. i, p. 25, or Department of State Executive Agreement Series No. 236, or 55 Stat. (pt. 2) 1603.
85. In telegram No. 2035, November 20, 1 p.m., the Consul General at Algiers reported that local political considerations made it inadvisable to present program to the French immediately (740.00113 European War 1939/1147).
86. Repeated as telegram No. 6889, November 2, midnight, to the Ambassador in the United Kingdom.