871.6363/11–2344: Telegram
The American Representative in Rumania (Berry) to the Secretary of State
[Received November 24—11:36 a.m.]
22. Yesterday afternoon I informed Mr. Vyshinsky of Department’s point of view (No. 392, November 17, 5 p.m. to AmPolAd) on problem created by reaction by Soviet authorities in removing some 23,000 tons of tubes, parts and other equipment from warehouses of various oil companies in Rumania.
After listening intently to my statement Vyshinsky replied he agreed the quick rehabilitation of Rumanian oil industry was important. He said Soviet Command had removed only equipment that was in excess to needs of the Rumanian industry and so removals would not retard rehabilitation of the industry. He added Baku and Maikop fields were in great need of equipment and shipments here of Rumanian equipment would serve our common effort.
Vyshinsky argued equipment sent to Russia was not purchased by the oil companies prior to the war. It was all German equipment sent to Rumania during the war not as payment for Rumanian oil but for reshipment to Soviet fields as soon as they were captured by [Page 264] the Germans. Under such circumstances Soviet Command regarded the equipment as war booty.
I said I understood Tzbesano [sic] equipment in warehouses of Romano-Americana represented partial payment for oil delivered at a time when the company was working under duress for the Germans.
Vyshinsky answered that there might be room for discussion on question of title if one took the formal point of view. But he preferred a broader point of view. He suggested the amount of equipment was so small it might be written off as a minor Lend-Lease shipment.
To this I said point at issue was not the value of equipment taken away but the designation of property of an American company as war booty and removal of such property without prior consent of American Government.
In concluding the discussion of the topic, Vyshinsky said he could not agree as Soviet authorities held the equipment to be war booty but he was in agreement Rumanian oil industry should be quickly rehabilitated and he could assure me necessary parts were in stock for at least a year. He said finally he would inform Moscow immediately of State Department’s interest in reviewing the whole question.