740.00119 Control (Germany)/10–2845

The United States Political Adviser for Germany ( Murphy ) to the Secretary of State


869. The sixteenth meeting of the Coordinating Committee took place on Oct 26 with the French member presiding.

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As to the law vesting and marshalling German external assets which had been held up in the past by British objections, the British still objected to the clauses: (1) covering property of German nationals residing outside Germany; (2) covering property of German businesses or corporations; (3) giving the proposed External Property Commission the right to add to the categories of persons affected; (4) covering property transferred to nominees or trustees. The British member made it clear that he did not object to the purpose of these clauses but merely feared that they would be ineffective legally. The other three members shared the British misgivings but felt the matter sufficiently important to warrant the effort. As a result of the attitude of the others, the British member agreed to the full text of the law. General Clay stated that he felt the British willingness to comply with the opinions of the other members was a hopeful sign for the success of four-part govt in Germany.49

  1. For approval of the law on vesting and marshalling by the Allied Control Council, see telegram 896, October 31, 6 p.m., from Berlin, p. 848; for prior consideration by the Control Council, see pp. 832842, passim; for application of this law outside Germany, see vol. ii, pp. 852 ff.