860C.51/5–646: Telegram
The Secretary of State to the Acting Secretary of State51
[Received 11:27 p.m.]
2181. For the Acting Secretary from Secretary. I have received a verbal report this afternoon from Lane regarding his conversation with Polish Acting Foreign Minister May 4, and regarding Poland’s having failed to live up to conditions agreed to in exchange of notes relative to the extension of a total credit of 90 million dollars. I have informed Lane that I support his recommendation that no further negotiations be had with Poland about surplus property until conditions agreed upon in Eximbank credit contract have been met by Poland. Lane tells me that Modzelewski promised him May 4 to furnish us during the present week with copies of Poland’s economic treaties. We should insist that this promise be fulfilled.
Lane also informs me that up to May 4 Polish Government had not published text of notes exchanged in Washington as had been agreed upon. He reports that Modzelewski was evasive regarding date of publication and indicated that text of notes, although authorized by Polish Government, had not yet been received from Ambassador [Page 449] Lange. If the Polish Government does not comply with provisions agreed upon, I would consider withholding credit negotiated within Eximbank.
According to information which Lane has obtained from OFLC,52 total of approximately $3,700,000. has been delivered to Poles from surplus supplies and further delivery of material totalling $10,115,297.11 has been authorized for delivery. Lane says that he was assured by General Pritchard that delivery of this last-mentioned property can be stopped if Department will so instruct OFLC. Will you please arrange for the issuance of such instructions?
Will you kindly inform Ambassador Lange of foregoing and also instruct Embassy in Warsaw to advise appropriate Polish authorities.