861.24/9–2649

Minutes of Meeting of the Subcommittee on Naval Ships 1

secret

Present

  • R. G. Hooker, Chairman S/P
  • Capt. Wm. C. Floyd, Navy Dept.
  • Lt. Comdr. J. C. Davis, Navy Dept.
  • C. C. Matlock, EUR
  • F. T. Murphy, EP
  • M. H. Cardozo, L/E
  • J. M. McSweeney, EE
  • G. E. Truesdell, EE

There was presented for consideration by the group a memorandum from Mr. Truesdell to Mr. Hooker2 containing suggestions for a 4:00 p. m. meeting with Soviet Naval experts. A copy of this memorandum [Page 737] will be found in File No. 3 of the USSR Lend-Lease Settlement files.

The memorandum summarized Moscow telegram 2394 of September 3 [23]3 which states that the Embassy had been informed by the head of the American Section of the Foreign Office4 that Panyushkin had been authorized on September 22 to sign the agreement on return of lend-lease icebreakers and frigates as presented by the United States group. Although from the text of this telegram it appeared that Ambassador Panyushkin would sign the agreement it was considered possible that he might delegate his authority to Admiral Piterski. It was agreed that should Admiral Piterski sign that Mr. Hooker and Captain Floyd would sign for the United States; if the Ambassador should sign Mr. Thorp had stated that he would be available this afternoon or tomorrow for the purpose.

It was agreed that in view of the information contained in the Moscow telegram that the Soviets would probably not request any substantive modification of the agreement; however, if they should insist upon inclusion in the agreement of a guarantee by the United States not to retransfer the vessels to a third government, it was agreed that Mr. Hooker should under no circumstances make concessions but should attempt to place the Soviets in a defensive position by requesting an explanation of the basis for such a provision. It was suggested that in this connection Mr. Hooker might state that the President had determined these vessels to be of use to the United States as set forth in our note of October 7, 1948, that the Soviet Government had made no request for such a guarantee with respect to the return of the tankers a year ago last March, and that no other countries have insisted upon such a provision in returning lend-lease articles. It was agreed that it might be pointed out that these vessels were “leased” to the Soviet Government and therefore there was no question as to their being United States property and that the United States does not choose to limit itself as to how it handles its own property. It was agreed that Mr. Hooker might also state that such a guarantee would be a modification of article V of the Master Agreement which was a matter of substance and would have to be referred to the appropriate United States authorities. It was also agreed that Mr. Hooker might add at this point that this matter had been discussed by Ambassador Panyushkin with Mr. Webb and Mr. Thorp and it was not an appropriate matter for the Naval experts. Commander Davis objected to the use of the statement made by Mr. Webb in his discussion with the Ambassador that the United States does not in fact intend to dispose of these vessels. It was agreed that this statement should not be used [Page 738] by Mr. Hooker unless absolutely necessary. The group agreed that at the conclusion of a signing of the agreement on return of the icebreakers and frigates that Mr. Hooker or as the case may be Mr. Thorp should raise with his opposite number the question of further discussion by the experts of the details of return of other Naval craft citing, if appropriate, the several communications between our two governments which refer to this subject as follows:

  • Soviet note of December 9, 1948
  • United States note of May 25, 1949
  • Soviet note of June 26, 1949 and
  • United States note of July 26, 1949

  1. This meeting was held in the Department of State, beginning at 3:30 p. m.
  2. Not printed.
  3. Not printed.
  4. Georgy Filippovich Saksin was at this time Acting Chief of the American Division in the Ministry of Foreign Affairs of the Soviet Union.