663.001/1–1650: Telegram

The Minister in Austria (Erhardt) to the Secretary of State

secret

67. Soviet attitude at Friday’s Allied Council meeting2 was marked by more than usual toughness and strong denunciations of Austrian Government and of Western Occupation Powers.

Zheltov3 in discussing currency conversion ordinance accused Austrians of acting on US orders contrary to Austrian interest. Devaluation is a “plot behind the back of the Austrian people” to give the US an extra 1,300,000,000 schillings a year at the expense of higher prices, employment, poorer conditions for workers.

Although extradition of war criminals has been on agenda of almost every EC meeting for almost two years and has not usually been referred to AC because attitudes of all powers are well-known, Soviets sent it this time to AC and accused Western Powers of “definite attitude of patronizing war criminals,” implied Austrians give US and Britain information they hide from Soviets.

Soviets demanded establishment of camps for implicated Nazis; other elements pointed out [Denazification Law of 1947?] now provides for such camps only for Nazis who are “extreme danger” to Austrian Democracy and saw no such danger. Zheltov then referred to his previous exposes of Nazi danger, accused US of attitude which “creates an especially-favorable atmosphere for further activities of anti-democratic Nazi elements” and three Western Powers of “reluctance to take correct, practical measures against the revival of Nazis”.

Another important item on agenda was Chancellor’s letter to AC deploring deterioration of security in lower Austria and asking right [Page 368] to use arms in self-defense against persons in allied uniform.4 Soviets stated security lower Austria purely Soviet matter, not subject allied discussion. Because of many Nazis in police and because “democratic elements are now being expelled” (evidently reference to very cautious but long-standing efforts Helmer5 to oust Communists from positions of influence in police) he could not agree to Chancellor’s request.

Also discussed was Chancellor’s protest re countermanding by Soviets of order from Minister of Interior removing two police officials in St. Poelten. Zheltov again refused to discuss on grounds matter is within competence of Soviet High Commissioner. Asked why Austrians ask US and British aid in such matters, and why police dismissed in Soviet Zone as unfit are hired in US-Britain Zones.

Such denunciations by Soviets are not new, but vigor and intensity of Zheltov’s charges last Friday were especially marked. Although Zheltov generally prefers to debate extemporaneously, his statements this time were all prepared in advance and read.6

Erhardt
  1. A full report on the Allied Council meeting of January 13 and the Executive Committee meeting on January 6 was transmitted in telegram PC–22554, January 13, from Vienna, not printed (763.00/1–1350).
  2. Col. Gen. Alexei Sergeyevich Zheltov, Soviet Deputy High Commissioner for Austria.
  3. No record of Chancellor Leopold Figl’s letter to the Allied Council has been found in Department of State files.
  4. Oskar Helmer, Austrian Minister of the Interior.
  5. In commenting further on the Soviet attitude, Legation Vienna reported:

    “Assuming that Soviets have decided prevent or at least delay agreement on treaty, Legation believes their attitude here can be explained merely as attempt intimidate Austrian Government and people into acquiescence this Soviet decision. It cannot be excluded, however, that there may have been basic alteration in Soviet strategy for their fundamental aim of eventual integration of Danubian Basin areas. In our view, this would mean that Soviets have abandoned for present their expectation that Austria could be harvested as plum from tree at convenient opportunity after treaty came into effect; that they realize liquidation of Tito regime will be longer, more difficult task than they first anticipated, and that they must proceed now with further integration areas they control, including Eastern Austria.” Telegram 101, January 19, from Vienna, not printed. (663.001/1–1950)