320/11–2150: Telegram

The Secretary of State to the United States Representative at the United Nations (Austin)

secret

Gadel 129. [Here follow three paragraphs indicating chiefly that the United States Delegation at the United Nations was authorized to negotiate a contribution for Korean relief by the United States of 65% of the total requirements of $250,000,000; and that White House approval was being sought for a contribution of $25,000,000 to $30,000,000 for Palestine refugee assistance out of requirements of $50,000,000.]

Fol are Dept’s views re negots Pal program.

1.
For fiscal 1952, to meet $50,000,000 budget, in recognition local interests Arab States and Israel’s expressed willingness consider payments into fund against liability for compensation,
A.
Israel and Arab States involved—Syria, Lebanon, Jordan, Egypt—shld be approached in first instance. Arab contribs in past in form services, waivers of duties, free oil, etc., shld furnish basis estimate future contribs. Contribs Arab States may make in terms land and other resources to reintegration program shld be noted for info GADel only as such resources required over and above $30,000,000 reintegration fund.
Decision by Israel as to amount payment acct compensation awaited with interest.1
B.
After making deduction for Israel and Arab contribs, believe best preliminary procedure attempt spread balance of cost among UN members in proportion contribs to regular UN budget, omitting Russia and satellites except for formal approach as matter of record. Obviously many countries will not be able to contrib amt asked but Dept hopeful UK Commonwealth countries, France, Western European countries and possibly some Latin Amers will agree in first instance to pay in proportion regular UN scale. In practice this will mean, according rough calculations here which omit countries obviously hopeless as contributors, that percentages on first round will total only about 75%. Second round requires effort meet balance by surcharge of ⅓ among contributors, thus making US offer second round about 50%.
C.
To extent second round unsuccessful mtg balance, expect UK, US, Canada, possibly France meet balance in ratio their UN contribs.
D.
This procedure, which based on best available analysis comparative resources, shld result in keeping US contrib at lowest level consistent with success of program.
2.
Basis approach to raise balance 1951 budget may also be found in foregoing percentages bearing in mind terms pending GA res UNRWA.

In view resentment in last Cong at inference US had definitely committed itself to technical assistance conference prior to Cong authorization, any statement re our contribs for both programs shld very explicitly safeguard both legal and moral right of Cong to reject our recommendation and make clear GADel commitment extends only to amt for which Cong support will be sought. Suggest consult Congressional leaders present NY with respect final negotiating position both programs.

Acheson
  1. Arthur Z. Gardiner, Special Assistant to Mr. McGhee, telephoned Ambassador Eban to express the Department of State’s interest in the approximate sum that Israel intended to contribute to the reintegration fund. The Ambassador replied that he could not answer the question with precision pending consultation at New York with Foreign Minister Sharett but that his Government “had promised to pay a certain sum of money into the reintegration fund, and that this would be considered as payment on compensation.” Mr. Gardiner expressed the hope that the Israeli contribution would not be held up and that “Israel might consider any sum contributed at this time as an advance on the compensation which might eventually be paid for refugee property in Israel.” (Memorandum of conversation, November 9, by Mr. Waldo, 320.2AA/11–950)