462.R296/1211 Agreement Regulating the Amounts To Be Allocated Out of the Second Dawes Annuity for the Armies of Occupation in the Rhineland, the Inter-Allied Rhineland High Commission, and the Inter-Allied Military Commission of Control in Germany, Signed at Paris, September 21, 1925 38 The Governments of Belgium, the United States of America, France, Great Britain, Italy, Japan, Brazil, Greece, Poland, Portugal, Roumania, the Serb-Croat-Slovene State and Czechoslovakia, respectively represented by the undersigned, have agreed as follows: ARTICLE 1 ARMIES OF OCCUPATION The provisions of paragraphs A, B, C, D of Article 2 of the Financial Agreement of the 14th January, 1925, relative to the costs of the armies of occupation shall remain in force during the second year of the Dawes Plan. One-twelfth of the credits therein provided for shall be allocated monthly. The Allied Governments and the Government of the United States of America will discuss before the 1st September, 1926, under the conditions laid down in paragraph E of the above-mentioned Article, the arrangements for army costs in the future. Nevertheless, if during the course of the second Dawes year the Allied Governments decide to evacuate or modify any of the zones of occupation, this discussion will take place within the two months following such evacuation or modification. ARTICLE 2 INTER-ALLIED RHINELAND HIGH COMMISSION The maximum charge for the Inter-Allied Rhineland High Commission (including deliveries under Articles 8 to 12 of the Rhineland Agreement) shall not exceed 9,000,000 gold marks (to be taken in foreign currency or in German currency as required) during the second year of the Dawes Plan, this sum being allocated between the French, British and Belgian Commissariats as follows: 23 Reprinted from Great Britain, Cmd. 2558, Miscellaneous No. 16 (1925). See sec. E, art. 2, agreement of Jan. 14, 1925, pp. 145, 148, providing for this agreement. 126127-40-vol. II-16 This provision is only to be drawn upon as and to the extent required, and at the end of every three months the Inter-Allied Rhineland High Commission shall transmit to the Reparation Commission a certified statement of the expenditure actually incurred by each Delegation in the execution of its duties under the Rhineland Agreement. A similar statement covering the expenditure of the first Dawes year will be transmitted to the Reparation Commission as soon as possible after the 31st August, 1925. Any savings at the end of the year will be paid into the common reparation fund for distribution in accordance with the provisions of the Financial Agreement of the 14th January, 1925, to the Powers having the right under that Agreement to participate in the receipts from Germany on account of the Dawes annuities available for distribution as reparations. The Allied Governments and the Government of the United States of America will discuss before the 1st September, 1926, the arrangements for the costs of the Inter-Allied Rhineland High Commission in the future. Nevertheless, if during the course of the second Dawes year the Allied Governments decide to evacuate or modify any of the zones of occupation, this discussion will take place within the two months following such evacuation or modification. ARTICLE 3 INTER-ALLIED MILITARY COMMISSION OF CONTROL The charge of the Military Commission of Control shall not exceed a maximum of 6,800,000 gold marks (to be taken in German currency) in the second year of the Dawes Plan. This provision is only to be drawn upon as and to the extent required, and in the event of the Governments deciding upon any modification of the functions of the commission a fresh estimate of its expenditure shall be at once drawn up. At the end of every three months the Conference of Ambassadors will transmit to the Reparation Commission a certified statement of the expenditure incurred by the Inter-Allied Commission of Control. A similar statement covering the expenditure of the first Dawes year will be transmitted to the Reparation Commission as soon as possible after the 31st August, 1925. This figure does not include the commission's expenses in national currencies, which shall continue to be paid by the Governments concerned, the amounts so paid being credited to their respective accounts by the Reparation Commission. Any savings at the end of the year will be paid into the common reparation fund for distribution in accordance with the provisions of the Financial Agreement of the 14th January, 1925, to the Powers having the right under that Agreement to participate in the receipts from Germany on account of the Dawes Annuities available for distribution as reparations. The present Agreement, done in English and French in a single. copy, will be deposited in the archives of the Government of the French Republic, which will supply certified copies thereof to each of the Signatory Powers. In the interpretation of this Agreement, the English and French texts shall be both authentic. PARIS, September 21, 1925. MAUCLÈRE ROBERT PERIER RALPH W. S. HILL BASIL KEMBALL COOK CORSI SHIZUO YAMAJI L. M. DE Souza DantaS LÉON V. MELAS J. MROZOWSKI J. BARRETO AL. ZEUCEANU DR. PLOJ STEFAN OSUSKY RETURN OF THE D. A. P. G. TANKER CASE TO THE ARBITRATORS FOR A MAJORITY DECISION " 362.115 St 21/362: Telegram The Secretary of State to the Ambassador in Great Britain (Kellogg) [Paraphrase] WASHINGTON, January 28, 1925—5 p. m. 40 49. Referring to Department's 398 of November 8,1o Standard Oil Company has again brought to attention of Department the matter of your endeavoring to persuade British Government to instruct Bradbury to vote for a compromise on tanker question. Logan "1 informs Department that you are now endeavoring to obtain agreement of 41 For previous correspondence concerning disposal of D. A. P. G. tank ships, see Foreign Relations, 1924, vol. II, pp. 156 ff. 40 Ibid., p. 169. "James A. Logan, Jr., American unofficial representative on the Reparation Commission. British Government before January 30 meeting of Reparation Commission. You may continue to assist the company in such ways as are possible and proper in the present circumstances. Logan has been so informed. HUGHES 362.115 St 21/3621 The Chargé in Great Britain (Sterling) to the Secretary of State No. 1084 42 LONDON, February 26, 1925. SIR: In accordance with the Embassy's telegram No. 83 February 26, 5 p. m., 1925, I have the honor to enclose a copy, in triplicate, of the note mentioned therein from Mr. Chamberlain, dated February 25, 1925, concerning the Tanker case. A copy of this note has been forwarded to Mr. Logan, and the solicitor of the Standard Oil Company in London, Mr. Piesse, has been informed of its contents. I have [etc.] F. A. STERLING [Enclosure] The British Secretary of State for Foreign Affairs (Chamberlain) to the American Chargé (Sterling) No. C 2191/651/18 2. I understand the essential facts of this question to be as follows. The point originally at issue was whether or not the tank steamers in question were properly deliverable by Germany under the provisions of Part VIII of the Treaty of Versailles. It was claimed by the Standard Oil Company that the vessels were in effect their property and not deliverable. The case was one which it was within the power of the Reparation Commission to decide judicially and such a decision would be valid against all parties. Out of consideration for the United States Government the Reparation Commission refrained from proceeding to such a decision but consented to an arrangement, embodied in an agreement with the United States Government signed "Not printed. 44 on June 7th, 1920, under which the matter was referred to two arbitrators, one representing the Reparation Commission and the other the United States Government, with the provision that a third disinterested person should be nominated to join the Tribunal in the event of the disagreement between its original members. If the third arbitrator were called in, the decision of the majority of the Tribunal was to be final. On June 28th, 1924, the two arbitrators reported that they were unable to reach agreement on the legal questions involved, but without calling in the third arbitrator as provided by the agreement of June 7th, 1920, they suggested to the Reparation Commission a compromise which in outline was that the vessels should be sold and the proceeds divided equally between the Deutsche Amerikanische Petroleum Gesellschaft and the Reparation Commission as representing the Allied and Associated Powers, the German Government obtaining credit for only one half of the total value of the tankers. 3. The request made to me by Mr. Kellogg on February 2nd was that I should draw the attention of the Chancellor of the Exchequer to the subject in the hope that the Chancellor would be willing to instruct the British representative on the Reparation Commission to accept the compromise suggested by the arbitrators in preference to calling in the third arbitrator as contemplated in the agreement of June 7th, 1920. 4. I lost no time in conveying Mr. Kellogg's request to the Chancellor of the Exchequer who had already received a copy of the memorandum on the subject dated January 27th [28th?] which had been communicated to my department by a member of the United States Embassy.45 5. The question has now been fully considered and I have the honour to inform you that in a matter in which the Reparation Commission acts in a judicial capacity His Majesty's Government have not the power and would not consider it proper to give any instructions to the British member of the Commission. But apart from this question of principle involved, the view of His Majesty's Government is that the Reparation Commission would not be justified in now agreeing to the suggested compromise. This could, in fact, only be accepted by an agreement between all the interested parties who comprise not only the Reparation Commission, as generally representing the Powers entitled to reparation, and the Standard 13 Foreign Relations, 1920, vol. I, p. 598. “Ibid., 1924, vol. I, p. 161. 45 By telegram No. 44, Jan. 29, 11 a. m., the Ambassador informed the Secretary that he had, on the previous day, delivered a memorandum to the Foreign Office covering the Department's views and requesting reconsideration of the subject. |