Paris Peace Conf. 181.9202/112: Telegram

General Bandholtz to the Commission to Negotiate Peace

69 [70]. The evening paper, which is the Roumanian organ, announces fall of the Friedrich Cabinet and states a new Cabinet with Perenyi as Prime Minister has been formed and includes Peidl, Garami and others. A member of this Cabinet states that Roumanians have approved of this Cabinet and will return all seized Hungarian property on conditions that treaty of peace is immediately signed and territorial and other concessions made. In case of refusal to sign such treaty the Roumanians will at once evacuate Hungary and leave the country in a state of chaos and disorder. The member referred to was advised to make no move without approval of Supreme Council.

It is not believed there will be disturbances beyond the power of the Hungarians to handle should the Roumanians leave as threatened. Please repeat to British Commission.

Bandholtz