800.0146/45b

Memorandum by the Secretary of State for President Roosevelt4

Problems of Political Relationship Involved in the Military Occupation of European Territory Now in Axis Control

Immediately upon the occupation of any European area under Axis control by American or American and other United Nation forces, there will arise questions not only in the field of military operations, [Page 1031] and of law and order, but also questions of a political and economic character. It is important

(a)
that decisions on these matters that will be taken by the military government should be based as largely as possible on harmonious agreement between this Government, the governments of the reoccupied countries, and the governments of any of the other United Nations that may be directly concerned;
(b)
that they be in accord with the pronouncements made by this Government from time to time bearing on the treatment of the people of the occupied areas and bearing on the disposition of the area in question.

It is recognized that military considerations should be decisive regarding the military necessities of the situation, and that all decisions in any area must have the full approval of the military commander. It is believed essential that before any actual occupation, understanding be secured between State and War or Navy, as the case may be (and on particular topics, with other Government Departments), as to the political and economic arrangements to be made. Such understanding should cover, among other matters,

(a)
the consultation to be held with directly interested governments of the United Nations and the interested governments in exile in the reoccupied countries, and the formulation of appropriate agreements;
(b)
the question of whether political representatives of these governments should be put on the staff of the commanding military officer, and if so, in what capacity;
(c)
economic policies to be pursued, as, for example, handling local currencies in existence, operation of local banking institutions, control over productive activities in the area.

Discussion should also be had as to what American civilian official or officials should be attached to the staff of the commanding officer to advise and report on economic and political questions. It is recommended that discussions should be immediately inaugurated between this Department and the War and Navy Departments on these subjects, the result to be embodied in an appropriate directive or order to the commanding officers involved.

  1. A draft of the memorandum was submitted to the Secretary by the Adviser on International Economic Affairs (Feis) with his communication of September 5 which stated: “I think you will want to give serious thought to this question. I agree with Assistant Secretary Berle that it should be discussed either directly with the War Department executives or perhaps first with the White House.” A notation indicated the Secretary’s approval: “Right—CH”. (800.0146/45)