Foreign Relations of the United States, 1946, Eastern Europe, The Soviet Union, Volume VI

711.60H/9–1746

Memorandum of Conversation, by the Associate Chief of the Division of Southern European Affairs (Barbour)

confidential

[Washington,] September 17, 1946.

Participants:	The Yugoslav Ambassador, Mr. Kosanovich;
	Acting Secretary, Mr. Clayton;
	Mr. Barbour, SE

The Yugoslav Ambassador called, at his request, on the Acting Secretary on September 17. After the usual amenities the Ambassador said that he wished to cover several points in connection with Yugoslav-American relations and professed his Government’s desire, which he said he shared, to achieve a general improvement in the situation with regard to the two countries by a frank discussion with a view to settlement of a number of specific problems. He first said that the personnel of the US Embassy at Belgrade was unfriendly to the present Yugoslav regime. He referred to recent black market operations involving certain Embassy personnel, which operations had been broken up by the Yugoslav Government. He then alleged that two American planes had a few months ago smuggled arms into Yugoslavia for distribution to Opposition agents and that the Yugoslav Government has uncovered a “spy ring” which he claimed was headed by Eric Pridonoff, a former Economic Officer at the Embassy, who has since resigned. He claimed that a certain Yugoslav employee of the Embassy named Stefanovich, now under arrest by the Yugoslavs, was a member of that ring and he asserted that that individual received 30,000 dinars per month from the Embassy as compared to a Yugoslav cabinet member’s salary of 12,000 dinars which, he said, was evidence of illegal activities. The Ambassador went on to refer to the flights of American airplanes over Yugoslavia repeating the previous Yugoslav allegation that 1070 such planes crossed Yugoslav territory between February and August of this year. The Ambassador then mentioned Yugoslav charges that Quislings and war criminals are employed as advisers by Allied Government officials in Venezia Giulia and showed a letter he claimed to have recently received from a so-called Secretary of a prewar Yugoslav Fascist party who is now in Italy. Mr. Kosanovich expressed surprise that Mr. Machek, President of the Croatian Peasant Party, who is in this country on a brief unofficial visit, had been issued a US visa,⁷³ and he stated that Machek is mentioned in Ciano’s⁷⁴ Diary as having had contact with Ciano. He further stated that Machek has no following among democratic elements in Yugoslavia. In conclusion, the Ambassador said that, as a small country, Yugoslavia is fearful of the consequences for her of what appears to him to be a general attitude of officials of this country in regard to Europe tending toward a third World War. As a case in point he mentioned a report in the press of remarks attributed to Admiral Cassady in which the latter was quoted as stating that there is much dynamite lying around Europe, that Italy, France, Greece, England and the US should keep prepared for any eventuality and that certain other powers should keep their matches in their pockets.

Mr. Clayton stated that we had been informed concerning the black market incident referred to but that as to the alleged smuggling of arms and spy ring this Government knew nothing. Regarding the airplanes, Mr. Clayton drew the Ambassador’s attention to our note of September 3⁷⁵ which he said had been drafted after most exhaustive investigation by our military authorities in Europe and he reiterated the conclusion stated therein that if any planes in addition to the few noted had flown over Yugoslavia they were not American. Mr. Clayton remarked in connection with that note that we were awaiting a Yugoslav reply to our request for indemnity and said that, if such were forthcoming at once, that action, by concluding the plane incidents, would go far to improve American-Yugoslav relations. He noted that the press is continually asking about this subject and had in fact done so at his press conference only a few minutes before the Ambassador’s appointment. Mr. Clayton made clear that we regard it as a matter of principle that the Yugoslav Government make indemnity to the families of the deceased airmen and also for the property damage involved in the loss of the two airplanes. The Acting Secretary went on to mention another case which is not contributing to good relations, i.e. the case of William Wedge who has been sentenced by the Yugoslav authorities to 8 years in jail and to pay $8,000 indemnity. Stating that diplomatic immunity from the jurisdiction of local courts is customarily granted in this country to persons attached to foreign missions in the status in which Mr. Wedge was assigned to our Embassy at Belgrade, he pointed out that the Yugoslav Government has so far declined to extend such immunity on a reciprocal basis. Turning to the question of political refugees, Mr. Clayton confirmed the remark in this connection which Mr. Kosanovich said Mr. Dunn had made to him in Paris that it has long been a principle of this Government to extend protection to political refugees. In conclusion, Mr. Clayton informed the Ambassador that this Government is no less interested than the Yugoslav Government in removing causes of friction which hamper the cordial development of relations between the two Governments. He noted that the remarks attributed to Admiral Cassady, which the Ambassador considered as serving the contrary purpose were not those of a top level official of the US Government. Finally, the Acting Secretary drew attention to the fact that we are anxious to settle with the Yugoslav Government the matter of signals between aircraft, referred to by Tito and discussed in our note to the Yugoslavs on September 3. He expressed the view that the early establishment of appropriate signals would be desirable to avoid possible further incidents and reaffirmed our willingness to negotiate an agreement in this matter whenever the Yugoslav authorities make known a similar disposition.

73. Vladimir Maček had gone into exile in 1945 living temporarily in Paris. In January 1946, his secretary approached a member of the American Embassy in Paris to ask advice regarding the advisability of Maček’s returning to Yugoslavia and whether the United States would give him moral support if he returned to Yugoslavia and resumed political activity. Telegram 262, January 17, 1946, to Paris, stated that the United States could not undertake to intervene with Tito to request permission for Maček’s return or obtain a guarantee of his safety there; the United States was ready to extend friendly interest in his efforts to foster political development along genuinely democratic lines (860H.00/1–1746). United States policy regarding a possible visit to the United States by Maček at the request of Croat groups was set forth in telegram 3478, July 16, 1946, to Paris, which read in part as follows: “Although it seems clear visit US by Maček more than likely aggravate relations between contending Yugo-American groups here and irritate Yugo Govt, Dept not inclined refuse him visitor’s visa on political grounds in event he applies … If Maček receives visa Emb should, however, make it clearly understood that he is proceeding US as private individual and guest United Croatians and not US Govt.” (860H.00/7–1646)
74. Count Galeazzo Ciano, Italian Minister for Foreign Affairs, 1936–1943.
75. See Department of State Bulletin, September 15, 1946, p. 501.