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 STANDARD FORM NO. 64

• UNITED STATES GOVERNMENT

As requested, I have studied despatch No. 806 from the U.S Political Adviser for Japan, dated Tokyo, November 19, 1949, in relation to the territorial provisions of the draft treaty of peace with Japan dated November 2, 1949.

Below I am providing a revision of Article 3, "in positive terms" as proposed by Mr. Sebald, but without completely eliminating reference to latitude and longitude. The islands are grouped, principally by the seas in which they are located, and the groups are separated by semicolons and by extra spacing for convenient reference in this draft form.

I have included the southernmost Kuril Islands, including Shikotan and the Habomai group. These can be omitted if desired. It is problematical whether to include them. Mr. Sebald intimates (p. 3, par. 3) that the Soviet Union may be prepared to concede the southern Kurils to Japan and to make fishing concessions. Possibly the Soviet Union may be more inclined to make such concessions if they are not suggested in the American draft of the treaty, thereby expecting greater credit from Japan if the concessions are offered independently by the Soviet Union. It may remain for the Department to balance the possible refusal of the Japanese to concede the Kurils if included in the United States treaty draft against the advantage Russia might obtain through proposing independently that she will concede them to Japan.

The suggested revision of Article 3 follows: CHAPTER II