Page:United States Statutes at Large Volume 60 Part 2.djvu/487

 INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [60 STAT. April 17, 1945 Agreement between the United States of America and the Union of South [T. I. A.S. 15111 Africa respecting mutual aid. Effected by exchange of notes signed at Washington April 17, 1945; effective April 17, 1945. The South African Charge d'Affaires ad interimto the Secretary of State SIR, With reference to the memorandum dated May 8th from the State Department and recent discussions between representatives of the Union of South Africa and those of the State Department and the Foreign Economic Administration concerning the proposal that all forms of mutual aid provided by either the Government of the Union of South Africa or of the United States to the other should be financed by cash payments as from February 15, 1944, I am directed to inform you that the Union Government agrees to the application of such a cash basis in its relations with the United States Govern- ment. (2) The Union Government is accordingly prepared to accept liability for all combat material, aircraft and other goods shipped on and after 15th February, 1944, and supplied direct by the Govern- ment of the United States, or by means of retransfer from other Governments, on orders placed by the Union Government. This would include equipment for coastal defence undertaken by the Union Government in agreement with the Government of the United Kingdom, but would not include the provision of aircraft and equip- ment for the Flying Boat Squadron No. 262 at present based on Durban, which is, by agreement with the United Kingdom, a liability of the latter government, in so far as the procurement of aircraft, spares and related equipment is concerned. (3) The basis of the foregoing proposal is that liability for goods supplied should follow the authority responsible for the issue of the order of procurement. The Union Government would, therefore, be liable solely for goods received in accordance with the provisions of the preceding paragraph and it would not be liable for any goods which the United Kingdom Government may supply for the tempo- rary or intermittent use of the Union Forces under United Kingdom operational control outside the boundaries of the Union of South Africa in compliance with the terms of the financial arrangements in existence between the two governments. (4) If the Government of the United States of America concurs in the foregoing, I would suggest that the present note and your reply to that effect be regarded as placing on record the understanding of our two Governments in this matter. 1576

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