Page:United States Statutes at Large Volume 61 Part 4.djvu/850

 61 STAT.] IFRANCE-MUTUAL AID SETTLEMENT-MAY 28, 1946 It was alreed by both sides of the Subcommittee that the small amount of U.S. dollar liability on troop pay account is a factor to be considered in making the over-all settlement of the war accounts. 4. In view of the above, the French representatives on the Subcom- mittee have agreed to recommend that the War Department report (MemtoranduLm I) be accepted as the basis for the settlement of the troop pay account as a part of the over-all war settlement. 5. The French Government has estimated that U.S. Army procure- ment through the official French office of Aid to the Allied Forces (AFA ) anlounted, for the period from September 2, 1945, to I)ecem- ber 26, 1945, to five billion francs, or approximately $100 million at the old rate of exchange. (See attached Memorandum IV.) The U.S . liability to the French for procurement since December 26 has been estimated at $20 million to April 1, 1946. Both the U.S . and French representatives on the Subcommittee con- cur in these estimates of U.S . Army procurement with the under- standing that the actual dollar liability of the U.S. for such procure- ment will be determined on the basis of the French Government's presentation of appropriate documents in a form acceptable to the U.S . Army, as has been, or may be, agreed upon between the U.S. Army and the French authorities. 6. The U.S . has a liability of $96 million for the francs in the pos- session of the U.S . Army after the date of conversion. The French have an obligation to convert into dollars any part of the francs not used, in accordance with the provisions of Paragraph 8(C) below. 7. Against the U.S. obligations the U.S. has advanced to the French on troop pay account $120 million. The net result, therefore, is as shown in the following table: U.S. Liabilities to French 4199 Basis for settlement of troop pay account. Post, p. 4200. U. S. Army pro- curemrent through AFA. Post, p. 4204. Conversion of francs. (Mllllons of dollars) 1. Net troop pay for period up to Dec. 26, 1945 (at old rate of exchange). 29 2. Direct open market procurement prior to Dec. 26, 1945, not eligible for reciprocalaid.................... . . .. ... ... ... .. 2 3. Procurement through French (AFA) from from Sept. 2 to Dec. 26, 1945. 100 4. Estimated procurement from Dec. 26, 1945, to April 1, 1946 .... 20 5. Francs acquired on Dec. 26, 1945 (at new rate of exchange). . . . . 96 TOTAL ....... . ... 247 French Liabilities to U.S. 1. Advances to French on troop pay ............... 120 2. Obligation to convert into dollars excess francs held by Army. . .. 76-96 v ToTAL ........... 196-216 Net estimated U.S. liability to French. . . .. . . . . . . . . 31-51 v/ This estimate is based on the assumption that net troop pay between Dee. 26, 1945, and April 1, 1946, will not exceed $20 million.

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