THE MAJORITY LEADER PROPOSES CONGRESSIONAL INQUIRIES ABROAD

Mr. McCORMACK. Of course, there is no such thing as satisfaction. When I am satisfied then I commence to go back. It is very apparent that the executive branch is considering the question. They are realizing the acuteness of the situation.

If a resolution is introduced and passed, along the lines that other legislative committees enjoy, it seems to me that a subcommittee of this committee and this is just in the nature of a suggestion-might be appointed, whose duty it would be to follow situations of this kind, not only in Italy but in other countries, to go abroad, travel, and see. There is fine cooperation between the legislative and executive branches, and it would be done in a spirit of cooperation. It is a good thing for the executive branch to have committees like that viewing things constructively so that the committee could make recommendations and inspire the Executive to greater efforts to meet the serious problems that are going to confront us, because our country is vitally interested in the world picture all over.

FOR PURSUING AMERICAN INTERESTS BY CULTIVATING WARTIME

FRIENDSHIPS

There are a lot of very prominent pictures within the broad world picture that we are deeply concerned about-position, prestige, standing, and spheres of influence. All those things enter into it. They make a very marked impression on me as an American in connection with the national interests of our country. That is the broad viewpoint from which I approach it. Certainly we have a deep obligation. We do not want to see anything done in America that would tend to alienate the warm feeling of friendship that the peoples of many countries, who have unfortunately been subjugated by Hitler and his gang and by Japan and its gang, have for our country. It is to our national interest to see that we keep that warm feeling, and what we should do we should do promptly and without delay. When you hurt people it takes generations to overcome that, and the delay of 1 or 2 weeks ofttimes constitutes a hurt that might last for decades.

DISCUSSION OF TIMETABLE FOR COMMITTEE ACTION

Chairman BLOOM. I have the resolution you speak of now with reference to what this committee is supposed to do after this resolution is adopted by the House. Do you think that it would be advisable to introduce a resolution and let the consideration come afterwards, or wait until after the meeting in London?

Mr. McCORMACK. I think that it would be well to wait until after the meeting in London. The chances are that any further enabling legislation getting through the House would be remote, and I do not think the committee would be prepared to act on the evidence that it has now, or that the Assistant Secretary of State would want to have the committee act upon additional legislation at this time.

FOREIGN AID: MULTILATERAL OR UNILATERAL

Mr. JOHNSON. Other countries will also have to enlarge their program before we enlarge ours.

Mr. McCORMACK. I take it if there is no cooperation it may be necessary for us to do the thing ourselves, because we cannot let the peoples of nations that are unable to take care of themselves be faced with dire conditions, particularly when it will be contrary to the national interest of our own country. I am interested in one thing-the national interest of the United States, not only for today but for the future.

Mr. KEE. There is one thing that would prevent us from acting now—we do not have anything definite to present to Congress. We do not know the amount that will be required, nor do we know the other countries that will have to be taken care of.

Mr. McCORMACK. I agree with you. I think that it would be inadvisable to act on any additional legislation now. The fact that the House may recess is only a minor one, but the basic one is that the facts are not sufficiently established at the present time, upon which the committee could be requested to ask for additional funds, but out of this hearing there has certainly developed a number of very interesting facts that we will all benefit from.

Chairman BLOOM. Is there anything you care to add, Secretary Clayton ?

FOREPLANNING URGED TO MEET CRITICAL ITALIAN SITUATION

Mr. CLAYTON. I do not think that I need add anything. I do not think we can overemphasize the critical nature of the situation in Italy and the fact that the funds and the programs will run out around the middle of November. If some action is not taken prior to that time, the pipelines will run out completely. In other words, we will have to get started some time in September or October to pick up in order to prevent the complete running out of the pipeline. I do not think we can overemphasize the importance of preparing for that situation.

Chairman BLOOM. UNRRA and all the people connected with it will remember the interest of this committee and the Congress and the people of the country.

SPECIAL JOINT COMMITTEE OF THE HOUSE IS SUGGESTED

Mr. ACHESON. May I make a suggestion? We have spoken to the Speaker about the desirability of getting together the meeting that I suggested a little while ago. That has not been possible because several of the gentlemen were out of town, including yourself, on important business. I think that the gentlemen on the Appropriations Committee who were away are now back, and if the Speaker could convene a meeting with the chairman of the Committee on Foreign Affairs and the Appropriations Committee and the appropriate representation from the majority and the minority, and the majority and minority leaders of the House, so that we could go into the matter and determine what attitude to take at the London meeting, Mr. Clayton could then proceed with a good deal more assurance. It might develop at that meeting that it would be thought desirable by the leaders of the House to have representation from the Congress at the meeting in London. That is the 7th of August. I think that we cannot have this meeting too soon.

Mr. JOHNSON. I move that the chairman appoint a committee to act on the suggestion of Mr. Acheson with reference to appearing at the

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joint meeting of the Appropriations Committee and the executive heads to thresh this matter out.

Chairman BLOOM. That would be the subcommittee that has charge of European affairs.

Mr. JOHNSON. This is about UNRRA.

Chairman BLOOM. I know.

Mr. JOHNSON. I want to have official action of the chairman to act upon the suggestion of Mr. Acheson.

Mr. ACHESON. Perhaps the chairman may care to take it up with the Speaker.

Mr. HENDRICKSON. We are always glad to have an opportunity to lay the facts out in connection with UNRRA because we feel that it is not too well understood and frequently many statements are made that it is difficult for us as an international organization to meet. Chairman BLOOM. We have the picture of your organization and the State Department. If there are no further questions, the committee would like to thank you gentlemen for being here this morning.

UNRRA AND FRANCE

Mrs. DOUGLAS of Illinois. I believe that it is true that UNRRA does not function unless the nation involved makes specific request for it to function there. Almost every one says that France is going to be in a desperate state next year, but is there no plan that UNRRA might be functioning there?

Chairman BLOOM. France has its own money, I believe.

Mrs. DOUGLAS of Illinois. There were provisions for UNRRA to function and pay for supplies.

Mr. VORYS. Yes, in the paying country.

Mr. HENDRICKSON. Mr. Acheson, Mr. Cox, and myself can explain this. It really goes back to this provision, that UNRRA was established to assist those countries that did not have the means, the foreign exchange, to provide for their imports. It does operate on the basis, first, of a request from the government of such a country which is in need of assistance; second, the Director General does not act on that without the advice of the committee, made up of representatives of a number of nations, which examines what is called the ability

to pay.

Now, it happens that France has never requested any assistance from UNRRA, and that is true of other Western countries. In the case of Greece, Yugoslavia, Czechoslovakia, they made requests and agreements have been entered into after findings by a committee represented that the several nations were unable to pay for any period of time. We do not know if France or any of these other countries will ever apply to UNRRA. There is no evidence of it so far.

ORIGINAL GOAL OF UNRRA DISPUTED

Mr. VORYS. May I make a statement? You are entirely in error as to what the original plan of UNRRA was. The original plan, as presented to us, and as shown in the resolution, was that the relief problem of the world would be administered through UNRRA regardless of whether countries were able to pay or not, and that the paying

countries would not be put into a preferred position in the world merely because they had the money and the other countries did not; but UNRRA would balance their needs as against the poorer countries, and even though they could pay for it, would not make provisions that the world would not permit the rich countries who needed relief, who needed food, medicine, and so forth, to get the jump on the other countries.

AID TO FRANCE IS NOT FINANCIAL IN NATURE

Mr. Cox. May I add a couple of sentences regarding Mrs. Douglas's question?

The problem of France is equally criticial in terms of supply and shipping. The supplies which are now going in are going in in connection with the redeployment of our forces, or in production for the Armed Forces, and the problem, as Mr. Flood said, in terms of coal and other supplies is equally critical. It does not come in as a financing problem under UNRRA.

Mr. HENDRICKSON. I would like to add a point. I do not think that I was entirely in error with respect to the origin of UNRRA. I think there are two separate questions-the matter of allocations between countries and the matter of financial assistance. I was talking to the point of financial assistance, which I think was quite right.

In the case of distribution as between countries, UNRRA does have the authority, if it can be called authority, to comment on and to indicate either its approval or disapproval of the allocations of quantities going to the various liberated areas, and it does take that opportunity, and it does not have any criticism to offer with respect to the way the allocations will be handled, or the distribution is to be handled, as between liberated areas thus far.

Chairman BLOOм. Thank you gentlemen very much.

U.S. ARMY'S AID ROLE IN WESTERN EUROPE

Mr. CLAYTON. May I add this in answer to Mr. Vorys' statement— or in explanation of why some of the countries seem to have gotten off better in getting relief than others: The principal liberated countries in Western Europe, for example, France, Belgium, and Holland, and later Italy, did perhaps get some preferred attention in the way of prompt shipment of supplies, and so on, but it was altogether because our Army was in those places, and they only had the responsibility of furnishing those supplies. That is the reason, perhaps, they did get an earlier start in the way of getting supplies than other countries in Eastern Europe.

Chairman BLOOM. We thank you gentlemen very much. [Whereupon the committee apparently adjourned.]