JAP ENTERPRISES REGARDED AS WAR BOOTY

Chronicle (Levin), 7 March 1946, Page 8

JAP ENTERPRISES REGARDED AS WAR BOOTY

Press Assn.-

MACHINERY BEING REMOVED

By Telegraph

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vv eauesda.y, p.ui. WASI-IINGTON, Mjircli 6. Ilussia niacle a proposal to operate major industries in Manchuria jointly with Ghina, hut China rejected ip. rms was disclosad yesterday when Mr. .tSyrnes released the partial test of a ^xiinese Note stating that the Soviet on Jahuary 21 told the Chinese that it ] regarded as war booty for the Soviet rorcas all Japanese enterprises in onma's northeastern provinces. The Chinese rejected this delinition. The Russians further proposed to hand over part of the so-caiied war ooo fcy to ohina and urged joint Chinese. and Russian operation oi tae remaining ! enterprises in Manchuria, i'ncludmg coainnnes, powerpiants and steei, ^nemical and cement industries. Mr. Byrnes said the Cninese state.r.en'c was in reply the United States Note sent to China and Russia on xeoruary 9, in which references were inade to reported discussions which .nignt resulc in the esoaoiisnment of exciusive Chinese and Soviet controi over industriai enterprises in Manchuria. The. Chinese rejected the proposais on the ground tuat they went beyond the provisions of the uninesesoviet agreenient .of . August last, strictly limiting Russian postwar activity in lVIancnuria. Russia did not answer. Mr. Byrnes said such reports weie disturhing. The text oi the Note to China and Russia said that, under present conditions, when free access to Manchuria was not avaiiahle to the nationals oi other Rowers, and eq.uarity of opportumty in the economic deveicpmeuc oi ivj.ancnuria was denied to Ameriea and uther nations, it was felt that the negotiation of agreements between Onma and the Russians regarding tho industries in .Manchuria wouid oe con crary to the principies of the open-door and would coiistitute a clear discrimination against Amenoan mterescs.

RRP ARATIONS POLICy ' 'Direcriy related to the Manchurian mdustrres is tne matter of the repara-" uons policy for Japan, because prioe to Japaii's defeat, the major portions of tne industries in . .anchuria weie jap-anese-owned, " the Note continue'u. ' ' The United States considers tuat cut ultimate disposition of Japan' s exiernai assets is a matter of couimon mteiest and concern to those Alues wno oore tne major burden in the aeieat oi Japan. • • 'rne United States is now preparing the outline oi a poiicy for consideratioi. oy tne u-overnments concerned m japanese reparations. It wiil be suggested that an mter-Aiued Reparationu uommission for Japan should be established, one of the primary functions of wuicii would be iinai ailocatiou of Japanese external assets among claimant nations.' '