Chapter XXI: Part 3

S BLN NR 51 7 AUG 8 AUG 0800--
TO the Chairman of the German-French Economic Commission,
Ambassador HEMMEN,
Wiesbaden Hotel 4 Jahreszeiten.

[Rubber Stamp]

German Armistice Delegation for Economy

Wiesbaden 8 AUGUST 1940
NO. 30 Incl. 1.

NO. 70--

Enclosed, I forward to you a copy of the draft of the note on occupation costs, which corresponds to the decisions made in the meeting of the H.P.A. on 31 July, and which in the meantime has the consent of the Chief of the OKW. I request to forward the note now.

By Order /S/ WIEHL.

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NOTE: For the Chairman of French Delegation with the German Armistice
Commission General Huntziger

My General:

By order of my government, I have the honor to inform you of the following:

1 According to Article 18 of the German French Armistice Agreement of 22 June 1940, the costs for the maintenance of the German occupational troops on French soil are to be borne by the French government. To carry out this term, an early settlement is necessary.

2 Considering the impossibility to calculate the costs accurately at present, until further notice, daily installments of at least 20 million marks are necessary. These installments may be paid in French francs, Reichcredit checks [Reichskassen Scheinen] or other values, to be agreed on. The conversion of French francs has been fixed on a currency ratio at 1:30, subject to a later different settlement. The billeting of the German occupation troops on French soil is not included in the settlement of installments. The billet owners will be compensated for the billeting costs by the French government outside of the settlement of installments.

3 The settlement is in force from the period beginning 25 June 1940. The back payments are due with the settlement of installments. The further amounts are to be paid every time for a period of ten days in advance.

4 Certificates of requisition for material in kind, issued by the German occupation, exclusive of billeting, as far as they have been issued after the coming into force of the settlement of installments, will be registered as payment for the cost of the occupation by the French government. However, the certificates of requisition, which were issued by the German occupational troops before the coming into force of the settlement of installments, are to be redeemed by the French government without deducting it from the costs of occupation. I request my General to confirm to me the receipt of this note, and to notify me about the measures which the French government has made about the execution of the above settlement.

Permit me, My General, to express my utmost respect,

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