130 Australian Government to Addison
Cablegram 129 CANBERRA, 16 March 1946
MOST IMMEDIATE SECRET
Your 93 and 94  Reparations from Japan.
1. We are in general agreement with the points made in your 93 paragraphs one and two and we agree with your view that the division of reparations should be [on] a broad political basis and with your proposal that this should be discussed by Far Eastern Commission.
2. As regards prior consultation between British Commonwealth countries we are anxious to avoid giving grounds for other[s] to treat the British Commonwealth as one unit for purposes of allocation of reparations and think it would be best if the suggested discussions could take place as part of the normal inter-Commonwealth consultation in Washington on Far Eastern Commission problems. Experts could participate in such consultation and might continue to work in Washington in relation to whatever inter-Allied reparations machinery may be set up.
3. We think decisions on reparations should be integrated closely with economic policy as laid down by FEC as this policy should determine availability. To effect this any inter-Allied reparations body should be subordinate to FEC. We do not agree with what we understand State Department officials have in mind, viz., the establishment of an independent inter-Allied Committee to translate FEC reparations policy into detail. 
Any such body should be responsible to FEC.  4. Your telegrams do not mention restitution. We should appreciate your views. We note that the reparations committee of FEC has set up a subcommittee on restitution.