POPLIN UNITED STATES ATOMIC ENERGY COMMISSION WASHINGTON, D.C, JEMORANDUM TO FROM : April 22, 1954 : K.D, Nichols, General Manager John A, Hail, Director ffice of Special Projects SUBJECT: THE FUNDING ARRANGEMENTS FOR POSSIBLE COMPENSATION TO THE JAPANESE GOVERNMENT ON THE FUKURYU MARU CASE Mr, Wells from the General Counsel's Office, Mr. J.A,. Miller from the Controller's Office, and Mr, Trevithick and I from the office of Special Projects met with representatives of the Bureau of the Budget and the Department of State on the question of de- —termining the most appropriate source of funds for payment of such compensation to the Japanese Government as might be agreed on in the Fukuryu Maru case, . It was the view of the representatives of the Bureau of the Budget, namely Fred Schuldt, concerned with AEC interests, and Mr, Ziel, concerned with the Department of State interests, that the appropriate agency to be responsible for this problem was the Department of State. It was concluded that consideration should be given within the Department of State to the use of funds, if any, available in that Department for negotiated settlements with foreign goverrments; and, if necessary, to the use of special funds available to the President, The Department of State representatives at the meeting, namely Japanese desk officers, Mr, Hawley and Mr. Finn, and Mr, Ziel of the Bureau of the Budget agreed to proceed on this subject by holding discussions with Department of State fiscal people. The AEC representatives agreed to provide continuing tecnnical advice on this subject when requested by the Department of State and stated that the Commission would desire to cooperate with the Department of State and the Bureau of the Budget in every vay possible to the end that this matter might be concluded satis-~factorily,. -. ;

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