July 29, 1952
MEMORANDUM OF TELEPHONE CONVERSATION
Participants: W. John Kenney, MSA Mr. Acheson
The Secretary returned Mr. Kenney's telephone call this morning. Mr. Kenney said that he wanted to inform the Secretary that he was leaving tomorrow for Paris, for an MSA Mission Chiefs meeting, and would be meeting on Sunday with Jack Peurifoy and some other people from Athens. Mr. Kenney inquired whether there was anything the Secretary wanted to say to him concerning the Greek situation.
The Secretary said that we have been struggling with the currency reform problem here-and he had approved a paper which should be coming to MSA. Mr. Kenney said that he had seen the paper. The Secretary said that we were going along with what MSA wants to do, with the added recommendation that, with all the hazards, MSA work out some kind of a crash plan in case the reform program is not a success. The Secretary said that he thought that was about the only thing he could add. The Secretary said that he has been worried about the Greek situation and had been favorably impressed by the long and realistic report of Mr. Varvaressos. The Secretary was wondering whether there was something we could do here that would be helpful in getting a program going under its own power, but no one here has been able to come up with anything.
Mr. Kenney said that he thought this currency proposal was about the one thing that would produce that result. The Secretary agreed, adding-if they will carry it through.
Mr. Kenney said that he was taking over with him Mr. Weldon, Chairman of the First National Bank of New York, who has been over there.
The Secretary said that the problem is how to get some people with character and determination in that Government. They seem to have no backbone or any real patriotism.
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Mr. Kenney said that was one of the things which had worried him when the cable came in suggesting that the currency reform be undertaken.
The Secretary asked Mr. Kenney to give his best to Jack Peurifoy.
Mr. Kenney said that he would send the Secretary a full report.
JK
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