Evening star., 1947-11-10
Greek
Continued From First Page.)

had been spent with $150,l82 used
for administrative expenses. How
ever, s154 900 had been made
available to the various agencies
carrying out the Greek program
and $20,012,000 to be spent for Tur-
key.
The report listed numerous "un-
favorable developments" which have
beset the aid programs but said
that in Greece there is every rea-
son to be optimistic about recov-
ery'-if order can be restored.
IF order is not restored Mr. Tru-
man said, there can be no recov-
cry"
AS for the military situation, the
President said the Greek govern
ment had hoped summer cam
paign would wipe out guerrilla war
fare.
However" he added, "the con-
tinued support of the guerrillas by
Greece's northern neighbors Yugo-
slavia, Bulgaria, Albania) and the
diversion of Greek troops from
large-scale offensive warfare to the
static defense of villages resulted
in an overall worsening OF the
military situation"
Some Funds Shifted to Army.
So, he said, at the urgent request
of the Greek government, the Amer
lean aid mission shifted to the mil
itary program some money origin
ally allotted to reconstruction and
recovery.
The text of the Presidents letter
follows:
Last May the Congress enacted
public law rs enabling the United
States to render financial, technical
and material aid to the governments
of Greece and Turkey. This was
done in response to urgent appeals
by those governments, which founo
that as a result of considerations
arising out of the war their respec-
tive economies were unable to beal
alone the financial burdens OF re.
construction, of providing supple!
for the civil population, even on
subsistence level, and OF supporting
Gn6 1OlSCo SnoSAASNS~ -
maintenance of security.
"By executive order 1857, datee
MAY %, 1947, primary responsibility
for the programs execution. wa
delegated to the Secretary OF state
The Department of State enjoys ful
cooperation of all other department.
of the Government which can hell
in the implementation of the act.
Economic Collapse Averted.
Pursuant to the provisions Of
the act. I am submitting this, the
first quarterly report on the activi-
ties and expenditure of funds under
the authority of the act.
THE economic situation in Greece
has not basically improved since
addressed the Congress last spring
about the need for American as
sistance. Although economic COL
lapse. which might otherwise have
resulted, has so far been averteo
through the extension Of our aid
underlying causes of economic and
political unrest remain of grave
concern.
"This first period OF admlnlstra'
tion of the act has been largely one
of preparation. Missions have beer
assembled and sent to Greece ane
to Turkey and are now working with
the respective governments Of thost
countries to assure effective ant
proper use of American aid funds
While many operational steps o
major Importance have been taken
such as the letting of contracts ant
the ordering and delivery OF sup
plies, the effects of many OF thes
actions will not be discernible unit
later in the fiscal year. The en-
closed report reveals in some detail
the action that has been takel
thus far and some of the problem
which have yet to be solved.
"Since the time when the amour
Of assistance needed was determined
there have been several unfavorabl