§ 23 and 24. Mr. Sandysasked the Prime Minister (1) whether he will assure the House that His Majesty's Government will not enter into any formal discussions with the German Government on the subject of the release of Czecho-Slovak assets in this country unless they are satisfied that they will not thereby be according de facto recognition to the German annexation of Czecho-Slovakia;
(2) why Treasury officials have been permitted to enter into conversations with the German foreign office on the subject of the release of Czecho-Slovak assets in 2275 this country, in view of the fact that the German Government has no authority or status to negotiate in a matter solely concerning Czecho-Slovakia; and whether the Czecho-Slovak legation in London was informed or consulted before the conversations began?
§ The Prime MinisterThe informal conversations which have taken place did not imply de facto recognition of the new status of Bohemia and Moravia, and my hon. Friend will have appreciated from the answer which I have just given to the hon. Members for Nuneaton (Lieut.-Commander Fletcher) and South-West Bethnal Green (Sir P. Harris) that the question of recognition is being considered in connection with the future of the representation of His Majesty's Government in Prague. It will be understood from what I have said that there was no occasion to consult the Czecho-Slovak Legation in London in connection with the informal conversations referred to.
§ Mr. SandysArising out of the answer. First, may I ask whether it is not a fact that formal negotiations are contemplated, as was indicated in the Prime Minister's answer yesterday, and that there is a danger that these formal conversations will in fact imply a de facto recognition? Secondly, is it not a fact that the Czechoslovak Legation still enjoys full diplomatic status, and would it not have been normal to consult or inform them before entering into negotiations with another Government about Czech affairs?
§ The Prime MinisterI have explained that the question of the de facto recognition of the new status of Bohemia and Moravia was being considered in connection with the future representation of His Majesty's Government at Prague, and not in connection with any formal discussions.
§ Sir A. SinclairIs it not quite inconsistent with the policy of collective resistance to aggression that His Majesty's Government should be considering the question of recognising the German annexation of Bohemia and Moravia? Will the Prime Minister not give us an assurance that the Government will not recognise the German annexation?
§ The Prime MinisterI have said that the matter is being considered.
§ Mr. BrackenIs the right hon. Gentleman aware that "informal conversations" is only a euphemistic description of conversations between Treasury officials and the Germans regarding the property of the Czech people, the savings of 20 years, which are to be handed over to the Germans? Surely, if these are called informal conversations it is a great reflection upon England because they certainly could not be formal.
§ Mr. A. HendersonWere any representatives of the Czecho-Slovakia Bank associated with these conversations?
§ The Prime MinisterNot with the informal discussions. I think they would be with formal discussions.
§ Mr. SandysCan the Prime Minister give us an assurance that no de facto recognition will be given without this House first being consulted?
§ The Prime MinisterI cannot give such an assurance.
§ Mr. AttleeAre we to understand that the Government are contemplating giving formal recognition to the annexation of Czecho-Slovakia by Germany?
§ The Prime MinisterNo, Sir. I did not say that. I am not sure whether the right hon. Gentleman was in his place when I gave the earlier answer. I said that the position was being considered. The question of giving an assurance as to what we would or would not do before asking the House is another matter altogether.
§ Mr. AttleeI think this is a point upon which the House wants to be clear. Can we have an assurance that no decision will be taken in this matter until the House has had an opportunity of discussing it?
§ The Prime MinisterI cannot give that assurance, and it is not usual for an assurance of that kind to be given, as the right hon. Gentleman knows. The House has its own way of expressing its approval or not.
§ Mr. AttleeThe Prime Minister will realise that it is not usual to have one Government forcibly seized by another.
§ Mr. SandysIn view of the fact that the Prime Minister told the House after the annexation of Czecho-Slovakia that 2277 the Government did not recognise the legality or the validity of this act—an announcement which was received with universal approval, may we not have an assurance that the House will be consulted before that policy is reversed?
§ Mr. AttleeIn view of the very unsatisfactory replies we have received I give notice that I will raise this matter on the Adjournment on Friday.
§ 45. Mr. Sandysasked the Prime Minister whether, before the Government consent to the release of any Czechoslovak assets in this country which are covered by the Czecho-Slovakia (Restrictions on Banking Accounts, etc.) Act, 1939, an opportunity will be afforded for consulting the opinion of the House?
§ The Prime MinisterI would refer my hon. Friend to the reply given yesterday by my right hon. Friend the Chancellor of the Exchequer to the right hon. Member for Edinburgh, East (Mr. Pethick-Lawrence).
§ Mr. SandysIn view of the fact that the Chancellor of the Exchequer did not answer this point yesterday, may I ask my right hon. Friend, while there can be no objection to the release of money of this kind to assist refugees or to satisfy British claims, whether we may be assured that any balance that may be left over will not be released for transfer to Germany without prior consultation with this House?
§ The Prime MinisterI understand that my right hon. Friend said that if an agreement was reached, it would be laid before Parliament in the usual way. The purpose of the agreement would be to ensure that British holders of these bonds, etc., would be paid their due rates of interest. My right hon. Friend said that if an agreement was reached, it would be laid before Parliament in the usual way.
§ The Prime MinisterIt would be laid before Parliament, which would probably have an opportunity of taking cognisance of it.
§ The Prime MinisterWhen the point had been reached. The position is that the Treasury are empowered under the Act to restrict balances and assets pending a satisfactory agreement being made.
§ Mr. SandysThe point of my question was to find out whether, apart from these perfectly unobjectionable releases, we could be assured that no money would be released to Germany—that is not the matter to which my right hon. Friend referred—without this House first being consulted.
§ The Prime MinisterI can say this, that there is no intention of releasing money to Germany.
§ Mr. BrackenWhat is the point of an agreement with Germany? We are, I presume, exchanging real assets in London for promises of the German Government. Would the Prime Minister tell us whether he thinks that is a satisfactory arrangement, and whether he would not prefer to retain assets rather than to have promises?