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usS operation of Military Government progressed this month with the crea- tion of four advisory offices and two divisions in OMGUS, the consolida- tion and transfer of positions and per- sonnel, and the continued study and review of the organization of Military Government to attain greater effici- ency and economy. The State Department, in anticipa- tion of assuming the responsibility of Military Government from the De- partment of the Army, announced its policy for retention of the services, status and rights of the experienced MG civilian personnel. The announce- ment is published on page 2 of this issue. The recent changes in the organiza- tional structure of Military Govern- ment involved the transfer of the ad- visory offices for economics, finance, governmental administration, and cultural affairs from the staff of the Commander-in-Chief, European Com- mand, to OMGUS, and the establish- ment of divisions for property, and for education and cultural relations within OMGUS. With these changes, five divisions-economics, finance, in- ternal affairs and communications, prisoners of war and displaced per- sons, and transport-were dissolved and their various responsibilities transferred to other OMGUS units. These changes were part of the pro- gram designed to consolidate occu- pational activities in the fields of economics and finance, and to separate organizationally the policy - making functions of the US occupation from those functions which are operational in character, namely the decarteliza- tion, reparations, restitutions, and pro- perty-control programs. The changes also are closely relat- ed to measures virtually completed for the integration of the US and British staffs of the Bipartite Control Office in Frankfurt, and for the anti- cipated reduction in occupational functions at the German state level as rapidly as competent and respon- sible German agencies are able to assume these important tasks. U NDER THIS streamlining policy, V observation and guidance to the bizonal agencies, with respect to their operations in the fields of economics, industry, transportation and communi- cations, will be the responsibility of the Bipartite Control Office. The formulation and development of policy with respect to matters per- taining to Germany as a whole will continue to be determined as hereto- fore by the Allied Control Council. Participation of the US elements of the ACA directorates is not effected by the changes. Matters pertaining to the joint economy of the combined zones will be determined by the Bi- partite Board. The titles and positions of the units of Military Government are shown in the new chart on the inside of the In- formation Bulletin's front cover. The persons occupying the important posts of Military Government, particularly those involved in the recent changes, are listed in Key MG Personnel, published in this issue. The Office of the Economics Ad- viser, OMGUS, takes over the duties of the former Officer of Economics Adviser, CINCEUR, and the policy- making functions formerly exercised by the Economics Division. Speciti- Mr. Lawrence Wlkinson Mr. Jack Bennett Economics Adviser Finance Adviser MARCH 23, 1948 Dr. Hermann B. Wells Acting Director, E&CR Division INFORMATION BULLETIN 5
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