6. Political Decentralization. The military administration in Germany in the initial period should be carried out with a view toward the eventual partitioning of Germany into three states. To facilitate partitioning and to assure its permanence the military authorities should be guided by the following principles: (a) Dismiss all policy-making officials of the Reich government and deal primarily with local governments. (b) Encourage the reestablishment of state governments in each of the states (Lander) corresponding to 18 states into which Germany is presently divided and in addition make the Prussian provinces seperate states. (c) Upon the partition of Germany, the various state governments should be encouraged to organize a federal government for each of the newly partitioned areas. Such new governments should be in the form of a confederation of states, with emphasis on states' rights and a large degree of local automony. 7. Responsibility of Military for Local German Economy. The sole purpose of the military in control of the German economy shall be to facilitate military operations and military occupation. The Allied Military Government shall not assume responsibility for such economis problems as price controls, rationing, unemployment, production, reconstruction, distribution, consumption, housing, or transportation, or take any measures designed to maintain or strengthen operations. The responsibility for sustaining the German economy and people rests with the German people with such facilities as may be available under the circumstances. 8. Controls over Development of German Economy. During a period of at least twenty years after surrender adequate controls, including controls over foreign trade and tight restrictions on capital imports, shall be maintained by teh United Nations designed to prevent in the newly-established states the establishment or expan- sion of key industries basic to the German military potential and to control other key industries. 9. Punishment of War Crimes and Treatment of Special Groups. There is attached (Appendix B) a program for the punishment of certain war crimes and for the treatment of Nazi orginizations and other special groups. 10. Wearing of Insignia and Uniforms. (a) No person in German (except members of the United Nations and neutral countries) shall be permitted to wear any military insignia of rank or branch of service, service ribbons or military medals. |