Opinion Number. 827

Subject

GERMAN NEW GUINEA
COMPENSATION TO BE PAID TO ENEMY SUBJECTS WHEN DISPOSSESSED OF THEIR PROPERTY: POWER TO OBTAIN INFORMATION AND DETERMINE COMPENSATION-POWER INHERENT IN MILITARY OCCUPATION

Date
Client
The Secretary, Prime Minister's Department

The Secretary to the Prime Minister's Department has forwarded for advice, as to the legal aspect, the following memorandum:

In anticipation of peace terms the Administrator, (late) German New Guinea, has furnished a report on the question of dealing after the war with property owned by enemy subjects in that Territory.

The approximate number of Germans in late German New Guinea is 500 men, 100 women and 50 children. The Administrator presumes these will be required to leave the Colony (he urges this), and that German influence in the Islands is to be completely eradicated.

At the time of British occupation from 600,000 to 700,000 acres had been alienated, and 35,000 planted or in preparation for planting. There are several German firms in business, which is fairly considerable.

The Administrator suggests that a Commission determine the amount of compensation to each German firm or property holder, these sums to be included in the indemnity the German Government is required to pay; and that ultimately Germany pay its own subjects.

A similar claim in regard to Crown property might also be included as a set-off against the value which Germany will undoubtedly place on the Colony as an asset given up.

The Administrator is collating certain information which will be a help in determining this question.

The Minister for Defence approves of the proposal, but he wishes to know whether the Prime Minister approves, and also whether the proposal is legally possible.

I am not quite clear as to the legal aspect on which it is desired I should advise. If it is the question of the power to appoint a Commission such as is suggested-I assume that the law of the Territory gives the necessary power. If not, no doubt the Administrator could under the powers which are inherent in the military occupation, obtain the necessary information.

I do not understand the proposal to be that enemy subjects should as a class be compelled to leave the Territory during the war, but that they should be compelled to leave on the conclusion of peace. Such action would no doubt depend on the terms of peace, and assuming that it is made one of the terms of peace the possession of such information as it is proposed to collect would be of value.

[Vol. 15, p. 325]