Stuart E. Eizenstat, Deputy Secretary

U.S. Department of the Treasury
1500 Pennsylvania Avenue, NW
Suite 3326
USA - Washington D.C. 20220

Vienna, 23 February 2000

SchoeRA/BMfUK / al / 6SB

Dear Mr. Eizenstat,

Paintings by Gustav Klimt - Restitution

in the above matter I am instructed by the successors and heirs of Ferdinand Bloch-Bauer, i.e Maria Altmann, George Bentley and Trevor Mantle. The Austrian citizen of Jewish origin Ferdinand Bloch-Bauer and his predeceased wife Adele Bloch-Bauer were promoters of Gustav Klimt. Ferdinand Bloch-Bauer owned some Klimt-paintings given to the Republic of Austria in course of the Nazi Regime.

As you are probably aware, my clients claim restitution of five of these paintings placed in ”Österreichischen Galerie im Oberen Belvedere”, Vienna. The Republic of Austria denies my clients’ claim. Federal Minister Dr. Elisabeth Gehrer proposed to my clients in public to resort to the general courts of law.

Submitting the claim my clients applied for waiver of court fees amounting ATS 24 million. Except for the amount of ATS 5 million the Civil Court Vienna granted the application. The Finanzprokuratur as attorney of law of the Republic of Austria lodged an appeal against this decision to the Higher Regional Appeal Court Vienna, which has not been decided yet. One of the reasons for lodging an appeal was the question, whether the value of restituted art works (drawings by Gustav Klimt and porcelain) should also be considered. This means that these would have to be sold in order to pay court fees.

In other words filing a claim endangers my clients’ civil existence. In the event of losing the case they would be obliged to pay also fees of lawyers of the Republic of Austria amounting to some million Shillings additional to court fees. 

Therefore I sent on behalf of my clients the attached letter dated 23 February 2000 to the Finanzprokuratur, where a fair solution is suggested. This proposal grants the solving of legal issues by an independent court in everybody’s interest.

As the decision in this matter is of public interest, I hope my information is helpful to you. If you have any further questions, please do not hesitate to contact my colleague Randol Schoenberg of Fried, Frank Harris, Shriver & Jacobson, Los Angeles or myself.

With kind regards

Dr. Stefan Gulner