838.51/2661: Telegram

The Acting Secretary of State to the Minister in Haiti (Armour)

43. Your despatch No. 85, June 22, 1933. Department approves your elimination of the intervening step in its instruction No. 63 of June 17, as explained on page 2 of despatch under acknowledgement.

For your own confidential information, Department considers that Haitian draft covering financial control transmitted with your despatch 88 of June 26 offers reasonable basis of discussion. When we have received report of your latest conversations with Haitian officials we will instruct you more definitely in the matter. In view of improvement in Haiti’s financial situation since the negotiation of the September 1932 treaty, as well as advisability of reaching agreement on financial protocol at same time as on Haitianization of the Garde, Department will feel warranted in considering certain concessions to the Haitian point of view, provided of course that the essential provisions required by the 1915 treaty and the 1919 protocol for the protection of the bondholders are incorporated in the agreement.

Phillips