List of Papers

(Unless otherwise specified, the correspondence is from or to officials in the Department of State.)

PRELIMINARIES TO THE EIGHTH INTERNATIONAL CONFERENCE OF AMERICAN STATES TO BE HELD AT LIMA IN 1938

Date and number Subject Page
1936 Jan. 10 From the Director General of the Pan American Union
Transmittal of a copy of the report by the Subcommittee on Program of the Eighth International Conference of American States, with a list of suggested topics for the program, and request for an opinion thereon.
1
June 2 To the Director General of the Pan American Union
Opinion that formulation of the definitive agenda for the Conference of American States might profitably be postponed pending results of the Inter-American Conference at Buenos Aires.
1

INTER-AMERICAN CONFERENCE FOR THE MAINTENANCE OF PEACE HELD AT BUENOS AIRES, DECEMBER 1–23, 1936

Preliminaries

[Page VIII] [Page IX] [Page X] [Page XI]
Date and number Subject Page
1936 (Bibliographical note.) 3
Jan. 30 From President Roosevelt to the President of Argentina
Belief that with the conclusion of peace between Bolivia and Paraguay in the Chaco controversy, a favorable opportunity exists for an extraordinary inter-American conference to be summoned at an early date, probably at Buenos Aires, to advance the cause of maintenance of peace throughout the American Republic.
(Footnote: The same, mutatis mutandis, to the Presidents of the American Republics.)
3
Feb. 6 (22) From the Ambassador in Argentina (tel.)
For Assistant Secretary of State Welles from Braden, U. S. delegate to the Chaco Peace Conference: Comments and suggestions of the Foreign Minister relative to conference proposed by President Roosevelt, and request for instructions for further discussions of the matter.
5
Feb. 8 (19) To the Ambassador in Argentina (tel.)
For Braden: Instructions as requested in No. 22 of February 6, and advice of intention to create a special committee to formulate plans for consideration at the proposed inter-American conference.
6
Feb. 18 (38) From the Ambassador in Argentina (tel.)
Conversation with the Foreign Minister, who expressed his Government’s approval of the proposed extraordinary conference and reported concurrence of certain other Latin American Foreign Ministers.
7
1936 Feb. 26 (35) From the Ambassador in Mexico (tel.)
Views of the Under Secretary for Foreign Affairs, who advocated an early consultation among the governments on a publicity program, reported fears of several Latin American countries that the issues of the conference might affect their commitments as members of the League of Nations, and stated that the Mexican Government would collaborate fully in the proposed peace conference.
8
Feb. 27 (40) To the Ambassador in Mexico (tel.)
Information for use in conversation with the Under Secretary for Foreign Affairs, and advice that unanimous agreement in the American Republics will be sought relative to appropriate steps for beneficial publicity.
9
Mar. 18 (67) From the Ambassador in Argentina (tel.)
Foreign Minister’s reasons for desiring the conference to meet at an early date.
10
Mar. 19 (36) To the Ambassador in Argentina (tel.)
Agreement with the Argentine Government in desiring an early meeting, but opinion that the need for unanimous agreement on the agenda would seem to make any date before the middle of July unlikely of attainment.
10
Mar. 19 Memorandum by the Assistant Secretary of State to the Under Secretary of State
President Roosevelt’s feeling that there is no reason why Canada, a component part of the British Empire, should enter into any political or quasi-political conventions agreed to by the independent American Republics.
11
Mar. 24 (72) From the Ambassador in Argentina (tel.)
Information from the Foreign Minister that his suggestions for the conference program would soon be delivered to the Department; also that July 15 is agreeable to Argentina, to which the Ambassador replied by stressing the inadvisability of setting a positive date at this time.
11
Apr. 1 (106) From the Ambassador in Brazil (tel.)
Foreign Minister’s establishment of commissions for preliminary studies, his desire for a basic agenda to give the work a more useful focus, and his reasons for not intending to be a delegate.
12
Apr. 2 (59) To the Ambassador in Brazil (tel.)
Conversations with diplomatic representatives of other American Republics relative to formulation of conference program; Department’s favorable attitude toward a suggestion for preparation of the program by diplomatic representatives in Washington; categories of suggestions to be submitted by the United States.
13
Apr. 6 (111) From the Ambassador in Brazil (tel.)
Agreement of Foreign Minister with Department’s position relative to formulation of the program and his conviction of the wisdom of limiting objectives to a few simple and essential aims.
14
1936 Apr. 21 (19) To the Minister in Paraguay (tel.)
Organization of an Inter-American Committee of the diplomatic representatives in Washington to consider the conference agenda, and its desire for suggestions from Paraguay, the request being transmitted by United States in the absence of a Paraguayan diplomatic representative in Washington.
15
Apr. 21 (655) From the Minister in El Salvador
Suggestion of President Martínez that mutual action for defense of the Americas be considered at the conference.
15
May 2 To the Argentine Ambassador
List of subjects (text printed) proposed for inclusion in the conference program.
16
May 8 (101) From the Ambassador in Argentina (tel.)
Foreign Minister’s opinion that the idea of a Pan American League of Nations, in which the President of Colombia had expressed interest, could more properly be considered at the Conference of American States in 1938 than at the impending Buenos Aires conference.
17
May 8 (1688 Pol.) From the Consul at Geneva
Transmittal of a memorandum (text printed) which embodies the official League Secretariat viewpoint concerning the probable effect of the forthcoming Buenos Aires Conference upon relations between Geneva and Latin America.
18
June 3 (903) To the Ambassador in Peru
Information for reply to the Foreign Minister’s inquiry relative to setting an early date for the Inter-American Conference.
21
June 11 Memorandum by the Secretary of State
Conversation with the Spanish Ambassador regarding appointment of a Spanish observer to attend the Pan American Peace Conference, and assurance that, with or without a designated observer, reports of all considerations at the Conference would be available to the Spanish Government.
22
Aug. 11 To the Argentine Minister for Foreign Affairs (tel.)
Advice that December 1 will be agreeable as the date for the Inter-American Conference.
23
Sept. 10 (255) From the Minister in Nicaragua
Conversation with the Foreign Minister, who spoke of having been invited to a meeting of Central American Foreign Ministers prior to the Conference meeting, and expressed his views on nonrecognition of governments coming into power by armed rebellion.
(Footnote: Abandonment of the proposed meeting of Foreign Ministers.)
24
Oct. 26 (441) From the Consul at Geneva (tel.)
Study by League Secretariat of all documents relating to the Inter-American Conference, and consideration of the possibility of sending an observer if invitation is received; problems connected therewith.
25
1936 Nov. 5 (1072) From the Minister in Colombia
Conversation with the Argentine Minister, who stated that although the Colombians anticipate a majority support of their proposal for the formation of a League of American Nations, Argentina’s attitude is not favorable.
26
Nov. 11 (3) From the Chairman of the American Delegation to the Inter-American Conference for the Maintenance of Peace (tel.)
For Mr. Duggan, Chief of the Division of Latin American Affairs: Possibility of lending support at the Conference to an Argentine-inspired proposal for a truce against any new obstacles to trade among the American Republics, and instructions to seek the cooperation of the Secretary of Agriculture in clearing the matter with the three Departments concerned with the trade aspects of such a truce.
(Footnote: Information that Secretary of State Hull, Chairman of the American Delegation, sailed from New York on November 7.)
27
Nov. 12 From the Secretary of War to President Roosevelt
Message (text printed) from the President of the Philippines, who expressed the hope that a signatory privilege clause, for use when Philippine independence is achieved, might be inserted in the pending arbitration agreement between the American Republics.
(Footnote: President’s request that this message be forwarded by air mail to Secretary of State Hull, en route to Buenos Aires.)
30
Nov. 13 Memorandum by the Secretary to the Chairman of the American Delegation to the Chairman
Conversation with Dr. Castro Ramírez, Salvadoran delegate, who said he had instructions to secure some action at the Conference looking toward the exclusion of communism from the American continent, and desired the Secretary’s views as to a possible formula to achieve that purpose.
30
Nov. 14 (14) To the Chairman of the American Delegation (tel.)
Transmittal of Duggan’s reports relative to a truce against new obstacles to trade, with a brief summary of views of other Government agencies.
31
Nov. 14 (15) To the Chairman of the American Delegation (tel.)
Information from the Consul at Geneva pertaining to attendance of a League of Nations observer at the Conference.
31
Nov. 15 (16) To the Chairman of the American Delegation (tel.)
Information from Berlin relative to German interest in the Conference, activity of secret agents, and departure of two German economic officials for Rio de Janeiro and Buenos Aires.
32
Nov. 20 To the Secretary of War
Acknowledgment of receipt of message of November 12, and advice that it has been forwarded to the Secretary at Buenos Aires.
32
1936 Nov. 20 To the Chairman of the American Delegation
Transmittal of the letter of November 12 quoting a message from the President of the Philippines; comment as to unlikelihood of U. S. support of any movement to give the Philippines, as an independent nation, a special status in connection with inter-American relations.
33

List of Treaties

Date and number Subject Page
(Note: Information that the Conference adopted two treaties, eight conventions, and one protocol; list of those signed and ratified by the United States, and citation to texts thereof and to texts of the two conventions not signed by the United States.) 33

Proceedings

Date and number Subject Page
(Note: Information that no systematic reporting for the Department’s files appears to have been made; that the files of the delegation are in The National Archives; citation to text of delegation’s report.) 34

CHACO DISPUTE BETWEEN BOLIVIA AND PARAGUAY: THE CHACO PEACE CONFERENCE

[Page XII] [Page XIII] [Page XIV] [Page XV] [Page XVI]
Date and number Subject Page
1936 (Bibliographical note.) 35
Jan. 21 (104) From the American Delegate to the Chaco Peace Conference
Transmittal of three documents (texts printed): (1) A Conference resolution recommending maintenance of certain security measures, return of prisoners of war, and renewal of diplomatic relations between Bolivia and Paraguay; (2) Protocolized Act signed by the two countries on January 21 putting the recommendations into effect; and (3) identic notes exchanged by the two countries in regard to submitting the act to their Congresses for legislative approval.
35
Jan. 23 (9) From the Ambassador in Argentina (tel.)
From Braden, American Delegate to the Chaco Peace Conference: Advice that Conference will not recess until after legislative approval of the Protocolized Act of January 21. Plan to clear up details and then go on projected trip to Bolivia; suggestion that Dawson, assistant to Braden, go to Washington for consultation.
39
Jan. 24 (7) To the Ambassador in Argentina (tel.)
For Braden: Advice that Legations at La Paz and Asunción have been ordered to repeat to Braden reports on developments relative to legislative approval. Approval of Braden’s plan, but desire that Dawson remain at Buenos Aires.
40
1936 Feb. 7 (23) From the Ambassador in Argentina (tel.)
From Braden: Advice that a special repatriation commission is being set up, with one officer from each mediatory nation, to supervise repatriation of prisoners under terms of January 21 agreement; request for authorization to name Captain Sharp, Military Attaché in Argentina, as American member.
41
Feb. 7 (11) From the Minister in Paraguay (tel.)
Approval of the January 21 agreement by the Chamber of Deputies, constituting final action by the Paraguayan Congress.
41
Feb. 8 (17) To the Ambassador in Argentina (tel.)
For Braden: Authorization by the War Department of Sharp’s designation.
41
Feb. 8 (4) From the Chargé in Bolivia (tel.)
Unanimous Congressional approval of the Buenos Aires protocol.
42
Feb. 18 (41) From the Ambassador in Argentina (tel.)
From Braden: Belief that Paraguayan revolution will make it impossible to begin repatriation of prisoners at time stipulated by the January 21 protocol, but probability that the new regime will honor the instrument.
42
Feb. 28 (131) From the American Delegate
Recommendation that Major Weeks, Military Attaché at Santiago, serve as military observer in vicinity of lines of separation between Bolivian and Paraguayan occupation, during U. S. turn at the duty from April 15 to June 15.
43
Mar. 6 (40) From the Minister in Paraguay (tel.)
Information from Stefanich, Foreign Minister of the provisional government, that Paraguay plans to tender assurances to respect the Chaco engagements; belief that Colonel Franco, provisional president, is desirous of commencing repatriation of prisoners.
44
Mar. 24 (39) To the Ambassador in Argentina (tel.)
For Braden: Bolivian Minister’s expression of concern regarding delay in the resumption of duties by the Special Repatriation Commission; request for information relative to the Commission, and other factors affecting security measures mentioned in January 21 protocol.
44
Mar. 26 (41) To the American Delegate (tel.)
Designation of Major Weeks as military observer, as recommended in despatch No. 131 of February 28.
45
Mar. 27 (146) From the American Delegate
Request for authorization to designate Lieutenant Colonel Baker, the newly assigned Military Attaché at Buenos Aires, as American member of the Special Repatriation Commission, replacing his predecessor, Captain Sharp.
45
Apr. 16 (160) From the American Delegate
Arrival of Major Weeks, and advice of the assistance which he will have in performing his duties as military observer.
46
1936 Apr. 17 (162) From the American Delegate
Detailed commentary on plans of the Special Repatriation Commission, charged with supervising exchange of prisoners, with attention to various difficulties in connection with preparations, including the problem of prisoners who might not desire to return to their countries.
47
Apr. 25 (166) From the American Delegate
Further information regarding plans for repatriation of prisoners of war, with indication that the problem of certain costs has not been solved.
50
June 18 (196) From the Minister in Paraguay
Conversation with the Foreign Minister, who mentioned the Paraguayan refusal to relinquish control of the Villa Montes–Boyuibe Road to Bolivian control, and stated that an interview between the Presidents of Bolivia and of Paraguay would probably be arranged, subject to the approval of the Peace Conference.
51
June 23 (198) From the American Delegate
Transmittal of letter from Major Weeks, who confirmed the seriousness of the situation relating to the control of the Villa Montes–Boyuibe Road and the excess ‘troops maintained in the Chaco by the ex-belligerents.
52
July 3 (209) From the American Delegate
Information relative to repatriation of prisoners and steps taken to bring them all into concentration camps for repatriation.
54
July 29 (603) From the Chargé in Bolivia
Transmittal of memorandum from Foreign Ministry explaining Bolivian objectives in the Chaco Peace Conference, and calling attention to the dangerous Villa Montes–Boyuibe Road situation. Text of official denials of clashes in Chaco Central Zone.
55
Aug. 7 (157) From the Chargé in Argentina (tel.)
From Braden: Verbal agreement by the Bolivian and Paraguayan delegates to the planned procedure for settlement of outstanding problems connected with the Chaco situation.
56
Aug. 8 (103) To the Chargé in Argentina (tel.)
For Braden: Approval of procedure outlined in telegram No. 157 of August 7.
57
Aug. 12 (159) From the Chargé in Argentina (tel.)
From Braden: Approval of draft resolutions, covering oral agreements, by Bolivian delegate and one of the Paraguayan delegates, the other, Ramírez, approving only measures for repatriation and renewal of diplomatic relations; belief that Paraguayan position is due to hope of retaining control of Villa Montes Road as a trading element in the final territorial negotiations.
57
Aug. 20 (169) From the Chargé in Argentina (tel.)
From Braden: Agreement by neutral delegates to approve Conference resolution embodying some of the measures mentioned in telegram No. 157 of August 7; identic notes (text printed) to the ex-belligerents from the Conference President, indicating resumption of police functions in neutral zone; comments on the situation.
58
1936 Aug. 21 (172) From the Chargé in Argentina (tel.)
From Braden: Conference approval of measures previously individually agreed upon; formal note from Ramírez confirming the Paraguayan Government’s intention to adhere to the provisions of the protocols.
60
Aug. 21 (240) From the American Delegate
Request that Major Weeks be appointed for another period of duty as Conference military observer in the Chaco.
61
Aug. 31 (115) To the Chargé in Argentina (tel.)
For Braden: Authorization for Major Weeks to serve as military observer.
61
Sept. 10 (258) From the Minister in Paraguay
Information from the Foreign Minister that fund of 2,400,000 Argentine pesos, received from Bolivia in connection with prisoner repatriation, will be used for conversion and for stabilizing the Paraguayan paper peso.
62
Sept. 12 (192) From the Ambassador in Argentina (tel.)
From Braden: Precarious situation resulting from delivery of a Paraguayan note protesting Conference control between lines of separation and of Villa Montes Road; Conference request that Major Weeks remain in Buenos Aires temporarily.
62
Sept. 13 (193) From the Ambassador in Argentina (tel.)
From Braden: Critical evaluation of the Paraguayan note (excerpt printed); telegram sent to U. S. Minister in Paraguay (text printed) requesting that he inform the Foreign Minister of Braden’s anxiety over the note; Ramírez’ explanation of political reasons for the note.
62
Sept. 19 (194) From the Ambassador in Argentina (tel.)
From Braden: Possibility that the Paraguayan delegate will substitute a more conciliatory memorandum for the earlier controversial note. Advice that Major Weeks is leaving for the Chaco September 19.
64
Sept. 27 (197) From the Ambassador in Argentina (tel.)
From Braden: Ramírez’ agreement to modify the Paraguayan note; need for the Conference to draft a reaffirmation of its rights and obligations under the protocols in order to obtain Paraguayan compliance with the Conference’s note of August 21.
65
Sept. 28 (126) To the Ambassador in Argentina (tel.)
For Braden: Instructions to cable draft of any Conference declaration or note before indicating intention to sign.
66
Sept. 29 (201) From the Ambassador in Argentina (tel.)
From Braden: Possibility that Paraguayan Government may decide to publish its note of September 11 for political reasons, which would necessitate a detailed Conference reply; alternative suggestion by Brazilian delegate.
67
Oct. 10 (216) From the Ambassador in Argentina (tel.)
From Braden: Advice that Paraguayan note was not altered, and that an amplifying statement read at plenary session would leave the door open for solution through a reglementation to be drafted; advice that notes to the parties are now being drafted.
67
1936 Oct. 13 (218) From the Ambassador in Argentina (tel.)
From Braden: Draft of Conference note to Paraguay (text printed), emphasizing bases of right of control and vigilance, and requesting appointment of two officers to a reglementation commission; intention to seek elimination of one sentence. Advice as to nature of note which will be sent to Bolivia.
68
Oct. 14 (136) To the Ambassador in Argentina (tel.)
Advice that draft note to Paraguay is satisfactory although it would be preferable with the one sentence eliminated.
69
Oct. 14 (222) From the Ambassador in Argentina (tel.)
Indication of changes made in the note to Paraguay, which will be delivered October 15.
69
Oct. 19 (228) From the Ambassador in Argentina (tel.)
From Braden: Increasing nervousness in both Chaco commands attributable in part to the publication of Paraguayan note. Request to Ramírez to hurry appointment of officers to reglementation commission; advice that Bolivia has made her appointments.
70
Oct. 22 (230) From the Ambassador in Argentina (tel.)
From Braden: Receipt of acceptable reply from Paraguay; also one from Bolivia. Conference stress on urgency for the Paraguayan Government to make prompt appointments to reglementation commission; request for authority to appoint Major Weeks to the commission.
70
Oct. 26 (142) To the Ambassador in Argentina (tel.)
For Braden: War Department authorization of appointment of Major Weeks.
71
Oct. 27 (240) From the Ambassador in Argentina (tel.)
From Braden: Conference receipt of unsatisfactory note from Paraguay withholding expected appointments and reiterating the thesis of its September 11 note, with additional suggestions. Draft of proposed Conference reply; request for approval of draft and of procedure proposed for presenting a copy to the note of Stefanich, Paraguayan Foreign Minister.
71
Oct. 28 (241) From the Ambassador in Argentina (tel.)
From Braden: Further indication of intended action in case Paraguay remains intransigent.
73
Oct. 28 (148) To the Ambassador in Argentina (tel.)
For Braden: Approval of proposed note to Paraguay, provided two indicated changes are made, and of procedure outlined in telegram No. 240, October 27.
73
Oct. 29 (246) From the Ambassador in Argentina (tel.)
From Braden: Note delivered to Paraguayan delegation with minor changes in addition to those suggested by the Department; transmittal of text to U. S. Minister in Paraguay, together with certain comments (text printed), for delivery to Stefanich.
73
Nov. 2 (250) From the Ambassador in Argentina (tel.)
From Braden: Information that Paraguay did not name military delegates, and therefore the Special Military Commission was constituted without them; provision made to increase number of military observers in Chaco.
74
1936 Nov. 23 (177) To the Ambassador in Argentina (tel.)
For Braden: Note from the Bolivian Minister (text printed) reporting concentration of Paraguayan troops in various localities, and indicating that if the mediating body cannot give ample guarantees that Paraguay will not renew hostilities, Bolivia will be forced to mobilize.
75
Nov. 24 (274) From the Ambassador in Argentina (tel.)
From Braden: Advice that plans are under way to investigate reported concentration of Paraguayan troops.
75
Nov. 24 (275) From the Ambassador in Argentina (tel.)
From Braden: Further information on investigation of reported concentration of Paraguayan troops in certain localities.
76
Dec. 11 (327) From the American Delegate
Transmittal of copies of seven memoranda (five printed), dated from December 4 to 11, delivered to Assistant Secretary of State Welles, reporting activity in the Chaco negotiations.
77
Dec. 18 (331) From the American Delegate
Transmittal of copies of eight additional memoranda (five printed), dated from December 11 to 17, delivered to Assistant Secretary of State Welles, reporting activity in the Chaco negotiations.
88
Dec. 19 To the American Delegate
Request for report upon any recent developments regarding resumption of diplomatic relations between Bolivia and Paraguay, in view of certain press reports on the subject.
99
Dec. 24 (332) From the American Delegate
Transmittal of copies of eight memoranda (four printed), dated from December 18 to 23, delivered to Assistant Secretary of State Welles, reporting activity in the Chaco negotiations.
99
Dec. 28 (334) From the American Delegate
Renewal of diplomatic relations between Bolivia and Paraguay on August 21, with the understanding that diplomatic representatives would not be accredited for two or three months; advice that no representatives have yet been appointed.
104
Dec. 28 From the Ambassador in Argentina to the Consul at Santos (tel.)
For Welles from Braden: Information regarding continuation of territorial discussions with Stefanich; joint public statement (text printed) by the Foreign Ministers of Bolivia and Paraguay commenting on the cordial relations engendered by the Peace Conference.
105

BOUNDARY DISPUTE BETWEEN ECUADOR AND PERU

[Page XVII] [Page XVIII]
Date and number Subject Page
1936 Jan. 3 (223) From the Minister in Ecuador
Ecuadoran rejection of Peruvian request that the Zarumilla dispute be referred to the Court of International Justice; and counter suggestion which would utilize a commission appointed by the President of the United States.
106
May 5 (361) From the Minister in Ecuador
Further exchange of views between Peru and Ecuador on plans for terminating dispute.
107
1936 May 7 From the President of Ecuador to President Roosevelt
Detailed review of the boundary negotiations with Peru during recent years, giving reasons for decision not to continue negotiations at Lima, and requesting President’s good offices for continuing them at Washington under auspices of the U. S. Government.
(Footnote: Handed to President Roosevelt by the Ecuadoran Minister on June 1.)
108
May 12 (371) From the Minister in Ecuador
Advice that no definite decision appears to have been taken concerning any change in Ecuadoran policy in the boundary matter.
111
June 8 From President Roosevelt to the President of Ecuador
Regret that it is not possible to comply specifically with the request made in letter of May 7, since any action now might be construed by Peru as being beyond the limits of complete judicial impartiality.
112
June 30 (4622) From the Ambassador in Peru
Information that Ecuadoran Minister is endeavoring to have the negotiations transferred to Washington on the promise by Ecuador that any eventual arbitration shall be on the basis desired by the Government of Peru. Detailed comments on the present status of the boundary difficulty.
113
July 6 Agreement Between the Republics of Ecuador and Peru, Signed at Lima
Text of agreement under which delegates will be named to meet in Washington on September 30 for arbitration proceedings before the President of the United States.
116
July 7 (434) From the Minister in Ecuador
Advice from Foreign Minister of signature of the agreement with Peru, July 6, and names of the delegates who will represent the two countries.
117
July 9 (31) To the Chargé in Peru (tel.)
President’s statement to the press (text printed) regarding the agreement of July 6 between Ecuador and Peru.
(Footnote: The same, mutatis mutandis, to the Minister in Ecuador.)
118
Aug. 27 Memorandum by the Assistant Secretary of State to the Chief of the Division of Latin American Affairs
Advisability of discussing with the Ecuadoran Minister the pre-arbitration functions of U. S. Government.
119
Sept. 16 (32) To the Minister in Ecuador (tel.)
Instructions to inform the Foreign Minister that, because of the President’s particular interest in the settlement of the boundary controversy, he has arranged to have first formal session at the White House.
(Footnote: The same, mutatis mutandis, to the Chargé in Peru.)
119
Sept. 30 Press Release Issued by the Department of State
Text of the President’s remarks at the meeting of delegates of Ecuador and Peru at the White House, September 30, with emphasis on the importance of peace in the Western Hemisphere.
120
1936 Dec. 12 From the Second Secretary of Legation in Ecuador
Indications that the Ecuadorans are dissatisfied with the progress being made in Washington; that the Foreign Minister is optimistic, however, concerning the ultimate outcome of both the Washington negotiations and the Buenos Aires Conference for the Maintenance of Peace.
121
Dec. 21 From the Chief of the Division of Latin American Affairs to the Assistant Secretary of State
Discussion of the stalemate in the Washington negotiations; belief that the negotiations would be facilitated by the presence of an outside person, but one not from the United States, since the matter may be referred to the President for arbitration.
122
Dec. 22 To the Second Secretary of Legation in Ecuador
Advice that there has been little actual achievement in the negotiations, but that certain preliminary groundwork has been laid; belief that work in Buenos Aires will favorably affect the negotiations.
124

DECISION OF THE DEPARTMENT OF STATE THAT THE UNITED STATES SHOULD NO LONGER BE GUIDED BY ARTICLE II OF THE GENERAL TREATY OF PEACE AND AMITY OF 1923 IN EXTENDING OR DENYING RECOGNITION TO GOVERNMENTS IN CENTRAL AMERICA

[Page XIX]
Date and number Subject Page
1936 Jan. 21 (561) From the Minister in El Salvador
Comments relative to the Central American interpretation of the Good Neighbor Policy, including the nonintervention feature, and request for clarification of its positive aspects.
126
Mar. 17 Memorandum by the Assistant Secretary of State to the Chief of the Division of Latin American Affairs
Suggestion that a memorandum be drafted acknowledging despatch No. 561 of January 21 and covering the questions involved in the noninterference policy.
127
Mar. 25 Memorandum by the Chief of the Division of Latin American Affairs to the Assistant Secretary of State
Submission of a study, dated February 18 (text printed on page 136), of those sections of the 1923 treaties relative to non-recognition of governments coming into power as a result of revolution or coup d’état, concluding that United States should no longer be guided by article II of the 1923 General Treaty. Comments on possible instructions to U. S. diplomatic representatives in Central America.
128
Mar. 26 Memorandum by the Assistant Secretary of State to the Chief of the Division of Latin American Affairs
Suggestions as to content of an instruction to be sent to all U. S. Legations in Central America, and opinion that the study described in memorandum of March 25 should be sent with this instruction. Importance of the proposed instruction as constituting a new precedent.
130
1936 Apr. 21 Memorandum by the Assistant Chief of the Division of Latin American Affairs
Considerations involved in the problem of procedure for making public the new U. S. policy with reference to the 1923 General Treaty of Peace and Amity.
(Footnote: Addressed to the Chief of the Division and to the Assistant Secretary of State.)
132
Apr. 23 Memorandum by the Chief of the Division of Latin American Affairs to the Assistant Secretary of State
Belief that no official pronouncement with regard to Government’s attitude on the recognition features of the 1923 treaty should be made until a favorable occasion arises.
133
Apr. 23 Memorandum by the Assistant Secretary of State to the Chief of the Division of Latin American Affairs
Agreement that public pronouncement is unnecessary.
133
Apr. 30 (103) To the Minister in Honduras
Transmittal of memorandum of February 18 (text printed) by the Assistant Chief of the Division of Latin American Affairs, embodying the conclusion that United States should no longer be guided by article II of the 1923 General Treaty in extending or denying recognition to governments in Central America. Comments and instructions.
(Footnote: The same to the missions in Costa Rica, El Salvador, Guatemala, and Nicaragua.)
134

POLICY OF THE DEPARTMENT OF STATE WITH RESPECT TO DEFAULTED FOREIGN SECURITIES HELD BY AMERICAN CITIZENS

Date and number Subject Page
1936 May 11 (Dipl. Serial 2661) To American Diplomatic and Consular Officers in Latin America and Mexico
Transmittal of a copy of a typical letter (text printed) to a bondholder of defaulted foreign securities explaining Department’s policy with respect to such securities held by American citizens.
149

COOPERATION OF THE UNITED STATES WITH OTHER GOVERNMENTS IN THE CONSTRUCTION OF THE INTER-AMERICAN HIGHWAY

[Page XX] [Page XXI]
Date and number Subject Page
1936 Mar. 11 (272) To the Chargé in Guatemala
Review of cooperative attitude of Guatemala in connection with the Inter-American Highway; desire to have from the Guatemalan Government a definite statement that the reconnaissance survey route has been accepted.
151
Mar. 11 (204) To the Minister in El Salvador
Résumé of indications that El Salvador is interested in Inter-American Highway; desire for a definite statement of Salvadoran acceptance of the reconnaissance survey route.
152
1936 Mar. 18 (14) From the Minister in El Salvador (tel.)
Salvadoran acceptance of the Inter-American Highway route with certain deviations from the reconnaissance survey.
153
Mar. 26 (20) To the Chargé in Guatemala (tel.)
Authorization, in company with Mr. James of the Bureau of Public Roads, to take up with Guatemalan Government the possible U. S. donation of a second bridge to Guatemala along the highway route.
154
Mar. 30 (14) To the Minister in Costa Rica (tel.)
Instructions to discuss with Costa Rican authorities, in company with Mr. James, details of financial cooperation in additional bridge construction along the Inter-American Highway.
154
Apr. 4 (95) To the Minister in Honduras
Transmittal of copy of instruction No. 20 of March 26 to the Chargé in Guatemala, with information of similar notes to Nicaragua, Panama, and Costa Rica, and explanation that none was sent to Honduras since the United States is already committed to expenditures there.
155
Apr. 4 (1082) From the Minister in Costa Rica
Delay in conversations, pending coming into power of President-elect Cortés, who is extremely interested in the project. Belief that contemplated allocation of proposed funds will cause dissatisfaction in Costa Rica, and recommendation concerning the allocation.
156
Apr. 7 (30) From the Minister in Nicaragua
Nicarauguan Government’s designation of Estelí River site as its choice in case the United States is able to donate a second bridge.
160
Apr. 8 (1083) From the Minister in Costa Rica
Transmittal of memorandum reporting results of conversations with the authorities, in company with Mr. James; belief that affirmative action on highway matter will be taken shortly after the inauguration of President-elect Cortés.
160
Apr. 13 (943) From the Chargé in Guatemala
Conversations with Guatemalan authorities relative to a second bridge, with indication of alternative sites and opinion as to most practical one.
161
Apr. 16 (467) From the Minister in Panama
Conversation, in company with Mr. James, with the Chief Engineer of the Central Roads Board regarding Panamanian bridge requirements, with conclusion that U. S. donation might better be used to extend existing highway westward toward Costa Rica.
162
Apr. 17 (41) From the Minister in Nicaragua
Confirmation of desire of Nicaragua to have a bridge over the Estelí River, as a second bridge of U. S. donation.
165
Apr. 27 (962) From the Chargé in Guatemala
Transmittal of a Guatemalan note accepting route laid down in the reconnaissance survey “reserving the right to give the necessary notice upon making any later change”.
166
1936 Apr. 30 (978) From the Chargé in Guatemala
Concurrence of the Minister of Agriculture with bridge work suggestion of Mr. James as reported in No. 943 of April 13.
166
June 1 To the Secretary of Agriculture
Comment on recommendation of Chief of the Bureau of Public Roads that $250,000 of the $1,000,000 fund for cooperation in the highway project be expended on a bridge in Mexico, which country does not desire assistance; position that fund balance should be used for bridges in Central America.
167
July 25 (186) From the Minister in Nicaragua
Talks of Messrs. Brown and Flick of the U. S. Bureau of Public Roads with Nicaraguan officials; their agreement to make a reconnaissance survey and to report on advisability of a bridge across the Sebaco River instead of the Estelí.
168
Sept. 29 (1262) From the Chargé in Costa Rica
Transmittal of a Costa Rican note which, while not expressly rejecting bridge construction, suggests assistance on a stretch of road from Cartago to San Marcos; reasons for official and private apathetic attitude toward the highway project.
168
Oct. 1 (283) From the Chargé in Nicaragua
Transmittal of a Nicaraguan note agreeing to proposed route through the country, accepting U. B. offer to build Sebaco Bridge, and requesting U. S. assistance in a section of the highway.
170
Oct. 20 (352) To the Chargé in Costa Rica
Receipt of advice from Department of Agriculture that Mr. E. W. James of the Bureau of Public Roads would proceed about October 16 to Panama, Costa Rica, Nicaragua, Honduras, and Guatemala in connection with work on the Inter-American Highway.
(Footnote: The same to Guatemala, Honduras, Nicaragua, and Panama.)
170
Nov. 13 (1288) From the Chargé in Costa Rica
Account of and comments on conversation of Mr. James with Costa Rican officials, during which a misunderstanding developed in connection with extent of U. S. contribution in building Cartago-San Marcos road.
170
Dec. 16 (89) From the Minister in Costa Rica (tel.)
Informal conference with the Minister of Public Works, who stated that an early answer to Costa Rica’s suggestion concerning the Cartago-San Marcos road would expedite ordering road machinery which United States is to supply.
173

ARGENTINA

Preliminary Discussions Respecting a Trade Agreement Between the United States and Argentina

[Page XXII]
Date and number Subject Page
1936 Dec. 9 (510) To the Ambassador in Argentina
Advice of creation of a Country Committee on Argentina and Uruguay to formulate proposals to be considered in event of trade agreement negotiations; request for specific recommendations.
174
1936 Dec. 12 From the Secretary of State to the Acting Secretary of State
Two memoranda (texts printed) recording exploratory conversations with Argentine officials to clarify what might be involved in a commercial agreement; Argentine summary (text printed) of main concessions desired. Instructions to consult with Secretary of Agriculture Wallace and submit comments.
(Footnote: Information that the Secretary of State was at Buenos Aires at the Inter-American Conference for the Maintenance of Peace.)
175
Dec. 21 (139) From the Acting Secretary of State to the Secretary of State (tel.)
Unanimous general views of Trade Agreements Committee, concurred in by Secretary Wallace, with indication that studies have not gone far enough to support anything except highly tentative conclusions.
182

Interest of the United States in Securing Equality of Treatment for American Oil Companies Operating in Argentina

[Page XXIII] [Page XXIV] [Page XXV]
Date and number Subject Page
1936 May 22 (1193) From the Ambassador in Argentina
Efforts of Yacimientos Petrolfferos Fiscales (Argentine State Oilfields) to increase its business, leading to an Executive decree of May 8, 1936, under which a committee of three was appointed to study distribution of petroleum and its derivatives in Argentina; evaluation of probable adverse effects on American companies.
184
July 21 (144) From the Chargé in Argentina (tel.)
Advice of a decree of July 20 prohibiting exportation and limiting, as of August 5, importation of petroleum and liquid hydrocarbons; information from American companies, one of which is consulting with British companies, regarding far-reaching effect of decree.
186
July 21 From the Consul General at Buenos Aires (tel.)
Quotation of excerpts from the decree of July 20.
186
July 25 (96) To the Chargé in Argentina (tel.)
Conversation with representative of Standard Oil Company of New Jersey, which is awaiting opinion of its Argentine attorneys as to legality of decree of July 20; instructions to endeavor to ascertain whether the British have approached the Argentine Government in the matter.
187
July 29 (150) From the Chargé in Argentina (tel.)
Information that the British have not made representations, but are willing to do so jointly; Dutch position; lack of unanimity among companies. Doubt as to success of representations, as the decree reflects the Argentine nationalistic spirit.
187
July 30 (101) To the Chargé in Argentina (tel.)
Advice that no oil company representatives have again approached the Department.
188
1936 Aug. 5 (155) From the Chargé in Argentina (tel.)
Advice of application by private oil companies for enrollment on register under an article of the decree of July 20.
188
Aug. 7 (1297) From the Chargé in Argentina
Meeting of Minister of Agriculture with representatives of the oil companies, who were given copies of proposed rules under which they will hereafter operate, with ten days for study and comment, which will be considered before decision is made on final form; summary of and comment on the proposed rules.
189
Aug. 21 (170) From the Chargé in Argentina (tel.)
Information that private companies were given until August 22 to agree in principle to marketing plan involved in the rules mentioned in despatch No. 1297 of August 7; special problems connected with agreement of Standard Oil Company and Shell.
190
Aug. 21 (171) From the Chargé in Argentina (tel.)
Intention of British Ambassador to request Foreign Minister to grant extension of time limit as requested by the Shell Company; request for instructions if Department desires similar action taken.
191
Aug. 22 Memorandum by the Chief of the Division of Latin American Affairs
Authorization by telephone to the Chargé in Argentina to request orally a brief extension of time limit set for oil companies’ acceptance of the marketing plan.
191
Aug. 22 (111) To the Chargé in Argentina (tel.)
Confirmation of authorization given by telephone.
192
Aug. 24 (173) From the Chargé in Argentina (tel.)
Extension of time as requested by the companies. Proposal of Argentine Commission to continue conversations, with oil companies agreeing to discontinue certain practices pending agreement on marketing arrangement.
192
Aug. 28 (177) From the Chargé in Argentina (tel.)
Signature by all companies, except Shell-Mex and Standard Oil, of Commission’s proposal for temporary agreement discontinuing special rebates and discounts pending drafting of marketing arrangement.
192
Aug. 29 (179) From the Chargé in Argentina (tel.)
Advice that Standard Oil and Shell-Mex have signed a temporary agreement which does not obligate companies to accept the marketing arrangement; that final date for acceptance of the latter is September 22.
193
Sept. 1 (116) To the Chargé in Argentina (tel.)
Request from Standard Oil Company that Department make representations for extension of the time limit for acceptance of the marketing arrangement; Department’s unwillingness to make representations, however, pending outcome of the company’s own negotiations.
193
1936 Sept. 10 (1343) From the Ambassador in Argentina
Transmittal of memoranda of conversations with representatives of Standard and Ultramar oil companies; opinion that oil situation is a development in accordance with the supervised economic program of the Argentine Government.
194
Sept. 21 (124) To the Ambassador in Argentina (tel.)
Authorization to request orally an extension of the time limit for acceptance of the marketing arrangement in case of Argentine refusal to postpone the date at the request of Standard Oil.
195
Sept. 22 (195) From the Ambassador in Argentina (tel.)
Advice from Standard Oil that Harden and Brousson, representatives of Standard and Shell-Mex Companies, respectively, are negotiating with the Argentine authorities, and that the idea of the time limit has apparently been abandoned for the present.
195
Sept. 29 (202) From the Ambassador in Argentina (tel.)
Continuation of discussions between the Argentine authorities and the companies, who regard the marketing arrangement as unacceptable.
195
Oct. 7 (209) From the Ambassador in Argentina (tel.)
Bylaw of Buenos Aires City Council, passed October 6, making the sale of gasoline in the capital a public service, with a concession to Yacimientos Petroliferos Fiscales for this service, and apparently in line with proposed marketing arrangement.
196
Oct. 7 (210) From the Ambassador in Argentina (tel.)
Continuation of company negotiations; receipt by Dutch Minister of instructions to give “all proper assistance” to Dutch interests; British Minister’s representations to the Foreign Minister against unfair discrimination.
196
Oct. 8 (213) From the Ambassador in Argentina (tel.)
Request for authorization to express to the Foreign Minister the hope that equality of treatment may prevail, in view of possibility of further arbitrary legislation affecting other American interests.
197
Oct. 9 (214) From the Ambassador in Argentina (tel.)
Intention of oil companies to sue Government if bylaw of October 6, which they consider more drastic than marketing arrangement, is signed. Belief that crux of problem is political.
197
Oct. 10 (134) To the Ambassador in Argentina (tel.)
Authorization requested in No. 213 of October 8.
198
Oct. 14 (221) From the Ambassador in Argentina (tel.)
Advice of representations as authorized; continuation of negotiations of Standard and Shell-Mex.
198
Oct. 17 (225) From the Ambassador in Argentina (tel.)
Foreign Minister’s assurance that the Government desires equality of treatment to prevail in negotiations with the oil companies; continued protests by the companies against the bylaw of October 6, which will take effect on October 21 if not vetoed.
198
1936 Oct. 28 (244) From the Ambassador in Argentina (tel.)
Information from Standard representative of possible purchase of its interests by YPF. Signature of bylaw of October 6 by the Mayor with effective date of November 20; advice that Standard is bringing suit against the Government protesting unconstitutionality of bylaw.
199
Dec. 19 (286) From the Ambassador in Argentina (tel.)
Failure of Standard to reach definite agreement with Argentine authorities on marketing arrangement; arrival at a temporary settlement, however, to last for six months. Information that ex-President Alvear is now examining the plan to sell Standard interests to the Government, and that his decision will determine fate of the proposal.
200

Efforts of the Department of State To Secure Equitable Treatment for American Interests With Respect to Argentine Exchange Restrictions

[Page XXVI]
Date and number Subject Page
1936 Apr. 17 (1130) From the Ambassador in Argentina
Transmittal of memorandum of conversation with the Finance Minister, who promised a more liberal exchange treatment for American merchandise.
200
Apr. 20 (1137) From the Ambassador in Argentina
Memorandum from the Finance Minister (text printed) outlining the current exchange control policy toward United States, and envisioning improved treatment by concluding a commercial treaty on new bases.
201
Apr. 27 (1150) From the Ambassador in Argentina
Letter from the Acting Assistant Commercial Attaché (text printed) giving a résumé of his conversation with the head of the Exchange Control Board on allocation of official exchange, and concluding with reasons for believing that no better exchange treatment can be expected at present.
204
June 1 (1203) From the Ambassador in Argentina
Observations relative to a continuing discrimination against American commerce, and request for instructions.
206
June 5 (112) From the Consul General at Buenos Aires
Detailed account of concern and activity of American business firms in Buenos Aires in connection with exchange control, particularly the 20 percent surtax on imports from the United States, with examples of the results of discrimination.
208
June 22 (130) From the Ambassador in Argentina (tel.)
Finance Minister’s decision to amplify by 50 categories the list of articles of American origin for which previous exchange permits have hitherto been granted, further amplification to depend upon increase of Argentine exports to United States.
211
1936 July 21 (419) To the Ambassador in Argentina
Transmittal of correspondence with the National Foreign Trade Council regarding the amplified list of articles to be accorded official exchange coverage by Argentina, and request for comment on Council’s inquiry as to whether the extension of the list implies a net increase in the total quantity or percentage of official exchange made available for American trade.
212
July 31 (152) From the Chargé in Argentina (tel.)
Compliance with request in Department’s No. 419 of July 21 with information that Argentine action implies a net increase in quantity of official exchange, and that amount allocated depends on movement of Argentine exports to the United States.
212
Aug. 21 From the Consul General at Buenos Aires (tel.)
Advice that the Government’s chief financial advisers are discussing advisability of abolishing exchange control and returning to a free market.
213
Aug. 21 (1314) From the Chargé in Argentina
Information regarding generally beneficial effects of new Argentine exchange regulations upon American trade.
213
Sept. 17 (1354) From the Ambassador in Argentina
Information that official exchange is now being granted on all the 50 categories of merchandise granted by the recent Argentine exchange concessions with the exception of X-ray films.
215
Oct. 15 (1389) From the Ambassador in Argentina
Advice that official exchange is now being granted on X-ray films. Memorandum (text printed) of representations to the Finance Minister in effort to secure extension of number of categories on which official exchange is granted.
216
Dec. 10 (281) From the Ambassador in Argentina (tel.)
Government’s instructions to Central Bank to sell exchange in official market at a lower rate; belief in some circles that action is forerunner of abolition of exchange control, circumstances permitting.
218
Dec. 22 (1439) From the Ambassador in Argentina
Argentine assurance that official exchange will be applied in the case of a disputed Pullman bid. Understanding from Finance Minister that any increase in the list of 50 categories will be possible only after initiation of trade agreement negotiations.
218

BOLIVIA

Revolution in Bolivia

[Page XXVII] [Page XXVIII]
Date and number Subject Page
1936 Feb. 6 (517) From the Chargé in Bolivia
Account of internal confusion in Bolivia, with a description of the political and army groups and their leaders; increasing talk that Colonel Toro of the regular army will take over the government before the meeting of the National Assembly.
220
1936 Feb. 28 (529) From the Chargé in Bolivia
Transmittal of clipping from Ultima Hora of February 27 containing Presidential decree convoking national elections for May 31; considerable prediction that elections will not take place.
222
Mar. 6 (534) From the Chargé in Bolivia
Confused situation in Bolivia complicated by the continuance of the state of siege, and the adverse economic situation.
222
May 5 (563) From the Chargé in Bolivia
President’s call for participation in the elections set for May 31, but general opinion they will not be held; advice that army intervention appears inevitable.
223
May 17 (21) From the Chargé in Bolivia (tel.)
Resignation of President; manifesto issued by Acting Chief of the General Staff Busch stating that the army assumes mandate not to possess itself of the political power but to restore order; quiet in La Paz.
225
May 17 (22) From the Chargé in Bolivia (tel.)
Assumption of Government direction by manifesto-appointed Junta.
225
May 18 (23) From the Chargé in Bolivia (tel.)
Continuance of superficial tranquillity; announcement of strike settlement; nonreturn of workers; undercurrent of discontent with Junta; strike by students.
225
May 18 (11) To the Chargé in Bolivia (tel.)
Instructions to repeat No. 21 of May 17 and subsequent telegrams reporting important developments to Braden, American delegate to the Chaco Peace Conference.
226
May 18 (109) From the Ambassador in Argentina (tel.)
From Braden: Notification from new Bolivian regime of its observance of Buenos Aires protocols and other treaties; Executive Committee’s opinion that the new regime could be accorded early simultaneous recognition by identic notes from the six mediating nations, and request for instructions; delay in dispatch of next contingent of prisoners from Asunción.
226
May 19 (24) From the Chargé in Bolivia (tel.)
Agreement between Workers Federation and Junta; procrastination of Colonel Toro in coming to La Paz, with probable reasons therefor.
227
May 19 (25) From the Chargé in Bolivia (tel.)
Dissolution of mixed Junta, apparently in accordance with Toro’s wishes.
227
May 19 (64) To the Ambassador in Argentina (tel.)
For Braden: Concurrence with plan for recognition of Bolivian regime by simultaneous identic notes from the six mediating nations, but suggestion of short delay for clarification of situation.
227
May 19 (111) From the Ambassador in Argentina (tel.)
From Braden: Agreement of Saavedra Lamas, Argentine Foreign Minister, that matter of recognition should await clarification of situation.
228
1936 May 20 (112) From the Ambassador in Argentina (tel.)
From Braden: Chilean Foreign Minister’s opinion that recognition of new Bolivian regime should be withheld pending developments; and his confirmation of information, relative to the situation, received from the Legation at La Paz.
228
May 20 (26) From the Chargé in Bolivia (tel.)
Information regarding Toro’s scheduled grand entry into La Paz and relative to the generally unpredictable situation there.
229
May 22 (575) From the Chargé in Bolivia
Summary of events of past week leading to resignation of President Tejada Sorzano, and to subsequent efforts to form government.
229
May 22 (27) From the Chargé in Bolivia (tel.)
Information relative to composition of Junta.
233
May 23 (28) From the Chargé in Bolivia (tel.)
Taking of oath by Junta members; reiteration by Baldivieso, in charge of foreign relations, that Bolivia will respect all treaties, and that Junta’s socialistic creed is purely Bolivian not inspired by universal formulae.
233
May 24 (29) From the Chargé in Bolivia (tel.)
Excerpt from a note received from the Minister of Foreign Affairs requesting that matter of recognition be considered.
233
May 27 (30) From the Chargé in Bolivia (tel.)
Evidences of increasing stability of Junta, and mention of unfavorable factors.
234
May 28 (115) From the Ambassador in Argentina (tel.)
From Braden: Expectation that Executive Committee will recommend that recognition be accorded simultaneously at La Paz.
234
May 30 (12) To the Chargé in Bolivia (tel.)
Text of note of recognition to be delivered simultaneously with notes of other mediatory powers.
235
May 30 (31) From the Chargé in Bolivia (tel.)
Instructions for recognition of Junta received by Ministers of Argentina, Brazil, Chile, and Peru.
235
May 30 (32) From the Chargé in Bolivia (tel.)
Delivery of note of recognition.
235
June 22 (32) From the Chargé in Bolivia (tel.)
Arrest and deportation of Bautista Saavedra and the arrest of other Saavedrists or Republican Socialists, accused by Army Chief of Staff of subversive activities; Toro’s statement on composition of Junta.
236
June 23 (34) From the Chargé in Bolivia (tel.)
Discussion of Government status due to changes in Junta, but conclusion that question of recognition does not arise since present Junta is, in fact, continuation of the former Junta.
236
[Page XXIX]

BOLIVIA

Proposal by the Foreign Minister of Bolivia for Agreement for the Exportation of Tin From Bolivia to the United States

Date and number Subject Page
1936 Sept. 25 (40) From the Minister in Bolivia
Conversation with Foreign Minister Finot, who broached the matter of a direct agreement between the two countries for the exportation of tin to the United States; detailed comment thereon with mention of the Patiño tin interests.
237
Nov. 5 (77) From the Minister in Bolivia
Conversation between Toro, President of the Junta of Bolivia, and Aramayo, second largest producer of tin ore in Bolivia, who later said Patiño might be willing to write off possible losses in English smelteries if some compensating arrangement were made; further comments on proposal.
239
Dec. 7 Memorandum by the Chief of the Division of Latin American Affairs
Conversation with the Bolivian Minister who stated he would remind the Foreign Minister of the latter’s intention to send instructions relative to cooperation with United States in matters pertaining to tin.
240

Protest by the Bolivian Government Regarding Involvement of Bolivian Consul General in Court Action in Cases Growing Out of Violations of Arms Embargo

Date and number Subject Page
1936 Feb. 7 From the Bolivian Legation
Protest against involvement of Bolivian Consul General in New York in a lawsuit in connection with violation of the President’s proclamation prohibiting sale of arms and munitions to Bolivia and Paraguay during the Chaco War.
240
Feb. 27 To the Bolivian Minister
Reply to protest of February 7.
244
Mar. 4 From the Assistant Secretary of State to the Secretary of State
Belief that removal of the Bolivian Consul General by his own Government would be better than revocation of his exequatur, since the latter course would impair U.S. position at the Chaco Conference.
245
Mar. 6 Memorandum by the Chief of the Office of Arms and Munitions Control
Secretary’s decision not to recommend revocation of exequatur in view of Assistant Secretary’s opinion, but indication that nonrevocation was not to be considered as a precedent in case other consular officers become involved in violation of the law.
246

BRAZIL

Representations to the Brazilian Government Regarding the Proposed German-Brazilian Provisional Commercial Agreement

[Page XXX] [Page XXXI] [Page XXXII]
Date and number Subject Page
1936 Apr. 17 (62) To the Ambassador in Brazil (tel.)
Request for comment on press report that Brazilian Foreign Trade Council has recommended an emergency agreement with Germany as a method of selling cotton stocks for compensated marks.
247
1936 Apr. 20 (115) From the Ambassador in Brazil (tel.)
Council’s resolution (text printed) indicating that accord with Germany is in fact contemplated; comments thereon.
247
Apr. 24 (117) From the Ambassador in Brazil (tel.)
Prospect of early conclusion of temporary accord delimiting trade with Germany, in connection with which Brazil will insist on quota arrangement in both directions specifying commodities and quantities; Brazil’s reaction to Germany’s trade practices.
249
May 6 (68) To the Ambassador in Brazil (tel.)
Request for further information on the contemplated agreement with Germany, and for opinion as to whether the arrangement would constitute discrimination against U.S. trade; assumption that Ambassador is indicating U.S. interest in any agreement bearing on U.S.-Brazilian trade agreement.
250
May 7 (121) From the Ambassador in Brazil (tel.)
Information requested in No. 68 of May 6, with indication that the commercial modus vivendi contemplated with Germany is still in an inchoate stage, and that it is intended to favor British and American exporters.
251
May 25 (132) From the Ambassador in Brazil (tel.)
President’s statement to the press (text printed), indicating that there was no Cabinet discussion of modification of policy in commercial matters, and that the Government would continue to promote equality of treatment and freedom of commerce.
252
May 25 (133) From the Ambassador in Brazil (tel.)
Sensational press story alleging that the Brazilian Ambassador at Washington had reported U. S. representations to him implying that upon signature of the Brazilian-German modus vivendi the American Government would put Brazilian coffee on a quota.
252
May 26 (74) To the Ambassador in Brazil (tel.)
Brazilian Ambassador’s denial that he had sent alleged message.
253
May 26 (75) To the Ambassador in Brazil (tel.)
Instructions to intimate to the Foreign Minister that United States is keenly disappointed in press reports relative to the proposed Brazilian-German agreement, which indicate that such agreement would endanger the spirit, if not the letter, of the Brazilian trade agreement with United States.
253
May 27 (134) From the Ambassador in Brazil (tel.)
Conversation with the Foreign Minister who stated that finding adequate protection for American products is delaying conclusion of an agreement with Germany.
254
May 28 (135) From the Ambassador in Brazil (tel.)
Information from the Foreign Minister relative to delay in drafting the Brazilian-German agreement and opinion that ample opportunity will be afforded for presenting U. S. views before a final decision is made.
255
1936 May 29 (137) From the Ambassador in Brazil (tel.)
Representations to the Secretary General relative to assurances of Brazilian officials, including those of Foreign Minister, that the United States would be allowed to examine Brazilian-German text before its signing.
256
May 30 (138) From the Ambassador in Brazil (tel.)
Foreign Minister’s promise that signature will not take place until the Department has had an opportunity to examine the agreement and express its views.
256
May 30 (139) From the Ambassador in Brazil (tel.)
Informal memorandum from Foreign Minister (text printed) indicating that one-year agreement with Germany goes into effect June 1, and summarizing its contents; advice of pressure put on Foreign Minister, and opinion that he believes he has not contravened letter or spirit of agreement with United States.
257
May 31 (79) To the Ambassador in Brazil (tel.)
Request for further statistical information in respect to the proposed agreement.
258
June 1 (80) To the Ambassador in Brazil (tel.)
From Welles: Aide-mémoire (text printed), containing views expressed orally to the Brazilian Ambassador, with instructions to read it to Foreign Minister at once and to express hope that Brazil will continue to pursue policy based on principles of equal opportunity and treatment.
259
June 1 (140) From the Ambassador in Brazil (tel.)
Information requested in No. 79 of May 31, together with comment on the agreement; further visit to the Foreign Minister to make sure signature will be held in abeyance to permit presentation of Department’s views.
261
June 2 (141) From the Ambassador in Brazil (tel.)
Compliance with instructions in No. 80 of June 1.
263
June 3 (143) From the Ambassador in Brazil (tel.)
Finance Minister’s agreement with views expressed in aide-mémoire of June 1, and his observation that the German agreement in its present form could be considered as abandoned.
263
June 6 (146) From the Ambassador in Brazil (tel.)
Aide-mémoire from the Foreign Minister (text printed) reaffirming Brazilian trade policy and giving assurance that any agreement with Germany will be in accord therewith.
264
June 6 (147) From the Ambassador in Brazil (tel.)
Advice of Brazilian intention to abandon trade agreement with Germany, owing to impossibility of reconciling needs of the German system of direct economy and the Brazilian system of free commerce, and to seek exchange of notes confirming most-favored-nation treatment.
266
June 6 (148) From the Ambassador in Brazil (tel.)
Foreign Minister’s acknowledgment that he did not see agreement in its true light until he received Department’s statement; suggestion of message of appreciation for his friendly response to U. S. representations.
267
1936 June 8 (149) From the Ambassador in Brazil (tel.)
Request for instructions as to Department’s desiderata; belief that, although agreement with Germany was averted, constant pressure for objectionable arrangements will continue.
267
June 8 (150) From the Ambassador in Brazil (tel.)
Advice of exchange of notes between Brazil and Germany prolonging most-favored-nation treatment, pending conclusion of commercial treaty.
268
June 9 (86) To the Ambassador in Brazil (tel.)
Instructions to inform the Foreign Minister that the friendly consideration given the Department’s views is deeply appreciated.
268
June 9 (87) To the Ambassador in Brazil (tel.)
Press report indicating exchange of notes sealing one-year trade agreement between the Reichsbank and the Banco do Brasil with terms similar to those reported on May 30.
269
June 10 (152) From the Ambassador in Brazil (tel.)
Advice that the press has mistakenly reported the signing of a Brazilian-German agreement; and identic notes (text printed) exchanged between the Foreign Minister and the German Chargé bearing out the inaccuracy of the press report.
269
June 18 (156) From the Ambassador in Brazil (tel.)
For Assistant Secretary Welles: General mystification as to exact provisions in exchange of notes due to erroneous impression created by Foreign Minister’s letters to the governors of the various states. Suggestion made to Foreign Minister that he categorically restate to the American press agencies the trade assurances previously given.
270
June 23 (159) From the Ambassador in Brazil (tel.)
Foreign Minister’s release of satisfactory press statement: Brazil’s plan to set up official body to supervise and coordinate trade with Germany.
271
June 27 (529) To the Ambassador in Brazil
Observations relative to U. S. trade policy in connection with pressures upon Brazil for bilateral trade and payments arrangements.
272

Representations to the Brazilian Government Regarding the Proposed Italian-Brazilian Provisional Commercial Agreement

[Page XXXIII]
Date and number Subject Page
1936 July 17 (167) From the Ambassador in Brazil (tel.)
For Assistant Secretary Welles: Conversation with Foreign Minister who stated he was determined not to yield to Italian pressure to conclude agreement not in harmony with assurances given the United States, and that when treaty of 1931 expires, an exchange of notes will provide for most-favored-nation treatment and a temporary agreement.
273
1936 July 17 (168) From the Ambassador in Brazil (tel.)
For Welles: Information that an Italo-Brazilian agreement is imminent and that the Finance Minister is making arrangements for similar negotiations with other countries: Foreign Minister’s evident belief that U. S. failure to protest form of German arrangement implies acquiescence in content.
274
July 18 (99) To the Ambassador in Brazil (tel.)
Advice that Aranha, the Brazilian Ambassador, has received assurances that no commercial agreements will be concluded without full and public discussion; instructions to secure from the Foreign Minister an offer to give information on the Italian negotiations analogous to that made available on the proposed German agreement.
275
July 20 (170) From the Ambassador in Brazil (tel.)
Adoption by the Foreign Trade Council of measures calculated to minimize objections to German compensation agreement, and providing a system of import licensing; effect of U. S. representations.
276
July 20 (101) To the Ambassador in Brazil (tel.)
Advice that Aranha is urging his Government not to enter into any further agreements similar to that with Germany.
277
July 24 (106) To the Ambassador in Brazil (tel.)
From Welles: Account of a conversation on July 20 with Aranha, who was told that Brazilian embarkation on a policy of compensation and clearing agreements would have a prejudicial effect on trade between the two countries.
278
July 25 (175) From the Ambassador in Brazil (tel.)
For Welles: Remarks on the existing situation and suggestions for necessary clarification of U. S. position.
279
July 27 (107) To the Ambassador in Brazil (tel.)
Instructions in line with suggestions in No. 175 of July 25, and advice of Aranha’s receipt of telegram from President Vargas containing assurances that he would prevent further negotiations.
279
Aug. 8 (179) From the Ambassador in Brazil (tel.)
Representations to the Finance Minister, to whom the negotiations with Italy had been referred, who stated he had insisted that nothing be done beyond an exchange of notes embodying usual most-favored-nation clause.
280
Nov. 4 (1187) From the Chargé in Brazil
Transmittal of texts of modus vivendi between Italy and Brazil providing for most-favored-nation treatment.
280

Agreement Between the Government of Brazil and the National Foreign Trade Council for the Liquidation of American Blocked Commercial Credits, Executed February 21, 1936

[Page XXXIV] [Page XXXV]
Date and number Subject Page
1936 Jan. 3 (2) To the Ambassador in Brazil (tel.)
Instructions to ascertain whether the Brazilian Government has arranged for cash payment of American owners of frozen credits equivalent to the sum promised British creditors.
281
1936 Jan. 4 (3) From the Ambassador in Brazil (tel.)
Information from the Minister of Finance that Rothschilds are willing to arrange credit for payment of claims if so requested by Department; Minister’s preference for Boucas plan for Bank of Brazil notes.
281
Jan. 4 (4) From the Ambassador in Brazil (tel.)
Opposition of Eugene P. Thomas, President of the National Foreign Trade Council, to the Boucas plan which is favored by American businessmen in Brazil.
282
Jan. 9 (8) To the Ambassador in Brazil (tel.)
Council’s estimate of frozen credits at 37 million dollars, or 30 million if unsold merchandise is excluded; request for explanation of discrepancy between these figures and those of the Foreign Minister.
283
Jan. 9 (9) To the Ambassador in Brazil (tel.)
Discussions with Aranha, the Brazilian Ambassador, concerning frozen credits; request for information regarding representative nature of the American business community in Brazil.
283
Jan. 9 Memorandum by Mr. Donald R. Heath of the Division of Latin American Affairs
Conversation between Department officials and representatives of Foreign Trade Council, during which the latter said their work was complicated by American businessmen in Brazil with no home office connections.
284
Jan. 10 (10) From the Ambassador in Brazil (tel.)
Explanation of apparent discrepancy in estimate of frozen credits, as requested in Department’s No. 8 of January 9.
285
Jan. 10 (11) From the Ambassador in Brazil (tel.)
Comments relative to Council’s willingness to accept $2,000,000 for small creditors instead of $5,000,000 on condition that Bank of Brazil endorsements for treasury notes covering remaining creditors are received, which indicates important shift in so-called Boucas arrangement; denial that American business community has been conducting “negotiations”.
286
Jan. 11 (11) To the Ambassador in Brazil (tel.)
Request for information on maturities of British frozen credit obligations.
287
Jan. 13 (13) From the Ambassador in Brazil (tel.)
Information from the British Embassy concerning payments on British frozen credits.
288
Jan. 13 (12) To the Ambassador in Brazil (tel.)
Account of negotiations between the National Foreign Trade Council and Aranha, who was informed that maturities longer than those of British obligations would be unacceptable to American creditors.
288
Jan. 14 (15) From the Ambassador in Brazil (tel.)
Advice that agreement being negotiated is highly satisfactory to Americans in Brazil; outline of basic differences in British and American situations.
289
1936 Jan. 14 (17) From the Ambassador in Brazil (tel.)
Terms of settlement telegraphed to Aranha January 13, with reasons for deviation from plan for British payments.
290
Jan. 15 (19) From the Ambassador in Brazil (tel.)
Suggestions for expediting beginning of payments and for synchronizing-final payments to British and American creditors, and for keeping frozen credit installments moderate in order to avoid hampering payments on Brazilian external debts.
291
Jan. 16 (14) To the Ambassador in Brazil (tel.)
Terms of Council’s proposal to Aranha; expression of interest in Ambassador’s suggestions, which will be referred to the Council in case consideration seems feasible.
292
Jan. 17 (26) From the Ambassador in Brazil (tel.)
Information that Finance Minister is in agreement with Council’s proposal provided frozen credits do not exceed $30,000,000.
293
Feb. 6 (52) From the Ambassador in Brazil (tel.)
Advice from American interests that Export-Import Bank has certain objections to agreement and has threatened to withdraw commitments; request for information.
293
Feb. 8 (30) To the Ambassador in Brazil (tel.)
Information requested in No. 52 of February 6, with indication of renewed study from the Export-Import Bank’s viewpoint and with possibility that potential rediscount requests of large corporations will be greatly reduced; belief that discussions may result in compromise agreement.
293
Feb. 20 From the Brazilian Minister for Foreign Affairs (tel.)
Notification that Aranha has been given full powers to sign with the National Foreign Trade Council the agreement for liquidation of commercial debts between Brazil and United States.
294
June 11 (1062) From the Ambassador in Brazil
Information regarding problems arising relative to execution of the blocked credit agreement of February 21, 1936.
295

Agreement Providing for a Military Mission From the United States to Brazil, Signed November 12, 1936

Date and number Subject Page
(Note: Citation to text of agreement signed at Rio de Janeiro.) 298

Agreement Providing for a Naval Mission From the United States to Brazil, Signed May 27, 1936

Date and number Subject Page
(Note: Citation to text of agreement signed at Washington.) 298
[Page XXXVI]

BRAZIL

Inability of the United States To Sell Warships to Brazil Because of Treaty Restrictions

Date and number Subject Page
1936 Mar. 18 (66) From the Ambassador in Argentina (tel.)
Apprehension in Argentine naval circles over rumors of U. S. sale of cruisers to Brazil; belief sale would arouse resentment against both Brazil and the United States; request for instructions.
299
Mar. 19 (35) To the Ambassador in Argentina (tel.)
Authorization to state confidentially that at present the United States is not considering the disposal of naval vessels to any other country; explanation of background of rumors.
299
July 6 From President Roosevelt to President Vargas
Regret that Brazilian proposal to purchase 10 U. S. cruisers of the Omaha class cannot be acceded to in view of national defense needs apparent after the London Naval Conference; hope that some other U. S. service may be extended to Brazil.
300

Interpretation of Article VII of Trade Agreement Between the United States and Brazil With Respect to Brazilian Social Welfare Tax on Imports

[Page XXXVII]
Date and number Subject Page
1936 Mar. 26 (985) From the Ambassador in Brazil
Reference to letter from General Motors regarding Brazil’s new social welfare tax of 2 percent on all imports, and advice of representations to Foreign Minister leading to exemption of American goods under article 3 of trade agreement and probable exemptions under article 7.
301
May 4 (120) From the Ambassador in Brazil (tel.)
Opposition of Ministry of Finance officials to abolition of the 2 percent tax on all American imports; suggestion that matter be pressed from Washington to strengthen the Foreign Minister’s position supporting exemption under article 7.
303
May 8 (69) To the Ambassador in Brazil (tel.)
Department’s position that article 7 of the trade agreement is inapplicable to the 2 percent social welfare tax, which is a customs duty; instructions to clear up misunderstanding.
304
May 10 (122) From the Ambassador in Brazil (tel.)
Advice of preponderant opinion against Department’s position that 2 percent tax is a customs tax, and indication of international complications which will arise from course proposed.
305
May 10 (123) From the Ambassador in Brazil (tel.)
For Welles: Further urging of reexamination of the tax matter on the premise that the Department’s present conclusions will be severely criticized by American business interests in Brazil.
307
May 13 (125) From the Ambassador in Brazil (tel.)
Communication of Department’s views to the Foreign Minister, who has informed the Finance Minister.
307
1936 May 13 (70) To the Ambassador in Brazil (tel.)
From Welles: Reexamination of the tax matter by competent advisors who are convinced that the original conclusion was sound; hope that Brazil will abolish tax when it is pointed out that it is contrary to policy of expanding trade through reduction of customs barriers.
308
May 25 (512) To the Ambassador in Brazil
Detailed interpretation of article 7 of the trade agreement in relation to the tax question, and comments deemed helpful to the Embassy.
(Footnote: Information that there was no further correspondence on subject in 1936.)
308

CHILE

Negotiations for a New “Modus Vivendi” To Replace the Provisional Commercial Agreement of May 28, 1931

[Page XXXVIII]
Date and number Subject Page
1936 Jan. 24 (86) From the Ambassador in Chile
Conclusion of Franco-Chilean commercial agreement, terminating U. S.-Chilean modus vivendi of September 28, 1931, providing for most-favored-nation treatment; Foreign Office assurance, however, that modus vivendi will not be ended formally until ratifications of new agreement are exchanged.
312
Feb. 1 (5) To the Ambassador in Chile (tel.)
Instructions to ascertain whether new Franco-Chilean convention has been put into force and when the Franco-Chilean modus vivendi of 1931 will be denounced, in order to ascertain termination date of U. S.-Chilean modus vivendi.
314
Feb. 4 (16) From the Ambassador in Chile (tel.)
Foreign Office advice that convention has been put into force provisionally, but modus vivendi with France will not be denounced until date of ratification of new agreement.
314
Feb. 26 (119) From the Ambassador in Chile
Review of Foreign Office assurances relative to termination of U. S.-Chilean modus vivendi; transmittal of Foreign Office memorandum of February 19 indicating that Chile considers modus vivendi with United States still in effect.
315
Mar. 26 (69) To the Ambassador in Chile
Instructions to propose conclusion of a new modus vivendi by exchange of notes to become effective on date modus vivendi of September 28, 1931, is terminated; draft note (text printed) to be presented as basis for negotiations.
316
Apr. 2 (72) To the Ambassador in Chile
Advice that assurances in Foreign Office memorandum of February 19 are satisfactory, but belief that memorandum should be acknowledged, to complete the understanding, by despatch of note (text printed).
319
1936 Apr. 7 (165) From the Ambassador in Chile
Clarification of date when U. S. modus vivendi with Chile will be terminated.
320
Apr. 18 (180) From the Ambassador in Chile
Advice that note transmitted in No. 72 of April 2 was not presented in view of recent Foreign Office unreserved assurances.
321
Apr. 25 (192) From the Ambassador in Chile
Delivery of note, transmitted with No. 69 of March 26, to the Undersecretary for Foreign Affairs, who seemed to think the modus vivendi proposed would prove acceptable to his Government with the exception of paragraph 4 relative to exchange restrictions.
322
May 12 (24) To the Ambassador in Chile (tel.)
Views on exchange restrictions, in connection with paragraph 4 of the proposed agreement, and indication that one of important objectives is to preclude sudden arbitrary imposisition of exchange restrictions.
323

Efforts of the Department of State To Secure Equitable Treatment for American Interests With Respect to Chilean Exchange Restrictions

[Page XXXIX] [Page XL] [Page XLI]
Date and number Subject Page
1935 Dec. 9 (21) To the Ambassador in Chile
Authorization for informal representations against the continued suspension of liquidation of American blocked funds in Chile and the exchange restrictions on imports of American automobiles and other products.
324
Dec. 21 (57) From the Ambassador in Chile
Informal conference with Foreign and Finance Ministers, in which Finance Minister offered to lift all restrictions from import of American automobiles, although it might react disadvantageously to importer as tending further to depreciate the peso.
326
1936 Jan. 14 (35) To the Ambassador in Chile
Instructions to indicate the U. S. belief that artificial restrictions are detrimental in the long run and that the United States accordingly welcomes the suggestion regarding lifting of exchange restrictions on American automobiles and other products.
327
Jan. 23 (14) From the Ambassador in Chile (tel.)
Assurance of Finance Minister that all exchange restrictions have been lifted from American automobiles and other products, subject to presentation of documents prior to issuance of exchange authorization. Comments thereon.
328
Jan. 29 (42) To the Ambassador in Chile
Commendation on outcome of conferences; instructions for representations against regulation prohibiting sale of exchange until importer exhibits documentary proof that shipment is en route to Chile.
328
1936 Feb. 12 (103) From the Ambassador in Chile
Comments on situation since the departure of Finance Minister for Europe, noting that his promise to liquidate American credits has not been fulfilled; promise of Cruchaga, soon to be Acting Finance Minister, to take up matter.
330
Mar. 31 (157) From the Ambassador in Chile
Advice of authorization of commercial banks in Chile to conduct exchange operations in free market and comments on move; objection of Exchange Control Commission to removal of exchange ruling with respect to presentation of documentary proof.
331
Apr. 29 (197) From the Ambassador in Chile
Detailed discussion of difficulties experienced with Exchange Control Commission; letters exchanged with Ministry of Finance (texts printed); comments on depreciation of peso.
333
May 11 (211) From the Ambassador in Chile
Detailed explanation of confused and complex situation resulting from the depreciation of the peso, and Chilean request that the Ambassador help remedy difficulty.
339
May 13 (221) From the Ambassador in Chile
Status of American blocked funds, transfer of which was promised before departure of Finance Minister; belief that, in view of adverse exchange rate, emphasis should be placed on financing current trade rather than on unfreezing blocked credits.
343
May 16 (40) From the Ambassador in Chile (tel.)
Advice that no further exchange of any sort will be authorized for importation of automobiles and radios; suggestion matter be taken up with Chilean Ambassador in Washington.
345
May 18 (45) From the Ambassador in Chile (tel.)
Conference with the Foreign Minister, who explained the Chilean position noting the great discrepancy in the balance of payments between the two countries, giving assurance of nonintention to discriminate against the United States, and promising consideration of matter.
345
May 25 (30) To the Ambassador in Chile (tel.)
Department’s views in respect to Chilean restrictions, with indication that they are regarded as discriminatory; instructions for representations.
347
May 29 To the Chilean Embassy
Protest against Chilean refusal of exchange for imports of automobiles and radios as means of preventing depreciation of the peso, pointing out discriminatory nature of the step and privileges enjoyed by Chile in trade with the United States.
(Footnote: Copy sent to Ambassador in Chile for presentatation when suitable occasion arises.)
347
June 3 (47) From the Ambassador in Chile (tel.)
Accumulation of motor vehicles and radios, ordered prior to embargo of May 16, on Chilean docks; lack of results from representations to the authorities.
350
1936 June 6 (95) To the Ambassador in Chile
Reply to despatch of May 13, authorizing deferment of action on blocked funds until return of Finance Minister.
350
June 13 (239) From the Ambassador in Chile
Résumé of representations; return of Finance Minister; receipt of note from Foreign Minister, June 10, containing decision to permit import of shipments made prior to embargo notice and decision to extend embargo to all countries.
351
June 18 (57) From the Ambassador in Chile (tel.)
Chilean provision for entry of motor cars and radios, with permits furnished only as conditions permit; plan for representations urging shortening of delay.
352
June 19 (58) From the Ambassador in Chile (tel.)
Information that delay referred to in No. 57 of June 18 involves granting of permits for dollar exchange.
352
June 20 (248) From the Ambassador in Chile
Conversation with Foreign Minister, following presentation of Department’s protest of May 29, during which the draft modus vivendi of April 18 and commercial negotiations with the British were mentioned; advice of Commercial Attaché’s study of shortage of dollar exchange.
353
June 26 (251) From the Ambassador in Chile
Unchanged status of motor vehicles and radios ordered prior to embargo, with issue of few permits for customs clearance; advice that Embassy’s study of exchange is not yet completed.
354
June 30 (60) From the Ambassador in Chile (tel.)
Suggestion that further action on exchange difficulties be deferred pending completion of Embassy’s study.
355
July 15 (261) From the Minister in Chile
Transmittal of Chilean memorandum, which admits dangerous shortage of dollar exchange and makes suggestions for improvement of the situation.
355
Oct, 2 (103) From the Ambassador in Chile (tel.)
Announcement by International Exchange Control Commission authorizing importation of luxury articles, such as automobiles, on quota basis and solely from exchange created by Chilean gold production, rates to be set arbitrarily by Government.
356
Oct. 12 (73) To the Ambassador in Chile (tel.)
Instructions to inform the Foreign Minister that the Department confidently assumes that proportional quotas for the United States will not be lower than those in recent representative periods; and inquiry concerning gold production figures.
357
Oct. 14 (105) From the Ambassador in Chile (tel.)
Foreign Minister’s belief that Chile will eventually increase U. S. quota allotment; explanation of gold figures.
357
1936 Oct. 30 (108) From the Ambassador in Chile (tel.)
Announcement of setting of gold rate at 35 pesos to the dollar, applicable to automobile, radios and some other products; suggestion that Department protest against manipulation of peso rate seemingly involving discrimination against American products.
358
Oct. 31 (75) To the Ambassador in Chile (tel.)
Request for more information relative to suggestion in No. 108 of October 30.
358
Nov. 1 (109) From the Ambassador in Chile (tel.)
Further information as requested, with example illustrative of discrimination.
359
Nov. 5 (111) From the Ambassador in Chile (tel.)
Information from the Minister of Hacienda that his Government has found it impossible to apply quotas to automobiles from compensation treaty countries; his admission of discrimination against the United States under present regulations and intention to remedy it.
359
Nov. 5 (78) To the Ambassador in Chile (tel.)
Substance of note to be addressed to the Foreign Minister, pointing out discrimination and indicating that generalization of concessions in trade agreements is not given to discriminating countries. Decision not to take up matter of new modus vivendi until after Buenos Aires Conference.
360
Nov. 13 (144) To the Ambassador in Chile
Transmittal of a letter from the Foreign Manager of Motion Picture Procedures and Distributors of America in regard to frozen credits of American motion picture companies in Chile, with instructions for representations against discrimination in liquidation of such funds.
361
Nov. 25 (422) From the Ambassador in Chile
Detailed discussion of blocked funds situation, and reasons for doubting that any headway can be made; request for authorization to group representations in regard to the matter.
362
Dec. 11 (158) To the Ambassador in Chile
Authorization as requested for group representations.
365
Dec. 12 (438) From the Ambassador in Chile
Advice from the Finance Minister that rate of gold exchange for all imports would soon be fixed at 26 pesos to the dollar, but that amount of exchange available would be less.
366

COLOMBIA

Expression of Regret to the Colombian Legation for Violation of Its Immunity by Agents of the Federal Bureau of Investigation

[Page XLII]
Date and number Subject Page
1936 Undated [Rec’d Apr. 4] (919) From the Colombian Minister
Protest against forcible entry by Federal Bureau of Investigation agents into the Legation in order to arrest an American citizen occasionally employed as chauffeur of the Legation.
368
1936 Apr. 9 To the Colombian Minister
Expression of regret over violation of immunity of the Legation. Letter from the Attorney General (excerpt printed) expressing regret and explaining steps taken to prevent recurrence of any similar incident.
368
Apr. 18 (1023) From the Colombian Minister
Acceptance of explanations and satisfaction in steps taken.
370
Apr. 24 To the Colombian Minister
Acknowledgment of note of April 18, and information that men who entered Legation illegally have been suspended from their positions for 60 days.
371
Apr. 27 (1092) From the Colombian Chargé
Further expression of gratitude for treatment of the matter and for information relative to the suspension of the agents.
372

COSTA RICA

Reciprocal Trade Agreement Between the United States and Costa Rica, Signed November 28, 1936

[Page XLIII] [Page XLIV]
Date and number Subject Page
1936 Feb. 4 (1013) From the Minister in Costa Rica
Desire of Foreign Minister Gurdián for amendment to the proposed trade agreement, or removal of article 8, which would permit Costa Rica to abandon most-favored-nation policy in its treatment of shipping companies by granting special concessions to such companies as in turn grant special freight rate concessions to Costa Rican shippers.
373
Feb. 14 (15) From the Minister in Costa Rica (tel.)
Suggestion that the Department send instructions to advise Gurdián that the most-favored-nation clause cannot be restricted but that the U. S. Government can consider an exchange of notes with regard to freight rates.
376
Feb. 19 (10) To the Minister in Costa Rica (tel.)
Instructions to inform Gurdián that, since the most-favored-nation provision of trade agreement does not apply to duties or charges on vessels, the question with which his proposal deals does not arise in connection with the agreement.
376
Feb. 20 (16) From the Minister in Costa Rica (tel.)
Comment on possible attitude of Costa Rica toward Department’s position, and relationship of article 3 of the existing commercial treaty of 1851, which refers to most-favored-nation treatment “in matters of commerce and navigation”.
377
Mar. 2 (12) To the Minister in Costa Rica (tel.)
Reiteration of Department’s view as set forth in telegram No. 10 of February 19; advice that an instruction is being sent regarding Department’s interpretation of the treaty of 1851 in relation to the proposed trade agreement.
377
1936 Mar. 31 (290) To the Minister in Costa Rica
Reference to previous correspondence relative to exportation of Costa Rican fruits and vegetables to the Canal Zone, with instructions relative thereto; opinion that no commitment can be made to Costa Rica thereon either in the trade agreement or apart from it.
378
Apr. 1 (1078) From the Minister in Costa Rica
Approval of a suggestion by Gurdián that pending negotiations be completed and a draft agreement approved, but that the final approval be left to the administration of President elect Cortés, as it would then stand a better chance of Congressional approval.
378
Apr. 2 (291) To the Minister in Costa Rica
Interpretation of the 1851 Treaty, as promised in telegram No. 12 of March 12, calling attention to provision in proposed trade agreement which replaces any inconsistent provisions in the Treaty of 1851, and indicating reason why article 3 of the Treaty should not be invoked.
380
Apr. 23 (1099) From the Minister in Costa Rica
Receipt of Department’s tentative final draft of trade agreement, and discussion with Gurdián of wharfage tax, consumption taxes, concessions on dried bananas as well as on fresh tomatoes, and other details.
381
May 14 (1130) From the Minister in Costa Rica
Conversation with the new Foreign Minister, who desires to bring negotiations to a speedy conclusion; draft of a letter to him (text printed) suggested to partially meet Costa Rican desire for assurances relative to Panamanian trade.
383
May 23 (308) To the Minister in Costa Rica
Department’s position on the various provisions of the proposed agreement referred to in Minister’s No. 1099 of April 23.
386
May 28 (20) To the Minister in Costa Rica (tel.)
Advice of a concession to be offered to Costa Rica on dried bananas. Approval of draft letter enclosed with Minister’s No. 1130 of May 14.
388
June 13 (34) From the Minister in Costa Rica (tel.)
Proposal by the Foreign Minister to utilize for the Costa Rican treaty the Spanish text of the general provisions of the treaty with Guatemala, since he prefers that translation.
389
June 15 (35) From the Minister in Costa Rica (tel.)
Notation of some differences between Guatemalan text and proposed Costa Rican agreement, but recommendation that Guatemalan text be used, with slight changes, to expedite signature.
389
June 18 (26) To the Minister in Costa Rica (tel.)
Advice that Department sees no objections to substituting texts as recommended, mutatis mutandis, except for article 15 and other changes indicated.
390
1936 June 19 (1176) From the Minister in Costa Rica
Résumé of steps taken toward completion of agreement, with account of conversation with the Foreign Minister, who pointed to loss of customs revenues if agreement is completed; comments on Costa Rican attitude.
390
June 29 (27) To the Minister in Costa Rica (tel.)
Instructions to refrain from pursuing the trade agreement negotiations further on own initiative, in view of Costa Rican attitude.
398
Aug. 20 (1232) From the Minister in Costa Rica
Background information relative to stalemate in negotiations.
398
Sept. 2 (48) From the Minister in Costa Rica (tel.)
Costa Rican preparation of final draft of treaty, subject to Department’s approval; proposed change in provision pertaining to lard.
399
Sept. 4 (34) To the Minister in Costa Rica (tel.)
Objection to proposed change in respect to lard; comments on other parts of proposed agreement.
400
Oct. 26 (42) To the Chargé in Costa Rica (tel.)
Advice that Costa Rican Minister has recommended to his Government the settlement of the lard schedule on basis of Department’s viewpoint; instructions relative to negotiations concerning lard.
401
Nov. 20 (73) From the Chargé in Costa Rica (tel.)
Advice of violent newspaper controversy between ex-President Ricardo Jiménez and Minister of Hacienda Gurdián, centering on trade agreement negotiations; need for completion of agreement at earliest possible moment.
402
Nov. 20 (56) To the Chargé in Costa Rica (tel.)
Request for information relative to lard and liquor concessions affecting course of Trade Agreement Committee discussions.
403
Nov. 20 (75) From the Chargé in Costa Rica (tel.)
Information as requested in Department’s No. 56 of November 20.
403
Nov. 21 (58) To the Chargé in Costa Rica (tel.)
Readiness to agree to 55 centimos for lard, with liquor concessions abandoned, if Chargé believes this essential to agreement.
404
(Note: Citation to text of U. S-Costa Rican Reciprocal Trade Agreement signed at San José, November 28, 1936; effective August 2, 1937.) 404
Dec. 4 (1296) From the Minister in Costa Rica
Transmittal of official text of agreement; expectation of affirmative action by Congress after Christmas recess.
405
[Page XLV]

DOMINICAN REPUBLIC

Representations to the Dominican Republic Respecting Its Failure To Extend Most-Favored-Nation Treatment as Provided in the “Modus Vivendi” of September 25, 1924

[Page XLVI] [Page XLVII]
Date and number Subject Page
1936 July 10 (3405) From the Minister in the Dominican Republic
Conversation with the Foreign Minister who spoke of a certain U. S. aloofness in commercial matters, of Dominican desire for a trade agreement, of a sugar quota of 300,000 tons, and of Japanese-Dominican trade.
407
Oct. 2 (3546) From the Minister in the Dominican Republic
Explanation of Dominican ruling apparently denying to groups of American products most-favored-nation treatment under the modus vivendi of 1924; suggestion of representations to secure equal treatment with that given French products under the Franco-Dominican Trade Agreement signed September 4.
409
Oct. 9 (13) To the Minister in the Dominican Republic (tel.)
Instructions for representations as suggested.
411
Oct. 10 (3556) From the Minister in the Dominican Republic
Formal representations to the Foreign Minister, who gave no indication of his Government’s attitude but referred again to Dominican Government’s desire to obtain facilities for its products in the United States.
411
Oct. 13 (3563) From the Minister in the Dominican Republic
Detailed study of U. S.-Dominican trade for use should retaliatory action become necessary through denial of equal treatment to U. S. trade.
412
Oct. 23 (3579) From the Minister in the Dominican Republic
Further representations to the Foreign Minister, who spoke of origin of provision in the agreement with France and suggested his country be granted same treatment as United States grants Cuba.
415
Oct. 28 (3588) From the Minister in the Dominican Republic
Further conversation with the Foreign Minister, who said no final decision on matter of equal treatment had been reached, and was told that any effort in this connection to bring pressure on the United States would be unfortunate.
417
Oct. 30 Memorandum by the Minister in the Dominican Republic
Conversation with the Vice President, who expressed his belief that the French treaty could not operate to exclude benefits of modus vivendi of 1924, and was told of U. S. concern as result of apparent failure of recent discussions involving that agreement.
419
Nov. 2 (3597) From the Minister in the Dominican Republic
Information from the Foreign Minister that most careful and benevolent consideration is being given the equal treatment matter; belief that favorable response to representations, of October 10, will be deferred pending Department’s indication of readiness to negotiate trade agreement.
420
Nov. 6 (684) From the Consul at Ciudad Trujillo
Instances of losses to American trade resulting from delay of Dominican authorities in extending benefits granted to French products to similar U. S. commodities.
421
1936 Nov. 12 (3617) From the Chargé in the Dominican Republic
Information from the Foreign Minister that ruling mentioned in Legation’s No. 3546 of October 2 is being reconsidered; belief that Government is seeking a bargaining position in connection with trade agreement negotiations.
423
Nov. 23 (486) To the Chargé in the Dominican Republic
Transmittal of note relative to U. S. sugar policy to be used upon next suitable occasion.
424
Nov. 24 (16) To the Chargé in the Dominican Republic (tel.)
Instructions to present note to the Foreign Minister inquiring when a reply may be expected to Minister’s representations concerning equal treatment, and to point out orally the receipt by the United States of numerous complaints from American exporters.
425
Nov. 25 (3638) From the Chargé in the Dominican Republic
Foreign Minister’s expectation that he would be able to submit a reply before December 2.
425
Dec. 8 (3665) From the Chargé in the Dominican Republic
Foreign Minister’s reply (text printed), indicating that instructions have been issued by the Treasury Department giving American goods equal treatment under modus vivendi of 1924; interpretation of one section to mean strict enforcement in connection with brand names.
427
Dec. 11 (3671) From the Chargé in the Dominican Republic
Opinion of the General Receiver of Dominican Customs that the Treasury Department instruction of December 8 in nowise changes the situation with respect to American products.
429
Dec. 12 Memorandum by the Chief of the Division of Latin American Affairs
Protest to the Dominican Minister concerning delay in according to similar American products rates accorded certain French products under agreement of 1924.
430
Dec. 17 (3681) From the Chargé in the Dominican Republic
Conversation with Foreign Minister, who expressed surprise at General Receiver’s interpretation of Treasury Department’s instruction. Belief that withholding of unconditional most-favored-nation treatment is for bargaining advantage in connection with a trade agreement; suggestion of advisability of denouncing modus vivendi of 1924, with reasons therefor.
430
Dec. 19 (127) From the Acting Secretary of State to the Secretary of State (tel.)
Review of the negotiations in respect to most-favored-nation treatment in the Dominican Republic, with suggestion of a friendly conversation with the Chief of the Dominican delegation at the Buenos Aires conference relative to the matter.
(Footnote: Information that the Secretary was attending the Inter-American Conference at Buenos Aires.)
432
1937 Mar. 3 (3789) From the Minister in the Dominican Republic
Conversation with the Foreign Minister, who said that the Government’s intention was by no means discriminatory and that the trade matter was being reconsidered; belief that discrimination will soon be terminated.
433
Mar. 9 (8) From the Minister in the Dominican Republic (tel.)
Advice of Dominican decision granting most-favored-nation treatment without restriction.
434

Representations Regarding the Interpretation of Article III of the Convention of December 27, 1924, as Applied to the Pledging of Future Revenues by the Dominican Government

[Page XLVIII]
Date and number Subject Page
1936 Feb. 12 (3117) From the Minister in the Dominican Republic
Representations to the Acting Foreign Minister regarding a contract for bridge construction entered into by the Dominican Government and the relation of the contract to obligations under article 3 of the Convention of 1924.
435
Feb. 24 (3141) From the Minister in the Dominican Republic
Note from the Acting Foreign Minister (text printed) interpreting article 3 of the Convention of 1924 and explaining that the Government could not consider itself under obligation to ask consent to provide for certain expenditures.
436
May 12 (426) To the Minister in the Dominican Republic
Note to be addressed to the Foreign Minister (text printed), indicating that the United States cannot admit that contracts for bridges do not involve violation of article 3 of the Convention of 1924.
439
May 20 (3318) From the Minister in the Dominican Republic
Delivery of note and conversation with the Foreign Minister, who suggested need for a revision of the Convention and need to determine precise meaning of term “public debt” as used therein.
440
May 21 From the Minister in the Dominican Republic
Questions arising during attempted formulation of Department’s position regarding interpretation of article 3; request for clarification.
442
June 4 (3348) From the Minister in the Dominican Republic
Conversation, relative to the interpretation of article 3, with the Foreign Minister, who has twice mentioned reports of Department’s pending study of a modification of the Convention of 1924; request for information as to basis for reports.
443
June 9 To the Minister in the Dominican Republic
Amplification of Department’s position on article 3.
445
June 17 (3373) From the Minister in the Dominican Republic
Discussion with the Foreign Minister concerning interpretation of article 3 in its relation to the U. S. Good Neighbor and Caribbean policies, and concerning the floating debt; hope for a changed Dominican attitude presaging a more realistic policy.
446
1936 July 11 (437) To the Minister in the Dominican Republic
Instructions to stress the point that U. S. policy toward Dominican Republic is in no way different from that toward any other American republics; information that the Dominican Ambassador believes U. S. policy sound in respect to article 3.
449
July 14 (3413) From the Minister in the Dominican Republic
Presentation to President Trujillo at his request of an unofficial formula (text printed), subject to the Department’s approval, for use in complying with the provisions in article 3.
450
July 16 (3416) From the Minister in the Dominican Republic
Favorable reception of representations made in accordance with instructions of July 11; President Trujillo’s belief that formula of July 14 would be acceptable “with slight changes”; expectation of early acceptance of formula.
451
July 22 (3422) From the Minister in the Dominican Republic
Foreign Minister’s advice that final acceptance of formula would be facilitated if precise manner of Department’s handling of communications could be indicated; suggestion as to such indication.
453
Aug. 6 (442) To the Minister in the Dominican Republic
Authorization of informal statement indicating Department’s general position, with comment concerning interpretation of terms “public debt.”
455
Nov. 3 (3600) From the Minister in the Dominican Republic
Conversation with President Trujillo, prior to departure for the United States, concerning matters relative to the application of the Modus Vivendi of 1924, a possible U. S.-Dominican trade agreement, status of acceptance of formula of July 14, the floating debt matter, and consolidation of taxes.
456

Representations to the Dominican Republic Respecting Delay in Liquidating Floating Debt Owed to American Nationals

[Page XLIX] [Page L]
Date and number Subject Page
1936 Apr. 30 (3280) From the Minister in the Dominican Republic
Advice of the enactment of law No. 1096 providing for payment of the floating debt and authorizing the transfer for irrigation purposes of $225,000 from the $600,000 appropriated in 1936 budget for floating debt claims. Suggestion that a better method of handling the floating debt be urged.
458
May 9 (3300) From the Minister in the Dominican Republic
Official notice, May 8, calling on all creditors under law No. 1096 to present within a period of 180 days new claims accompanied by all supporting documents; difficulties arising, such as case of a company which has already surrendered documentary evidence of claims.
461
1936 May 12 (427) To the Minister in the Dominican Republic
Note to be addressed to Foreign Minister (text printed), requesting confirmation of assumption that transfer of funds from floating debt budget will in no way delay payment of just debts due American claimants.
462
May 12 To the Dominican Legation
Inquiry relative to effect upon American claimants of transfer of funds from floating debt budget.
463
May 18 (13) From the Minister in the Dominican Republic (tel.)
Suggestion that text of proposed note transmitted with No. 427 of May 12 be reconsidered in light of recent despatches.
463
June 13 (433) To the Minister in the Dominican Republic
Substitute note to be presented to the Foreign Minister (text printed).
464
June 24 (3384) From the Minister in the Dominican Republic
Conversation with Foreign Minister, who inquired as to significance of U. S. note, presented June 18, and did not appear to be too well informed on floating debt question.
466
July 3 (3396) From the Minister in the Dominican Republic
Further conversation with the Foreign Minister during which remarks were made pertaining to U. S. desire not to interfere in Dominican administrative financial matters, but expectation that Republic will take steps to correct disregard of floating debt.
467
July 6 From the Dominican Legation
Assurance that the application of $225,000 to public works from funds for debt payments under law No. 1096 will cause no delay in debt payment procedure under that law.
468
Aug. 5 (3452) From the Minister in the Dominican Republic
Reply from the Foreign Minister (text printed) to representations concerning floating debt, stating that 180-day provision of law No. 1096 cannot be changed, that certain factors will determine debt liquidation period, and that the Government cannot accept any expression in U. S. note conflicting with Dominican sovereignty.
469
Aug. 5 (3454) From the Minister in the Dominican Republic
Foreign Minister’s assurance that further claims not submitted under provisions of law No. 1096 would not be excluded from consideration, and reference to friendliness of President to “amplification” of legislation on the floating debt.
471
Aug. 18 (449) To the Minister in the Dominican Republic
Note to be delivered to the Foreign Minister (text printed), indicating surprise at reference to sovereignty in his recent note, and reiteration of position relative to Dominican obligation for certain debts regardless of failure of claimants to resubmit claims already approved.
473
Sept. 9 (3505) From the Minister in the Dominican Republic
Foreign Minister’s reasons for reference to sovereignty in his note which was forwarded to Department with No. 3452 of August 5; hope for early information indicating satisfactory measures for debt settlement.
474
1936 Dec. 7 (3661) From the Chargé in the Dominican Republic
Foreign Minister’s note (text printed), indicating submission to the Dominican Congress of a bill to concede creditors a further period of six months to present “analyses” of credits.
475
Dec. 9 (3668) From the Chargé in the Dominican Republic
Conversation with the Foreign Minister in a fruitless effort to ascertain when payment of approved claims might be expected.
477

Protest by the Dominican Government Regarding the Exhibition of the Motion Picture Film “The March of Time”

Date and number Subject Page
1936 July 11 From the Dominican Minister
Protest against a film of the “March of Time” being shown in numerous theaters, as attacking President Trujillo in a disrespectful and unjust manner; displeasure over strange alliance of certain American journalists with Dominican revolutionaries residing here; desire that Department prevent attacks from being repeated.
478
July 15 To the Dominican Minister
Deprecation of exhibition of any film or publication of any article which causes offense to any foreign government; explanation of freedom of speech and press which prevents the Government from taking action suggested by the Minister.
480
July 28 From the Dominican Minister
Renewal of protest and wish that the Department would find a way to prevent continuation of attacks of an evidently revolutionary character.
481
Aug. 8 To the Dominican Minister
Reiteration of policy expressed in communication of July 15.
483

ECUADOR

Provisional Commercial Agreement Between the United States and Ecuador, Signed June 12, 1936

[Page LI]
Date and number Subject Page
1936 Jan. 10 (225) From the Minister in Ecuador
Discussion of Ecuadoran-French modus vivendi and recently concluded Ecuadoran-German agreement with suggestions concerning the pending modus vivendi with the United States, the main purpose of which is to establish unconditional most-favored-nation treatment in commerce between the two countries.
484
Jan. 31 Memorandum by the Chief of the Division of Latin American Affairs
Conversation with the Ecuadoran Minister, who agreed to request information from the Foreign Minister relative to the Ecuadoran attitude toward the modus vivendi.
488
1936 Feb. 14 (262) From the Chargé in Ecuador
Advice of apparent British indifference to Ecuadoran agreements with France and Germany; and information from Riofrio, of the Finance Ministry, as to experimental nature of those agreements, with comment on readiness to conclude similar agreement with the United States.
488
Mar. 3 (289) From the Chargé in Ecuador
Further conversation with Riofrio, who took steps toward bringing about consideration of the U. S. proposed modus vivendi, and promised that he would immediately recommend equal treatment for U. S. trade; favorable attitude of the Under Secretary for Foreign Affairs.
490
Mar. 17 (306) From the Chargé in Ecuador
Further conversation with Riofrio, who at first wanted modification in proposed modus vivendi to indicate treatment to be given the United States was preferential and not because of most-favored-nation provision, but later consented to refrain from recommending modification.
491
Apr. 14 (16) From the Minister in Ecuador (tel.)
Information that Ecuador has added an article, referring to preferential tariff, to the U. S. draft, and belief that agreement will assure U. S. enjoyment of lowest rates given any third country.
495
Apr. 14 (330) From the Minister in Ecuador
Observations on the Ecuadoran addition to the proposed draft relative to preferential tariff, with indication that its purpose is contrary to U. S. policy but not unacceptable since it is solely a unilateral statement.
495
Undated [Rec’d Apr. 20] From the Ecuadoran Legation
Text of proposed commercial modus vivendi, including article added by Ecuador.
498
Apr. 20 Memorandum of Conversation, by the Chief of the Division of Latin American Affairs
Explanation to the Ecuadoran Minister that Department does not wish to include the article added by Ecuador, but that it might be included in the preamble of the Ecuadoran proclamation approving the agreement.
499
Apr. 24 To the Ecuadoran Legation
Suggestion for two changes in the Ecuadoran text with reasons therefor.
500
May 19 (377) From the Minister in Ecuador
Transmittal of copy of instruction sent to the Ecuadoran Minister to change article 2 as suggested by the Department, to eliminate article 3, and to send separate note outlining reasons for granting preferential tariff to the United States.
501
June 12 (19) To the Minister in Ecuador (tel.)
Information that modus vivendi became effective on June 12 by an exchange of notes, final text same as draft sent with Department’s instruction No. 84 of December 24, 1935.
502
[Page LII]

ECUADOR

Preliminary Discussions Respecting a Trade Agreement Between the United States and Ecuador

[Page LIII]
Date and number Subject Page
1936 June 9 (18) To the Minister in Ecuador (tel.)
Arrangements to begin studies on a trade agreement with Ecuador, which are to be kept confidential until instructions for conversations are given; advice of material requested from Consulate General.
503
Oct. 13 (565) From the Chargé in Ecuador
Conversation with an official of the Foreign Office, who expressed hope for an early commercial agreement, and said his country would like a reduction of 50% on existing duties on Panama hats, naranjilla juice, mineral waters, carbonic gas, and lentils.
503
Nov. 11 (186) To the Chargé in Ecuador
Instructions relative to trade agreement, with indication that Department wishes it to be predicated on most-favored-nation principle and attaches importance to reductions in duty on flour and hog lard, in return for concessions on hats and other products.
504
Nov. 23 (55) From the Chargé in Ecuador (tel.)
Advice of Ecuadoran policy to facilitate import of lard and flour up to margin of deficiency, and that benefits arising from reductions in import duties would accrue to other countries also.
506
Dec. 10 (41) To the Chargé in Ecuador (tel.)
Advice that concessions on flour would be worthwhile despite necessity of sharing market with other countries; instructions to open preliminary conversations.
506
Dec. 11 (631) From the Chargé in Ecuador
Opening of conversations, with emphasis on U. S. desire for agreement based on most-favored-nation principle and for concessions on flour and hog fat, but willingness to make concessions on major Ecuadoran products; memorandum left with Foreign Minister (text printed).
507
Dec. 14 (632) From the Chargé in Ecuador
Further conversation during which discussion centered on various commodities: flour, hog lard, naranjilla juice, lentils, and natural carbonic gas; and during which U. S. expectation of 50% reduction on flour and lard was made clear.
511
Dec. 15 (633) From the Chargé in Ecuador
Note from Foreign Minister (text printed), expressing willingness to negotiate agreement on basis of unconditional most-favored-nation clause and willingness to grant 50% reductions in duty on flour and hog lard in return of concessions and assurances on its chief products. Comments on note.
512
Dec. 21 (138) From the Acting Secretary of State to the Secretary of State (tel.)
Information on status of trade agreement negotiations and desirability of proceeding with public announcement of intention to negotiate a treaty; request for instructions.
(Footnote: Information that the Secretary attended the Inter-American Conference at Buenos Aires, December 1–23, 1936.)
515
1936 Dec. 22 (73) From the Secretary of State to the Acting Secretary of State (tel.)
Approval of announcement of intention to negotiate an agreement; and instruction to watch exchange control features carefully.
516
Dec.[23?] (76) From the Secretary of State to the Acting Secretary of State (tel.)
Request that public announcement be postponed until after January 1 to avert possible adverse effect in Buenos Aires.
516
Dec. 24 (44) To the Chargé in Ecuador (tel.)
Readiness to make public announcement of intention to negotiate on January 2 or shortly thereafter, if agreeable to Ecuador.
516
Dec. 29 (63) From the Chargé in Ecuador (tel.)
Advice that Foreign Office is agreeable to proposed announcement.
517

Representations Regarding the Reimposition by Ecuador of Exchange and Import Controls

[Page LIV]
Date and number Subject Page
1936 Aug. 1 (469) From the Minister in Ecuador
Advice of decree dated July 30, establishing control over all exchange operations, except those of mining companies, and providing that only the Central Bank of Ecuador may purchase, sell, and hold foreign currencies; reasons for surprise move; probable effect on American trade.
518
Aug. 6 Memorandum by the Assistant Secretary of State to the Chief of the Division of Latin American Affairs
Advice of presentation of aide-mémoire to the Ecuadoran Minister (text printed), expressing regret at the step taken and hope that it will be temporary; intention of Minister to urge President Páez to reconsider policy.
520
Aug. 14 (164) To the Minister in Ecuador
Transmittal of copy of aide-mémoire given the Ecuadoran Minister.
521
Aug. 26 (502) From the Minister in Ecuador
Apprehensiveness of importers of American merchandise regarding interpretation of exchange regulation since administrative body has authority to refuse licences not of urgent necessity; possibility that American companies will have to liquidate accumulated balances at a loss; request for instructions.
522
Sept. 12 (173) To the Minister in Ecuador
Instructions to confine action to reporting important developments, especially those relating to classification of imports and remittance of funds accumulated by American interests.
523
Sept. 25 (540) From the Minister in Ecuador
French Minister’s protest, in anticipation of unfavorable effect on French trade, demanding exemption of 70% of French exports to Ecuador from import licensing system; Foreign Minister’s opinion that measure could not be used against country with trade balance favorable to Ecuador,
524
1936 Nov. 6 (328) From the Consul General at Guayaquil
Information from reliable source that no important change will be made in present system of control; summary of effect of system on American trade, and reference to position of American tourists.
(Footnote: Revocation of principal features of control decree, July 31, 1937.)
526

Expression of Concern by the United States Government Regarding Ecuadoran Fishing Regulations Purporting To Extend the Territorial Waters of Ecuador Beyond the Three-Mile Limit

Date and number Subject Page
1936 Oct. 9 (560) From the Chargé in Ecuador
Transmittal of Foreign Office note relative to operations of American fishing vessels in the territorial waters and marginal seas of Ecuador, with request that fishing companies be warned. Detailed comments thereon.
527
Oct. 23 (182) To the Chargé in Ecuador
Instructions to acknowledge note and include certain observations referring to previous correspondence in which the right of Ecuador to apply its fishing regulations beyond belt of three miles from low water lines was questioned, and to points raised in connection with specific case of the Seaboy.
529
Nov. 7 (590) To the Chargé in Ecuador
Two notes (texts printed), one acknowledging Ecuadoran note and the other explaining U. S. observance of the three-mile limit in connection with treaties relative to smuggling of intoxicating liquors, a subject previously referred to by the Foreign Minister.
530
Dec. 2 (624) From the Chargé in Ecuador
Foreign Office information that the Legal Adviser is completing a voluminous report concerning Ecuadoran territorial waters and marginal seas; belief that report will support present Ecuadoran position.
532

Engagement of American Naval Officers by the Ecuadoran Government To Serve as Advisers and Instructors in the Ecuadoran Naval School

[Page LV]
Date and number Subject Page
1936 Jan. 13 (228) From the Minister in Ecuador
Desire of Ministry of National Defense to contract unofficially for services of two American Navy officers as instructors in Ecuadoran Navy thereby preparing for adequate maritime patrol service; strong recommendation for favorable attention.
533
Feb. 14 (99) To the Chargé in Ecuador
Advice that Navy Department will give favorable consideration to Ecuadoran request.
534
1936 Aug. 17 (27) From the Ecuadoran Minister
Request that appropriate steps be taken to secure from the proper Department authorization and permission for two Navy officers to serve as instructors at Naval School of Ecuador.
535
Aug. 27 To the Ecuadoran Minister
Information from Navy Department that contracts with two Navy officers were signed August 19.
535

Good Offices of the United States Respecting a Settlement of the First Mortgage Bonds of the Guayaquil and Quito Railway

[Page LVI] [Page LVII]
Date and number Subject Page
1936 June 22 (411) From the Minister in Ecuador
Comments on information from Finance Minister concerning debt settlement of Quito Railway, which will be declared bankrupt, sold at public auction, adjudicated to the state, and whose bondholders will be given 20% of their bonds and coupons in new bonds.
536
July 3 From the Executive Vice President and Secretary of the Foreign Bondholders Protective Council, Inc. to the Chief of the Division of Latin American Affairs
Protest on behalf of the Council against possible settlement of the First Mortgage Bonds of the Guayaquil and Quito Railroad without consulting the American bondholders concerned.
541
July 7 (23) To the Minister in Ecuador (tel.)
Instructions to inform Foreign Minister of U. S. policy relative to American holders of foreign securities, with a concise statement of that policy.
542
July 10 (29) From the Minister in Ecuador (tel.)
Recognition by Foreign Minister of reasonableness of U. S. position, and his referral of the matter to the Minister of Public Works.
543
July 10 (30) From the Minister in Ecuador (tel.)
Information from the President that he telegraphed Sherwell of the Manufacturers Trust Company to confer with the Council and suspend proceedings pending consultation; President’s unabated determination to dispose of question on basis of Ecuador’s financial capacity.
543
July 16 (446) From the Minister in Ecuador
Press report relative to further steps taken against the Quito Railway; interview with Jefe Supremo concerning such action before consultation with Council, and his promise to direct the suspension of proceedings pending consultation.
544
July 27 (27) To the Minister in Ecuador (tel.)
Conversation with Ecuadoran Minister and Mr. Sherwell, who said he had received word from Ecuador of U. S. protest against proposed settlement of Quito Railway bonded indebtedness, and reply that Department was unaware of such action.
545
1936 July 28 (457) From the Minister in Ecuador
Denial that protest was lodged; explanation of step taken.
545
July 29 (37) From the Minister in Ecuador (tel.)
Receipt of formal notice of President’s orders to continue suit against railway, with information from him of Ecuadoran Minister’s report that the Department of State perceived no objection to its continuance; Attorney General’s opinion that legal proceedings would void claims of bondholders not parties to suit.
546
July 31 (38) From the Minister in Ecuador (tel.)
Information from Minister of Public Works that he is withholding continuation of suit pending word from the U. S. Minister.
547
Aug. 1 (28) To the Minister in Ecuador (tel.)
Conversation with the Ecuadoran Minister relative to the desirability of consultation with the Council prior to any proposal for settlement of the Railway default.
547
Aug. 4 (29) To the Minister in Ecuador (tel.)
Note from the Council to Ecuadoran authorities (text printed), indicating that it has no one in Ecuador whom it might appoint as representative, and suggesting that Ecuador designate someone in the United States to carry on negotiations.
548
Aug. 4 (472) From the Minister in Ecuador
Transmittal of memorandum shown to the Minister of Public Works pointing out that a situation might develop if suit continued which would be incompatible with friendly consultation with the Council.
549
Aug. 4 (473) From the Minister in Ecuador
Delivery of note based on Department’s No. 29 of August 4. Information from Minister of Public Works that letters from the Ecuadoran Minister in Washington concerning various conversations relative to the Railway bonds have encouraged the President in his determination to continue suit.
550
Aug. 5 (40) From the Minister in Ecuador (tel.)
Opinion that Council’s message will receive unfavorable action; reasons for President’s belief that the only solution of the matter is bankruptcy proceedings.
551
Aug. 6 Memorandum of Conversation, by the Chief of the Division of Latin American Affairs
Discussion with Ecuadoran Minister who seemingly subscribed to the viewpoint that the Council should be consulted prior to any action in the bankruptcy proceedings but requested delay in naming Avilés representative until definite assurances have been received from Ecuador.
552
Aug. 12 (476) From the Minister in Ecuador
Advice that no further steps appear to have been taken by the President to continue bankruptcy proceedings, and suggestion of possible reasons therefor; British representations to the Ecuadoran Government urging that the British Bondholders Council be consulted.
553
1936 Aug. 26 (171) To the Minister in Ecuador
Instructions to aid the bondholders’ representative, Mr. Merritt, by arranging contacts which will provide complete and accurate information in the bond case under consideration.
554
Sept. 2 (514) From the Minister in Ecuador
Advice of efforts to insure negotiations between the Ecuadoran representative and American as well as British bondholders.
555
Nov. 26 (610) From the Chargé in Ecuador
Information from the Minister of Public Works that the matter of the Railway is now entirely in the hands of the President.
556
Dec. 18 (639) From the Chargé in Ecuador
Temporary suspension of the suit against the Railroad, with speculation as to the reasons therefor.
(Footnote: No participation by Department in subsequent negotiations.)
556

EL SALVADOR

Negotiations Respecting a Reciprocal Trade Agreement Between the United States and El Salvador

[Page LVIII]
Date and number Subject Page
1936 Feb. 27 (201) To the Minister in El Salvador
Request for opinion as to whether negotiations for a trade agreement with Salvador would be facilitated by submission of a note listing concessions which would accrue to El Salvador by virtue of generalization from other treaties, concessions which for policy reasons cannot be included in Schedule II.
558
Mar. 4 (615) From the Minister in El Salvador
Status of trade agreement negotiations, and attitude of the Under Secretary of Finance thereon; belief that submission of note mentioned would facilitate the securing of important concessions on American products.
559
Mar. 26 (637) From the Minister in El Salvador
Conversation with the President, who accepted certain further concessions, subject to reference to Finance Ministry, and explained inability to grant others; general comment on negotiations.
560
Apr. 20 (654) From the Minister in El Salvador
Request for and promise of Presidential assistance in bringing negotiations to an early conclusion.
563
May 1 (217) To the Minister in El Salvador
Commendation for work thus far, but opinion that efforts should be continued to secure some duty reduction on lard, flower and lumber, with other suggestions for further negotiations.
563
Sept. 30 (45) From the Minister in El Salvador (tel.)
Foreign Office acceptance, with modifications, of U. S. proposed trade agreement; comment on concessions.
565
1936 Nov. 7 (29) To the Chargé in El Salvador (tel.)
Trade Agreement Committee’s acceptance of modified agreement; desirability that document be signed before adjournment of Buenos Aires Conference.
565
Nov. 12 (855) From the Chargé in El Salvador
Willingness of Salvadoran authorities to bring agreement to a speedy conclusion, with steps taken and planned to that end.
566
Nov. 16 (258) To the Chargé in El Salvador
Amplification of comments on the Salvadoran proposals looking toward the completion of a trade agreement, with special attention to the omission of henequen from the free list.
567
Dec. 10 (882) From the Chargé in El Salvador
Salvadoran acceptance of certain parts of the proposed agreement, with suggestion of changes in other provisions.
568
Dec. 17 (266) To the Chargé in El Salvador
Transmittal of a tentatively final draft of agreement, with a memorandum noting most important changes made in Spanish text, and comment thereon.
569
Dec. 28 (60) From the Chargé in El Salvador (tel.)
Salvadoran acceptance of latest U. S. proposals with certain changes.
570
Dec. 30 (61) From the Chargé in El Salvador
Delivery of Salvadoran note accepting draft of trade agreement enclosed with Department’s note of December 17, with certain changes in the Spanish text.
571
(Note: Citation to text of agreement signed February 19, 1937.) 572

Informal Assistance by the Department of State to Representatives of the Holders of the Salvadoran Bonds Under the Loan Contract of June 24, 1922

[Page LIX]
Date and number Subject Page
1936 Jan. 10 (1) To the Minister in El Salvador (tel.)
Explanation to Fred Lavis of the Bondholders Protective Committee that settlement regarding “C” scrip with El Salvador was a matter for negotiation between holders and that country; authorization to inform Salvadoran authorities of U.S. pleasure at progress in external debt settlement.
572
Jan. 16 (555) From the Minister in El Salvador
Detailed review of present stage of negotiations relative to the external debt, based on information supplied confidentially by Douglas Bradford, Secretary of Bondholders Protective Committee.
572
Feb. 8 (579) From the Minister in El Salvador
Cabinet approval of bases for agreement amending Loan Contract of 1922, providing for complete condonation of outstanding scrip; suggestion by Bradford of conversations in New York with Subsecretary of Finance.
574
1936 Feb. 15 (590) From the Minister in El Salvador
Detailed discussion of agreement revising External Loan Contract, submitted by Bradford.
575
Mar. 26 Memorandum of Conversation, by the Chief of the Division of Latin American Affairs
Conversation with Lavis, who reported a satisfactory culmination of the Salvadoran external debt negotiations.
578
Apr. 3 (640) From the Minister in El Salvador
Information from Bradford that Minister of Hacienda has confirmed Government’s acceptance of debt payment bases agreed upon, which remain substantially same as given in No. 590 of February 15; comments on Legation approach toward debt matter in 1922 and at present.
579
Apr. 30 Memorandum of Conversation, by the Chief of the Division of Latin American Affairs
Presentation of a copy of the agreement between the Bondholders Protective Committee and El Salvador by Lavis, who called attention to certain of its provisions.
582

GUATEMALA

Reciprocal Trade Agreement Between the United States and Guatemala, Signed April 24, 1936

[Page LX]
Date and number Subject Page
1936 Jan. 15 (866) From the Minister in Guatemala
Transmittal of revised Spanish text of trade agreement containing certain changes and additions to English version; suggestion that Department modify English text as far as admissible to conform with Spanish version.
584
Feb. 4 (2) To the Minister in Guatemala (tel.)
Advice that most of discrepancies between the two texts are of a minor nature, and instructions for representations relative to several important discrepancies.
585
Feb. 6 (266) To the Minister in Guatemala
Transmittal of memorandum of changes which the Department believes should be made for greater accuracy, and advice that final texts must await replies on changes suggested.
586
Feb. 12 (885) From the Chargé in Guatemala
Note from the Minister of Hacienda and Public Credit (text printed), in which is explained in detail the Guatemalan position on articles 8 and 9 and on notes 1 and 2 of the agreement.
587
Feb. 25 (10) To the Chargé in Guatemala (tel.)
Instructions to suggest certain changes to meet Guatemalan objections, with comments relative to notes 1 and 2.
589
Mar. 10 (21) From the Chargé in Guatemala (tel.)
Guatemalan agreement to all “grammatical changes” in memorandum and to certain others, but suggestion of changes in respect to notes 1 and 2.
590
1936 Mar. 11 (910) From the Chargé in Guatemala
Note concerning chicle sent to the Foreign Minister (text printed), who indicated the matter might be allowed to lapse since chicle could not be included in the agreement.
591
Mar. 17 (14) To the Chargé in Guatemala (tel.)
Instructions relative to changes desired by Guatemala, especially in regard to notes 1 and 2, the settlement of which would expedite matters.
592
Mar. 18 (917) From the Chargé in Guatemala
Advice of conversations with Minister of Hacienda, resulting in changes in wording of notes 1 and 2, and article 13.
593
Mar. 18 (23) From the Chargé in Guatemala (tel.)
Minister of Hacienda’s informal acceptance of article 13 and notes 1 and 2 upon incorporation of suggested changes.
594
Mar. 21 (24) From the Chargé in Guatemala (tel.)
Text of a paragraph for article 13 insisted upon by Minister of Hacienda.
594
Mar. 21 (16) To the Chargé in Guatemala (tel.)
Suggestion of change for article 13 following receipt of No. 23 of March 18.
595
Mar. 23 (25) From the Chargé in Guatemala (tel.)
Agreement of Minister of Hacienda to slight change in wording for article 13 as given in No. 24 of March 21, and concurrence with suggested revisions in notes 1 and 2.
595
Mar. 23 (924) From the Chargé in Guatemala
Conversation with the Minister of Hacienda who agreed to the several proposed changes in article 13.
595
Mar. 25 (931) From the Chargé in Guatemala
Note from the Minister of Hacienda (text printed) relative to notes 1 and 2 and article 13 of the proposed agreement.
596
Mar. 26 (19) To the Chargé in Guatemala (tel.)
Proposed text for the first paragraph of article 13, taking into account suggestions exchanged.
597
Mar. 27 (28) From the Chargé in Guatemala (tel.)
Request for authorization to substitute literal translation (text printed) of one phrase in article 13.
597
Mar. 28 (22) To the Chargé in Guatemala (tel.)
Advice that Spanish text of article 13 is apparently satisfactory, and that English text will be changed to conform to literal translation of Spanish text.
598
Apr. 13 (284) To the Chargé in Guatemala
Transmittal of English and Spanish texts of agreement.
598
(Note: Citation to text of agreement, signed April 24, 1936.) 598
[Page LXI]

HAITI

Negotiations Respecting the Termination of Financial Control Exercised in Haiti Under the Agreement of August 7, 1933

[Page LXII] [Page LXIII]
Date and number Subject Page
1936 Feb. 4 (360) To the Minister in Haiti
Comment on Haitian loan, with instructions to consult with Fiscal Representative Sidney de la Rue, and to report on feasibility of a year’s extension of agreement of August 7, 1933.
599
Apr. 3 (18) From the Minister in Haiti (tel.)
Conversation with Foreign Minister, who inquired as to possibilities of signing new treaty terminating financial control and indicated political importance to President of announcing total liberation.
600
Apr. 3 (194) From the Minister in Haiti
Amplification of report on conversation with the Foreign Minister, who was told that at the present time, when Haiti is seeking an American loan, it would be advisable to leave question of control termination in abeyance.
601
Apr. 16 (388) To the Minister in Haiti
Comment on Haitian loan, which would stand a better chance if Haiti in present year gave practical demonstration of living within its budget; undesirability of giving impression of indefinite continuance of controls.
603
May 4 (10) To the Minister in Haiti (tel.)
From Welles: Advice that Haitian Minister has been told that the United States is ready to sign a treaty terminating controls, but that such a treaty might have an adverse effect on securing a loan; instructions to stress importance of satisfactory management of Haitian finances.
605
May 5 (220) From the Minister in Haiti
Conversation with President about agreement termination and its relation to possible American loan; opinion that he may wish to announce termination at inaugural on May 15.
(Footnote: Information that apparently Haiti did not again approach Legation on matter until it became evident loan negotiations would not be successful.)
606
Oct. 27 (46) From the Minister in Haiti (tel.)
Conversation with Foreign Minister Léger, who indicated that President Vincent would announce, on November 4, the cessation of foreign financial control and that efforts to conclude an American loan would be continued.
607
Oct. 28 (23) To the Minister in Haiti (tel.)
Advice of Haitian Minister’s approach to Department concerning Haitian desire to proceed with negotiations to terminate present financial arrangement; and of dispatch “of instruction containing suggested texts of protocol and annexed note and procedure for negotiating protocol.
609
Nov. 9 (51) From the Minister in Haiti (tel.)
Information regarding Léger’s communication to the Haitian bank relative to its responsibilities following reorganization of financial control; suggestion of desirability that Haitian officials take no active steps until negotiations are concluded.
609
1936 Nov. 11 (52) From the Minister in Haiti (tel.)
Importance of forestalling submission of draft agreement by Léger, with comments on lack of information of Haitian authorities relating to agreement worked out two years ago; advice of appointment with Léger November 12.
611
Nov. 11 (28) To the Minister in Haiti (tel.)
Instructions, in case appointment cannot be postponed, to explain to Léger draft agreement of 1934, and to indicate that Department is now bringing it up to date and will submit a draft protocol with annexed note soon.
613
Nov. 12 (29) To the Minister in Haiti (tel.)
Instructions to submit drafts to Léger.
614
Nov. 13 (344) From the Minister in Haiti
Two memorandums (texts printed) of conversations with Foreign Minister; Haitian aide-mémoire (text printed); and comment on changed attitude of President Vincent toward commitments of 1934.
614
Nov. 14 (55) From the Minister in Haiti (tel.)
Belief that drafts should be submitted to Léger under cover of a formal written note rather than accompanied by oral communications, with suggestion of three points to be included therein.
620
Nov. 16 (32) To the Minister in Haiti (tel.)
Department’s belief that general purpose of suggestion might be accomplished by personal delivery of drafts with simple note of transmission, oral communication on the three points, and a separate aide-mémoire covering each.
620
Nov. 18 (346) From the Minister in Haiti
Copies of draft protocol and draft note (texts printed), effecting termination of American financial control, delivered to the Foreign Minister together with a separate aide-mémoire covering each of the three points suggested in No. 55 of November 14, and oral statements thereon.
621
Nov. 28 (350) From the Minister in Haiti
Ten documents (texts printed) constituting a Haitian counterproposal relative to the transfer of financial controls; Léger’s belief that draft legislation provides effectively for protection of 1922 bondholders.
626
Dec. 9 (61) From the Minister in Haiti (tel.)
Léger’s opinion that it would now be impossible to negotiate loan before bank plan is put into operation. Hope that de la Rue will not return until a satisfactory plan is completed for transferring his office to the bank.
644
Dec. 11 (62) From the Minister in Haiti (tel.)
Critical appraisal of the Haitian Bank plan, in reply to inquiry by Léger, emphasizing that the draft legislation would not give 1922 bondholders protection they now hold; opinion that strong presentations would be advisable.
644
1936 Dec. 16 (438) To the Minister in Haiti
Comments on Haitian counterproposal and instructions relative thereto, including a reply for the Foreign Minister (text printed) consisting of a note with enclosed memorandum pertaining to organization of the bank and five aide-mémoires.
646
Dec. 21 (65) From the Minister in Haiti (tel.)
Explanation of situation in respect to salaries of fiscal representative and deputy fiscal representative, and suggestion of change in phraseology.
665
Dec. 21 (66) From the Minister in Haiti (tel.)
Suggestions for changes in memorandum pertaining to organization of the bank.
666
Dec. 22 (39) To the Minister in Haiti (tel.)
Approval of certain change in phraseology recommended in No. 65 of December 21, and authorization for oral representations in respect to salaries of fiscal representative and of deputy fiscal representative.
666
Dec. 22 (40) To the Minister in Haiti (tel.)
Approval of changes requested in No. 66 of December 21, with suggestion of another change.
667
Dec. 23 (67) From the Minister in Haiti (tel.)
Submittal of documents to the Foreign Minister, with oral outline of Department’s objections to proposed Haitian legislation.
667
Dec. 28 (371) From the Minister in Haiti
Informal conversation with the Foreign Minister during which conflicts in Haitian and U. S. points of view were discussed, and the Foreign Minister promised to go over the matter most carefully with the President.
667

Support by the United States of Haitian Refusal To Arbitrate With France the Question of Paying Interest in Gold Francs on Loan of 1910

[Page LXIV] [Page LXV]
Date and number Subject Page
1936 Mar. 3 (6) From the Minister in Haiti (tel.)
Text of message from Haitian Minister Mayard in France, reporting to Foreign Minister that France has given Haiti until March 6 to present precise proposals on settlement of 1910 loan, and that failure to do so would lead to denunciation of commercial treaty of 1930.
670
Mar. 7 (9) From the Minister in Haiti (tel.)
Advice from Foreign Minister of information from Haitian Minister Blanchet in Washington that Department has instructed American Embassy in Paris to make representations that no ground exists for connecting commercial treaty and 1910 claim.
671
1936 Mar. 9 (373) To the Minister in Haiti
Quotation from report of American Embassy in Paris of Foreign Office explanation of confidential understanding connecting treaty and loan, and willingness to accept Haitian offer of arbitration of loan matter as fulfilling understanding.
671
Mar. 10 (11) From the Minister in Haiti (tel.)
Haitian Government’s refusal to submit proposal to France without consulting Department.
673
Mar. 12 (12) From the Minister in Haiti (tel.)
Advice of telegram from Mayard reporting that France declines conversations which do not contain precise proposals.
673
Mar. 19 (15) From the Minister in Haiti (tel.)
Mayard’s report of French denunciation of commercial treaty on March 18, effective April 18; Haitian desire to develop coffee market in the United States by creation of a coffee syndicate.
673
Mar. 25 (17) From the Minister in Haiti (tel.)
Information that coffee on high seas April 18 cannot enter France under old duties; suggestion of Rixley, Deputy Fiscal Representative to de la Rue, Fiscal Representative, for quick diversion of coffee trade to the United States.
674
Mar. 26 Memorandum of Telephone Conversation by the Chief of the Division of Latin American Affairs
Steps taken by de la Rue to divert coffee trade to the United States.
674
May 13 (22) From the Minister in Haiti (tel.)
Information from the Foreign Minister indicating Haiti’s intention to refuse to submit the 1910 loan question to the International Court in the event of French Foreign Office approach in the matter.
675
May 25 (25) From the Minister in Haiti (tel.)
Conversation with the Foreign Minister, who told of Mayard’s communication to the President, indicating French willingness to renew commercial treaty if Haiti will only promise to go before Permanent Court; Foreign Minister’s position and his request for Department’s view of matter.
675
May 26 (13) To the Minister in Haiti (tel.)
Department’s view that Haiti is not obligated to pay interest on loan of 1910 in gold francs, and disposition not to advise Haiti to submit matter to Permanent Court.
676
June 4 (27) From the Minister in Haiti (tel.)
Information from Foreign Office that President Vincent refuted allegations that he intends to submit 1910 bond question to arbitration or the Permanent Court, and that he is losing interest in U. S. coffee market, and intends to declare moratorium on 1922 loan.
676
1936 June 8 (243) From the Minister in Haiti
Conversation with the President, who spoke of failure to receive a loan from a Chicago group, and repeated denials reported June 4, with comments on the related coffee problem; information from Foreign Minister of French willingness to restore commercial status quo if 1910 matter is submitted to Permanent Court.
677
Oct. 27 (46) From the Minister in Haiti (tel.)
Continued Haitian concern over the French situation; Foreign Minister’s inquiry as to possible U. S. assistance in the present difficulties and his assurance that Haiti was determined not to submit controversy to arbitration or to the Permanent Court.
680
Oct. 28 (24) To the Minister in Haiti (tel.)
Department’s interest in possibility of French proposal of a new commercial agreement with Haiti, and inability to promise to aid Haiti until informed of concessions Haiti might be asked to make to France.
(Footnote: Citation to text of provisional commercial agreement signed April 28, 1937, and advice that negotiations for a commercial convention continued.)
681

HONDURAS

Extension of the Term of Office of the President of Honduras Through a Revision of the Political Constitution

[Page LXVI]
Date and number Subject Page
1936 Apr. 1 (34) From the Minister in Honduras (tel.)
Receipt of formal note from the Foreign Minister reporting meeting of Constitutional Assembly, signing of new constitution, and extension of term of President to January 1, 1943, with indication of desire of President to maintain and consolidate friendly relations with the United States; suggestions for formulating acknowledgment.
682
Apr. 3 (106) From the Minister in Nicaragua (tel.)
President Sacasa’s receipt of letter from the President of Honduras announcing his reelection; Foreign Minister’s desire for indication of President Roosevelt’s reply to announcement.
682
Apr. 3 (16) To the Minister in Honduras (tel.)
Instructions to acknowledge Foreign Minister’s note as suggested in No. 34 of April 1, omitting any reference to the “Conservative Party.”
683
Apr. 7 (61) To the Minister in Nicaragua (tel.)
Advice, in reply to No. 106 of April 3, that as yet no autographed letter from the President of Honduras has been received, but that usual reply will be made by President Roosevelt.
683
Apr. 20 From President Carias to President Roosevelt
Formal notification of revision of the Constitution of 1924 and extension of his term to January 1, 1943.
683
1936 May — From President Roosevelt to President Carias
Formal acknowledgment of letter of April 20.
684

Attitude of the United States in the Event of Civil Strife in Honduras

Date and number Subject Page
1936 Apr. 3 (36) From the Minister in Honduras (tel.)
Indication to the Foreign Minister that it would be highly undesirable to use American aviators in military operations, in view of his stated intention to bomb two American vessels suspected of revolutionary activity.
(Footnote: Receipt by Department at various times in 1936 of reports of revolutionary activity, although no serious disturbance aroused.)
685
Apr. 4 (17) To the Minister in Honduras (tel.)
Advice of transmittal of information, relative to vessels, to Navy Department, with request that Naval vessel or vessels be sent to keep suspected vessels under surveillance.
685
Apr. 8 From the Acting Secretary of the Navy
Advice of dispatch of S. S. Manley, and of points involving international law by which the vessel will normally be guided.
686
Apr. 10 To the Secretary of the Navy
Withdrawal of April 4 request since the Department of Justice after protracted investigation has failed to disclose to the State Department evidence pointing to violation of American law.
687
Apr. 10 (21) To the Minister in Honduras (tel.)
Explanation of withdrawal of request made to the Navy, and instructions to advise the President informally, with reference to telegram No. 36 of April 3, that the Department assumes Honduras would not utilize American aviators in military operations suggested.
688
Apr. 11 (39) From the Minister in Honduras (tel.)
Advice of assurances from the President relative to use of American aviators; advisability of having some naval vessel cruising in vicinity of Honduras.
689
Apr. 14 (22) To the Minister in Honduras (tel.)
Department’s decision, after consideration of the Honduran situation, not to request the Navy to send a cruiser to Honduran waters.
689
Apr. 15 (41) From the Minister in Honduras (tel.)
Explanation that request for Naval vessel was based on belief that the moral effect would be good in case of an outbreak.
690
[Page LXVII]

MEXICO

Representations Against Further Expropriation by the Mexican Government of Lands Owned by American Citizens Until Authorization for Payment Be Made

[Page LXVIII]
Date and number Subject Page
1936 Feb. 13 (3289) From the Chargé in Mexico
Information from Foreign Office Under Secretary Ceniceros that Secretary of Hacienda Suarez was still studying the matter of compensation to Americans for expropriated land; press reports of petitions to the President from both compesino federation and from hacendados.
691
Apr. 16 (3483) From the Ambassador in Mexico
Note sent to Foreign Minister (text printed), following oral representations, reviewing the situation relative to expropriated lands of American citizens with insistence that arrangements for payment therefor be made, and that in the future no American lands be appropriated without payment of prompt and adequate compensation.
692
Aug. 8 (1182) To the Ambassador in Mexico
Review of representations relative to land expropriated from the Cunningham Investment Company, and instructions for further representations, in view of nonreceipt of reply to those reported in No. 3483 of April 16.
694
Sept. 17 (3939) From the Ambassador in Mexico
Renewed representations, written (text printed) and oral, to the Foreign Office, with a review of the land question and previous negotiations relative thereto, and emphasis on desire for an early reply; comment on probable political cause for delay in matter.
695
Sept. 21 (276) From the Vice Consul at Guaymas
Discussion of the land problem in Yaqui Valley and its general economic implications.
698
Sept. 25 (3965) From the Ambassador in Mexico
Transmittal of a report bringing up to date the 1930 survey of the agrarian situation, with comment on consular activity in connection with the study.
700
Sept. 29 (167) To the Ambassador in Mexico (tel.)
Instructions, in event expropriation of lands in Yaqui Valley seems imminent, to insist expropriation proceedings be deferred pending arrangement with American owners.
701
Oct. 1 (171) From the Ambassador in Mexico (tel.)
Advice of request for further information from Vice Consul at Guaymas so that instructions of September 29 might be complied with.
702
Oct. 3 From the Consul at Torreón (tel.)
Reply to Department’s inquiry relative to extent and nature of American interests in lands that may be affected by agrarian dotations.
702
Oct. 9 (3998) From the Ambassador in Mexico
Conversation with British Ambassador, during which it was decided not to make joint representations respecting dotation of lands in Laguna District of Torreón. Foreign Minister’s confirmation of press report of their dotation and indication that recourse of Americans would be to file claims for losses.
702
1936 Oct. 10 From the Vice Consul at Guaymas (tel.)
Request for authorization to help American landowners with a new land plan which would be advantageous for all, but chiefly for Americans.
703
Oct. 14 (176) To the Ambassador in Mexico (tel.)
Authorization for Vice Consul at Guaymas to act in unofficial and personal capacity.
704
Oct. 17 (4023) From the Ambassador in Mexico
Memorandum by the Counselor of Embassy (text printed), reporting conversation regarding the Yaqui Valley situation with the Under Secretary for Foreign Affairs, who spoke of the President’s approval of a system of compensation for future expropriations.
704
Oct. 20 (4025) From the Ambassador in Mexico
Conversation with officials at the Foreign Office, who told of plans for compensating American landholders and said that President Cárdenas was confident he could make arrangements satisfactory to the landowners.
707
Nov. 19 (201) From the Ambassador in Mexico (tel.)
Advice of two-week extension to American landowners near Guaymas for submittal of plan of compensation; discussion of President’s power to reverse previous presidential decree relative to the Yaqui Valley colonization status.
708
Nov. 20 (200) To the Ambassador in Mexico (tel.)
Information that consular despatches from Yaqui Valley indicate possible precipitate action which would have unfortunate U. S. repercussions; instructions to make vigorous representations if settlement is not reached or there is likelihood of overhasty action.
709
Dec. 12 (217) To the Ambassador in Mexico (tel.)
Authorization to discuss Yaqui Valley situation in forthcoming conference with the President.
709
Dec. 16 (4171) From the Ambassador in Mexico
Detailed memorandum (extracts printed) prepared by the Counselor of Embassy, of Ambassador’s conference with the President on the land matter, particularly in respect to land in the Yaqui Valley.
709

Representations Against the Mexican Expropriation Law of November 23, 1936

[Page LXIX]
Date and number Subject Page
1936 Oct. 9 (4002) From the Ambassador in Mexico
Detailed account of a conversation with the President concerning compensation for expropriated American lands, the religious situation, and American industrial investments in Mexico, with mention of expropriation measure pending in Mexican Congress.
715
1936 Nov. 7 (4074) From the Ambassador in Mexico
Federal Law of Expropriation on Grounds of Public Welfare (text printed) as passed by Chamber of Deputies, November 3, 1936; comments thereon and transmittal of official’s statement that new bill merely brings an old law of the Diaz regime in accord with Constitution of 1917.
719
Nov. 23 (1285) To the Ambassador in Mexico
Evaluation of articles 1, 10, and 20 of the new expropriation law; discretionary instructions to make informal protest and to express hope steps will not be taken to apply law to American nationals, in absence of adequate method for determining and paying compensation at time property is taken.
723
Nov. 28 (4128) From the Ambassador in Mexico
Advice that instructions could not be carried out owing to absence of President; and reasons for request that instructions be reconsidered by Department.
725
Nov. 30 (50) From the Acting Secretary of State to the Secretary of State (tel.)
Brief report on Mexican situation, with indication that a strike in the oil fields has been postponed, and that a copy of the Ambassador’s report on the expropriation act will be sent the Secretary upon its receipt.
(Footnote: Information that Secretary was at the Inter-American Conference at Buenos Aires.)
728
Dec. 3 From the Acting Secretary of State to the Secretary of State
Discussion of the Mexican situation, with suggestion that Ambassador in Mexico take up the matter informally with President Cárdenas; advice of precedent in similar situations.
728
Dec. 10 (210) To the Ambassador in Mexico (tel.)
Telegram from the Secretary (text printed), agreeing with Department’s suggestion that the Ambassador present matter to Cárdenas, and making a further suggestion that Ambassador take up recent agrarian expropriations at same time.
730

Arrangement Between the United States and Mexico for Disposing of Claims Not Memorialized on Their Merits to the General Claims Commission

[Page LXX] [Page LXXI]
Date and number Subject Page
1936 May 29 (1109) To the Ambassador in Mexico
Instructions to submit a note, along lines of a draft (text printed), to the Foreign Office, suggesting agreement on omnibus memorial covering claims not previously memorialized.
731
June 5 (3652) From the Chargé in Mexico
Delivery of note, as instructed, to the Foreign Minister, who promised to take it under consideration immediately so desired arrangements could be made before June 30.
734
June 12 (97) To the Chargé in Mexico (tel.)
Instructions to request prompt acceptance of proposal, thereby avoiding possibility of delay by the raising of unacceptable counterproposals.
734
1936 Undated [Rec’d June 16] (93) From the Chargé in Mexico (tel.)
Request for views for reply to Foreign Office inquiry relative to the permanent dismissal of unmemorialized claims.
734
June 17 (100) To the Chargé in Mexico (tel.)
Explanation that Department’s proposal contemplates one blanket memorial of unmemorialized claims to be “heard and decided” under the General Claims Convention of 1923, involving no investigations or procedure of any kind except decisions by the Commission.
735
June 17 (3690) From the Chargé in Mexico
Memorandum (text printed) of conversations at the Foreign Office relative to reply to U. S. proposal, during which an official said that Mexico favored memoralizing the unmemoralized claims if submittal would really be just the legalization of their rejection.
735
June 18 (95) From the Chargé in Mexico (tel.)
Expectation of Foreign Office reply on June 19; further comment on Mexican position.
737
June 19 (97) From the Chargé in Mexico (tel.)
Receipt of Foreign Office reply, June 18, making clear Mexico’s opposition to having unmemorialized claims “heard and decided” by the Commission and enclosing a proposed convention between the two agents to be ratified by the Commission.
738
June 19 (3701) From the Chargé in Mexico
Foreign Office reply of June 18 to U. S. proposal, enclosing a proposed convention (both printed).
738
June 20 (104) To the Chargé in Mexico (tel.)
Instructions to explain to Foreign Office that under Convention of 1923 the only means of barring claims for the future is by having them “heard and decided” upon evidence placed before Commissioners, and that the Department desires agreement to a procedure to dispose of all claims.
743
June 23 (105) From the Chargé in Mexico (tel.)
Execution of instructions; indication that the Foreign Office may be willing to revert to procedure outlined in Department’s No. 1109, May 29, but meanwhile wishes to have U. S. specific objections to procedure set forth in Chargé’s No. 3701, June 19.
744
June 24 (114) To the Chargé in Mexico (tel.)
Preference for procedure outlined in Department’s No. 1109, May 29; objections to procedure set forth in Chargé’s No. 3701, June 19.
744
June 24 (107) From the Chargé in Mexico (tel.)
Suggestion by Foreign Office officials of means whereby agreement relative to the claims matter might be reached.
745
June 25 (115) To the Chargé in Mexico (tel.)
Instructions relative to note to be sent to the Foreign Office, with text of proposed procedure.
746
1936 June 26 (111) From the Chargé in Mexico (tel.)
Compliance with instructions in No. 115 of June 25, and Foreign Office assurance that proposed procedure will be accepted.
747
June 27 (3726) From the Chargé in Mexico
Foreign Office note (text printed), stating that Mexico has no objection to adoption by the two Governments of course of action outlined in Chargé’s note.
748
June 29 (122) To the Chargé in Mexico (tel.)
Instructions pertaining to reception of memorials by the Embassy.
749

Termination of Informal Discussions With a View to the Settlement of American Agrarian Claims Against Mexico Pending Before the General Claims Commission

[Page LXXII]
Date and number Subject Page
1936 Jan. 9 (974) To the Chargé in Mexico
Transmittal of memorandum pertaining to agrarian claims, with suggestion that portions thereof be employed in conversation with Sierra, Foreign Office official, who should also be told that filing of memorials cannot be postponed beyond February 1.
749
Jan. 21 (3232) From the Ambassador in Mexico
Discussion with Sierra, who was told that if an agreement were not reached by February 1 the American agent would have to file memorials under protocol of 1934, and was given a memorandum (text printed) based on Department’s instructions.
750
Jan. 23 (3233) From the Ambassador in Mexico
Discussion of the importance of the agrarian claims with Foreign Minister Hay, who said it would be impossible for him to reach a decision on the claims prior to February 1.
754
Jan. 29 (15) To the Ambassador in Mexico (tel.)
Request for information relative to any additional communications to or from the Foreign Office on agrarian claims, and instruction to telegraph on February 1 as to whether agreement has been reached.
755
Jan. 31 (15) From the Ambassador in Mexico (tel.)
Foreign Minister’s reiteration of impossibility of reply to representations before February 1, or before a study by lawyers, newly authorized, is completed.
755
Feb. 1 (17) From the Ambassador in Mexico (tel.)
Advice of no developments respecting the agrarian claims matter, except for an oral inquiry from Sierra as to whether filing of memorials by the American Agent would constitute a termination of negotiations.
756
1936 Feb. 4 (23) To the Ambassador in Mexico (tel.)
Advice that the Department regards the negotiations terminated as of February 1, and that memorials will be filed so that cases may be proceeded with under terms of the Protocol of 1934 and Convention of 1923 so extended.
756
Feb. 6 (3271) From the Ambassador in Mexico
Note to the Foreign Office (text printed), terminating informal discussion of agrarian claims.
757

Reservation by the United States of Its Rights Pertaining to Commerce as Affected by the Mexican Decree of August 29, 1935, Extending the Territorial Waters of Mexico

[Page LXXIII]
Date and number Subject Page
1936 Jan. 11 (975) To the Chargé in Mexico
Instructions to advise Foreign Office that United States reserves all rights for protection of American commerce from enforcement of decree extending Mexican territorial waters from 3 to 9 nautical miles.
758
Mar. 9 (3374) From the Ambassador in Mexico
Advice of execution of instructions; note addressed to the Foreign Office (text printed).
759
May 6 (4002) From the Mexican Minister for Foreign Affairs to the American Ambassador in Mexico
Reply to the Embassy’s note concerning territorial waters, in which the Foreign Minister states that in issuing the decree in question the Government adhered strictly to provisions of article 5 of the Treaty of February 2, 1848 with the United States, and discusses past interpretations of that treaty.
760
May 23 (1110) To the Ambassador in Mexico
Explanation, with reference to the 1848 treaty and related correspondence, that a provision relating to a boundary line at one place furnishes no authority for application to all Mexican territorial waters; instructions to so inform Foreign Office.
762
June 3 (3646) From the Chargé in Mexico
Transmittal of copy of note sent to the Foreign Office.
764
July 14 (3765) From the Ambassador in Mexico
Foreign Office reply (text printed) to Embassy’s note reviewing the history of the subject of territorial waters in international law, and concluding that there is no basis for maintaining that U. S. and Mexican territorial waters should have an extension of three miles in the Pacific Ocean.
764
Aug. 19 (1189) To the Ambassador in Mexico
Comment on Mexican note, and instructions to reiterate reservation previously made, and to make clear U, S. non-acceptance of Mexican conclusions in note transmitted with No. 3765 of July 14.
768
1936 Aug. 25 (3869) From the Ambassador in Mexico
Transmittal of note addressed to the Foreign Office (text printed) in conformity with Department’s instructions.
769

Refusal of the Department of State To Recognize Right of an American Citizen To Divest His Government of Its Right To Extend to Him Its Protection Abroad

Date and number Subject Page
1936 Feb. 4 (3260) From the Ambassador in Mexico
Intention to seek proper way of lending good offices to American company doing business in Mexico, whose existence is threatened by labor troubles but which has agreed to abide by decisions of the Mexican authorities and not to call upon the U. S. Government.
770
Feb. 19 (1021) To the Chargé in Mexico
Advice that the United States has uniformly held that an American citizen cannot, by entering into an agreement of the sort involved, divest his Government of its right to extend to him its protection abroad.
772

Attitude of the Government of the United States With Respect to the Religious Situation in Mexico

[Page LXXIV]
Date and number Subject Page
1936 Mar. 19 (54) To the Ambassador in Mexico (tel.)
Reference to press report of recent decrees by seven Mexican governors to ameliorate the religious situation; request for report on developments.
773
Mar. 20 (53) From the Ambassador in Mexico (tel.)
Comment on possible source of unverified press report, and information that high church officials indicate no change in Government policy.
773
Mar. 28 (56) To the Ambassador in Mexico (tel.)
Instructions to report promptly all developments tending to indicate relaxation in religious situation.
774
Mar. 28 (56) From the Ambassador in Mexico (tel.)
Press report of opening of some churches in eight states; conference with the President who indicated that the moderating tendency in respect to religion was not a new policy but the carrying out of his original plans.
774
May 25 To Representative John J. Cochran
Acknowledgment of receipt of a forwarded resolution by the Missouri State Council of the Knights of Columbus, and explanation that the United States is without authority to determine or affect situation in Mexico.
775
Aug. 4 To Senator Henry W. Keyes
Comment upon a forwarded resolution, with quotation from the Convention on Rights and Duties of States, signed at Montevideo in 1933, stating that no state has the right to intervene in the internal or external affairs of another.
775
1936 Sept. 30 To Mr. K. E. Blomquist
Information, in reply to a letter, that the Department has received no report of any American citizen having been killed in connection with the religious situation in Mexico during the past four years.
776
Oct. 23 To Mr. Joseph W. Murphy
Detailed explanation of U. S. position of nonintervention in the Mexican religious situation, including an excerpt from a speech of President Roosevelt to illustrate that nonintervention should not be construed as indifference, and emphasizing nondiscriminatory nature of administration of the Mexican religious law.
776
(Note: Citation to related despatch and memorandum.) 778

Attitude of the United States Toward the Admission Into the United States of Mexican Nationals Expelled by Mexico

Date and number Subject Page
1936 Aug. 11 (141) From the Ambassador in Mexico (tel.)
Recommendation that General Nicolas Rodriguez, leader of the Gold Shirt movement, who is being expelled from Mexico as undesirable, be allowed to enter the United States in compliance with an informal request by Mexican military authorities.
778
Aug. 11 From the Vice Consul at Ciudad Juarez (tel.)
Advice that Rodriguez crossed the International Bridge at Ciudad Juarez and was admitted by U. S. immigration authorities.
779
Aug. 15 (1188) To the Ambassador in Mexico
Advice of receipt of telegram from Vice Consul at Ciudad Juarez reporting admission of Rodriguez into the United States, and giving detailed observations on the political refugee problem, especially in reference to expelled Mexican refugees.
779

Convention Between the United States and Mexico for the Recovery and Return of Stolen or Embezzled Motor Vehicles, Trailers, Airplanes, or Component Parts of Any of Them, Signed October 6, 1936

Date and number Subject Page
(Note: Citation to text of convention, signed at Mexico City.) 781

Convention Between the United States and Mexico Providing for the Protection of Migratory Birds and Game Mammals, Signed February 7, 1936

Date and number Subject Page
(Note: Citation to text of treaty, signed at Mexico City.) 781
[Page LXXV]

NICARAGUA

Reciprocal Trade Agreement Between the United States and Nicaragua, Signed March 11, 1936

[Page LXXVI] [Page LXXVII] [Page LXXVIII]
Date and number Subject Page
1936 Jan. 6 (3) From the Minister in Nicaragua (tel.)
Request for telegraphed instructions regarding trade agreement; President’s promise to do everything possible to conclude agreement within a month.
782
Jan. 10 (2) To the Minister in Nicaragua (tel.)
Itemized reply to points listed in Minister’s No. 1081 of October 3, 1935, relative to a trade agreement.
782
Jan. 22 (390) To the Minister in Nicaragua
Transmittal of draft copy of general provisions and of Schedule I of trade agreement, with instructions.
(Footnote: Description of Schedule I.)
783
Jan. 25 (6) From the Minister in Nicaragua (tel.)
Information concerning Nicaraguan counter draft of Spanish text of general provisions.
784
Jan. 25 (7) From the Minister in Nicaragua (tel.)
Observations and recommendations in respect to Nicaraguan counterproposal.
786
Jan. 28 (8) From the Minister in Nicaragua (tel.)
Request for instructions relative to submitting copy of Schedule I to the Nicaraguan Government.
787
Jan. 31 (5) To the Minister in Nicaragua (tel.)
Advice that Department perceives no particular reason for further delay in a written presentation of U. S. desiderata.
787
Feb. 7 (6) To the Minister in Nicaragua (tel.)
Reply to Minister’s Nos. 6 and 7 of January 25, giving Department’s position relative to the Nicaraguan counterproposal.
788
Feb. 19 (28) From the Minister in Nicaragua (tel.)
Progress report in relation to negotiations, with presentation of certain changes in article 9 desired by Nicaragua.
789
Feb. 19 (29) From the Minister in Nicaragua (tel.)
Further report on progress in negotiations.
790
Feb. 19 (30) From the Minister in Nicaragua (tel.)
Reasons for urging early conclusion of agreement, with request for full powers.
791
Feb. 21 (13) To the Minister in Nicaragua (tel.)
Comments and suggestions relative to Nicaraguan counterproposals.
791
Feb. 22 (14) To the Minister in Nicaragua (tel.)
Elaboration of points discussed in No. 13 of February 21, and assurance that proposed agreement provides concession safeguards identical with or closely similar to those either negotiated or in process of consideration with other Central American countries.
793
Feb. 23 (34) From the Minister in Nicaragua (tel.)
Nicaraguan agreement to one of the debated points and acceptance of draft of article 13.
795
1936 Feb. 24 (35) From the Minister in Nicaragua (tel.)
Text of translation of Schedule II supplied by Minister of Hacienda.
(Footnote: Explanation that Schedule II is list of tariff concessions to be made by United States on imports from Nicaragua.)
795
Feb. 24 (36) From the Minister in Nicaragua (tel.)
Résumé of standing of negotiations as of evening of February 24, and request for further instructions.
796
Feb. 24 (38) From the Minister in Nicaragua (tel.)
Advice of progress in afternoon’s conference.
797
Feb. 24 (15) To the Minister in Nicaragua (tel.)
Reasons for importance of Nicaraguan acceptance of article 5 dealing with “previous representative period”.
798
Feb. 24 (16) To the Minister in Nicaragua (tel.)
Instructions to indicate U.S. regret that Nicaragua has apparently decided to denounce most-favored-nation agreements with other countries; text of informal memorandum, explaining purpose of article 5, to be handed to appropriate official on understanding Nicaragua will accept article as drafted.
798
Feb. 25 (41) From the Minister in Nicaragua (tel.)
Request for instructions concerning concession on deposit on drawback sugar; conditions under which one of the negotiators would agree to general provisions.
799
Feb. 25 (17) To the Minister in Nicaragua (tel.)
Further suggestions for use in the negotiations.
800
Feb. 25 (39) From the Minister in Nicaragua (tel.)
Advice that Nicaragua will accept certain stipulations in the agreement negotiations.
801
Feb. 26 (18) To the Minister in Nicaragua (tel.)
Nonreceipt of Schedule I; advice that interdepartmental committees are considering Schedule II.
802
Feb. 27 (44) From the Minister in Nicaragua (tel.)
Request for confirmation of expressed understanding relative to status of articles 5, 7, and text of proposed addition to article 11.
802
Feb. 27 (407) To the Minister in Nicaragua
Request for opinion as to effect on negotiations of note indicating concessions which cannot for reasons of policy be included in Schedule II, but which Nicaragua would enjoy by virtue of generalization of concessions in other U.S. trade agreements.
802
Feb. 27 (410) To the Minister in Nicaragua
Transmittal of English text of Schedule II as approved by Trade Agreements Committee, with Spanish translation.
803
Feb. 28 (20) To the Minister in Nicaragua (tel.)
Desire for changes relative to articles 5 and 7; acceptance of addition to article 11.
804
Feb. 29 (46) From the Minister in Nicaragua (tel.)
Advice of Nicaraguan understanding with respect to articles 5 and 7.
805
Mar. 2 (21) To the Minister in Nicaragua (tel.)
Present status of negotiations, with approval of position on article 7, only article 5 at issue; doubt relative to Nicaraguan agreement as to Schedule I and readiness to send full powers.
805
Mar. 2 (23) To the Minister in Nicaragua (tel.)
Authorization for agreement on article 7, in view of information in No. 46 of February 29.
806
Mar. 3 (48) From the Minister in Nicaragua (tel.)
Clarification of Nicaraguan position on articles 5 and 7; advice of presentation and discussion of Schedule II.
806
Mar. 4 (50) From the Minister in Nicaragua (tel.)
Discussion of Schedule I with indication of Nicaraguan concessions; effect of uncertain political situation on negotiations.
808
Mar. 5 (51) From the Minister in Nicaragua (tel.)
Further discussions on the two schedules; opinion, in response to No. 407 of February 27, that it would be helpful to include in exchange of notes those concessions of interest to Nicaragua selected from other trade agreements which cannot be written into Schedule II.
808
Mar. 5 (28) To the Minister in Nicaragua (tel.)
Request for fuller information concerning Nicaraguan tariff.
809
Mar. 5 (1307) From the Minister in Nicaragua
Information that U. S. attitude toward Nicaraguan proposed denouncement of its most-favored-nation agreements with other countries was made known to the Nicaraguan negotiators.
809
Mar. 6 (29) To the Minister in Nicaragua (tel.)
Discussion of concessions desired from Nicaragua in Schedule I, with reference to Costa Rican and Honduran negotiations, and instructions relative to Schedule II.
810
Mar. 7 (57) From the Minister in Nicaragua (tel.)
Favorable effect of reference to Costa Rican and Guatemalan negotiations.
811
Mar. 7 (33) To the Minister in Nicaragua (tel.)
List of articles, in which Nicaragua is interested, on which concessions will be generalized to her from other trade agreements; instructions for informal presentation of list.
811
Mar. 7 (58) From the Minister in Nicaragua (tel.)
Summary of Nicaraguan counterproposals on Schedule I, subject to certain conditions.
812
Mar. 7 (59) From the Minister in Nicaragua (tel.)
Conditions governing newly submitted counterproposals.
812
1936 Mar. 8 (34) To the Minister in Nicaragua (tel.)
Advice that counterproposals seem satisfactory, with comment on conditions.
813
Mar. 9 (66) From the Minister in Nicaragua (tel.)
Advice that attacks on agreement by sugar interests are mainly political, with suggestion of wording for a note to be sent the Foreign Minister containing assurances relative to sugar quota.
813
Mar. 10 (74) From the Minister in Nicaragua (tel.)
Advice of accord on all points in the agreement, but desire for affirmative reply to suggestion of March 9 notwithstanding.
814
Mar. 10 (40) To the Minister in Nicaragua (tel.)
Text of memorandum to be given to the Foreign Minister as suggested on March 9.
814
(Note: Citation to text of trade agreement, signed March 11.) 815

Revolution in Nicaragua

[Page LXXIX] [Page LXXX] [Page LXXXI] [Page LXXXII]
Date and number Subject Page
1936 Feb. 11 (18) From the Minister in Nicaragua (tel.)
Outbreak of rioting resulting from a chauffeurs’ strike; President Sacasa’s order to Somoza, commander of the Nicaraguan Guardia Nacional, to use force if necessary to disperse mob; advice that Americans do not appear to be in danger.
815
Feb. 11 (19) From the Minister in Nicaragua (tel.)
Conversations, in the interest of maintenance of order, with the President, who complained that Somoza was not following instructions; and with Somoza, who said he had given adequate orders to maintain order and promised to take no step against the Government.
816
Feb. 11 (20) From the Minister in Nicaragua (tel.)
Confirmation of a telephone conversation reporting on representations, with view to averting bloodshed and civil war, and advice that steps were approved by the Diplomatic Corps.
817
Mar. 28 (57) To the Minister in Nicaragua (tel.)
Recapitulation of U. S. policy toward Nicaragua, stressing the necessity of avoiding expression of opinions or giving of advice with reference to internal politics.
817
Mar. 30 (103) From the Minister in Nicaragua (tel.)
Evidence of increasing revolt against the Loma (Presidential Palace); Minister’s presence, by Sacasa’s urgent request, at a conference between the President, Somoza, and the latter’s father-in-law, Dr. DeBayle; understanding that recent differences would be harmoniously settled.
818
May 5 Memorandum by the Secretary of State
Conversation with Nicaraguan Chargé, whose request for a statement regarding Nicaraguan political affairs was parried by referring to doctrine of noninterference with domestic affairs.
819
May 8 (118) From the Minister in Nicaragua (tel.)
Belief of Salvadoran Minister that his country might give Sacasa aid provided such action would not meet with U. S. disapproval, and his request that Department be so advised.
820
May 8 (66) To the Minister in Nicaragua (tel.)
Advice that although sharing other Governments’ hopes for a continuing Nicaraguan peace, United States cannot make or authorize any statement with reference to the internal political situation.
821
May 9 (68) To the Minister in Nicaragua (tel.)
Instruction to inform Salvadoran Minister that United States is not in a position to express any opinion relative to Salvadoran policy.
821
May 19 To the Minister in Nicaragua
Information relative to position taken in conversations with the Nicaraguan Chargé and the Salvadoran Minister.
821
May 28 (138) From the Minister in Nicaragua (tel.)
Sacasa’s request that a small naval vessel be sent temporarily to the east coast, and description of the situation there.
822
May 29 (141) From the Minister in Nicaragua (tel.)
Information relative to bipartisan negotiations with Somoza and President’s request for Minister’s opinion, which he declined to give.
823
May 29 (72) To the Minister in Nicaragua (tel.)
Instructions to indicate that the United States could not take responsibility for maintaining order by sending a naval vessel as requested, but that, if there is belief that arms and ammunition are being smuggled from the United States, information thereon would be appreciated.
824
May 29 From the President of Nicaragua
Review of U. S. relations with Nicaragua and the setting up of the National Guard, with request for joint action of friendly cooperation with Mexico, Guatemala, El Salvador, Honduras, and Costa Rica.
825
May 30 (152) From the Minister in Nicaragua (tel.)
Meeting of Diplomatic Corps in response to Foreign Minister’s note requesting good offices and mediation to prevent civil war, with information that members are requesting instructions from their Governments.
827
May 30 (153) From the Minister in Nicaragua (tel.)
Information that President Sacasa and General Chamorro have no knowledge of arms smuggling from the United States.
827
May 31 Memorandum by the Chief of the Division of Latin American Affairs
Advice from Minister to Nicaragua of outbreak of fighting in León, of Government’s request that Diplomatic Corps send note to Somoza advocating prevention of bloodshed and peaceful settlement, and views of various countries thereon.
828
May 31 (154) From the Minister in Nicaragua (tel.)
Developments in situation.
828
May 31 (74) To the Minister in Nicaragua (tel.)
Department’s reasons for unwillingness to offer good offices or to participate in the proposed note to Somoza, and instructions to inform both Sacasa and Somoza that United States expects Nicaragua to provide adequate protection to life and property of U. S. citizens.
829
June 1 Memorandum by the Secretary of State
Delivery of President Sacasa’s letter, dated May 29, by the Nicaraguan Chargé, who was informed of U. S. intention to preserve intact its policy of nonintervention and noninterference with internal affairs of other countries.
830
June 2 (54) From the Minister in Guatemala (tel.)
Advice from the Acting Foreign Minister that Salvadoran Minister had proposed that an invitation should be extended to the United States to cooperate with four neutral Central American States to effect peaceful settlement of Nicaraguan situation.
830
June 2 (55) From the Minister in Guatemala (tel.)
Information from the Acting Foreign Minister concerning views of various countries on the subject of intervention in Nicaragua.
831
June 2 From the Chilean Embassy
Expression of surprise over reported request of President Sacasa that the United States intervene in the domestic difficulties of Nicaragua, and Chilean protest against the request.
832
June 3 From the Chilean Ambassador
Assurance, following conversation with the Assistant Secretary, that Chilean protest was directed solely against the initiative of Nicaragua contrary to the Montevideo Agreement.
833
June 3 (40) To the Minister in Guatemala (tel.)
Instructions to inform the Acting Foreign Minister of U. S. views relative to joining other American Republics in tendering joint good offices.
833
June 4 To the Chilean Ambassador
Reasons for issuance of a statement to the press; regret that Chile had not inquired as to U. S. policy.
834
June 4 From the Peruvian Embassy
Memorandum stating that Peru is certain the United States is not contemplating intervention in Nicaragua, and that Peru adheres to Montevideo principle of nonintervention.
835
June 4 To the Peruvian Ambassador
Reasons for issuance of statement to press and regret that Peru had not inquired as to U. S. policy.
835
June 4 Statement by the Secretary of State
Detailed discussion of U. S.-Nicaraguan relations with reference to notes from Chile and Peru which were based on erroneous impression that the United States had received a request from Nicaragua to intervene in affairs of that Republic.
836
June 4 From the Chilean Minister for Foreign Affairs (tel.)
Expression of regret for scope and significance attached to Chilean memorandum, and explanation that desire was to cooperate with the United States.
837
June 5 To the Chilean Minister for Foreign Affairs (tel.)
Assurance of appreciation for Foreign Minister’s letter, and of desire to cooperate with Chile in upholding policy of nonintervention.
837
June 5 (34) To the Ambassador in Chile (tel.)
Information relative to communications from Chile and Peru and U. S. replies; advice of Ecuadoran unwillingness to make representations similar to those of Chile.
838
June 8 (162) From the Minister in Nicaragua (tel.)
Conversation with General Somoza, who spoke of departure of the Vice President, affirmed his desire to conduct an honest government, asked U. S. intimation as to which of two courses open to him was better, and was reminded of U. S. policy of noninterference.
838
June 9 (79) To the Minister in Nicaragua (tel.)
Instructions to inform Somoza that it would not be in conformity with U. S. policy to give advice asked; and to report on steps taken in the succession to the Presidency, with citation to pertinent constitutional provisions.
840
June 9 (165) From the Minister in Nicaragua (tel.)
Résumé of events, including resignations of President Sacasa and Vice President Espinosa, with opinion that succession of Dr. Brenes Jarquin to the Presidency is apparently legal, unless causes impelling resignations of President and Vice President are examined.
840
June 11 (80) To the Minister in Nicaragua (tel.)
Instructions relative to recognition of present Government.
841
June 11 (170) From the Minister in Nicaragua (tel.)
Receipt of note from the Foreign Minister stating the facts regarding the change of government; text of planned reply.
841
June 12 (81) To the Minister in Nicaragua (tel.)
Advice that proposed reply is satisfactory.
842
June 12 (172) From the Minister in Nicaragua (tel.)
Developments including: delivery of note, reliable reports that Somoza has decided to reach power by an election in December without a constitutional convention, and evidence of friction between Somoza and former President Moncada.
842
Aug. 27 (109) To the Minister in Nicaragua (tel.)
Instructions to leave a note (text printed) with the Foreign Minister in reference to a letter written by Rear Admiral J. Meyers to General Somoza: reiteration that the United States is pledged to a policy of noninterference.
842
Oct. 22 Memorandum by the Chief of the Division of Latin American Affairs
Assistant Secretary’s conversation with former President Sacasa, who believed the United States had a continuing responsibility for Nicaraguan welfare, but was told that special relationship ended with withdrawal of Marines in 1933; Assistant Secretary’s arrangement to receive Nicaraguan ex-Presidents Chamorro and Diaz.
843
Nov. 24 (233) From the Chargé in Nicaragua (tel.)
Advice of committee action virtually withdrawing Argüello–Espinosa ticket thereby leaving Somoza as sole presidential candidate.
844
Nov. 30 From Señores Juan B. Sacasa, Emiliano Chamorro, and Adolfo Diaz
Review of the Nicaraguan situation, giving special attention to the role of the Guardia and U. S. relation to the organization thereof; also request for the disinterested moral cooperation of U. S. Government in favor of the Nicaraguan people.
844
Dec. 14 (358) From the Minister in Nicaragua
Election of Somoza as President and Navarro as Vice President, and general opinion that all Senators and Deputies elected are supporters of Somoza.
847
Dec. 15 (241) From the Minister in Nicaragua (tel.)
Suggestion that Department invite President Roosevelt’s attention to sending telegram of congratulations to Somoza.
848
Dec. 19 (137) To the Minister in Nicaragua (tel.)
Instructions to attend inaugural ceremonies; and information that the President does not customarily send congratulatory telegrams to Presidents-elect.
849
Dec. 22 To Former President Sacasa of Nicaragua
Reasons why the United States cannot give favorable consideration to the request of November 30.
849
Dec. 24 (139) To the Minister in Nicaragua (tel.)
Advice that Minister has been named by President Roosevelt as his Special Representative at the inauguration of President Somoza.
850
Dec. 24 To the Nicaraguan Acting Minister for Foreign Affairs (tel.)
Notification of the designation of the Chargé in Nicaragua as Special Representative of the President, with rank of Ambassador, at inauguration of President-elect Somoza.
850
Dec. 24 From the Nicaraguan Acting Minister for Foreign Affairs (tel.)
Acknowledgment of notification of Chargé’s designation as Special Representative of the President at inauguration ceremonies.
851
1937 Jan. 1 (1) From the Minister in Nicaragua (tel.)
Inauguration of President and Vice President without incident.
851

Attitude of the United States Toward the Formation of a Defensive Alliance Against Communism in Central America and Possible Foreign Intervention in Nicaragua as a Result Thereof

[Page LXXXIII]
Date and number Subject Page
1936 Nov. 26 (344) From the Chargé in Nicaragua
Memorandum from the Foreign Minister (text printed), telling of the initiation by General Somoza, candidate for President, of an organization against communism in Central America, and requesting Department’s opinion thereon and its attitude in case Nicaragua were attacked in consequence thereof.
851
Nov. 27 (132) To the Chargé in Nicaragua (tel.)
Instructions to withhold reply to Nicaraguan communication until receipt of Department’s instructions.
853
Dec. 5 (31) From the Secretary of State to the Acting Secretary of State (tel.)
Approval of text of memorandum (infra), with instructions to make it clear to the Nicaraguan Chargé that step contemplated is one Nicaragua will have to determine, that the United States has no comment to make but assumes that Nicaragua realizes gravity of step considered.
(Footnote: Information that Secretary was attending Inter-American Conference at Buenos Aires.)
853
Dec. 8 (134) To the Minister in Nicaragua (tel.)
Memorandum to be submitted to the Foreign Minister (text printed), and instructions for oral remarks upon its delivery.
853

PANAMA

Unperfected Convention Between the United States and Panama Providing for the Regulation of Radiocommunications in the Republic of Panama and the Canal Zone, Accompanied by Three Supplementary Exchanges of Notes, Signed March 2, 1936

Date and number Subject Page
(Note: Citation to text of convention and information that in 1947 the President expressed his desire to withdraw the convention from the Senate, and that the Senate directed it to be returned to him.) 855

General Treaty of Friendship and Cooperation Between the United States and Panama and Exchanges of Notes, Signed March 2, 1936

Date and number Subject Page
(Note: Citation to text of treaty and notes, signed at Washington in 1936, and to texts of notes exchanged in 1939 clarifying certain provisions of the General Treaty.) 855

Unperfected Convention Between the United States and Panama Providing for the Transfer to Panama of Two Naval Radio Stations, Signed March 2, 1936

Date and number Subject Page
(Note: Citation to text of convention and information that the convention was approved by the Senate in 1940 but was never ratified.) 855

Convention Between the United States and Panama for a Trans-Isthmian Highway, Signed March 2, 1936

Date and number Subject Page
(Note: Citation to text of convention signed at Washington.) 855
[Page LXXXIV]

Objections by Panama To Receiving Payment of Panama Canal Annuity in Devalued Dollars

Date and number Subject Page
1936 Feb. 17 To the Secretary of the Treasury
Transmittal of $250,000 certificate in favor of Nelson Cromwell, Fiscal Agent of Panama, for liquidation of annual payment to that country.
856
Feb. 26 To the Fiscal Agent of the Republic of Panama
Transmittal of check for annual payment to Panama, with request for signature of receipt enclosed.
856
Feb. 28 From the Fiscal Agent of the Republic of Panama
Return of check with comment on form of receipt, which states that check is “in full payment of the annuity due the Republic of Panama February 1936”; advice that Panama maintains the annuity should be paid in gold coin like that existing in 1904.
857

PARAGUAY

Revolution in Paraguay

[Page LXXXV] [Page LXXXVI] [Page LXXXVII] [Page LXXXVIII]
Date and number Subject Page
1936 Feb. 17 (15) From the Minister in Paraguay (tel.)
Revolutionary outbreak, with intermittent firing in Asunción, and rumor of troops marching on the city.
858
Feb. 17 (16) From the Minister in Paraguay (tel.)
Continuation of fighting in center of city, and reliable reports that General Estigarribia and Foreign Minister Riart are prisoners of insurgents.
858
Feb. 17 (17) From the Minister in Paraguay (tel.)
Advice that President and most of cabinet are holding out on gunboat; claim of victory by revolutionists.
858
Feb. 18 (18) From the Minister in Paraguay (tel.)
Cessation of fighting, with insurgents in control; expectation of early arrival of Colonel Franco to assume charge.
859
Feb. 19 (21) From the Minister in Paraguay (tel.)
Arrival of Franco; probability of early efforts to form a provisional government.
859
Feb. 19 (13) From the Minister in Uruguay (tel.)
Belief of a prominent Foreign Office official that recognition of new Paraguayan government by mediating countries in Chaco dispute should be made conditional on Paraguay’s acceptance of recent international pacts it has ratified.
859
Feb. 19 (43) From the Ambassador in Argentina (tel.)
From Braden: Support by several countries of opinion of Saavedra Lamas, President of Chaco Peace Conference and Chairman of the Argentine delegation, that recognition by the neutral delegates of new Paraguayan regime should be withheld until assurance that regime will honor Buenos Aires protocols.
860
Feb. 20 (22) To the Ambassador in Argentina (tel.)
Instructions to inform Saavedra that the Department shares his opinion and will welcome consultation with the neutral governments.
860
Feb. 20 (23) From the Minister in Paraguay (tel.)
Foreign Office advice of installation of General Franco as Provisional President, and of the names of the new cabinet members; notification of Foreign Minister’s audience to receive diplomats on February 21; observations on the general situation.
860
Feb. 20 (24) From the Minister in Paraguay (tel.)
Decision of colleagues, with uncertain exception of Argentine Chargé to call at Foreign Office on February 21, the Mexican representative the only one who regards that action as recognition; request for instructions, with further observations on situation.
862
Feb. 21 (25) From the Minister in Paraguay (tel.)
Advice of nonattendance at audience in Foreign Office.
863
Feb. 21 (2) To the Minister in Paraguay (tel.)
Approval of Minister’s nonattendance in absence of instructions, and discussion of the situation, witli mention of obligation undertaken to consult with other American Republics in the matter of recognition.
863
Feb. 21 (3308) From the Ambassador in Mexico
Advice of instructions to Mexican Minister at Asunción to carry out mission as usual, in accordance with “Estrada Doctrine”, constituting ipso facto recognition of the Franco regime.
864
Feb. 25 (27) From the Minister in Paraguay (tel.)
Information that Brazilian, British, and U. S. representatives were again invited to call at Foreign Office; declination by Brazilian and U. S. representatives.
864
Feb. 26 (28) From the Minister in Paraguay (tel.)
Partial text of statements to the press by the Foreign Minister in regard to Paraguay’s diplomatic relations, and concerning interest of the provisional government in accelerating execution of agreements concerning repatriation of prisoners of war.
865
Feb. 26 (29) From the Minister in Paraguay (tel.)
Information regarding “declarations” of Provisional President Franco, which stress support of existing international pacts, deny that provisional government might be inspired by doctrines of the left, and indicate need for foreign confidence in the government; report of Foreign Minister’s interviews with diplomats.
866
Feb. 27 (23) To the Ambassador in Argentina (tel.)
Request for any views expressed by the Foreign Minister relative to Paraguayan developments, and for Argentine views as to stability of new regime in Paraguay.
867
Feb. 27 (46) To the Ambassador in Brazil (tel.)
Request for any views expressed by the Foreign Minister relative to Paraguayan developments, and for Brazilian views as to the stability of the new regime in Paraguay.
867
Feb. 27 (30) From the Minister in Paraguay (tel.)
Detailed views relative to new regime in Paraguay, its popular support, ability to maintain itself and to carry out functions of a stable government, and intention to comply with international obligations.
868
Feb. 27 (132) From the American Delegate to the Chaco Peace Conference
Information in regard to the discussion in the Conference Executive Committee of matters pertaining to the new regime in Paraguay, with text of resolution adopted.
870
Feb. 28 (82) From the Ambassador in Brazil (tel.)
Belief of President Vargas that no recognition should be accorded until satisfactory guarantees are given by the new Paraguayan government in respect to commitments at the Chaco Peace Conference.
872
Feb. 28 (47) From the Ambassador in Argentina (tel.)
Information that the Foreign Minister has reached no definite conclusion as yet on developments in Paraguay, but urges caution.
872
Feb. 29 (32) From the Minister in Paraguay (tel.)
Attitude of France, Spain, and Argentina toward recognition of Paraguay.
873
Mar. 1 (33) From the Minister in Paraguay (tel.)
Informal conversation with Stefanich, Foreign Minister of the de facto government, who pointed out the practically normal conditions in the country and his government’s attitude toward international obligations, and asked for opinion as to best procedure to secure recognition.
874
Mar. 2 (85) From the Ambassador in Brazil (tel.)
Receipt by Italian Minister of information from the Italian Minister in Asunción recounting Foreign Minister’s appeal for Italian recognition, pointing to foreign policy, and indicating intention at more favorable time to combat Communist activities.
875
Mar. 3 (4) To the Minister in Paraguay (tel.)
Evaluation of reports from various countries pertaining to recognition, with instructions to tell Foreign Minister that formal and satisfactory assurances in respect to the Chaco agreements would promote favorable reaction on governments represented at the Chaco Conference.
875
Mar. 4 (39) From the Minister in Paraguay (tel.)
Discussion of the governmental situation, with conclusion that the present government is as satisfactory as may be looked forward to in Paraguay for immediate future and is the only agency, at present, through which accomplishments of the Chaco mediation can be made effective.
876
Mar. 5 From Colonel Rafael Franco to President Roosevelt (tel.)
Assurances of stability of Paraguayan government and of intention to carry out international obligations, but fear that, since official relations have not been reestablished, time periods agreed upon in connection with peace pacts will expire without possibility of fulfillment of undertakings.
878
Mar. 7 (91) From the Ambassador in Brazil (tel.)
Information from Italian Ambassador that Italian Minister at Asunción has been instructed to say recognition would be withheld until after favorable action by mediatory powers.
879
Mar. 10 (29) To the Ambassador in Argentina (tel.)
For Braden: Instructions to cable nature of Argentine reply to Colonel Franco, and of replies of other mediatory powers to his identic telegrams of March 5.
880
Mar. 10 (93) From the Ambassador in Brazil (tel.)
Advice that the Brazilian Ambassador at Washington has informed Foreign Office of U. S. intention to recognize Paraguayan government on basis of reports of U. S. Minister at Asunción.
880
Mar. 10 (57) From the Ambassador in Argentina (tel.)
From Braden: Conference Executive Committee’s recommendation of a procedure to recognize Paraguayan government, including presentation of a joint note (text printed) specifying understanding of position of that government, to be accepted by the Foreign Minister; suggestion of identic notes instead.
880
Mar. 10 (58) From the Ambassador in Argentina (tel.)
From Braden: Advice that President of Uruguay acknowledged Franco’s telegram; proposal of colleagues that respective representatives in Asunción advise Foreign Minister that reply would be delayed pending action of Peace Conference.
882
Mar. 11 (43) From the Minister in Paraguay (tel.)
Summary of Decree of March 10, which specifies that the state and revolution are identic, and makes provision against certain organizations of a partisan or syndicalist nature.
882
Mar. 11 (30) To the Ambassador in Argentina (tel.)
For Braden: Instructions to advise other delegates of Department’s preference for identic notes simultaneously delivered, and transmittal of a form of a draft note (text printed) more satisfactory to the United States than one given in No. 57 of March 10.
883
Mar. 11 (60) From the Ambassador in Argentina (tel.)
From Braden: Advice that Paraguayan Foreign Minister has agreed to procedure as outlined in No. 57 of March 10.
884
Mar. 12 (31) To the Ambassador in Argentina (tel.)
Suggestion relative to one paragraph of note transmitted in No. 57 of March 10, in view of Decree of same date.
885
Mar. 12 (61) From the Ambassador in Argentina (tel.)
From Braden: Advice that opinion favors joint note, with reasons for that position; alternative suggestions relative to text and procedure for Department’s consideration.
885
Mar. 13 (32) To the Ambassador in Argentina (tel.)
For Braden: Nonacquiesence to joint note, with comment on proposed alternatives, and indication that note of recognition which the American Minister will deliver at Asunción will adhere to text sent in No. 30, of March 11, except for the omission of one paragraph.
886
Mar. 13 (9) To the Minister in Paraguay (tel.)
Information relative to procedure of recognition, and advice of notes as nearly identic as possible, to be delivered, it is understood, at noon March 14, together with text of U. S. note to be presented.
888
Mar. 13 (63) From the Ambassador in Argentina (tel.)
From Braden: Advice of telegram to Asunción on arrangements for simultaneous presentation of notes at 6 p.m., March 14, and for acknowledgment of each by the Foreign Minister; information that Argentine President will reply to Franco’s telegram thereafter.
889
Mar. 13 (45) From the Minister in Paraguay (tel.)
Colonel Franco’s statement to press pertaining to the Decree of March 10, indicating its emergency nature stating that the Paraguayan State will be neither Communist nor Fascist and that its program will be determined by a constituent convention.
890
Mar. 14 (46) From the Minister in Paraguay (tel.)
Evaluation of political situation and attempt to gauge consequence of recent “revolution-state” decree.
890
Mar. 14 From President Roosevelt to the Provisional President of Paraguay (tel.)
Reply to communication of March 5, and indication of satisfaction with its assurances.
891
Mar. 14 (47) From the Minister in Paraguay (tel.)
Delivery of recognition notes as planned; Foreign Minister’s promise of prompt replies, with information regarding decree about to be promulgated terminating state of war with Bolivia.
892
Mar. 16 (49) From the Minister in Paraguay (tel.)
Note from the Foreign Minister (text printed), acknowledging recognition note; and note from Foreign Office transmitting a copy of the decree mentioned on March 14.
892

PERU

Representations by Peru Regarding the Sugar Import Quota Allowed Under the Costigan Act

[Page LXXXIX]
Date and number Subject Page
1936 Aug. 31 (4695) From the Chargé in Peru
Discussion of Peruvian sugar situation with the Foreign Minister, who emphasized pressure on the Government by agrarian interests and Peruvian desire for a commercial treaty, and suggested Cuba be induced to accept a smaller quota than was allotted under the Jones-Costigan Act, making possible a larger quota for Peru.
893
Sept. 16 (4726) From the Chargé in Peru
Discussion of Foreign Minister’s memorandum (infra) on the sugar question, which indicated probable retaliation if a larger sugar quota is not granted Peruvian sugar growers; comment on the strength of the National Agrarian Society.
894
Oct. 6 From the Peruvian Ambassador
Memorandum from his Government (text printed) on the grave crisis through which the Peruvian sugar industry is passing.
896
Oct. 29 To the Peruvian Embassy
Detailed discussion of sugar question and reasons for denial of Peruvian request for a larger quota, with expression of hope that Peru will defer action in the matter at least until after forthcoming Inter-American Conference at Buenos Aires.
898
Nov. 14 (4811) From the Ambassador in Peru
Efforts to keep sugar situation from becoming more serious; figures brought forth by Commercial Attaché and believed more convincing than those of Department’s memorandum (supra), with inquiry as to changes in and postponement of its presentation to the Foreign Minister.
903
Nov. 30 (51) To the Ambassador in Peru (tel.)
Authority to postpone presentation of memorandum if convinced that Foreign Office has received memorandum as handed to the Peruvian Ambassador in Washington; opposition to any changes therein.
905
Dec. 21 (4865) From the Ambassador in Peru
Renewal of interest in sugar question, resulting from press accounts of U. S. import quotas for 1937; continued pressure on Foreign Office by sugar interests; suggestions for memorandum giving careful exposition of situation.
905
Dec. 28 (4874) From the Ambassador in Peru
Delivery of Department’s memorandum of October 29, mutatis mutandis, to the Foreign Minister.
908

Representations to the Peruvian Government Respecting the Anglo-Peruvian Commercial Agreement of October 6, 1936

[Page XC] [Page XCI]
Date and number Subject Page
1936 Jan. 14 (4) From the Ambassador in Peru (tel.)
Information relative to Finance Minister’s confidential decree of January 8 suspending higher duties on British woolen and textiles pending completion of British commercial treaty; opinion that decree is discriminatory.
908
Jan. 21 (4) To the Ambassador in Peru (tel.)
Request for reply to three specific questions concerning the decree of January 8.
909
Jan. 22 (4383) From the Ambassador in Peru
Submission of information requested, including a resume of Anglo-Peruvian trade relations; belief that concessions will not be extended to the United States, and advice of transmittal of text of decree.
909
June 19 (36) From the Ambassador in Peru (tel.)
Provisions of Anglo-Peruvian commercial agreement to be signed soon, and effect of apparent discrimination against U. S. trade; request for opinion as to advisability of undertaking preliminary conversations for U. S.-Peruvian trade agreement.
911
June 23 (28) To the Ambassador in Peru (tel.)
Instructions to ascertain correctness of report relative to assignment of exclusive preferences to Great Britain in the pending Anglo-Peruvian treaty, and if found correct, to make oral representations as specified.
912
June 25 (4615) From the Ambassador in Peru
Account of execution of Department’s instructions, with comment that the representations give the Foreign Minister an opportunity to straighten situation out before conclusion of Anglo-Peruvian agreement.
913
July 1 (4624) From the Ambassador in Peru
Foreign Minister’s observations relative to U. S. position on Anglo-Peruvian negotiations, indicating Peruvian desire for a larger sugar quota and belief that Jones-Costigan Act is discriminatory.
914
Aug. 4 (919) To the Chargé in Peru
Instructions to make oral representations concerning the sugar quota and the nondiscriminatory nature of the Jones-Costigan Act, and to inform the Foreign Minister that the Department is communicating with the Peruvian Ambassador on this matter.
915
Aug. 12 To the Peruvian Embassy
Memorandum expressing hope that Peru will take no action counter to policy of equality of treatment, adopted at Montevideo Conference, until after the forthcoming Inter-American Peace Conference.
917
Aug. 21 (4682) From the Chargé in Peru
Detailed account of conversation with the Foreign Minister pertaining to the Anglo-Peruvian agreement, with particular attention to sugar exports to the United States and further mention of the commercial and tariff policy adopted jointly at the Montevideo Conference.
917
Oct. 8 (4954) From the Chargé in Peru
Transmittal of copies of text of Anglo-Peruvian Agreement Relating to Commerce and Navigation, signed October 6, 1936.
920
Oct. 23 (46) To the Ambassador in Peru (tel.)
Request for information pertaining to Peruvian concessions prior to ratification of agreement.
921
Oct. 26 (57) From the Ambassador in Peru (tel.)
Advice that articles IV and V of agreement became effective October 9, and that tariff advantages accorded Great Britain fare not being extended to merchandise from United States or from any other country.
921
Nov. 6 From the Peruvian Ambassador
Reply to Department’s memorandum of August 12, detailing reasons for belief that the Anglo-Peruvian agreement does not infringe any commitment made by Peru in subscribing to the Economic Resolution of the Montevideo Conference.
922
Nov. 11 (946) To the Ambassador in Peru
Draft note for Peruvian Government (text printed), indicating assumption that American goods will be granted same benefits as British, otherwise operation of agreement will be regarded as discriminatory. Inquiry whether secret supplementary agreements discussed during negotiations are in force.
924
Nov. 19 (4822) From the Ambassador in Peru
Advice of dispatch of note to the Foreign Office, of unsuccessful attempt to secure answer to Department’s inquiry as to secret supplementary agreements, and information from the Foreign Office regarding reason why the agreement will probably not be ratified.
925
1937 Feb. 25 To the Peruvian Ambassador
Comments on Ambassador’s note of November 6, and explanation of the operation of the U. S. reciprocal trade program from which Peru, as well as other countries, has received benefits through generalized concessions.
926

Preliminary Discussions Respecting a Trade Agreement Between the United States and Peru

Date and number Subject Page
1936 Jan. 10 (4360) From the Ambassador in Peru
Discussion of possibility of a trade agreement with the Foreign Minister, who at first thought it useless to proceed with exploratory conversations due to the sugar problem, but later agreed to consider matter.
928
May 18 (4559) From the Ambassador in Peru
Willingness of new Foreign Minister to have informal talk on trade arrangements following conclusion of British agreement; comments on the matter of sugar with reference to attitude of the President of W. R. Grace and Company.
929
June 9 (4592) From the Ambassador in Peru
Discussion of trade matters with the President, who thought exploratory conversations would be advantageous, and to whom later was sent further information on the trade matter; Foreign Minister’s readiness to undertake exploratory conversations.
(Footnote: Information that discussions were continued the following year.)
930
[Page XCII]

URUGUAY

Efforts To Secure Equitable Treatment for American Creditors in the Servicing of Uruguayan National and Municipal Debts

Date and number Subject Page
1936 Feb. 27 (14) From the Minister in Uruguay (tel.)
Finance Minister’s plan for adjustment of Uruguay’s national and municipal indebtedness, and his request for Foreign Bondholders Protective Council’s views as to whether the plan could serve as sufficient basis to warrant his return from the Geneva Labor Conference via New York for negotiations with the Council.
934
Mar. 6 (10) To the Minister in Uruguay (tel.)
Reply of the Foreign Bondholders Protective Council (text printed), including inquiry regarding two unclarified points.
935
Mar. 13 (16) From the Minister in Uruguay (tel.)
Finance Minister’s verbal clarification of points queried by the Foreign Bondholders Protective Council; opinion that without encouragement the Minister will not make the contemplated visit to New York.
935
Mar. 24 (11) To the Minister in Uruguay (tel.)
Council’s communication for the Finance Minister (text printed) requesting full details of proposed plan and urging a conference in New York; instructions to support Council’s suggestion that Finance Minister go to New York for conference.
936
Apr. 1 (210) From the Minister in Uruguay
Compliance with instructions in No. 11 of March 24.
(Footnote: Conclusion from brief conversation with President Terra, that the Finance Minister would not be available for a conference in New York.)
937
May 14 (74) To the Minister in Uruguay
Authorization to inform Uruguay that the Council suggests that some other official be sent to New York, or that some official in the United States be designated to confer with the Council.
938
June 4 (255) From the Minister in Uruguay
Attempt to persuade Uruguay to send a representative to New York for negotiations, with mention of West, President of the Bank of the Republic, as a possible choice.
938
June 11 (264) From the Minister in Uruguay
Information from the Acting Finance Minister that West would be unable to undertake assignment suggested.
939
July 21 From the President of the Foreign Bondholders Protective Council
Transmittal of copy of a cable to the Uruguayan Minister of Finance in attempt to clear up misunderstanding in respect to Uruguayan bonds in default.
940
Sept. 2 (314) From the Minister in Uruguay
Conversation with the Finance Minister, who said he would submit a brief outline of proposals for consideration when he visits New York in January.
941
[Page XCIII]

Representations Respecting Customs Discriminations Against American Importations Into Uruguay

Date and number Subject Page
1936 Jan. 9 (148) From the Minister in Uruguay
Comments on Foreign Office reply to U. S. representations respecting customs discriminations against American importations into Uruguay; transmittal of draft of a further note and request for authorization to present it.
942
Feb. 12 (54) To the Minister in Uruguay
Suggestions relative to content of draft note submitted with No. 148 of January 9; substitute draft note for the Foreign Minister (text printed).
943
Mar. 6 (190) From the Minister in Uruguay
Observations relative to the Department’s draft note, with suggestion that reference to treatment of Brazilian pine be omitted as coming within the category of privileges to limitrophe countries.
945
Apr. 18 (70) To the Minister in Uruguay
Reasons for Department’s opinion that protest should mention the matter of Brazilian pine, with comment on equality of treatment and its relationship to trade agreement program.
945
June 26 (269) From the Minister in Uruguay
Execution of Department’s instructions and receipt of Uruguayan reply (text printed), which fails to deal with matter of discrimination but indicates willingness to consider equality of treatment when a trade agreement is discussed.
947
July 10 (277) From the Minister in Uruguay
Note from Foreign Minister (text printed), quoting a report from the Bank of the Republic, which still fails to satisfy Legation’s complaint against customs discrimination.
948
July 31 (287) From the Minister in Uruguay
Note addressed to Foreign Minister (text printed) in attempt to discover basis on which Uruguay granted privileged treatment to French sardines and tuna.
949
Aug. 13 (297) From the Minister in Uruguay
Advice that Uruguayan firm is requesting an increase in duties on galvanized iron sheets; request for authorization to point out that such increase does not seem to accord with a resolution adopted at Montevideo in 1933.
951
Sept. 30 (93) To the Minister in Uruguay
Authorization for informal representations if it appears likely that request for increase will be favorably considered by the Government.
952
Oct. 9 (359) From the Chargé in Uruguay
Advice that request for increase in duty has been rejected, since special legislation would be required, but that a bill has been introduced in the Chamber of Deputies to make such action possible.
952
Nov. 5 (397) From the Minister in Uruguay
Review of steps leading to a decree granting the same benefits of customs treatment to American sardines and tuna fish as those granted to Spain by a trade agreement with Uruguay.
953
[Page XCIV]

VENEZUELA

Preliminary Discussions Respecting a Trade Agreement Between the United States and Venezuela

Date and number Subject Page
1936 May 7 (271) From the Minister in Venezuela
Foreign Minister’s indication of Venezuelan readiness to negotiate a trade agreement with the United States, and his reference to certain pending U. S. oil legislation which might affect oil royalties received by his Government.
955
June 9 (73) To the Minister in Venezuela
Instructions to inform Foreign Minister that Department is following closely course of oil legislation with, full realization of its bearing on U. S. trade with Venezuela; also to inform him that matter of a trade agreement is receiving careful consideration.
956
Dec. 3 (82) From the Chargé in Venezuela (tel.)
Foreign Minister’s continued interest in the negotiation of a trade agreement; request for instructions.
957
Dec. 5 (52) To the Chargé in Venezuela (tel.)
Promise of instructions in a few days; request for information relative to likelihood of obtaining substantial general concessions without some U, S. concession on petroleum.
958
Dec. 7 (83) From the Chargé in Venezuela (tel.)
Difficulty in estimating extent of possible concessions, but belief that Foreign Minister’s prime desire is to remedy lack of treaty relations between the United States and Venezuela.
958
Dec. 19 (54) To the Chargé in Venezuela (tel.)
Instructions to deliver note (text printed) pertaining to most-favored-nation treatment and to state orally that the United States is giving consideration to initiating trade agreement negotiations. Request for interpretative information on Franco-Venezuelan commercial treaty.
959
Dec. 22 (549) From the Chargé in Venezuela
Note presented to Foreign Minister (text printed); Foreign Minister’s explanation of his Government’s position, and his desire to speed the initiation of trade agreement negotiations.
960
Dec. 31 (57) To the Chargé in Venezuela (tel.)
Instructions to inform the Foreign Minister orally and informally of U. S. readiness to enter into preliminary trade agreement conversations as soon as Venezuela removes existing discrimination against American commerce.
963
[Page XCV]

Representations to the Government of Venezuela Regarding Increases in Its Customs Tariff

Date and number Subject Page
1936 June 18 (323) From the Minister in Venezuela
(323) Advice of inquiry at the Foreign Office in respect to protest of Venezuelan firm of Capriles Hermanos, local representatives of Chesterfield cigarettes, against bill in Congress providing for an increase in tariff on cigarettes.
963
June 26 (337) From the Minister in Venezuela
Foreign Minister’s assurances that law under consideration is designed to protect national industry and to combat smuggling, and is not directed against cigarettes of any particular country. Opinion that Venezuela is reserving matter of cigarette tariff as bargaining point in trade agreement negotiations.
965
Aug. 21 (424) From the Minister in Venezuela
Memorandum (text printed) of a conversation with the Foreign Minister relative to a measure for increase of import duties, particularly on automobiles, which, while not affirmably discriminatory, would fall heavily on U. S. products.
966
Aug. 22 (426) From the Minister in Venezuela
Advice of probability that tax on cigarettes will be set at 20 bolivars per kilogram as compared to 25 bolivars originally proposed.
969
Sept. 22 (44) To the Minister in Venezuela (tel.)
Instructions to present memorandum containing representations against imposition of higher duties and expressing the hope that legislation will be suspended until after the Inter-American Peace Conference; also to indicate orally that in trade agreement negotiations concessions are based on tariff rates in effect prior to negotiations.
969
Sept. 24 (66) From the Minister in Venezuela (tel.)
Presentation of memorandum, but advice that tariff bill has made such progress that it is doubtful whether legislation can be postponed until after Inter-American Peace Conference.
971
Sept. 25 (45) To the Minister in Venezuela (tel.)
Department’s hope that decisive increases on typical U. S. products will be omitted if legislation is passed; instructions regarding further representations.
971
Oct. 1 (67) From the Minister in Venezuela (tel.)
Expectation of Foreign Minister’s early reply to representations; approval by Chamber of Deputies of proposed high duties on passenger cars.
972
Oct. 2 (480) From the Minister in Venezuela
Report on conversation of October 1 with the Foreign Minister, who appeared to be genuinely concerned as to effects of legislation, and is endeavoring to meet U. S. views; belief that duties on passenger cars may be reduced.
972
Oct. 5 (46) To the Minister in Venezuela (tel.)
Instructions for forceful representations to officials, with exposition of U. S. trade policy and information that proposed tariff might preclude negotiations for a trade agreement and might lead Congress to increase duties on Venezuelan products.
974
Oct. 6 (68) From the Minister in Venezuela (tel.)
Representations to the Foreign Minister as instructed, but belief that various political aspects make results problematical.
976
Oct. 16 (490) From the Minister in Venezuela
Information relative to passage of tariff measure on October 13.
976