839.51/5438: Telegram
The Ambassador in the Dominican Republic (Warren) to the Secretary of State
[Received 8:33 p.m.]
77. Under instructions from the President26 the Foreign Minister27 handed me a note28 this morning stating the Dominican Government is contemplating the possibility of redeeming after January 1, 1945 all the bonds of the external debt of 1922 and 1926,29 payment of which is pending. It states that the redemption will be effected in conformity with the loan contracts modified by the convention between the Dominican Republic and the Foreign Bondholders Protective Council;30 and as provided for in the second paragraph of article 9 of the Washington Agreement of September 24, 1940.31 This step will terminate automatically the existing obligations between American and Dominican Governments with regard to service of the external debt. The note states the appreciation of Dominican Government for assistance given and confidence shown by American Government in Dominican Republic financial position and states that the Embassy will be informed, as they are adopted, of measures which the Dominican Republic will take with a view to terminating the foreign debt. A copy in translation of the note will be forwarded by air mail.
- Rafael L. Trujillo Molina, President of the Dominican Republic.↩
- M. Peña Battle.↩
- Note 3356, February 7; copy transmitted to the Department in despatch 1551, February 9, 1944, from Ciudad Trujillo, not printed.↩
- For correspondence concerning the issuance of bonds to the amount of $10,000,000 in 1922 and the same amount in 1926, see Foreign Relations, 1922, vol. ii, pp. 78 ff., and ibid., 1926, vol. ii, pp. 40 ff. Details of the loan contracts are included.↩
- For correspondence on this agreement, reached in August 1934, see ibid., 1934, vol. v, pp. 189 ff.↩
- For correspondence concerning this Convention, see ibid., 1940, vol. v, pp. 792 ff.; for text, together with accompanying exchange of notes, see Department of State Treaty Series No. 965, or 55 Stat. (pt. 2) 1104.↩