File No. 891.00/596.

The American Minister to the Secretary of State.


Renewal of effort by Russian minister to prevent Shuster controlling expenditures of customs receipts and have Belgian director of customs pay Russian loan coupons and other fixed charges without Shuster’s authorization as required by recent Persian law. No question except as to which of them shall direct bank custodian of customs to pay, as Shuster, in writing, long since affirmed his intention to do so. Russian minister and now other legations, including German Legation, claim contracts call for payment by customs administration.

To-day minister for foreign affairs complained to Berlin claiming Shuster is paying officer of customs administration. German minister and Italian chargé d’affaires are partly influenced by Shuster’s omission to call upon anyone. Russian minister seeking, I have reason to believe, to prevent Shuster’s success. Russian minister of finance, Russian bank, British bank and, after a struggle, Belgian customs director, had acquiesced in Shuster’s views vigorously asserted.