File No. 8.32.61303/105.

The American Ambassador to the Secretary of State.

[Telegram—Paraphrase.]

I am requested by the Minister for Foreign Affairs of Brazil to inform you that the Governor of the State of São Paulo has assured him that at its annual meeting next January the valorization committee will vote to dispose of the entire stock of valorized coffee in New York. The Minister for Foreign Affairs is anxious to learn whether in view of this assurance given him by the Governor of the State of São Paulo it will be possible to defer the proposed suit against the international coffee syndicate until the cause for action shall have disappeared. The Minister for Foreign Affairs also expressed [Page 59] the hope that the proposed liquidation may cheek any Federal legislation against valorized coffee that may be contemplated. He stated emphatically that the Brazilian Government does not wish; the action of a sovereign State of the Republic of Brazil which has been endorsed by a Federal law to be reviewed by a foreign legislative body or court, and is anxious that further newspaper controversy regarding valorized coffee should, if possible, be avoided.

Morgan.