File No. 839.51/913.
The Secretary of State to the American Minister.
Washington , December 18, 1912 .
Inform the President that this Government approves in principle the making of a loan by the Dominican Government to meet its present financial needs and hereby authorizes preliminary advances on this loan to be made to the present Government by the bankers of not to exceed $300,000. Sums so furnished must be at par, interest not to exceed 7% per annum from date of advances; and, provided they be disbursed under the control and supervision of the Legation and the Receivership, this advance to form part of the total of the proposed loan. Before, however, finally approving the loan contract this Government must know more of its terms, such as the price at which the loan is to be taken. Inform Department as accurately as possible as to the amount necessary to discharge the total recent indebtedness of the Republic and in detail the purposes to which it is to be applied. This Government could not approve the advance or loan of moneys to a Government that had not been recognized by the United States.