File No. 731.51/32.

The Secretary of State to the American Minister to Venezuela.

No. 14.]

Sir: With reference to your telegram of June 3, regarding the relations between France and Venezuela, the Department encloses [Page 530] therewith for information of copy and translation of memorandum from the French Embassy left at the Department on March 6, 1912.

The Department was informed by the Secretary of the French Embassy, on June 28th, that the attitude of the French Government continues as described in the enclosed memorandum.

I am [etc.]

P. C. Knox.
[Inclosure—Translation.]

File No. 731.51/33.

Memorandum from the French Embassy.

The Government of the French Republic, having learned that the Secretary of State, in the course of the trip which he is at present making, would pay a visit to Caracas where he would be the guest of President Gomez, would be pleased if on this occasion the Department of State would kindly transmit to his excellency the Hon. P. C. Knox its sincere appreciation of the good offices of the representatives of the United States at Venezuela who, since the rupture of the diplomatic relations between that country and France, have undertaken the protection of French interests.

As the Venezuelan Government is the first interested in the resumption of the said relations it is very probable that Mr. Knox will be asked to lend His friendly assistance with a view to a solution of this question. In this event it might be of service that the Honorable Secretary of State, who already is acquainted with the conditions to which the French Government subordinates the resumption of these relations, should find on his arrival at Caracas a memorandum which would recall them to his mind.

Thus, as the Department of State knows, the Government of the Republic is entirely disposed to resume normal relations with Venezuela provided that the Government of that country consent, as it has been requested, to submit to an effective arbitration those of the French claims which could not be amicably settled within a reasonable period after the resumption of diplomatic relations.

As to the different projects which appear to have been formed by financiers for the organization of a Venezuelan National Bank or the exploitation of certain monopolies, the resumption of diplomatic relations between France and Venezuela can in no manner be bound save to the particular interests which depend on them. In Venezuela as in the other South American Republics it is moreover with capital of the United States that French capital would above all collaborate in the enterprises to be undertaken if the normal relations were reestablished to the satisfaction of the Government of the Republic.