File No. 814.51/199.
The Secretary of State to the British Ambassador.
Washington , January 6, 1913 .
My Dear Mr. Ambassador: I have the honor to acknowledge the receipt of your excellency’s note of December 30, 1912,2 communicating, in reply to this Department’s memorandum of December 3, 1912,3 on the subject of the Guatemalan debt, the desire of the British Government to have the question arbitrated or the coffee revenues restored.
I enclose herewith a copy of the Unified Loan Agreement4 negotiated between reputable American bankers and the Government of Guatemala. I also enclose extracts from a letter5 addressed to Mr. Cooper on December 26, 1912, by Mr. Frederick Strauss of J. and W. Seligman and Company. I hope that you will see fit to telegraph to the Foreign Office a brief outline of the salient and favorable features of the agreement recommending the earnest consideration of the proposal and that as Mr. Cooper already has a copy of it the Foreign Office should consult him and study his copy in order to avoid unfortunate delay.
I would also be pleased if your excellency would strongly urge the adoption of this plan, pointing out the deep concern of this Government in the carrying out by this means of its broad policy with regard to Central America where its interests are necessarily of predominant importance.
I have been surprised at the lack of any information in your note tending to show that the Foreign Office has given any consideration to the proposal outlined in the Department’s memorandum of December 3d. Pending additional indications as to the ultimate decision of Great Britain with regard to this Unified Loan Agreement, which will also be submitted to the Foreign Office by the American Embassy in London, I have decided for the present to refrain from replying further to your excellency’s note of December 30th. I may add, however, that it will cause me considerable surprise if the British Government, after receiving a copy of this loan agreement, should fail to give it the favorable consideration which I believe it merits.
I am [etc.]