Papers Relating to the Foreign Relations of the United States, With the Address of the President to Congress December 8, 1914

File No. 819.77/212.

The Secretary of State to the Minister of Panama.

Department of State,
Washington , November 7, 1914 .

Dear Mr. Minister: I have examined the indenture dated November 2, 1914, proposed to be entered into between the Panama Government and the Farmers’ Loan and Trust Company and William Nelson Cromwell, trustees, arranging for the issue of a series of five per cent sinking fund, thirty year, gold bonds of the Republic of Panama, for an aggregate amount of $3,000,000, of which $750,000 only are now to be issued, the interest and sinking fund of which is to be met out of the annual treaty payments due to the Government of Panama by the Government of the United States under the Canal Convention; and as the proposed arrangement does not appear to contravene any treaty, convention or arrangement between the Governments of Panama and the United States, I see no occasion for any objection on the part of the Government of the United States and I, consequently, have the honor to inform you of the Department’s acquiescence in the arrangements.

In this relation, I desire to direct attention to the Department’s note to you of June 29, 1914, relating to this same matter, which note I desire now to renew, so far as it may be applicable to the present arrangement, and to inform your Government that any right which might hereafter arise or accrue to the Government of the United States to retain or decline payment of the treaty payments, or any part thereof, is reserved to this Government.

Accept [etc.]

W. J. Bryan

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