File No. 763.72/218
Senator
Gore
to the Secretary of State
Washington
October 24, 1914.
My dear Mr. Secretary:
I beg to hand you herewith a telegram which I have received from the
Harris Irby Cotton Company of Oklahoma
City, Oklahoma, which will explain itself.
Most respectfully,
[Page 288]
[Enclosure—Telegram]
The
Harris
Irby Cotton Company to Senator
Gore
Oklahoma City, Oklahoma
,
October 23,
1914.
European buyers of cotton in neutral countries will only pay for
same when draft with bill [of] lading is accompanied by full war
risk insurance policy. British Admiralty has ordered English
underwriters to issue no war insurance on cotton to neutral
countries unless the owner warrants same free of capture,
seizure and detention by allies. This has not only resulted in
American companies having absolute monopoly on all war insurance
to neutral countries, but in consequence of their close
affiliation with the English companies, all American companies
have to-day announced that they will follow precedent English
underwriters and refuse to insure without warranty clause unless
the British Admiralty officially declare their attitude
regarding seizure, capture and detention of non-contraband
cargoes destined neutral. This condition means that all commerce
to neutral countries will absolutely cease, not only denying
America the outlet for her cotton to neutral countries but works
a ruinous condition on American cotton shippers who have already
entered into engagements for shipments of cotton to neutral
countries. These cotton firms have already bought and paid for
large quantities of cotton against these engagements and now are
in position where they cannot make their shipments and get their
money for same from their buyers; this means an immediately,
unspeakably serious condition in consequence of engagements
already made and forms an absolute estoppel to all further
commerce with neutral countries. The United States War Risk
Insurance Bureau was created for the purpose of obviating this
condition but unfortunately this bureau [is] restricting its
policy on American bottoms and American bottoms are practically
unobtainable. The only possible relief now lies with you and
other Southern Senators through Congress. This condition calls
for instant relief as the situation is serious beyond measure.
We earnestly urge that you at once introduce measure with
emergency clause authorizing Government War Risk Bureau write
insurance on shipments of non-contraband cargo such as cotton
from America to neutral countries. This is absolutely the only
relief in sight and must come quick otherwise immeasurable
injustice and loss will immediately follow.
Harris
Irby Cotton Company