File No. 882.51/646.

Minister Buckner to the Secretary of State.

No. 91.]

Sir: For the information of the Department I have the honor to transmit herewith a copy of a letter from Mr. Reed Paige Clark, General Receiver, concerning a loan to the Liberian Government by the Excelsior Mining Co.

I have [etc.]

Geo. W. Buckner.

The General Receiver to Minister Buckner.

Sir: For the information of the Department of State, I would say that some time ago the Excelsior Mining Co. Ltd., a Liberian company financed by British capital, of which Chief Justice Dossen appears to be the Liberian attorney, deposited with the Liberian Government as an evidence of good faith some $8,000 in coin. I am informed unofficially that this sum has been borrowed by the Liberian Government for the purpose of paying certain Government officials. I have in fact personally seen a letter from His Excellency the President in which the President states that this loan has been made. I am further informed that Mr. Justice Dossen gave oral consent to the loan, there being no [Page 638] written document to show that the capitalists behind the Excelsior Mining Co. assent to the expenditure of their deposit. The deposit, as I have said, was made as an evidence of good faith, to be returned to the company if work is commenced on their concession within the time limit set. It is to [be] forfeited to the Liberian Government, I am told, only in the event that the company fail to commence operations within the time limit, three years after the conclusion of the European war.

The Financial Adviser was at no time advised of the Government’s intention to make this loan from the Excelsior Mining Co., and has had no opportunity to protest against what appears to be (apart from other considerations) a wholly unauthorized charge against future revenue.

Your [etc.]

Reed Paige Clark.