File No. 810.51/517
The Secretary of the Treasury to the Secretary of State
Washington, February 18, 1916.
My Dear Mr. Secretary: With reference to your letter1 of the twenty-first of January, in which you discuss the necessity for fully informing the State Department of the work carried out under the recommendation of the Pan American Financial Conference, I am happy to set forth briefly at this time the chief points in connection with this work that will be of interest to the Department of State.
As you are aware, the International High Commission is the result of the First Pan American Financial Conference. That conference clearly realized that some sort of permanent standing committee would have to be chosen for the purpose of preparing the work of future conferences, as well as for the more important purpose [Page 19] of making effective its own specific recommendations. One may sum up these recommendations by saying that the Financial Conference urged the adoption of a program of sustained and persistent public action looking to the removal of positive or negative obstacles to the promotion of closer financial and commercial relations between the American Republics. The conference found that the obstacles to the strengthening and expansion of inter-American trade relations consisted now in the conflict of various systems of administrative law or fiscal regulations; now in fundamental disagreements between distinct juristic theories and traditions; again in the friction between the technical rules providing for the adjustment of differences in questions so highly specialized as those of literary property, patents of invention and trademarks; or, finally, in the fundamental negative obstacle or an absence of real cooperation between the financial communities of the several republics. These obstacles, the conference thought, should be subjected to searching study by groups of financial, legal and technical experts, organized on an international basis and working in close cooperation, both by correspondence and in conference assembled. The Financial Conference, therefore, solemnly recommended the creation of an international commission consisting of national sections, each of nine members, and each presided over by the Minister of Finance or Secretary of the Treasury. This commission was to devote itself to the study of those problems and to evolve practical methods of resolving them. The consensus of opinion as to what in each case would best serve common interests would finally be formulated into concrete measures of substantial harmony and unity of purpose, such measures respectfully to be submitted to the consideration of the legislative bodies of the participating republics.
All the governments that were represented at the First Financial Conference have named their representatives. It is true that not all of them have named sections of nine men; Colombia will be represented apparently only by one, and Honduras only by three commissioners; and in a few cases the Ministers of Finance will not serve as Chairmen. I am happy to enclose a list of members of the various sections, as known to us at this time.2
The various sections have begun their work and are exchanging preliminary views upon the topics proposed for their consideration by the Financial Conference. Some of the sections have added new topics to the original list submitted by the conference, and among these should be numbered the United States Section, which has recommended the study of the following topics:
- 1.
- Necessity of better transportation facilities between the American Republics, and means of securing them.
- 2.
- Improved banking facilities; extension of credits; financing of enterprises, public and private.
- 3.
- Stabilizing of international exchange.
- 4.
- Arbitration of commercial disputes.
- 5.
- Negotiable instruments; bills of lading; warehouse receipts.
- 6.
- Uniformity of customs regulations and classification of merchandise.
- 7.
- Postage rates; parcel post and money order facilities.
- 8.
- Cable rates; wireless telegraphy.
- 9.
- Commercial travelers and their samples.
- 10.
- Patents, trademarks, and copyrights.
Several special reports and memoranda have been prepared upon these topics, and others are in process of preparation. Enclosed will be found a full set of those reports so far printed.2 The views of the United States Section upon these topics have been incorporated in a brief memorandum, a copy of the Spanish version of which is enclosed herewith.
While to a large extent the preliminary work of preparing for the April meeting of the commission has been carried out by the staff of the United States Section of the commission, under my direction, it was understood from the first that the responsibility for the organization of the conference rested with the Argentine authorities. Recently it has been made perfectly clear by correspondence between the Argentine Government and this Department, through the usual diplomatic channels, that we would most heartily cooperate in facilitating the work of the Argentine Section of the commission in preparing the program, thus insuring a successful meeting. Such memoranda and relevant correspondence as we have received from the various Latin American Sections of the commission we are hastening to put at the disposal of the Argentine Section of the commission, in order that it may be fully informed of all that has taken place up to this time.
The United States Section will depart for Buenos Aires on March 8, making very brief stops at Rio de Janeiro and Montevideo; after its attendance at the sessions of the conference it will return to this country by the west coast. In order that the members of the section might enjoy a status no less definite than that which had been given to the other sections of the commission by their respective governments, the Congress thought it desirable to approve and confirm their appointment by the Secretary of the Treasury and to provide means adequate to enable them to carry on their work. The necessary authority and appropriation were provided for in an act approved February 7.
It will be a gratifying addition to the resources of the United States members of the commission to be able to count upon the heartiest assistance of the United States diplomatic and consular representatives in the republics through which they may have occasion to pass; and I know that you will be happy to instruct these representatives accordingly.
From this time on I shall request you, as occasion arises, to be good enough to communicate to the representatives of the governments participating in this work various announcements of a general character, in order that these diplomatic representatives may be fully informed of what has been done, or of what is contemplated. It will be perhaps of some general advantage to them to receive from you a brief memorandum embodying the points contained in the present communication.
In all these matters, my dear Mr. Secretary, I know that the members of the United States Section of the commission and I will [Page 21] continue to enjoy the hearty support and cooperation of yourself and of the Department of State; and I am confident that this will be of the most substantial assistance in the furtherance of our work.
Very faithfully yours,