File No. 838.51/511

Admiral Caperton to the Secretary of the Navy


Balance in my account February 29th 850,000 dollars. Collections in February were 300,000 dollars and transfers for disbursements were 180,000 dollars. It is believed that revenues will not fall appreciably during next six months as coffee shipments will continue to some extent during summer and heavy shipments of logwood are now waiting transportation. Information requested from Department of Commerce as to probability of logwood market holding at present high prices with special reference to possibility of aniline dye industry interfering. Exchange between gourdes and gold now five to one and effort will be made to hold it there. This can be done if present uncertain conditions can be remedied. Extremely important that immediate steps be taken to settle all valid claims against Haitian Government and thus restore feeling of confidence. It is earnestly hoped that bonded indebtedness will be consolidated and that all special liens on various custom revenues will be abolished, otherwise it will be impossible to properly revise tariff. If this be clone prorating of available balance as contemplated would be unnecessary, as all just claims should be paid regardless of particular affectations involved. If possible recommend immediate short term loan of five hundred thousand dollars to be expended by American occupancy in settling Haitian debts, to be used in addition to balance of custom receipts available for that purpose. A commission should be appointed as soon as possible to pass on all claims. This loan should later be included in consolidated debt and any balance should be available for public works.

Delay in appointment of Financial Adviser and General Receiver is having bad effect, as no permanent steps can be taken pending their arrival. 21413.

W. B. Caperton