File No. 838.77/156

The Secretary of State to Minister Blanchard

[Telegram—Extract]

Your January 11, 11 a.m. Department understands that French bondholders are about to commence foreclosure proceedings and can only be prevented by the statement that the railway question will be immediately taken up and decided. Railroad officials believe that if Ruan is authorized to deal directly with representatives of the railroad they may prevail upon the French bondholders to defer foreclosure. In view of the fact that the Haitian Government stated that Ménos was authorized to settle the question for it in conference with representatives of the railroad, the Department feels that there is no necessity for umpire and desires appointment of Ruan with full powers to settle this question as outlined in Department’s January 2, 5 p.m. * * *

Lansing