File No. 882.51/754

Minister Curtis to the Secretary of State

No. 121

Sir: I have the honor to transmit herewith enclosed the views of the Receiver General of Customs anent the advisability of putting on the market the bonds, in the sum of approximately $142,000.00, held as reserve by the fiscal agents of the Liberian Government, against certain claims existent against Liberia at the time of the consummation of the loan and since that time satisfied and discharged.

In conversation with the President and also with the Secretary of State I have been given to understand that the views of the Liberian Government are in accord with those entertained and expressed by the Receiver General, although I have not received the Government’s views in official form.

I have [etc.]

James L. Curtis
[Page 893]

The Receiver General of Customs to Minister Curtis

Sir: In reply to your letter of July 20, in re $142,000 in bonds reserved against unadjusted indebtedness.

I have had several letters from the National City Bank on the subject of this cablegram and it was practically decided to allow the matter to remain in statu quo until after the war when the bonds could be more easily marketed and with little or no loss in discount.

In view of the probable heavy loss by discount if the sale of these bonds is effected during the continuance of the war, I agree with the Bank that their sale be postponed until a more propitious opportunity presents itself.

Almost from the time of my arrival here I have urged the sale of these bonds so that the proceeds might tee available for the purposes and by the methods contemplated in the Loan Agreement. In view of the entrance of the United States into the war and the increased cost of materials and implements for public improvements, the latter will have to be delayed and become a part of the larger plan for public improvement and the building of works of public necessity and utility. If the Bank had cabled its inability or lack of facilities for marketing these bonds on receipt of the original request in due form, some arrangements might have been made; now it is too late.

I have been delayed in replying to your letter from the fact that I was told informally that the Liberian Government had received a similar letter from you and that they would call on me for such comment as would enable a reply to be made to you. To date no formal request has been made and I therefore make reply to you direct.

Very truly yours,

H. F. worley