File No. 439.00/22

Minister Russell to the Secretary of State

No. 275

Sir: I have the honor to report that the Dominican Claims Commission of 1917 has registered, up to and including November 30, 4256 claims with a nominal value of $5,854,662. There are in addition about 700 claims presented that have not been registered. It is thought that the total number of claims will be greatly increased by December 31, the last date upon which claims may be presented.

The Commission has made every effort, through a daily notice in the local press and direct correspondence with all claimants listed with previous Commissions, to bring to the attention of everyone having accounts against the Government the fact of the existence of the Commission and the nature of the claims it is empowered to consider and adjudicate. The following American claimants listed in the report of the Johnston Commission (refer to Legation’s No. 71 of March 2, 1916),2 have not as yet been heard from by the present Commission:

Edwards, J. H $7,353.21
Johnson y Johnson 362.57
Parke Davis & Co 701.84
Dominican Trading Co 4,934.34
Moore and Company 8,265.80

The following claims, brought to the attention of the Commission under instructions from the Department, and through the medium of the Foreign Office, will be duly presented by me on December 31 for the purpose of reserving the right of the claimants to properly present their claims at a later date and in the manner and form prescribed by the Commission:

American Trading Company

Dominican Trading Company

J. L. Mann

A. G. MacDonald

In this connection I call to your attention General Rule No. 1 adopted by the Commission in regard to the presentation by foreign representatives of the claims of their nationals, copy and translation of which is herewith enclosed. I respectfully suggest that the Department notify the parties above-named of my intended action and advise them to immediately supplant this action in the proper way.

The Claims Commission has not actually arrived at a definite adjudication of any of the claims submitted to it, and it is thought that the nominal value of the claims now registered will be easily reduced [Page 729] to $2,000,000 in the final settlement. The work of the Commission is very exhaustive, and involves the examination of nearly all of the Government records. There is every evidence of fraud in the preparation of many accounts. This is especially true of salary claims for military service and supply claims during the term of office of ex-President Bordas, the evidence acquired pointing to collusion and culpability on the part of high Government officials.

The Claims Commission has already sentenced one witness for a jail term of two years for perjury, and a claimant has been found guilty of contempt and sentenced to a fine of $1000 and a jail term of one year. Both of these sentences have had an exceedingly good moral effect on the public, and in general the serious character of the personnel and work of the Commission, together with the rigid rules established for the substantiation of claims presented for its consideration have served in a large measure to deter the presentation of many fictitious accounts, but which would undoubtedly have been settled under the old régime in this Republic.

I have [etc.]

William H. Russell
[Inclosure]

General Rule No. 1

The representatives of foreign countries accredited before the Government of the Dominican Republic may appear before the Commission for the purpose of negotiating any matter, without the necessity of any power and by reason of their office:

(a)
When they appear for the purpose of carrying on any matter in which their Government may be interested.
(b)
When they negotiate any matter that interests particularly a subject of their nation, but in the latter instance the foreign representative shall appear in representation of said subject and demonstrate that on account of special circumstances, in respect to the sufficiency of which the Commission shall appreciate, it is not possible for him to present the power from his principal.

  1. Not printed.