File No. 763.72/7097

The Minister in Uruguay ( Jeffery ) to the Secretary of State

[Telegram]

Uruguayan Minister for Foreign Affairs has to-day authorized me to say that—

In view of the attitude of the Allied Governments of Europe in refusing to treat Uruguay with the consideration to which she is entitled, we are obliged to maintain our neutrality; in which case we shall be present at the congress of American neutrals which President Irigoyen is about to call together. At that congress Uruguay will explain the reason that she has for remaining neutral and will set forth the following proposition:

That all the neutral countries of America declare that they will not break their relations with Germany as long as the Allies do not assure them that they will not consider any claim of their subjects or companies against American countries except in those cases in which justice may have been denied to them.

The Minister for Foreign Affairs must answer a summons from the Uruguayan House of Representatives at which time he will favor the rupture with Germany if the Allies will consider the well-known claims of Uruguay, otherwise he will favor neutrality. This position will be approved by great majority of Congress.

British Minister does not assure Government that England will agree to treaty, although he promised that assurance would be given Government yesterday. Uruguayan Minister at Rome reported yesterday that Italian Government could not agree to proposed treaty. In the meantime enemy activities here are more pronounced. Unless energetic steps are taken to secure favorable action on part of Allied Governments to Uruguayan proposal, this Government will join conference of neutrals called by Argentine President. Awaiting instructions.

Jeffery