File No. 882.51/837
The Chargé in Liberia ( Bundy) to the Secretary of State
Department’s September 17, 4 p.m.1 Liberian Government has furnished Legation itemized statement of the public debt as follows:
| Refunding loan of 1912, principal and arrears of interests | $1,608,000 |
| Registered internal floating indebtedness | 267,661 |
| [Note] Of this item German merchants formerly in Liberia hold claims amounting to $64,224. | |
| Arrears of salary due officials of Government proper | 12,487 |
| Arrears of salary due officials of customs service | 21,810 |
| Balance due on revenue cutter | 9,762 |
| Arrears of pay due soldiers of Liberian frontier force | 79,238 |
| Obligations of receivership on account of Liberian frontier force, outstanding bills, and for other miscellaneous bills | 2,035 |
| Due mining company for loan made of | 8,000 |
| Balance due on Woermann head money contract | 4,083 |
| [Note] This item is a German claim. | |
| Unpaid awards to German merchants for damages sustained during native uprising | 5,601 |
| Due estate of James G. B. Lee | 1,720 |
| Due on account sundry departmental bills | 3,092 |
| Indebtedness to Bank of British West Africa | 94,064 |
| Indebtedness of Post Office Department on account money orders and sea transit fees | 15,969 |
Total of above items makes the public debt equal $2,133,552, all of which excepting German claims Liberian Government wants to pay from loan. Adjustment German claims must await termination of war.
[Page 543]In applying loan and effecting necessary reorganization in Governmental administration, Liberia, assuming that present receivership will go out of existence, desires the Government of the United States to designate for appointment by the President of Liberia the following American officials; all salaries and allowances mentioned are per annum. First, financial adviser, salary $5,000, to be associated with Secretary of the Treasury in centralized control of collection and disbursement of all Government moneys including postal revenues and the manufacture of postage stamps. Second, Government auditor as previously requested, salary $4,000. Third, Controller of Customs, salary $3,500, and two deputy controllers, salary $3,000 each. It is desired that these three officials establish new customs regime and that their functions shall be solely collection of customs revenue and management of customs service. Fourth, Commissioner General, salary $3,500, and traveling allowance yearly, $1,000. Four commissioners, salary $2,500 each, and traveling allowance yearly, $500 each. Fifth, two officers with rank captain for Liberian frontier force, salary $1,600 each, and allowance quarters, $300 each.
To preserve order and establish effective interior administration Liberian Government thinks it necessary to increase frontier force to 1,000 men. Cost of maintaining force at this number for first year estimated at $150,000, but increase of revenue from orderly administered interior expected materially reduce this cost in succeeding years.
It is estimated that $130,000 per annum will be needed while war lasts to supplement current revenues to enable Government to pay its annual budget approved by Financial Adviser. This would be necessary to prevent creation of another floating debt.
After providing for foregoing, Government desires to use residue of loan as follows: (a) Amount the United States Government may require to cover interest petty loan until interest can be carried by current revenues; (b) roads and bridges; (c) telegraphs and telephones; (d) improvement of a harbor at Monrovia with a view to making port a coaling cargo station with modern appliances for handling cargo; (e) organization public school system; (f) agriculture; (g) customhouse at Monrovia.
Expenditures for all items in above paragraph to be under control of the Secretary of the Treasury, Financial Adviser, and upon the advice and estimates of such American experts as the Government may require.
Liberian Government states desire to pay whole of its indebtedness to British bank from loan.
- Not printed.↩