File No. 763.72112/10728

The Chargé in Great Britain ( Laughlin) to the Secretary of State

[Telegram]

3618. War Trade Board [from Frothingham]:

No. 1846. Bureau of Enemy Trade. Your 1538, Department’s 2550, October 31, 7 p.m. British have now arranged deliver to French and Italian delegates on inter-Ally review committee copies of all confidential list permissions as issued by Foreign Office for current period of three weeks. If after examination of permissions for this period Allied delegates are unable to accept British viewpoint of licensing conference, Foreign Office assures me will yield to majority opinion in light of the British administrative and censorship arguments for maintaining such classes of permissions as exceptions. Please telegraph me decision you have reached after examining copies of British permissions enclosed in my letters 11030, September 4, and 11184, September 20, to Fuller, 11247, September 27, 11324, October 4, etc., to hand subject trading with firms on confidential black list.1 While I sympathize with British reasons for asking that exceptions be made of these classes, I have argued throughout that Allied conference principle is of first importance and I have insisted that it would be better to subject all permissions to inter-Allied conference until such time as it was definitely established that such action was not practicable. In cases British wished to except, physical difficulties of such conference control have been overestimated. If necessary, inter-Allied conference can arrange to meet three or more times per week to discuss licensing questions. Your verdict as to weight of British arguments for these exceptions after review of the various permissions you have already received should definitely settle the matter, and I await your instructions.

In order to speed up action here, may I suggest that instead of refusing import licenses for transactions involving shipments from northern neutral firms on confidential black list, you either grant import facilities forthwith according to merits of case or telegraph such items to me for immediate decision by inter-Allied conference here. Frothingham.

Laughlin
  1. Not printed.