File No. 862.85/630
The Ambassador in Argentina ( Stimson) to the Secretary of State
[Received 4.10 p.m.]
Your November 9, 7 p.m. The Minister for Foreign Affairs was in the country Sunday, also yesterday, which was a close holiday here, but I saw him at his house early this morning and conveyed the Department’s instructions; I also advised the British Minister of my actions.
The Minister for Foreign Affairs in conversation supported the transfer and proposed voyage of the Bahia Blanca on the ground that article 56 of the Declaration of London expressly permits the transfer of enemy ships to a neutral during hostilities, “when absolute and without attempt at deceit”; but he almost shifted his argument to the point that the “Argentine Government “had bought the Bahia Blanca as it was prepared to buy other ships, after receipt of a telegram from Naón that the United States Government approved of their purchase of any German vessels and will even furnish the money therefor. He also referred to my memorandum of March 27 based upon the Department’s telegram of March 25, 5 p.m.,1 as indicating that the Argentine Government was justified in assuming that the Government of the United States would not object to the transfer at least under the conditions therein stated.
I, of course, refused to be drawn into any discussion of the legal principles involved, merely limiting myself to the statement that I was to support the British Minister in the action he was taking as to the present intended voyage. The Minister for Foreign Affairs reiterated very emphatically that Naón had been informed by someone in the State Department speaking authoritatively, that our Government was more than willing to have Argentine acquire the German vessels by voluntary purchase, and offered even to show me Naón’s telegram to that effect and asserted definitely in answer to my inquiry that the telegram was received before the purchase of the Bahia Blanca and the Argentine Government had acted in consequence thereof.