File No. 855.48/695
The Delegate to the Inter-Allied Council ( Crosby) to the Secretary of State
[Received January 11, 2.30 p.m.]
For Secretary of Treasury:
No. 40. Referring your No. 49. Belgian Relief situation made subject of special agreement signed by Bonar Law and Klotz in Paris during meetings of Council. French Treasury was willing to accept its proportion of whole of increase asked for, British Treasury desired further investigation because Belgian Relief requirements have been more than doubled in last two months as compared with earlier record. Absolute engagement for £1,500,000 per month is made by two Governments with understanding that if applications made by Relief in London show need for larger amounts the Governments will endeavor to obtain them. There has been some difficulty also on the part of Great Britain in finding necessary amounts of florins covering large sums spent there. Dutch exchange now very unfavorable to Great Britain. Belgian Relief and Belgian Government officials have been much disturbed, but have advised them to work under existing agreement which does not positively preclude obtainment of whole of sum asked for of British and French Governments. In the meantime Great Britain is endeavoring to obtain loans in Holland to cover this and other demands for florins. We have done all that we undertook to do and are no longer involved in matter save through general interest in [Page 472] situation. While present difficulties being surmounted, it might be desirable to permit small amounts urgent freight accounts to be paid from our funds, if this is not followed by increased total from us.
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