840.48/2599: Telegram

The Special Representative ( House ) to the Secretary of State

189. For the President. Referring to my cable 188.12 I have been informed by Davis of the Treasury Department of certain of the financial aspects of this matter. Some of the French officials have expressed a willingness and desire that France should participate with the United States and England in financing the relief convention [contemplated]. I understand that the British Treasury has expressed a willingness to participate to the extent of the supplies and services furnished from the British Empire for this relief but nevertheless Davis thinks they would probably be willing to participate equally with France and the United States irrespective of the origin of relief furnished. In view of the fact that we will furnish the major portion of supplies for relief, I had thought it advisable for us to finance such purchases if necessary to the extent [Page 640]of purchases in the United States in order to maintain full directions over our resources so furnished, but if we can obtain this and at the same time a financial subvention from England and France as above indicated, it seems to me that we should do so and I should like to know what your views are in this, and Davis, who is representing our Treasury here in these matters, would like to know McAdoo’s views as approved by you for his guidance in operation with the British and French Treasuries. As to France, it is most probable that we would have to advance to them their share of the purchases made in the United States for relief purposes but that as a matter of pride and politics solely [they?] want to participate. It seems that any relief to Poland and Jugo-Slavia furnished by us would have to be financed from your funds. I am informed by Hoover that preliminary discussions with French food officials indicate their support of plan outlined in my 188, but that discussions with British authorities indicate possible opposition owing to their desire to effectually dominate by stipulating that all operations shall be carried out through Inter-Allied Food and Maritime Councils which are under effective English control. Discussion between Davis, Hoover and British Treasury officials, however, indicates their full approval of our plan.

Edward House
  1. Supra.