811.73/454

The Secretary of the Navy (Daniels) to the Acting Secretary of State

Sir: I have the honor to refer to your letter (So 811.73/452), dated December 11, 1920, enclosing for my consideration a copy of a letter dated December 8, 1920, from the attorneys of the Cuban American Telephone and Telegraph Company.

It is noted that the cable ship Stephan which it is intended shall lay the telephone cable for the Cuban American Telephone and Telegraph Company will also have on board 205 nautical miles of cable for the Western Union Telegraph Company, and that this matter is brought to my attention in order that this Department may take appropriate steps to prevent the Stephan from laying the 205 nautical miles of cable belonging to the Western Union Telegraph Company within the territorial waters of the United States, for the purpose of connecting with its cable from Barbados.

In this connection I would respectfully recommend to the State Department that the fact that the cable steamer Stephan is carrying 205 nautical miles of cable for the Western Union Telegraph Company, be reported to the British Government, and that recommendation be made that the British Government direct the Master of the cable steamer Stephan not to lay this cable in the United States or connect it up without the express permission of the United States Government. This is suggested to the State Department as a step to be taken, pending further consideration of this matter.

Sincerely yours,

Josephus Daniels