860c.516/7: Telegram

The Minister in Poland (Gibson) to the Acting Secretary of State

152. My number 148 of March 18, 6 p.m. Doctor Van Norman has today seen Ministers of Commerce and Finance and acquainted them with contents of Dept. of Commerce telegram. They apparently do not take the question seriously. Grabski explains that the Diet is soon to adopt a law under which American banks will probably not be allowed to establish branches here but that they might be permitted to effect payment of remittances from America. He added that in the meantime they will be permitted to make their remittances as heretofore through the Polish State Bank and the post office both of which are notoriously unsatisfying and have made no effort to effect payments. Thousands of remittances remain unpaid for periods of six to eight months. If the Polish Government is to persist in its present policy of invoking all possible technicalities [Page 411] against American enterprise, some such action as that contemplated by the American Bankers Association would seem to be inevitable. It might be helpful if announcement were to be made of the possibility of such action and press despatches to that effect sent to Poland. I am convinced that the general public has no knowledge of the present policy of the Government and would exert pressure to prevent stoppage of remittances.