882.51/1149

Memorandum by the Third Assistant Secretary of State (Merle-Smith)

Conference with the French Chargé d’Affaires, Prince de Beam

I took up with the French Chargé the situation of Liberia, explaining to him the situation as regards the financial plan. I told him that both the British and French private citizens were carrying on strong propaganda against the American loan; that the original commitments had been made with the concurrence of Great Britain and France, and I did not believe that the French Government was in [Page 79] position to finance Liberia herself; that the intrigues of private French citizens were making it much more difficult for the United States Government to carry out its purposes; that the United States Government assured both French and British Governments that they would not permit, as far as it could do so under its financial agreement, commercial priorities to American citizens; that the Government would stand for the Open Door and that I believed it would be more advantageous for British and French commercial interests under such a plan and financial supervision by the United States than under the present existing conditions. I requested that he ask his Government to take steps to curb the activities of French nationals in Liberia which have been complained of and also if the Government was willing, that they would indicate to the Liberian Government that they favored the acceptance of the American plan. He told me he felt sure that the French Government would immediately act as we requested. Personally I have some doubt as to whether the French will be very willing to take such action. I explained to him also the necessity of haste.

Van S[antvoord] M[erle]-S[mith]