882.602/27
The Secretary of State to the Minister in Liberia (Johnson)
Sir: The receipt is acknowledged of Mr. Bundy’s despatch No. 226, of July 2, 1918,39 with enclosures relative to the granting of concessions in Liberia, in which quite unusual practices by the Liberian Government are pointed out in general, and specifically the refusal of the Liberian Government to refer to the Financial Adviser, as required by the act of the Liberian Legislature approved August 7, 1917, a certain application of the Mountain Mining Company for an amendatory concession.
The Financial Adviser to Liberia having been designated by the President of the United States on the request of the Government of Liberia and in accordance with a loan contract between American financiers and the Liberian Government for the purpose of aiding in the rehabilitation of the finances of Liberia, this Government is deeply interested in matters concerning the functions of the Financial Adviser.
You may intimate to the Liberian Government, that, because of this Government’s interest in the matter and of the relation of concessions to the financial resources and assets of the country and their bearing on financial and economic rehabilitation, this Government would view with serious concern the refusal of the Liberian authorities to receive the cooperation and advice of the Financial Adviser [Page 111] and their refusal to refer to him applications for concessions for investigation and favorable report in accordance with the requirements of the law of August 7, 1917.
You may further say to the Liberian Government that it was the view of this Government in participating in the draft reform program provisions relating to concessions and that it is the interpretation of this Government of the Act of the Liberian legislature of August 7, 1907 [1917], enacted under that reform program, that all applications for concessions or amendments thereof should be promptly referred to the Financial Adviser of Liberia and that no action should be taken thereon until the favorable report of the Financial Adviser had been received.
You are advised confidentially that the subject matter of this instruction has been informally discussed with President-elect C. D. B. King upon the occasion of his recent visit to Washington.
I am [etc.]
- Not printed.↩