882.51/1052: Telegram

The Minister in Liberia (Johnson) to the Secretary of State

6. Referring to Legations cables of December 16, 8 a.m. and December 26, 11 a.m. and Department’s December 22, 5 p.m.43 Financial Adviser informs Legation that both Houses of Legislature have passed an act making following annual increases in allowances.

President, $500 and Vice President $200; also salaries are raised to amounts per annum as follows: Each Cabinet member $2500 and each member of Legislature $1200. Act further repeals legislation passed during war which retrenched salaries and other public expenditures—see acts March 12, 1915 and August 15, 1917. This act has been passed by Legislature without advice or approval of Financial Adviser and in spite of urgent representations of Legation as to Department’s views on this subject.

Also an act has been passed by both Houses of Legislature granting application of Mountain Mining Company for concession to construct railways and carry on any other business including banking. This application has never been referred to Financial Adviser for his report. It is persistently rumored that Chief Justice of Supreme Court has by use of substantial sums of money, reported obtained from British source, secured passage of act granting this concession. See Legation’s despatches number 296, diplomatic, of January 26, 1919 and number 226, diplomatic, of July 2nd 191844 and Department’s instructions number 55 of October 23, 1919.

President of Liberia has indicated to Financial Adviser that he will veto both of these acts but there is no assurance that Legislature may not promptly pass them again over President’s veto.

In view of foregoing it is urgently recommended by Legation and Financial Adviser that Department authorize statement to the Liberian Government that unless these acts are immediately nullified and a procedure hereafter observed in conformity with reform program and suggestions of Department, loan negotiations will be suspended at once and not be resumed on their present basis.

Legation advised Legislature will adjourn January 30th. Therefore an immediate expression from Department imperative.

Johnson
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