338.6253/2a: Telegram
The Acting Secretary of State to the Minister in Haiti ( Bailly-Blanchard )
31. In instruction 284, September 10, 1919,65 and subsequent instructions, Department called Legation’s attention to claims of American citizens against German firms in Haiti and pointed out that in certain particulars Haitian Government appeared to be misconstruing provisions of Treaty of Versailles relating to application of proceeds of sequestered property to claims against Germany or German nationals. Under Treaty, Haitian Government evidently has right to retain and liquidate property German nationals within its territory and to hold property for payment of (1) claims of Haitian citizens in respect of damage to their property within German territory; (2) debts owing them by German nationals in Germany; and (3) claims growing out of acts committed by German Government or German authorities since July 31, 1914, and before Haiti entered war. In view interest of American citizens in adjustment of accounts with concerns under sequestration in Haiti, Department is anxious to obtain early, complete information regarding disposition of sequestered property. Endeavor obtain such information, including particularly information whether Mixed Tribunal has been established by Haiti and Germany to pass on claims for damages to Haitian property in Germany; whether within month after ratification treaty Haiti gave notice of adoption of debt section referred to in paragraph (e), Article 296, and if so, whether clearing office for settlement of debts has been established; and whether any Allied or Associated Power has made any arrangement with Haiti pursuant to paragraph (f), Article 296, for adjustment debts of its nationals. You will understand that United States, since it is not party to Treaty of Versailles, is not in position to make such an agreement. It would seem to Department that, if Haitian nationals have no claims for damages to Haitian property in Germany or for debts owing them by German nationals in Germany, Haiti could promptly restore property sequestered or, even if certain claims [Page 237] exist, could settle them and be able to restore certain quantities of property, so that American and other creditors would be able to adjust accounts with German concerns. Department desires you take this matter up appropriately by interview or otherwise, with view to obtaining full information promptly. Telegraph report.
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