835.73/146: Telegram

The Secretary of State to the Ambassador in Argentina ( Riddle )

24. Your 36, June 1, regarding cable landing.

Department is extremely desirous of obtaining definite information on which it may base final action with regard to the application [Page 531] of the Western Union Company to land at Miami Beach, Florida, a cable connecting with the Western Telegraph Company’s cable at Barbados. It would be very useful in making a decision in this matter to receive a statement from the Government of the Argentine Republic whether, in view of the waiver made by the British Western Company of privileges asserted under the contract of June 3, 1909, between the company and the Argentine Government, this contract would nevertheless to any extent stand in the way of the granting of an application from any American concern to land and operate a cable in the Argentine Republic on terms of equality with the Western Company, and in particular whether rights under Articles 13 and 17 of the contract might be regarded as extinguished so far as regards American concerns. This question of course relates solely to any obstacle to the granting of applications of American citizens that may result from the contract in question and is not concerned with Argentine law, apart from the laws relating to the contract, or the policy of the Argentine Government that might determine action with respect to the granting of an application in any given case.

The Department is informed that the Government of Brazil has acquiesced in the waiver of the Western Telegraph Company of monopolistic privileges enjoyed by the company in that country.59 If the Department could now obtain a definite statement from the Argentine Government to the effect that the company’s contract with the Argentine Government is not an obstacle to the granting of applications of American cable concerns by the Argentine Government, the Department would be in a position to take final action with respect to the pending application of the Western Union Company.

Communicate with Foreign Office in sense of foregoing and endeavor to obtain a prompt reply. Telegraph report.

Hughes
  1. See telegram no. 56, June 20, from the Chargé in Brazil, supra.