838.51/1354: Telegram
The High Commissioner in Haiti (Russell) to the Acting Secretary of State
102. Department’s August 30, 4 p.m. Draft of the law is as follows:
[The draft opens with a preamble which is not printed.]
Article 1. The Secretary of Finance and Commerce is authorized to make an emission of $5,000,000 of gold bonds series B which shall be used concurrently with a part of the funds series A of $16,000,000 gold from the loan authorized by the law of June 26, 1922,60 first to the settlement of the interior debt 1912, 13 and 14, and then for the floating debt and diverse claims as they will be decided by the Claims Commission relative to the last two categories of debts.
Article 2. These bonds of series B will bear interest at the rate of 6 per cent per annum and shall be issued by the National Bank of the Republic of Haiti. A sufficient sum shall be drawn annually from the general receipts of the Republic which shall be reserved by the National Bank of the Republic of Haiti and used in the payment of the interest and amortization of the bonds series B under the same guarantee and privilege and time as for those of the series A.
Article 3. The bonds of series B shall be nominative,61 transferable [payable?] in Haiti as well for the capital as for the interest. They shall, as [like] those of series A, be redeemed in 30 years by drawings at par or by purchase on bourse below par. The Government reserves the right to redeem said bonds from the 15th year of their date after reasonable previous notice being given.
Article 4. The expenses and other details of the emission of bonds shall be fixed by the Secretary of State of Finance and Commerce in accord with the Financial Adviser.[”]
Article 5 is the usual abrogation clause.