881.156/46: Telegram

The Acting Secretary of State to the Diplomatic Agent and Consul General at Tangier (Denning)

21. Port concession.

French Government has replied to Paris Embassy’s representations (Department’s instruction to Paris No. 432, September 21, 1922) in following sense: That article 6 of Franco-German agreement of 1911, giving Sultan freedom in choosing public works concessionaires, has been applied in Morocco for eleven years without protest; that American protest is therefore surprise; that two concessions were granted in 1920 without protest; that assignment of ex-enemy shares in port company was made at request of Moroccan Government—a request “too fair to be refused”—, and strictly in accordance with Versailles Treaty; that French Government expects this Government to instruct you to cease opposition to port concession.

Department has instructed Ambassador at Paris to reply, formally reserving all American rights in the premises, and to add that, as this Government does not accept the French thesis in regard to the legality of the granting of the port concession, it cannot issue to you the instructions in question.

The French contention, that this Government, by failing to protest in one or several instances, has constructively waived its right to protest in any instance of the violation of its rights, is of course not accepted by the Department.

Department presumes that there is no further action to take at present, except the formal reservation of rights mentioned above. Keep Department informed of developments.

Phillips