611.629Ruhr/7: Telegram
The Secretary of State to the Ambassador in France (Herrick)
146. Department refers to your despatch no. 2973, of March 22, 1923, regarding the new regulations for the licensing of shipments from the Rhineland and the Ruhr.
Point out to the Foreign Office that the feature in the regulations which requires that American diplomatic representatives certify each application for a license would tend toward placing the Government of the United States in the position of guaranteeing the statements made in the certificates; the Government is, of course, unable to do this, not only because of impossibility to ascertain the facts in each instance without a long delay, but also because a practice of this sort does not come within the purview of the functions of our diplomatic representatives. This regulation will, moreover, work real hardship on those of our nationals who are placed, under its terms, in a position less favorable than are the nationals of the countries which participate in the Interallied High Commission or in the customs service.
After you have explained to the Foreign Office why this feature of the regulations is regarded as impracticable of operation and as being discriminatory in fact, you should next express this Government’s interest and the hope that the French Government will be disposed to modify the licensing regulation so that American buyers, who in good faith entered into contracts for goods from the Rhineland and the Ruhr at a date prior to February 10, 1923 (the date given the Department by the French Embassy here), may be permitted to obtain an export license through an application made directly by the buyer’s business representative, assisted by the local American consular authorities, without requiring in each instance the certification by a diplomatic representative of this Government of the application.
Inform Department promptly by cable.
Repeat to Embassy in Belgium as Department’s no. 28, making appropriate changes.