711.672/156: Telegram

The Secretary of State to the Special Mission at Lausanne

[Paraphrase]

279. Mission’s 585 of August 5.

1.
Naturally the Department regrets that claims agreement cannot be reached at once. The Department would be prepared to accept the formula which Ismet provisionally proposed, as transmitted in your telegram 573 of July 30, should you think it possible to obtain an immediate settlement in that way. If you think best you may inform Ismet of our willingness to accept his proposal rather than postpone [Page 1138] treaty settlement of the claims question and put the issue squarely up to him.
2.
Should it not be practicable to obtain a settlement along the lines referred to above, the course you propose is approved and you are authorized to carry out the proposed exchange of letters described in your telegram 585. The Department’s attitude on claims is in no way affected by this exchange of letters and the signing of the general treaty and extradition treaty. Also the position of the United States regarding capitulations and the treaty of 1830 will not be prejudiced, pending ratification of a new treaty.
3.
The Department believes it desirable to secure an agreement with the Turks fixing a time limit for prompt consideration of the question of claims. As Ismet himself suggested an adjournment on the larger question of the treaty for 20 days, it might be well to decide at once that claims negotiations will be resumed at the expiration of 20 days. You might, therefore, in your letter to Ismet after the words “further discussion” insert “to be resumed between the two Governments within 20 days”. In his reply Ismet should indicate that this period is accepted. You may use your discretion, however, as to making this change.
4.
While it is too early to indicate the procedure it may be desirable to adopt in the future, the Department now has under consideration the desirability of having the further examination of the claims question carried on in Turkey. Probably the Department will wish to have Turlington go to Constantinople. The advisability of having Bristol make a trip to Angora soon is also being considered by the Department. It may be that an effective and satisfactory plan for the settlement of claims can be found in this way.
5.
Of course the Department does not wish to delay ratification of the treaties by Turkey. If the treaties are promptly ratified by Turkey and if the question of claims is settled, the Department will give favorable consideration to the early resumption of diplomatic relations. Irrespective of the claims settlement it would involve considerable delay to wait for ratification by the United States.
Hughes