The Secretary of State to the Minister in Portugal (Dearing)
3. Your 4, January 19, noon. This Government is gratified by the issuance of Decree No. 11388 providing a credit for the repurchase of Tobacco Bonds. However, it still requires a definite assurance from the Portuguese Government that this credit will be applied to American-held bonds before it can take any action in the sense desired by the Portuguese Government.
Your suggestion that the Portuguese Government designate a bank in America or Europe where bonds belonging to Americans may, within a certain period, be presented and paid as to principal and arrears of interest and this fact be made public would offer a solution satisfactory to this Government, providing that adequate time is given for the presentation of the bonds, and you may so inform the Portuguese Government.