814.796 Latin American Airways/14
The Minister in Guatemala (Geissler) to the Secretary of State
[Received May 29.]
Sir: Referring to despatch 2403 of May 15, 1929, I have the honor to report that Mr. George L. Rihl has withdrawn from the agreement he made, on May 14, with Mr. Lee C. Balch, to the effect that the Pan American Airways, Incorporated, and the Mexican Aviation Company will no longer seek to get a contract from the Government of Guatemala granting air transportation privileges between Tapachula, respectively Mariscal, and the city of Guatemala and that on the other hand Mr. Balch will aid the Pan American in an effort to obtain a contract under which it would carry passengers and mail from Belize, Barrios or Tela to the city of Guatemala, returning thence to say Tela; and that, according to Mr. Balch, a revised contract between the Government and the Latin American Airways has been recommended by the Council of State, signed by the Minister of Fomento and the President and transmitted to the National Legislative Assembly, whereas the projects of the Pan American and its subsidiary are still pending before the Minister of Fomento.
There is enclosed herewith a copy of a Memorandum of conversations Secretary of Legation Hawks had with Mr. Rihl, on May 20, and also a copy of a Memorandum by Commercial Attaché Bohan,97 regarding conversations he had with Mr. Balch on May 21 and 22.
I also beg leave to report that Mr. Bohan has received a cablegram from the Bureau of Foreign and Domestic Commerce, dated May 21, 1929, 6:30 p.m., which reads as follows:
“Latin American Airways incorporating for three million dollars purchasing first ship a trimotored to be sent to Guatemala according to contract if it is approved finally. According to report contract favorably reported by Legislature Committee please try to verify report.”
I have [etc.]
- Commercial Attaché’s memorandum not printed.↩