832.30/218: Telegram

The Ambassador in Brazil ( Morgan ) to the Secretary of State

153. The Brazilian Foreign Minister told me yesterday in conversation that his Government could not renew the contract of the Naval Mission for reasons which are wholly of a financial character since the work of the Mission and its personnel have been invariably satisfactory. This reason bore evidence of sincerity and it is desirable that the press shall not represent that any other motive exists.

As contract for Naval Mission was virtually renewed under former Government and temporary extension requested by present Government, Chief of Mission feels that a sufficient period of time should be arranged to permit official and personal business, such as leases for residences, to be closed with propriety and dignity for all concerned.