. . . . . . . . . . . . . .
In the afternoon of April 22nd, I called at the Palace and, after
fifteen or twenty minutes preparatory conversation, I told the
President the following:
“I have a strong conviction that an attempt to settle the
political problems in the Congress without prior agreement
on the part of some [Page 57]
elements in the opposition will not satisfy public opinion.
I believe this because any laws that may be passed in the
Congress without previous agreement will be bitterly
attacked by the press, and no matter how liberal the
legislation may be, public opinion will not be favorably
disposed toward it, or have confidence in it. Any
legislation passed under these circumstances will be subject
to the same criticism that applies to recent legislation,
abhorrent to the public, which was railroaded through the
Congress.
“Apparently, it is proposed to pass all of the important
reform measures demanded by the opposition with the
exception of a reduction in the terms of Senators and
Congressmen adequate to appease public opinion. An adequate
reduction in these terms is vital to a happy solution of the
Cuban political problem. Unless reasonable concessions are
made at the present time, I feel confident that political
troubles will continue in Cuba and that these Senators and
Congressmen and those Liberal leaders who are unwilling to
relax their political grip on the Republic will not, under
any circumstances, enjoy the length of office and power
which might otherwise be theirs.
“In the past year, on numerous occasions I have strongly
urged that a political agreement be made with certain
elements in the opposition so that they may have hope for
the future, and that public confidence may be restored. On
all these occasions my advice has been partially taken, but
not enough of it to accomplish the object desired. However,
at a later period, that part of the advice which was
discarded was adopted but at a time when it was too late to
be effective and satisfy public opinion. I have particular
reference to the reorganization of the parties, the
restoration of the Crowder electoral code, and the census.
When these laws were finally passed, there was no enthusiasm
or satisfaction. At the present moment, if laws were passed
which include adequate reduction in the terms of Senators
and Congressmen and guarantees for honest election in 1932,
I believe public opinion will be satisfied. If they are not
passed now, I feel very sure that several months hence these
same terms will be unacceptable to any elements in the
opposition and to public opinion.
“The advice which certain leaders in the Liberal Party have
given in the past, with the first thought of their own
political fortunes, has been very bad. Several months ago,
Congress, instead of reducing the budget, passed an
Emergency Tax Law. At the time I pointed out that the hopes
of the Government for a large return from these additional
taxes would not be realized, and that most of the remaining
friends of the Government would be lost by this measure. In
answer, I was told that the Compañia Cubana de Electricidad,
(the subsidiary of the Electric Bond and Share Company,
whose representative in Cuba is Henry Catlin) had been
consulted and approved of the tax law. After several months,
with the Emergency Tax Law in effect, the Government must
now realize that little additional revenue has come in, and
also that the law was a very important factor in alienating
some of the few remaining friends of the Government.
“At the present time, I understand some of the Liberal
leaders are now willing and ready to reduce the budget. This
is another instance of a case where the action has been
postponed too long. The Government has now lost friends
through the tax law and, if they reduce the budget now,
which is essential, they will lose more friends [Page 58] who are affected by
the reduction in the budget. If this budget reduction had
been effected several months ago in place of the Emergency
Tax Law, obviously, the Government would have lost the
friendship of only those who must necessarily be estranged
now. The finances of the Government should be an indication
of the necessity of avoiding any further delay in gaining
the support of the public and restoring confidence. In the
month of March, the expenditures exceeded the revenues by
over $600,000.00. The actual cash in the treasury on March
31 to meet future current budgetary obligations was slightly
over $140,000.00. On June 1st, a $20,000,000.00 note is due
to the Chase Bank.
“In the past, warnings of difficulty have been countered by
leaders of the Liberal Party with the prediction that by the
first of April sugar would be at 2 or 2½ cents a pound, and
all the troubles would be over. I have on all occasions
pointed out that no plans could be based on such optimistic
hopes, as in all probability it would take many months for
the Chadbourne Plan,23 even if
successful, to raise effectively the price of sugar.
“At the present time, there is a certain calm in the public
mind; there is still hope that a Cuban solution will be
found to the political problem. The newspapers have
maintained a certain reserve following the reports of a
possible Cuban solution and the end of the period of
repressive measures. However, there is ample indication in
the press that, on the slightest provocation, attacks will
take place, and public opinion will be again inflamed
against the government. Without the satisfaction of public
opinion, agitations and demonstrations can be expected again
in the near future. What will the Government’s policy be at
that time? If there will not be a renewal of highly
repressive measures, how will the Government cope with the
situation? The grinding season has about ended; the
unemployment problem will be great and Cuba is about to
enter a period of economic depression which impartial
observers believe will be far worse than anything that she
has undergone in the past six years.
“In my opinion, the only salvation in the present great
emergency is for the President finally to put himself in a
position that I have urged upon him so often—above party
politics. He should reach an agreement with as many elements
in the opposition as possible for reforms that will satisfy
public opinion, which must include guarantees for an honest
election in 1932. After such an agreement has been reached,
he must convince Congress, which I have not the slightest
doubt he can do, that these reforms are necessary, not only
for the salvation of the country, but in order to save
themselves.”
The President said he had had a meeting in the morning with a group
of Senators; that he had told them he would leave the carrying out
of the constitutional reforms in the hands of the Congress; that, as
far as he was concerned, he was willing to put his own destiny
entirely in their hands. I told the President that I feared that
leaving [Page 59] this matter entirely
to Congress would not bring about the really satisfactory results
that he anticipated.
In the course of the conversation he reiterated that the Senators
were determined on not reducing their term below eight years—the
length of term under the old Constitution. I told him, in my
opinion, that would not satisfy the opposition or public opinion. I
gave it as my opinion that the public would only be satisfied if
there were some guarantees for an honest election in 1932; that
these guarantees could be partially found in a national Cabinet
including various members of the opposition. The President said that
he could not include in his Cabinet every candidate proposed by
various elements in the opposition. I agreed with him, of course,
that this would be impossible, but that it should be possible to
find a Cabinet that would be acceptable to him and to the opposition
as well. He asked me who such men were. I told him I had not given
the matter consideration, that I agreed it would be difficult, but
that I did not think it was impossible. The President said that he
would talk with the Senators and see what could be worked out. He
asked if I had any objection if he told them of his conversation
with me. I replied that he was at liberty to repeat it if he
desired; that I was giving him the best advice I had to offer; that
he was at liberty to make what use of it he desired.
. . . . . . . . . . . . . .
The President took occasion to point out what a great friend he had
always been to the United States, and also expressed his gratitude
for my helpfulness to Cuba in the past year.
. . . . . . . . . . . . . .
