The Minister in Latvia (Skinner) to the Secretary of State
[Received June 14.]
Sir: The Department has already been informed from Tallinn that the Estonian Government, after at first proposing certain changes in the American Government proposals respecting deferred payments due to the United States, the postponing of which was authorized by the moratorium, has now realized the necessity of accepting the arrangements contemplated by Washington. No doubt the formal papers will be signed in due course. Up to this point Latvia and Estonia had apparently come to a private agreement to deal with the claims of the United States Government in an identical manner; that is to say, by submitting counter proposals in the hope of obtaining improved terms. This much has been stated in the press in both countries.
I have been in contact with the Latvian authorities regarding this matter and they now profess to comprehend the situation more accurately than they did before, and have stated that the Latvian representative in the United States will shortly receive directions to sign an undertaking in the manner prescribed by the Secretary of the Treasury.
I judge that the last vestiges of opposition to the course of action now determined upon subsided when it was learned that the British Government also had accepted the terms of the American Government, or rather, had signed the formal papers confirmatory of the unconditional acceptance of the moratorium which took place about one year ago.
Very truly yours,