882.01 Foreign Control/334: Telegram
The Chargé in Liberia (Hunt) to the Secretary of State
[Received August 20—12:18 a.m.]
85. Department’s telegram No. 60, August 16, 7 p.m.62 The second extraordinary session of the legislature was characterized by a wide divergence of opinion between the House and Senate on the League plan of assistance. A joint resolution was passed authorizing the President to adopt annex 3 of the plan of assistance63 as a basis upon which the League of Nations will render assistance to the Republic of Liberia, copies of which are being sent to the Department and Reber. Outstanding points of the resolution summarized are as follows:
“Section 2. That in the event the alterations suggested by the League of Nations in the agreement between the Government and the Finance Corporation and the Firestone Company are agreed upon, the $247,000 balance due on the first block of the loan shall be deposited with a reliable banking concern designated jointly by the Officier du Liaison, the Financial Adviser and the Government of Liberia as the official depository as initial fund for the operation of the scheme of assistance.”
It is recommended that provisional [provincial?] commissioners and other staffs provided for should be Liberians, whose salaries and allowances should not exceed $30,000. The President is not authorized to organize a gendarmerie, as provided in article No. 3, however each of the commissioners shall have 45 messengers. The official appointed by the League is accepted for a period of 5 years; he will be minister without folio privileged to attend Cabinet meetings, his salary fixed at $10,000 and $2,000 allowance for secretary. The President with the financial committee of League empowered to commence negotiations with Firestone and Finance Corporation respecting modifications in their contracts as suggested in the League plan.
Grimes sails tomorrow for Switzerland.