800.51W89 Yugoslavia/155
The Acting Secretary of State to the Yugoslav Minister ( Pitamic )
Sir: The Government of the United States acknowledges receipt of the note of the Yugoslav Government setting forth its attitude concerning the debt obligation due on June 15 to this Government. It notes that the Royal Yugoslav Government has failed to meet in whole or in part the instalment due on the existing debt agreement between the Yugoslav Government and the Government of the United States.
The Government of the United States must, in all frankness, call attention to the problems raised by the failure of the Yugoslav Government to meet the payment due on June 15, 1932, which have not yet been solved or even discussed between the two nations.
The Government of the United States notes further that the failure to pay the present instalment is based by the Royal Yugoslav Government upon the principle of inability to pay, which it alleges to be due to special conditions not applying to other Governments.
Accept [etc.]