851.6363/161: Telegram

The Chargé in France (Marriner) to the Secretary of State

435. Department’s 287, September 28, 4 p.m. As Paul-Boncour is absent from Paris I saw Leger, Undersecretary for Foreign Affairs, at noon today and without leaving any memorandum informed him that under instructions from my Government I wished to apprise him of the concern of the United States at the current reports indicating the possibility of the establishment of an oil monopoly. I discussed the matter in the light of the information contained in the telegram under reference with him and added that naturally in the case of such establishment the American Government would expect full indemnification for injuries sustained by American interests.

I informed the British Embassy of this action and will keep in touch with them.

Leger stated that even when such a recommendation should be made by the Committee, and he thought it would be made, he felt in view of the budgetary situation it would be difficult for the present Government to put into immediate effect as the items for indemnification would be so great in the first year of the establishment of such a monopoly as to disrupt the projects at present in course for balancing the budget. He said that he would keep in mind the attitude of the Government of the United States and see that it was brought promptly to the attention of the appropriate officials.

Marriner