371.115 St 2/127

The Minister in Rumania (Wilson) to the Acting Secretary of State

No. 1087

Sir: I have the honor to enclose herewith a copy of a letter, with enclosure,36 dated June 22, 1933, from Mr. J. P. Hughes, General Manager of the “Romano-Americana,” the local subsidiary of the Standard Oil Company of New Jersey. In his letter, which is self-explanatory, Mr. Hughes requests the Legation to protest against a decision of the Rumanian Government to suspend payment of the coupons of War Damage Bonds issued in accordance with an agreement between the Rumanian Government and its creditors.

The British and Dutch Legations were instructed by their Governments to make a formal protest to the Rumanian Government against what appears to be an arbitrary and unjust decision which was adopted by that Government without any discussion with the other parties to the contract between them. Copies of the British and Dutch protests are enclosed herewith.37

Although I have received no instructions from the Department on this subject, nevertheless, as it seems that American interests are clearly involved, I have ventured to send a note, a copy of which is enclosed herewith, to the Acting Minister for Foreign Affairs, expressing the hope that the decision of the Rumanian Government may be reconsidered.

Respectfully yours,

Charles S. Wilson

The American Minister (Wilson) to the Rumanian Acting Minister for Foreign Affairs (Mironescu)

No. 489

Excellency: The “Romano-Americana,” a subsidiary of the Standard Oil Company of New Jersey, has informed the Legation that the Rumanian Government, by a decree published in the Monitorul Oficial No. 107 of May 17, 1933, announced its decision to suspend part of the oil annuities payable under an agreement between the Rumanian Government and the “Romano-Americana” of October 1, 1928.

It appears to be obvious that bonds issued, as these were, for damage [Page 684] sustained are in an entirely different category from ordinary interest-bearing bonds and should not, therefore, be included in the general agreement arrived at with the Association of Foreign Bondholders.

In bringing this matter to Your Excellency’s attention, I venture to hope that the Royal Rumanian Government will find it possible to cancel its decision and to make full payment of the coupons which became due on June 1, 1933, and that subsequent payments may be made in full, in conformity with the War Damage Settlement which was agreed upon between the Royal Government and the “Romano-Americana.”

I avail myself [etc.]

Charles S. Wilson
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