371.115 St 2/127

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

No. 18

Sir: Reference is made to the Legation’s despatch No. 1087 of June 30, 1933, regarding the decision of the Rumanian Government to suspend payment of coupons on War Damage Bonds and particularly to that portion of the Legation’s communication of June 30, 1933, to Mr. Mironescu, Acting Minister for Foreign Affairs, which read as follows:

“It appears to be obvious that bonds issued, as these were, for damage 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.”

The Department encloses in this connection certain self-explanatory extracts38 from a memorandum prepared in the Office of the Economic Adviser.

It is suggested that if a situation arises in the future similar to that under reference, the Legation should request the Department for specific instructions in the matter.

Very truly yours,

For the Secretary of State:
William Phillips
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