724.3415/3297
Memorandum by the Assistant Secretary of State (Caffery)
[Washington,] August 29, 1933.
The Second Secretary of the Chilean Embassy (in the absence of the Chargé d’Affaires ad interim) showed me a telegram from his Foreign Office this morning which stated that the formula for the solution of the Chaco matter, which Norweb forwarded to Washington, had, in fact, been agreed upon by the four ABCP powers; that thereafter, however, Mello Franco had made “substantial” changes in the formula, thereby creating “a delicate situation” for the four powers involved.