The Ambassador in Cuba ( Guggenheim ) to the Secretary of State
[Received 2:10 p.m.]
22. A decree5 published in Official Gazette of March 15th provides for issuance of deferred payment certificates in amount of about $2,000,000 to Cuban contracting firm which has a concession for construction [Page 567] and operation of port works at Cardenas. Certificates to be issued immediately for $490,000 in payment of work already accomplished and the balance to be issued in installments as work is accepted. Interest is to be at the rate of 6% and certificates to be secured by a second lien on ports improvement taxes.
I have addressed a letter to the President stating I assume certificates will not be issued unless my Government has been apprised of the pertinent facts upon which it can reach a decision as to whether or not it should interpose objections under article II of the Permanent Treaty. Reference my despatch numbers 776 of July 10, 1931,6 and 1492 of January 16, 1933.7