838.51/2962: Telegram

The Chargé in Haiti (Chapin) to the Secretary of State

66. I learn authoritatively that the President expects to call a special session of the legislature for August 26th when a “Contract” is to be discussed. I can get no further information but I was told yesterday on good authority that there is a possibility that it may be in connection with a rumored new foreign loan allegedly from French sources, which it is rumored will not only pay off the 1922 loan44 but also the 1910 loan45 in gold. Presumably this would mean sale or rental of the Bank National to the new financing group. My informant stated that negotiations were reported almost concluded and had been so secret that few, if any, of the Cabinet members were aware of the measure. This information was given me on the distinct understanding that I report it only to the Department.

  1. This loan was with the National City Bank of New York; for correspondence, see Foreign Relations, 1922, vol. ii, pp. 472 ff.
  2. For text of loan contract, see Le Moniteur, October 26, 1910, p. 606.