838.516/385
The Chargé in Haiti (Chapin) to the Secretary of State
[Received July 11.]
Sir: I have the honor to confirm my telegram No. 58, of July 8, 1 [2] p.m.,28 regarding the signing of the contract29 for the sale of the Banque Nationale de la République d’Haiti by the National City Bank of New York to the Government of Haiti.
Mr. W. W. Lancaster arrived in Port-au-Prince on board the S. S. Ancon on July 7. He was taken immediately by Mr. de la Rue to see President Vincent. As a result of this interview, it was decided that since the Foreign Bondholders Protective Council had not, despite ample notice, submitted a panel of directors to President Vincent, that by virtue of the provisions of Article XVII of the proposed sale contract, it would be necessary to choose a board of arbitration for the purpose of nominating this panel.
Accordingly, President Vincent named as his arbitrator, M. Yrech Châtelain, the Haitian Minister for Foreign Relations, and Mr. Voorhies named as arbitrator for the National City Bank, Mr. W. W. Lancaster. The two arbitrators then met and drew up the enclosed Aide-Mémoire28 by which Mr. Franz von Schilling, an American citizen and Vice President and Treasurer of the Haitian American Sugar Company, was chosen as the third arbitrator.
Mr. von Schilling, then acting in accordance with Article XVII of the contract, made up the following panel for the two directorships of the Banque, representing the Foreign Bondholders Protective Council:
- Mr. Sidney de la Rue
- Mr. Rex A. Pixley
- Mr. J. C. Craddock
- Mr. B. C. Scott
- Mr. Ellis Goodwin
The National City Bank had meanwhile submitted its own panel, which consisted of the following:
- Mr. C. Waterschoodt
- Mr. W. H. Williams
- Mr. Earle T. Fiddler
- Mr. Joseph F. Dawson
- Mr. Joseph E. Wheeler
This morning, after full powers had been communicated and examined, the two parties to the Contract then proceeded with the final arrangements. The National City Bank was then informed by a telegram of the exact amount of the final liquidating dividend to be paid, which would leave a net capital value of the Banque at $1,000,000, as provided for in the Sale Contract. Upon receipt of a telegram that this liquidating dividend had been paid, the Contract was duly signed at two o’clock.
At 4:30 this afternoon, the general stockholders meeting of the Banque was held in the Banque building. Monsieur Yrech Châtelain, the Minister of Foreign Relations of Haiti, took place as president of the assembly, and Mr. Charles Frank Roy as secretary. The president read the list of the directors of the Banque chosen from the two panels mentioned above, as well as the two Haitian directors chosen by Haiti. The final list is as follows:
- S. de la Rue
- Rex A. Pixley
- W. H. Williams
- C. Waterschoodt
- Eugene Roy
- Abel Lacroix
The following officers were elected:
- Mr. Sidney de la Rue, President;
- Mr. Rex A. Pixley, Vice President and in charge of the fiscal administration when thus handed to the Banque;
- Mr. W. H. Williams, Vice President and General Manager of the commercial side of the Banque;
- Mr. Charles van Waterschoodt, Assistant Vice President, commercial side.
It was further decided at this meeting to confirm all employees in the main office and in the branches through Haiti in their present positions, and accordingly telegrams were despatched to the branch offices in this sense.
Although the new administration of the Banque may be considered to have taken over from today, and the Banque as functioning under such arrangement, the formal turning over will take place tomorrow morning, when a small reception will be given in honor of the President.
Respectfully yours,