811.114 Canada/50555/7

Memorandum by the Under Secretary of State (Phillips)

Following the conference with Senators Harrison and King of the Finance Committee of the Senate in regard to Section 403 (a) of the Liquor Tax Administration Act, I called up Mr. Hume Wrong on the telephone and explained to him our efforts to prevent the adoption of this section by the Committee at this afternoon’s meeting. I said that I had not heard whether the Committee had taken any action or not, but that my guess would be that the matter would be postponed and, in the circumstances, I did not think it would be particularly necessary for him to seek an audience with the President and that perhaps it might be better to hold this step in abeyance for the present. Mr. Wrong entirely agreed and said that his instructions were to take this step only as a last resort; he expressed himself as very appreciative of our efforts and said that he would communicate at once with his Government.

William Phillips