868.51 Refugee Loan, 1928/114

The Secretary of State to the Chargé in Greece (Shantz)

No. 327

The Secretary of State transmits for the attention of the American Chargé d’Affaires a copy of a press notice18 received under cover of a transmittal slip from the League Loans Committee (London), issued for publication August 22, 1936, containing a recommendation of the (British) Council of Foreign Bondholders and the League Loans Committee that bondholders accept proposals made by the Greek Government to transfer 40 percent of the interest on its external debt for the financial years 1935/6 and 1936/7, on condition that the above-named bondholders’ organizations undertake to discuss with the Greek Government the possibility of arriving at a permanent settlement of the service of the Greek external debt.

In view particularly of the terms of Part II of the Agreement made May 10, 1929, for the funding of the Greek indebtedness to the United States, the Chargé d’Affaires is requested to observe and report the development of the execution of the proposals of the Greek Government stated in the enclosure.

  1. Not reprinted.