851.512 American Stock Exchange Brokers/9
The Ambassador in France ( Straus ) to the Secretary of State
[Received December 13.]
Sir: With reference to the Department’s telegraphic instruction No. 469 November 23rd/2 [1] p.m.,28 and the Embassy’s telegraphic reply No. 989 November 25th/1 p.m.,28 I have the honor to inform the Department that about two weeks ago Count René de Chambrun, a member of the Paris bar, as well as of the bar of New York State, called upon me, stating that certain members of the New York Stock Exchange had retained him to contest a suit that had been brought by the French fiscal authorities in a test case against the firm of Saint-Phalle & Cie., to enforce the collection of a French stock exchange [Page 100] transfer tax upon purchases and sales of securities, dealt in on the New York Stock Exchange, for the account of persons resident in France.
I told Mr. de Chambrun that I had no instructions in the matter but would be willing to submit a memorandum, which he told me was in the course of preparation. This memorandum reached me yesterday and I beg to enclose two originals of it,29 one in French, the other in English, both signed by Mr. de Chambrun and his associate, Mr. Gide, a copy of each being kept here in the files of the Chancery.
In the meantime, I understand representations have been made to the State Department by representatives of the seventeen American firms said to be doing business in France and having branch offices here.
Awaiting instructions from the Department I shall take no further steps.
Respectfully yours,