863.51 Relief Credits/487a: Telegram
The Secretary of State to the Ambassador in Germany ( Wilson )
182. Please deliver the following communication in a note to the German Government:72
The failure of the German Government to reply to my notes of April 6 and June 9 regarding the cessation of service upon Austrian dollar bonds still comes persistently to the front in the United States as a disregard of just rights of the bondholders and an inequitable consideration of an American interest. During the 6 months that have elapsed my Government has entertained the hope that the German Government would be considerate of the welfare of the numerous American citizens directly affected and resume service on these debts. This hope has been increased by the fact that the German Government is currently making payments on the service of similar Austrian obligations in the hands of British, French, and other nationalities. Its disappointment at the continued neglect of the German Government is therefore all the greater.
My Government takes this occasion to call attention to the fact that it permits payments of every variety to be made from its territories to residents of Germany without hindrance or impediment, including payments on obligations held by German citizens. It also believes itself to be correct in stating its knowledge that various German dollar bonds selling in the American market at extremely low prices because of lack of payment continue to be repatriated by Germany, exchange being made available for that purpose. The German Government [Page 495] must recognize that a continuation of this situation is certain to intensify a feeling of injustice and discrimination.
My Government hopes that the German Government will not further delay informing American investors of its intentions in regard to these issues.
- Note was addressed to the German Foreign Office on October 19.↩