632.6231/287: Telegram

The Ambassador in Brazil (Caffery) to the Secretary of State

24. Department’s telegram No. 14. Aranha told me frankly this morning that he intends … to bring this whole compensation mark matter to the attention of President Vargas. (Aranha, the Minister for Foreign Affairs67 and Bouças,68 the latter two powerless in this case, are the only known Brazilian officials who believe something should be done about compensation marks.) Aranha does not, however, wish to confine his discussions to article 7 but would like to take the matter up as a whole: Therefore, for his purpose, it is essential that the Department transmit “further comment” mentioned in the second paragraph of the Department’s telegram.

Aranha added that the German Ambassador, in negotiations with him and Sousa Costa,69 a few days ago was reluctant to include article 7 in the draft note presented by the German Embassy.

Would a sentence along the lines suggested in the Department’s No. 87, November 24, 2 p.m.70 and modified in the Department’s No. 3, January 12, 4 p.m.71 meet the Department’s objections?

  1. Mario de Pimentel Brandão.
  2. Valentim F. Bouças, Secretary of the Technical Council of Economy and Finance, Ministry of Finance.
  3. Arthur de Souza Costa, Brazilian Minister of Finance.
  4. Foreign Relations, 1937, vol. v, p. 349.
  5. Not printed.