781.003/279: Telegram

The Consul General at Casablanca (Goold) to the Secretary of State

1. Following from Childs. “I saw Marchal yesterday. He has not yet been informed concerning the status of the negotiations in the light of the war but he believes that the negotiations will be suspended indefinitely.

He expects foreign exchange control to be imposed shortly in France, its colonies and protectorates. The export of certain essential commodities has been prohibited and the importation of unessential articles will probably be forbidden.

Marchal expressed the hope that while suspending the treaty negotiations we had in view it might be possible to conclude the capitulations convention as drafted in Washington with certain alterations which would preserve the position of the Department as far as possible on the questions left in suspense. At the same time the French Government would undertake to enter into negotiations for a commercial treaty upon the conclusion of hostilities.

I pointed out that from the beginning the Department had insisted on negotiating the two treaties concurrently. I added that the advent of war might have changed the Department’s views but that I had no information as to this.

Marchal considers the entire treaty position in Morocco will be subjected to a sweeping examination in the settlement following the war. Blake expressed the same thought.

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I believe that the suggestion made by Marchal requires very cautious consideration.”

Goold