711.61/764
Memorandum of Conversation, by the Secretary of State
| Participants: | Secretary Hull, |
| The British Ambassador, Lord Lothian and | |
| Mr. N. M. Butler, Counselor of Embassy |
The British Ambassador, accompanied by Mr. Butler, called to say goodbye before leaving for home. He said that his Government was interested in the Russian situation as it related to the ships and assets of the Baltic states under the operation of our freezing policy. I replied that, of course, we have a definite non-recognition policy, which we pursue steadfastly; that I had suggested to my associates, however, that if Russia should show a real disposition to move in our common direction with respect to the axis countries, then I would [Page 440] be disposed to deal with the Baltic assets and ships on a sort of quid pro quo basis rather than to adhere inflexibly to our non-recognition policy in this case. I said that, of course, we would observe very carefully what Russia’s real attitude is from time to time.