740.00111A Combat Areas/213
Memorandum of Conversation, by the Under Secretary of State (Welles)
The British Ambassador, accompanied by the Canadian Minister, called to see me this afternoon. The Ambassador commenced the conversation by saying that he assumed the question of a contraband control base in Canada was now more or less of a theoretical problem in view of the situation which had just occurred in Scandinavia.48 I told the Ambassador that that was my impression since it seemed to me highly probable that the President would have to modify the combat zone so as to include the entire Norwegian coast and that if this were done, it would make it impossible for American ships to travel from the United States to Norwegian ports. I stated that this matter would, of course, have to be determined later and that for the time being that was my impression.
I said, however, that, by instruction of the President, I wanted to make it clear both to the Ambassador and to the Minister that in the event a contraband control base were to be set up in some Canadian port, this Government would not agree to the selection of the port of shelter as proposed by the British and Canadian Governments since that port lay within the restricted zone laid down by the Declaration of Panama, and that this Government, of course, could not acquiesce in any infringement of the terms of the Declaration. I stated further that the President wished me to say that he believed that any contraband control base should be to the north of Halifax and that consequently Sydney and Louisburg, Nova Scotia would seem to be the most desirable ports from every point of view. The Canadian Minister undertook some discussion as to the respective merits of various ports, but finally agreed that both Sydney and Louisburg could be made practicable bases of contraband control. He said that he would inform the Canadian Government of the statements I had made so that they might be fully aware of the point of view of this Government.