The Chargé in Brazil (Burdett) to the Secretary of State
[Received October 28.]
Sir: With Reference to my telegram No. 542 of October 21, 4 p.m., I have the honor to enclose the text and translation of the joint traffic agreement93 signed in Pará on October 14, 1940, by the Syndicato Condor, Brazilian subsidiary of Lufthansa, and Snapp (Servicos de Navegação da Amazonia e de Administração do Porto do Pará).
Snapp is under the Ministry of Transportation and, as reported in my telegram under Reference, the Minister of Transportation was greatly surprised that the Director of Snapp, Commander Bulcão Vianna, had signed this agreement without consulting Rio. On October 21 the Minister telegraphed the director at Pará that the contract, in order to be operative, would have to be approved by the Ministry of Transportation, and that this approval would not be forthcoming. The Director of Snapp replied declaring that he had signed the agreement with the previous consent of President Vargas who, as the Department is aware, recently visited Pará. Upon receipt of this telegram the Minister of Transportation immediately called upon President Vargas who emphatically denied that he had given his consent to the agreement. The President stated it was true that, while he was in Pará, the Director of Snapp told him that it would be a good idea to control the movements of Syndicato Condor in the Amazon region and that this could best be accomplished by means of an agency agreement. The President informed the Minister that he had simply told the Director to study the matter and submit it to Rio. The Minister informed the Embassy that President Vargas was very much annoyed with the Director of Snapp and that he had instructed him to send a further telegram to Pará to have the whole matter submitted to Rio for review and final decision. The Minister reiterated that the agreement would not be approved.
- Not printed.↩