860D.6359 International Nickel Company/31: Telegram
The Minister in Finland (Schoenfeld) to the Secretary of State
[Received 2:10 p.m.]
119. Department’s telegram No. 65, April 26. I find no documentary evidence in the Legation’s files showing extent of American interests involved in Petsamo Nickel Company. I learn from Dr. Soderhjelm,65 who has represented its interests here, that the Finnish corporation is entirely owned by Mond Nickel Company of England which in turn is entirely owned by International Nickel Company of Canada and that it is estimated that last company is one-third owned by American stockholders. The principal operating office of the latter company is in New York according to Soderhjelm though its legal headquarters is stated to be in Canada and many American corporations subsidiary to the Canadian company operate in the United States. Soderhjelm informs me that when the Finnish concession was under discussion there was a question as to whether the local company should be owned by the British or the Canadian company or by an American subsidiary directly and it was decided, for no particular reason except the active interest of one of the officials [Page 24] of the Mond Company, to have the latter own the shares of the Finnish company.67
Referring to my telegram No. 99, April 20, Soderhjelm expresses opinion that since for about 2 months past the Soviet authorities have shown but slight interest in Petsamo nickel question and since at present there are no foreigners of any nationality whether Russian, British, German or American connected with the enterprise in this country, he doubts expediency of agitating the matter for the present.
- J. O. Soderhjelm, Director in Charge and Counsel for the International Nickel Company of Canada, Ltd., at Helsinki.↩
- The nickel ore deposits in northern Finland were discovered in 1921. A memorandum of June 11, 1941, left at the Department of State the next day by Mr. John F. Thompson, Executive Vice President of the International Nickel Company of Canada, Ltd., 67 Wall St., New York, N. Y., explained that by an agreement of 1934 between the Mond Nickel Company, Ltd., and the Finnish Government, a 40-year concession was received to develop and work the mines. This concession was transferred by Mond to its Finnish subsidiary, the Petsamo Nickel Company (Petsamon Nikkeli Oy.). The Mond Company, in turn, was the wholly owned subsidiary of the International Nickel Company. This memorandum further stated that “In recent years the ownership of the stock of Inco Canada has been divided about equally between the United States and the British Empire. At present 57% of the voting power is held by shareholders whose registered addresses on the books of Inco Canada are in the United States.” (860D.6359 International Nickel Company/34).↩