740.00112 European War 1939/2888

Memorandum of Telephone Conversations, by the Assistant Chief of the Division of Near Eastern Affairs (Villard)

I telephoned to Mr. Helm in regard to the latest information we had received from Mr. Firestone, to the effect that navicert applications of the Firestone Plantations Company had been referred by the British Embassy to the British Chargé d’Affaires in Monrovia, who had indicated he would give his consent to the issuance of navicerts provided that the Bank of Monrovia would agree to the conditions set forth by the Chargé d’Affaires in a letter to the bank dated about May 16. I told Mr. Helm that the Department was at a loss to understand this report in view of the assurances which he had given in respect to the handling of Firestone navicert applications at the conference which had taken place in the Department on this subject.

Mr. Helm denied emphatically that there was any truth in this report. He suggested that a misunderstanding had arisen because of a proposal to introduce in Liberia the “inverted navicert system”, which provides that navicert applications should, in the first instance, be made by the importer and permission ultimately transmitted to the country of origin. This proposal, which had not gone into effect as yet, specifically exempted the Firestone Plantations Company from any of its provisions. The position with respect to Firestone shipments [Page 525] remained the same, namely, that all applications would be treated on the basis of general automatic approval.

Mr. Helm invited the Firestone Company to submit a specific example of any navicert which had been forwarded to Monrovia for approval. He said that if any concrete evidence were offered on this subject he would be glad to have it investigated at once.

Mr. Helm went on to say that the British Government had taken steps to curb the activities of Mr. Routh, the Chargé d’Affaires at Monrovia. He read to me a copy of a telegram which London had sent to Mr. Routh, cautioning him in strong language in respect to his reported attitude toward the Firestone Company and its subsidiaries and instructing him to refer all matters on which there was the slightest misunderstanding to London for forwarding to the British Embassy in Washington. Mr. Helm said that it would be the policy of the British Government to have any such matters affecting Firestone discussed here in Washington or in Akron, rather than in Monrovia.

Mr. Helm also said that he would telegraph his Government again on the subject, at the same time mentioning the latest report to the effect that the British Chargé d’Affaires at Monrovia was intimating that navicert applications were submitted by the Embassy in Washington to him for approval.

In accordance with Mr. Firestone’s request, I then telephoned to him at Akron and conveyed the above information. Mr. Firestone said that he would immediately radio his general manager in Liberia to ascertain whether there was any specific case of a navicert application being held by the British Legation for its approval. He said he would let us know as soon as a reply had been received.