868.51 War Credits/786: Telegram
The Secretary of State to the Ambassador in the United Kingdom (Winant)
2251. Your 1497, March 28. In a letter commenting on the contemplated abolition of the International Financial Commission at Athens, the Treasury refers to its interest in the continuation of the Commission under the terms of the debt agreement with Greece of May 10, 1929 and the supplementary agreement of May 24, 193265 and, after quoting the security provisions in Part II of the agreement of May 10, 1929, says:
“The Secretary of the Treasury was authorized to execute the agreement of May 10, 1929 pursuant to the Act of Congress approved February 14, 1929.66 Under these circumstances the Secretary of the Treasury is not in a position to formally consent to the action proposed by the Greek Government for the abolition of the International Financial Commission at Athens. However, the Treasury appreciates the position of the Greek Government in the [Page 797] present circumstances. In the event the Greek Government should proceed with such action, it is considered desirable that appropriate assurances be obtained that its action does not prejudice the interests of the United States and that all existing rights of securities and priorities applicable to the indebtedness of Greece to the United States under the agreements of May 10, 1929 and May 24, 1932 remain unchanged and that arrangement will be made for functions hitherto discharged by the International Financial Commission to be committed to the Bank of Greece or other appropriate body. It appears that assurances of this character will be acceptable to the League Loans Committee (London) and the British Government.
Upon receipt of notification of any action taken by the Government of Greece to abolish the International Financial Commission the Treasury, at the appropriate time, will be glad to consider any action on the part of this Government which may be necessary to bring the provisions of the agreements of May 10, 1929 and May 24, 1932 into accord with the changed conditions brought about by the arrangements made by the Greek Government.”