862.20234/148
The Ambassador in Paraguay (Frost) to the Secretary of State
[Received October 21.]
Sir: Referring to my despatch No. 1337 of September 21, 1943, I have the honor to transmit herewith a memorandum dated October 11,27 prepared by the Legal Attaché of this Embassy, Mr. Frank G. Siscoe, with regard to the present progress of our efforts to secure the dissolution of the Deutscher Volksbund (Union Germánica del Paraguay) and the Asociación Alemana de Ayuda Social.
[Page 682]The Department will note that the Paraguayan National Consultative Committee for Political Defense seems to have arranged to suspend in the immediate future the existence of the Volksbund, but only for the duration of the war. I have some hope of eliminating this latter provision through the influence of Foreign Minister Argaña.28 As to the Asociación Alemana de Ayuda Social the Committee proposes to collect further data before taking action, but to exercise a strait [strict?] surveillance beginning at once.
In the meanwhile it will be observed from my despatch No. 1386 of October 8, 1943, and from my despatch No. 1328 of September 17, 1943,29 that the Paraguayan Government has taken positive and most helpful action in placing both the German Bank and the Japanese Colony in Paraguay under rigid control. It has also been fairly cooperative with regard to the functioning in Paraguay of the two censors sent here from the United States, Mr. Bealer and Lieutenant Ripley. (It has not furnished the special funds which would be necessary to enable Mr. Bealer to function permanently, but this is due to its perhaps justifiable belief that his presence if permanent would become generally known and thus drive dangerous correspondence out of the mails.)
The matter of requesting that a selected number of German organizers be sent to the United States for detention, or be detained in a concentration camp in Paraguay, is awaiting the Department’s reply to my despatch cited in the first paragraph above. It is also awaiting the general development of the situation with regard to the German Bank and the Asociación Alemana de Ayuda Social. Quite clearly, however, the Paraguayan Government is showing a much fuller spirit of cooperation on the general problem of curbing subversive and dangerous activities.
Respectfully yours,