740.00112 Diamonds/22: Telegram

The Ambassador in Venezuela ( Corrigan ) to the Secretary of State

662. Department’s circular telegram July 19, 10 p.m.41 Since the only consequential Venezuelan strategic product being diverted to Axis is diamonds, and the only effective method of controlling movement of this product is to buy it from producers before it reaches undesirable hands, I consider it unwise to request Venezuelan authorities to institute additional control measures on outgoing cargo and persons when expected results must be negligible, if diamond buying program now being initiated is effectively pushed.

Venezuelan authorities will be urged to tighten existing control of passenger and ship personnel on all vessels leaving country; but there is no adequate substitute for an effective buying program to control the movement of diamonds. Hence, it is hoped that the much delayed program for buying diamonds (through commercial channels) which is now being initiated with the despatch of OEW42 diamond representatives to Venezuela, will be pushed forward with all vigor.

  1. Not printed; it explained an Anglo-American proposal for controls to halt smuggling to the Axis of strategic materials, chiefly platinum and industrial diamonds (740.00112 Platinum/18a).
  2. Office of Economic Warfare, supplanting the Board of Economic Warfare.