810.733/7–1544: Airgram

The Ambassador in Colombia (Lane) to the Secretary of State

A–626. Conference July 3 between the President and Messrs. Wakefield, Otterman and myself afforded opportunity for clear presentation of factual statement supporting exchange of notes of May 31, 1944 regarding northbound telecommunications rates.26a President gave close attention to those arguments, as well as to statements by Diaz Moreno, manager of Government official communications company, who had previously protested the agreement and who has been chiefly responsible for preventing its being made effective. This presentation by Commissioner Wakefield is supported by an able memorandum prepared by Gómez Picón, outgoing Minister of Posts and Telegraphs, which the President had not hitherto seen and which was brought to his attention during the conference. The principal point of disagreement by Diaz Moreno is the permission accorded in the agreement for All America Cables to absorb the four centavo differential in Colombia, thereby putting its rates on a par with those of the Government company, and it is believed that the agreement could be effectuated immediately if that provision were deleted. It does not appear that the present is the time to accede on that point, but the Embassy is prepared, on Mr. Wakefield’s recommendation, to make such concession later if the agreement cannot otherwise be made effective. Diaz Moreno, while not emphasizing it, raised the question of a possible violation of the Cairo Telegraph Regulations27 if Colombia were to accede to unification. He finally agreed, however, that aside from the fact that special arrangements are permitted this is a matter which might properly be left to the Colombian Congress pursuant to exchange of notes. It is clear that Diaz Moreno wishes to retain a competitive advantage for his company over All America Cables.

[Page 856]

Embassy is following matter closely since departure of Messrs. Wakefield and Otterman on July 4 and will report promptly further developments.

Lane
  1. See footnote 24, p 852.
  2. Department of State Treaty Series No. 948; 54 Stat. (pt. 2) 1417.