437.11/10–1644
The Ambassador in Cuba (Braden) to the Secretary of State
[Received October 23.]
Sir: Referring to my despatch No. 7991 of October 2, 194446 reporting that I again forcefully urged upon the Cuban government [Page 913] the prompt payment of long-standing valid claims and proposed the conclusion of a claims convention, I have the honor to state that the outgoing Minister of State47 in his note No. 2466 of October 4, 1944 (received by the Embassy October 10) copy and translation of which are enclosed,48 maintained that “the government of Cuba continues to make necessary arrangements” for the payment of outstanding valid claims but could not accept the claims convention proposal since the claims contemplated therein are “excepted from the provisions of the General Treaty of Inter-American Arbitration49 to which Cuba and the United States of America are parties.” He further stated that these claims “should be settled in accordance with procedure stipulated by the domestic laws of the respective sovereign states.” The Minister concluded that since aliens residing in Cuba as well as companies with home offices outside of Cuba which do business with the Republic are subject to Cuban jurisdiction in matters relating to Cuba this “precludes the possibility of considering the conclusion of a convention of the type submitted … in which the government of Cuba surrenders jurisdiction of the national courts.”
The statement by the Minister that the promulgation of decree No. 2395 of August 2nd providing for the payment of $81,012.29 for the reimbursement of expenses for repatriation of Cuban nationals in Europe, and for other sums for the payment of debts owed the Western Union Telegraph Company, the Cuba All-America Cables Company and the Cuban Trans-Atlantic Radio Corporation constituted an example of the “necessary arrangements” being made for the liquidation of valid long outstanding claims hardly bears favorable comment. The decree, it must be admitted, was promulgated. To date, however, not one penny of the sums owing has been paid, although, as reported in my airgram 2223 of October 2, 2:25 p.m., the Minister of State had previously promised me in the President’s name that these accounts would be liquidated before October 10,50 and that while he later had told me that “absolutely nothing” could be done with respect of the past-due bill of $1,400,000 contracted under the lend-lease agreement, he assured me that the $81,012.29 owed for repatriation “definitely would be taken care of.” Had this erstwhile administration any other than an utterly shameless contempt for meeting its just obligations it certainly would have at least paid these debts for which funds could easily have been found.
While the proposal looking to the conclusion of a claims convention was rejected (the Minister even returned to me the copy of the draft convention which I had sent him), I feel that a useful purpose has [Page 914] been served in getting an expression of our opinion on claims matters, together with a proposal for a claims convention, into the record of the administration which has been so derelict in the premises.
In view of preliminary discussions with Dr. Grau and his advisors, I have hope that the new administration will at least entertain proposals looking to the settlement of the claims in question, and I shall not fail to avail myself of appropriate opportunities to urge a satisfactory conclusion of the general subject.
In the meantime, I should be interested to receive an expression of opinion of the views of the Legal Division of the Department as to the soundness, or lack thereof, of the arguments advanced by the Minister in refusing to conclude the proposed convention.
Respectfully yours,