860F.24/10–445: Telegram

The Ambassador in Czechoslovakia (Steinhardt) to the Secretary of State

442. Your 278, October 3. The Department may wish to consider the advisability of suggesting to Exim Bank that as a condition of financing one year’s supply of American cotton which may amount to as much as $44,000,000 the Czechoslovakian Government obtain a written assurance from the Soviet Government that no part of the cotton or the products derived therefrom will be requisitioned or seized by Soviet military forces in Czechoslovakia.

I am reasonably certain that the Czechoslovakian Government would welcome such a condition as it would hesitate to seek such an assurance from the Soviet Government unless obliged to do so as a condition of the loan although increasingly irritated at the extent of Soviet seizures.