Memorandum by the Assistant Chief, Division of Commercial Policy (Smith)46

The Commission on Commissions of the Economic and Social Council met this afternoon and agreed to recommend the creation of seven permanent commissions, as follows:

Transportation, Communications and Tourist Travel
Finance and Development Credits
Social and Labor Problems
Coordination and Relations with Other Organizations

At the close of the meeting there was considerable discussion regarding Commission VII. Drs. Rowe and Manger were present and raised the question of whether there was any need for a Commission [Page 184] on Administration, in as much as the Pan American Union would be handling the finances of the Council and “90 percent of the staff of the Council would be Pan American Union personnel.” Dr. Rowe and Dr. Manger seemed to take considerable satisfaction in and made repeated references to, the clause in the August 29 report of the Governing Board47 of the Union regarding the Council, which gave the Union in effect the management of the Council’s finances. This was a surprise to most of the members of the Council that were present, and even to the presiding officer, the Ambassador of Honduras,48 who had signed the above-mentioned report in his capacity as a member of the Governing Board. It was quite evident from the tone of the remarks by Dr. Rowe and Dr. Manger that they considered the Council in a sense as a sucursal of the Union.

This is another evidence of the recent trend we have noted in other respects, and I suggest that if this matter has not yet been taken up by Mr. Braden with Dr. Rowe, it should be in the immediate future.

H. Gerald Smith
  1. Addressed to the Assistant Secretary of State, Braden, and to the Chief, Office of Financial and Development Policy, Collado.
  2. Not printed.
  3. Julián R. Cáceres.