841.51/9–1247: Telegram
The Ambassador in the United Kingdom (Douglas) to the Secretary of State
urgent
4943. For State and Treasury from Gunter. Reurtel 3944, September 10. 1. Exchange of letters between Secretary Snyder and Chancellor Dalton without additional paragraphs concerning retroactive feature has been approved by Secretary Snyder, Clayton, Martin and Knapp.1
2. Question has been discussed also with Play fair of British Treasury who has agreed tentatively to exchange of letters with minor changes in text of letter from Chancellor to Secretary. He agreed that mention of retroactive feature introduced unnecessary complications at this time. He will clear matter with Dalton and inform us Monday, September 15. It is now proposed that letters both be dated September 15 and released to public Wednesday, September 17 simultaneously in Washington and London.
3. Following is revised text of letter from Chancellor to Secretary:
“Dear Mr. Secretary: I refer to your letter of July 14, 1947 relating to the postponement of certain obligations of the United Kingdom under the Anglo-American financial agreement. In accordance with the request of H. M. Government, the United States Government thereby agreed to the postponement until September 15, 1947 if [Page 79] necessary, of the obligations under Sections 8 (ii) and 10 of the financial agreement in the case of Austria, Bulgaria, China, Denmark, France, Greece, Hungary, Paraguay, Poland, Rumania, Siam, Turkey, the USSR and Yugoslavia.
Because of the modification of the system of transferable accounts on August 20, 1947 and the need to revise arrangements with the countries operating under that system, H. M. Government have been unable to complete the necessary arrangements with the countries referred to above. Accordingly, I should be grateful if the postponement of the obligations of Sections 8 (ii) and 10 of the financial agreement with respect to those countries could be extended until November 15, 1947.”
- Secretary of the Treasury Snyder, Under Secretary of State Clayton, William McC. Martin (Chairman and President, Export-Import Bank), and J. Burke Knapp (a representative of the Federal Reserve Board) were in London for the annual meetings of the Boards of Governors of the International Bank for Reconstruction and Development and of the International Monetary Fund.↩