560.AL/3–548: Telegram
The Ambassador in the United Kingdom (Douglas) to the Secretary of State
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890. President BOT has considered Havana proposals (Havana unnumbered March 4, 11 p. m.,1 Deptel 772, March 52) and will recommend acceptance this solution to his colleagues but indicates he would wish see exact text of Article 23 as finally amended. Embassy understands British acceptance not formally cleared with Cripps but have every reason believe he concurs.
In accepting US proposal British understand: (a) They have clear option operate for duration their transitional period under terms relevant paragraphs Geneva Article 23.
(b) Their right to operate under Geneva text not limited by any provisions in paragraphs 1 (b) and 1 (c) of present Havana text;
(c) US delegate aware of British doubts re precise meaning paragraph 1 (b) (II) of Geneva Article 23 and British stipulate these doubts be removed by interpretive note to new Article 23 in following terms: “It was understood that a member operating in accordance with the provisions of Article 43 (I) (b) would not be precluded from operation under this Article.”
Instructions to Holmes to negotiate with Wilcox on above basis now going forward Havana.
Sent Department 890; repeated Havana 11.