814.504/7–2549
Memorandum of Telephone Conversation, by Mr. Ernest V. Siracusa of the Division of Central America and Panama Affairs
| Participants: | Ambassador Richard C. Patterson, Jr., Guatemala |
| Milton K. Wells, First Secretary, Guatemala | |
| Murray M. Wise, CPA1 | |
| Ernest V. Siracusa, CPA |
An appointment telephone call was put through to Ambassador Patterson at 4:30 today. Mr. Wise inquired regarding the status of American business interests vis-á-vis the Guatemalan Government and courts.
[Page 659]The Ambassador said that the situation was very serious and that American interests in Guatemala were being unfairly and unjustly persecuted.
Thereupon Mr. Wise informed the Ambassador that Mr. Miller, the new Assistant Secretary of State for American Republics Affairs, was seriously concerned over what appears to be an ever increasing attitude of discrimination against U.S. business interests by certain officials in the Government and courts of Guatemala. He said the Department was especially concerned since the attitude seemed to be influenced, at least in part, by foreign elements in Guatemala unfriendly to the United States. The Ambassador interjected to say that these feelings were justified. He seemed to refer in particular to the influence of foreign elements in Guatemala.
Mr. Wise stated that Mr. Miller in asking him to make this call wanted to emphasize that the Department was greatly distressed by what appears to be a growing lack of concern by the Guatemalan Government for the traditional good relations between the two countries. Mr. Wise referred next to the instruction which the Department sent to the Embassy in June2 covering the trend of these developments and placing particular emphasis on the apparent disregard by Guatemala for the rights of legitimate American interests there. Mr. Wise reminded the Ambassador that, as pointed out in this instruction, the U.S. Government was beginning to find it more and more difficult to conduct relations with Guatemala in the same cordial and cooperative spirit which had inspired it in the past since there appeared to be a lack of a reciprocal desire on the part of Guatemala to have relations continued on the usual high plane. Furthermore, Mr. Wise stated that the Department had been extremely disturbed to find that the President’s response to the Ambassador’s friendly representations was inadequate and unsatisfactory.
The Ambassador referred briefly to the June interview with the President and stated that he too had been most unfavorably impressed by the President’s response.
Mr. Wise said that as a result of these circumstances the Department had on July 27 forwarded to the Embassy a new instruction which should now be at hand.3 The Ambassador stated that he had received the instruction, had read it with care, and that he thanked the Department for sending it and for the stand which the Department was taking in this serious matter.
Referring again to the instruction, Mr. Wise stated that the Department was deeply concerned that the dispute between the International [Page 660] Railways of Central America and the labor union had not yet been settled and that from information which had reached the Department it would appear that this firm was not receiving impartial justice. He said that in certain parts of the United States public opinion was daily being more and more roused over this situation which was causing the Department seriously to consider withholding certain types of cooperation with Guatemala, including technical aid and funds for projects which are ordinarily of mutual advantage to both countries.
Mr. Wise said that the Assistant Secretary wanted the Ambassador again to call on the President when and if expedient and necessary in the Ambassador’s judgment. He added that the Ambassador should speak to the President in accordance with the instruction of July 27 and that he should present to the President an aide-mémoire covering the essential points to be made in the interview. Mr. Wise asked that the Ambassador inform the Department if an appointment were made with the President so that Mr. Miller could at the same time have a similar conference with the Guatemalan Ambassador in Washington.
Mr. Wise added that although the point was not covered in the instruction, the Department would like for the Ambassador to inform the President that this Government is quite disturbed over the nature of information that is being given out by certain Guatemalan publications and on certain programs over the Government radio. Mr. Wise emphasized that the information had the tone of a campaign designed to discredit the United States. He asked that the Ambassador tell the President that it was difficult for the Department to understand the biased picture which was being portrayed by this propaganda and that we naturally expect the Guatemalan Government to take action which will ensure fair overall treatment.
The Ambassador said that he appreciated the position which the Department had taken; that because of the apparent unwillingness of the Guatemalan Government to ensure fair treatment for American interests, such interests were in fact being persecuted in Guatemala; and, that the IRCA case had reached the point now where if the injunction appeal pending in the courts is denied, the railway will not be able to function and a serious question of a denial of justice may well develop.
Mr. Wise indicated that he sincerely hoped that negotiations now under way, independent of this Government, might be successful in bringing about a fair solution of the IRCA case and that the Ambassador [Page 661] therefore would not find it necessary to discuss the matter with the President.