919.537/8–1951: Telegram

The Ambassador in Panama ( Wiley ) to the Secretary of State

secret

152. FonMin and Pres both informed me noon yesterday with satisfaction and evident pride proposed decree on Pan flagships had been redrafted (mytel 149, Aug 18)1 and that text completely consonant our desires and with requirements situation.

Last night Emb received copy in Spanish which forwarded Dept airmail today. Although Pres does not expect sign decree until after seen by Asst Secy Miller,2 text was printed in full in local morning papers.

On first perusal Emb finds proposed Pan action comprehensive and as adequate as could be hoped for.3

Wiley
  1. Not printed.
  2. In telegram 160, August 21, 1951, Ambassador Wiley reported that President Arosemena had actually signed the decree numbered 631 on August 18, and that his signature had been kept secret temporarily in order to test public reaction (919.537/8–2151).
  3. In a memorandum dated January 8, 1952, Mr. Nufer stated in part that “the Decree has been very effective in reducing the amount of Western flag shipping available for the China trade. Panama’s cooperative effort, however, faces the danger of nullification through re-registration of Panamanian vessels under British and Portuguese flags”. (919.537/1–752)