File No. 837.51/283
The Assistant Secretary of the Treasury
(
Leffingwell) to the Secretary of State
Washington,
November 7, 1917.
Dear Sir: In the absence of the Secretary,
I beg to transmit herewith a copy of a letter dated October 29 from
the Cuban Government stating that under the Cuban Constitution it is
impossible to comply with the requirements of the act of the
Congress of the United States of September 24 in relation to loans
to foreign governments.
I have [etc.]
[Enclosure]
The Cuban Minister (
De Céspedes) to the Secretary of the Treasury
(
McAdoo)
No. 151
Washington,
October 29,
1917.
My Dear Mr. Secretary: With reference
to previous correspondence with your Department and to the
negotiations I was instructed to pursue of the subject of a loan
by the United States of fifteen millions of dollars to my
Government, I regret to inform you that, after careful study of
the legislation of the United States and Cuba on this matter,
and in view of the article of the Cuban Constitution that does
not permit loans to be contracted unless the Cuban
[Page 314]
Congress has
previously fixed the interest thereon, which makes it impossible
to enact any legislation that would be in harmony with the
recent act of the Congress of the United States of America
approved September 24, 1917, my Government is obliged to thank
the Government of the United States for their friendly interest
and willingness to subscribe the aforesaid amount of our loan,
and must have recourse to the bankers of this country for the
placing of our bonds.
This circumstance has not changed in any way the purposes of my
Government to dedicate the funds thereby obtained principally to
meet its obligations as a fervent ally of the United States and
the nations of the Entente in the present war.
I am [etc.]
Carlos Manuel de Céspedes
