800.51 W 89 Lithuania/1

The Secretary of State to the Commissioner at Riga (Young)

No. 271

Sir: Now that recognition has been extended to the Governments of Esthonia, Latvia, and Lithuania, it is deemed advisable to inform those governments that the World War Foreign Debt Commission has been created for the purpose of negotiating with the governments indebted to the United States in regard to the refunding and settlement of their indebtedness. Accordingly you are instructed to communicate to each of the three governments the text of the following resolution adopted by the World War Foreign Debt Commission on April 18, 1922.

[Here follows text of resolution quoted in letter from the Secretary of the World War Foreign Debt Commission, April 18, printed on page 397.]

At the same time you should communicate the text of the law of February 9, 1922, creating the above-mentioned Commission.32 Four copies of this law are transmitted herewith. In your note you should add the following statement:

“Pursuant to the terms of the foregoing resolution, and under instructions from my Government, I have the honor to inform you that the Commission desires to receive any proposals or representations which the Government of (here insert name of government addressed) may wish to make for the settlement or refunding of its obligations under the provisions of the Act.”

It is probable that these governments will desire to send financial representatives to Washington for the purpose of dealing directly with the Commission. If so, the Department would desire to be informed by telegraph of the personnel of such representation and when it is likely to arrive. You may make informal inquiries on [Page 412] this point and in your discretion suggest that it would be agreeable to this government if negotiations were to begin at an early date; also that it is contemplated that representatives of foreign governments may negotiate directly with the Commission. You are instructed to inform the Department by cable when you have presented to the respective governments the notes called for by the present instruction. It is believed advisable that the three notes be presented at the same time unless there should appear to be special circumstances not known to the Department for pursuing a different course. In the latter event, if you should deem it advisable to present the notes at different times, you are instructed to submit your recommendations in the matter to the Department by telegraph before taking action.

This Government, of course, is anxious to avoid giving the impression that these governments were recognized so that it would be possible to negotiate with them regarding their indebtedness to the United States. Accordingly, you are authorized in your discretion to withhold addressing to the respective governments the communications called for by the present instruction for a brief period, if in your judgment such action should appear expedient.

I am [etc.]

For the Secretary of State:
Leland Harrison
  1. 42 Stat. 363.