[Enclosure—Translation]
The Dominican Minister for Foreign Affairs
(Bonetti
Burgos) to the American
Minister (Schoenfeld)
No. 598
Ciudad
Trujillo, July 30, 1936.
Mr. Minister: I have the honor to
acknowledge the receipt to Your Excellency of your note No. 249 of
June 18 last past, in which Your
[Page 470]
Excellency states that you have received
instructions from your Government to solicit the friendly
consideration of the Dominican Government regarding the opinion held
by it of the law of the Republic No. 1096 of April 29, 1936. In the
said note inquiry is made regarding the period of time within which
the Dominican Government hopes to be able to liquidate the debt to
which the said law refers; it is stated that the Government of Your
Excellency can not consider changed the international responsibility
of the Dominican Government with respect to creditors who may not
take advantage of the term of 180 days which the law provides for
audit of the credits; and that Your Excellency’s Government expects
that the transfer of funds provided in the law under reference will
not prevent or delay the payment of certain credits to which the
said Government had previously referred.
In reply, I am pleased to state to Your Excellency that the Dominican
Government, in its effort to liquidate within the shortest possible
time the said debt, promulgated the law of April 29, 1936. This law
will not only determine the perfect auditing of all claims against
the Public Treasury but will make it possible to put in the hands of
creditors certificates of credit which will constitute negotiable
values. The same law, in its Article 3, states that after all the
analyses and all the accounts and claims have been centralized and
all recognitions of credits issued that may be recommended by the
Examining Commission and approved by the Executive Power, the
National Congress will be asked to regulate and vote the sums
necessary for its amortization: so that the period of time within
which the floating debt will be liquidated depends upon the total
amount of claims which may be accepted and the amounts which can be
applied to said amortization within the possibilities of the
Treasury. I must point out that, notwithstanding that this floating
debt did not originate in the administration of the present
Dominican Government, this Government has made the greatest efforts
in the sense of cancelling it, as is shown by the fact that it has
paid more than fifty percent of it notwithstanding the tight
economic condition in which it has developed. There is, thus,
evident the interest of the Government in cancelling this debt, but
without this being felt by the public services of the administration
or lessening the impulse which the Government gives to the national
economy in order to conjure the prejudices [conjurar los perjuicios] the latter suffers from the
protectionism enjoyed by the production of neighboring countries
(which is) similar to ours, since if it should do this essential
prejudices for the life of the nation would be induced and the
interest of the creditors of the State would consequently be
prejudiced.
I have also to state to Your Excellency that the Dominican Government
can accept none of the considerations which are made in
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Your Excellency’s note
regarding the cited period of 180 days since they are in
contradiction with a law of the Republic, (which is) inspired in
honest principles of equity and which leaves open an ample
opportunity to all creditors of the State to justify their
credits.
Finally, I am pleased to say to Your Excellency that the transfer of
funds referred to will not only not prevent payment of approved
claims but will rather favor it, since the works which will be
carried out by virtue of that transfer of funds are productive works
that determine an increase in the national production and
consequently in the resources of the State.
In conclusion, the Secretary of State for Foreign Affairs has to
bring to the notice of His Excellency the Envoy Extraordinary and
Minister Plenipotentiary of the United States of America that,
notwithstanding the fact that in the note which is being answered it
is stated that the statements it contains are presented by the
Government of the United States of America to the friendly
consideration of the Dominican Government, the Dominican Government
desires to record that this answer it gives to the said note for
reasons of loyal friendship, of international courtesy and of
legitimate interest of the citizens of the United States of America
having credits against the Dominican Government, does not in any
wise carry with it either express or tacit acceptance of any
expression in the said note of Your Excellency which might be
considered in conflict with the sovereignty of the Dominican
State.
I take this opportunity [etc.]
