Foreign Relations of the United States, 1961–1963, Volume IX, Foreign Economic Policy

202. Telegram From the Department of State to the Mission to the United Nations⁰

Washington, January 30, 1963, 12:40 p.m.

2043. Following is summary interview January 29 between Secretary of State and Paul Hoffman concerning Special Fund Project in Santiago de las Vegas:¹

Hoffman informed Secretary he had decided against sending investigator study feasibility Special Fund Projects Viet Nam and Cuba and felt had no alternative but to proceed with signing plan of operations for Cuban project. Repeated importance insulating Special Fund from cold war logrolling and his regret that US continued oppose Cuban project.² Conceded signing project agreement would inevitably attract adverse publicity which would hurt Special Fund as well as support for US participation in UN system. But as international civil servant he was under mandate to carry out decisions Governing Council once technical questions raised by US about feasibility project had been resolved, which in his view they had been by FAO.

Hoffman then informed Secretary that Special Fund intended cable FAO January 30 saying that authorization to sign project agreement would be given if FAO confirmed that three remaining technical prerequisites fulfilled, i.e., Cuba deposit necessary local currency, assurance freedom of movement foreign technicians, and availability physical facilities.

In reply Secretary declared anything related to Cuba was major issue for US. Cuba had brought world to brink of nuclear incineration and continued pose grave foreign policy problem. Hoffman, as international civil servant, had to reach own decision on problem. US, for its part, would continue make known its opposition to project.

For Embassy Rome: Please advise Dr. Sen of position Secretary took with Paul Hoffman. He should understand that we can neither approve, acquiesce in or remain silent concerning this project after it is approved.

Rusk

0. Source: Department of State, Central Files, 398.051/1-3063. Confidential; Priority. Drafted by Gardner and McKitterick on January 29; cleared by ARA (in substance), Wallner (IO), and Little (S/S); and approved by Secretary Rusk. Also sent to Rome. Attached to the source text is a January 29 memorandum from Wallner to Secretary Rusk, requesting the Secretary’s approval of the telegram and recommending against a final appeal from Ambassador Reinhardt in Rome to Dr. Binay Ranjan Sen, Director General of the FAO, to declare the Cuban project unfeasible, because Sen would probably ignore the appeal. At most he would send a special investigator to Cuba who would probably report favorably on the project. “At best, we would have gained a month without changing the outcome and at the risk of drawing additional public and Congressional notice to this matter.”
1. No other record of this interview has been found.
2. U.S. Alternate Representative Jonathan B. Bingham had told Hoffman on the telephone on January 7 that the United States would continue to oppose the Cuban project. Thereupon Hoffman became “very upset” and “said, in most vehement terms,” that “any such decision by US would be ‘stupidest possible’ in view of oft-repeated US position that special fund must be kept free of political considerations.” (Telegram 2639 from USUN, January 8; Department of State, Central Files, 398.051/1-3063)