862.85/913a: Telegram

The Secretary of State to the Commission to Negotiate Peace

3451. For Polk.

Your 4650 October 13 and 4625 October 11.48 Confusion and uncertainty has apparently resulted here and in Paris by telegraphic errors and telegrams which have crossed each other in transmission. We are therefore preparing for you an entire restatement of the tanker case which we hope will give the necessary information on which to act. This will be cabled as soon as possible. You understand we are not in accord with the action and opinion of the Shipping Board which couples the two questions of the Imperator and the tankers together.

For your information I quote a telegram forwarded to Davis49 at London in reply to a personal telegram forwarded through Davis to Shipping Board from Sir Joseph Maclay50 asking Payne’s51 personal good offices in expediting transfer of the Imperator to Great Britain:

“Amembassy London. Your 3211 October 9.52 Following is reply of Shipping Board to cablegram from Sir Joseph Maclay:

‘In view of what appears to us the arbitrary action of Great Britain with reference to the American tankers I have felt that the Shipping Board should retain the Imperator group of ships and place the same in service until Great Britain turned over tankers to the United States flag.

I have further to urge to your consideration and good offices that the requirements of the United States Shipping Board to properly serve urgent demands for passenger service dictate the importance of securing a sensible proportion of the German ships of liner class to be selected from the so-called Imperator group and/or the vessels approaching completion in Germany, such as Bismarck, Columbus; and others; and it is felt that in consideration, of this matter it is important that we be given the opportunity of presenting our situation for consideration of the duly authorized joint councils created by the Peace Conference dealing with a settlement of such questions. Payne, Chairman’

You may transmit the quoted communication to Maclay but in so doing please state that the State Department disclaims any responsibility for the statement therein contained.”

I have informed the British Embassy here that we disapproved of the action of the Shipping Board in retention of the Imperator but are powerless at present to expedite the transfer of the Imperator without the sanction of the President which his sickness makes impracticable [Page 554] just at the present. In light of this I am transmitting this telegram because Judge Payne so requests and because it may make easier in the future repudiation of the action of the Shipping Board. Judge Payne looks at the whole matter from the point of view of expediency and refuses to discuss it on a basis of right. This telegram should be to the British an evidence of this fact. You may let the British understand our position in this regard. For your further information the Shipping Board at present refuses even to consider a compromise solution of the tanker question which would allow the ships to depart on their first voyage between the United States and Germany leaving the question of management subsequent to initial voyages to decision of the Supreme Council.

… We are attempting to induce Judge Payne to accept the compromise solution mentioned above. I hope to take up the question of the Imperator at the next meeting of the Cabinet and then will probably be able to give you more definite information in regard to it.

Lansing
  1. Neither printed.
  2. Norman H. Davis, financial adviser, American Commission to Negotiate Peace; Assistant Secretary, U. S. Treasury, from Nov. 1919 to June 1920.
  3. British Shipping Controller.
  4. John Barton Payne, Chairman, U. S. Shipping Board, July 31, 1919, to Mar. 13, 1920.
  5. Not printed.