811.73/248

Memorandum by the Third Assistant Secretary of State (Merle-Smith)

Memorandum of telephone conversation with Mr. Peterson, Chargé of the British Embassy.

Mr. Peterson stated that the Foreign Office informed him they were attempting to have Colonia return to British waters, but that he had just received a telegram from the British Consul at Miami that Admiral Anderson had told the master of the Colonia that he would make no objections to the laying of the cable outside the three mile limit. Peterson stated he did not want to be more severe than we were in regard to the actions of the Colonia, as the British Government might be liable to action for interference with charter rights if it should turn out that the Department would grant a license for the landing of the cable in the near future. I stated the Department did not feel itself able to take any position in regard to a British ship laying cables outside the three mile limit which in itself was not a violation of the law, and that I felt as to his own decision that it was a matter to be looked upon from their own interest as to whether or not, in order to avoid publicity which might possibly be embarrassing, it would be advisable to recall the Colonia to British waters. He stated that he felt it would be advisable from their point of view to avoid any possible source of friction and that he would therefore confirm his previous instructions in regard to the ship desisting in laying any cables either inside or outside the three mile limit.

Van S. M[erle]-S[mith]