868.51 War Credits/562a: Telegram

The Secretary of State to the Chargé in Greece (Morris)

57. Please advise Veniselos that the Greek Minister in Washington has again forcefully presented the views of the Greek Government requesting a postponement of the November 10th payment.

The Secretary of the Treasury states that he can not understand the insistence of the Minister in view of the fact that the Treasury has no legal authority to consent to a postponement, this being a matter solely within the jurisdiction of Congress. The complete memorandum of the views of Veniselos has not yet arrived. This will, of course, be carefully considered but can in no way affect the legal situation. The position taken by the Treasury is not based upon any lack of understanding of the difficulties confronting Greece but upon the necessity of the Executive authority insisting upon the legal rights of the United States. It should be especially emphasized that the attitude of American public opinion and consequently of the American Congress toward the matter of Greek payments will necessarily depend upon all of the facts and the position which Greece [Page 410] takes toward her obligations and that any attempt to discriminate against the obligation held by the United States would have a most unfortunate effect.

Stimson