852.00/8216: Telegram
The Ambassador in Italy (Phillips) to the Secretary of State
[Received July 7—5:30 p.m.]
170. My telegram No. 165, July 5, 11 a.m. I saw Ciano last evening but did not find him very communicative.
[Page 227]With respect to the London Non-Intervention Committee agreement he thought that Franco would accept the Committee’s proposals although possibly with certain observations.
Concerning the British-Italian agreements, Ciano said he was doing everything in his power to hasten their being put into effect. As regards French-Italian relations, Ciano said the French were continuing to make as much difficulty as possible in all directions prompted presumably by their desire to prevent the British-Italian agreements from coming into force.
Perth now tells me that the Italian Government’s observations referred to in my 165, July 5, 11 a.m. were in form of a memorandum prepared by the Duce himself. He has no doubt that these observations were discussed at yesterday’s meeting of the British cabinet but has not yet received any word. Perth is disturbed by Mussolini’s refusal to proceed with conversations with the French until the British-Italian agreements are in effect. The French Chargé d’Affaires he says is inclined to think the Germans are intriguing to prevent or delay Italo-French conversations but Perth does not share this view. In his opinion this is the moment for the French and Italians to settle their problems because Daladier and Bonnet are sincerely desirous of doing so and are free to act at least until the French Chamber meets in October.