824.6363 St2/285
Memorandum of Conversation, by the Chief of the Division of the American Republics (Duggan)
During the course of the conversation, the Minister informed me that his Government had not looked with favor upon his plan for the termination of the difficulty arising out of the cancellation of the contract [Page 326] with the Standard Oil Company of New Jersey, He recalled that his plan depended upon the Government in its presentation to the court suggesting that the caducity of the contract be declared, but not its cancellation. The Minister has been informed that the Government’s presentation had already been made at the time of the arrival of his suggestion and that it did not include the proposition for declaring the caducity of the contract. Moreover, the Minister was informed that the Minister of Mines did not look with favor upon the idea.
The Minister expressed himself as in a very pessimistic way over the possibility of a settlement now being arrived at that would be satisfactory to both the Government and the Standard Oil Company.