611.8131/62

Memorandum of Telephone Conversation, by Mr. J. Rives Childs of the Division of Near Eastern Affairs

I telephoned Mr. Reed in New York prior to his departure by Clipper for Morocco on November 13 and stated that the Department had considered his request that the Consulate at Casablanca be authorized to accept telegrams on the subject of his negotiations with the French Protectorate authorities concerning trade matters, to be transmitted through the Department for the British Embassy in Washington.

Mr. Reed was informed that the questions he had raised in his discussions with the Department on the subject of Moroccan trade were now being considered on a broader basis and that it was not believed that it would be necessary, in view of those circumstances, for the narrower basis of the negotiations to be considered as a practical possibility. It was stated that there was a possibility that the trade arrangements he had envisaged would be considerably broadened and in that case the negotiations would be undertaken directly.

Mr. Reed said that he was very heartened by this news and that he quite understood it in the light of the developments reported in the morning press concerning North Africa.

I suggested that when he returned to French Morocco he see our Diplomatic Agent in Tangier and our Consul General in Casablanca and that of course he would undoubtedly call on M. Monick, Secretary General of the French Residency at Rabat, at whose instance he had come to the United States. I expressed the belief that perhaps by the time he reached Morocco something concrete might have developed and that in such an event he would no doubt learn of it upon his return to French Morocco.

Mr. Reed thanked me for the information, which I stated was given him, of course, in strict confidence, and he added that he felt that if something materialized he would feel that his visit to the United States had been very well worth while.