740.00112 European War 1939/956: Telegram

The Consul General at Jerusalem (Wadsworth) to the Secretary of State

2. The following reply to the Department’s telegram of January 15 is based on information informally given me yesterday by the Attorney General.

By Admiralty warrant issued in London September 3 Supreme Court of Palestine was authorized to proceed on all matters of Prize Court. British Prize Court rules are applicable and the Attorney General is designated to conduct proceedings on behalf of the Crown. On the same date a British naval contraband control base was established at Haifa.

Only 10 ships all west bound (8 Italian, 1 Dutch and 1 Swedish) have thus far been diverted to Haifa. All were boarded in the Red Sea and a British naval officer accompanied by two or three ratings put in charge.

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The first six ships, handled prior to December 31, were released after unloading alleged contraband cargo. This cargo, seized by the naval control officer, was turned over to a civilian detaining officer representing the Attorney General, and the latter issued through the court registrar writs to all known interested persons. As yet, however, no case has come on for trial and the Attorney General expects that through sources out of court a considerable part of the detained goods will be released after study of pertinent documents.

The first week in January the “hold-back” guarantee system was introduced under orders from London. Under this system the next three ships (all Italian) and their cargoes were held only a few hours, the guarantee of the master and agent, countersigned by the Italian Consul, being taken that their alleged contraband cargo would not be delivered to the consignees except upon release of the British Ministry of Economic Warfare to be communicated through the British Embassy in Rome and if not so released would be returned to Haifa.

Under this system with which the Italian Government is cooperating the alleged contraband is detained in Government warehouse after unloading at Italian port.

Were an American ship to be similarly diverted to Haifa a similar guarantee would be accepted but my countersignature would not be taken unless believed by the Department helpful to American shipping interests.

The last ship handled was the Conte Verdant brought into Haifa yesterday morning with alleged contraband cargo for transshipment at Italian port to an American bound vessel. It was released after 3 hours detention on guarantee that the transshipment would be witnessed by a British Consul.

The Attorney General believes that under the new system only contraband cargo consigned to persons on the British blacklist will be detained at Haifa.

Wadsworth