Foreign Relations of the United States Diplomatic Papers, 1940, The American Republics, Volume V

832.51/1767

Memorandum by Mr. Ellis O. Briggs of the Division of the American Republics

[Washington, undated.]

The immediate background of Mr. White’s call on the Secretary of State on March 4 was as follows:

1. On Friday, March 1, Mr. Livesey¹⁶ telephoned to Mr. White in New York to inform him of the substance of Ambassador Caffery’s telegrams, including no. 78 of March 1 [February 29], and to inquire whether the Council was prepared to refrain from adverse comment on the debt offer suggested by Mr. Aranha.

2. On Saturday morning, March 2, Mr. White telephoned Mr. Livesey to say that he had canvassed his Executive Committee and that the Council was not prepared to refrain from adverse comment.

3. The situation was reported to Mr. Berle,¹⁷ who thereupon telephoned to Mr. Traphagen, indicating the seriousness with which the Department viewed the situation. Mr. Traphagen said that he would endeavor to arrange a meeting of the Executive Committee on Monday, March 4, and asked Mr. Berle if the latter would send him a letter outlining the situation as we saw it. (Such a letter was drafted and sent to Mr. Traphagen by special delivery that afternoon—copy attached as enclosure 2.)¹⁸

4. Mr. White telephoned the Secretary’s office on March 3 and arranged an appointment with Mr. Hull at 3:45 p.m., March 4.

5. A telegram was received from Mr. Traphagen on the morning of March 4 reporting that he had been unable to arrange for the suggested meeting that day of the Executive Committee because no quorum was available. See also Mr. Traphagen’s letter of March 4.¹⁸

The meeting with Mr. White mentioned in paragraph 4 above took place from about 4:30 to 6:40 p.m. March 4.

16. Frederick Livesey, Assistant Adviser on International Economic Affairs.
17. Adolf A. Berle, Jr., Assistant Secretary of State.
18. Not printed.
18. Not printed.