845.515/546
Memorandum of Conversation, by the Acting Secretary of State
Lord Halifax called upon me this afternoon at his request to discuss the Indian Silver matter. The British feel badly that we are requesting them to guarantee the loan of the silver to India. I told [Page 261] Lord Halifax that this was a matter that had been carefully considered in the Department. He asked if I would mind reviewing the matter with my associates again and he stated he would send me a letter this evening that we could have at 9:30 tomorrow morning for our Policy Committee meeting, at which time I would review the matter. He said that even though our answer was in the negative, could we let ten million ounces of silver go immediately to the Indians without prejudicing the final solution.