740.24112A/12–347

The Chargé in Bolivia (Galbraith) to the Secretary of State

restricted
No. 1909

Sir: I have the honor to refer to this Embassy’s despatch No. 1787 of October 9, 1947 with which was transmitted a copy of Embassy’s note No. 444 of October 8, 194785a to the Bolivian Foreign Office concerning the United States position regarding the Replacement Program and referring to a project of the Bolivian Government under which all present restrictions applicable to Axis firms and individuals would be completely eliminated. The Bolivian Government has finally replied to the Embassy’s note and a copy and translation of its reply dated November 9, but not received until November 28, are attached herewith.86

The Bolivian Foreign Office, while apparently resenting the project basis of the Embassy’s action, has nevertheless replied in a vein which would indicate that far from the situation developing into one of complete pessimism, there is now a definite hope that some tangible program satisfactory to the Government of the United States may be brought about. It is believed that the situation has been aided by the submission of the British Embassy’s note in the matter of November 14, 1947, a copy of which was transmitted with despatch No. 1854 of November 14, 1947, because according to unofficial comment prior to the receipt of the Bolivian Government’s reply, the official attitude [Page 384] of the Government, influenced by pressure tactics of the spearhead firms, was that the war was over and the cases against the Axis interests were generally unpopular. On the other hand the Embassy has taken advantage of every opportunity to point out clearly to the Foreign Office and the Minister of National Economy our Government’s position with regard to this program.

In view of the Bolivian Government’s new official statements contained in the present note under reference, the Embassy intends to follow up these new developments by a formal meeting with the Minister of Economy, who is Chairman of the Board of Economic Defense, as soon as the atmosphere has cooled, in order to obtain the issuance of a corrected Resolution and a definitive windup of this problem.

Respectfully yours,

For the Chargé d’Affaires ad interim:
John A. E. Orloski

Commercial Attaché
  1. See footnote 77, p. 378.
  2. Not printed.