822.24/8–1647: Telegram

The Ambassador in Ecuador ( Simmons ) to the Secretary of State

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328. Colonel Macherey34 has just informed me that two official representatives Prague office of Empresa Nacional Zbrojovka Brnpn [sic] an organ of Czechoslovak Govt who are now in Quito have offered Ecuadoran Govt a contract for supplying Ecuador with 30 million cartridges ball steel point calibre 7.92 millimeters for Mauser short rifles and ZB automatic rifles for first delivery 5 million rounds promised within 30 days subsequent deliveries on similar monthly basis until completed, six equal semi-annual payments beginning August 31 continuing on last days of June and December until completed for total amount of $2,189,400.

Colonel Macherey convinced that only method of forestalling signature this contract would be for us to offer immediate facilities purchase comparable US material at substantially cheaper prices. Minister of Defense expresses definite wish to purchase from US and has given Macherey verbal commitment to withhold signature Czechoslovak contract pending prompt information on US prices, the terms of credit and payment to be worked out at later date.

Would appreciate reply as soon as possible giving indication Dept’s attitude and if latter favorable a statement on price per thousand rounds which we would be able to offer for large purchase of type contemplated in order to forestall signature of contract for which Czechoslovaks are now exerting strong pressure. Macherey convinced that Czechoslovak offer bona fide and that Ecuadoran representations are not to be considered as high pressure method of securing US ammunition at cheaper price.

Repeated Petropolis.35

Simmons
  1. Lt. Col. Earl J. Macherey, Chief of the United States Military Ground Mission in Ecuador.
  2. Petropolis was the site of the Inter-American Conference for the Maintenance of Continental Peace and Security which opened on August 15 and which the Secretary of State attended as head of the U.S. delegation.