§ 18. Sir BERTRAM FALLE
asked the Secretary of State for Foreign Affairs whether he is aware that all the Argentine railways capitalised by British investments have presented joint notes to the Argentine national and provincial Governments, requesting a reduction of the indebtedness to those railways in accordance with the judgment of the Argentine National Supreme Court that the railways are not obliged to effect services for the nation or provinces without payment at the time in cash; and will he represent to the Argentine Government that they should meet, in cash their obligations to the railways before the conclusion of any discussions about the import into Britain of Argentine wheat and meat?
§ 17. Sir ROBERT GOWER
asked the Secretary of State for Foreign Affairs whether he will consider the desirability of making representations to the Government of the Argentine Republic regarding its failure to pay the freight charges due from it to British railway companies operating in the Argentine, thereby causing losses to British investors?
§ The SECRETARY of STATE for FOREIGN AFFAIRS (Sir John Simon)
I understand that negotiations on this question are now proceeding actively be- 11 tween the railway companies and the authorities concerned, and I trust that they may be successful. No request for official action has been received from the railway companies, in whose hands I think the matter should be left for the present.
§ 19. Sir B. FALLE
asked the Secretary of State for Foreign Affairs whether, now that the Chilean presidential election is over, he will take steps to secure a cessation of the default by the Chilean Government on its obligations to British subjects who have invested their savings in loans of the Chilean Government raised by public subscription in Britain?
§ Sir J. SIMON
There have been clear indications that Chile, in accordance with her financial traditions, intends to resume payment so soon as the improvement of the fiscal resources and the availability of international exchange permits of this being done. In particular, His Majesty's Government have been gratified to note from the Press that the newly elected President of the Republic, Senor Alessandri, has declared his determination to do his best to find some honourable and satisfactory solution. The Council of Foreign Bondholders are maintaining contact with the Chilean Embassy in London regarding these defaults, but I do not consider that official representations would serve any useful purpose at the present time.
§ 20. Sir NICHOLAS GRATTAN-DOYLE
asked the Secretary of State for Foreign Affairs whether he will make representations to the Hungarian Government that they should carry out their undertaking to British holders of defaulted pre-War Hungarian Government and municipal securities in accordance with the arrangement hitherto administered by the Anglo-Hungarian clearing office?
§ Sir J. SIMON
His Majesty's Government have already urged the Hungarian Government that payments in arrear in respect of these obligations should be effected at the earliest possible moment and that future payments will be punctually made as they fall due. The Hungarian Government, in their reply, have emphasised their desire to fulfil these obligations, but have stated that, in the 12 present financial situation of the country, it is materially impossible for them to do so.