The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
STRONG PAPERS, Strong to Norman, 1926 (List redone 5/2004, to include all materials) 1926 [January 6 (to Anderson)] [January 10 (to Anderson)] [January 15 (to Anderson)] January 18 March 3 March 6 March 11 March 17 C March 18C March 18 March 18 March 26C March 27 [March 29C] [March 30C] March 30 April 1 April 1 April 21 [May 15 (to Harvey)] May 15 May 15 (May 18) May 25 (May 25) [May 27 (to Harvey)] June 5 [June 5 (to Harvey)] June 6 (June 11) [July 5 (to Harvey)] [July 22] [August 10 (Harrison to Trotter, with letter to Prof. Han and letter of introduction)] August 18 (from Harrison) August 20 (from Harrison) August 21 August 27 [August 28 (to Osborne)] (September 12C) November 8 November 23 Note from original list: C = Cables November 26 November 26 December 28C Letters and cables with deputy governors also included in Strong's files with a few others, such as that to Osborne. Also letters to ER Peacock, a [Oct 20 (Harrison to Peacock)] director of the Bank of England, which were [Nov 8 (S's secretary to Peacock)] marked private for BS alone Strong Papers Key: [ ] = At earlier date, item was listed as present but no original or copy is now in Papers 06/01/04 ( ) = At earlier date, item was not on list but original is in Papers and was copied if no copy existed STRONG PAPERS, Strong to Non:icm, 1925 - 1925 1925 Jan.15 :-n.15 24 t Mir.9 1925 Tan.5 (to Anderson) Jan. 10(to Anderson) Jan. 15 (to Anderson) Mar.9 Mar.20 Mar.21(not sent) Mar.24 Mar.30 Apr.15 Apr.21 Apr.27 Apr.27 Apr.30 May 4 May 4 May 8 (fromsecy.) May 9 May 11 May 14 May 18 May 18 May 21 June 1 June 6 June 12 June 12 June 13 June 13 Mar.3 Au3.1 (to Anderson). Aug. 19 Aug.20 Aug-. 23 Sept.19 Sept.26 Oct.2 Oct.2 Oct.3 Nov.7 Nov.10 Nov.20 Nov.27 Dec.3 Dec.7(to Anderson) Jan.12, Mar. C, Mar.11 Mar.17 C Mar.18 C Mar.13 Mar.13 Mar.26 C Mar.27 Mar.29 C Mar.30 C Mar.80 Apr.1 Apr.1 Apr.21 May 15 (to Harvey) May 15 May 15 May 25 May 27(to Harvey) June 5 June 5 (to Harvey) Julie .5 July 5 (to Ilarvey) July 22 Au3.10(Harrison to Trotter, with letter t Frofl Harr and letter of introduct (fro,.: Harrison) Aug. 23 (fro.L Harrison) 21 Aug. Aug. gov. Nov. Nov. Nov. Dec. 27 28 (to Osborn) 8 23 26 26 28C ,Ost..2S1("garrison to keacock o Ieacoc cy. Miee-.1=Tolscriti+-0-o-s---to--at.9033,2; Nov.23 and Dec:42--ora-sent of EitRttrette. C -Cables Note: Letters and cables with deputy governors also included -In matron's files wit . a few others, suc1i LS tt to OwL_--_1. Also letters to E.R.Peacpck, a director of the / -.larked private for 3.S. alone. Bank of 2nsland, 441 January 18, 1928. My deer Mamba: ?hie is simply to remind you that our last underetunding M8s that you mould tgree with the othL:r central btnkers as to the form of letters to be exchanged with the betionsl Bank of Belgium in case need arises for the purchase of bills. You have already been advised of our stipulations, to which we believe you assented, thtt the capacity of the Bank to borrow money or to guarantee bills ehould be made clear are unmietaktble; that they should give us the guarentee to repay in our own currencies, and that the Finance Minister or other appropriate Ciovermilent official should undertake that no obstacle -All he interposed to the ehipment of gold. It might be well to have the form of these letters prepared in advance and &greed upon so that there will be no delay over formalities. I shell tike an early opportunity to discuss the matter of the revolving credit, which you mentioned Friday night, with Mr. Morgan tnd his aeteciatee, and advise you *net they say. With best regerds, sincerely yours, Right Honorable Montagu C. Norman, Governor, Bank of England, London, England. March , li28. My dear Monty: Thi E i s just r. line to advisc you that my return 'i-Acmy finds an accumulation of work and call that 58 a bit st,-.givr7eg. get after I aunt hart a few clays to catch my breath and then all the. various .matters tlat hey.. come from you, most of wh ch hciv2 been bold for attention until my return. The descrt bolidny proved to tiL a gr,fat ucc,:es. T did practictily uothing the entire timc.- that 7 w,.:s at Pain Ppringe, and for the first tin::: in ay life was ;aver guilty of procrestinatIng mail that came to me which did not seem to be rk-ssing, but it has the uncomfottabie co n se queneo of piling up work for my return. I of 'cry f: t, and of course greatly relieved about Katherine' 8 baby, ivasibiy you haw: not y:t had particulars. *She has a fine eon, born on tlx 28th, wW cn weighed 91 Founds, threatens to auburn hair and has been next:A after Phil. hav,,: ghtA Knthsrinc is and le v_ry well and very much ruffed up. Unfortunate,4 not eo good netts coy a to m: from Italy. iy EliotAt:r has bean quite seriously ill and they ft ratht.r oritioai operation. d th. need for a But the. 1...st retort is that and the operation has been deferred. A21 of this bears u -on my risme a bit anti early next week I must send you word lib:Alter ''.t v is bett,3r i bc nec;-;e- Hon. Vcntegu Norman vary to go to Italy aooncr Own I had ol armed and Just th-2 program bout F.n ry. liaaatime, sty best to you F h rt rays. y yours, nu.: filet t'ou. Pont,gu C. Porstn, Ttror;:::: hodgt , C...1a7den I.ondon, -ng'. and . , V.5/20 . V, pct 8, 1928. 00 NFI D. NT', AT, My dear Norman: Only today (Eaturday) have I been free to devote time to reading the lettere, documcnts, and cables relating to Belgium which have accumulated durin my absence, which include your letters (with related enclosures) of Fabruary 5, 11 and 19, and Mr. Osborn' s 1 Ater of February 5 addreased to Mr. Case. In fact there has not y..t been time for w: to give these pap:xs the study th y r/:qui re, nor have Lad the doc.umcnts ex7mined and com- mented won by soma of our exr rte, who hay have some v' we to express. But I shall not del ay longer to wri to you on that account. Mr. Parrison examine the enc:osurce with yours of Prd)rtytry 5 and the letters which have corn( to us directly from Belgium, P,nd ndvi a, me next week whether they arrear to be enti rely in conformity with our understanding, which I haw: no doubt to be the case. The following comments occur to a, in r,:ading youre of th... 'AL and the do cum nte which e.ccom!any i t: (I) I agree that there is no prospect ceirte and 7,ayments during 192.6, but (2) am wi ng, thi n r Tu P- abk their conc:us!ons. A forced conversion might .'invite a cainmity, end if conditions have reached so desperate a. point ne to justify thin equilibrium of r consider that to be nrimP.rily t ion for the bankers to deal wi th, and I 1 imits, to be guided by of an m...asury, it Right HDn. Montagu C. Norman. 2. would seem to me but reasonabl e that 3/6/26 b,nkf re shoul d defer a stabll i za- on loan until after it is disclosed whether the 'patient will survive en illness vit.i eh justifies r. major oreration. But I gather from your cable No. 52 that it has 8! nee been deci did to pl ece ey loan of 2,100 ,00r1,010. frmncs trough b.nks of B".tual. This I ge.t from one of Morgan' 6 cables in 'language' ougg etIng that t mry be oubstituting e. forced loen fore forced conversion, the consequences of whi ch might b_ to otimul ate th Belgian banko to e,11 (resent ho' dings of short gov_rnm,.nt ob.: igations to compensate the amount failing a markit for of thei r rartici nation i n suet, ouch obligations, fore.-!d 1 o an, or, It might obi ig- th.le to go to the Bank for accommodation, neither b ing sati sfactory consequenc;:s of such F method of doal. ing with the Dt:cember maturity. TN: rate of stabil i action nos 0.--,ntion,id StItinle to 44 to 1.,or4ito1. At4 to whi ch laf' s. 1 coo than CtO per frnc) , it would seAs that Osborn' e crleulatione of the relation between domestic and external ourchasing that th_ certain not et ell. mwer of the franc were reasoneb!y observ.:d, if theory and -trlying, sure that it is. oft, can be that calculation ie r sound one, end I ota But it is an im-rovmeent over the on T.:roponeti. of R ratio of one n-w franc to four old franca. Osborn' a mom) rr,ndurs yet sv,..en, but horo al factory. do cum:Alt 1 have there are certai n no into ;eh' ch arc ci earl y unszti e- Autonomy. cannot undcretc_-nd why tt be more Ai' iy The now Bank Law has not e..-cur-fd that, Pnd gas not coverA. It meats that we must lk,reettur the bank e condition. nfo no (b) from n' ight,.ning These are: (a) I so e the most "tat :, Li-.bt to t,h, Bank. TN: last cable Ind! cat.e that to two bi 1. ion frencs will be converted into a marketabl e security, 3/6/26 ~fight lion. Montagu C. Norman. but the reasone suggeeted by ilk Writing u7, the inadequate. 80, strike me as Osborn for failure to do book profit on th gold at the 'lower re-tio for the franc will bOr11 what increase the amount of reduction of the State Debt, le..Eving less to be repaid out of Lb_ Froceede of th, stabilikation it understood and they Pgrtt.4 that about 1,510,000,1100. trance o GII would be left for conversion ',not a very large amount) . The uncertainty as to the market for the securities can ba dealt with by F,0100 8Pecial arae the arrangem.nt as to paying interest, rangement with the Bank, :As which need be paid, in fact, only in case the eecuriti:,s Government Funds. c) It seems to me essential that all domestic be,.encee shouid b,: kert on der:osit with the cannot see why there fie any hesitation in National Bank, Find I adopting that fia r fixed policy. It requires no 1 egi al ation. On ail these points I shall be very much infueneeci by your own judgment. PoseibZy they are less i.nwortent in fact than they are as evidences either of failure to understand our point of vi el', or of lax procAure in giving them exeression. and, e.5 e;very one of them sate agreed to by Hautain, I recall, by Van de Vyvere as well, before they ieft FeN York: On the whole, I was rather encouraged by Oebornie m..morandum, ,-_67e.cl a:Ay that part appearing under paragraph 5, - r-r! cca and the relation between the clomeetIc end external Purchasing !ober of tit:: franc. Comments on your letter of February 19 must 0,, modified by the con- tents of your cable No. 52, which somewhat modifies your memorandum. (4) The proposed three year loan of $50,0.30,000 (with the terms made reasonably attractive) I believe could ba sold in this mark-'t, but tt.: bank,re ar,: the once to advise, :-And cone: d :ring the prop() eel . as you know, are now carefully The central bank credit I will di AWES 1P-ter. rroision that the entire 7-roceeds she' (5) reserve of t1 to. go to the National Bank of Beiglus and existing credits be repaid or cancelled, leaves a; in some doubt as tc just how great gained, net. 3/6/26 Right non. Vontagu C. liorm,ir. 4. benefit In other words, tow the whole Plan .111 work out. be I he'd asked Morgans if thoy can prepare figures from the date in their possession, and cennot form any orinion until I have examined them. (6) I have comm,..nt,...d on '..-.,arf.gra.ph 4, of your cuble above, in re- 2;rring to your m,morancum. (7) Tb..- 71, dg.-I of revenues of the rail way to the stlrvic:. of for :oans never bra aol.ealed to ee sound Pintoe:- P.,rson!,11.y, I i .r -f-r rn advi WV with a aefinf.tz.. undertaking to develop revenues for the bent=fit of the national budget. (8) Paragraph 5 of your cab14.: 1 t3 aati efacto ry if roe zed. (9) As to parilgraph 6 - the, c-onworsion slou!d, by all means, b,? effected to the extent of l ,500,000,000. crease the Governtacnt's interest tint::: Therc is no neod to insocur-Ales cfr d by thy: which may never occur, and a.rrangem:-.nts coti. d be MN:10 to sef..guard th: Treasury agalciat intorfuronce with th, markat for th-ir short obligations, Just A8 we do h,-.:re (10) Paragraph 3 is satisfactory, but very indernite. (11) As to -flaragraph 9 - I fina great difficulty in reconcil Ing what has lo,,:en done with the general tenor of cur discussions. On my r. turn home I 1%,%6 sur-o.rised (exTressing it mildly) to learn that some franca of Belgian bills boon sold 411.b 0Xchnng-:. guaranteed, through the First liationt.1 bank of Boston. And to say that i Atle. Eton; el;cd, on reneirt of your cablu, to le rn that the NR*Lionti Bank brd owed. ur.ccvered ammitacnte of forward ,.?.xchange to the; extent of tiout anyone kneeing 't, n is rp rues', ati, it most mildly. this c.ommitment !/8/28. !light }kin. kig.)ntegu C. Norman. 5. A recent cabit from Leffingiv.:7.1 states that s net, and that the Bank is uncov,i:rA to that ext.-int. Thi a simpiy means that un! cgs t35,300,0C:1. of short foreign currency obl gattuna can be.- kept flofting creci! Ls now contembruGl, the r.roceeda of t1' plated, to the extent that re7-ityment i s off cted, wi purfose Insti.:ad of apvlyicg to th.:: Bank's reservt. b._ an; i tad to that Th!s, end the repayment consid: r.ably imrai re the program, un3 se indeed the of other ob: Bank has been euccessful In accumulating balancee beyond the amount r,2contly a.dviaed to ue. Willie I was not ooposed to thl issue of for: P-..e currency ob.: igetiona t.z you and the others, it via n bccsius., I und_retood that th:, proceeds soui.d be sold by the Treasury to ti. : Bank in exch,grig,--. for BeIgitn francs, rind that the principal hazard wee simp4 that the Tr.easury, upon the maturity of the biL, 8, ran book ri ak es to its tbi ity to float sufficient Ocrsiati c Trisaeury bi 11 s to ene.bio it to renurchasr?. the vitluta from It now moms that these Treasury bi the bank. a me franc bills sold abron.d This ruts with the dank di recta y obl Igated for the forwrrei the entire burden on the Bank, Instead of leavirg it with the Treasury, where It belonga, unless I ism stakcn E to th_ form of the transaction. Ity tand.:retanding i s trier. the equivaient of awn, $t ,909,0 ^C. or $13,000,300. of these bine tive been d through Baca and and 41 i.:,00n,olo. or thereabouts are held by tilt: Westminster Btra, beei due those sold in thia country and el. Se Shure. t. i s of scoursgi ng to have thi s occur aI thout any being scot to us, :at t_ arm:; time that we art. being sdv:sed so ho fful'y of the ircnovem:nt hi the salute position, which is only an E.pifiront lar..rovea...nt arid not a one so long as Vitae transactions rare !Dying made. bit as to the future. It disheartens me a 8. (72) 4. than 4-,1 to I !'...ght Kan. Aiont.4-0 As to th., rate (paragraph 1')),, and much better then 4 to made on tht, ground. I . 1 No 3/e/%6. , I 7rcf,...r 4i to I a.s bettlr but must rc.ly ur.on thc: studi The dacree, once mad,-.t, will settle the matter, and I hone that its rublication will be deferrcd until we are certain that all factors of th,. situation have. been dise.osA and cons! dure.d. exchange coma tm.nt a. di 3 ei 0 SU which has shaken my fa t1;. souno:d the si tuatIon ( nar.tgraph 8) day. a The. forward Vorgs..ns yest ,r- ful y Info rued that I They .; not comm,,nt on thei r atti tude. (74) It .ie larossibl e for me to adv.7se you now whether you can count u--on nur narticiration in the contrrl bsnk er---dit. matcrlally altered that I feel bean coil iged to talc,: Csreci ft!. Ty in .4.'81,1 ngton, which I rand rat am The ^coition has t un again wi th my c. r ng to do on Monday, 1 ...wlnig tomorrow !, Eundly) for that -ur'nee At least on two --o'nts I la,:vE com7. to r v ry definite oono.l.us;on, and those are: ( n) That I am unwilling to r-coara-..nd our rarti ci nation in thi s credi t to my oyn etgly7:s in firs York, or to the. other Rflsorve Banks, until you ere yours.lf w" 7ing to cable me that you are 874tIsfi,,:d that everything hae been done that a humanly th-.. re vi 1 I or '. to Insur,: a successful transr,ction, Pnci that b,-.1 adequate surervi axon hereafter to further '.nsure that snot- unwi cone &rod act will not later aff-..ct the who y rl an; ( b) That thz-, Bank must be freed of this forward which it 1Gs undi rto.ken in bf;hal f of t1'; Tru.,asu 7y; hercofter; .end that it 3177 undrt.ak, bank and ours dinr!ot:y and fu' 7y infc.)racd that It and obi igation x c b n g te:I.:13.7 b k.rt fri,...:- ar=tter of routine to kee^ both your y mst,Jrial chAngee in their -position 'which hair. Any bcsr. ng at 7i" upon th akonz-V,,ry 7-coition, end 7. a lik. 116 lit Mo ,zu C. ..)/6/28. No of all commitments not shown in th:.-ir figures. Thl. difficulty 'bout our participation sill be to a fk rr year coma tar::nt. I frankly doubt whether it can be domi:. 1' thr,-..,- could doubtl t-.ss do it for a yes.r, or some part of a year, rr 1 hav; sow::: sort of understanding that if conditions are obo.rvA and continuo according to tb; ?rogrPut set out, and no changes made without our r:ssent, cone; der another But T wou-2.d much pn.f,..:r just to buy nirety day bills and koe,::, on buying without &finite commitment, so as to 1-,ave th- obligation linging someirlut as F AIR) rd of Dp.moel ea. Now I have written you very frankly end, of course, you r.1 understand moat eon.fidentielly, owrctly how I am lairre.su.d on my return home and reedi ng over all the papers. It i s rath.-r di scouregi ng. The impresslon i s not a And the di scoun,gcav nt do out of the fi gur:-.o and facts rs out of th: :f.y t of ftcto ry one. not e ri ar, so much situation is being handled in Belgium. The above you wi 11 undFret and a Fisnly an el rib° ti on of th:-. cpbl ',Ilia, will be sect next weA. 5 nccrol y 3-ours, P. b. - Tbe,re was unavoidable delay in transcribing the abov:_., but Bond it without uhp.ng,,, as as copies of our last cables, Nos. 5Z tyouis of March 4th) and 23 (ourb of March 6th). Right 9ono flontagu C. Norman, Governor, Bank of Mg 1 and, London, '2,rtgl snd. BE:14 March 11 1925. My dear Norman: T have etudied more carefully your letter of Februery 5, and the pepers coverin the Central Bank credit to the National Bank of Belgium to which it refere. It seems to us that your letter of December 8 addressed to Governor Hautein, As well ne his reply of December 15, are fully and accurately deecrintive of cur understanding of whet was to be the terms of the credit so fee es it concerns the Bank of England. It would, of course, be necessary for us slightly to very the terms of these letters in order to relate the agreement to e purchase of bills by this bank rather than to an advance upon the security of bills. It le, of course, not at all likely that any use Will be made of this particular credit. The form, however, seems to be imeortant in view cf the pending negotiations which may possibly involve a further agreement on our part to purchase bine. The undertaking which Mr. Jancsen has given to you in his letter of February 3, a copy of which you enclosed in your letter of February 5, appears to be wholly sstisfsctory so far as it concerns the present 110,000,000 credit. I wonder, however, whether it may be broad enough to cover any future credit which the Central Banks may extend along the sines of your letter of February 19 and your cable 4:54. There is, perhaps, no need to be too technical in 7ur construction of the letter, but we should be assured that it covers not merely the negotiations which have already been arranged, but similar agreements which may be entered into in the future. rhiie Governor llentein eteted to me in his letter of February 20 that the Belgian Senate would vote within e short time upon the amendment to Article 8 of the organic laws of the bank, nevertheless we have not as yet heard whether that amendment has been finally approved by the Belgian Senate or received Foyel assent. I presume that we will be advised as coon as the amendment has been adopted and a proved. Faithfully yours, Fight Honorable Montagu C. Norman, Governor, Bank of Fngland, London, Frigland. Benj. Itrong, Governor, 1 Form 12 arge to the account of __Boatreag____53_44.bert,r_st. CLASS OF SERVICE DESIRED Full Rem Half Week EF Ater Patrons should mark an X opposite the class of service desired; OTHERWISE THE CABLEGRAM WILL BE TRANSMITTED AT FULL RATES. WEST CAB NEWCOMB CARLTON. PRESIDENT WESTERN UNION UNION RAM GEORGE W. E. ATKINS, FIRST VICE-PRESIDENT Send the following Cablegram, subject to the terms on back hereof, which are hereby agreed to 3i 7/ 2 DEFERRED RATE Ploderite London Dibtreesed you -:re ill Please keep me informed STRONG Number Number of Words Time Filed Form 12 arge to the account of CLASS OF SERVICE DESIRED Full Rate Hoff Rat, red e141 Week End Letter Patrons should mark an X opposite the class of service desired; OTHERWISE THE CABLEGRAM WILL BE TRANSMITTED AT FULL RATES. Ba). Strong 8.5 Liberty St. WEST CAB NEWCOMB CARLTON. PRESIDENT WESTERN UNION New tor* UNION RAM Number Number of Words Time Filed GEORGE W. E. ATKINS. FIRST VICE -PRESIDENT Send the following Cablegram, subject to the terms on back hereof, which are hereby agreed to DEFERRED RATE Mara 18, 1826 Plodgerite London Th_,..nice delighted improved 3r.RONG Leaving Washington for seek March r,Y) 117JDt;NTIAl P. 79pt?. My dear rorwohn: It really di era ores 'fours of IfE rch 4th LEs just re ached R.Q. fott.i.w, of atich ciP .4E re '11-.E47 t o i tot (ithf.r wee or inntiretively felt to b.: the 4 r 11 tost:tlier tho such aeysnesptin aFiCrtneC.! tt atinde tlr; On ': of the things vhich you and I have attempted, rather vainly in 80me instances. Of course I r-rn going to Itray on account of my mother's Illness, and certainly could not go there without seeing Stringhor. I shall go with an open mind, and I guess you can assume that I shall leave with my hands free. Vol pi must not overlook the fact that he himself urged ma to talk matters over with Ftringher and is atilt expootike, me to mr-k .-. the visit, as lEerned directly from home. Eome things in Germany have ciisapcointed me a bit, but the gre'afest of all diss.p7ointments is the outcome at Geneva. The effect in this country is bad end sill get worse, I am afredd, before it is better. I Rai distressed to learn that you are laid up, and as I cabled you privately yesterday, I hone you sill keep me advised. letter and best regards as ever. Sincerely yours, Fight Fcnorttle Monthgu L. Bank of London. BEIM and, hormp.n, Deny thanks for your lb 4,4 March 18, ?WO'. Dear Covc.rnor 'Norman: This is to ooknooledee your ietter ox' 'March ;, anolosing ,,iuo.:=.tione for r-vericn sitneesee before the Indian Commission, which I t:.1 glad to have. Sincerely youre, The Rt. Honorttle Montagu C. Norman, Comernor, Bank of Eni;lud, London, Lnelend. CONFIDENTIAL. Decode of cabley ram from : FEDERAL RESERY BArz OF NEW YORX, KEW YORK. I (ame)Fri.26th March 1926. Received ,inagie 7.45 p .m. (date) (amoiri.26th March 1926. Despatched : (date) (7489) 1/26 -15110 N °' Confidential for Governor. 40. Your 75. 1. itrauss in Paris and leaving soon for Spain. through Guaranty Can be reached Alexander has matter under Trust ';ompany, Paris Office. consileration decision as soon as possible. 3. May be necessary for me to delay sailing b now made possible by Mother's improvem defer final reply as to my own plans. 4. Shall reply as to Ryan and Zelly as soon than. J2RONG. r Z70 Perk Avenue, New York City, March 27, 1f.?26. Dear Monty: This ie a very pereon-L1 letter, but I must dictate it for want of time to write by lead. It le my firet op2ortunit: to srite you for turfs time, es I have seen terribly rushee. First about my plans: I have had to cancel my passage to Naples on the third. Had my mother' e illness continued serious I certainly wouie have Ehnen, but she is very much improved, in fact hers teen out walking, and will likely be able to return tome the latter pert of Meantime, we hove gotten into a legislntive tengle in liashiegton over some of the banking tills nos penning in Congrese. The Bonet Colatittec cn anu &urrency has decided to make a rather extensive in.-uiry into some of our operatione, especially those with *hi Lb I tn,ve more concern than almost anyone else. They arc also proposing to explore our Hank of Faglanc credit. Governor Criceinger tans rgeC me riot to leave until they know just how thie will develop. Then, again, yblic situation is complicated by your Indian Currency in :nil ry There le a etrorg reeling emong some of my frienae in ia.ehington, that it would be a mistake for anyone of particular prominence or intimately ?..03,-)ciutecl with our government to appear at e public hearing; but the matter is left largely to me to decide La to my own hppeartnce. Of course tau I gone to Italy, it aouiti have been impossible, tut non that I am delayed by these heeringe in kaehington, it may be impossible also on tnnt account. But it sail directly for iondoni, with the intention of appearing, or et least with t-lao intention of decieing vht :tner to appear or net after Ely arrival, end rfter opportunity to talk the matter over with you sand with Mr. Hilton I am not celayee too long, I coule, of course, Young. Thie bane, the iii OD., 1 WA getting together such Gate. se I can on the whole subject, and if I don't use it myself, possibly it may be used by someone else. Continued abeence in anshington end Jack korgn' a illness delayed approaching others. I advised you by cable that George Roberts end illbert btrnuee are both in kkirode. Roberts' qualifications are exceptional; he was long director of the mint; and a man ;dune renutntinn 4Loulc 6ivo he is a very sound economist; ',eight. iut of course I don't icons what he would say, and it is highly desirable that you Albert Straus is a bit more nhonin explain the ihole nitration to him. he is a man of wide lenowledge; has etuctieo this subject a theoretical.; -Ale of cource his etatement should carry some weight as be was good deal; the very largely responsible, - possibly more than anyone else - for Mr. Norman 2 ait IP Ili 8.27.26. preparation and padsege of the Pitmen Act. I think it was his original In both cases I am somewhat troubled by the impoesibility of idea. Mr. Marburg I have these two men adequately prep:Iriag themselves. not approached ae I did not reel it desirable to do so. with you about this later. I will talk Yesterday I had a long talk with Gornelidta Kelly, and em meeting him and John Ryan at lunch today in an ef'..'ort to make up my mind On the whole, I believe whether either of them should be asked to appear. Very confidentially, the property which they control end run, and not. which is cne of the largest copper proaucere, might well be closed, or certainly its opt reeiccs reoderea so much lees profit hid as to badly vornoliuo cripple them in ease the silver :sartcat raw iergely lost. Kell; is the Preeident of the Silver ?roduere. :eeocietion of fewerioe, and the mere feet of his appearance Right stir up the silver miners to an org,eleed efi:ert to defect the propoeel, ebiol, 'Aoula quite likely take a political turn and plunge us into all eorte of difficulties. ie will Linel, today, and I viii and e line to this letter tevis- Ahat I need especially to enoe ie .fteteer the ing you of tee rsoult. henringe ere to be public or prieetc, ead hoe locg they 41.11 continue. I think I can :.,romiee you Viet I will have ell the CLtes that crt bci had as to the effect upon the mining industry, end a gcoci deal besides that. But -foe reelize that it bill be very eifficult, for me to casoude the highly technicil problem of the IiI6511 Currency feem L. LULL, 1 ueelet feel coaetreinee to etendeolnt, :ale, at the ti minimize the extent of our pereonel interest in seeing the project, at least for the L)resent, thaacioned. I have cillee in tee eervice of one or ...to men of large experience in mining statistics to aid in the preparation of the ireformetion, *.nt .:111 ;-(1,ree thtt the eetim!te of 24 pence as the prive of silver, if this project is definitely undert,iken, fisvesp optimistic as t:, be regardoe 1.,..-zt as leislxing, uSU ;osaibly ha.i.ardou.a. by The world 411 lose the market for one-half of its d roduction, in will reef.; the equivalent iu c.rOloCLi0:1 ar.21,I1 to over three yehre' normal output. of And the estimste is that silver will sell It 50 cents, ae Ngeia5t the present based upon (ea alamieetiee of tee price of silver over a long period of years, including values 3kibSey..161.11; to The iniaieem prioe we 50 cents td-metelieen ty Gerc.iay. t'he ebendenment I believe in this period, but the conditions are wholly airdisailer, and I surprised to see tea merket value of Silver promptly could not be out in half. Ile also have a feeling that there is miec:Alculation in the esthete of the ezmun reeuiree under the plan to meet existing rupee price of 5b cente. Vein! semis te) All of this will be developed in the course of our studies, I 411 either send you the reaulta or tuks them abroed with me. liabilities. :eei lave b.en 6oiue, throut,it 4i.filcult time *itia our stock market, but it is much better to have it over with. The big speculative end I eat! little Likelihood of its recurboon! in etecke it undoubtedly ever. whether the decline mist, continued et. such h The only c.,ucetien rence. rate es to haze aemperiing eulect upon tueiueee. le hope not. You doubtless share my regrets that we seem again to have Yr. Norman drifted into period where unadvised and possibly 111 tempered public disc,45eione of all sorts of cuestions, political and otherwise, seem to be It will not help the gold standard. *hat stiirring up bad feeling wain. I most dretid is the possibility that American investor& will become co distrusti%1 of European conditions that they will button up their pocket b'oke; and then indeed it is going to be hard for everybody. If I go to &)gland first, it A final word about my plbna. mer,ne encountering your wet and foggy April weather, "nd I shell want to sty there .just as short s. time rats possible, going immediately to Italy. After that, my plane e.re still to be made. But I sight, sc from there to Vienna bad Kate a rzther Iiesursly trip throu!h part of C9ntral Puropel, 'trading finally in Berlin. It e.ty to that Garrard ;inat.on 411 join me there part or the trip. !het :.re your pl-;ns, and. how will you be situated for taking some time off too? My bf..st regards, ES P21 AWE. ArfectionAcly The EsL,Vut Holor,:ola lontagu C. :Ionian, Thorpe Lodge, Campden Hill, Lonoon, P. S. After my talk with Ryan and Kelly, I am satisfied that they could not go to London, and further that it is unwise for them to appear, all of which has been sent by cable. a March ..±0, My cenr Nra.n: LA Nemo ruacum kitzty thanks for ore of :A,,,roh had City Woo.. on the Beldiaa Budget prepared by do6hachez. It. Le an intereot- ink document. Faithfully yot.re., T1- :e N4ght Honori_bie ;fontt.igu C. Itora::..a, Governor, The Banic of En,glaud, Threadne;:d1 l_ondon, E. C. arce..t, 2, England. P-6R6o NAL AND CiNFIDENTIAL April 1, 1928. kly dear tionty: This is to elaborate tgonewhet, privately, on whet I am cabling you todr.y in my number 44. Mr. V.01 -tan' s absence in Bermuda hap made it imyroeaibIa for me to have a last Mrd with him in regard Lo the Indien Commission matter. It seemed to be of ouch grey:: import!nce that I felt justified in consulting far othere beyond the men named in our c,,blen of this week. I a have diacussed the project very confidentially with Dr. Stewart and Professors Sprague of Harvard and Hollander of Johns Napkins. They all agree that a Precipitate adoption of the gold standard by India vexild likely mean a cal amity. Yester- day I had a very confidential talk with Reynolde, President of the First National, Alexander of the Comzerce end we Righ of the WecheniCfs. They all expressed like concern. There at once arises, however, the ghost of .Pol itice rad political reactions to my appearance. I am asked Low it is possible to justify my appearing in opposition to the project irleen it is really a semi-political lunation between Great Britain and one of her ckminione. Vneze gentl.em,In have all had some anpreolation of the character of recent developments in India and how oasy it might be for my appearance to be misconstrued. Emphasis is given co this by the suggestion ao frequently appearing in financial and other publications, n.nd sueectes wide oocarionally by men of prominence, that there. is wile secret 7rogram in existence upon which you and 2. PIP 0/26- Pight Hon. Mobtagu C. Borman. I are working and which involves interference with monetary end financial r!fairs in other countries of a sort which is resented. Of course, i cannot close my ears to these arEurients. Tr? fact, it is the first thing which occurred to le when the suggestion about my appearance was received. Letters, and still more cables, are so uneatiesfnctory vehicle for exchanging views that I have decided to sail by the first steamer possible after the hearings in Washington about which I wrote you recently have been concluded. This, I fear, cannot be before the "Olyar-,ic" on the 17th. Desiring as earnestly as I do to be of some easistanco, I neverthelees feel much doubt as to whether my e-ppeamance before the Commi scion will be a service or a disservice, and in any event T cannot undertake to do so unless others with whom I must consult are in entire er!reement as to the wisdom of doing so. You might consider this se also answering yours of the 9th. there is any chrnge, I shell of course cable oroi-tly. Sincerely yours, lhe Right Honorable Montagu C. Norman, Thorpe Lodge, Campden Pill, London, England. B5:11 If April 1, 1928. Lear Korman: I as just in receirt of your lf:tter of Irprch f..7rd it1. the va.rious enclosures, which I shall reed Pt the first or;brtunity. Leffinrgw,111 I e back, but I have bkd no cr;ortualty yet to set, hits. pith best rsgards, Sincitrely yours, Montegu C. Governor, Be nk of !.11g1 and, Tbs.: Right, ib no nt bi. London, rbglextd. BI,s1 No rrn nn , April 21, 1926 Dear Governor Norman: The "Coal Report" which you were good enough to send came some weeks ago, but even an acknowledgment of it has been delayed by almost constant absences. have it. I am, indeed, glad to And if Volumes 2 and 3 can be sent to me later, I shall appreciate it. with cordial regards, I em Sincerely yours, The Right Honorable Montagu C. Norman, Governor, The bank of England, Threadneedle Street, London, E. C. 2, Eng I and. 0 On board s/s "Aquitania", May 15, 1926. My dear Norman: Just before leaving, Mr. John P. Ryan called to see me in regard to Ir. Simmons' visit to London. office. You will recall meeting him at my He expects especially to be entertained in some way by the London Stock lxchange, but I am not acquainted with the details. He has it in mind to make a speech, and I believe the proper setting for a speech is a dinner. Tould it be too much trouble to send out some of your Stock Exchange friends to see what they have in mind for Mr. Simmons, and if they are going to give him a party they might be warned that he will likely make a speech. I have used my influence to keep it as short as possible. Sincerely yours, The Right Honorable Montagu C. Norman, Governor, Lank of England, LONDON. BSIM ist S Aboard o/s "Aquitania", Hay 15, 1926. Dear Norman: I happened to meet the President of the American Bank Note Company, whose card is enclosed, and he said that he or his associates would be very glad indeed to be of any service in connection with your preparations to print the currency notes. He seemed to feel that there were many technical difficulties to overcome, in which their experience in very large printing operations might be of some aid, but he was also careful to explain that he understood that you were going to do the printing yourselves and he thought that woo the proper course. If you feel there is any advantage to be gained, ho would understand if he were cent for, but if there is no advantage, you can tear this letter up. Sincerely yours, Ths Right Honorable Montagu C. Norman, Governor, Bank or LONDON. R Pt BENJ. STRONG Hotel Chatham, Paris, May 18, 1926. 40 Dear Monty: The best I can do is to send you this dictated note, advising All the arrangements were made to per- that we had a good trip across. fection, and consequently I avoided any fatigue. Of course, since reaching Paris everyone has been after us, and so far as our talks have progressed, I see no light. Yesterday I had a long visit with Tom's partners and vont over the same ground, more or less, that we discussed in London. Afterwards I spent a couple of hours with my friend talking things over very frankly. with him today. I shall have another visit Statements I made to him are sympathetically received and, I believe, fully understood. described to us in London. The difficulties are e It really is more SQ need of a man than of a plan, and behind the man real patriotic cooperation by all parties. I cannot write you very fully until I have had further talks, and possibly not until after I leave Paris, but you will hoar from me just as soon as possible. In the meantime I shall ask Colonel Harjes to keep Tom advised. Sincerely yours, Right Honorable Montagu C. Norman, Governor, Bank of agland, London. Grand Hotel, Rome, May 25, 1926. SEND. STRONG ti 'A.d P:RSOFAL My dear Norman: Thank you for yours of the 20th bringing me up to date in regard to your conversations with T. '7. L. I have been unable to write you about my own discussions in Paris for sheer lack of time. It was, of course, irpossiblo for me to decline M. Peret's invitation to see him Wednesday evening, but I took Governer Robineau and Mr. Warren with me and had a talk of about a half hour. I could simply explain that I had no power, practically or legally, to discuss credits with the French Government, but would be glad to explain what I had stated to Governor Robineau, with which the latter was in entire accord. And then I made it clear that a credit such as was discussed at the Bank in London was at the present time out of the question, in the absence of a comprehensive program. There has been a great deal of discussion in the press, so far as I can gather all of it misleading, as usual, and all of it more or less ombarassing. The newspapers are nothing short of pests. Robineau and I seem to be in perfect accord. The idea now being discussed is soma political understanding between various parties and a similar understanding between the Bank of Franco and the French bankers. If that can be arrived at, the discussion seems then to tend towards turning over the monetary problem to the Bank, with special experts to advise. I have no details, but if there is any substance behind these suggestions, they of course are in the right direction. Just now, I am so weary of it all that I am 111 2. Mr. Norman. May 25, 1926. 40 more in the mocd to listen than to go much further with it until after I have had a thorough rest. I will let you know my plans later and try and coax you to join me. e Right Honorable Montagu C. Norman, vernor, Bank of England, readneedle Street, ndon. Sincerely yours, Grand Hotel, Rome, May 25, 1926. 40 My dear Norman: I am just beginning to read mail after a motor trip to Perugia, and find yours of the 20th about Mr. Ryan. He is a sort of advisor to Ur. Simmons, in some capacity which I do not clearly understand, and apparently has been in London for a few weeks in touch with the Stock Exchange authorities prior to Ur. Simmons' arrival. Thank you very much for your aid. I gathered from your earlier letter and our talk in New York that you would be interested in seeing that whatever arrangements were made were suitable. Sincerely yours, The Right Honorable Montagu C. Norman, Governor, Bank of England, Threadneedle Street, London. 4 Hotel du Cap d'Antibes, Antibes, June 5, 1926. 41 My deur hor..aan: I am just trying to catch up with some mail. Yours of May 31st suggests that Schacht is somewhat uncertain about my plans, as I indeed have been myself, so I am writing him today as per enclosed copy. Also, I em sending you a telegram as per enclosed confirmation. Yours sincerely, The 'ALM Honorable nntagu C. Norman, Governor, Bank of England, BS:M Enos. S Hotel du Cap d'Antibes, Antibes, June 6, 1)26. My dear Norman: Many thanks for yours of June let enclosing cutting from the "Times". Yours very sincerely, The Right Honorable Montagu C. Norman, Ccverncr, Era of Temgland, London. r 1 1 Hotel du Cap d'Intibes, Id Antibes, June 11, 1926. C.:. 41113ENJ. STRONG , I My dear Norman: Yours of May 19th has just reached me, after wandering about a bit for reasons which I do not wholly understand, but it was none the leas warmly welcomed. I am glad that we did what we could do in the Indian Currency matte and am glad to have you and your colleagues feel that it was worth-while. The Professors got a real thrill out of the experience, and I canno claim in their behalf that it was an act of self-denial or inconvenience, nor anything but a great pleasure. that they did a good job. They had a good time, and personally I feel Had I been in better form, possibly I could have contributed more myself. What you write about M. Peret'6 visit is no more than I expected. He made a very poor impression upon me indeed. I made a determined effort to avoid the embarrassment of declining a credit, in fact sent word in advance that I would be glad to accept his sugge tion to call and discuss matters generally, but that it would be bettor not to raise that question. On the other hand, that was the only thing he wished to discuss, and he was there with his experts and all the data, just as though I had stepped into the room with a hundred million dollars in my pocket, ready to deliver it upon receipt of his story and the security. I shall not burden you with any account of my doings, now that you a coming. 7e can talk it all over here with much greater advantage to both. 'Pith best regards and many thanks, believe me Sincerely yours, f The Right Honorable Montagu C. Norman, Governor, Bank of England, London. 411111 COPY New York Auguet 18, 1926 Bank of r-ngland London #47 STRICTLY CONFIDENTIAL FOR GOVERNOR ONE Wireless dispatch from London under date august 17 published yesterdays papers iefeis to curient gold shipments from Australia to this country as arrangement between yourselves and Commonwealth Bank of Australia Sydney Australis TWO Todays ticker service under ."an Francisco headline also refers to shipments as being for your account stating that purpose is settlement of international balances THREE Regret publicity for which I have no explanation now unless it is the London dispatch. HhrriF.on COPY CR OUTGOIlla CalltrZtatiIL Vow York, A. Y. Aueust 20, 1926. Bank of ?]and, London, No. 51 STRICTLY OWFIO1NTIAL FOR 001t!:AM1R. Your Bo. 63 One piednesciays re)ort aroused oonsiderable interest and vila followed b; exteAsive oonnenta in yesterdays and today' paoers. In the absadce of some authoritative announcement papers have speculated at length as to cause aql purposL of shilment. Three Consensus of press views is that Haveamt is merely to relieve usual fall strain on Sterling which it has been stated will be augaented this year by unusual purchases of ?Our American coca. We have received numerous inquiries but have of course made no statenent or explanation. Five Referring to your paragraph (a) Four have found in past experiences that informa discussion with ra)orters not for quotation usuall;; satisfies tnem and mares for saner and less conspicuous mow NO.2 publicity. Aide it seals too late now to suggest that course (b) as helpful in your nreseht embarrassment (Witch could not have been anticipated) it way be worth your considering whether you want us to have any such informal discussion in connection with succeeding shtmtints which will no doubt be linked with curre.t stories and very likely revivo discussion on each occasion. Oix Greatly regret embarrassment to you although press reports give fairly natural erplanntion and reactions on this side are generally favorable. Seven All advise you if we learn a:i.y further clue on ff :bail as to Royal Hotel, Evian, August 21, 1926. My dear Monty: Your note of the 17th just reaches me. There seems to bo one delay after another, and I am now almost certain that I cannot roach London by the 29th. So it must be a later Sunday, When I am to be in two places at once - three places at once will be too much for me! I have not yet received the pictures from Lime. 't Hoofs, but am anxious to get them. I did hear that the Schacht -Francqui plan had been torpedoed and am not surprised. Now let us hopes that they settle down to a non-political settlement. I am leaving for Paris on Sunday, and my present plan is to make some more visits from there, but will let you know lator. Best regards as always. Sincerely yours, The Right Honorable Montagu C. Norman, c/o The Bank of England, Threadneedle Street, LONDON. BS :1d Princooc Hotel, Paris, August 27, 1926. PERSONAL Dear Monty: It looks as though further travels would havo to end for me, as the time is approaching whon T must be home at ny dosk. In view of this, I am trying to get accommodations on tho "Mauretania" sailing on the 18th, so as to go home with the Morrows, and this means that I will be in London at the end of the first week or aarly in tho second week of September. rill you be there? I would have left earlier, but it is mighty difficult to get accommodatione. Bost regards. Sincerely yours, The Right Honorable Montagu C. Norman, c/o Bank of England, LONDON, E.C.2. BS ::1 THE MARCONI INTERNATIONAL MARINE COMMUNICATION CO. MAREsso McKim Smug.. LOssow. CHAMOIS SENT TO.... ..... .............. SHIP CHARGE DATE SENT. COAST CHARGE TIME LAND OR' SENT CABLE CHARGE or TOTAL MO K SASIO ORSIMMICATIIRI MARCOS! MUMS" TN! COSPUITI IM PREFIX NUMBER OFFICE OF ORIOIN DATE FILED NO. OF WORDS TIME FILED RADIO I I I I SERVICE INSTRUCTIONS The Company only accepts this Marcontgram subject to , ... OM condit ons printed on tai back hereof. Z- . t9 t cL-ttit (14c 1115,LL PLEASE SIGN in the space provided on the back of this form giving cabin number and postal address. ALSO Ask for OFFICIAL RECEIPT (GRATIS) which receipt must accompany any enquiry respecting this Nfarzonigram. ! HOTEL RESERVATION BY TH E MARCONI MA,.RCC)NIGFEA10" I S7 TE RNATIONAL NIA R FREE OF CHARGE NE I may send free of charge may COMMUNICATION COMPANY IimiTED CONDITIONS UNDER WHICH MESSAGES ARE ACCEPTED a MARCONIGRAM reserving accommodation at any of the undermentioned Hotels. Via any coast station in Circa, ,Britain and Ireland for : Name of Hotel Telegraphic Service be forwarded, may decline to forward such Telegram although it has been received for that purpose. 2.-Neither the Marconi Company nor any Telegraph CARLTON RITZ PICCADILLY of the Telegram, or delay, or error, or omission in the AU.NICKE A,D IRLS Awerr°77-, To CVa " Chatham. Mossochusetts for the underme Waned Amerkan Hotels : Telegraphic Addreee: Name of Hotel: C to etc, CaSte No. NEWYORK NEWYORK NEWYORK NEWYORK lelesraphie Address t Name of Hotel QUEENS SEAPOINT MARINE SEAPOINT ROYAL CAPETOWN CADARGA CAPETOWN Al In it. ?ENNHOTEL PRINCEGEO HOLLEYHO ony oast station in the L'nion of South Africa for : .ignOners %...ela;$11C 4 McALPIN McALPIN PENNSYLVANIA PRINCE GEORGE HOLLEY TELEGRAPHED). Address SAVOY HOTEL LONDON CECELIA LONDON METROPOLE LONDON VICTORIOLA LONDON GRANOTEL LONDON HIGHCASTE LONDON CARLTON HOTEL LONDON RITZOTEL LONDON PIQUDILLO LONDON HYDE PARK Company or Government Telegraph Administration, by whom this Telegram is or would in the ordinary course of the Telegraphic Service be forwarded, shall be liable to make compensatidiC for any loss, fujiiry or damage arising or resulting from non-transmission or non-delivery transmission or delivery thereof, through whatever cause such nun -transmission, non delivery, delay, error, or omission shall have occurred, even though occasioned by the neglect or default of such Company' r Administration or any Officer or servant in their employ. 3.-The Marconi Company only receives this Telegram for transmission in accordance with the provisions of the Regulations made pursuant to the Telegraph Acts, 1863 to x.13, and the provisions of such regulations shall be deemed to be binding not only between the Sender and the Marconi Company, but between the Sender and any Telegraph Company or Government Telegraph Administration by whom this Telegram is or windd in the ordinary Course of the Telegraph Service be forwarded. Telegraoklie Addeo.. SAVOY CECIL METROPOLE VICTORIA GRAND t. -The Marconi Company or any Telegraph Company or Gdvenunent Telegraph Administration, by whom this Telegram is or would in the ordinary course of the ROYALIST SEAPOINT MARINE SEAPOINT ROYAL CAPETOWN CADARGA CAPETOWN order that passengers may state their requirements briefly the following codes may be used : CODEWORD: MEANING Reserve Sitting Room, Two Double Bedrooms and Bath for. HANNIBAL. Reserve Sitting Room, Double Bedroom, Single Bedroom and Bath for. CAESAR. HORATIUS. Reserve Sitting Room, Double Bedroom and Bath for. Reserve Two Bedrooms and Bath for. TIBERIUS. Reserve Double Bedroom and Bath for. NERO. Reserve Single Bedroom and Bath for. ADRIAN. November 8, 1 26. PhIVATiis My dear Mr. Governors !Ind he I took your letter of October 2fl up to Governor Strong today, read it with much interest. Since that letter ie,e written you will 'tete heti word of his condition, tne I feel sure you will, in the circutettncee, uneeretend this sort of reply. Mr. Strong's principal comment was about the anti- tariff menifeeto, which he was careful Lot better he coula probady to ef..n. refer you In fact he said if only his head were a little to a pass:,1e in Uno le ht:anua which eouio exectly deecribe his own state of mind about that metter. Further, he "I might indeed have been very some of the other signers, but, as I recall, most varnish is atter, anu I was perfectly eatiefied ..hen Mr. helpful varnish for eiseolved in hot sell eekeu me to Lisn the menifeeto that it could be jumping into very hot water, which I eoelci not relish.* Mr. Strone; use interested in the i,CCOUnt of the central tank credit to terl6ium, He eind particularly, in 'what you write about Italy. 61.1C.1 that he, Italy ,t, ion oei personally, felt that it was unforteeate the offer was not made to It .iould have put all of the central sauce in correct Outset. relation to any importtot eentral bank. hot having been clone, it MKs certain to produce the inevitsbie result it A 1 of this Mr. at the in litoot Wee when the offer wee ede." Strong asked me to Irite for him, ,.rid, et. tee BelPf time, to aLippleMr:At, the word which Mr. Harrison hes earlier sent by telling you of his present condition arse plena. I tLifli you know thb.t. though necessarily claim. woul 11.8.26 Mr. Sp mark 2 progreee 1.13 no.' ettier?..ctory, 3. r. Ant. he it.-: ertill very Aeiik. It looks ati though it to et.rly Leber before to can be moved with coik.fort n.un safety. 1.ere he is Lo 63 to the Broadinoor ilo-..el in Gcloracto be uncer Then will at first touch vIth 1 r. .ebb at the esaitorius. of 2 nurse, a: in Atile the 1:.-nigth of Lis stay The cootor's prescription is absolute rt:t, there cepende uper, how ,.oickly he gets back his etre:4,th, we believe it will not be wise for hin. to return to the Eknk before sprinE. thaantine, Er. Governor, I nose it will iuelie,ht his to lv,v(9 your lettcre. In conclusion, while lir. :7trong amdc no cc:Ir.:cat on y'....Lr imrazreil;'n numbereu five, I shall tr!.:e the liberty of ,iskig kr. qarriL,on if he CettI you concernint, the Cr.Uit to the 5nnk of 7.:.:rigls.nd. r.e you knob, stan\3Ina; tale ::"arei6.1 maLtere. VW: aseurancen of my uuteeia, I :us Very truly yours, Lecret: ri to Yr. Eenj. Stront. The Rigt:t Honorable Montsio C. horaihn, of Lai,lana, The London, E. C. 2, hh:;land. 270 Paris Avenue, New York City, Novecber la26. Leer ;total: By this time you neve received more detaile of my illness, which +1'-s rather crow.: with explteine nay complete failure to easwer your leteers. 1 them de the Bank for not writing you more promptly and in more detail. st)eme that my Brother, in ,telling teem at charge the who Wb.8 .;hair source of inforar.tiou, wle very conaervative the bank now desperately ill 1 use. dereliction to him, instead of to Ana you will pleeee Mr. Harrison and the others. I won't go into the details of my illness for it is a ha.rrowiug subject. But it ri11 ewe me to eoloreuo Springs early in 1)ecember, where meet s eau the minter at the It P.:re March, or even April. ie rather more encouraging some X-ray pictured of my broeemoor Hotel. I doubt it I can get back be- Geptif laa upon anat develops. than I had thought poesible a lunge uiscioee the fact taut few the outlook weeks ago, because that this pneumonia hurricane has swept through me without affecting my lung concition a particle, in fact they seem to ee it will better thee ever. reiuire ems the difficulty Jo that I tam frigetfully ..eek and tine to build up enougn etrength to engage in any activity at all. So why uon't you come over ae usual, eprod a little time et and then come out to Colorado and spend a one of the nott beautiful hotels could have a quiet time together. little time with me? in the country, I tee I ink, ellell be et Earnest will be there, and ae By then I will be up to it. There are 11.23.23 Mr. Norman 2 *many thin,5 that I want and n,zect to talk with you about, anu without such a talk it Intl ;__. that nut year will aevelop aUficu1ti s which I greatly wish to avoid. eo plsaeo try to come. In moat respects I am satisfieo nith the Felkjan joo, but in one or two reepeots I wed a bit aiaappointect. On of these, Laid really the only one of any c..oneelutioe, ititst, the failure to get. the Bank of Italy into the party just ad soon as so learned that the hank of F'r-nce *oold come in. I will cave the details of this ;intil I ode you. I will not bother to ..wits you :Lbout. inerual ,:jueutions, out it you come, out to Colorado ritf can uiccuus thom in oetail. I have clilTioulties just as have, and Do., I 4:m golo!., to to handlooppsa ty bting away from the an when they rLt,uiro solution. You and I have been in harae.is now for tea years. they tre It may be that tdi,) L4.1t3 collars oft' of LIG Within toe next year and tuna us into the past7;re to roam a bit - in other koros, If ..e do, it suocessora. lamp burning. must. b::: turn over our jots to pith such underst.aluia6a sae ad Kepp the 5o, agt-do I eay, try to come over to sec me and we will talk it L.11 over. It .r.La ouch a relief to hive your letters. love Rat blot:sing, a thousand thuuce for the measagao of goo a will. hfrection;ituly, The ikint Honorable goloattozu C. iiormtn, Thorpe Lodge, Campaen Hill, Lonuon, 1 am 6enaing you my 270 Perk Avenue, Neve York City, November 28, 1926 My dear Monsen: ileerrin to yours of October 29, one of the first things which I red intended to do upon toy return home ..a to di 3coss bith my ussoci:tee 4 itobsible coatmunicottion to you in line 4th our conversation on the sobjoct of the credit to the Bank of 1,Ant;1,nd. but lay illneos hoe deloyod this. You me), recall ay stetine; that this subject sae on my colander to be tooen up about six months before the credit expired. Under tt e circumstooces, I hardly see ho it is possible for us to ex,-,reee my viea or us-kke any su6destions until we hear from you. The influence of the coal strike, ,-nd itu to ction upon your trade, h,s toen such oe to lake the treettsent or this credit one of special importance just nob. Ana these unexpected developments mast) it difficult for ub to 1.ntioipftte bhp t you Tay wish. On the other hand, it seems to be more important because of these developments that we should come to some understanding Pss to the terminttion or reoewol of th© credit, ano retch on understs.nding with Metero J. P. Morgan and Compony Lh' British Treasury bell in advnce of m..turiLy. clude your Treomory b,.c,use of the guaranty. I in- This will ovoid & grett deal of publio discusesion and comme.nt, one the sort of speculation which is not .;ood for the ex- ohen6e position ono atrtility anyway. You sill unaeretond ay writin6 you in they above spirit, and C'f: sure to toi.e it oe evioecce of our continu'd interest in your pions. kith warmest regt,rds, I n The Right tiouor&ble Montagu C. ',unwell, Governor, The Bozic of kiiglanci. Sincerely your:), r 270 Ferk :venue, Bev Tort City, ievoribpr ?6, My dear Muraun: This in the first d4 I have felt ablo to do =oh sore then touch the the firat matter on zy mind is your letter of October 2i.). surfaoe of things, l grit. ,,,nvaer it by parzgrephs as it. it, written. E4t iirst let. me say thet while ;r. Jny and Mr. He rrieon have tola we something oi. 80.14.ium ....at. what trnspired, ;ay discussions with then have been rAber gthieral ::acs details arcs still 1- leafs. . 2. I .1.z. not it.le to coswent much on interest r-stes. My incormation is too annoszplute, but if p: et ez;:erience is any d,,ide to the future, should nave stout 34 days of ft.irly active money, }_rid after the first or the year some ',Plaine, of ratse. It ees.ls to pie that you must grin and bet r the conse.uences of toreign loans, even if it does ek;cic soma gold out of you, b-osuee thoze lo-_n+ in tt,e run ars going to built.; up your foreign tr de, tnd with ti,e coal strike ended, surely that is stt..t you :seed more thin anything. It it unfortuwite hov- erer that he gale: drain c..unot h.e shift...et to us, Ind I wish Sch&cht could find *tease cir dr.:wing ui;on 3. LA for his re uirements. I have answered this through Miss B eeoor in y former letter, and the only adoitional coma:vat now justified is to expreee isatisfsotion that your swot of humor is still 4th you, nd that yo. recognize nine:: 4. From Mies :31..s,..-okeri c letter you ghthered that there were one or tvo things about the e.eliii,a1 Credit thA tion arising with the Elvank of Italy. ointed me, - principt.11y the situa- I wonder if you recall the talk we had at 11.2e.26 Mr. Norman 2 Antibes on t'ee subject of central beak independence. mina wue filled with whet I heti obeerved there. Having juet been in Itely ray It eeeme to me that it is a mis- take to expect identically the ti.::.me tretment of bent= ul countries. i Jeut: ..:Iferent It is just as impossible to expect icentic..1 reeelte in u oh oeee from our present efforts in that regerd es it is impossible to expect the Bali° size and ehtepe ehoe to fit every foot. -het is it and approprite in an engloureenitehie Sexon country, or in eey Gereeny or Kell enu, uey priete in Italy or Freace or in fetch rt. country es Finleedl in4proe Much espenda upon indiviuu :l s, - more even than upon lees or theories. The ec,,tion of the inclepeneeloc of the Be. ne of Itl.y at tee present moment it Et-I aw s to e:e should be vieeen a little differently from the way it ie ca be ;Jed I am inclined myself tea viewed in t.ny of the other countriee you mention. eeih the eituetion by putting "ineeeendenoe" in the noels on ono sine eela "et -Lii- izetion" in the eclat) on the other slue, and to decide thet stebilizeeiue outeelehe in importence yo ;r conception of orthodox independence. cote clone, I groile. be inclined to go right aleced Iu feat, were it left to my it Itelien steoiliaation if reLuested, juet as we diecuesed it in London eerlier this yeer with Lemont, end rattle° whet pro8reegs, if sny, is possible toeard an UnCierriteLdille a.8 to indepenceace. *ay be that no i roerees can be mode. will )-..e beide. controlled the It And I em inclined to thiee that not very much On the other henc, ehile 7 r. Natbein expreceed the view that Velpi o-' Italy, Volei bite expreeeed the view to others that as rapidly :es possible the Busk choeld be treed from political or Etete control. Furthermore, if you 411 compare the recoro of the reelaticne of the present Italiae Goverment with the Seek of Italy to that of other Governments kith their central banks, for ely the past three yet.re, I believe, you will find that the Italian Uove:In e hes a record for fairnese ehice. is juet as good, if not better thee, any of Leo others. 5 Mr. Norman 11.26.'86 To Lummarize, tberttore, I do not bet boa any of us c,n afford to ,.emit of tiny L.-lt in the Splendid progrete now being made to =rd monetary reorganisation in airope simply in order Cn attempt to impreea or itapobe any particular theory of central bank reano4ement and inlei:ei5dence upon the aovernment oi Ytniy. ..:Joh effort will tail Lnyway. It reassure me a.nd encourage me a good deal if I coule hr_ve word from you tb:.t you do not cie5gree with this vies. our In fact I 11:,,a gatherud L L at Antibes had left us fairly well agreed on the point. 5. I am ..riting you seprately on this. A dry or to z..go I :rote you about visiting very much. me. And I leant you to come A. to the time, I 411 need until Non Tears, to get on my feet. I find in my First ittle lone:ur aeeixyr, to get out of bed and into r oh it t,At I am udaae to et-nd up and am so exceedingly weak that I will not be of much use unoer six weeks or ixore. My boat reg-trus to you, +1.8 Yourb sioobrely, The ni6ht Sonorable Montagu C. Norman, the 1.1,anii. of Lce,lk.tc. London, L. C. 2, 11.41s.ed. New York, 71. Y. December 20, 1926. Aodgerite London Eon not having seen recent cable wchn,,afte Oat possibly having received your private letter sent through Uarrison asks me send vord he will soon take cottage ;she-1'111e and expects you there in .:anuary. ecretari.