to contract for or buy as much of the entire surplus as possible before any further request was made that the embargo be lifted, as, of course, upon the general knowledge that this has been done will create a speculative market. I have made arrangements with very large interests to handle all or any part of this sugar that we may indicate. Our principal idea being first, to secure sugar for the United States; second, to secure the sugar at the lowest possible price; and, third, to control or indicate the channels of distribution after arrival here. It occurred to me that if your agent cooperated for all interests that expenses incurred by him could be prorated by the interests, as Mr. Giddings and Mr. Linn, your representatives, indicate. I have figured that your firm would handle approximately 10,000 tons of this sugar, the balance to be handled by firm or firms that I may indicate hereafter. I will give Mr. Linn copy of last cable from the Argentine to-morrow, which, I think, will assure you that permit will be granted when asked for. I hope that you will give this your immediate attention as we must work very rapidly to beat the speculators in the market. Yours, very truly, HOWARD FIGG, Special Assistant to the Attorney General. EXHIBIT NO. 2. Mr. W. S. FRANKLIN, DEPARTMENT OF JUSTICE, Washington, D. C., August 2, 1920. Vice President American Trading Co., New York. DEAR MR. FRANKLIN: I am in receipt of your communication of July 29 in regard to disposing of a certain portion of the 14,000 tons of Argentine sugar contracted for by the B. H. Howell Co., and in which the Department of Justice participated in distribution. I am very sorry to inform you that under no circumstances could the Government concur in the thought even of allowing any portion of this sugar to be sold in the Argentine. You will find attached hereto paraphrase of cablegram received from Wiley, in charge of the embassy at Buenos Aires, which very definitely states the position of the Government in this transaction. But in spite of this I took the matter up with the State Department and found that Ambassador Stimpson, from Argentina, was here. I arranged a conference with him, which took place Saturday, and I can not begin to make you understand how deeply he feels on this subject. He also brought to my attention a matter of seeming interest to you, and that was that if any portion of this sugar was not sold in the Argentine it would be ruination to the American Trading Co., or any other American interests that might be involved, as well as a very serious thing for the United States Government. I had a talk with Mr. Linn, your representative here in Washington, this morning, and tried to make him understand the seriousness of this thought. I do not feel that there is an opportunity for you or the B. H. Howell Co. to lose any money on this transaction, but that you will find a ready sale for the sugar on its arrival here. I have been assured by a great many dealers over the country that they are ready to buy on delivery, but would not contract ahead of time. I not only think there will not be any loss, but that your profits will be the same as you expected from the start. am leaving for a short vacation on Thurdsay and have left this matter entirely in the hands of Mr. Wilkins during my absence. With kindest personal regards, I remain, Yours, truly, HOWARD FIGG, Special Assistant to the Attorney General. ATTESTATION OF SECRETARY OF STATE. DEPARTMENT of State. No. 3978. To all to whom these presents shall come, greeting: I certify that the documents hereto annexed are true copies from the files and records of this department. In testimony whereof, I, Bainbridge Colby, Secretary of State, have hereto caused the seal of the Department of State to be affixed and my name subscribed by the chief clerk of the said department, at the city of Washington, this 19th day of January, 1921. [SEAL.] D. No. 103. BAINBRIDGE COLBY, Secretary of State. By BEN G. DAVIS, Chief Clerk. EXHIBIT NO. 3. [Translation.] MINISTRY OF HACIENDA OF THE ARGENTINE NATION, Having seen the request of his excellency the ambassador of the United States of America regarding the necessary authorization for the American Trading Co., purchasing agent of the Department of Justice, to export 13,909 tons of sugar of national production; and considering that the Government is animated by the desire to fulfill satisfactorily the foregoing petition made direct by a sister nation, the executive power of the nation, in general agreement with the ministers, decrees: ARTICLE 1. That the necessary permission be given to the American Trading Co., purchasing agent for the Department of Justice of the United States of America, to export to the said country 13,909 tons of sugar of national production. ART. 2. That this be communicated, published, and filed. IRIGOYEN. D. E. SALABERRY EXHIBIT No. 4. BUENOS AIRES, July 29, 1920. SECRETARY OF STATE, Urgent. Washington, D. C.: The price of sugar has gone up to plus 12 pesos paper per 10 kilos. The Government is being attacked bitterly by the opposition of press on account of the exorbitant price of sugar and the scarcity, which is claimed to be due to the permits granted for export and to graft. Sullivan is telegraphing to the American Trading Co. regarding their opportunity to sell at a big profit here. I urge that you direct the company not to sell any of the 14,000 tons obtained in the name of the Government under any circumstances. This would create a most unfortunate impression. WYLEY. AMERICAN EMBASSY, Buenos Aires, Argentina: EXHIBIT No. 5. AUGUST 12, 1920—6 P. M. Reference is made to your No. 185, of August 6, and No. 186, of August 9. 1. If approved by Sullivan, convey to the Government of Argentina that this Government desires to state again its appreciation of its favor in permitting the export of sugar to relieve necessities in this country; and that since the situation in the United States has been remedied in large measure through the courteous act of the Argentine Government and at the same time the market in Argentina appears to be suffering from a sugar shortage, this Government would be glad to resell to the Argentine Government, if it so desires, or on the market under the supervision, such quantities of sugar which have not already been exported to the United States; that the sugar is offered at 16 cents United States currency, and amounts to 4,383 tons. You may explain to the Argentine Government if you think advisable that the stated price is placed somewhat above purchase price in order to cover expenditures incidental to its handling, purchase, and storage. 2. Please be careful to avoid giving impression which you warned against in your cablegram of July 29, No. 178. COLBY. O SENATE. REPORT {No. 726. 66TH CONGRESS, RURAL POST ROADS. JANUARY 26 (calendar day, JANUARY 29), 1921.-Ordered to be printed. Mr. PHIPPS, from the Committee on Post Offices and Post Roads, submitted the following REPORT. [To accompany S. 4899.] The Committee on Post Offices and Post Roads, to whom was referred the bill S. 4899, to amend the act entitled "An act to provide that the United States shall aid the States in the construction of rural post roads, and for other purposes," approved July 11, 1916, as amended and supplemented, and for other purposes, having considered the same, report favorably thereon, with the recommendation that the bill do pass with amendments. The purpose of section 1 of this bill is to amend next to the last sentence of the first paragraph of section 6 of the original Federal aid act, approved July 11, 1916, to read as follows: The Secretary of the Treasury shall thereupon set aside the share of the United States payable under this act on account of such project, which shall not exceed 50 per cent of the total estimated cost thereof, except that, in the case of any State containing unappropriated public lands exceeding 5 per cent of the total area of all lands in the State, the share of the United States payable under this act on account of such projects shall not exceed such 50 per cent of the total estimated cost thereof, plus a percentage of such total estimated cost equal to one-half of the percentage which the area of the unappropriated public land in such State bears to the total area of such State. By this additional language the cooperation now required from the States in the building of post roads would be reduced in those States in which the unappropriated public lands, belonging to the Federal Government, exceed 5 per cent, in the proportion which the area of such public land in the State bears to the total area of that State. This does not increase the amount of Federal aid allotted to any State but enables the States which contain large areas of unappropriated public lands, aside from National Forests, National Parks, and unallotted lands in Indian Reservations, to avail themselves of their allotments by appropriating a smaller amount of State funds. The committee favors the legislation proposed in section 1 of the bill for these reasons: 1. Large areas of public lands within a State are not a source of revenue but, on the other hand, require the expenditure of large sums for the construction and maintenance of roads crossing such areas. 2. A considerable portion of public lands is so located that through traffic must cross these areas, and in these localities there is more need for tourist roads, as such, than exists elsewhere in this country. Many of these roads are of much more importance for long-distance travel than they are for local requirements. 3. Those States in which there are large areas of public lands and which would be benefited by this legislation, are now in general expending yearly a greater percentage of their average wealth than are those States in which there is greater concentration of wealth and higher land values. 4. Already several of these States are facing the possibility of losing some portion of their possible allotments from the Federal funds because of the obligation placed upon them to maintain all Federal-aid roads, which seriously affects their ability to meet through State revenues the allotments which have been made. The clause extending the benefits of this provision only to those States whose area contains more than 5 per cent of public land is intended merely to simplify administration, as there are many States in which the area of public land is negligible but which nevertheless would have to be taken into consideration were not some such limit imposed. The legislation proposed in section 1 of this bill has had the approval of the Bureau of Public Roads, Department of Agriculture. Section 2 of the bill is applicable to all States and amends the existing law, so that any sums apportioned to any State may be available for expenditure in that State until two years after the close of the fiscal year for which they were allotted, instead of one year, as at present provided. This amendment to the original act lessens the possibility of a State losing a part of its allotment of funds because of inability to meet the Federal appropriation. The first committee amendment corrects a typographical error and consists in the substitution of the word "unappropriated" for the word "unpatented" on page 2, line 25, of the bill. The committee amendment to section 2, striking out the language commencing on page 3, line 11: "and not heretofore withdrawn from the principal fund, as provided by section 6 of the act entitled 'An act making appropriations for the service of the Post Office Department for the fiscal year ending June 30, 1920, and for other purposes,' approved February 28, 1919," is for the purpose of clarifying the meaning of this clause and does not alter the purpose of section 2 as proposed. The third committee amendment, which consists in the addition of a new section to the bill, section 3, is necessary in order to carry out fully the provisions of section 1. It merely provides that the present limit of $20,000 per mile which may be contributed by the Federal Government should be increased in those States in which the percentage of participation required of the State is decreased under the terms of section 1 of the bill. SENATE. 66TH CONGRESS, 3d Session. { REPORT No. 727. PAYMENT OF PURCHASE MONEY ON HOMESTEAD ENTRIES, FORMER STANDING ROCK INDIAN RESERVATION. JANUARY 26 (calendar day, JANUARY 29), 1921.--Ordered to be printed. Mr. SMOOт, from the Committee on Public Lands, submitted the following REPORT. [To accompany H. J. Res. 346.] The Committee on Public Lands, to whom was referred House joint resolution No. 346, extending the time for payment of purchase money on homestead entries in the former Standing Rock Indian Reservation, in the States of North and South Dakota, having considered the same, report favorably thereon with the recommendation that the resolution do pass with the following amendments. Add the following words to the title of the resolution: "and for other purposes." Page 1, lines 7 to 11, strike out all after the word "act" down to and including the word "the" in line 11. Page 2, line 12, after the word "hereof" insert the following proviso: "And provided further, That any entryman who has resided upon and cultivated the land embraced in his entry for the period of time required by law in order to make commutation proof, may make proof, and if the same is approved, further residence and cultivation will not be required." At the end of the bill add the following section: SEC. 2. That the Secretary of the Interior is also hereby authorized, in his discretion, to extend for a period of one year the time for the payment of any annual installment hereafter to become due of the purchase price of lands in the Cheyenne River Indian Reservation in South Dakota and the Standing Rock Indian Reservation in the States of North Dakota and South Dakota, sold at public sale under the act of Congress approved May 29, 1908 (35 Stats., p. 460), under the same terms and on the same conditions as provided in section 1 of this act. |