811.20 Defense (M)/8075
  The Ambassador in Ecuador (Long) to the Secretary of State

  No. 3289                                      QUITO, July 21, 1942.
                                              [Received August 1.]
  SIR: I have the honor to refer to the Embassy's despatch no. 3287
of July 18 83 regarding developments in our negotiations for a rubber
contract.
  The Decree (No. 1192), authorizing the Ministers of Agriculture
and of Finance to sign a contract with the Rubber Reserve Company,
was approved by the President on the morning of July 20. Follow-
ing the approval of the Decree, the formal contract was drawn up
both in English and in Spanish, and this was signed in duplicate in
the two languages in the afternoon.
  A signed copy of the Spanish contract and the original signed copy
of the English are attached.84 It is understood that these copies were
desired for the files of the Rubber Reserve Company.
  Copies of the signed contracts are also attached for the use of the
Department.
  Respectfully submitted,                    For the Ambassador:
                                           HOWARD H. TEWKSBURY
                                               Commnercial Attache

811.20 Defense (M) /7945: Telegram
    The Amybassador in Ecuador (Long) to the Secretary of State

                                       QUITO, July 27,1942-5 p. m.
                                   [Received July 28-11: 26 a. m.]
  615. Reynolds 85 to Rosenthal 86 and Bicknell.87 It is view of the
Ambassador and Ecuadoran officials concerned that rubber develop-
ment and collection should be handled by Ecuadoran Development
Corporation. I concur this view and suggest following action.
  (1) Arrange a contract in Washington at once between Rubber Re-
serve and Ecuadoran Development Corporation similar to the chicle
contract which contract should authorize Development Corporation to
make necessary contracts here with other individuals and companies

83 Not printed; it indicated some disquietude that rubber exports destined
for
Argentina were blocked at Guayaquil through United States pressure (811.20
Defense (M) /7897).
84 Not printed.
"5Presumably George M. Reynolds of the Board of Economic Warfare.
8Morris Rosenthal, Assistant Executive Director of the Board of Economic
Warfare.
8TJohn W. Bicknell, Vice President of the Rubber Reserve Company.
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ECUADOR