HC Deb 12 November 1934 vol 293 c1520
10. Rear-Admiral Sir MURRAY SUETER

asked the Secretary of State for Foreign Affairs whether the Chilean Government has yet made a definite offer in cash, or otherwise, to terminate its default to British investors in the Chilean Government's bonds originally offered for subscription in London; and if he will inform the House whether the proposed composition is acceptable and when it will become operative?

Mr. EDEN

The question of the settlement of Chilean indebtedness is one which should be arranged by negotiation between the Chilean Government and interests representing the bondholders concerned. No definite offer has yet been made by the Chilean Government, though I understand that a Bill, intended to provide for a partial resumption of the debt service, has been laid before the Chilean Senate.

Sir ARTHUR MICHAEL SAMUEL

Does that mean that there will be a unilateral arrangement which will be forced by the Chilean Government upon her, British creditors?

Mr. EDEN

No. It means that it is impossible to express any opinion upon the merits of the scheme until a definite offer has been made to the bondholders.