HC Deb 16 September 1931 vol 256 cc814-5
7. Lieut.-Colonel HENEAGE

asked the Under-Secretary of State for Foreign Affairs whether the application of Mexico for admission to the League of Nations has been accompanied by any notification by the Mexican Government that it proposes to honour its obligations to British holders of Mexican Government bonds now in default for over 17 years; and will he instruct our representative at Geneva to ask the Mexican Government its intention in this default?

Captain EDEN

So far as I am at present aware, the answer to the first part of the question is in the negative. As regards the intention of the Mexican Government, it has been frequently stated in this House that the International Committee of Bankers are the properly qualified agents of the bondholders, and are authorised to carry on negotiations with the Mexican Government on their behalf. They have not appealed to His Majesty's Government for any assistance. In the circumstances it is not apparent how the action suggested would serve the interests of the British bondholders. Should representations become desirable, they would be made through the usual diplomatic channels.