HC Deb 02 November 1932 vol 269 cc1763-4
5. Lord SCONE

asked the Secretary of State for Foreign Affairs if he is aware that large sums of Brazilian paper money have been deposited at the Banco do Brazil, by the instructions of the Brazilian Government, in connection with various defaulted Rio de Janeiro sterling loans representing British investments; and if he will inquire as to when any payment from these deposits will be made to the investors, who are meanwhile receiving no income from their investments

Sir J. SIMON

Yes, Sir. Since the reply given to my Noble Friend on the 24th of October, Messrs. Samuel Montagu and Company, the official fiscal agents for the British investors in these loans, have issued a statement on the present position, which appeared in the press on the 29th of October, stating that the direct negotiations which have been proceeding between the official fiscal agents and the representatives of the State of Rio de Janeiro were suspended during the recent revolt in Sao Paulo, but that it is hoped to resume them at an early date, and that their result will be communicated in due course. In view of this statement I do not consider that an inquiry of the nature proposed in the second part of the question would serve any useful purpose.

Colonel WEDGWOOD

Could not an arrangement of the kind which has been made between Chile and France be equally well made between our Government and the Brazilian Government in connection with the importation of coffee into this country?

Sir J. SIMON

I must have notice of that question. It is a serious matter.