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ATLANTIC & GULF/TEST COAST OF SOUTH AMERICA CONFIRENCE

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We were visited recently by Mr. Carl E. Hammond, attorney for the Tropi-
oal Pruit Company (Coleman of Quayaquil), respecting their application
for membership. Mr. Hamond submitted a proposed schedule vântoh involves
the use of two ships maintaining sailings at intervals of approximately
ten days from New Orleans to Quayaquil, and stated. that a third vessel
is being procured.

It also became quite evident that ir. Hammond is well aware of the rights of his client and indicated that unless the conference is promptly willing to state its position, steps will be taken to force an action.

In view of unfavorable publicity which has been directed toward conferences during the past six months and particularly having in mind the several dockets which have been before the liaritime Commission, at least one of which has invited the criticism of the Department of Jestics, I believe it would be most inadvisable, by denial of this application or further procrastination, to bring it officially before the Commisciam, the probable result of which would be that we would be directed to

the

It is, accordingly, recommended that the Tropical Fruit Company be noti-
fied immediately that it will be admitted to membership, effective with
compliance with all of the terms of the conference agreement.
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Please indicate your ocnourrence by signing duplicate of this letter and
returning it to the undersigned.

AJP VPM

Very truly yours

Chaira

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By virtue of their not having been notified of final action by this conference on their application for membership, pending since last July, my principals, Tropical Fruit Co., S. A., of New Crleans, have directed and authorised me as follows:

To demand that a special meeting of the conference be held to act upon this long-pending application for membership and to advise the undersigned of the action of such meeting at the earliest possible moment and not later than May 18, 1948.

This demand is based upon their right which is clearly stated in paragraph sight of the Conference Agreement entitled " U. S. Maritime Commission Agreement No. 27h and Agreement No. 2744-4, Addenda Nos. 1 and 6, Approved March 9, 1934, as amended to June 13, 1947".

It is only fair to say that my principals are highly indignant at the delay in this matter, particularly in view of their stated willingness to abide by all the contractural terms inherent in the conference agreement and their ability to perform under the terms of such contract. They have urged me to make representations to the Division of Regulations, . S. Maritime Commission, in Washington, toward compelling a decision in this matter.

This is not a statement to the effect that a formal complaint will be filed, but a notice to the effect that such a complaint will be filed should the present impass be continued.

I should like to have it noted that the courtesy and helpful cooperation of conference officials is duly appreciated, but that the action of the conference members is most disappointing.

The foregoing is submitted as a measure of the attitude of applicants and the steps which will be taken to compel recognition of their application.

Yours very truly,

PORT SERVICES COMPANY

G. Valdespino, F. Coleman

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Mr. A. J. Pasch, Chairman

May 24, 1948

P.C pls

Atlantic and Gulf/West Coast of South America Conference

11 Broadway

New York (4) New York

Dear Mr. Pasch

AL-147

TELEPHONE RAYMOND 2006

We acknowledge receipt of your letter of the 20th and hasten to reply thereto.

We regret that it has taken so long for the Conference to clarify the points mentioned in your letter relative to our application for membership. As we have stated before, and again repeat, we are ready, willing and able to comply with all the requisites of the Conference and to supply any information which it may deem necessary for such purpose.

We take the liberty of suggesting that if there be any other points on which the Conference is not yet satisfied, that we be invited to attend an open meeting in order that, the matters may be settled at once.

we had made application to enter the Conference in the name of Francis V. Coleman and Company, because of the fact that we have long had and maintained a ship agency in Guayaquil. As you know, the Tropical Fruit Company is an affiliate company of Francis V. Coleman and Company, and it was at the suggestion of Mr. Hammond that we decided to allow application to be made in behalf of Tropical Fruit Company as operators of the vessels presently calling at New Orleans. However, this is not an important point insofar as we are concerned, and either one of the names will be satisfactory to us.

Insofar as the flag flown by our vessels is concerned, we have not changed from that of Honduras to Ecuador for the very reason that we considered your objections to the Ecuadorian flag reasonable and just, in that the tariff provisions of the Conference are in conflict with the tariff provisions by which other lines are able to make an allowance of 50% on Consular fees. But we must at the same time, invite your attention to the fact that had we been flying the flag of Ecuador, we would have been in a position to have asked the aid of that Republic in the matter pending before you. Such actions were taken by other interests which employed the aid of other Governments such as that of Chile, Colombia, Venezuela, etc.

A. J. Fasen, Chairman:

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AL-141

nd it has been due to the very fact that we do not fly the cuad riv flag that we have not received the aid of the Ecuadorian Government. It is possible that had such aid been available to us, we would have long since been members of your Conference and not have had to sustain such a long delay.

We have been requesting our entry into the Conference for nearly two years and until date, we have had only offers of good will and promises, but nothing of a tangible nature. As we have stated before, we are ready and able to comply with any contract which we may undertake and to furnish you with complete information with respect to our proposed operations in the Conference which you may deem necessary for favorable action upon our application.

Under the circumstances, we feel that some definite an precise action should be taken by our Conference to either admit or deny, for once and for all, our application. he certainly feel We have been patient and courteous during the time that our 1.ution has been pending before your body and we certainly feel that we are entitled to know whether or not it is the intent ot the conference to admit us to membership.

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