Similarly, no higher or other duties shall be imposed in the United States, its territories or possessions, or in the Dominican Republic on the exportation of any articles to the other, or to any territory or possession of the other, than are payable on the exportation of like articles to any foreign country;

Every concession with respect to any duty or charge affecting commerce now accorded or that may hereafter be accorded by the United States or by the Dominican Republic, by law, proclamation, decree or commercial treaty or agreement, to the products of any third country will become immediately applicable without request and without compensation to the commerce of the Dominican Republic and of the United States, its territories and possessions, respectively:

Provided that this understanding does not relate to

(1) The treatment which the United States accords or may hereafter accord to the commerce of Cuba or any of the territories or possessions of the United States or the Panama Canal Zone, or to the treatment which is or may hereafter be accorded to the commerce of the United States with any of its territories or possessions or to the commerce of its territories or possessions with one another;

(2) Prohibitions or restrictions of a sanitary character or designed to protect human, animal or plant life or regulations for the enforcement of police or revenue laws.

The present arrangement shall become operative on the day of signature and, unless sooner terminated by mutual agreement, shall continue in force until thirty days after notice of its termination shall have been given by either party; but should either party be prevented by future action of its legislature from carrying out the terms of this agreement, the obligations thereof shall thereupon lapse.

I shall be glad to have your confirmation of the accord thus reached.
Accept, Sir, the renewed assurance of my highest consideration.

I have the honor to acknowledge receipt of the note dated this day in which your Excellency sums up the agreement reached in the conferences

recently held in this city between the Government of the United States and the Government of the Dominican Republic concerning the treatment which the United States will grant to the commerce of the Dominican Republic and which the Dominican Republic will grant to the commerce of the United States.

Those conferences disclosed a mutual understanding between the two Governments which is that with regard to importation, exportation and other duties and dues to which commerce is subject as also with regard to the transit, storage, and other facilities, the United States, its territories or possessions will grant to the Dominican Republic, and the Dominican Republic will grant to the United States, its territories or possessions, unconditional most favored nation treatment.

It is understood that there shall not be imposed duties of importation or of disposal in the United States, its territories or possessions on articles that are the products of the soil or of the industry of the Dominican Republic higher or other than those that are, or may be payable on said articles when they proceed from the soil or the industry of any other foreign country and, in the same manner, there shall not be levied duties of importation or disposal in the Dominican Republic on articles that are the product of the soil or the industry of the United States, its territories or possessions higher or other than those which are or may be payable on said articles when they proceed from the soil or the industry of any other foreign country whatsoever.

In the same sense there shall not be imposed in the United States, its territories or possessions, nor in the Dominican Republic on articles exported from one country to the other or to any territory or possession of the other, export duties higher or other than those that are or may be assessed when the said articles are exported to any other foreign country whatsoever.

Any concession granted or that may be hereafter granted by the United States, or by the Dominican Republic by means of a law, decree, resolution, or agreement on the products of any other country with respect to the duties or dues that affect commerce, will as of right extend without request or compensation of any kind to the commerce of the Dominican Republic and that of the United States, its territories and possessions respectively. Provided, however, that this understanding does not refer:

1. To the treatment that the United States now accords or may hereafter accord to the commerce of Cuba or any of the territories or possessions of the United States or the Panama Canal Zone or to the treatment that is granted or may be granted to the commerce between the United States and any of its territories or possessions or to the commerce of its territories and possessions with one another.

2. To the prohibitions or restrictions of a sanitary character or for the protection of human beings, animals or plants, or the regulations for the enforcement of the revenue or police laws.

It is understood that this agreement will go into effect immediately upon the date of its signature and unless terminated before, by common accord, will continue in force until thirty days shall have elapsed after the notice given by one party to the other of its intention to terminate the agreement; but in case either one of the two parties should be unable to fulfill the terms of this agreement by reason of future action of its legislature the obligations which it imposes will be without effect.

I have the honor to inform your Excellency that I have received instructions from my Government to confirm this agreement and to send to Your Excellency this note in reply to yours.

I avail myself of this opportunity to renew to Your Excellency, the assurances of my highest consideration.

Honorable CHARLES E. HUGhes,

J. C. ARIZA

E. E. and Minister Plenipotentiary

Secretary of State of the United States.

259-333-71-16

COLLECTION AND APPLICATION

OF CUSTOMS REVENUES

Convention signed at Washington December 27, 1924
Senate advice and consent to ratification January 21, 1925
Ratified by the President of the United States January 26, 1925
Ratified by the Dominican Republic August 17, 1925

Ratifications exchanged at Washington October 24, 1925

Entered into force October 24, 1925

Proclaimed by the President of the United States October 26, 1925
Terminated March 10, 1941, by convention of September 24, 19401

44 Stat. 2162; Treaty Series 726

WHEREAS a convention between the United States of America and the Dominican Republic providing for the assistance of the United States in the collection and application of the customs revenues of the Dominican Republic, was concluded and signed by their respective Plenipotentiaries at the City of Santo Domingo, on the eighth day of February, one thousand nine hundred and seven,2 and

WHEREAS that convention was entered into to enable the Dominican Government to carry out a plan of settlement for the adjustment of debts and claims against the Government; and

WHEREAS, in accordance with that plan of settlement, the Dominican Republic issued in 1908, bonds to the amount of $20,000,000, bearing 5 per cent interest, payable in 50 years and redeemable after 10 years at 1022, and requiring payment of at least 1 per cent per annum for amortization; and

WHEREAS additional obligations have been incurred by the Dominican Government in the form of the issuance, in 1918, of bonds to the amount of $5,000,000, bearing 5 per cent interest, payable in 20 years, and redeemable at par on each interest date as the amount of amortization fund available on such interest dates will permit, and requiring payment of at least 5 per

1

1TS 965, post, p. 224. In accordance with terms of art. IX of convention of Sept. 24, 1940, arts. I, II, and V continued in force until Mar. 31, 1941; see exchange of notes, post, p. 238.

cent per annum for amortization; and in the form of the issuance of bonds, in 1922, to the amount of $10,000,000, bearing 52 per cent interest, payable in 20 years, and redeemable after 8 years at 101. and requiring payment after such period of at least $563,916.67 per annum for amortization; and WHEREAS certain of the terms of the contracts under which these bonds have been issued have proven by experience unduly onerous to the Dominican Republic and have compelled it to devote a larger portion of the customs revenues to provide the interest and sinking fund charges pledged to the service of such bonds than is deemed advisable or necessary; and

WHEREAS it is the desire of the Dominican Government and appears to be to the best interest of the Dominican Republic to issue bonds to a total amount of $25,000,000, in order to provide for the refunding on terms more advantageous to the Republic of its obligations represented by the bonds of the three issues above mentioned still outstanding and for a balance remaining after such operation is concluded to be devoted to permanent public improvements and to other projects designed to further the economic and industrial development of the country; and

WHEREAS the whole of this plan is conditioned and dependent upon the assistance of the United States in the collection of customs revenues of the Dominican Republic and the application thereof so far as necessary to the interest upon and the amortization and redemption of said bonds, and the Dominican Republic has requested the United States to give and the United States is willing to give such assistance:

The United States of America, represented by Charles Evans Hughes, Secretary of State of the United States of America; and the Dominican Republic, represented by Señor José del Carmen Ariza, Envoy Extraordinary and Minister Plenipotentiary of the Dominican Republic in Washington, have agreed:

ARTICLE I

That the President of the United States shall appoint a General Receiver of Dominican Customs, who, with such Assistant Receivers and other employees of the Receivership as shall be appointed by the President of the United States in his discretion, shall collect all the customs duties accruing at the several customs houses of the Dominican Republic until the payment or retirement of any and all bonds issued by the Dominican Government in accordance with the plan and under the limitations as to terms and amounts hereinbefore recited; and said General Receiver shall apply the sums so collected, as follows:

First, to paying the expenses of the receivership; second, to the payment of interest upon all bonds outstanding; third, to the payment of the annual sums provided for amortization of said bonds including interest upon all bonds held in sinking fund; fourth, to the purchase and cancellation or the retirement and cancellation pursuant to the terms thereof of any of said