As arranged with you at the close of our Conference on Wednesday the 5th instant at London I send you herewith a Memorandum¹ setting forth a summary of the grounds upon which the Government of the Irish Free State bases its case for the refusal to pay over the moneys mentioned in my Despatch of the 2nd day of July (No. 95).²

In view of the fact that it was agreed that an attempt should be made at this Conference to arrive at a comprehensive settlement of the future financial relations between the two countries, I consider it necessary to mention that, apart from the questions raised by the Despatches which have passed between the two Governments, there are certain other matters which must be considered in any such settlement. I propose to send you tomorrow a separate Memorandum covering these items.