SECRET.
POLICY COMMITTEE
REUTERS -L.E.F. IN LATIN AMERICA, EUROPE and the NEAR EAST
.
Paper for discussion on Thursday, 22nd August.
To: D.G.
From: Sir Maurice Peterson.
At present and as regards Latin America, we are
(a) getting an eight thousand word service across - five thousand being allotted to Reuters and three thousand to L.E.F.,
(b) taking on all suitable Havas men.
The points we have to decide now are:-
(1) An extension of the eight thousand word total to something like twelve thousand. The present service is stated to be inadequate.
(2) Reconcile Reuters and the L.E.F. on the basis of the new total which we may decide to back. At present Reuters are a little jealous of L.E.F. as a possible competitor; L.E.F. are definitely unwilling to be merged in Reuters; and there is some reason to believe that L.E.F. are capable, if WE drive them too far, of securing enough American support to set up on their own.
(3) We have to reconcile the new Reuters - L.E.F. Service with the jealousies of the North American Services; for this purpose the Foreign Office and Lord Lothian will have to be consulted. At present all we know is that Mr. Chancellor (Reuters’ representative at present touring in Latin America) claims to have secured the approval of the United States Under-Secretary of State.
(4) On the financial side, the cost of expanding from eight thousand to twelve thousand words will not be so great. What will cost money will be if we decide to back L.E.F. in the Balkans and later in the Middle East on the broad general ground (a) that they are capable of existing independently there whereas Reuters are submerged under the national agencies, and (b) that the L.E.F. Service in Latin America will acquire additional weight if it is reinforced by their own news coming from other parts of the world.
(Initialled) M.P.
19. 8.40.
Memorandum by Mr. Stewart, Foreign Division
A meeting was held on 15th August, at which Messrs. Harvey, Wiltshire, Stewart and Maillaud were present to discuss the proposals put forward in the attached memorandum by M. Maillaud, for the expansion of the Reuters- L.E.F. service in Latin America, the Balkans and subsequently the Near and Far East. In fact in all territories where Havas formerly operated. In essence the proposal is that in conjunction with or independently of Reuters, according to different areas of the world, the L.E.F. services should be expanded in size and quality to an extent that will provide a service commercially attractive to or which will be effectively published by the newspapers of those parts of the world in which it is intended to establish it. The methods by which this is to be achieved are firstly an extension “coverage” i.e. an extension of the sources of news available for the proposed service. Secondly, an increase in the size of the service from the present 8,000 words to an unspecified number, but possibly 12,000 words daily.
M. Maillaud points out that with the establishment of German-Italian control over the greater part of Western Europe, the sources of news available for a comprehensive world service are closed to Allied agencies, the quality of whose news accordingly suffers, while that of the neutral agencies who maintain correspondents in enemy-controlled countries and that of the enemy agencies has a corresponding advantage.
M. Maillaud proposes to redress the balance by maintaining correspondents in countries [illegible] to Germany and in important international clearing houses such as Lisbon has now become, and obtaining thus not news which in itself is able to compete with what can be had in the countries themselves, but enough news to supply him with the material to present a service which skilfully written up would appeal to the countries - in the first place Latin America - for which it is intended. He would, of course, have the advantage over enemy services in news of British origin.
Latin-America
. For Latin America M. Maillaud argues that unless the Reuters-L.E.F. service is improved to an extent which makes it attractive commercially, the market will be left to the American agencies, with allied and enemy services as a makeweight. In this the enemy will have the advantage, both because they were there first and because of the greater bulk of their services.
His proposal therefore is that between them Reuters and L.E.F. should build up a service which will be a sound commercial proposition for L.A. papers and which holding its own against the American agencies, will beat the enemy's which are designed solely for propaganda and in this way frequently defeat their own ends.
The details of the partnership with Reuters will require to be worked out with Reuters’ representative, if and when M. Maillaud’ proposals are approved in principle.
In general it is anticipated that though L.E.F. will be able to make use of much of Reuters news, it will be necessary for L.E.F. to maintain correspondents of its own in most of the important news centres of the world available to us, whether Reuters have their own correspondents there or not. The point being that the type of material which L.E.F. will issue will differ in character from Reuters. L.E.F. will concentrate on what M • Maillaud calls “Speciaux” i.e. news and features collected and written by correspondents familiar with L.A. tastes and further will take special pains to collect news of special interest to French colonies abroad and the French-minded countries. The importance of Lisbon, now packed with refugees, as a source of such news is emphasised.
The proportion of words from the total service to be at the disposal of Reuters and L.E.F. respectively will be for discussion between the two.
It is, however, clearly established that in L.A. the two services shall work together.
Balkans.
Similar possibilities exist in the Balkans. The problem, however, is different in one important respect. The L.A. news agencies distribute to newspapers direct. In Europe, Reuters under a cartel arrangement of some age, distribute through the national agencies of each country. The national agencies therefore according to the degree of pressure the Germans exercise on their respective Governments let through as much or as little British news as the political situation at any given moment allows. In the Balkans the arrangement generally works to our disadvantage. It is probably desirable, therefore, that in this area L.E.F. should be altogether independent of Reuters. Whether or not they are attached to Mr. Henderson's office or work as the independent correspondents of L.E.F., will vary according to political conditions in each of the countries concerned. It is worth pointing out, however, that in all these countries German influence is very strong and that the correspondents of L.E.F. if they retain their French nationality will have no diplomatic protection at all. A state of affairs which will sooner or later lead either to them being put in prison or expelled if they do their job efficiently. There are at present a number of ex-Havas correspondents in the Balkans, some of them have already said they wish to work for the Allies. One is already working with Mr. Henderson in Istanbul and one or possibly three will be making contact with him shortly. It is considered essential that we should secure the services of these correspondents now, not only from the point of view
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- 4 -of retaining then for the expanded L.E.F. service, if it is approved, but also that thus we compel Havas-Vichy to recruit new and possibly inexperienced staff. Mr. Henderson was accordingly authorised to provide subsistence for these correspondents until such a time as a definite arrangement be made about the future of L.E.F. In the near time it is desirable that a circular telegram be sent to all missions abroad - instructing then to retain the services of any ex-Havas agents who may present themselves. It is felt that with the collapse of the original Havas organisation, the establishment of L.E.F. on a scale comparable in quality at least to the original and staffed largely by ex-Havas men would have a far greater political and propaganda value than the service as it is at present constituted, which is probably ineffective from the point of view of propaganda and further is open to the attack that it is a second-rate puppet service instituted and controlled by the Ministry of Information.
