FIRST MEETING MONDAY, MAY 9, 1932 MORNING SESSION The Arbitration was convened at 10 o'clock a.m., in Hearing Room No. 1 of the United States Board of Tax Appeals, Internal Revenue Building, Washington, D.C. Present: Honorable Eugene Borel, Arbitrator, Robert Perret, Esq., Secretary General. The American Government was represented by their Agent, Mr. J. A. Metzger, assisted by Messrs. Bert L. Hunt, James O. Murdock, Frederic A. Fisher, and Miss Ann O'Neill. The Swedish Government was represented by their Agent, His Excellency W. Boström, Swedish Minister at Washington, assisted by Messrs. Edward B. Burling, Osten Unden, George Rublee, Dean G. Acheson, and H. Thomas Austern. The ARBITRATOR: Gentlemen, this Tribunal meets under a special agreement signed between the Government of Sweden and the Government of the United States of America on December 17, 1930, and I think it fit to put on record here a chronological statement of the proceedings that have taken place heretofore. We are meeting according to article V of the same agreement, which provides that within thirty days from the signing thereof and in accordance with article IV the Tribunal shall convene at Washington for the purpose of hearing all arguments by Agents or Counsel for both Governments. There are some rules of a material nature which are to be taken into account and which will be applied during our session. The Tribunal will meet each day in this court 3 o'clock noon. room at the hour of 10 o'clock and will adjourn at 12 We will reconvene at 2:30 o'clock and adjourn at 4:30 in the afternoon. I will beg the parties indulgence today as I shall be compelled to rise shortly before noon on account of official business. The second point is this: The case here is subject to certain rules which are laid down in the well-known convention of 1907 concerning the settlement of international disputes. According to that convention proceedings of this nature are not public and they shall not be public, but I assume parties will agree that there may be individual exceptions to the rule with the consent of both parties. I shall therefore assume that consent is given today unless some objection be raised. With regard to the work, the Swedish Government, being claimant, will be called upon first to open the case, and then the American Government will reply. It is my opinion, and I think the parties will agree, that each party will be at full liberty to bring forth any observation and also any evidence which it deems fit and that there will be no limitation in the proceeding. I myself will reserve the right to ask the parties any explanation which I may think useful and for my own benefit. With regard to the record, I have appointed, with the consent of both parties, Mr. Robert Perret, of New York, who will be the Secretary of this Tribunal, and I will trust him with the task of having the record taken. I have also understood-and I am thankful to the parties for thatthat arrangements have been provided for a full shorthand report of these proceedings. I assume that this full report will as soon as possible be laid before the Tribunal and the parties each day in order that we may check it. It will be a great help to me in the discharge of my task after the hearing is closed. These, gentlemen, are the principal points which I want to mention here. I should be thankful if the parties will tell me whether they have any further observations previously to be made. Mr. METZGER: There are several details which it seems to me might have some attention at this time. The first is, to whom are the transcripts of the record to be delivered? That is, to whom will the reporter deliver the transcript from day to day, and how will they be distributed to the parties? My own suggestion would be that they be delivered to the Secretary and that we arrange some way to receive them from the Secretary. That is merely a suggestion. Mr. BURLING: I think that is a very good suggestion. The only thing is, the parties may want to make some corrections in certain particulars that may be wrongly transcribed. How would that be attended to? Mr. METZGER: My idea would be that in delivering the transcript to the Secretary it would not mean that they would be the accepted transcripts. They would be subject to correction after that, of course. That is merely the machinery for delivering them to the parties really. But if any other method is preferable, it is agreeable to me. Mr. BURLING: I was just raising the further question as to how we may correct the mistakes, if there are eight copies. I mean what practical machinery should be devised for making corrections in the reporters' transcript. The ARBITRATOR: I suppose that point will not arise very often. These reports are rather accurate but, of course, a mistake is possible. My idea would be that the reports be laid before us here. When do you think the report of today might be available? Mr. METZGER: We have arranged to have a full report available at 7 o'clock in the evening. Seven o'clock this evening. The ARBITRATOR: Then the best thing would be to have the Secretary receive them and see that they are delivered in the evening. That would be, of course, a great help. If the parties have the transcript in the evening they |