Volume 2 - ElectricCanadian.com

PROCUREMENT OF SHIPS DEFENCE OF CANADA, 1939-41offer wider opportunities than did the Canadian. The D.O.D.,was favourably impressed with the prospects there, and listeda number of ships that might be worth obtaining.'^As a result, early in Januar)' the Canadian Minister inWashington was instructed to ask the State J)epartmentwhether it would be contrary to American neutrality legislationtor "the Canadian Government ... to purchase a privatelyowned yacht registered in the United States ... to be broughtto Canada in its present condition and subsequently to be outfittedfor naval patrol purposes", or alternatively, for "aprivate individual in Canada ... to purchase a privately ownedyacht registered in the United States and bringit to Canadain its present condition. It is the intention of the Canadianpurchaser ultimately to re-sell the . . .yacht to the CanadianGovernment, and the Government will then outfit the vesselto be used for naval patrol purposes." The State Departmentthat both transactions would seem to contravene titlereplied18, section 23,of the United States Criminal Code.'-This meant that considerable hazards would be involved inpurchasing yachts in the United States. Any individual concernedwould risk a fine of up to $10,000 or as much as threeyears in prison, together with confiscation of the vessel inquestion. More serious still was the danger of provokinghostility on the part of American public opinion. Nevertheless,so urgent was Canada's neeci that the government decidedto go ahead with the attempt to buy the yachts. Flans weremade in the utmost secrecy. A complicated scheme wasworked out, in executing which a number of highly reliableCanadian yacht owners were asked to co-operate. On theiragreeing, the yachts they already possessed were requisitionedby the Department of Transport for defence purposes.''Ostensibly to replace their own craft they went to the UnitedStates, bought yachts actually designated by the D.O.D., andreturned with them to Canada. Jn due course, the Departmentof Transport, having apparently become aware ()f thefact that the yachtsmen had acquired vessels more suitablefor naval service than those first requisitioned, cancelled the11D.O.D. to D.C.N.S., C.N.S., Dec. 12, 1939, N.S. 1018-1-lS (1). l-or a gcner.il accountof the acquisition of these American vachts see enclosure in I.esshe K. 'I'homson to Siib-Lieiit.R.W. Southam', Nov. 1.-),1910 (D.N.H.S. records)., , , ,.12 Sec of State (Ext. Aff.) to Can. Min., Washington, Jan. 1