"Number 679, February twenty-sixth.
"I have received direct information from an entirely trustworthy source concerning a political action in one of the enemy countries which would bring about peace. One of the leading political personalities of the country in question is seeking a loan of one million seven hundred thousand dollars in New York, for which security will be given. I was forbidden to give his name in writing. The affair seems to me to be of the greatest possible importance. Can the money be provided at once in New York? That the intermediary will keep the matter secret is entirely certain. Request answer by telegram. A verbal report will follow as soon as a trustworthy person can be found to bring it to Germany.
"Bernstorff."
Paul Bolo Pacha (on the right)
Herr von Jagow felt that even at that date peace with any belligerent was worth $1,700,000. He cabled back:
"No. 150, February twenty-ninth.
"Answer to telegram No. 679:
"Agree to the loan, but only if peace action seems to you a really serious project, as the provision of money in New York is for us at present extraordinarily difficult. If the enemy country is Russia have nothing to do with the business, as the sum of money is too small to have any serious effect in that country. So too in the case of Italy, for it would not be worth while, to spend so much.
"(Signed) Jagow."
The plan approved, the next step was to pay Bolo. Bernstorff's cablegram of March 5, Number 685, pleaded for the money.
"Please instruct Deutsches Bank to hold 9,000,000 marks at disposal of Hugo Schmidt. The affair is very promising. Further particulars follow."
The next day Hugo Schmidt, American representative of the Deutsches Bank, sent the following wireless through the station at Sayville to the Deutsches Bank Direktion, Berlin:
"Communicate with William Foxley (the Foreign Office) and telegraph whether he has placed money at my disposal for Charles Gladhill (Count von Bernstorff)."