I was very glad to receive your wire about the occupation of the Spada.¹ After so many months of negotiations and worry it was a great relief to get into the house at last. The process of settling down is slow as there is quite a lot to be done in the way of minor adjustments in the different plants although the mains installations are sound. The difficulty about getting out the Secretary of the Swiss Legation was quickly overcome once he gave me sufficient motives to bring the matter before his ministry through Mr. Cremins. The latter did a splendid piece of work with great speed. The Secretary in question is a very rich young man who entertained all the nobility of Rome in the Villa, and he unfortunately received encouragement from his Minister here in his wrongdoing. I am sending a full report of the final stages to the Secretary.²

[matter omitted]

I recently had another opportunity of speaking to Mgr. Montini about Mgr. Panico and Dr. Mannix.³ During January I had a request for a visa for Panico to visit Ireland. I was rather shocked that he should have the audacity to go there, and still more at the thought of the conclusions to which His Grace and the other members of the Hierarchy would come when they heard of the visit. They would certainly think he was going to be made Nuncio, and, in any case, he would be treated with scant courtesy. I granted the Visa at once and bided my time until I got an early opportunity for a chat with Montini. I asked him had the letter been sent to Mannix by the Holy Father thanking him for his great services. He replied, enjoining great secrecy, that he had confided the Secret to an Australian Bishop who in turn in spite of his pledged word, had told Panico. The latter kicked up a ferocious row with the Vatican through his Protector Cardinal Fumasoni Biondi⁴ and I have not yet been told whether the letter really went or not. I shall inquire in a few days. However I lost my temper completely when I heard this latest move of Panico and I told Montini all the bad things I ever knew about him, including his extreme worldliness ... a very sore point ..., his greed for gold, and I again told M.[ontini] in detail all I had heard about his foul treatment of Mannix. I said that such a man was a disgrace to the Church and quite unworthy to represent the Holy See in any capacity. I went on to say that it would be most unwise to let him come to Ireland on a holiday or for any other purpose. Our people and most certainly the Clergy, knew all about the bad treatment of Mannix and also about Panico's notorious cupidity. The slightest suspicion that he might be made Nuncio would create a furore and would be very bad for relations with the Holy See ... especially as we were now trying to forget all the bad mistakes which the Vatican had made in the past in our regard. We were moving into a new period of whole hearted cooperation ... which had been so greatly helped by his (Montini's) kindness and the eager response shown by yourself as Head of the Government, and by His Grace the Archbishop of Dublin. I urged that they should now go much farther and appoint Mannix a Cardinal to make up for past bad treatment, and to mark his unparalleled work for the Church in Australia. I enlarged on this point especially the enormous prestige which he alone had given to the Catholic Church in Australia. And I added that Panico had no doubt taken good care to conceal that great work as far as he could.

Then having gone so far I could not lose the opportunity to consolidate our own position in regard to the next and future occupants of the Nunciature in Dublin. We had taken careful note of the Holy Father's statement about the universalisation of the Church. The appointment of anybody but an Irishman would be most unwelcome. Not only would it [be] a slight on our capacity to represent the Vatican. There were Irish prelates in plenty who could do so with great distinction and advantage to the Church. There was also another point which should not be forgotten. The appointment in Dublin of an Italian following the present holder would be regarded as a retrograde step in England and America. They would be troubled and embarrassed about the future. He knew very well already that feeling was very high in a lot of countries on this issue and the Irish appointment was going to be a test case for the Holy See. As a loyal Church follower I felt I had to say quite frankly that the present situation was especially serious… and the world of the Church outside the Vatican felt the time had long since come to remove forever the old stigma of the Missio Italica. Montini remained silent and mostly somewhat frigid during these reflections but when I was leaving him he said that he was grateful for my great frankness. I saw him again shortly afterwards and he remarked sadly 'What you said was very painful for me and the Holy See but I am very grateful to you for having said it'. In saying this Montini was, I believe, absolutely sincere. I know from his own attitude that he is all out for immediate reforms and I have confirmed it from his intimate friends with whom I have established close relations.

However his position is difficult as there are so many powerful advocates of maintaining the Italian position intact. It is very fortunate that at this critical moment we have such an understanding person as Montini in this highly important post. He is the only real adviser to the Holy Father in whose mind, I have no doubt whatever, he is marked out for the succession to the papal throne.

I hope you will not think I have gone too far. Somebody must say these things even at the risk of incurring displeasure ... and they must be said even if they meant the possibility of becoming a persona non grata. I know that the procedure is quite unprecedented both on the side of the Hierarchies and on that of the Govts. because they follow too closely the old tradition of pretending that everything done by the H.S. is beyond criticism. My particular strength is derived mainly from your personal attitude towards the church and Italy and towards the Italian people ... They are of course also influenced in our favour by the relationship now established between His Grace and Montini. On the personal side I have done all I can to establish contact with those very fine Italian Catholics who work so closely with the H.S. and it was in furtherance of the policy that I sought the opportunity of meeting de Gasperi. Montini himself asked de Gasperi about it and was the chief factor in making the lunch appointment. He was to have been there himself but was held up by the Holy Father at the last moment for some urgent business. As an indication that I am in favour you will be glad to hear that I have been asked to read a paper at the Pax Romana congress which is to meet in Rome during Easter week. The invitation came from Veronese⁵ the president of Catholic Action after consultation with Montini. There are only six papers of a formal character. Two only to be read by members of the Diplomatic Corps, Maritain⁶ and myself. My subject is 'Catholicism and Universalism'. You will see the cloven hoof in the title but I hope it wont cause you any worry as I shall be extremely careful without being too wishy washy.

I have lots more to write about but I feel you would prefer me to report again rather than go on with this subject now.

I hope the Secretary is back from London. I am sure it was a very difficult task and I am looking forward to hearing the results.