725.34/25: Telegram

The Minister in Paraguay (Nicholson) to the Secretary of State

35. Department’s telegram No. 30, August 8, 3 p.m. I last night conveyed to President Ayala the American Government’s tender of its friendly offices in the matter of the Paraguayan difficulty with Chile. The Brazilian Minister on his own motion accompanied me. His instructions were identical with my own. The President expressed his appreciation of the interest of the American and Brazilian Governments. He said, and repeated in reply to a direct question, that the withdrawal of the Ministers by both the Paraguayan and Chilean Governments did not in his opinion constitute a severance of relations. As to tenders of good offices he said that there was [Page 308] nothing requiring mediation between the two Governments. I asked whether Paraguay would expect explanations or assurances for the future as to the points of irritation before diplomatic representatives would again be named for Santiago and Asunción and he replied that this might not be necessary. The President expressed annoyance that the first knowledge of the Chilean note informing the Paraguayan Government that the Chilean Minister was to be withdrawn had reached him in a message from the Argentine Minister for Foreign Affairs tendering good offices before the Paraguayan Government had received the Chilean note.

It is my personal opinion that this matter is not serious except as it possibly may affect pending peace negotiations. It would appear to be on both sides a case of gesturing for local effect.

The Ministry for Foreign Affairs issued a long statement last evening reviewing the incidents in relations between Chile and Paraguay and concluding as follows:

“The Government of Chile has resolved to retire its Legation accredited in Asunción and to make public the notes exchanged, putting an end to the correspondence in the matter.

Consequently, the Paraguayan Government issues the present statement for the purpose of declaring

1st.
That it maintains in full the statements in its note of August 2nd as concerns the neutrality observed by the Chilean Government.
2nd.
That there cannot be given to the note any interpretation in the sense that the Government associates itself with the press propaganda and much less with attacks of a personal character directed against Chilean personalities which attacks merit the Government’s frank reprobation.”

The last paragraph of the quoted statement would appear to meet the last Chilean objections mentioned in my telegram 34, August 8, 9 a.m.

Nicholson