No. 231.
Mr. Baxter to Mr. Fish.

No. 49.]

Sir: The political relations between the governments of Honduras and Salvador (and particularly the respective Presidents of the two republics) for some time past has, by no means been friendly, the press of Salvador being especially bitter against President Medina, and it has been thought very probable that Salvador and Guatemala were likely to unite to make war upon Honduras, (which now is believed to be almost certain,) and for the sole purpose to displace President Medina. I inclose a printed decree of President Medina, declaring at an end all official relations between Honduras and Salvador, until a good understanding is re-established, and putting the army of Honduras on a war-footing, &c. War is universally considered inevitable, and by citizens of Honduras opposed to President Medina (of whom thereare many) his overthrow as certain.

[Page 303]

The Honduras Railway is not being pushed with special energy, and certainly its speedy completion from present appearances cannot be anticipated.

I have, &c,

HENRY BAXTER.