Mr. Powell to Mr. Hay.

No. 152.]

Sir: I respectfully inform the Department there was a slight skirmish between the Government forces and some of the followers of Mr. Jimenez, [Page 247] in which the latter was defeated. Haitian troops are guarding the border closely to prevent the insurgent seeking refuge in their territory.

In all other parts of the Republic there is an appearance of quiet.

The weakness of the present Government is the financial problem. If that could be satisfactorily solved the permanency of the Government would be assured; if they are unable to do so, then it will have to give place to another. The President, though, feels the Government will be able to surmount the difficulties that at present surround it.

I have, etc.,

W. F. Powell.