724.3415/100

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

No. 144

Sir: With reference to the Paraguayan-Bolivian boundary question and its settlement, I have the honor to report a conversation held with the Minister of Foreign Affairs while visiting at his home the other evening.

During the day the Minister had received a detailed despatch from the Paraguayan Legation in La Paz, concerning the Bolivian attitude upon the Chaco question. In substance, he related to me the following.

Bolivia does not desire the United States to arbitrate the question, has stated so definitely to the Paraguayan Minister in La Paz, saying that Bolivia believes the question is of no interest to other than South American countries and therefore should be determined by South American views and wisdom. Bolivia will not submit to mediation or decision by the United States. Such also is Bolivia’s attitude toward Argentina, in the belief that Argentina, through various interests, favors Paraguay, rather than being impartial in its views.

The Minister is strongly for the good offices of the United States and will stress that necessity in confidential negotiations, although he said [Page 533] that, if mediation by the United States should prove impossible because of the Bolivian attitude, Paraguay would permit the naming of other mediators, believing its cause most secure in view of the fact that it is so strongly authenticated by records of fact, historical maps and the like.

During the Paraguayan sojourn of the Vice President of Bolivia, Dr. Abdón Saavedra, two conferences will be held upon this subject. At the personal conferences with the Minister the latter will stress the wisdom of action by the United States in the matter; believing that he can perhaps more forcefully put forth the Paraguayan view than can the Minister in La Paz. “Impartial decision can only be made by the United States,” these are his exact words, “therefore the question should be submitted to your (the American) Government.”

The President will offer a banquet to the visiting official of the neighboring country and every evidence of the most friendly relations and feeling will be shown. It is the President’s belief that through friendly considerations the most can be accomplished.

The American Minister has carefully avoided indication, or comment, as to the possibility of the American Government’s entertaining, or desire to entertain, negotiations concerning the controversy.

I have [etc.]

Geo. L. Kreeck