722.2315/1014

The Chief of the Division of Latin American Affairs ( Duggan ) to the Second Secretary of Legation in Ecuador ( Sparks )

Dear Eddie: I found your letter of December 12 regarding the boundary negotiations of great interest. During the last few days I have made a point of trying to find out exactly what is going on in the negotiations. I find that little actual achievement is noticeable, but on the other hand certain preliminary groundwork has been accomplished. Moreover, the lack of progress may be ascribed, I think, [Page 125] to the tactics of both delegations. Although it is clear that the Peruvians are going to be reluctant to negotiate on any basis which does not take into consideration the fact that they are in actual possession of a large part of the disputed territory, nevertheless it is clear to me that the Ecuadorans also have their preference for the basis of negotiations and are going to stubbornly hold out for negotiation on those bases. I think that the progress made at Buenos Aires cannot but have a favorable effect on the negotiations here, and believe that when the Secretary returns it may be possible for the President or him to take some initiative that may result in more productive conversations. The idea of an observer appeals to me.

I appreciate your passing along the information that comes to you regarding the negotiations and hope you will continue to do so, as it is very helpful.

Sincerely,

Larry