Foreign Relations of the United States: Diplomatic Papers, 1943, The American Republics, Volume VI

711.34/34

The Ambassador in Paraguay ( Frost ) to the Secretary of State

No. 838

Asunción , March 3, 1943.
[Received March 12.]

Sir: I have the honor to refer to my despatch No. 797 of February 17, 1943 (File No. 800), which enclosed a communication denouncing American cooperation with the Morínigo Government and indicating that no return cooperation has been secured.⁸ In this connection it may be reported that certain American and other friends of democracy residing in Asunción and cities in neighboring countries are known to feel that the Morínigo régime has not adopted measures or attitudes which justify the aid it has received. As the Department is aware the majority of the educated Paraguayans who favor the Allied cause, both in Asunción and Buenos Aires, are hostile to President Morínigo; so that Americans resident in both cities find themselves in contact with criticism of the present Government of this country as being essentially uncooperative and anti-democratic. The Department will also recall that some three months ago, in Despatch No. 597, of December 9, 1942,⁹ there was treated the absence of helpfulness in official quarters here on local matters relating to the war effort.

At the present time, fortunately, it may be said that recent favorable actions have shown that previous such actions were in reality parts of a considered policy of cooperation which is now plainly in full development. In despatch No. 810, of February 20, 1943,⁹ a succinct list was supplied of twenty helpful steps taken by the Morínigo Government, under the guidance of Dr. Argaña,¹⁰ beginning last September. Since the despatch was prepared this Government has (1) issued a most cordial invitation to Vice President Wallace to pay an official visit to Asunción,¹¹ has (2) improved the editorial friendliness of its newspaper, El Paraguayo, has (3) facilitated the instituting of our decentralized American-export control in Paraguay,¹² and has (4) issued a nation-wide order to its authorities to tighten the control and vigilance of nationals and agents of the Axis powers. While any mercantile calculation as to exactly the amount of “aid” given on the one hand and “cooperation” returned on the other would be invidious and ridiculous, it may assuredly be said that the Morínigo-Argaña régime has now afforded much collaboration.

I am impelled, further, to mention this Embassy’s increasing comprehension of, and admiration for, the courage shown by Paraguay’s rupture of relations with the Axis.¹³ The difficulties which the régime faced in forming and putting through this decision have become more apparent as our knowledge of the situation has grown, (a) Our sustained and detailed investigations and attempts at action in connection with the Proclaimed List have revealed the strength and ramifications of the German and Italian economic elements here. It cannot be too strongly emphasized that a majority of the commerce and industries have been in German and Italian hands, in this capital city of Paraguay. The international public is familiar with the existence of large German groups in the south of Chile and the south of Brazil, but these groups are not actually omnipresent in the capitals of the countries in question. The percentage of Germans and Italians and Paraguayans of German and Italian blood in and around Asunción is, I firmly believe, much higher than in any South American center of government. (b) In the second place the influence of Argentina is phenomenally strong in Paraguay. As pointed out recently, no country in the hemisphere has been so completely at the mercy of any other country as Paraguay at that of Argentina. Every step taken by Dr. Argaña in international affairs must be appraised in the light of the Argentine influences here. When critics dismiss Paraguay’s anti-Axis stand as meriting scant appreciation they ignore the ubiquitous German-Italian strength here and the crushing pressure from Argentina. Perhaps no one of the nineteen republics needed the fortitude and resolution which this republic did in taking the step.

[Here follows a discussion of the Paraguayan internal situation.] I also wish to make the point that General Morínigo’s decision, adopted with great firmness a few weeks prior to the Rio Conference, and the subsequent pro-Ally steps taken by his Government have been largely due to the influence of Dr. Argaña. I was told again this week, as coming from the head of an English firm whose lawyer Dr. Argaña has been for many years, the same story which Dr. Argaña himself told me twenty months ago, namely that his attitude with regard to the war is based on his religious convictions. Certain of the Nazi doctrines and acts profoundly shocked his devout views, and his faith in Divine Providence led him to the conclusion that it would not permit the triumph of the barbarous and anti-Christian Nazi forces. I believe this is in very truth his attitude; and I question whether any Foreign Minister named by a Liberal or other soi-disant pro-democratic government would have a stronger or more ineradicable determination to further the victory of the United Nations than that with which he is imbued.

Respectfully yours,

Wesley Frost

8. Neither printed; the enclosed communication was anonymous. It expressed the resentment of opponents of Morinigo that the aid given by the United States to his Government strengthened the dictatorship (711.34/32).
9. Not printed.
9. Not printed.
10. Luis A. Argana, Paraguayan Minister for Foreign Affairs.
11. For correspondence on the visit of Vice President Wallace to certain American Republics, see vol. v, pp. 55 ff.
12. For correspondence on export controls, see ibid., pp. 267 ff.
13. Paraguay severed diplomatic relations with the Axis on January 28, 1942. For correspondence on the reactions in the other American Republics to the declaration of war between the United States and the Axis, see Foreign Relations, 1941, vol. vi, pp. 55 ff.