No. 244.
Mr. Morton
to Mr. Blaine.
Paris, August 11, 1881. (Received August 24.)
Sir: The attitude and correspondent relations of France, England, and the United States, with the South American states, Chili and Peru, since [Page 421] the late termination of hostilities, was the subject of a private interrview which I had the honor to have yesterday afternoon at the palace of the Elysée, with President Grévy. The meeting was unofficial, and sought by his excellency for a mutual exchange of thoughts on a subject which appeared to have received his careful study. In the conversation which ensued, his excellency alluded to the two abortive attempts on the part of the Governments of France and England towards effecting some practical agreement between these two South American states. He referred in a general way to the desirability of establishing between our respective governments, the basis of a mutual understanding in regard to the policy which might be jointly adopted by us both towards securing an early return of order and stability in the affairs of Chili and Peru, as far as comports with our national traditions and usages in the management of public affairs with foreign states. He spoke of the many unsatisfied claims of French subjects on the Peruvian Government, and expressed his strong disapproval of the extravagant demands made by the Chilian Government, and conditions of peace, which, if literally enforced, he apprehended, would achieve the permanent enfeeblement, perhaps annihilation of the Peruvian state. In using this language, his excellency indeed acknowledged the right of Chili, as a conquering power, to certain indemnities and privileges to be embodied in the final treaty of peace, &c., but which he thought required particular modification, and he was of the opinion that another attempt at mediation on the part of foreign governments, and especially of the United States, was requisite for the purpose of reaching a satisfactory solution of the present state of chaos and disorder which now there obtains.
In my reply, I said I had received from my government, as yet, no instructions or intimation in regard to the course it might pursue towards these South American states. I felt, however, his own views, as expressed to me, would, if presented, receive the most favorable consideration. I continued to say, my government, I believed, had already striven, but without success, to interpose, as the equal friend, between Chili and Peru, with a view at to a reconciliation, and I had no doubt that, as suggested by President Grévy, a third attempt at mediation, on our part, would be ventured, and I concurred with his excellency in the hope the heavy demands of Chili might possibly be modified, as I also felt that if executed, they must limit, if not extinguish, in that state, the future development of private enterprise, as well as the employment of foreign capital, by which alone its natural resources could receive extension.
At the close of this interview, his excellency requested the informal transmission to you of the substance of his remarks, which I have the honor herewith to do, and I take pleasure to add that I regard this meeting with President Grévy as a renewed instance of the cordial relations now so happily existing between our two republican governments.
I have, &c.,