No. 744.
Mr. Blaine to Señor Camacho.
Washington, August 3, 1881.
Señor: I have the honor to acknowledge the receipt of your letter of the 1st instant, in regard to the pending complications between Venezuela and France, growing out of the non-payment of the French claims, and to the apprehensions felt by Venezuelans of an armed demonstration within a short time by France, and the forcible occupation of some of the harbors of Venezuela in compensation for debts due French citizens.
I am unwilling to believe that such a design is entertained by the French Government, or that there is just ground for the apprehensions referred to; but the friendly interest with which this government regards the sister and American Republic of Venezuela has induced me, after hearing the representations made by you in recent conversations, to instruct our minister at Paris to say to Mr. Barthelemy St. Hilaire that the President is of opinion that a general accord should be reached among the creditor nations and a convention agreed upon, and suggests that the United States place an agent at Caracas, authorized to receive monthly from the Venezuelan Government the amount agreed upon, to be distributed pro rata, and, in case of default, to take charge of the custom-houses at La Guayra and Puerto Cabello, and reserve from the receipts the amount necessary for the above purpose, and 10 per cent additional.
I trust that this suggestion will be so received by the French Government as to dispel the apprehension of an armed occupation of any of the ports or territory of Venezuela, and will lead to a satisfactory adjustment and ultimate payment of all the foreign claims of Venezuela.
Accept, sir, &c.,