No. 49.
Mr. Logan to Mr. Frelinghuysen .

[Extract.]
No. 93.]

Sir: I am in receipt of your instruction, No. 41, under date of March 23 ultimo.

My dispatch No. 92, which goes by the present mail, will inform you of the total change which has occurred in the situation within a short time, and that peace with Bolivia through a separate treaty may be considered an accomplished fact, while a peace with Peru through the Iglesias government has been agreed upon and only requires certain formalities to give it binding validity. My dispatch also informs you of my fears that the treaty with Peru may not be accomplished in proper time, and that the breaking of the alliance may make it much worse for the Peruvians.

Under the facts already stated to you, that Calderon will not even agree to the terms of Chili outside of the question of Tacna and Arica; that the Chilian Government has absolutely refused to treat further with him upon any terms; that the approaching treaty with Bolivia makes Chili master of the situation, and that the adoption of the Iglesias government by the Peruviaus is probably a fixed fact, you will perceive [Page 102] the impracticability of my carrying out the instruction of your dispatch No. 41.

I have communicated with the Government of Chili since the reception of your instruction, however, and have formally made the proposition therein indicated, relating to the recognition of the Calderon government and the submission of certain questions to the arbitration of the United States. I was listened to most respectfully, but was informed that the Chilian minister in Washington had no power whatever to commit his Government, even by implication, to a settlement upon such a basis; that since the arbitration offered by myself and accepted by both Chili and Calderon had been broken by the latter,* * * the Chilian Government had found it wholly inconsistent with its right to attempt a settlement in that way; that the continued manifestation of good offices by the United States was most highly appreciated, and that in the just settlement of the question which is now at hand, Chili desired to have the friendship and proper assistance of our Government; but that the whole settlement had assumed a different direction, and that therefore neither the proposition for arbitration nor that for the recognition of the government of Calderon could be entertained. I was especially charged to convey to you the thanks of the Government for the interest manifested by you. After this I was placed in full possession of the present situation, as detailed to you in my No. 92.

The Government of Chili regrets that I am not in position to make the proposed peace with Peru a fixed fact by a recognition of the government of Iglesias, with which latter the treaty has been concluded.

Should it fall within my power to do anything for the Peruvians in their present situation or to accomplish anything in the line of your instruction No. 41, you may be assured that I shall be on the alert to embrace the opportunity.

I have, &c.,

C. A. LOGAN.