No. 910.
Mr. Bayard to Mr. Bacon.

No. 97.]

Sir: Your No. 225, of May 28 last, reporting that you had signed a protocol with the Paraguayan minister of foreign affairs, settling the claim of the United States and Paraguayan Navigation Company, has been received and your action is commended.

As regards your course in denying publicly through the press the newspaper story that you had threatened Paraguay with a North American fleet, I have to say that while the Department is generally averse to its officers noticing publicly newspaper stories, the circumstances in this case seem exceptional, and your action is approved.

I am, etc.,

T. F. Bayard.