Mr. Baker to Mr. Gresham.

No. 11.]

Sir: I have the honor to report further on the condition of political affairs in this country. To day at 12 o’clock I was a witness to the change in the presidency of this Republic by the resignation of Dr. Roberto Sacasa and the inauguration of Salvador Machado. As will be seen by reference to protocol and articles of peace, anew constituent assembly will meet within four months and will form a new constitution, better suited to the present spirit, intelligence, and self-reliant character of the people. After this is accomplished a new election for President will be held, and none of the members of the new administration will be eligible to office at that election. Provision is also made for the substantial disbandment of the army.

All parties to the agreement seem to be actuated by high motives and are performing their respective duties in perfect good faith.

I have, etc.,

Lewis Baker.