Mr. Merry to Mr.
Hay.
Legation of the United States of America,
Bluefields, Nicaragua, April
30, 1899.
No. 243.]Sir: I have the honor to inclose herewith an
agreement made by me with Mr. Sanson, Nicaraguan minister of foreign
affairs, in relation to the contested duties at custom-house here. The
acceptance thereof by the British consul will make it effective, and he
is hourly expected here from San Juan del Norte. The suggestion of this
arrangement was presented by Mr. Spellman, one of the interested
parties, and accepted by Mr. Sanson, after consultation with Colonel
Torres and General Estrada, governor intendente of the Mosquito
Reservation, entitled the “Department of Zelaya.” You will observe that
the terms are distinctly more favorable to the merchants than payment
under protest to the Nicaraguan authorities, who seldom pay any claims,
except under duress. I inclose a letter I have addressed to the
merchants in this connection (inclosure No. 2). I have not found it easy
to satisfy them all. They desire aggressive action, aided by military
power, which is not permissible under present conditions. One asks of
what service is “a war ship that does nothing,” and another wants to
know what they are to do after the Detroit and
the writer leave Bluefields. They have many complaints of long standing
against the Zelaya Government which they desire combined with the
special matter which called me here, a proposition obviously impolitic.
Some of their complaints appear just, and are worthy the attention of
the Department, when properly presented. They now fear persecution and
prosecution after this particular difficulty has been settled, and with
some reason. On this account I respectfully refer to my No. 238 of 23d
instant and renew recommendation therein made. It is the easiest and
most economical method of solving the naval question here, in my
opinion.
Before signing this agreement I have awaited in vain your reply to my
cable of the 23d instant, and I have at times consulted with Captain
Dayton, of the Detroit, as to the advisability of
going to Limon to cable the Department thence. But cables from Limon
pass through Nicaragua territory before reaching San Juan del Sur;
consequently, if it is the purpose of the Nicaraguan authorities to
delay or mutilate my cables, that line is not reliable, and it would be
necessary to proceed to Colon, 280 miles distant, which would take the
Detroit from here probably seven days, as she
would have to coal and await her turn for that purpose at some steamship
wharf, temporarily vacant. I have not felt that it is wise to do this.
However, the opportune arrival of H. B. M. S. Proserpine, ordered here from Barbados,
[Page 576]
relieves the situation, when she returns
from San Juan del Norte, where she has gone for the British consul. The
Nicaraguan authorities at Rama, I am credibly informed, recently flogged
a British subject for alleged complicity in the late revolt, and this
will receive immediate attention from the British consul. The
“court-martial” continues taking evidence daily, with closed doors, and
I am informed its action will also be investigated by the same official.
I have plainly stated to Mr. Sanson that I am under the impression that
Colonel Torres is closing the wires against me, and seriously entertains
the idea of making official protest, leaving the British ship here while
I proceed to a friendly port, where I can be allowed to communicate with
my Government; but he assured me on his honor that the lines have been
down continuously.
With assurances, etc.,
William Lawrence Merry,
United States Minister.
[Inclosure
1.—Translation.]
Agreement between Mr. Merry and Mr.
Sanson.
The undersigned, Joaquin Sanson, minister of foreign affairs of
Nicaragua, and William L. Merry, envoy extraordinary and minister
plenipotentiary of the United States of America, desiring to find a
friendly solution which will put an end to the difficulties which
have lately presented themselves between the fiscal authorities of
the Republic and some American merchants by reason of the
occurrences which have taken place on the Atlantic coast in relation
to the payment of duties which they made during the month of
February, 1899, to the rebel chiefs who operated here, and which the
Government has not wanted to recognize as legitimate, have agreed to
celebrate the following agreement:
- 1.
- The merchants, Messrs. Samuel Weil & Co., The New
Orleans and Central American Trading Company, Allen &
Caldwell, J. A. Peterson, S. D. Spellman, and Orr &
Laubenheimer, will deposit in the consulate of Her Britannic
Majesty the value claimed as owing to the fiscal authorities
and which they object to pay directly by reason of having
once paid to the employees of the revolutionary organization
of General Reyes after the 3d and before the 25th of
February, 1899.
- 2.
- The fiscal authorities on their part will rescind the
provisions of “embargo” on merchandise which they had
decreed to make effective the payment aforesaid.
- 3.
- The difficulty overcome, once that it has been discussed
before whom it may appertain, and as a last resort by the
secretary of foreign relations of Nicaragua and the
Department of State of the United States, the deposit shall
be paid by Her Britannic Majesty’s consul to the authorities
of the custom-house if it is decided that Government has had
the right to demand the payment claimed, or to its owners,
the American merchants, if it is decided that the payment
made to the revolutionists of Bluefields was legal for the
reason that they pretend that the revolutionary organization
of General Reyes, between February 3 and 25, 1899, was the
government de facto.
- 4.
- If the Government should collect the duties which are now
charged to the merchants owing, it can not make any charge
for fines in regard to the default in paying the
demand.
- 5.
- The undersigned, in case that the present matter results
in diplomatic action, will request their respective
Governments to the end that it may be decided within four
months.
- 6.
- The present convention does not diminish or alter in any
manner the rights of the parties which they may have in
other matters, and has been prompted entirely by the spirit
of fraternity which invites onr respective peoples and
Governments.
Signed at Bluefields,
Nicaragua, in duplicate, on the 29th day of
April, 1899.
- Joaquin Sanson,
- William Lawrence Merry,
[Page 577]
Amounts claimed by the customs authorities of
Nicaragua, above alluded to.
| J. A. Peterson |
$2,233.43 |
| Samuel Weil & Co |
2,731.38 |
| Allen & Caldwell |
3,347.64 |
| The New Orleans and Central American Trading
Company |
6,725.35 |
| Orr & Laubenheimer |
3,313.46 |
| Samuel D. Spellman |
1,332.07 |
| Total |
19 673.33 |
Nicaraguan currency, gold value about one-third.
[Inclosure.2]
Mr. Merry to
Messrs. Samuel Weil & Co., J. A.
Peterson, Allen & Caldwell, The New Orleans and Central
American Trading Company, S. D. Spellman, and Orr &
Laubenheimer, Bluefields.
Legation of the United States of America,
Bluefields, Nicaragua,
April 30,
1899.
Gentlemen: After mature deliberation, I
have signed the agreement with Senor Don Joaquin Sanson, minister of
foreign relations of Nicaragua, arranging for the payment of the
duties claimed by the customs authorities as due from February 3 to
25, 1899. In reaching this decision I have been guided by what I
conceive my duty and the presumed policy of the Government, since I
have not been able to obtain definite instructions by cable. The
arrangement gives you better terms than you were wil ing to accept,
i. e., payment under protest to the Nicaraguan customs authorities
instead of payment in trust to Her Britannic Majesty’s consul until
our Government decides as to whether you were correct in paying
these duties to the Reyes revolutionary government, which can be
justified only on the basis that it was a government de facto, of
which I have no doubt and which I do not doubt you can prove if you
jointly produce the evidence upon which my opinion is founded and
which I shall have the pleasure in forwarding to our Government.
Your merchandise is released and no fines can be attached to these
invoices by reason of delay in payment. We jointly request our
respective governments to decide the matter within four months; we
could not make this obligatory. The agreement appears to me
equitable and I have no doubt will save the money paid in trust, if
you will aid the consular officers and myself in obtaining the
abundant proofs of a government de facto in legal form. So far as I
understand the situation, I was instructed to come here to settle
this difficulty, but it is also my duty to entertain any just
complaints in regard to infringement upon your rights, present and
past. It is of no advantage for each merchant to state individual
grievances verbally, producing no proofs, although the assertions
may be entirely correct. In respect to the nonpayment of the
Mosquito script, the increase of duties beyond the 20 per cent ad
valorem, which you claim the Nicaraguan Government promised when it
assumed entire soverignty over the Mosquito Reservation, should not
be done; and in respect to the numerous complaints you make against
the Nicaraguan authorities; these should be presented in a tangible
and attested form, upon receipt of which it will be my duty and
pleasure to present them to our Government, urging action to protect
your interests, if your complaints appear well founded. I shall not
leave here until your present difficulties are over, and I may
promise the same in respect to the naval vessel now present.
With assurances, etc.,
William Lawrence
Merry,
United States
Minister.
