Mr. White to Mr. Hay.

[Telegram.—Paraphrase.]

(Mr. White reports that he finds at the foreign office and at the prime minister’s office hopeful view of an early settlement; that Mr. Bowen’s arrangements for payment of first claims are satisfactory, and the only obstacle now, apparently, is the desire of the three allied powers to secure priority for their claims upon Venezuelan customs over those of other powers. The British Government is making strenuous efforts to get settlement sufficiently advanced to raise the blockade, which Mr. White understands may be on January 27 or 28.)