Mr. Merry to Mr. Hay.

No. 983.]

Sir: I have the honor to advise that the commissioners appointed by the governments of Nicaragua and Honduras, Señor Salvador Castrillo, representing the former, and Doctor Membrano the latter Republic, have arranged to submit the question of the boundary line between the two countries to the King of Spain, who has not yet signified his acceptance, but it is confidently expected that he will not deny the courtesy. The commissioners have returned to their respective capitals. It is now expected that Hon. Jose Dolores Gomez, “Primero Designado,” to the presidency and presiding officer of the Nicaraguan Congress, will present the case of his government at Madrid. This action will secure the public peace in northern Nicaragua. * * *

I shall not fail to keep you informed of further movements in this matter which may come to my knowledge from reliable sources.

With assurances, etc.,

William Lawrence Merry.