Mr. Barrett to Mr. Hay.

No. 23.]

Sir: I have the honor to report that the submission by me to the Panama minister of foreign affairs of a copy of the letter of Bunau-Varilla to Secretary Hay,a coupled with my intimation that the United States is ready to undertake negotiations to protect the revenues and trade of Panama, on lines outlined in the President’s order of June 24 has created a good impression and tended to allay public excitement.

There is indignation in certain circles against the original position taken by Bunau-Varilla and criticism of the junta of that time for allowing their ministers to write such a letter, but they recognize that it commits the Panama Government and that it absolves the United States Government from blame for alleged arbitrary interpretation of the treaty.

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I have, etc.,

John Barrett.
  1. Printed ante.