Mr. de Obaldía to Mr. Hay.


Excellency: I have received your courteous note of the 29th instant, marked No. 10, relative to the differences that have arisen between the governments of the United States and of Panama, and agreeably to its contents, I have acquainted my Government with the decision of the President of this country touching the place at which the difficultis that have unfortunately intervened are to be adjusted.

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I trust that instructions will be sent to Minister Barrett, so as not to defer longer the settlement of the unforeseen incidents that have created great excitement in Panama and are working serious injury to trade and to the peaceful progress of its Government.

I hope that a fair arrangement, acceptable to both republics, may put an end to the deplorable conditions under which Panama has been placed by the enforcement of measures detrimental to that country.

I ardently wish that a happy conclusion will be reached, and that any and all causes that would tend to impair the pleasant relations of two countries which should never allow the memory of the noble and reciprocal efforts by which the far-reaching and popular act which gave Panama its independence was achieved to fade will honestly be forgotten.

Be pleased to accept, etc.,

J. D. de Obaldía.