Minister Merry to Acting Secretary of State Loomis.
San José, Costa Rica , April 27, 1905 .
Sir: I have the honor to forward herewith copy and translation of the reply from the Government of Nicaragua to the various inquiries made in your No. 613 of January 13 on representations of Seldon [Page 700] Bacon, esq., attorney for American merchants at Bluefields, Nicaragua, and answering my dispatch of January 30 to that government.
I am informed that the revisionary custom-house at Bluefields is likely to be abandoned as impracticable and that the Weinberger contract for the exclusive navigation of the Escondido River will be modified. Both were in restraint of commerce, and providing it is not required that the government shall repay any part of the money received for the concessions I do not think it will be difficult to establish a status that will better permit the protection of all parties in interest.
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The assurance that it is intended to conciliate the interests involved and the fact that changes are already being made in that direction warrant the expectation that in this connection there will be less friction hereafter.
I have, etc.,