The Secretary of State to Chargé Cresson.

[Telegram.]

The following is being sent for action by the diplomatic representatives of the United States, at Lima, Quito, Santiago, Petropolis, and Buenos Aires. Hand the following textually to the minister for foreign affairs of the Government to which you are accredited:

The Representatives at Washington of Peru and Ecuador, having requested on behalf of their Governments that the United States consider whether it could not take some action toward an amicable settlement of the existing strain between them on account of the apprehension regarding the award of the King of Spain on the boundary-dispute, and the Government of Eucador, having made such representations also, through the legation of the United States at Quito, the Secretary of State makes in reply the following statement:

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The present apprehensions appear based upon unauthenticated theories as to what the award may be. The United States sees in the situation no elements of danger which should not at once disappear if the two Governments immediately concerned, heeding the wise counsels of their friends and the dictates of their real interests, approached the subject in a calm and conciliatory spirit.

It might suggest itself to the two Governments that, upon mutual assurances of a sincere adherence to this attitude, they should instruct their respective representatives at Washington, or at some equally disinterested American capital, to discuss the question under the auspices of the Government at such capital, and, if able to find a common ground for diplomatic adjustment of the question, that they should request such third Government to inform the King of Spain that happily they had reached a situation where they would like once more to attempt a direct settlement by amicable negotiation and to request His Majesty, therefore, to withhold the award pending the result of these negotiations.

Knox.