Consul Olivares to the Secretary of State.
Managua, May 23, 1910.
Sir: I have the honor to refer to the department’s cable of May 19, and to my cable in reply thereto of May 20.
Upon my having communicated to Dr. Madriz the paraphase of the instructions telegraphed to Commander Gilmer, he stated that he regretted that the American authorities had been misinformed regarding the movements of his vessel, the Maximo Jerez, formerly the Venus. He asserted that the vessel had fully complied with the requirements governing the departure of vessels of her character from ports of the United States, and that she had sailed under perfectly straightforward circumstances.
I pointed out to Dr. Madriz that it was quite clear, from the nature of my Government’s instructions to Commander Gilmer, that the authorities at New Orleans had been deceived regarding the circumstances connected with the voyage of the Venus.
Dr. Madriz then proceeded to explain that it had been well known to the authorities at New Orleans that the Venus carried arms and ammunition as cargo, and that no official objection had been offered to that fact.
He further recounted that upon the arrival of the Venus at Greytown the Nicaraguan authorities there raised the flag of this Republic over the vessel. He held that her voyage from New Orleans to Greytown having been accomplished in due form and without irregularity, the vessel was thenceforth free to engage in any business whatever, and that she was absolved from any obligations or restrictions which might previously have attached to her.
Dr. Madriz laid particular stress upon the assertion that the arming of the vessel had been accomplished in Nicaraguan waters subsequent [Page 748] to placing her under the flag of this Republic. He stated that in view of the course that had been followed he felt sure that the laws of neutrality of the United States had not been violated in any respect, but, on the contrary, had been rigorously observed.
By way of response I inquired of Dr. Madriz if it were not a fact that the persons associated with the Venus knew, previously to and at the time of her sailing from New Orleans, that following her arrival at Greytown she was to be used as a war vessel.
Dr. Madriz endeavored to avoid making a categorical reply to my question and to the accompaniment of much verbiage, sought to sustain his theory that no responsibility could attach to the vessel by reason of any future plans she might have had so long as she observed the requirements of law and usage in connection with her voyage from New Orleans to Greytown.
There passed through Managua to-day, en route from Greytown to Corinto, a party of about 10 men, the majority of whom appeared to be Americans, representing a part of the crew which took the Venus from New Orleans to Greytown.
For several days past there has been much military activity in this district, all available troops being hurried in the direction of the Atlantic coast.
Incidentally, a rumor has been persistently circulated to the effect that Gen. Chavarria’s column has been captured by the Estrada forces near Bluefields.
It is impossible to verify, with any degree of accuracy, the many rumors which are circulated regarding what is transpiring at the scene of hostilities, but if the rumored disaster to Chavarria be true, the department will undoubtedly have been advised of the fact from official sources at Bluefields.
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