File No. 831.032/1.


In spite of our cordial relations, which are daily growing closer with the United States of North America, it was not possible to accede to the suggestion made by their Government to establish a consular agent at Guanoco. Our laws are definite on this and do not permit such officers in ports where there is no customhouse. This was explained to the representative of that friendly nation, who did not hesitate to recognize this obvious reason.

On the inauguration of my administration in 1908, I secured the arrangement of the diplomatic questions which my predecessor had embittered and made difficult; and after prolonged and laborious conferences between our chancellery and the special representative of the United States, an agreement was reached honorable to both nations, in harmony with the provisions of international law. All the claims were terminated by negotiation except that of the Orinoco Steamship Co. which was submitted to The Hague Tribunal, which declared void the sentence of Superarbiter Barge and condemned Venezuela to pay $46,867.42, a sum already paid by my Government in spite of our not finding the judgment justly made.