File No. 723.2515/281.

The American Minister to Chile to the Secretary of State.

[Telegram.]

Further discussion of the settlement with Peru has been postponed for the present by the Senate. Foreign Office informs me postponement is due to reported adjournment of Peruvian Congress without action on the agreement and that the Chilean Government is waiting to hear how matters stand in Peru before proceeding any farther. It was understood that the settlement should advance pari passu in each capital. There have been rumors to the effect that the negotiations have ended in failure but this is denied by the Chilean Government.

Fletcher.