File No. 822.032/11.

The American Minister to the Secretary of State.

No. 19.]

Sir: I have the honor to transmit herewith copies of the Message of the President of the Republic to Congress which was read at the first session on August 10th. The message chiefly draws attention to the reforms begun by General Plaza in the general administration of the country.

I have [etc.]

Montgomery Schuyler.

The Government through the Secretary of State has whenever necessary called to the attention of the [Guayaquil & Quito] Railroad Company the deficiencies and irregularities noticed in its service and has required the discontinuance of illegal conditions authorized or tolerated by preceding administrations. The Company has either acquiesced or failed to respond or alleged rights that the Government, by itself, could not ignore. I believe that the present difficulties [Page 472] will continue until they are taken up by the arbitrators contemplated by article 27 of the contract of June 14, 1897, who are to be appointed by the Presidents of Ecuador and the United States of North America.

During the present year we were at one time at the point of organizing the arbitral tribunal, for there appeared in this city Mr. Henry Janes, the arbitrator appointed by the then American President, Mr. Taft.1 As we, on our part, had appointed Doctor Alfredo Baquerizo Moreno,2 the tribunal seemed about to be organized.

It was not so, however. Difficulties arose regarding the constitution of the tribunal and while the discussion of this delicate matter was going on, Mr. Janes suspended his participation and returned to his country. We are, therefore, where we were before; but we hope that the new President of the United States, Mr. Woodrow Wilson, who has so outspokenly proclaimed his intense Pan-American spirit, will soon appoint some one to replace Mr. Janes on the tribunal.

  1. This passage is the only one making reference to the United States, excepting a reference to the acceptance of the American Minister.
  2. For. Rel. 1912, p. 421.
  3. Id. 422.