File No. 838.00/986.
Minister Blanchard to the Secretary of State.
Port au Prince, September 5, 1914.
Sir: I have the honor to report that the taking of Ouanaminthe has been celebrated in Port au Prince by proclamation, public band concert, night parades arid fireworks, and would be a great step [Page 353] toward pacification were it not for the continued critical financial condition of the Zamor Government.
The financial condition remains unchanged. The Bank, having already advanced more than 50% of the amount due under the “convention budgétaire,” has declined to advance any more on the August budget. No decision has as yet been reached regarding September advances.
The question of the issuing of paper money is being contemplated by the Government to enable it to meet its most pressing obligations, payment of troops, etc., as it is without funds whatsoever, and the Bank is now being approached for its support to that end.
I have [etc.]