File No. 818.00/305

The Minister in Panama ( Price) to the Secretary of State

[Telegram]

Your January 5, 6 p.m. Volio has attempted to lease launches to get away, but so far has been frustrated. He has now represented to me that he will remain here amenable to such indications as I may be willing to make and that he will do nothing contrary to the will of the United States. An American from San José, possible but likely self-appointed emissary of Tinoco, tells me that the latter said to him he would have war declared on Germany, Costa Rican waters placed at our disposal, and 10,000 troops furnished for the defense of the canal if given recognition. [He] expressed the opinion as personal, but suspected to have official coloring, that Tinoco could be induced to withdraw in favor of Esquivel of Supreme Court or Rafael Canas or one of others. Volio would be willing to accept either of the above named.

Price