817.00/3342: Telegram

The Minister in Nicaragua (Eberhardt) to the Secretary of State

163. General Chamorro states that he is sending additional troops to Leon to guard against alleged tendency of the Liberals to revolt and he admits that his troops are resorting to forced loans. The Liberals claim that stores are being sacked, merchants are being imprisoned, and a peace-loving populace provoked to civil war, all in order to force resignation of Vice President Sacasa, who refuses, is in hiding and whose life they claim has even been threatened by the Conservatives.

There is no doubt that Chamorro and his followers want Sacasa to resign. Whether or not he resigns, matters have now become so serious [Page 641] that it seems only a question of the probable few months necessary for the Liberals to secure army when revolution will follow.

Our best information is that outside of the Leon district the country is reasonably quiet.