817.00/4267: Telegram
The Secretary of State to the Minister in Nicaragua (Eberhardt)
140. Department desires immediate answer to question as to whether Liberals have rejected peace proposal of President Diaz.
Upon receipt of request from shippers in the United States and authorization of the Nicaraguan Legation the Department will immediately issue licenses for arms to the Diaz government. Yesterday the Navy Department was requested to issue instructions to the Commander of the Special Service Squadron to afford all proper protection on the east coast of Nicaragua to American lives and property and to land forces if necessary for that purpose.
Protection has been requested by American interests at Bragmans’ Bluff and other places.
It is the belief of the Department that you should fully understand its position with respect to the present situation in Nicaragua and realize that the Government of the United States cannot take any steps which would be considered as American armed intervention.
Telegraph Department immediately following data: Number of Government troops now under arms; relative positions of such forces in Nicaragua; and names and qualifications of the high commanding officers.
It was the understanding of the Department from the Legation’s reports that President Diaz could count upon the support of a substantial majority of the people of Nicaragua and that his designation by Congress seemed to confirm this understanding. For this reason the Department cannot understand your reference to a possible general uprising against the Government of President Diaz contained in Legation’s telegram number 237, December 13, 1 p.m.,40 which would result immediately in the speedy collapse of the Diaz government accompanied by conditions of anarchy.
Department has been informed that Costa Rica is prepared to offer to mediate between the Government of Nicaragua and the party of Sacasa. Telegraph your views on this subject immediately, setting forth what effect such an offer would have on the present situation and whether there would be any chance of a successful outcome. Does the departure of General Chamorro from Nicaragua tend to bring about a peaceful solution of the situation?
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