817.796 Riguero, Manuel J./1: Telegram

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

58. Manuel J. Riguero, a local Nicaraguan merchant, has recently proposed to the Nicaraguan Government a contract for the establishment of a commercial air mail and passenger service within Nicaragua and between Nicaragua and neighboring countries. This proposed agreement follows closely the lines of the Pan American Airways contract, but contains certain features which make it appear more favorable to Nicaragua than the latter and includes certain modifications which have already been made by the Chamber of Deputies in the Pan American Airways contract.

It appears that Riguero has made this proposal at this time in the hope that the Pan American Airways contract may be entirely rejected or modified in such a way that it would not be acceptable to that company so that he might then be in a position to conclude an agreement with the Nicaraguan Government for the establishment of an air service presumably with the backing of German or other foreign aviation interests.

Details will follow by mail.

Eberhardt