723.2515/3264: Telegram

The Ambassador in Peru ( Moore ) to the Secretary of State

[Paraphrase]

19. Newspaper reports from Santiago published in Lima this morning regarding a settlement of the Tacna-Arica dispute have not the slightest foundation in fact. For the past five or six weeks President Leguia has not discussed the matter with any Chilean. Several weeks ago engineers went to Arica to survey the port and to find out if the suggestion which had been made concerning an extra port there was practicable. The engineers have now returned and yesterday they made their report to President Leguia.

President Leguia has not yet examined their report and consequently he could not possibly have made any proposal to Chile. If he approves the report, it is his intention to submit it to the Government of Chile through their Ambassador here.

The report indicates the following:

(1)
There could be established a new port about one and a half kilometers north of the more northerly of the two existing Arica piers.
(2)
It would be entirely within the present territory of Arica.
(3)
The new port would form a new terminus for the Tacna railroad, and a part of this railroad (about two kilometers) at present entering the town of Arica would be abandoned.
(4)
The line of the Arica-La Paz railroad would not be touched.
(5)
Peruvian customhouses and warehouses would be located on grounds from dredged material. It would be necessary to dredge the port at this place.
(6)
The new port would be wholly north of the present city of Arica.

In addition to this, there would be a division of territory by which arrangement Peru would receive Tacna, and Chile, Arica, as [Page 728] originally suggested, except a small piece of Arica territory which Peru would receive for the new port.

With regard to the Morro, President Leguia would insist that it be demilitarized and placed in charge of the Pan American Union which would supervise the erection of a peace monument there.

My personal belief is that President Leguia will approve this report and plan. If Chile agrees to it, the matter will be settled shortly.

Moore