724.3415/713

Memorandum by the Assistant Secretary of State (White) of a Conversation Between the Secretary of State and the Representatives of the Neutral Nations, September 18, 1929

The Secretary asked the Mexican Ambassador, the Colombian Minister and the Cuban and Uruguayan Chargés d’Affaires to call on him on Wednesday morning, September 18.

The Secretary stated that he had asked the gentlemen to call on him as the representatives of the neutral nations represented on the Commission of Inquiry, Bolivia and Paraguay. The Secretary stated that he felt that the Governments could be very pleased with the results obtained by the Commission in conciliating the difference between the two countries as the result of the incidents of last December. The Secretary had been kept informed by General McCoy of the very effective work which had been done by the neutral members and great credit was due to each of them for the happy outcome of the conference. Much had been accomplished but there was still a great deal more to be done in bringing about a definitive settlement.

In such matters it was necessary to have some machinery to bring this about. The Secretary had been very much impressed by this in connection with the Briand-Kellogg Pact.69 It was the purely fortuitous circumstance that the Pan American Arbitration Conference was in session when this trouble arose that steps were able to be taken immediately to prevent hostilities and to offer the contending parties a peaceful means of settlement.

The Commission has accomplished what it was set up to do, namely, the conciliation of the incidents of last December so that relations between the countries are now back on the basis prior to those incidents but should the Commission go out of being there will be no machinery should further crises arise, and the Secretary had been informed by General McCoy that in the past a crisis arose about once a week. The Secretary had therefore called in the diplomatic representatives of the neutral governments to advise them of the action which he had taken so far and the recommendations of the Neutral Commissioners, which had been communicated to him by General McCoy.

On September 13, the Secretary instructed the American Legations in Asunción and La Paz to tender to those Governments the good offices of the United States which in this case would be represented by the services of the American Commissioner and of the Secretary General of the Commission. On the same day the Secretary had informed the respective neutral governments of his action and had [Page 898] urged those governments to make a similar offer of the service of the Commissioner representing each country. The Secretary had been advised that the Colombian Government had already tendered its good offices to Bolivia and Paraguay and that Cuba would do likewise and he expressed the hope that Mexico and Uruguay would take similar action.

Inasmuch as the Commission’s term came to an end under the Protocol of last January on September 13, the Secretary felt that if the neutral governments represented on that Commission should continue to interest themselves in behalf of a settlement of the fundamental question pending between Bolivia and Paraguay it would be helpful and if those governments agreed he would like to suggest that an endeavor be made to secure agreement by Bolivia and Paraguay to continue the existence of a Commission for this purpose. The Secretary made it clear that the same Commission would not have to be maintained; that he understood that most of the Neutral Commissioners had made their plans to be here only until September 13, and were anxious to return to their respective countries for various personal reasons. It was not necessary to maintain the same Commissioners but merely to maintain a Commission composed of a representative of the five neutral governments selected by the Pan American Conference on Arbitration and Conciliation and that those Governments could send other representatives.

The situation had changed since the Secretary originally invited these gentlemen to meet with him. Paraguay has accepted the offer made but Bolivia has not. Bolivia has indicated that it thought the negotiations could best be carried on directly between the two Governments when diplomatic relations are established as they have agreed to do in the conciliation agreement.

The Secretary pointed out that Bolivia had objected to the proposal of arbitration contained in General McCoy’s note of August 31. As a matter of fact both countries had done so but both had reiterated their firm intention of seeking a solution by arbitration. The objections raised by both countries had been met by what the Secretary thought was a very wise and clever suggestion, that, as the two countries could not agree on a delimitation of the territory to be submitted to arbitration and certain other preliminary considerations, the scope of the arbitration be submitted to a preliminary arbitration. This was done in a note dated September 12. This note has not been answered by Bolivia. The proposal contained therein has been accepted by Paraguay and the Secretary wanted to consult with these gentlemen as to further action that could be taken.

A brief discussion followed in which suggestions were made by the Mexican Ambassador and by the Colombian Minister and it was [Page 899] thereupon agreed that as the Commission is legally out of existence it would be better for it to make no suggestions as such but for General McCoy to call together his neutral colleagues, discuss the situation with them, and that their recommendation would then be transmitted to the Secretary by General McCoy who would then communicate it to the diplomatic representatives of the other neutral governments who would transmit it to their Government in order that joint representations might be made at La Paz. They felt that this would be the most effective way of handling the matter and that it would be inadvisable for the diplomatic representatives of the neutral governments to discuss the matter in Washington with the Bolivian Minister. General McCoy said that he would immediately call together his neutral colleagues and discuss the matter with them.

F[rancis] W[hite]