724.3415/756a

The Secretary of State to the Bolivian Minister (Diez de Medina)80

Aide-Mémoire

Since my conversation with you on September 19th81 the following developments have taken place:

(a)
The diplomatic representatives of the neutral Governments represented on the Commission have conferred with me to consider the manner in which we could best assist in meeting the desires of the interested Governments with regard to the next step in the negotiations for the fundamental settlement. We have been informed that the Paraguayan Government unreservedly accepted the original tender [Page 914] of their assistance by the neutral Governments for reaching a settlement. We have carefully considered also the position of your Government both as expressed in its note of September 16th to the American Chargé d’Affaires82 and as stated by yourself, and we have come to the conclusion that there is no essential difficulty in the way of meeting the desires of your Government as well as those of Paraguay.
(b)
As a result of our consultations the neutral Governments have, on October 1st, sent a communication to the two interested Governments along the lines of the memorandum which I am glad to hand you attached hereto.83

The five neutral countries represented on the Commission gave very careful thought to the situation and could not escape the feeling that it is fraught with very grave danger. The incidents of last December have been conciliated but the Commission was not empowered to settle the fundamental question and as long as this exists there is very grave danger of clashes in the Chaco where there are fifty-two forts of the two parties facing one another and where very considerable forces of troops are concentrated. There is the grave possibility that another outbreak may occur at any time. Consequently the five neutral Governments felt that it is essential to have in being immediately some machinery which through the exercise of friendly neutral good offices can prevent outbreaks.

It was this consideration that prompted the neutral Governments to offer the good offices of their Commissioners for the continuance of the work. This offer was accepted by Paraguay but Bolivia stated a preference for direct negotiations expressing however its willingness to take into consideration the suggestions of a Commission of Neutrals at the time of renewing the negotiations for a settlement of the fundamental question.

It would therefore seem that the points of view of both contending parties may be met by suggesting the opening of immediate direct negotiations and the immediate setting up of a neutral Commission. This neutral Commission could exert its influence for the maintenance of peace before direct negotiations are entered into, and after their termination, should that unfortunately prove unsuccessful. The neutral Commission could also extend its good offices for a settlement in the latter eventuality. Furthermore, this Commission can be of the utmost assistance to the parties during the course of the direct negotiations in overcoming obstacles which must inevitably arise and hence make far more probable the success of the direct negotiations.

The essential thing for the maintenance of peace is the establishment [Page 915] of machinery which can use its friendly neutral good offices should a crisis arise. In view of the commitments of both Governments for a peaceful settlement it is felt that both parties will welcome this means to its accomplishment and that neither party would want to assume responsibility for delaying a peaceful settlement and for losing what has already been gained through the negotiations which were interrupted when the Commission of Inquiry and Conciliation expired by limitation.

  1. Handed by the Secretary of State to the Bolivian Minister on October 2, 1929.
  2. See telegram No. 56, September 21, 11 a.m., to the Chargé in Bolivia, p. 900.
  3. See note dated September 14 from the Bolivian Minister for Foreign Affairs to the American Chargé in Bolivia, p. 894.
  4. See quoted portion of Department’s circular telegram of September 23, 1929, 6 p.m., to the diplomatic representatives in Bolivia and Paraguay, p. 903