718.1915/846

The Minister in Costa Rica (Davis) to the Secretary of State

No. 1554

Sir: I have the honor to report that the President’s private and confidential Secretary, Mr. Ruben Castro, recently called at my office at the request of President González to inform me of the activities of the Chilean Government in connection with the Panaman-Costa Rican boundary controversy. The following is a summary of the information given to me by Mr. Castro:

Mr. Castro stated that several weeks ago the Chilean Chargé d’Affaires in Costa Rica, Mr. Irarrazabal, called on the Minister for Foreign Affairs and offered the mediation of the Chilean Government in the Costa Rica-Panaman boundary controversy, suggesting that Costa Rica and Panama appoint envoys before the Government of Chile with instructions to enter into negotiations for a settlement of the boundary controversy, with the mediation of the Chilean Minister for Foreign Affairs.

The proposal was presented to President González who instructed the Minister for Foreign Affairs to express appreciation for the interest of the Chilean Government but, at the same time, to express doubts as to the advisability of sending an expensive mission to Chile without some advance indication regarding the proposals which the Panaman Government would present. The President also instructed the Minister for Foreign Affairs to state that, since direct negotiations had been in progress with the Panaman Minister in [Page 939] Costa Rica, Mr. Tomás Arias, and since it has been reported that Mr. Arias will soon return to Costa Rica to continue these negotiations, the acceptance of the Chilean proposal might reflect unfavorably upon Mr. Arias and his negotiations.

The Chilean Chargé d’Affaires later discussed the matter with the President’s Secretary and was again given the reply previously communicated to him through the Minister for Foreign Affairs.

Shortly thereafter the Chilean Chargé visited the President’s Secretary and proposed that the negotiations for the settlement of the controversy be conducted in San José between Minister Arias of Panama and a representative of the Costa Rican Government, the Chilean Minister in San José to act as mediator.

The Costa Rican authorities wishing to ascertain whether the initiative for this movement came from the Chilean Government or the Panaman Government, were informed by the Chilean Chargé that the suggestion came from the President of Panama. At the request of Costa Rican authorities, the Chilean Chargé submitted, in writing, to the Costa Rican Government, excerpts from a confidential report transmitted to the Chilean Government by its representative in Panama which purport to indicate that the initiative came from the President of Panama. …

After hearing the above report on the activities of the Chilean Government in this matter, I discreetly inquired as to the attitude of the Costa Rican Government towards the proposal and was informed by Mr. Castro that President González is not enthusiastic about considering the boundary controversy at this time. Mr. Castro also informed me that President González hesitates to consider the proposal for fear that the mediation of Chile might be interpreted as a reflection upon the good offices previously extended by the Government of the United States in this matter, and that he would not wish to take any action that could be interpreted as showing a lack of consideration for and appreciation of the valuable service previously rendered by the United States. My impression is that President González is willing to accept the mediation of the Chilean Legation should he receive some indication that the Department, on its part, perceives no objection to the mediation of Chile. Mr. Castro indicated that the President desires to discuss the matter with me with an idea of ascertaining the attitude of the Department.

I shall be pleased if the Department will instruct me by cable as to the attitude I should take in this matter when the President confers with me about it.

In discussing the proposed Chilean mediation Mr. Castro stated that the President would be pleased if the Department of State could be a party to any negotiations that may be entered into. He [Page 940] also discussed the possibility of conducting negotiations in Washington with the joint mediation of a representative of the Department and the Chilean Ambassador or in San José with the joint mediation of the American and Chilean Ministers. He also discussed the possibility of negotiations in Washington with the joint mediation of a representative of the Department and of the Peruvian and Chilean Ambassadors, no doubt having in mind the idea that since Peru and Chile have recently settled their controversy by mutual accord,8 their participation in the negotiations might have a sentimental value. These observations on his part, however, were quite informal.

It appears possible that the President of Panama may desire to effect a settlement of the controversy without the assistance of the United States, because of the attitude assumed by the Department when an armed conflict between Panama and Costa Rica developed in 1921 over the boundary question. At that time the Department recognized the validity of the boundary award of Chief Justice White to which Panama had objected.9

I am transmitting herewith a brief history of the boundary controversy between Costa Rica and Panama10 which may be of interest to the Department.

I have [etc.]

Roy T. Davis
  1. See Tacna-Arica dispute, pp. 720 ff.
  2. See Foreign Relations, 1921, vol. i, pp. 175 ff.
  3. Not printed.