724.3415/956: Telegram
The Chargé in Bolivia ( Hibbard ) to the Acting Secretary of State
[Received 5:19 p.m.]
3. Department’s telegram No. 5, January 20, 1 p.m.52 and 7, January 22, 6 p.m. Official Bolivian communiqué states that on January 16 a squadron of 60 Paraguayan troops armed with machine guns attacked Bolivian observation post of 12 men north of Fort Boquerón dispersing them and killing one. Bolivian troops from Boquerón later repelled the attack. All blame for the aggression has been placed on Paraguay. The general opinion here, in which I concur, is that the attack was provoked by Bolivia on account of the internal political situation. As previously reported President Siles desires to continue in office. In order to postpone elections and justify such action a national emergency must be declared. An attack by Paraguay can be used as a pretext for such a declaration. Before the publication here on January 20 of news of the attack in the Chaco the Cabinet met and decided to call Congress for the purpose of declaring a national emergency. The reception of the news, however, was so apathetic in spite of attempts by the Government press to [Page 331] arouse public feeling that this decision has been temporarily suspended. President Siles now seems undecided as to his next move as the last has been too transparent even in Bolivia. The Nationalist Party and a large part of the army on which he must depend for continuance in office are strongly urging him to take further drastic action. The desire of the Military Party is obviously not altogether patriotic, as further military action in the Chaco requires money and the army is the first to be paid at all times. 250,000 bolivianos have already been drawn since January 16 from the extraordinary budget for the use of the army.
There are two Bolivian divisions scattered through the Chaco approximating 4,000 men. Much of the war material purchased from Vickers has been concentrated there. Five planes equipped with bombs have been ordered there from La Paz but have been unable to proceed due to weather and mechanical difficulties. It is admitted here that radio messages from the General Staff have been intercepted and deciphered by Paraguay. My opinion is that some of these were for use in case of further hostilities and that others were fabricated as a ruse. I do not think there is danger of further armed action by Bolivia immediately as the effect of the last has not been what Siles anticipated either here or abroad. However, troops in the Chaco are far from central control, communications are bad and hotheaded officers acting irresponsibly may precipitate trouble at any time.
With regard to the publication of the notes I believe that it would jeopardize Bolivia’s acceptance of the good offices or of the suggestion contained in the last paragraph of the note of January 9 as it would be made to appear here that Bolivia was being forced; that the neutrals were in fact favorable to Paraguay and that Bolivia must stand alone. This might strengthen Siles’ hand by concentrating opinion behind him.
In connection with this telegram please read the last paragraph of my telegram No. 76, October 2, 11 a.m.;53 2, January 14, 4 p.m.; and despatch No. 361, January 18.53