817.51/2168a: Telegram
The Acting Secretary of State to the Minister in Nicaragua (Hanna)
73. Carazo28 called at the Department today to report the receipt of a cable from President Moncada saying that all Government salaries were being reduced twenty per cent on account of the economic crisis in Nicaragua and that a meeting would be held in New York tomorrow of the railroad to take similar action with regard to railroad salaries. The only ones not to be reduced are the salaries of the bank officials. He stated that the President inquired whether Guardia salaries might also be reduced an equal amount. The Department understands reduction applies only to salaries from one hundred dollars per month up. Please investigate matter, consult with General McDougal and cable your views.
It was pointed out to Carazo that the American officers were in a different category from other Nicaraguan officials whose salaries are fixed by the Nicaraguan Government and can be reduced by it whereas the American officers are not in Nicaragua of their own accord and their salaries were fixed by a specific agreement.
- Evaristo Carazo, Counselor of the Nicaraguan Legation.↩