817.51/2170: Telegram
The Acting Secretary of State to the Minister in Nicaragua (Hanna)
80. Legation’s 97, August 2, 3 p.m. The Department concurs in your opinion that the Guardia Agreement should be disposed of before consideration is given to the question of reducing the salaries received from the Nicaraguan Government by American officials serving with the Guardia.
The Department accordingly will say to Dr. Carazo that while it is entirely sympathetic to the desire of his Government to reduce its expenditures in an effort to accommodate them to the present economic depression, it does not consider that it can cooperate in this effort by recommending to the appropriate authorities of this Government that they consent to a reduction in the salaries paid by the Nicaraguan Government to the American members of the Guardia until the agreement whereunder those officials are serving with the Guardia has been definitively established. He will be told that when this shall have been done the Department will be in a position to discuss the matter, although no commitment can be made.