817.011/41: Telegram

The Chargé in Nicaragua ( Beaulac ) to the Acting Secretary of State

38. Department’s 29, March 15, 4 p.m. I delivered the Department’s message to President Moncada informally this morning. He had, however, first reminded me that he had not intervened and could not intervene in the matter. I told him that in a matter of such fundamental importance it appeared to me that he must use his influence for the good of Nicaragua. He said that he did not wish to impose his will on Congress and I replied that I saw no reason why he should not give Congress the benefit of his opinion. He said that there was no present danger as two years would have to elapse before the project could be finally approved. I replied that it seemed to me desirable that a matter involving such dangers to Nicaragua should be stopped in the beginning rather than be allowed to gain headway.

[Page 698]

He then said that he was in agreement and would communicate his ideas to Congress informally but that he would not send any written statement. I replied that the method he chose would seem to be a matter for his decision.

Doctor Cuadra Pasos called this morning and said that the governing board of the Conservative Party was in a quandary as to what attitude to take and would naturally like to know the attitude of the State Department since agreement with the Department was the basis of the party’s policy. He had particular reference to the provisions for the extension of terms of office holders. I told him that I could not advise the parties on matters of this nature but speaking entirely personally I saw no reason why he should not, if he so desired, base his attitude on his knowledge of the traditional attitude of the United States and his own experience in such matters.

Both President Moncada and Cuadra Pasos expressed doubt that the project would pass in the Chamber of Deputies where the Conservative element was in a position to block it.

It is unfortunate that reforms which are obviously undesirable should have been embodied in a single project with other reforms which are generally considered desirable. If the project is defeated the desirable reforms will be lost also. On the other hand if Congress approves the project as a whole with the idea of later defeating the undesirable reforms one by one as apparently it would ordinarily have the opportunity of doing, it is possible that the individual reforms will not be voted upon separately and the project will be considered as finally approved.

Cuadra Pasos suggested that President Moncada might be willing to encourage the governing boards of the two parties to agree to a second project of reform embodying only the desirable changes. If he were willing to do this I think it would be a desirable solution. I think, however, that he would reiterate his intention not to mix in the matter. Perhaps the least dangerous procedure would be to allow the entire project to be defeated thus sacrificing the desirable reforms. I believe the Conservative Party would follow any suggestion I made but while I cannot refrain from seeing prominent members of the party who come here I am trying to avoid giving the impression that the Department is seeking through what influence it may have with the Conservative Party to defeat a measure which either the President or the Liberal Party desires. Dr. Cuadra Pasos also suggested the calling of a constituent assembly in place of legislative elections this year and said that in that case his party would be satisfied with supervision by an American president of the election board assisted mainly by the Guardia.

President Moncada was very apparently annoyed this morning and it was apparent when I began my conversation that he intended to [Page 699] continue to maintain that he could have nothing to do with the project in any way. I therefore doubt that he would be very eager to take the initiative in substituting for the present project one embodying the essential and desirable reforms which might be agreed upon by both parties. I do not, however, see that he could object to an informal and friendly suggestion in that sense and if the Department desires I shall be glad to advance it. A copy of the project in full was forwarded by air mail Sunday.

Beaulac