724.3415/1270: Telegram
The Chargé in Paraguay (Horn) to the Acting Secretary of State
[Received 6 p.m.]
69. Department’s 24, July 2, 6 p.m.77 Text of Bolivian note of June 29th and Paraguayan reply of July 1st cabled at 9 a.m.78
For the confidential information of the Department, the Minister for Foreign Affairs was willing to tell me this morning that during the course of the recent incident, the Argentine Minister approached him informally and confidentially, making it clear that mediation was not being offered and that there was no desire to interfere with or prejudice the good offices of the five neutral powers, but repeating a suggestion made in 1928. It was to the effect that in order that danger of a clash of troops might be avoided and that the direct negotiations suggested by the neutrals might take place in a spirit of greater calm, a friendly neutral might be named by the contending governments to have authority to preserve the status quo by policing strategic districts of Chaco. It was not suggested that Argentina be the government so chosen. The Minister for Foreign Affairs gave me to understand that Paraguay’s reaction to this suggestion had taken no definite form.
The Bolivian Minister is still in Asunción.