715.1715/451: Telegram

The Minister in Nicaragua ( Hanna ) to the Secretary of State

134. My 125, June 30, 3 p.m. The boundary protocol has been passed by both Houses with article 3 modified as follows:

“Article 3. The dividing line Nicaragua and Honduras from Teotecacinte Pass to the Atlantic Ocean will leave Nicaragua with dominion over and full possession of Coco or Segovia River and its left source, including the beds of the Poteca and other branches of the former, the populated territories, towns and properties which lie along the source referred to. Consequently the demarcation of that dividing line will be effected by following the highest peaks of the mountain range which marks the beginning of the left source of the Coco or Segovia River, or where the waters of the source of the River Patuca [Page 805] begin to descend; and from the point where the range terminates, at the headwaters of the Awawas River, a branch of the Coco, a straight line will be followed to the left bank of the Crutcha River at its outlet into the Atlantic Ocean.”

The prolonged debate on this treaty has brought out the following:

1.
President Moncada has made a sincere and determined effort to settle this controversy on the basis of the award of the King of Spain.
2.
An overwhelming preponderance of sentiment in Nicaragua is opposed to the acceptance of the award of the King of Spain.
3.
Sentiment in Nicaragua is overwhelmingly opposed to surrendering the territory immediately north of the Segovia River and now under Nicaraguan jurisdiction.

It would appear that the outcome of the present negotiations now depends on the attitude of Honduras, and that further negotiations at this time will have but little probability of success unless Honduras will concede the disputed territory north of the Segovia River as outlined in article 3 above or submit some other acceptable formula.

Hanna