724.3415/275: Telegram
The Minister in Paraguay (Wheeler) to the Secretary of State
[Received 7:45 p.m.]
4. This Government’s delay in replying to the last neutral communication has been due to its expectation of receiving a proposal from either Argentina or Chile which it would be embarrassing to accept if it had meanwhile informed the neutrals that it is still disposed to consider any further suggestion sent to it by them direct. The President today tells me he is advised from Santiago that the Chilean Minister for Foreign Affairs has sent a circular telegram to the Argentine, Brazilian and Peruvian Foreign Offices asking whether there is any reason why their Governments should not join the Chilean Government in an effort to bring about peace in the Chaco.
It is the opinion of the general staff here that Kundt’s10 offensive has broken down and that the rains will forbid its revival before April at earliest. According to Ayala’s private information from La Paz, Kundt has informed Salamanca11 that there is no prospect of an early or decisive Bolivian victory and that popular disillusionment as to Kundt’s ability is growing rapidly.