724.3415/4926: Telegram

The Ambassador in Argentina ( Weddell ) to the Secretary of State

61. At Commission meeting today in reply to direct inquiry Bolivian Foreign Minister stated that he would accept guarantees demanded by Paraguay listed in paragraph 1 of my 59, June 1, 8 p.m., provided Paraguay would formally agree to submit Chaco dispute for arbitration to Hague Tribunal, failing success of direct negotiations.

The Bolivian offer was then made known to the Paraguayan Foreign Minister who is telephoning President Ayala and expects to give Paraguayan Government’s answer at Commission meeting at 10 tomorrow morning.

If this answer is favorable both parties will meet with the mediating group tomorrow afternoon to sign, together with the members of the mediating group as witnesses, the agreement between the two Governments.

The translation of this agreement as at present drafted is as follows:

Article I, section (a), as given in my 58, May 30, 6 p.m.; Article I, section (b) as follows:

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His Excellency, President of the Argentine Nation, at the request of the mediating group will deign graciously to convene immediately the Peace Conference in order solemnly to ratify the result of direct negotiations or in the event of their failure to organize the juridical arbitration (arbitraje de derecho); in the latter event the case will be submitted for arbitration to the Permanent Court of International Justice at The Hague.

Article II. The position of the conflicting armies will be fixed as follows:

Section (a). A 12-days’ armistice will be agreed upon in order that a neutral military commission formed by representatives of the mediating nations and belligerents may fix intermediate lines between positions of the belligerents having in view that the belligerent armies remain in their positions as of the date and hour on which the truce goes into effect.

Section (b), same as given in my number 58.

Section (c). The time limit of the truce having elapsed the mediating group or the Peace Conference will decide concerning its prolongation for blank days, bearing in mind the reasons which may be advanced concerning its expediency by the commanding officers of the belligerent armies.

Article III, same as in my 58.

Article IV. The direct negotiations will begin by determining conditions and guarantees necessary to reach suspension of hostilities. These assurances consist of, first, demobilization of the belligerent armies according to the terms and in the manner indicated by the military experts after hearing both belligerents; second, reduction of military effectives to a maximum figure which must not be exceeded; third, an agreement not to make new purchases of war material except for necessary replacements; fourth, a solemn pact of nonaggression signed by the belligerents engaging their honor before the mediators.

The conditions and guarantees referred to in this clause having been agreed upon, the neutral military commission provided for in section (a) of article II will proceed at the earliest possible moment to the scene of military operations to make them effective. Once the foregoing has been accomplished the territorial difference shall be settled or if this be not possible in the direct negotiations between the Foreign Ministers, by means of the stipulation for the juridical arbitration referred to in section (b) of article I.

Article V as in my 58.