724.34119/1435: Telegram

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

178. From Braden. Late yesterday when I spoke with the Paraguayan Minister for Foreign Affairs and delegates Zubizarreta, misled by Saavedra Lamas’ assurances Bolivia would accept Paraguayan line, endeavored to modify substantial understanding described in my telegram 172, June 29, 9 p.m. Moreover, last night Argentine Minister for Foreign Affairs and I comparing notes found that the junior Paraguayan delegate had made flatly contradictory statements to him and to myself. In the light of this bad faith the neutrals agreed this morning that arbitration as contemplated should be by the Conference and the proposal come from the Conference, since we cannot expose the Presidents of our six countries to similar treatment. Argentine Minister for Foreign Affairs agreed on this plan but was so annoyed [Page 158] by the Paraguayans’ attempt to recede from agreement reached with him and me that he wished to submit line described in fourth paragraph my 164, June 24, 9 p.m. as a final offer and end negotiations if it were rejected by either or both parties.

Paraguayan reply to Conference June 26 note received this morning. It is in effect a negative but requests further negotiations. Conference issued a communiqué simply stating reply was being studied. Before the session this morning Bolivian Minister for Foreign Affairs confirmed to the Peruvian delegate and me that he would accept the arbitration under discussion including as the award the line described in telegram referred to next above. This afternoon Bolivian Minister for Foreign Affairs and delegate in Finotesque manner denied to us both separately that he had ever mentioned or heard of it. The Bolivians realize Paraguay is yielding a little and want to take advantage of this to get a more favorable line. Since he has also informed Argentine Minister for Foreign Affairs and the Chilean and Brazilian delegates of his consent this bad faith is particularly discouraging precisely when all my colleagues excepting only Cantilo are satisfied that an agreement on the frontier is within reach.

Junior Paraguayan delegate has telephoned me he is nearing success in winning over Zubizarreta to the arbitration plan. He is apparently counting a great deal on Estigarribia who is expected tomorrow afternoon. [Braden.]

Weddell