The Ambassador in Chile (Bowers) to the Department of State
120. Meeting this noon Hall’s1 house with Torreblanca 2 exclusive and only responsible liaison of Ibanez with present admin Stewart 3 and [Page 692] Tobias Barros 4 former Nazi Chil Amb Berlin now in inner Ibanista circle and evidently grown in stature and understanding.
Went over all problems affecting our countries beginning with anti-Yanqui press campaign copying Peronista line playing into Commie plans and bound eventually to completely sour our relations. Understanding was found with promise correction would be made once Ibanez certified Oct 24 by Cong as elected. Went so far to offer cut finan aid to Ibanista sheets recently attacking Amb Bowers personally thus shutting them up but Hall said “we are neither in Bogota nor Buenos Aires we do not believe in suppressing newspapers”.
Received assurance there would be no nationalization mines.
Likewise definitely there would be no resumption relations with USSR.
It was carefully explained without pressuring what trade with Iron Curtain countries in strategic materials would mean Chil in view our legislation. They admitted our stand was logical and that as Hall supposed this had not occurred to Ibanez but we awaiting assurance this point. Present and possible future aid was detailed to them.
Finally came to military agreement explained that contrary to Ibanez belief this had not been forced on Chil since more to latters benefit than ours. We wished only know definite intent incoming admin since shipment now being assembled. It was made clear that we did not intend take a beating for six more months pending Congress elections if Chil and particularly its armed forces really wanted this help. Chils were told in view time element we would like have this assurance from Ibanez himself.
Our impression is that if coming admin realizes that it needs us more than we need it that perhaps after today’s talk it will give some thought that in view tremendous electoral victory it no longer needs beat admittedly used anti-Yanqui drum. Torreblanca Barros admitted unfairness vicious personal attacks their press on Amb Bowers which they claimed unaware of. They intend take advantage military agreement and other assistance they are desperately in need of and we may grant. Emb personnel at meeting convinced sincerity Ibanistas present.
Recommend plans go forward for Dec 15 MAAG shipment which at this time looks like best risk rather than delay in our commitments.