No. 164.] BRAZIL. Mr. Foster to Mr. Conger. DEPARTMENT OF STATE, SIR: Several years ago the Brazilian Government granted a concession to the Dom Pedro Segundo Company to lay a cable between Brazil and the United States, guarantying it an exclusive monopoly of cable communication between the two countries. The cable was not built, and the concession lapsed April 13, 1889. Three days thereafter the Brazilian directory of public works advertised for proposals for a new concession. Among the conditions upon which the Brazilian Government advertised to grant the concession were the following: (1) The Imperial Government grants to the contracting party authorization to establish telegraphic communication, by means of one or more submarine cables, between the village of Vizen, in the province of Para, and the coast of the United States of North America; the said contracting party to use the means within his reach to obtain a concession for that purpose from the Government of this latter country. (2) The Imperial Government guaranties to said cable or cables the exclusive right of transmitting telegrams delivered at the telegraph stations of the State destined for the United States, or coming from that country. * * * (3) The present concession shall be in force for the space of · years, counted from this date, and during this space of time no other submarine telegraph line shall be authorized between Brazil and the United States. In February, 1890, this concession was granted for a period of thirtyfive years to the "Société Française des Telegraphes Sous Marins," a French corporation which has constructed its cable from Vizen to Puerto Plata, Santo Domingo. On the 2d of December last another French company, the Compagnie Française de Paris à New York, applied to the President for permission to land a cable on our shores from Puerto Plata. It was its purpose to connect its cable there with the cable from Vizen of the "Société Française de Telegraphes Sous Marins," thus completing the monopolistic line between the United States and Brazil which was contemplated in the Brazilian concession. The application to this Government was not granted, and as its refusal was given considerable publicity at the time it is not unlikely that it may have come to the knowledge of the Brazilian Government. In order to avoid any misunderstaning with respect thereto, and in deference to the friendly relations between that Government and this, it seems proper that I should frankly state in brief the reason why permission to land the cable in question was not given. It has always been contrary to the policy of this Government to allow a cable to be landed upon our shores which possessed from a foreign country exclusive privileges with respect to cable communication between that country and this. The cable which it was desired to land from Puerto Plata was simply intended as the terminal of a system of cables possessing such a monopoly. To have permitted it would have effectually prevented the laying of any other cable between the United States and Brazil. The citizens of this country, who have an equal interest with the citizens of Brazil in cable communication between the two countries, would have been prevented from participating in such cable business and deprived of all the benefits of fair and legitimate competition. Its injustice to our people is the more manifest in view of the fact that for some time the "Central and South American Telegraph Company," an American corporation, possessing no exclusive privileges from this Government and asking none of the Government of Brazil, has in vain sought the consent of that Government to lay a cable from New York direct to Rio, and also from Rio to Buenos Ayres to connect with its transandean land lines and Pacific coast cables to Galveston, Tex. This Government appreciates the necessity for direct cable communication between the two countries, and would welcome a cable from Brazil of a Brazilian or any other company which would not exclude like cables of an American company from equal privileges. You may communicate these views to the Brazilian minister of foreign affairs in such manner as you may deem most expedient. I am, etc., JOHN W. FOSTER. No. 301.1 Mr. Conger to Mr. Foster. LEGATION OF THE UNITED STATES, Petropolis, August 17, 1892. (Received September 14.) SIR: I have the honor to acknowledge the receipt of your dispatch, No. 164, of July 13 ultimo, setting forth the reasons why permission was not granted by the United States Government to the Compagnie Française du Telegraph de Paris à New York to land a cable on our shores from Puerto Plata, Santo Domingo, and authorizing me to communicate these views to the Brazilian minister of foreign affairs in such manner as I deemed most expedient. In accordance therewith I have this day transmitted a copy of your dispatch to the minister of foreign affairs, accompanying the same with a note of my own. I have, etc., E. H. CONGER. CORRESPONDENCE WITH THE LEGATION OF BRAZIL AT WASHINTGON. Mr. Mendonça to Mr. Blaine. LEGATION OF BRAZIL, SIR: I have the honor to transmit to your excellency the inclosed letter for his excellency, the President of the United States of America, with the respective copy for your knowledge of its contents, by which his excellency, Marshal Floriano Peixoto, Vice-President of the United FR 92- -2 States of Brazil, requests his excellency, the President, to act as arbitrator in the question of the boundary between the United States of Brazil and the Argentine Republic, in accordance with the treaty of September 7, 1889, concluded between the two republics. I have also the honor to inclose an authentic copy in Portuguese and Spanish, as well as an English translation of the said treaty* of September 7, 1889. Accept, etc., SALVADOR DE MENDONÇA. [Inclosure-Translation.] President Peixoto to President Harrison. Marshal Floriano Peixoto, Vice-President of the United States of Brazil, to His Excellency the President of the United States of America: GREAT AND GOOD FRIEND: Brazil concluded, in 1889, a treaty with the Argentine Republic, whereby it was agreed that, if the period of time therein fixed should elapse without an amicable settlement having been reached, the boundary question now pending between the two countries should be submitted to the decision of an arbitrator, who should be the President of the United States of America. This selection was made from a deep conviction of the sentiments of justice, as lofty as they are enlightened, which distinguish and characterize the chief magistrate of an American friendly nation, and with full confidence that he would not hesitate to discharge the important duties of that office, when the proper time should arrive. That time has now arrived, and I beg your excellency to accept the said office, thereby rendering an important service to both the Brazilian nation and its government. I avail myself of this occasion to offer your excellency the assurances of my highest consideration. Countersigned, RIO SERZEDELLO CORREA. FLORIANO PEIXOTO. DE JANEIRO, April 15, 1892. Mr. Foster to Mr. Mendonça. DEPARTMENT OF STATE, SIR: I have the honor to apprise you, by the President's direction, of his acceptance of the post of arbitrator jointly tendered him by the Government of Brazil and the Argentine Republic, in accordance with the treaty of September 7, 1889, between them, providing for an amicable settlement of their boundary differences. I am further directed by the President to say that it will afford him great pleasure to perform this friendly service by which a most gratifying occasion is afforded him to promote, as he confidently trusts, the good relations existing between two republics so long allied by ties of close friendship to the United States. I inclose a copy of the President's letter to his excellency the Presi dent of Brazil, accepting the trust, and add that the original has been forwarded to the minister of the United States at Rio de Janeiro for formal delivery in the usual way. Accept, etc., JOHN W. FUSTER. *The treaty will be found as an inclosure to the note dated May 12 from the Argentine minister, ante, p. 2. [Inclosure.] President Harrison to Vice-President Peixoto. Benjamin Harrison, President of the United States of America, to His Excellency, Marshal Floriano Peixoto, Vice-President of the United States of Brazil. GREAT AND GOOD FRIEND: I have received your letter of April 15th last, by which, in pursuance of a treaty concluded September 7, 1889, between the Governments of Brazil and the Argentine Republic, you request that I accept the position of arbitrator to decide the questions of boundaries now pending between the two republics. It gives me pleasure to accept the important trust so courteously tendered on the part of both Governments, and I take occasion to express the hope that I may thus be able to promote and strengthen the amicable relations which I so greatly desire to see existing between two neighboring republics of our continent. Accept, excellency, the assurances of my highest consideration. Your good friend,} By the President: JOHN W. FOSTER, WASHINGTON, July 2, 1892. BENJ. HARRISON. CENTRAL AMERICA. Mr. Mizner to Mr. Blaine. No. 200.] LEGATION OF THE UNITED STATES IN CENTRAL AMERICA, Guatemala, November 5, 1890. (Received November 21). SIR: I have the honor to acknowledge the receipt of your instructions No. 170 of the 10th of September, and also of your No. 189 of the 6th of October, the latter inclosing a statement of Henry R. Myers, our consul at Salvador, on the subject of injuries and damages at that place. I have also received a letter from Consul Myers dated Huron, S. Dak., October 2, inclosing a printed copy of his report to the Hon. Wm. F. Wharton, assistant secretary of state, dated September 25, 1890. In his letter to me the consul among other things uses the following language: The Department instructs me to forward to you a statement of the damage done to the consulate and myself during the late troubles in San Salvador. I take it that this means that you are now authorized to settle the whole matter with President Ezeta. I will therefore inclose herewith a statement, as near as I can, of the value of property destroyed or lost. The question now arises, what is a just and full indemnity to the consul in this case? The payment for merely the property destroyed will not, as you understand, cover this case. As yet I have not received such instructions from you as to enable me to act intelligently in the case. The consul estimates the damage done to his own property at $739.72 in United States gold, and to that of the United States at $491.96; total, $1,231.68 in gold, and suggests $15,000 in United States gold as a proper sum to be paid him by Salvador for his personal damage. I will be pleased to receive full instructions on the subject. I have, etc., LANSING B. MIZNER. No. 10.] Mr. Blaine to Mr. Kimberly. DEPARTMENT OF STATE, Washington, December 29, 1890. SIR: I have to acknowledge the receipt of Mr. Mizner's No. 200, of November 5 last, relative to the damage done in July last to the property of the consulate of the United States at San Salvador, and to the private property of the consul, Mr. Henry R. Myers, and requesting instructions as to the reparation to be asked therefor. As you have already been informed, Mr. Myers also complained, in connection with the above incident, that he was prevented by the Salvadorian authori |