File No. 839.00/601.]

The American Minister to the Dominican Republic to the Secretary of State.

No. 171.]

Sir: I have the honor to report that conditions in this Republic are far from assuring. Revolutionary groups in all sections of the [Page 360] country continue to make periodic attacks on the towns and villages, with no definite success, but greatly increasing the general feeling of alarm and anxiety. The land lines of the French Cable Company are cut daily, and for several weeks it has been impossible to rely on any sure cable communication. The revolution does not seem to be strong enough to overthrow the Government, and, on the other hand, it is impossible for the Government to dispose of sufficient military forces to invest all parts of the Republic. The prisons are full of political suspects, and many arrests are being made daily. The Government is disbursing enormous sums for military operations, and it is currently believed that the Government military chiefs themselves are prolonging the revolution, appropriating large amounts of the funds destined for the troops. Government salaries are in arrears for two months, and the budget for this year will declare a deficit of $600,000. The outcome is difficult to forecast, as there seems to be an absolute state of anarchy among the revolutionists, each group having a different candidate, and all against the present administration. The Government continues to offer and give guaranties, but this consists in buying off the leaders, who very frequently rise again and demand more cash.

I have [etc.]

William W. Russell.