723.2515/817: Telegram

The Chargé in Peru (Sterling) to the Secretary of State

98. Your January 20, 4 p.m. and in continuation of my 97, January 21, 7 a.m. The President and the Minister for Foreign Affairs in series of conversations prior to presentation of Peruvian note consciously and honestly attempted to formulate wording which would accept unequivocally and unconditionally spirit of American invitation both as regards initial direct negotiations and as regards possible ultimate arbitration. Word “adjust” was adopted as least restrictive of action and initiative of the United States. Phraseology of Peruvian note “bajo la inteligencia de que—si [ello] fuese necesario—sea un arbitraje ajustado por el gobierno de los Estados Unidos” has been discussed with the President and the Minister for Foreign Affairs and in the opinion of both, the phrase, “ajustado por el gobierno de los Estados Unidos” means “guided by the Government of the United States” and in conference today both the President and the Minister accept this definition. The semiofficial publication of the West Coast Leader in its English translation of Peruvian note has used “guided by” for ajustado without knowledge of recent complication. In view of this interpretation of the word ajustado the President and the Minister do not see the necessity for deleting phrase under discussion. They feel that deletion would greatly embarrass the Government because the Peruvian note has been published in the press and because necessity of publishing any change in the wording of Peruvian note of acceptance would immediately be misinterpreted by Chile. I believe that the good faith of the Peruvian Government in these negotiations is not open to question.

Sterling