No. 11.] GUATEMALA AND HONDURAS. CLAIM OF MRS. LUELLA A. OTERI VS. HONDURAS. Mr. Gresham to Mr. Young. DEPARTMENT OF STATE, SIR: I inclose a copy of a memorial' of Mrs. Luella A. Oteri, by which you will see that Mrs. Oteri desires this Government to prefer a claim against Honduras for the alleged seizure of her vessel, the Joseph Oteri, Jr., by Honduran insurgents in the port of Ceiba. She further asks this Government to prefer a claim in her behalf against Honduras on account of the refusal of the Honduran authorities on a subsequent occasion to admit this vessel into the ports of that country. The Department desires you to investigate the circumstances of the seizure of the vessel by the insurgents, and also the circumstances attending the subsequent exclusion of this vessel from Honduran ports. It is particularly desirable to know whether, when the vessel went into the port of Ceiba from New Orleans with cases of arms and ammunition on board, the officer in charge had knowledge of the fact that Ceiba was in possession of the insurgents. It may be mentioned, by the way, that the arms and ammunition were taken aboard in New Orleans after clearance was obtained, and were not included in the ship's manifest. For this violation of our navigation laws the vessel has been subjected to a fine. It is stated that the fact of the vessel having arms and ammunition aboard was entered in the custom-house at Ceiba upon the arrival of the vessel there, and if the master of the vessel knew, or reasonably might have known, that the insurgents had possession there, this was a practical invitation to them to come aboard and get those arms and this ammunition. The vessel remained three days at Ceiba before she was taken by the insurgents. This is sought to be accounted for, as you will note from the petition, by the fact that a cablegram had been sent to New Orleans to know whether custom-house officers of Ceiba would be allowed on board the Joseph Oteri, Jr., and she was awaiting a reply. What you are desired to do in this connection is to ascertain whether the circumstances justify the belief that the master of the vessel was acting in good faith and without any intention of playing into the hands of the insurgents, and whether he was, without any negligence or collusion on his part and against his will, actually captured by the insurgents and forced to render to them the service which it is complained he was compelled to render. It is evident that the President of Honduras was at the time under the impression that there was collusion between the master of this vessel and the insurgent authority. You will investigate fully this point. 1 Not printed. In connection with the exclusion of this vessel from the ports of Honduras upon her next voyage from New Orleans, you will note what is stated in the memorial, and will ascertain and report upon the facts connected with such exclusion. I may remind you that a vessel belonging to this same line of steamers, which was commanded by Captain Pizatti, is at present under process in the United States courts in New Orleans for violation of our neutrality laws committed by aiding the President of Honduras in the suppression of the rebellion. You will probably have to communicate with and call for reports from the United States consuls at the various points mentioned in the memorial, and you will use your discretion in obtaining otherwise such information as may throw light upon these matters. I am, sir, etc., No. 127.] W. Q. GRESHAM. Mr. Hay to Mr. Beaupre. SIR Referring to the Department's instructions, Nos. 183,' of January 28; 33,' of April 4, and 72,' of September 1, 1898, in relation to the claim of Mrs. Luella A. Oteri against the Honduran Government, you are directed to bring the matter again to the attention of that Government and courteously but firmly insist upon a prompt fulfillment of its agreement to settle the claim. More than three years have now elapsed since the Government of Honduras expressed its willingness to settle the claim by the payment of $2,500, gold, in monthly installments, and the Department confidently expects that the matter will be settled without further delay. I am, etc., No. 253.] Mr. Hunter to Mr. Hay. JOHN HAY. LEGATION OF THE UNITED STATES, SIR: I have the honor to transmit herewith inclosed Spanish copy and translation of an executive decree of the 5th instant from the Government of Honduras and relating to the claim of Mrs. Luella A. Oteri. As will be seen by this decree, the Government of Honduras, in conformity with its proposition of February 27, 1896, which was ratified on the 9th of June of this year and accepted by me in my communication to that Government of July 7 last, adjusting the claim of Mrs. Oteri in the sum of $2,500, gold, has ordered payment of said amount by the custom-house at La Ceiba in monthly installments of $250, gold, each, to be delivered to the Hon. Frederick H. Allison, United States consul at Tegucigalpa, who will grant receipts for same. I have, etc., W. GODFREY HUNTER. FR 99-23 1 Not printed. [Inclosure.] DECREE. [Translation.] REPUBLIC OF HONDURAS, OFFICE OF THE MINISTER OF FOREIGN AFFAIRS, Tegucigalpa, September 5, 1899. MR. MINISTER: I have the honor to transcribe to your excellency the decree, which says: "TEGUCIGALPA, September 5, 1899. "Whereas, in the month of February, 1896, there was communicated to the Government of Honduras through His Excellency P. M. B. Young, envoy extraordinary and minister plenipotentiary of the United States of America, the claim of Mrs. Luella A. Oteri, founded on the detention of the American steamer Joseph Oteri, Jr., which took place on the 15th of July, 1892, by Col. Leonardo Nuila, chief of the insurrection forces against the Government presided by General Ponciano Keiva, said claim amounting to the sum of twenty-two thousand eight hundred eighty-nine dollars and ninety-five cents for losses which the claimant alleges to have suffered in the fruit business during the detention of the steamer, and to the sum of nineteen thousand nine hundred fifty-four dollars and thirty cents for damages resulting from the denial to the aforesaid steamer of entrance into the ports of Honduras in July, 1892. "Whereas this Government not finding the claim well founded, this office so indicated it to His Excellency General Young in a note of February 27, 1896, because it was a fact which could be proven at any moment it might be desired that Mr. Nuila detained the steamer and used it on his expedition to Trujillo with the consent of the captain and other officers; and because the steamer having served on the expedition of Mr. Nuila, nothing was more natural than that the authorities of the constituted Government should not permit its entrance until receiving satisfactory explanations. Whereas, in view of the above expressed and because the new administration of the country, which arose because of the revolutionary movement of Mr. Nuila begun at La Ceiba, makes it possible to treat the matter from a benevolent standpoint, this office, in the note before mentioned, proposed to His Excellency General Young, not as an indemnity for damages, but as payment for services lent by the steamer, that the claim be arranged in the sum of ($2,500) two thousand five hundred dollars, gold, or its equivalent in Honduras silver, to be paid in the custom-house of La Ceiba in monthly installments of ($250) two hundred and fifty dollars each in gold, beginning with the date of the termination of this agreement; which proposition was ratified on the 9th of June of the current year. Whereas, in an official communication of the 7th of July last, His Excellency Mr. W. Godfrey Hunter, the present American minister to the Governments of Guatemala and Honduras, this office was informed on the same date that the aforesaid proposition was accepted; and that in consequence it is proper to effect the payment in the form indicated: Therefore, "The President decrees: To order that the custom-house of La Ceiba pay to Mrs. Luella A. Oteri ($2,500) two thousand five hundred dollars, gold, or its equivalent in Honduras silver, such payment to be made in monthly installments of ($250) two hundred fifty dollars each in gold, which will be delivered to the Honorable Frederick H. Allison, consul of the United States at this capital, who has been commissioned to receive them as they become due and to grant the corresponding receipts in the name of the United States of America. Let it be communicated. Sierra. The secretary of state in the department of foreign relations, by the law. Ricardo Pineda." With the highest considerations, I remain, etc., RICARDO PINEDA, Subsecretary. PRESENTATION OF CREDENTIALS OF UNITED STATES MINISTER TO THE PRESIDENT OF HONDURAS. Mr. Hay to Mr. Hunter. [Telegram.] DEPARTMENT OF STATE, Washington, December 6, 1898. The union having apparently broken up without restoration of the Diet, you will address the Executive of Honduras, offering to present your original credentials in order to continue close and friendly relations between your Government and that Republic. HAY. Mr. Hunter to Mr. Hay. [Telegram.] GUATEMALA, January 28, 1899. (Received 10.54 p. m., Original credentials presented and have been officially recognized by President Honduras; particulars by mail. Mr. Hunter to Mr. Hay. No. 132.] LEGATION OF THE UNITED STATES, HUNTER. GUATEMALA AND HONDURAS, SIR: Referring to Department's cablegram, dated December 6, 1898, instructing me to address the Executive of Honduras offering to present my original credentials, I have the honor to inform you that on receipt of said instructions I wired the President of Honduras and our consul at Tegucigalpa as follows: His Excellency Señor DoN POLICARPO BONILLA, President of Honduras, Tegucigalpa, Honduras: GUATEMALA, December 7, 1898. The union of the United States of Central America having been dissolved, I beg to ask if I can now be officially received by Your Excellency for the purpose of presenting an autograph letter from the President of the United States, accrediting me to your Government as envoy extraordinary and minister plenipotentiary of the United States of America. I embrace this opportunity to renew to Your Excellency the assurance of my most distinguished consideration. Hon. FREDERICK H. ALLISON, United States Consul, Tegucigalpa, Honduras: W. GODFREY HUNTER. GUATEMALA, December 7, 1898. In accordance with telegraphic instructions from Washington I have this day wired His Excellency the President of Honduras asking if I can now be officially received by him for the purpose of presenting an autograph letter from the President of the United States accrediting me to his Government as envoy extraordinary and minister plenipotentiary of the United States of America. Please seek an inter view with the President and procure if possible an early decision and advise me of the result. I expect the President to respond, but shall be obliged if you will reply also. I have the honor to inform you that as circumstances have changed in this country, relative to foreign relations, by reason of the dissolution of the United States of Central America, there is now no hindrance to your official reception. I am your most obedient servant, P. BONILLA. TEGUCIGALPA, HONDURAS, December 8, 1898. Hon. W. GODFREY HUNTER, United States Minister, Guatemala: The Government informs me that an answer has been sent to you saying that no reason exists why your credentials should not be received. FREDERICK H. ALLISON, United States Consul. In compliance with the above I transmitted by mail through the minister of foreign affairs of Honduras my original credentials and letter to President Bonilla. I also wrote our consul as follows: LEGATION OF THE UNITED STATES, His Excellency the MINISTER OF FOREIGN AFFAIRS, Tegucigalpa, Honduras. SIR: I have the honor to transmit herewith inclosed a communication for His Excellency Señor Don Policarpo Bonilla, President of Honduras, which contains two autograph letters from the President of the United States-one accrediting me to the Government of His Excellency President Bonilla as envoy extraordinary and minister plenipotentiary of the United States and the other recalling my predecessor, the Hon. Macgrane Coxe; also an address in the form of a letter from me. Please present these in the usual way and do me the kindness to mail to me here President's response. The office copies of these two letters of President McKinley I had the honor to transmit to your Government on the 26th of January, 1898. I embrace this opportunity to extend to your excellency the assurance of my distinguished consideration. W. GODFREY HUNTER. LEGATION OF THE UNITED STATES, His Excellency Señor DON POLICARPO BONILLA, President of the Republic of Honduras. MR. PRESIDENT: In accordance with your excellency's telegraphic communication of the 8th, in answer to mine of the 7th instant, I have the honor to transmit herewith inclosed an autograph letter from the President of the United States accrediting me to your Government as envoy extraordinary and minister plenipotentiary of the United States of America. It is a source of deep regret that pressing official duties prevent my leaving here at this time for Honduras, thus depriving me of the extreme pleasure of presenting in person this letter to your excellency. I shall, however, quite soon do myself the honor to visit your capital for the purpose of meeting your excellency officially. I beg to assure you that the President and people of the United States have viewed with genuine satisfaction the rapid march of progress in Honduras during the administration of your excellency, and to add that my highest ambition shall have been |