The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-01-04
REITERATED UNDER FIRE
INCIDENT OF GREsHAM's TERN As
SECRETARY OF STATE RECALLED.
How Britain's Seizure Of the Corinto
Custom House Was Used by Cleve-
lands Opponents.

Special 10 the indianapolis Journal
WASHINGTON. Jan. 3.-While the late
Walter O. Gresham, of Indiana, was secre-
tary of state he had perplexing problem
TO deal with. In some respects ii was like
the Venezuelan case that is now worrying
Secretary Hay. but it did not attract the
whole attention of the civilized world, for
II lasted only few days. That was long
enough, however, for hostile press to
castigate Mr.. Gresham severely and to
make him heartily sick of the situation
in which circumstances had placed him.
Ii came about while Gresham was secre-
tary of state under the last Cleveland adj
ministration and the scene Of trouble then,
as now. was a Latin-American republic.
Several years previously the British vice
consul al Bluefelds had been deported from
Nicaragua charged with having assisted In
local insurrection. The vice consul denied
the charge, claiming that he was the vic
tim of conspiracy. Lord Salisbury ac-
cepted his explanation and demanded of
Nicaragua an apology and smart money
that is to say. indemnity-of $4,000.
Nicaragua refused BOTH Great Britain per-
sisted and the controversy continued at
long range for two years. Finally the Brit
ish premier became impatient, and seeing
that Nicaragua would not come to terms
sent her an ultimatum. This was to the
effect that if Great Britain's demands were
not complied with before definite date
British squadron would be sent to Co
rinto, Nicaragua's principal port of entry.
to take possession of the custom house and
collect the revenues until the amount of
indemnity had been secured. Even this
threat failed to bring Nicaragua to terms,
for the Managua government believed that
the United States would. at the last mo-
ment, intervene and prevent her humilia-
ton. But the United States did nothing of
the kind. On the contrary, President
Cleveland insisted that Nicaragua should
not the Monroe doctrine to evade the
payment of her just obligations. He said
this in such vigorous language that when
it was repeated to the Nicaraguan min
lister, DR.. Guzman, the latter cabled it to
Managua in great haste and urged a speedy
compliance with Lord Salisbury's demands.
The receipt of this dispatch gave the Mic
araguan President and his Cabinet a Sc
we're shock, for $4,000 to them was a stu
pendous sum and it is doubtful if their ma
tional treasury contained a fourth of it.
They determined. however, not to pay it
and DR.. Guzman was told to find some 9TH
er means of settlement. Whichever way
he turned he found only indifference and
GOODNESS. The British ambassador, Sir Ju-
liam Pauncefote, declared that Great Brit
ain would not submit the dispute to arb-
tration and Secretary Gresham repeatedly
said the United States had no concern in
the quarrel. Meanwhile the ultimatum ex-
pired and one day squadron of four Brit
ish vessels, commanded by Admiral Steph-
enson. of the royal navy. steamed into
Corinto harbor, landed detachment of ma
rines and took possession of the custom
house. This wasTthe signal for the opposi-
ton press to unlimber its batteries against
the administration and from that moment a
storm of reproaches from many newspapers
was fired daily at the President and his
secretary of state.
At first the administration was surprised
that trivial an incident should excite
such fierce comment. 1t was soon appar-
ent, however. that the country was being
stirred to sympathy with the Nicaraguans
by the adrot manner in which the newspa-
when this had continued for several days
Secretary Gresham thought 1t time to act
He sent for DR.. Guzman and asked him
on what terms Nicaragua would settle the
dispute. Guzman bright, clever man,
who had been educated in the United States
and for foreigner had a surprising knowl-
edge of American sentiment. He was fully
aware of what the newspapers had been
saying. and he knew. too. that Great Brit
aims victory would be barren one, mas
much as the vessels that ordinarily put In
at Corinto had stopped calling there. His
position was now entirely different from
what 1t had been before the British fleet
came into the harbor and ''hoisted a for
eign flag on American SOIL" as one New
York newspaper graphically headlined it.
Then he had been a humble suppliant re-
ceiving scant consideration at the State De-
partment. Now. under the fierce lashing
of an opposition press, his position had
been reversed and his advice and counsel
were eagerly sought. Guzman would have
been less than human If he had not Sc
cretly chuckled at Greshams embarrass-
ment. He became very coy and difiident
and told Gresham that he had no advice
to offer, but that If the administration had
adopted the suggestions previously made
by him it would have escaped a storm of
fierce criticism and Nicaragua the humlia-
ton of being asked at the lannon's mouth
to pay an unjust indemnity.
Finally the President interested himself
and suggested that if some of Nicaragua's
neishbors would assume responsibility for
the indemnity the British fleet would with
draw and the matter would be amicably
settled. After hurried telegraphic CORE
spondence ard upon Guzman's advice
Nicaragua acquiesced. and Mr.. Bayard,
the American ambassador at London. ar
ranged the details of withdrawal with Lord
Salisbury. Costa Rica agreed TO advance
the money and Admiral Stephenson was or
dered back to England. order that he
lost no tine in obeying. Never did COM
handing officer leave foreign port more
gladly. for yellow fever had broken out
among his men and he had not collected
with more joy than Mr.. Cleveland's secre-
tary of state. who saw in this solution of
the affair the end OF a newspaper assault
the like Of which he hoped never again
to be compelled to withstand. 1t is not
known when. if ever Nicaragua repaid her
debt 10 Costa Rica, but. as Kipling would
say. that's another story.