New-York tribune., 1905-01-21

Paris. Jan. 3.-Informaton reaching authorita-
tive quarters here from Caracas says President
Castro has decided to give negative reply to the
representations OF the United States The Presi-
dent has left Caracas for fortnight with the evil
dent intention of putting off immediate reply
His attitude leads to apprehensions here that the
situation in Venezuela may become serious.
Washington jan 2O-The information respecting
the situation at Caracas received by the State
Department from Minister Bowen In cable dis
patch. dated yesterday. is to the effect that Presi
dent Castro has made a proposition for the settle
ment of the asphalt claims and other issues be-
tween the United States and Venezuela of a nature
that makes it impossible of acceptance by the
American government and. being informed of that
fact and having left the capital for indefinite
period, he has terminated the negotiations at least
for the time being The effect of this action is TO
place the relations between the United States and
Venezuela under decided strain
There is no Intention however. on the part of the
administration to act with undue haste and. though
II Is now almost certain that some action OF COM
pulsory nature will in the end be forced upon the
United States this will not occur until every re-
source OF diplomacy has been exhausted.
Castro's last proposition, it is learned. was to
provide for permanent arbitration OF all issues
arising between the United States and Venezuela
This is regarded at the State Department entire
ly unnecessary in view of the fact that the United
States and Venezuela were both signatortes to the
general arbitration treaty resulting from the last
Pan-American Congress. held at the City Of Mexico
some years ago, so that any special treaty would
be surplus agreement.
Then Castro proposed that If the arbitration pro-
posal should be accepted the first question to be
determined by the arbitrators would touch the
right of the United States to intervene in the
asphalt case, which 1t regards purely in
ternal affair. This is in effect another applica-
ton of the old Calvo doctrine denying the right
of diplomatic intervention in the internal affairs OF
the State which has been uniformly repudiated
by the United States
Lastly. assuming that the arbitration decides
that the United States had right to intervene,
then Castro proposed that the arbitration should
ascertain the merits OF the claim
The position OF the State Department. beyond the
statement that it has found this proposal
ceptabe. has not been definitely laid down. Fur
ther information from Mr.. Bowen is awaited as a
basis for future action Meantime, Attorney Gen.
eral Moody through his assistant Mr. Russell, Is
making careful and exhaustive inquiry to ascer-
tain whether all OF the proceedings in the last few
asphalt controversy have been conducted according
to the established legal procedure in Venezuela, and
10 ascertain whether or not there has been
technical well actual denial of justice to
the complainants. The purpose OF the President in
adopting this course is to himself with the
carefully considered opinion of the highest legal
authority in the executive branch of the govern
ment Of the United States before resorting to
pulsory measures and thus to avoid adverse criti-
cism and any charge that he has acted hastily and
a fair settlement. The State Department authori-
ties feel that they have been long suffering in this
Mr.. Pulido who until few days ago was charge
daffaires of the Venezuelan Legation, and sue
American Republics, has received a dispatch from
his government announcing his appointment
held This means that MIR. Pulido will continue on
duty in Washington. He called at the State De-
been received regarding the arbitration OF the
asphalt case He has had no recent adyices on this
charge datfaIres on a special mission.