New-York tribune., 1913-07-20
Foreign Relations Committee
Amazed at Proposal to Guar
antee NiCaragua'S Debts.
WOULD AMEND KNOX PACT
Chairman Bacon Long Opposed
to Convention as 1t Stands, to
Say Nothing of Bryan's
Latest Scheme.
fFrom The Tribune Bureau. J

Washington, July 19.-William ]. Bryan
Chautauqua lecturer, Secretary OF state
and paternalist extraordinary Of the VIII
son administration. shocked the Demo-
cratic members OF the Committee on For
eign Relations to-day to such an extent
that even this evening they are not
breathing normally, while Senator Bacon,
the committee chairman, is said to be
threatened with an apoplectic ft.
Secretary Bryan appeared before the
Committee on Foreign Relations 10 pro-
pose certain amendments to the treaty
with Nicaragua. which provides for the
purchase OF a right 10 construct trahs-
oceanic canal across that country. ana
which is pending before the committee
To the surprise OF Mr. Bacon and his
Democratic colleagues who consistently
and perslstently opposed the Knox treaty
with Nicaragua, Secretary Bryan urged
first. that the substance OF the Platt
amendment, which Is a part OF the Con-
stitution OF Cuba, be Incorporated In the
treaty. and, further. that the United
States obligate itself to assume response
bIlity for the debts OF Nicaragua.
The Knox treaty with Nicaragua pro-
vlded for an arrangement similar to that
with Santo Domingo. by which Nicaragua
should procure a loan from certain bank
ers while the United States obligated It
self TO supervise the collection Of the MIC
araguan customs and the segregation OF
n stipulated percentage OF the revenues 10
meet the interest on. and sinking tund
for the payment OF. the proposed loan.
Many hours Of the committees time mas
Senator Bacon devoted 10 anathematiz-
ing the Knox convention on the ground
that II involved an entangling alliance or
the character against which Washington
inveighed. and so effective has been the
opposition OF the Senator from Georgia
that he has always succeeded in prevent
ing the ratification Of the treaty. despite
the dire need OF Nicaragua Of the pro-
posed assistance.
II may he imagined. therefore, with
what CONSERVATION Chairman Bacon and
the Democratic members heard Secretary
Bryan advocate a far more Intimate ana
paternalistic arrangement. involving
guarantee by the United States OF all the
outstanding obligations OF Nicaragua. NO
action was taken on the recommendations
OF Secretary Bryan, and none IS hKeIy 10
DO FOR a considerable time.
one Democratic member OF the commit
tee sadly intimated his apprehension that
appointment TO the premier place In the
Cabinet had affected the mentality OF the
great Commoner." No member would
commit himself on the proposition beyond
saving IL was most extraordinary. but
there IL reason to believe that even the
Republican members will object 10 going
as far as Is proposed by the Democratic
Secretary OF state.
Later, when the Senate assembled.
Senator Fall. keen critic OF the gov
crnments Mexican policy, sprang a mi1d
sensation by asking the adoption Of a
resolution defining the policy Of the gov
crnment regarding foreign relations. II
declared that every American citizen and
his property everywhere must be pro-
tected by the United States.
The resolution went over because OF
objections by Senator Kern and other
Democrats.
Terms Of Revised Treaty.
Under the revised treaty proposed by
Mr.. Bryan Nicaragua would agree In
substance:
That war should not be declared with
out the consent OF the United States.
That no treaties would be made with
foreign governments that would tend
to destroy her independence, or that
would give those governments foothold
IN the republic
That no public debt would be con-
tracted beyond the ordinary resources OF
the government. as indicated by the or
dinary revenues.
That the United States should have the
right TO intervene at any time to pre-
serve Nicaraguan Independence, or to
protect lie or property.
That the United States should have the
exclusive right to build a canal across
Nicaragua. and should have ninety
nine year lease TO a naval base in the
Bay OF Fonsec8 and 10 the Great Corn
and Little Corn islands In the Caribbean.
with the privilege Of renewing the lease.
The United States In return would pay
Nicaragua S3.0000O to be used in public
works and education.
II ~ ullb'l 0Abou tue 4NlNil udll bbN'AA
ment is willing TO enter into the proposed
treaty because OF the stability II would
give to the present Diaz government. and
to the proposed reorganization OF the
fiscal affairs OF the republic.
II Is understood n refunding OF the
Nicaraguan debt. for which about
tl5,OO0OO0 is required, does not form a
specific part of the negotiations laid to-
day before the Senate committee.
Members OF the Senate professed to-
night TO believe that, should the step be
taken I'm Nicaragua, extending American
influence over it's affairs to the extent
suggested. II would be followed by efforts
to negotiate similar treaties with all OF
the republics in Central America. Many
Senators strongly favor such a course.
claiming It is necessary to the perma-
nent safety and control OF the Panama
Canal.