Pine Bluff daily graphic., 1915-08-27
U. S., in Turn, Will Mediate to Secure Freedom of
 the Seas.
GERMANY READY TO
 ACCEPT PROPOSALS
Expected Ambassador yOn BenrStOriT Will Be Authorized to Effect SettIe- mem of IuSitania and Arabic
 Cases, Paying Indemnity.

Berlin, Aug. 2G.-It is learned on high authority that the German gov crnmcnt today cabled to Count vOn Bcnrstorf, it's ambassador at Wash ington, for transmission to the Amer ican state department. a pledge that hereafter German submarine warfare will be carried on in such manner that American ships and citizens will be safe on the high seas.
 It is learned here that even before the sinking of the Arabic, the Ger man government had adopted a pOli- cy looking to the protection of Amer ican passengers on transatlantic lin CTS, and designed to settled the en- tire submarine controversy with the United States.
 It is the belief in official circles here that the Arabic incident may now be considered closed and no longer a menace to the friendly rela tions between the United States and Germany.
 Washington, Aug. 26.--Diplonatic
 
 such it can be said authortatively that the end of the entire eontro- versy with Germany is in sight with Germany prepared to concede all the demands of the United States on the understood condition that this gov ernnlent carrX oul its suggestion or mediation between Germany and Great Britain on the freedom of the Iseas.
 All danger. therefore, of "a break between the two governments ap- pears to have passed.
 Germany has informed the United States officially that for several 1 months her submarine commanders have been acting under instructions not to torpedo passenger vessels | without giving warning. Germany has indicated also that she under stands giving warning to mean that all persons on the vessel shall have time and opportunity to get away safely in their boats.
 Count von Bernstorff, the German ambassador assured Secretary of State Lansing today that if the evil dence "s'hows 'conclusjvely that the submarine commander disregarded his instructions and torpedoed the Arabic without warning, the German government will disavow the act and offer reparaion for the lives of the | two Americans lost when the vessel was sunk.
 Germany Ready to Yield.
 The German government will eith- CT send a note to this government in reply to the last note of the United States on the sinking of the Lusitania, or it will send instructions 10 Am- bassador von Bernstorff to take the matter up personally at the state de- partment and arrive at satisfactory adjustment of the controversy.
 The belief is that the latter method will be followed. The fact that ac- tion of this kind is to be taken is proof in itself that Germany has de- cided to yield to the United States, as it was the understanding between the two governments that Germany would tTake no reply to the last note of the state department unless it was prepared to take favorable action on the demands of the United States. From the German standpoint. the principal points in the last note of the United States were the demands that Germany disavow the sinking of the Lusitania and promise repara- ton for the loss of American lives: the request for assurances that there would be no repetition of the offense. and theI suggestion that the United States attempt to bring about an understanding between Germany and Great Britain regarding the freedom of the seas.
 The International News Service, is able to state authoritatively that Germany is prepared to accept the three proposals, and coupled with it's , representations on the sinking of the Arabic. there will be a declaration equivalent to disavowta.l of the sink ing of the Lusitania, and an offer to pay indemnity for the lives of the
 Americans who went down with that
 vessel. Fka .r
 The suggestion. V v vii probably, be 3 made that the sam9unts to be paid : be settled by a joint commission to g be appointed by the two governnents. : Emphasis will he laiu- 1aiplomatically !. however, on this governments spg- : gestionz of mediation and assurances s will be given that pending negotia- . ltions" means during the pro-