The Washington herald., 1916-01-01
CEASE CEASES TO EXIST
Ancona Reply Satisfies U. S.,
According to State De-
partment Authority.
MAY BE PUBLISHED TODAY
Pen6elds Resume Wired to Wilson.
Dumba's Successor Viii Be Sc
lected by Vienna Before Long.

The receipt of the official text of
the Austrian reply in the Ancons case
and certain developments in the Lusi-
tsniS case brought intimations yes
terdsy from the State Department.
white House, and diplomatic circles
that the entire controversy between
the United States and the Teutonic
powers over submarine warfare is
practically at an end.
The settlement will be complete, il
was said. when negotiations on several
points of secondary importance are
concluded.
As an evidence of the sincerity Of
Austria in her desire that friendly re-
lstions with the United States be con-
tinued, word was given out that Aus
tria Is preparing to send an Ambas-
sador to this country to succeed DR..
Constantin Thsodor Dumba, recalled
at the request of the State Department
some months ago.
May Be Given Out To-day.
copy of the resume from Ambas-
sador Penheld was forwarded yester-
day to President Wilson at Hot
Springs, Va. and a copy Of the note
itself will be sent on as soon as avail
able. Unless contrary instructions are
received from the President ths note
probably will be made public today.
Officials of this government were plain
ly <rstided by the attitude of Austria.
3 ana did not hesitate to express their be-
lief that the Ancons case. as an i'm
portant issue, has ceased to exist" Of
ncisl opinion generally was that the Aus
TRAN reply. so far as 1t deals with the
principles involved, Is all that could be
desired BY the United States.
The Indications that satisfactory pro-
gress Is being made toward the settle
ment of the Lusitiana case were mani
Tested after an early call by Count Won
Bernstorff, the German Ambassador. on
Secretary Of State Lansing. The out
lock in this direction appeared so en-
couFs ging last night that It brought from
an official close to the White House,
the optimistic prediction that the con-
troversy with Germany will be settled
within a week.
Austria Grants Everything.
A State Department authority said:
so far as our demands for an agree
q. ment on broad and specific principles
are concerned, the Austrian foreign office
has granted everything. 1t has. In fact,
gone further than We had reason to ex-
pect. II is worth noting that Austria
this government in the first Lusitsnla
note in which we eontended that 1t was
not only specific law but dictates Of hu-
nianity which should govern warfare.
Austria has agreed to this almost in
specific terms.
1T viii require analytical study to en-
able rs to say officially that 1t is entirely
satisfactory. as we now think what 1t is.
1T seems that the sole outstanding
question is that OF repsration. BY this is
meant Indemnity only. Austria already
has punished her submarine commander.
Indemnity Is essentially a question of
fact. and questions of fact are always
subjects OF arbitration.
I'VE have gained the srsur points that
Austria has put herself q ecord in SUBJ
scribins to the dean OF Iuhdon. 10 inter
national law. and to the hunanities gov.
erning present warfare at sea-"
TIE only statement which Baron zwie-
dtnek, charge d'anaires of the Austrian
Embassy. would make for publication
vas: I believe that this note shows con.
eiSsiveiy the desire of Austria to main
taint and strens hen smicable relation.
~'tA the United states"