The New York herald., 1921-02-27
PANAMA NEAR WAR
WITH COSTA RIGA
Hostilities May Develop Into
Conflict Involving Central
America and Colombia.
PORRAS ISSUES DECREE
Oil Concessions Granted to
American Concern in Invad-
ed Area by San Jose.
By the Associated Press.

BIZ the Associated Press.
PANAMA, Feb. 26.-Hostilities be-
tween Panama and Costa Rica showed
possibilities this afternoon OF develop
ing into a conflict involving all of Cen
trail America and Colombia. Leading
Colombians residing in Panama have
sent wireless message to Bogota ask
ing the Colombian Government to fur
nish them with arms for the purpose
of enlisting against Costa Rica.
They also ask the Colombian Gov
ernment what action 1t Is willing to
take officially to protect Panama
against Costa Rica which is member
Of the recently formed union of Cen
trail American States. The other
members are Guatemala, Salvador and
Honduras.
A Presidential decree issued this
evening declares the country has been
invaded and recites the necessity OF
expelling the invaders. 1t suspends
individual rights under the constitu-
ton, calls upon all Panamans be-
tween IS and 40 to register for MILL
tary service and convokes the Ma
tional Assembly for a special ten day
session, beginning March /.
It was learned officially that Presiden,
Belisar!o Porras has signed 4 procla.
nation declaring war against Costa Rica
but is holding It temporarily in abey-
ance. The President. assured that the
entire country is behind him. contem.
plates taking over dictatorial powers fol
the defence of the republic. relying upor
the National Assembly TO confirm his
action.
A sweeping order was Issued this
afternoon by Eusebio Morales, Secretary
of the Treasury and the Interior. abol.
ishing the constitutional provisions re-
garding freedom OF the press and estab-
fishing a strict censorship over Pana.
MANI Costa Rlcan developments.
Unorgan nized Forces Sent.
While nothing has been learned re-
garding the status Of hostilities In the
Coto district. near the Pacific frontier
where Costa Rican forces on Monday
occupied territory held by Panama. Z,
was learned authentically this morning
that hastily gathered unorganized forces
were being sent from Panama In the d.
rection OF Bocasdel Toro whence come
across the boundary are being reen-
forced.
1t is known the Sinclair oil interests
have been conducting drilling operations
in Costa Rica near the disputed terri
tory. and reports are In circulation in
Panama that the Costa Rican Govern
ment has already granted a British cor
poration a concession for oil exploita-
tion in the same general locality.
Lack OF arms and munitions with
which to equip the Panaman forces
which the Government continues to or
ganize still Is proving an insurmounta-
BILE difficulty. Every available rifle has
been issued TO the volunteer forces and
national police, who have been sent for
ward to Coto and Bocas del Toro.
The belief is strongly held In official
circles that the United States Govern
ment is in duty bound to furnish the
Panaman forces with necessary arms.
since the country disarmed after COM
pletion OF the Panama Canal treaty ana
has been in a defenceless condition since.
The dual nature Of the obligations OF
both republics under the treaty Is ad-
vanced as an additional argument, espe-
cially in view OF the belief generally held
that Costa Rlca is counting upon the
support of the recently formed Union OF
Central American Republics.
The Panaman Government is urging
upon the Canal Zone authorities and the
United States Legation here the advisa- :
bility OF recommending that the United
States War Department issue the neces-
sary war materials and has expressed
confidence that such recommendations
will be forwarded to Washington. The
United States Legation Is still without
instructions from Washington
Pmnamsn Rides SOLD.
1t was generally believed the United
states Government held several thou
sand rifles for the Panaman Govern
ment, and II was supposed the volun-
teers would be armed with them. 1t was
learned at the United states Legation.
however, that some 1900 rifles taken
over from the Panaman Government
following the signing OF the Hay-variila
treaty were returned. and most OF these
guns were sold Mt public auction here
in 1914. The remainder were shipped
to the Panaman Consul In New York for
disposal in 1915
An interesting phase Of the situa-
ton results from Costa Rica occupying
territory under the arbitration decision
OF Chief Justice White OF the United
States Supreme Court which was
handed down in 1914. while the United
states Government has, by virtue Of
treaties. guaranteed the territorial In
tegrity OF this country. The Panaman
Government contends. however. that
Justice Whites decision contained
clause TO the effect that II his award
should not be accepted by both parties.
the territorial status would revert to
the conditions laid down by the deci-
sion rendered by President Loubert OF
France. II IL under the Loubert de-