New-York tribune., 1921-12-21
Peru S Progress
Consul General Notes Forward Steps
Of President Leguia

or PRESIDENT Legula
10 the Editor of The Tribune
Sir: From time to time have APP
peared newspaper articles regarding
Peruvian conditions and finances. In
some cases they are at variance with
the facts and likely to create Il
false impression. The writer of q re-
cent article endeavors to show how a
loan Of $50 100000 to Peru is not fea-
sible from an economic standpoint. The
proposed loan to Peru will be for about
$40 100000, the total amount to be in
creased to $50,000,000 only when the
revenue from the customs duties shall
have equaled or exceeded, for preced-
ing fiveyear period, an average of two
and one-half times the amount re-
quired to pay the annual interest and
sinking fund charges.
Exception may likewise be taken to
statements to the effect that the Gus
toms service Of Peru is about to be
put under the control of a foreign
company as security for the proposed
loan. 1t is true that the revenues from
the customs service are to be assigned
as security for the loan, but the actual
admin stration and control of the serv-
ice remains, in all it's branches, in the
hands of the Peruvian government.
The services of William Wilson Cum
berland, formerly trade adviser to the
State Department in Washington, were
engaged by President Leguia, prior to
the proposed loan and not in contem-
plation of it, for the purpose of reor-
ganizing the customs service of the
country along more modern lines. Mr..
Cumberland is not the employee of q
foreign company, but an official Of the
Peruvian government.
There have been declarations to the
effect that uprisings and revolutions
are quite prevalent in Peru at the pres
ent time and that these have been
of the country and are about to engulf
the government itself. f. A. Pezet, the
Peruvian Ambassador to the United
States, has requested me to deny en-
tions.
Some time ago there was small
outbreak of discontented army officers
in the Port Of Iquitos, which is on the
upper Amazon River and outside of the
direct line Of communication with the
capital, Lima. The outbreak was not
by any means serious and there has
been no recurrence of the incident
President Leguia has taken steps for
the betterment of the economic and
commercial conditions of the country
Besides reorganizing the customs, as
above stated, early this year he en-
gagged the services of prominent
American educator, together with
staff of twenty-five professors and
directors, to organize the school sys-
tenn of Peru along American lines. An
American naval commission has been
placed in charge of the Peruvian navy.
in order to thoroughly modernize it.
A French army commission is reor-
ganizing the Peruvian army. A COM
mission of we'll known American bank
ers recently left for Peru in order to
advise the President on financial re-
forms.
Like every far seeing executive,
President Leguia is surrounding him
self with men who are experts in their
respective lines, and is building up a
complete organization for governmental
administration, which is doing much
to establish firmly sound economic
and commercial conditions. Numerous
American bankers and impartial indl-
viduals who have had an opportunity to