Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-12-29
LIBERALS PLANNING
NEW BLOW AT D|Az
|NN|CARAGUAN WAR
Heavy Defeat of ConServa-
tives May Be Followed Up
by Move on interior.
PRESIDENT RECOGNIZED
BY U. S. ADMITS PERIL
Eenator Borah Sees Official Reports
of U. S. and Finds Them
Satisfactory.
BY the Associated Press.

BY the Associated Press.
MANAGUA, Nicaragua, December
29--Victorious in q three-day battle
at Las Perlas, on the east coast, OF
Nicaragua, the Liberal forces Of DIR.
Juan Sacasa are now threatening sew
eral startegic points leading to the in
terror.
The troops of the conservative gov
ernment of President Diaz, who has
been recognized by the United States.
were forced to retreat before the
Liberals. The latter's government un-
der DR.. Sacasa is recognized by Mexi,
GO.
Advices from the fighting zone say
1000 Conservative troops were opposed
by 1900 Liberals, of whom 300 were
alleged to be Mexican soldiers or Of
1lcers.
Ammunition Runs Short.
The Conservatives ran out Of am
munition and found their machine
gun fire no match for the IL pieces Of
light artillery in the possession Of
the Liberals. A retreat was ordered,
400 men being told off to cover the
rear while the main body retired to the
neutral zone of Ell Bluff OF the 400
the others were surrounded and eau.
tured. The main body reached Ell
Bluff, where they win be disarmed by
the American naval forces who are
maintaining the neutrality of the zone.
BY their victory the Liberals gained
access to the Escondido River, cap.
tured Fruta de Pan and began an at
tack on Monkey Ridge If this stra-
tegic point is taken, it win give con.
frrl of fhn viz o1o
fruit companies operate. Other Liberal
forces are proceeding TO Rama, where
there is q small Conservative garrison.
The Diaz Conservative government
*is said to be extremely short of ammu-.
milton and funds with which to pay
the 5000 men under arms. Gen. Diaz
displayed great anxiety over the stu
ntion when news of the defeat at Las
PerlaS was received, and repeated his
assertion that he could not hold out
much longer against the Liberals IL
they continued to receive, as he
cnarges, military support from
Mexico.
More Gun Running Alleged.
Another Mexican gun runner,
named Temporal, left Mexico several
days ago with more ammunition than
this government has, and also some
SA9A~ cAiN AAShVy dAthlEIys lie SdlQ.
1--WE have a, few old cannon, but they
cannot compare with modern guns"
DIR. Sacasa, head of the Liberal
movement. is still at Puerto Cabezas,
where American naval forces were re-
Gently landed, but an intercepted dis
patch from Costa Rica says he will go
to that country and that Gen. Mon
cada will continue the fighting.
Landing of American naval forces
in Nicaragua for the announced pur.
pose Of protecting American interests
by the establishment OF neutral zones
has drawn a sharp editorial attack
from the newspaper Ell Universal Of
Mexico City, which charged the
United States with a policy of ruth.
less imperialism in Latin America"
Peace in the American continent,
the paper declared, was endangered
by the present policies of the Depart
ment of State in Latin America, es.
pecially the armed Intervention of the
United States in Nicaragua"