The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1928-12-18
BOLIVIA FIGHTS
FOR u, s. BANKS,
SAYS MINISTER
Washington Diplomat
Tells of Land Grab

River Paraguay and thence TO the
Atlantic, than to try to get it over
the high Andes mountains?:.
Most assuredly," frankly replied
Medina. "That is clear; and that is
what all the trouble is about. You
see, the Paraguayans are obstruct-
ing the DEVELOPMENT Of American
interests there"
We could scarcely believe that VIC
had heard Alright, and again asked:
$50, that Is the basis of the con-
flict; that the Standard Oil Com
pany cannot profitably deveep it's
Bolivian holdings lacking an outlet
through the Chaco region, and Pera-
quay is obstructing such outlee?"
So, That's It..
Certainly, certainly" replied Nc
dina, who is volu5le talkcr, that
IS exactly correct, the Paraguayans
are preventing this development"
"But the Paragraphs say that
they win gladly allow transport of
anything, oil or other materials,
through the Chaco, that they will
grant you q narrow strip of lard
even, and GLOW all Bolivian prod
ucts to pass freely and without i'm
port or export traits Of any kind"
Not Enough.
"Well, yes" conceded Medina,
"thoy have done that. But that is
not enough. We cannot allcw that
our outlet through Chaco be at the
mercy and suffcrance of Paraguay
1t is cur land, anyhow, and the Para
suayans are in our house, 50 to
speak, And he launched INTO a
lengthy recital of alleged legal
rights claimed by Bolivia to the
Chaco region, but omitted mention
Of the JUG .;ment made by commits
sion under President Hayes Of the
y. S. in the last century which I'M
doubtedly gave to Paraguay by far
the greater portion of the whole
Chaco region. This, we remark, has
also been ignored at the fake "arbi-
tration" conference here at Wash
ington, although Hughes and KEEL
logg most certainly know of it and
must be ignoring it deliberately.
Anyway, the Hayes award was
given before oil was found. How
ever, having struck oil in dispute,
we were satisfied on that score and
opened new angle.
U. S. Banks Still Control.
"Senor Medina, is the contract
signed on May 81, 1922, between the
Bolivian government on one side,
and a group Of American bankers
on the other, the Equitable Trust
Company among them, still in
force?"
och, yes. 1t is still effective"
And apparently thinking that we
would be glad to hear that "our"
bankers were paid, he added: "And
Bolivia is faithfully discharg.ng
every obligation, meeting all pay
ments promptly"
"And is the Permanent Fiscal
Commission. set up under that con-
tract, still funct oning?"
eyes, yes. It is still function
ing." Thus assuring us that Wall
Street control Of Bolivia remains
sirtight and that Bolivia could not
buy poD-gun, let alone make war,
il the American bankers did not
wich.
eve understand that the first
loan Of $26,0CO,C00 was added to by
two mere, and recently consolidated
under control of the Dillon-Rcad
Company Of New York. Is that
true?"
eyes"
"And what was the. sum Of the
recent loan a few months ago." at
was for S22,00o,0c0," replied Me-
dina.
Buying Arns:
"There is a report that Bolivia is
ucing these loans CT Amer car
money 70 purchase arms for war on
Paraguay. Can you inform us of
thot matter?"
Senior Medina smiled ard denied
it, adding: "I sit here in MY office
md by no arms and | Gee nc arms
bought"
"Now, Senior Medina, at the time
YOUR government withdrew from
this Wash,ngton conference it also
refused the offer Of the Gondro
Commission, cn, all-Latin American
body, to mediate" eyes, that is
correct" he answered. "But VIC
never ratified the Gondra accord
though we had signed it. So we arc
rot obliged to accept the Condra
Commiss on offer
"But, Senior, your government de-
clincd the Gondra Commission offer
on Other grounds-that your SOW
creignity, independence and dignity
were injured. Yet you returned to
this Washington Conference at Kel-
logg's solicitation, although it ap.
pears that the reasons you gave tc
the Gondra Commission would ap.
ply likewise to this conference"
Medina nodded, but appeared per.
picked.
Latin American Unity Ditched.
Nov, because you returned tt
this Washington Commission, while
well. snubhinp the all-Latin Gondrf