Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-09-07
LATIN AMERICANS
LAY ILLS TO j. S.
Investors Refusal to Buy
Revolutionary Bonds at
Top Prices Resented.
BY JOHN w. WHITE.

by CdDlc 10 ~ ne 6thE.
MONTEVIDEO, Uruguay. September
Events throughout South America
during the last week indicate that this
continent is no nearer getting out OF
the mire of financial and political I'M
rest than 1t was IA months ago, when
Bolivia was first In a series Of revolu-
tions that have reduced the greater part
Of the continent to chaos.
The more important OF the South
American republics resent the Anglo
Saxon habit of grouping all the repub-
lies together as South America" yet
these most important countries, includ-
ing the so-called A B G republics, Ar
gentina, Brazil and Chile, have found
no better way to settle their troubles
than resort to the time-honored tactics
of the so-called banana republics Of
Central America, which have caused
Latin America to become synonymous
with revolution.
Many Plots Uncovered.
Last week saw the complete break
down of government in Chile, accom-
panied by a serious threat of the estab-
lishment Of Communism, while there
were abortive counter-reVolutlonar
plots in Argentina and Brazil; Com
munist outbreaks In Ecuador; plotting
in Peru. which caused the dissolution
of the Republican Guard. and cabinet
crises in Bolivia and Paraguay, that in
Bolivia being the second since constitu-
tional government was re-eStablished
six months ago.
With the exception OF Argentina, all
the countries affected by recent revolu-
lions have, as one Of their first steps
toward recovery. suspended payments
on bonds held by American and other
foreign investors. Yet in all these
countries there is resentment that the
United States Government and Amer
lean investors do not shovel gold into
South America in sufficient quantities
to settle all their financial troubles,
without, Of course, presuming to make
any suggestion regarding the political
or economic mismanagement that has
produced the present situation.
Resentment in Argentina.
This resentment Is especially appar-
ent in Argentina because Americans are
felt there in some way to be responsible
selling in New York around co. making
it impc ssible for the bankers to rensw
the $50 000, 900 loan falling due October
!, except at a market price low enough
to tempt investors.
The Argentinians refuse to look facts
in the face and see that the lack OF
confidence of the investors is due to
the prolonged suspension of legal gov
eminent and frequent plots to over
throw Provisional President Gen. Jose
Francisco Uriburu. Foreign investors
are not blind to the fact that Gen.
Uriburu can never establish a stable
government in Argentina under his
present plan of using force to prevent
the majority party from participating
In the forthcoming elections. parallel
situation in the United States would be
the seizure of power by the Wisconsin
Progressives and their refusal TO permit
the Republicans to vote or hold office
in the new government.
Irigoyenists in Ma jority.
Regardless of the preference of foreign
banks and foreign business men to do
business with the people Gen. Uriburu
represents, the fact remains that the
IrigoyeniSts. whom he is barring by
dictatorial force from their civil rights
represent about rs per cent of the coun-
try's voting opinion and that his re-
fusal to permit them to participate in
the forthcoming elections is responsible
for whatever participation they have
had in recent attempts at counter-revo-
luton
AS always happens when organized
government collapses, Communist agi-
tators are busy throughout the con-
tinent, having produced more or less
serious trouble recently in Bolivia,
himself is authority for the statement
that they were involved in the recent
plotting against him.
U. S. Held "DisloyaI."
In no one of the republics affected
by revolution during the last IA months
a:e there reliable indications of a
definite cessation of political plotting,
contemplating and definite re-estab-
lishment of law and order in the near
future.
But despite that fact, they all think
chat President Hoover was untrue to
some unwritten code of brotherly love
when he refused to postpone all South
American loans the same as he did
Germany's, and the longer trouble con-
tinues and the worse it gets the more
pronounced seems to be the feeling that
the United States has been disloyal
toward South America and that Ameri-
cans are in some not very clear manner
at the bottom of the present economic
and financial ills, which are at the bot
tom of the political unrest.
(C0nyriRht. 1891