Evening star., 1938-05-08
VAST PROBLEMS
FACING AMERICAS
A. B. c. Bloc Is Expected to
Assert Dominance at
Lima Conference.
BY CARLOS J. VIDELA.

NEW YORK, May 7 tNANA).-
Taken together, several happenings in
Latin America these last few weeks
bespeak momentous problems for the
Western Hemisphere as whole when
representatives of its governments
meet at the Pan-American Conference
IN Lima, Peru, next December.
There is. first, the revival of the
powerful South American A. B. c.
r-alliance-Argentina. Brazil and
Chile. This bloc may be expected to
assert its predominance over the rest
a OF Latin America when 1t comes to
political action.
Second, there is now continent
wide trend to punish United States
interests for wrongs that were former
Iy overlooked or condoned
Third, timid start may be noted
on the part of France to reassert
herself as a military factor in South
America. sending missions to train
the armies of certain small countries,
at time when Italy is trying by all
means to show the superiority of her
war material, especially in the air
Fourth, Nazi propaganda in Latin
America seems to have wrecked it
self. backfired and disappeared as an
active factor.
Cantilo in Rio and Santiago.
The grouping of Argentina. Brazil
and Chile into the A. B. c. bloc
has been a result of the visits of Ar
gentine Foreign Minister Jose Maria
Cantilo to the Brazilian capital, Rio
de Janeiro, and to Santiago, seat of
the Chilean government. Senor
Cantilo held extensive conversations
at Rio with the Brazilian foreign
minister. Oswaldo Aranha. until re-
Gently Ambassador of his country to
Washington. The first has been de-
scribed as South American Neville
Chamberlain, while the second has
been called the Brazilian Senator
Borah." 1t is significant that the
meeting of the two foreign ministers
took place soon after the Argentine
press expressed itself emphatically in
favor of the anti-Nazi attitude of
Brazil, caused by the German claims
10 minority TlSntS lnere.
1t is also significant that Argentina
declared herself unequivocally in favor
of Brazil after the anti-NaZi incident.
A community of interests was thus
established, resulting in open and
energetic action against Nazi penetra-
ton, such as closing of schools and
prohibition of the use of the German
language and political symbols in meet
ings.
After his successful visit to Rio. the
Argentine foreign minister went to
Santiago Chile. with brilliant and
numerous retinue. Behind the off,
cial ceremonies and speeches two prob
lens seem to have been brought closer
to solution-the final end of the Chaco
war between Bolivia and Paraguay
and the solution, once and for all, of
the veXatious question of sovereignty
over several islands in the far south,
near the Straits of Magellan, which
would have great strategic value in
case Of a world war
Foreigners Penalized.
Ilc Cltllu W lll1llCJ
foreign interests established in Latin
America has continued lately with
some intensity. Besides the Mexican
seizure of oil properties, Venezuela de-
creed, April 4, to annuI an illegal"
rebate in taxes which the Venezuela
Gulf Oil Co. and the Meme Grande
Oil Co. had enjoyed for years. This
fYNa nf Q00
American-owned United Fruit Co. was
sentenced by the Colombian Supreme
Court, April 6, to pay 4,80O220 pesos
to the nation, thus putting an end to
a six-year-long lawsuit Costa Rica,
on May A. raised the valuation of
american subsidiaries of the Electric
Bond & Share Co.. for taxation pur-
poses, more than 200 per cent. al
though the company had been paying |
taxes at the lower rate of valuation
Tor many years.
Brazil has passed legislation lately |
to vest ownership of all oil industries
in Brazilians exclusively, despite the |
fact that at the time large American |
works had been licensed to operate
and were in fact building their plants |
In the south.
While these occurrences have been
rather noisily taking place, a timid |
beginning has been made by France |
to reoccupy the prominent position
she had traditionally held in South |
America, which has, in the last few |
years, been challenged by Italy and |
by Germany. Germany may now be !
said to have lost whatever she had |
gained in theological penetration"
after the editorial in the Berlin Diplo-
matische Korrespondenz, claiming
minority rights" in South America |
which provoked a storm of outraged |
criticism below the Equator.
French Aid Paraguay.
A French military mission arrived
at Asuncion, Paraguay, on April l8, |
headed by Col. Petit. 1t will take
charge of training the Paraguayan
Army, which, up to the Chaco war,
was trained by Argentine officers.
German officers were directing Bo-
kvian operations during the Chaco
war. This may have something to do
with the hiring by Paraguay Of a
French mission and also with some
signs of antipathy toward Germany
on the part Of Argentine military
circles
There was q time in South America
when armies we're either French or
trained. going so far as
adopting uniforms similar to those of
the two European countries. German
sniked helmets are still seen in the