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sible assistance to both the Minister and the Department's repre-
sentatives. Captain Multon has been in Dominican waters for some
time and has met the situation with a keen sense of diplomatic
values; he has formed friendship with a number of the higher
officials of the island and has won their confidence. This was ac-
complished only at the cost of untiring effort and considerable
personal expense. He has done a great deal of good through his
friendship with these men and has accomplished a valuable work in
convincing them of the nature of American ideals and aims in regard
to such countries as Santo Domingo. We feel safe in saving that
he has gone far towards changing in Government circles the atmos-
phere of suspicion and distrust which has so long prevailed. We
respectfully suggest that the Secretary of the Navy be informed of
our deep appreciation of Captain Nulton's courtesies and his able
assistance in the work of our mission.
We have the honor to be, Sir,
Your obedient servants,

JORDAN HERBERT STABLER,
FREDERICK A. STERLING,
Hugh S. Gibson.

File No. 839.00/1041.

The American Minister to the Secretary of State.

No. 40.]

AMERICAN LEGATION,

Santo Domingo, December 23, 1913. Sir: I have the honor to inform you that the elections of December fifteenth and sixteenth were held in this country, under the helpful influence of the visiting delegates from the State Department, with a degree of success that was hardly hoped for by any of the parties concerned.

Although the election was general and held in every part of the country, the old Latin-American custom of withdrawing from the polls was resorted to in but few instances. In the small town of Seybo, in Sánchez, in San Francisco de Macoris and in the capital there were withdrawals; but the rest of the election was fought out to the closing hour. In two of these instances the struggle was carried on between two factions of the opposition. Whatever might have been said as to the interference by the Government and the use of force in some instances, the action of the President in calling a special session of Congress, made up of a number of members the majority of whom are hostile to his Government, to pass upon the validity of the election in all contested instances removes the last criticism of the Government by any fair-minded person.

This special session of Congress has been called for January fourth and there is a general feeling of satisfaction here at the American attitude toward the whole situation. It will be interesting to note that the Government will not control the constitutional convention unless it succeeds in making a combination with one of the other factions.

ances.

On Friday, December 19, 1913, after a previous conference with members of the State Department who were here, I issued the following statement in the press:

In the recent revolutionary movement the American Minister, acting under instructions from his Government, prevailed upon the leaders of the revolution to lay down their arms and resort to the ballot for the settlement of their grier

The American Government agreed to exert its best efforts to ensure to all factions a fair and free election. The Dominican Government promised a free ballot, free press and free speech,

The freest, most systematic and orderly electoral campaign ever held in this Republic was carried on, all factions availing themselves of their full rights of free press and free speech. Elections throughout the country were held in an imprecedentedly free and orderly manner. In Santo Domingo City and some other places there were regrettable incidents which caused the opposition parties to withdraw from the polls on the second day of the voting. It has so far been impossible to form a final opinion as to where the responsibility lies for these incidents but the American Minister is gratified to learn that the Dominican Government has rendered the formation of such opinion superfluous by prompt and generous action. The President has determined to call a special session of Congress for January fourth and desires that anyone with complaints as to the recent election shall present them for the consideration and decision of the ('ongress. This honorable and unprecedented action affords striking proof of the President's desire to deal fairly with all factions, and it is the earnest hope of the American Government that the members of the opposition will meet this action in the same patriotic spirit of frankness and moderation. A calm and dispassionate settlement of party differences through the deliberate agencies of orderly government will be an achievement of incalculable benefit to the good name and credit of this Republie and all patriots will cooperate to that landable end,

On the other hand any failure on be part of he opposition to avail of the peaceful remedies now offered would be a most unpatriotic and shameful perfornavce which, it is confidently hoped, will not have to be considered. It is not doubted that every patriotic Dominican will labor with his whole strength to maintain the high standard already set in these elections and complete the triumph of the people by removing through orderly means the last elements of doubt in the situation.

'The American Minister declares most emphatically that any one not availing himself of these remedies need hope for no support or sympathy from the American Government.

Permit me to thank the Department for the timely relief which the Delegates from the Department brought me. I believe that I had brought the situation up to the election in fairly good order, following the lines of my instructions; but it was the influence, vigor. experience and initiative of Messrs. Stabler, Gibson and Sterling that saved the situation during the days of the election. Had they not arrived at the psychological moment all my efforts might have turned to ashes.

I enclose herewith a copy of the report of Walter M. St. Elmo, who had charge of the twenty-nine agents from Porto Rico. I have on hand also the twenty-nine individual reports of these agents, to be placed on file in the Legation.

I believe that if this country can be tided safely over the Presi. dential election, its march will be toward better things. All is tranquil here now and no one claims seriously that the United States has not fulfilled its promise to the last letter; and there is a feeling of optimism throughout the Island that the Dominican Republic has entered on an era of peace and prosperity. I have [etc.]

JAMES M. SULLIVAN.

[Inclosure.]

Report to the American Minister by Walter M. St. Elmo, Chief of the Bureau of

Information, Police Department, Porto Rico, in charge of the twenty-nine agents appointed to obscrrc thc Dominican elections.

[SANTO DOMINGO)

December 20, 1913. SIR: In accordance with instructions received from the Governor of Porto Rico, Hon. Arthur Yager, the undersigned suggested the names of 29 employees of the Insular Government of Porto Rico, 6 Americans and 23 Porto Ricans, who reported to you on the 11th inst:ut for the purpose of observing the elections held in this Republic on the 15th and 16th instant.

Under your direction these men were sent to different parts of the Island, as follows:

[Names of the men, and names of localities at which they were posted.]

The individual reports of the agents, which you now have or will receive, slow that the elections in the places as named were held with comparative fiirness, taking into consideration an extremely faulty election law and the heretofore prevailing custom on the part of the government in power of using force and coercion to insure results favorable to their interests.

Isolated cases of coercion, violence and fraud were observed, but which in no manner affected the final count of the ballots cast. Shooting occurred in La Vega, San Pedro de Macoris and San Cristóbal, and some disturbance took place in this city and in Moca. In the Capital the Government made a number of arbitrary arrests of leaders of the opposition party, which causeil their followers to withdraw from the voting on the second election day, the 16th.

The general good order observed throughout the Republic during the elections was, without any doubt, brought about by the attitude assumed by yourself an the American Government in reference to these elections. The fact that the Commission appointed by the State Department arrived here prior to the elections had an assuring effect on the people; they appeared to be relieved and to feel that our Government meant business and that it intended to ke!;) its promise made to them through yourself to guarantee a free election. The general consensus of opinion appears to be that that promise was kept and thuit tliey feel that a step toward a free exercise of suffrage has been made

While some protests have been made in a number of towns against aleged unfairness and fraud, those protests will in no way afect the general result of the election returns. The fact that the opposition party elected a majority of their candidates appears to be sufficient proof that the Government used no treat aircont of undue influence, violence or coercion. This fact is all the more astonishing because of the oppressive measures heretofore employed by the gorennents in power on like occasions.

A most general protest is heard on every side against the present election law. It is faulty in every respect, works a great haruislip upon the people and practically prevents a full and free expression of their will at the polls by making it very difficult for the majority to get to the polls to vote and by facilitating fraud through repeating. No entirely free elections can be hoped for in Santo Domingo until a censuis is taken and electoral lists prepared and an eltirely new electoral law enacted; but those jnst passed were as free and orderly as could be expected under existing conditions and should be a matter of congratulation to yourself and the Government you so worthily represent for having so successfully brought them about.

The Comission] generally prevailing among the people appears to be that the recent elections were free and fairer than they expected and that the good oriler and absence of former coercive measures and of violence or oppression was almost wholly due to the unofficial intervention on the part of the American Government.

Some of the Horacista party now profess to believe that they were treatell unfairly by the Government and that it wilfully sought by trickery and oppression to bring about the defeat of their political party. However, this sentiment is not at all general, even anong members of that political faction.

bile before our arrival in Santo Domingo, and during the first day or so thereafter, some comment was made in the local press and indulged in by a ser: irresponsible persons on the streets in protest against even non-official 11)terrention in their affairs by us, I am indeed glad to report that no hostile action against any of us was in any way attempted and that in the majority of cases our stay in Santo Domingo has been without a single disagreeable incident and that in most cases Government officers and others assisted us in our work and tried in every way to make our stay pleasant. Very respectfully,

WALTER M. ST. ELMO.

File No. 839.00/1027.

The American Minister to the Secretary of State.

[Telegram--Paraphrase.)

AMERICAN LEGATION,

Santo Domingo, December 28, 1913. The Dominican Government today arrested Frederico Velásquez. I have seen intercepted letters that indicate his participation in a plot to overthrow the Government by force. Several have been detained, others expelled, and still others have voluntarily left the country. I have asked that the accused be tried. The country is tranquil and if the critical condition of financial affairs could be relieved there is hope of continued peace.

SULLIVAN.

FINANCIAL AFFAIRS-CONCLUSION OF A LOAN CONTRACT BE

TWEEN THE DOMINICAN REPUBLIC AND THE NATIONAL CITY BANK OF NEW YORK, WITH THE APPROVAL OF THE UNITED STATES.

File No. 839.51/864.
The American Minister to the Secretary of State.
[Telegram--Paraphrase.)

AMERICAN LEGATION,

Santo 'Domingo, September 27, 1912. Mr. Samuel M. Jarvis, representing the National Bank of Santo Domingo, informs me that the Dominican Government, being sorely pressed for money, has applied to the bank for a loan to be secured on all stamps and stamped paper for a period of years. The bank stipulates submittal of a statement of the Government's financial condition and approval by the Government of the United States of the loan. Unless a new order of affairs is insisted on by our Government the country will soon be utterly ruined.

RUSSELL,

File No. 839.51/911.
The Assistant Secretary of War to the Secretary of State.

WAR DEPARTMENT,

Washington, December 11, 1912. MY DEAR MR. SECRETARY: The following cablegram was received this day from the Deputy Receiver General of Dominican Customs:

Bill introduced Dominican Congress December 9 authorizes Executive to contract loan of $1,500,000 specifically recognizing article 3 of the treaty; 7 per

cent interest ; $30,000 payable monthly by General Receiver of Dominican Customs. This will probably be handled by local banks. Approval of American Government will not be requested until contract has been signed. In the mean. time Santiago Michelena advances $2,500 daily to the Government. Very sincerely,

ROBERT SHAW OLIVER.

File No. 839.51/913.

The American Minister to the Secretary of State.

(Telegram--Paraphrase.)

AMERICAN LEGATION,

Santo Domingo, December 16, 1912. Congress has passed the bill authorizing the Executive to make a contract for a loan as heretofore reporteil, and the bill has been signed by the President, who strongly advises that the approval of the Government of the United States be limited to approval of such sums as he may need from time to time, expenditures to be controlled by the Minister of Finance, the Legation and the General Receiver of Customs, and if his Government fall our approval immediately to cease as to any unexpended balance of said loan. I strongly recommend this course be approved by the Department, and as soon as possible.

RUSSELL.

File No. 839.51/913.

The Secretary of State to the American Minister.

[Telegram- Paraphrase.)

DEPARTMENT OF STATE,

Washington, December 18, 1912. Inform the President that this Government approves in principle the making of a loan by the Dominican Government to meet its present financial needs and hereby authorizes preliminary advances on this loan to be made to the present Government by the bankers of not to exceed $300,000. Sums so furnished must be at par, interest not to exceed 7% per annum from date of advances; and, provided they be disbursed under the control and supervision of the Legation and the Receivership, this advance to form part of the total of the proposed loan. Before, however, finally approving the loan contract this Government must know more of its terms, such as the price at which the loan is to be taken. Inform Department as accurately as possible as to the amount necessary to discharge the total recent indebtedness of the Republic and in detail the purposes to which it is to be applied. This Government could not approve the advance or loan. of moneys to a Government that had not been recognized by the United States.

KNOX. .

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