soever nature, including the internal and external debt of Colombia. which one may have had against the other on November 3, 1903, it being understood that this mutual discharge comprises only the national debts and claims of either against the other and that there are expressly excepted therefrom the bills or claims of the citizens or corporations of either of the parties against the treasury of the other, which bills or claims remain in full force and validity and shall be attended to duly and promptly.

ART. VI. The Republic of Panama renounces and abandons any right which it may have now or in the future to the 50,000 shares in the new Panama Canal Co. which appear in Colombia's name on the books of said company at Paris, and it hereby confirms the relinquishment of its claim thereto which it made in the suit pending before the courts of France.

ART. VII. The citizens of either of the two contracting Republics residing within the territory of the other shall enjoy the same civil rights as may be granted from time to time by the laws of the country to the citizens of any other nation; they shall not be subject to any greater obligations than these latter, and shall be exempt from all military service.

ART. VIII. Both contracting Republics agree that neither of them shall permit any portion of the territory of the other which may be separated from it by force to form part of their national territory.

ART. IX. As soon as this treaty and those which have been signed at the same time as it between the Republic of Colombia and the United States of America and between the Republic of Panama and the United States of America have been ratified and the ratifications thereof exchanged, the Republics of Panama and Colombia shall enter negotiations for the conclusion of commercial, postal, telegraphic, copyright, consular, extradition, and other conventions which may be considered necessary for the regular maintenance of the good relations between the two countries.

ART. X. This treaty shall not be binding on either of the contracting parties, nor shall it have any validity, until and unless the treaties signed on this same date between the Republic of Panama and the United States of America and between the Republic of Colombia and the United States of America are both duly ratified and their ratifications exchanged simultaneously with the exchange of the ratifications of this treaty.

In witness whereof, we, the plenipotentiaries of each contracting Republic, have signed it and sealed it with our special seals in the city of Washington, on the day of the month of

year one thousand nine hundred

No. 277.]

Colombian Minister to Secretary of State.

[Translation.]

of the

LEGATION OF COLOMBIA, Washington, D. C., December 20, 1907.

Mr. SECRETARY OF STATE: Conforming to the course which I am instructed by my Government to pursue in everything that pertains to the pending negotiations for the recognition of the independence

of Panama by Colombia, viz, to do nothing without the knowledge and consent of the Government of the United States, I beg to acquaint your excellency with the incidents that recently took place therein. Señor Arosemena, secretary of the legation of Panama, has handed me a draft of a treaty prepared as it appears in Panama and evolved out of the terms of the protocol signed on August 17 last by Señor Arango and myself. A copy of the draft has also been given to the Department of State, according to your excellency's note of the 17th instant to this legation. I immediately informed orally Señor Amador, as well as your excellency, that it would be necessary to add, in the final text of the treaty, certain explanations which would determine the scope of some of the stipulations of the protocol, without altering its fundamental bases.

As I informed your excellency, the Government of Bogota upen gaining knowledge of the letter your excellency was pleased to address to me from White Plains on August 26 last, which sets down. the position of the Government of the United States in regard to the boundary between Colombia and Panama recognized by it, thought itself warranted in putting its authority into effect in Jurado and the adjoining territory.

It is true that the territory was in dispute between the former States of Cauca and Panama, and was at one time administered by authorities under the department of Panama, prior to the secession contemplated by the latter department, but the Government of Colombia had decided the question by recognizing that territory as belonging to the State of Cauca, which, in those parts, is now the territory of Choco, by means of the line described in the law of June 9, 1855, which is the line recognized by the United States. The authority exercised by the department of Panama, which prior to the secession was unimportant on account of the elimination of the system of Federal States and the adoption of the system of departments with scant local autonomy, resumed importance from the moment it involved an entity which claimed independent existence.

Yet, while it had an abundance of right, the Government of Colombia was perplexed as to the attitude it should assume, lest it might come into conflict with the United States. It therefore confined itself to appointing authorities in Jurado, which, as I am informed, have, with periods of intermission, exercised jurisdiction alternately with the authorities of Panama, but it has refrained from sending troops for the military occupation of the disputed territory. Once in possession of the State Department's note, however, the situation assumed a different aspect. And so, on hearing that Panamanian forces had been landed at Jurado, it made preparations to occupy that town, but issued orders to avoid any conflict. The incident gave occasion for an exchange of views between the Government of the United States, the American minister at Bogota, the Government of Colombia, and this legation. I am under instructions to request the withdrawal of the aforesaid forces, if they were there, and of the Panamanian authorities, and have so informed your excellency. But in view of the declarations of Panama, communicated to me by your excellency, to the effect that the occupation does not bear such features of gravity as had been believed, and that it

42112-S. Doc. 474, 63-2- -11

might be wiser to avoid incidents which might arouse public opinion in both countries at the very time when an effort was made to resume relations, I deemed it advisable to suggest to my Government the expediency of postponing the sending of forces to Jurado. In the meanwhile I gladly availed myself of an invitation I received from Señor Amador to an amicable conference in New York. Poor health prevented my going in person, but the secretary of the legation, Señor Guzman, and its counselor, Señor Pasos, went over. The last-named gentleman is an old personal friend of Señor Amador. The estimable secretary now in charge of the legation, Señor Arosemena, was present at the interviews, and it affords me pleasure to acknowledge the spirit of deference and friendship toward Colombia evinced by the two gentlemen at the conference.

From the outset, Señor Amador did not oppose the insertion in the treaty of certain explanatory clauses we might discuss. The first, which I mentioned to your excellency, is one by which it is made clear that, while Colombia recognizes the right of citizens of Panama to present private claims to the Colombian Government on account of incidents anterior to the recognition of independence, it is understood that the said claims shall be presented and received in accordance with the laws and administrative regulations in force in Colombia so that the citizens of Panama shall not be placed in a more faverable situation than the citizens of Colombia. Señor Amador and Señor Arosemena declared their readiness to accept this or a like explanatory addition to the protocol and found it fair and reasonable. The Jurado matter was taken up next. Señor Amador had no knowledge of your excellency's letter of the 26th of August, which was then made known to him and of which a copy was subsequently given him with the consent of your department.

Messrs. Guzman and Pasos have a strong impression that Messrs. Amador and Arosemena consider that letter to be practically decisive in respect of the boundary between Panama and Colombia.

After the letter had been made known to him, Señor Amador was told that the Government of Colombia would desire to have steps taken toward the withdrawal of the armed force and of the authorities from Jurado, as the Government wished to have its authority respected there now that the situation had been defined by the said letter.

Señor Amador opposed no difficulty to the evacuation, but added that he could not issue orders from here; that he would sail for Panama on the 19th instant, and offered to give immediately upon his arrival precedence to this matter, which he hoped to be able to bring to a satisfactory solution.

Messrs. Guzman and Pasos represented to Messrs. Amador and Arosemena that the Government of Colombia believed, although the clauses of the protocol did not contain anything concerning the demarcation of the boundary line, it would be mutually advantageous to law down the said demarcation for the following reasons: First. Because when the Colombian legation agreed, at your excellency's suggestion, not to mention the boundary question in the protocol it did so on account of Panama having advanced claims on this point to which it was absolutely impossible for the Colombian legation to assent, and, having received the State Department's letter

of the 26th of August, I thought that it practically settled any conflict that might hereafter arise on this point with Panama. But the Jurado incident has brought proof that in this the legation was mistaken, since other and similar possible conflicts may arise to-morrow, just as this one does to-day, and in the course of time, when the requirements and aims of commerce and industry in the Atrato region grow more exacting and acute, the possibility and danger of such conflicts and questions will grow larger, bringing out in full force the historical fact that an undefined boundary line is the most fruitful source of discord between bordering nations.

Second. Because the existence of the letter of August 26 makes it completely and absolutely impossible to carry out any attempt on the part of Panama to obtain Colombia's acceptance of any arrangement that would culminate in having the boundary defined as claimed by Panama. Hence the step which wisdom, foresight, and a spirit of fraternal harmony dictate seems to be that by which this vexatious question will be settled at once. And this can only be done by Panama accepting the boundary line recognized by the Government of the United States.

To the foregoing and other similar remarks Senor Amador, while he did not give his explicit assent, opposed no positive denial; he confined himself to saying that he would discuss the point with his . friends at Panama. Señor Arosemena declared that, in view of the situation created by the letter of August 26, if the American Government declared it its wish to have the said demarcation of the boundary accepted, Panama could have no choice but to acquiesce, and added that Mr. Buchanan had made some intimation in that sense.

The foregoing relates as briefly as possible the general points considered at the New York interview by Messrs. Guzman and Pasos, Amador and Arosemena. They have been stated orally by me to your excellency, and are now repeated in writing in order to put the ideas in a more permanent form and to enable your excellency to take them into consideration when the time comes to fix the concrete terms of the treaty.

In this respect I am now engaged in the preparation of a draft of the treaty which I shall send in due time to the Department of State and which will set forth the amended and explanatory clauses, which in the opinion of Colombia ought to be inserted therein. In conclusion, I have to represent to your excellency that the Government of Colombia attaches great importance to the demarcation of the boundary line, believing that its omission would arouse considerable excitement in the public opinion of the country, owing to the impression that, by leaving the point unsettled, fresh supply would be added to a source of possible and probable conflicts which would impede the establishment of that complete and fraternal harmony sincerely desired by us and prevent its strengthening and cementing, which, after what has taken place, demand an elevated spirit of conciliation and prudence.

I beg your excellency to be pleased to accept the assurances of my highest and most distinguished consideration.

ENRIQUE CORTES.

Colombian Minister to Secretary Root.

LEGATION OF COLOMBIA, Washington, D. C., December 28, 1907. SIR: I beg to refer to your honored communication of the 17th instant, No. 1502/60, to which you were good enough to accompany a copy of a draft treaty between Colombia and Panama submitted to the department by the chargé d'affaires ad interim of Panama.

As I had the honor to mention in my communication to you dated the 20th December, said draft required, in my opinion, certain alterations, the purport of which I detailed in my said communication.

In accordance with my letter above mentioned, I have the honor to submit a copy both in English and Spanish which I propose in lieu of the text submitted by Mr. Arosemena. My project adheres more closely to the words of the protocol and embodies certain explanations and additions. Regarding the latter, I beg to inclose an explanatory memorandum for your consideration, it being an extract of my train of argument in my above-mentioned letter.

I beg of you to give fair consideration to the subject, and have the honor to present the assurances of my high consideration.

ENRIQUE CORTES.

[Memorandum in explanation of the Columbian Legation draft of a treaty between Colombia and Panama as compared with the protocol of 17th August, 1907.]

THE INTRODUCTION OF THE PROTOCOL.

My draft conforms to the terms of the introduction.

Articles I and II of my draft conform to the terms of the protocol.

Article III conforms to my draft up to the words "to pay and discharge the same." Thenceforward my draft is worded thus:

and it agrees to indemnify and hold harmless the Republic of Panama, if occasion arises, from any liability toward the holders of such external and internal indebtedness.

instead of

and agrees to indemnify and hold harmless the Republic of Panama from any liability and expense in respect of such external and internal indebtedness.

My changes are of small importance, conforming to the previous words and suppressing the word "expense," which by its vagueness might give rise to posterior misunderstandings.

Furthermore, my draft explains the meaning of external debt, which, in Colombia, officially and commercially only refers to the foreign debt toward the foreign bondholders' committee, of London, there being no other indebtedness known under that name.

Article IV of the protocol: My draft adds the following proviso:

It is understood that such individual claims and rights as may have had their origin in occurrences anterior to the 3d of November, 1903. shall be adjusted in accordance with the legislation of the Republic to which they may be presented and by the tribunals or authorities of the same, so that in no case the claimants may enjoy greater privileges and advantages than the citizens of the Republic against which the claim is made.

The reason for this addition has been explained both to his excellency Mr. Root and to Señores Amador and Arosemena, who con