.

Third. That he [the President] is therefore compelled to bring the case
back to the position taken by this Government in the note of Mr. Wharton
of October 23 last * * * and to ask for a suitable apology and for some
adequate reparation for the injury done to this Government.

In the same note the attention of the Chilean Government was called to
the offensive character of a note addressed by Mr. Matta, its minister
of foreign affairs, to Mr. Montt, its minister at this capital, on the
11th ultimo. This dispatch was not officially communicated to this
Government, but as Mr. Montt was directed to translate it and to give
it to the press of the country it seemed to me that it could not pass
without official notice. It was not only undiplomatic, but grossly
insulting to our naval officers and to the executive department, as it
directly imputed untruth and insincerity to the reports of the naval
officers and to the official communications made by the executive
department to Congress. It will be observed that I have notified the
Chilean Government that unless this note is at once withdrawn and an
apology as public as the offense made I will terminate diplomatic
relations.

The request for the recall of Mr. Egan upon the ground that he was not
_persona grata_ was unaccompanied by any suggestion that could properly
be used in support of it, and I infer that the request is based upon
official acts of Mr. Egan which have received the approval of this
Government. But however that may be, I could not consent to consider
such a question until it had first been settled whether our
correspondence with Chile could be conducted upon a basis of mutual
respect.

In submitting these papers to Congress for that grave and patriotic
consideration which the questions involved demand I desire to say that
I am of the opinion that the demands made of Chile by this Government
should be adhered to and enforced. If the dignity as well as the
prestige and influence of the United States are not to be wholly
sacrificed, we must protect those who in foreign ports display the flag
or wear the colors of this Government against insult, brutality, and
death inflicted in resentment of the acts of their Government and not
for any fault of their own. It has been my desire in every way to
cultivate friendly and intimate relations with all the Governments of
this hemisphere. We do not covet their territory. We desire their peace
and prosperity