VENEZUELA’S DEFIANCE.

Gisborne Times, Volume VIII, Issue 698, 18 December 1902, Page 2

VENEZUELA’S DEFIANCE.

EACH ALLY RESPONSIBLE EXCLUSIVELY.

By Telegraph—PreßS Association—Copyright London, Dee. 16. Lord Lansdowno stated that Castro’s reply did not alludo definitely to tho ultimatum, hut declared that directly internal peaco was assured it would bo unnecessary to remind Venezuela of hor obligations. Tho Treasury meanwhilo was empty. Since then Castro had suggested, through Mr Hay, that tho Allies should submit to arbitration tho method of settling tho claims arising from tho insurrection. This was under tho Government's consideration.

Mr Balfour stated that although the Allies wero acting jointly, each was responsible for its own measures exclusively. Viscount Cranbourno statod that Ger. many explains that the sinking of tho two vessels was a matter of necessity. A Reuter despatch announces that Italy is now co operating in tho Venezuelan blockade.

A semi-official explanation, published at Berlin, alleges that tho two vessels sunk were worthless and unscaworthy, and it was impossible to tow them to Trinidad. It was inexpedient to let them drift.

Sir H. C. Bannerman elicited from Mr Balfour that the real crux of tho question was tho outrageous manner in which Venezuela had repeatedly invaded tho rights of British seamen and ship-owners. Mr Balfour added that the financial claim was not the main origin or justification of the action of the Government.

It is announced that Germany was the instigator of the joint action, whilst Lord Lansdowne suggested they should sei’za tha gunboats at the outset in pursuance of the advice of Admiral Douglas. General Matos declined to co-operate with Castro.

Tho Venezuelan warship Miranda be, escaped, and the German cruiser Pantbe is chasing her towards Maracaibo, ana threatening the Maracaibo forts.

Rome, Dec. 16. -Signor Prinetti, Foreign Minister, informed the Chamber of Deputies that Italy had not lost time in associating herself with the Allies, who received Italy's proposal to co-operate favorably. New York, Dec. 16. The Orinocco has been declared open to all except Venezuelan vessels. A majority of the released rebels are rejoining Matos.

Mr Hay informed Germany that Ameri. can ships shoulu not be interfered with unless all shipping were inhibited owing to the blockade. He disapproved of stopping any,