Word: chiari
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From the balcony of his presidential palace, Panama's Roberto F. Chiari addressed a milling crowd of 3,000 demonstrators. There will be no diplomatic relations with the U.S., he cried, until the Americans promise to negotiate a new Panama Canal treaty. "I will not deviate one instant from that position." In Washington, Secretary of State Dean Rusk assured U.S. Senators that there would be no negotiations with Panama ''under pressure or threat of violence." Through the tense and confused week, neither side budged; an OAS mediation team could do little more than keep an uneasy peace...
...sounded like an encouraging agreement. Under the arrangement, Panama would resume diplomatic relations with the U.S. "as quickly as possible," then within 30 days both countries would sit down to review "all existing matters" of conflict. But not long after the communique was broadcast, everything came unstuck. Claiming victory, Chiari announced that the U.S. was committed to renegotiate the original 1903 treaty. The U.S. vehemently denied this, held that the agreement was for "discussions" only, with nothing promised in advance...
...last, Chiari took to the radio pleading for order and telling Panamanians not to listen "to demagogic incitement by certain agitators." He contacted General O'Meara, asking him to suspend the U.S. anti-sniper fire, promising that Panamanian troops would deal with the snipers. Three U.S. G.I.s had already been killed, 85 wounded; the Panamanians claimed about 300 casualties, including 20 dead-and blamed the U.S. for them...
...Just Indemnification." When the U.S. mission headed by Tom Mann arrived in Panama, along with an O.A.S. mediation commission, Chiari was demanding "just indemnification" for damages and assurances that the U.S. "will never again unloose similar actions of aggression against a weak and innocent people." He denounced the 1903 treaty and all subsequent pacts under which the U.S. has "perpetual" rights to the Canal Zone. Nothing less than "complete revision" of the entire operation would lead Panama to resume diplomatic relations...
...then, the U.S. has offered higher wages for Panamanian workers and half a dozen other concessions-along with twin flags as evidence of Panama's "titular sovereignty" over the Zone. But that satisfied neither Panama nor oldline U.S. residents, who feared that it would undercut their privileged position. Chiari has not yet spelled out his precise demands. But he surely will ask for greater control over the Zone and a vastly increased share of the revenues-he once mentioned $10 million a year...