A DEFAULTING STATE.

Colonist, Volume LV, Issue 13724, 15 May 1913, Page 5

A DEFAULTING STATE.

BRITISH CLAIM AGAINST

GUATEMALA

Kingston, May 13

Tho cruiser Aeolus has sailed to enforce the British claims against Guatemala. The latter has appealed to Washington, but it is understood that Mr Bryan will not support any American country in repudiating her just debts.

Only four States in the world are in default to their bondholders. These are, besides the South American republics of Guatemala and Honduras, two of the Southern States of the American Union, viz., North Carolina and Mississippi, with repudiated debts of twelve and seven million dollars respectively. The two latter endeavoured to borrow further last year. Guatemala's external debt last year amounted to £2,19-1,544, including interest unpaid to December 31st 1910, of £711,744. Tho regular service of tho loan has been suspended since 1899.