VIRTUAL STATE OF WAR

Taranaki Daily News, 1 August 1932, Page 7

VIRTUAL STATE OF WAR

BOLIVIA AND PARAGUAY DISPUTE A CENTURY OLD declaration likely soon POSSESSION OF GRAN CHACO By Telegraph—Press Assn. —Copyright. Rec. 6 p.m. New York, July SO. The century-old boundary dispute between Paraguay and Bolivia over the possession of Gran Chaco, a vast wilderness between the inhabited parte of the two republics, apparently reached a virtual state of war to-day, according to reports received at Buenos Aires, says a correspondent of the New York Times. It is believed a formal declaration of war is a matter of hours. Frdm Asunchion and La Paz, the respective capitals, tame reports of several minor engagements over the possession of forts within the area, in which several were killed and injured. A warlike spirit is prevailing in both countries, where there have been heavy enBstmente, subscriptions of money and supplies.

. Bolivia's demands include an outlet to the Atlantic via the Paraguay River. It insists further that mediation by neutral countries is futile.

Although admittedly inferior in military equipment Paraguay is apparently determined to defend its position. According to reports Bolivia has 50,000 well-trained men, equipped with modern arms and ready for action.