CHILE: Damned Yankees

Few politicos are more deft than wary old President Arturo Alessandri, “The Lion” who emerged triumphant from that spate of revolutions which gave Chile six Presidents in 18 months (TIME, Sept. 26, 1932 et seq.).

A keen judge of his people, Don Arturo knows that hard, secretive Chileans viewed with distaste the open revelations openly arrived at by the U. S. Senate munitions investigation (TIME, Sept. 2). Last week Santiago quietly approved as “The Lion” got back at Washington with a shrewd thrust. Several U. S. aircraft firms were bidding against British rivals for contracts which will increase the strength of planes in Chile’s Air Force by nearly 50%.

Abruptly the Defense Ministry announced that no bid could be entertained from any firm which had had its papers snooped into and its secrets disclosed by U. S. Senate investigators. Haughtily a Chilean spokesman said: “In this so-called investigation Chilean officers were libeled.”

When the bids were opened considerations of price apparently went by the board. On “technical grounds” the Chilean Government decided to buy British. At one clip some $500,000 worth of orders were lost to U. S. firms. As a minuscule sop, the Defense Ministry admitted that Chile probably will buy from theU. S. spare parts for the U. S. planes she already has and intends to buy several U. S. Fairchild airplane cameras. As delighted British salesmen stood drinks all around Chilean officers growled, “This may teach the damned Yankees a lesson.”