The Mexican Government, despite its denials, remained under the suspicion that it had secret dealings with Germany. Toward the close of 1916 circumstantial rumors were afloat that German sea raiders, who were then roaming the South Atlantic, had a base somewhere on the coast of Mexico. The Allied Powers were persuaded that if this was true the raiders could not obtain supplies from such a source without the knowledge or connivance of the Mexican authorities. The British charge at Mexico City thereupon presented a note to the Carranza Government stating that if it was discovered that Mexican neutrality had thus been violated, the Allies would take "drastic measures" to end the situation. The retort of the Mexican Foreign Minister, Senor Aquilar, almost insolent in tone, was to the effect that it was the business of the Allies to keep German submarines out of western waters, and that if they were not kept out Mexico would adopt whatever course the circumstances might dictate. An allusion has previously been made to a peace proposal submitted by General Carranza. Its character was such as to point to the presence of German influences in Mexico, and the impression was created that it was made solely to embarrass the United States. Shortly after the American severance of relations with Germany, General Carranza circulated an identical note to the neutral powers, including the United States, asking them to join Mexico in an international agreement to prohibit the exportation of munitions and foodstuffs to the belligerents in Europe. Such an embargo, General Carranza piously pointed out in florid terms, would compel peace. The inference was plain. Only the Central Powers would benefit by such a step. If the note was not directly inspired by German intrigue it certainly suggested to the other neutrals a practical union against the Entente Allies. The proposal was contrary to international law and to the principles of neutrality as laid down by the United States to the German and Austro-Hungarian Governments. The suspected complicity of Mexico as a tool of Germany, however, faded before the inconceivable folly of the latter in gravely proposing that Mexico should attempt to regain the "lost territories" of New Mexico, Arizona, and Texas. The American press was almost united in declaring that Germany had committed an act of war against the United States. Certainly her exposed machinations brought hostilities perceptibly nearer. CHAPTER LXV A STATE OF WAR