DECLASSMED real aim of the Conservatives is to overthrow the President, and that they hope to accomplish this by forcing the Government to annul the Labor Code. Such action, it contends, would naturally force the workers into opposition to the administration, at which time Picado would allegedly be at the mercy of the reactionaries. While this is doubtless an extreme interpretation, it is common knowledge that the Right would like nothing better than to break up the alliance between Picado and Mora.
Being once more forced into a position where he had to take a stand of some sort, President Picado issued a statement, published in LA TRIBUNA of November 26, in which he reiterated his desire to work for national unity and to favor the interests of no one class at the expense of another. He gave as his opinion that the two points of view were not irreconciliable, and stated that he believed that the inequities of the Code might be remedied without there by removing Labor guarantees of justice.
Until and unless some new facts bearing on the situation are brought to light, it is the Embassy opinion that the controversy over the Labor Code at present is largely one of a political nature. Minister of Agriculture Peralta, who seems to be at least receptive to the idea of modifying existing legislation, is believed to be flirting with prominent agriculturists and capitalists with a possible view to becoming a presidential candidate himself. As for the Labor element, it is known that they are somewhat apprehensive about the President sincerity in the promulgation and strengthening of social legislation, and it is obvious that they cannot stand by and see their gains nullified. The President attitude, of course, is one of trying to conciliate both factions and lose the support of neither, and he will doubtless attempt to find some solution which will be in the nature of a compromisen puu Another recent event which has been much commented upon in political circles was the announcement that a new paper was shortly to be established in Costa Rica.
The interest of René Picado in this enterprise was reported in the embassy despateh No. 1845 of September 8, 2944, and it now appears that José Joaquin Peralta is also to be a backer of the paper. Señor Picado is said to have made arrangements for buying a modern press while on his recent trip to the United States, and negotiations are now being carried on to form a start to manage the pa per. While don René insists that his only interest in starting such an enterprise is that he considers it a good investment, it is obvious that a successPul venture would be a considerable political asset to the administration. There have been consistent rumors to 8190379 844 the