HONDURAS

Problems

      The foreign investment problems in Honduras were similar to Nicaragua.
First and foremost, Zeleya had seized power over much of the region, and had
frustrated American diplomats and traders alike.
     In Honduras however, the US had a couple of factors on their side. For one
a great majority of the nations people were against the recently empowered Zeleya.
His illegal emergence to power over former president Manuel Bonilla had not
helped the state of the country. Moreover, his embargo's on trade hurt his country's
traders.
     By this, former president Manuel Bonilla became furious. Soon, Bonilla became
favorable to US interests if they help him recover power.
 

                  
                    (click to enlarge)
 

US Action

     The United States took several actions in terms of allowing itself a tighter grip over
the banana trade in Honduras. This was conducted through a tightening of its position
in Honduran Governmental strength, as well as an implementation of mercenaries to the
region.
     For instance, the US was well aware of the fact that the Honduran North Coast had
been dominated by railroads, and therefore, the US was able used that as a precursor to
further involvement. American Lee Christmas became a key instrument for American
interests through his knowledge of the Honduran situation because of his RR entrepren-
eurship. Using Christmas as a mechanism for pro- American Honduran Leadership,
US diplomats successfully declared neutrality in the La Cieba region (see above map)
     At this time, the US found a suitable Honduran leader in Manuel Bonilla, who would
rule in their interests in much the same way Estrada had in Nicaragua. In fact, like Estrada,
Bonilla had even sat in the ruling position of his country (from 1904 to 1907) before an
invasion threw him out of power.
     Supported by US interests however, Bonillas return would be unrivaled. By 1910,
business leaders began uniting under Lee Christmas, dedicated to the restoration of
Bonilla. In order for the proper removal of Zeleya, the US saw fit for an entire invasion
of La Cieba. There, in July of 1910, Christmas led a group of mercenaries in his boat,
"the hornet."

Result:

    By February of 1911, victory to Bonilla became ensured. Zeleya was ousted,
and trading was restored to American entreprenuerships.