In an uncontested election in May, Dr. Jacinto B. Peynado, the personal candidate of his predecessor, Rafael Trujillo, was chosen President. His inauguration on August 16 marked the nominal retirement of the former dictator from power, but exiled opposition leaders, who are being urged to organize in a movement with Angel Morales, former Minister to the United States, as its head, have charged that his retirement was merely a subterfuge, forced by the border trouble with Haiti. This dispute was ended with the signing of an agreement on January 31.
In the spring the Dominican Republic submitted to the Pan American Union, with Colombia, a joint draft for an American League of Nations. It failed to receive consideration at the Eighth Pan American Conference at Lima (see PERU). The draft provided, also, for recognition of the jurisdiction of the Permanent Court of International Justice at The Hague.
The budget for 1938 estimates receipts at 11,693,770 pesos; expenditures at 11,682,279 pesos. For settlement of the Haitian-Dominican dispute see HAITI.
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