“Let me explain. The Republic of Costaveza is now in a state of revolution.”

The boys nodded.

“The United States government is not friendly to the rebels, but dare not show zat this ees the case. It would not be consistent with her policies to interfere.”

“Well, what’s all this got to do with us?” asked Ned in the same direct way. He was growing to like the mysterious manner of the stranger less and less.

“Wait a moment, and you will see. In Costaveza there are, however, many very important American interests—mining, lumber, asphalt and so on. In the event of the rebels gaining power—which Heaven soon send—the policy of the new government would be Costaveza for the Costavezans. You follow me?”

“You mean that if the rebellion succeeds the property of the Americans, which they have paid for and developed, will be confiscated. Is that it?” questioned Ned.

“Exactly. Now, as I said, the United States dares not openly interfere. Her treaties with other nations prevent that. But just the same, she wishes to look after her citizens.”

“You bet she does,” put in Herc fervently.

“Now, the rebels are well armed. They have modern guns and equipment of every kind. Where has this been coming from?”

“Search me,” blurted out Herc, on whose freckled countenance the other’s dark eyes had fixed themselves.