The United Fruit Company (later the United Brands Company ) was an American multinational corporation that traded in tropical fruit (primarily bananas) grown on Latin American plantations and sold in the United States and Europe. The company was formed in 1899 from the merger of the Boston Fruit Company with Minor C. Keith 's banana-trading enterprises. It flourished in the early and mid-20th century, and it came to control vast territories and transportation networks in Central America, the Caribbean coast of Colombia , and the West Indies . Although it competed with the Standard Fruit Company (later Dole Food Company ) for dominance in the international banana trade, it maintained a virtual monopoly in certain regions, some of which came to be called banana republics – such as Costa Rica , Honduras , and Guatemala .
220-702: The period in the history of Guatemala between the coups against Jorge Ubico in 1944 and Jacobo Árbenz in 1954 is known locally as the Revolution ( Spanish : La Revolución ). It has also been called the Ten Years of Spring , highlighting the peak years of representative democracy in Guatemala from 1944 until the end of the civil war in 1996. It saw the implementation of social, political, and especially agrarian reforms that were influential across Latin America . From
440-676: A U.S.-backed coup that ousted Árbenz and installed a military regime. This regime's rise initiated a period of military governments, culminating in a civil war from 1960 to 1996. The conflict was marked by severe human rights violations , including the Guatemalan genocide of the indigenous Maya by the military. After the war ended, Guatemala re-established a representative democracy but has since struggled with high crime rates and ongoing extrajudicial killings, often carried out by security forces. The earliest human settlements in Guatemala date back to
660-645: A hostile takeover . Zemurray moved the company's headquarters to New Orleans, Louisiana, where he was based. United Fruit went on to prosper under Zemurray's management; Zemurray resigned as president of the company in 1951. In addition to many other labor actions, the company faced two major strikes of workers in South and Central America, in Colombia in 1928 and the Great Banana Strike of 1934 in Costa Rica. The latter
880-474: A 1% increase in probability of being poor in 2011 since 1973 compared to the 0.73% lower probability on a UFCo location. A strike by United Fruit workers broke out on 12 November 1928 near Santa Marta on the Caribbean coast of Colombia. On December 6, Colombian Army troops allegedly under the command of General Cortés Vargas opened fire on a crowd of strikers in the central square of Ciénaga . Estimates of
1100-679: A base near Tecpán on 25 July 1524. From there, he led several campaigns to other cities, including Chuitinamit, the capital of the Tzutuhils (1524); Mixco Viejo , capital of the Poqomam ; and Zaculeu , capital of the Mam (1525). He was named captain general in 1527. Having secured his position, Alvarado turned against his allies, the Kaqchikels, confronting them in several battles until they were subdued in 1530. Battles with other tribes continued until 1548, when
1320-430: A company's investment is largely self-contained for its employees and overseas investors and the benefits of the export earnings are not shared with the host country. One of the company's primary tactics for maintaining market dominance was to control the distribution of arable land. UFCO claimed that hurricanes, blight and other natural threats required them to hold extra land or reserve land. In practice, what this meant
1540-462: A contract with the government of Costa Rica to build a railroad connecting the capital city of San José to the port of Limón in the Caribbean . Meiggs was assisted in the project by his young nephew, Minor C. Keith , who took over Meiggs's business concerns in Costa Rica after his death in 1877. Keith began experimenting with the planting of bananas as a cheap source of food for his workers. When
1760-485: A country with numerous social and economic issues. Despite Ubico's policy of using unpaid labor to build public roads, internal transport was severely inadequate. 70% of the population was illiterate, and malnutrition and poor health were widespread. The wealthiest 2% of landowners owned nearly three quarters of agricultural land, and as a result less than 1% was cultivated. The indigenous peasants either had no land, or had far too little to sustain themselves. Three quarters of
1980-856: A criollo caudillo like Morazán who could crush the peasant rebellion. Morazán used the proceeds to support Los Altos and then replaced Valenzuela with Mariano Rivera Paz , a member of the Aycinena clan. However, Rivera Paz did not return any property confiscated in 1829. In retaliation, Juan José de Aycinena y Piñol voted for the dissolution of the Central American Federation in San Salvador shortly thereafter, forcing Morazán to return to El Salvador to defend his federal mandate. On his way, Morazán increased repression in eastern Guatemala as punishment for aiding Carrera. Knowing that Morazán had gone to El Salvador, Carrera attempted to capture Salamá with
2200-510: A day, to prevent other workers from demanding higher wages. The company also virtually owned Puerto Barrios , Guatemala's only port to the Atlantic Ocean, allowing the company to make profits from the flow of goods through the port. By 1950, the company's annual profits were US$ 65 million, twice the revenue of the Guatemalan government. Due to its long association with Ubico's government,
2420-585: A decline brought about by a drought-induced famine. Scientists debate the cause of the Classic Maya Collapse, but the Drought Theory —discovered through the study of lake beds, ancient pollen, and other tangible evidence by physical scientists—has gained traction. In 2018, archaeologists revealed 60,000 previously uncharted structures in northern Guatemala using Lidar technology. This project applied Lidar across an area of 2,100 square kilometres in
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#17328453995262640-661: A defense plan, leaving his brother Sotero in charge of troops who offered only slight resistance in the city. Carrera pretended to flee, leading his ragtag army to the heights of Aceituno with few men, rifles, and two old cannons. The city was left at the mercy of Morazán's army, with bells from twenty churches ringing for divine assistance. Once Morazán reached the capital, he took it easily and freed Guzman, who immediately went to Quetzaltenango to announce Carrera's defeat. Carrera, exploiting his enemies' assumptions, concentrated fire on Central Park and employed surprise attack tactics, causing heavy casualties to Morazán's army and forcing
2860-463: A democratic government could survive in the region. He approached several leaders of democratic Central American countries, but was rejected by all except Castañeda Castro , the president of El Salvador. The two leaders began talks to build a union, and set up several commissions to look into the issue. In late 1945 they announced the formation of the union, but the formalization of the process got delayed by internal troubles in both countries, and in 1948
3080-412: A dictator between 1931 and 1944, this process was intensified, with the institution of harsh labor regulations and a police state . In June 1944, a popular pro-democracy movement led by university students and labor organizations forced Ubico to resign. He appointed a three-person military junta to take his place, led by Federico Ponce Vaides . This junta continued Ubico's oppressive policies, until it
3300-480: A firm known to be hawkish, which produced a 235-page report that was highly critical of the Guatemalan government. Historians have stated that the report was full of "exaggerations, scurrilous descriptions and bizarre historical theories". The report nonetheless had a significant impact on the Congressmen that it was sent to. Overall, the company spent over a half-million dollars to influence both lawmakers and members of
3520-466: A flood of exiled El Salvadorian revolutionaries moving to Guatemala. This coincided with a series of protests at the university in Guatemala City . Ubico responded by suspending the constitution on 22 June 1944. The protesters, who by this point included many middle-class members in addition to students and workers, called for a general strike, and presented an ultimatum to Ubico the next day, demanding
3740-533: A hard life for a company "far away", and whose accompanying video depicted orange groves worked by peasants overseen by wealthy managers. The lyrics and scenery are generic, but United Fruit (or its successor Chiquita) was reputedly the target. US Secretary of State John Foster Dulles and his law firm of Sullivan & Cromwell negotiated land giveaways to the United Fruit Company in Guatemala and Honduras. John Foster Dulles's brother, Allen Dulles , who
3960-449: A harsh conservative regime in place of the liberals. He summoned all council members and warned them that while he was lenient this time, there would be no mercy if they defied him again. Finally, Guzmán and the head of state of Los Altos, Marcelo Molina, were sent to the capital of Guatemala, where they were displayed as trophies of war during a triumphant parade on 17 February 1840; Guzmán was shackled, still with bleeding wounds, and riding
4180-696: A member of the Federal Republic of Central America , and upon the Republic's dissolution in 1841, it gained full independence. In the late 19th and early 20th centuries, foreign agricultural companies, particularly the United Fruit Company (UFC), were drawn to Guatemala. These companies were bolstered by the country's authoritarian rulers and support from the U.S. government , which enforced harsh labor regulations and granted vast concessions to wealthy landowners. The oppressive policies of Jorge Ubico led to
4400-477: A mixture of earth and clay. To the west, there is a 10-metre-tall earthen mound. Remains of other structures and reservoirs were also detected using Lidar technology. The site is estimated to have been built between 1000 and 800 BC, demonstrating that the Maya constructed large, monumental complexes from their early period. The Classic period of Mesoamerican civilisation corresponds to the height of Maya civilisation and
4620-485: A mule. On 18 March 1840, liberal caudillo Morazán invaded Guatemala with 1,500 soldiers to avenge the insult done in Los Altos. Fearing that this action might end liberal efforts to maintain the Central American Federation, Guatemala established a cordon of guards along the border with El Salvador. Without a telegraph service, messengers carried last-minute updates. With the information from these messengers, Carrera devised
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#17328453995264840-432: A naval blockade around the country. It also involved dropping leaflets by airplane through the country, and carrying out a radio broadcast entitled "The Voice of Liberation" which announced that Guatemalan exiles led by Castillo Armas were shortly about to liberate the country. The military force led by Castillo Armas attempted to make forays towards the towns of Zacapa and Puerto Barrios; however, these were beaten back by
5060-503: A peaceful resolution, but the people of Los Altos, protected by the recognition of the Central American Federation Congress, refused to negotiate. The Guatemalan government then resorted to force, sending Carrera as commanding general of the army to subdue Los Altos. Carrera defeated General Agustín Guzmán when the former Mexican officer attempted to ambush him and then proceeded to Quetzaltenango , where he imposed
5280-575: A peasant. With Salazar gone, Carrera reinstated Rivera Paz as head of state of Guatemala. On 2 April 1838, in the city of Quetzaltenango , a secessionist group founded the independent State of Los Altos , which sought independence from Guatemala. The most prominent members of the Liberal Party of Guatemala and liberal opponents of the conservative regime moved to Los Altos, leaving their exile in El Salvador. The liberals in Los Altos began to criticize
5500-453: A popular uprising in 1944, sparking the ten-year Guatemalan Revolution . During the presidencies of Juan José Arévalo and Jacobo Árbenz , the country experienced wide-ranging social and economic reforms, including a successful agrarian reform program and increased literacy. The progressive reforms of Arévalo and Árbenz alarmed the UFC , which lobbied the U.S. government to intervene. This led to
5720-536: A promising host export-driven economy. The Agrarian Law would grant international, multinational companies leniency in tax regulations along with other financial incentives. Acquiring the first railroad concession from liberal President Miguel R. Dávila in 1910, the Vaccaro brothers and Company helped set the foundation on which the banana republic would struggle to balance and regulate the relationships between American capitalism and Honduran politics. Samuel Zemurray ,
5940-501: A reputation for being a highly efficient government bureaucracy, and the United States government, Árbenz's biggest detractor, did not have anything negative to say about it. The loans had a high repayment rate, and of the $ 3,371,185 handed out between March and November 1953, $ 3,049,092 had been repaid by June 1954. The law also included provisions for nationalization of roads that passed through redistributed land, which greatly increased
6160-460: A scheme for the solution of the participants' cash flow problems and was in the process of implementing it. The merger formed the United Fruit Company, based in Boston, with Preston as president and Keith as vice-president. Palmer became a permanent member of the executive committee and for long periods of time the director. From a business point of view, Bradley Palmer was United Fruit. Preston brought to
6380-525: A shipment of weapons on a vessel owned by the United Fruit Company, and the operation was paid for by Rafael Trujillo and Marcos Pérez Jiménez , the right-wing anti-communist dictators of the Dominican Republic and Venezuela, respectively. The operation was to be led by Carlos Castillo Armas. However, the US state department discovered the conspiracy, and secretary of state Dean Acheson persuaded Truman to abort
6600-483: A significant source of income for the government. As a result, the state supported the coffee growers by passing legislation that took land away from the Indian population, as well as relaxing labor laws so that bonded labor could be used on the plantations. The US-based United Fruit Company (UFC) was one of many foreign companies that acquired large tracts of both state land and indigenous land. Manuel Estrada Cabrera , who
6820-616: A small-sized American banana entrepreneur, rose to be another contender looking to invest in the Honduran agricultural trade. In New Orleans , Zemurray found himself strategizing with the newly exiled General Manuel Bonilla (nationalist ex-president of Honduras 1903–1907, 1912–1913) and fomented a coup d'état against President Dávila. On Christmas Eve, December 1910, in clear opposition of the Dávila administration, Samuel Zemurray, U.S. General Lee Christmas , and Honduran General Manuel Bonilla boarded
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7040-531: A substantial amount of U.S. capital to build a progressive infrastructure in Honduras. The granting of land ownership in exchange for the railroad concession started the first official competitive market for bananas and giving birth to the banana republic . Cuyamel Fruit Company and the Vaccaro Bros. and Co. would become known as being multinational enterprises. Bringing western modernization and industrialization to
7260-565: A superior position and decisively defeated the federal forces. The battlefield was littered with corpses, and the allies captured numerous prisoners and weapons. They continued to reclaim their previous positions in San José Pinula and Aceituno and laid siege to Guatemala City once again. General Verveer, the ambassador from the King of the Netherlands and Belgium, who was in Guatemala to negotiate
7480-508: A tremendously positive reception. The freedom of press guaranteed in the new constitution also drew much attention to the brutal working conditions in Guatemala City. From the beginning, the new unions that were formed fell into two camps, those that were communist and those that were not. The repressive policies of the Ubico government had driven both factions underground, but they re-emerged after
7700-587: A university in Argentina, where he earned a doctorate in the philosophy of education. He returned to Guatemala in 1934, and sought a position in the Ministry of Education. However, he was denied the position he wished for, and felt uncomfortable under the dictatorship of Ubico. He left the country and held a faculty position in Argentina until 1944, when he returned to Guatemala. In July 1944 the Renovación Nacional ,
7920-435: A whole had a huge positive impact on worker rights in the country, including raising the average wages by a factor of three or more. The Arévalo government attempted to support democratic ideals abroad as well. One of Arévalo's first actions was to break diplomatic relations with the government of Spain under dictator Francisco Franco . At two inter-American conferences in the year after his election, Arévalo recommended that
8140-420: A widely successful literacy campaign and a largely free election process, although illiterate women were not given the vote and communist parties were banned. Following the end of Arévalo's presidency in 1951, Jacobo Árbenz was elected to the presidency in a landslide. The progressive military leader of 1944 continued Arévalo's reforms, and began an ambitious land-reform program, known as Decree 900 . Under it,
8360-682: Is divided into three periods: the Preclassic period (2000 BC to 250 AD), the Classic period (250 to 900 AD), and the Postclassic period (900 to 1500 AD). Until recently, the Preclassic period was considered formative, with small villages of farmers living in huts and few permanent structures. However, this view has been challenged by recent discoveries of monumental architecture from that era, such as an altar at La Blanca , San Marcos , dating to 1000 BC; ceremonial sites at Miraflores and El Naranjo from 801 BC;
8580-402: Is in revolt; military who have orders 'not to spare ammunition' have already killed and wounded about fifty strikers. Government now talks of general offensive against strikers as soon as all troopships now on the way arrive early next week. The dispatch from U.S. Bogotá Embassy to the U.S. Secretary of State, dated December 29, 1928, stated: I have the honor to report that the legal advisor of
8800-759: Is now Mexico. In 1697, the Spanish finally conquered Nojpetén , capital of the Itza Maya , and Zacpetén , capital of the Kowoj Maya. Due to Guatemala's location on the Pacific American coast, it became a trade node in commerce between Asia and Latin America, serving as a supplementary trade route to the Manila Galleons . In 1821, with Fernando VII's power in Spain weakened by French invasions and other conflicts, Mexico declared
9020-501: Is represented by numerous sites throughout Guatemala. The largest concentration is found in Petén . This period is characterised by expanded city-building, the development of independent city-states , and contact with other Mesoamerican cultures. It lasted until around 900 AD, when the Classic Maya civilisation collapsed. The Maya abandoned many cities in the central lowlands, possibly due to
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9240-525: The Escuela Claridad, or the Clarity School, which taught reading, writing, and also helped organize unions. Six months after the school was established, President Arévalo closed the school down, and deported all the leaders of the movement who were not Guatemalan. However, the communist movement survived, mostly by its dominance of the teachers' union. Arévalo's response toward the non-communist unions
9460-588: The Hornet to a Honduran straw buyer on the island to avoid falling foul of the Neutrality Act . After successfully attacking the port of Trujillo, the Hornet unexpectedly encountered the U.S. gunboat Tacoma and was towed back to New Orleans. The nascent revolution continued apace, Zemurray's media contacts having spread the word in advance. President Dávila was forced to step down, with Francisco Bertrand becoming interim president until General Bonilla handily won
9680-486: The Livingston Code (penal code of Louisiana ). Gálvez did this against much opposition from the population who were not used to the fast pace of change; he also initiated judicial reform, reorganized municipal government, and established a general head tax which severely impacted the native population. However, these were all changes that the liberals wanted to implement to eliminate the political and economic power of
9900-645: The Maya Biosphere Reserve in the Petén region of Guatemala. The new findings suggest that 7–11 million Maya people inhabited northern Guatemala during the late classical period from 650 to 800 AD, twice the estimated population of medieval England. Lidar technology digitally removed the tree canopy to uncover ancient remains, showing that Maya cities, such as Tikal , were larger than previously thought. The technology revealed numerous houses, palaces, elevated highways, and defensive fortifications. According to archaeologist Stephen Houston, it represents one of
10120-624: The Maya civilization (2600 BC – 1697 AD), with the country's modern history beginning with the Spanish conquest of Guatemala in 1524. By 1000 AD, most of the major Classic-era (250–900 AD) Maya cities in the Petén Basin , located in the northern lowlands, had been abandoned. The Maya states in the Belize central highlands continued to thrive until the Spanish conquistador Pedro de Alvarado —called "The Invader" by
10340-635: The Mexican Empire under Agustín de Iturbide , due to its conservative and ecclesiastical nature. In October 1826, Central American Federation president Manuel José de Arce y Fagoaga dissolved the Legislature and attempted to establish a Unitarian System for the region, shifting from the Liberal to the Conservative party led by Aycinena. The rest of Central America rejected this system and sought to remove
10560-593: The National Renovation Party and the PAR were both openly hostile to Arana, while a small fragment of the Popular Liberation Front split off to support him. The leftist parties decided to back Árbenz instead, as they believed that only a military officer could defeat Arana. On 16 July 1949, Arana delivered an ultimatum to Arévalo, demanding the expulsion of all of Árbenz's supporters from the cabinet and
10780-834: The Paleo-Indian period and were inhabited by hunters and gatherers. Sites from around 6500 BC have been discovered in the Quiché department in the Highlands, as well as in Sipacate and Escuintla on the central Pacific coast. It is uncertain when these hunter-gatherer groups transitioned to agriculture, but pollen samples from the Petén region and the Pacific coast indicate maize cultivation as early as 3500 BC. By 2500 BC, small settlements were emerging in Guatemala's Pacific lowlands, in areas such as Tilapa, La Blanca , Ocós, El Mesak, and Ujuxte , where
11000-718: The Plan de Iguala . This led Mariano Aycinena y Piñol, the criollo leader, and the Captain General of the Kingdom of Guatemala, Gabino Gaínza Fernandez de Medrano , to declare Guatemala and the rest of Central America as an independent entity on 15 September 1821. Aycinena y Piñol was one of the signatories of the Declaration of Independence of Central America from the Spanish Empire . He strongly lobbied for Central America's annexation to
11220-639: The Q'eqchi' in Nueva Sevilla, Izabal , were defeated, leaving the Spanish in complete control of the region. Not all native tribes were subdued through violence; Bartolomé de las Casas pacified the Kekchí in Alta Verapaz without bloodshed. After more than a century of colonisation, mutually independent Spanish authorities in Yucatán and Guatemala made various attempts to subjugate Petén and neighbouring parts of what
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#173284539952611440-407: The Spanish invasion in 1524 , the population of Guatemala was almost exclusively Maya . The Spanish conquest created a system of wealthy European landowners overseeing a labor force composed of slaves and bonded laborers . However, the community lands of the indigenous population remained in their control until the late 19th century. At this point, rising global demand for coffee made its export
11660-602: The U.S. Securities and Exchange Commission exposed a scheme by United Brands (dubbed Bananagate ) to bribe Honduran President Oswaldo López Arellano with $ 1.25 million, plus the promise of another $ 1.25 million upon the reduction of certain export taxes. Trading in United Brands stock was halted, and López was ousted in a military coup. After Black's suicide, Cincinnati -based American Financial Group , one of billionaire Carl Lindner, Jr. 's companies, bought into United Brands. In August 1984, Lindner took control of
11880-659: The United Brands Company . United Fruit had far less cash than Black had counted on, and Black's mismanagement led to United Brands becoming crippled with debt. The company's losses were exacerbated by Hurricane Fifi in 1974, which destroyed many banana plantations in Honduras . On February 3, 1975, Black committed suicide by jumping out a window from the 44th floor of the Pan Am Building in New York City. Later that year,
12100-409: The fascist leaders of Europe, such as Francisco Franco and Benito Mussolini . However, he saw the United States as an ally against the supposed communist threat of Mexico. He made a concerted effort to gain American support; when the US declared war on Germany and Japan in 1941, Ubico followed suit, and acting on American instructions arrested all people of German descent in Guatemala. He permitted
12320-443: The plantation lobby and exempted plantations from this provision. The code also required plantation owners to construct primary schools for the children of their workers, and expressed a general commitment to "dignifying" the position of workers. Although many of these provisions were never enforced, the creation of administrative mechanisms for this law in 1948 allowed several of its provisions to be systematically enforced. The law as
12540-470: The wealth gap as well as the collusion between the profiting Honduran government officials and the U.S. fruit companies (United Fruit Co., Standard Fruit Co., Cuyamel Fruit Co.) versus the Honduran working and poor classes. Due to the exclusivity of the land concessions and lack of official ownership documentation, Honduran producers and experienced laborers were left with two options to regain these lands— dominio util or dominio pleno. Dominio util —meaning
12760-436: The 1930s the company owned 3.5 million acres (14,000 km ) of land in Central America and the Caribbean and was the single largest land owner in Guatemala. Such holdings gave it great power over the governments of small countries. That was one of the factors that led to the coining of the phrase " banana republic ". In 1933, concerned that the company was mismanaged and that its market value had plunged, Zemurray staged
12980-555: The 1930s – was Secretary of State under Eisenhower; his brother Allen, who did legal work for the company and sat on its board of directors, was head of the CIA under Eisenhower; Henry Cabot Lodge , who was America's ambassador to the UN, was a large owner of United Fruit stock; Ed Whitman, the United Fruit PR man, was married to Ann Whitman, Dwight Eisenhower's personal secretary. You could not see these connections until you could – and then you could not stop seeing them. The United Fruit Company (UFCO) owned huge tracts of land in
13200-416: The 1950 elections in return for a promise to refrain from a coup. Arana's support began to be solicited by the landed elite, who felt threatened by Arévalo's reforms. Arana, who was not initially inclined to get involved with politics, began to make occasional statements against the government. In the 1948 parliamentary election , he backed a number of opposition candidates, all of whom were defeated. By 1949
13420-458: The 550,000 acres (220,000 ha) that the company owned, 15% were being cultivated; the rest of the land, which was idle, came under the scope of the agrarian reform law. The United Fruit Company responded with intensive lobbying of members of the United States government, leading many US congressmen and senators to criticize the Guatemalan government for not protecting the interests of the company. The Guatemalan government responded by saying that
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#173284539952613640-483: The Aycinena family from power, leading to the Central American Civil War (1826–1829). From this conflict emerged the dominant figure of Honduran general Francisco Morazán . Mariano Aycinena y Piñol, leader of the Aycinena family and conservative power, was appointed Governor of Guatemala on 1 March 1827 by President Manuel José Arce . The Aycinena regime was dictatorial: it censored the free press, banned books with liberal ideologies, imposed martial law, and reinstated
13860-435: The Aycinena family was confined to their mansion. However, Morazán annulled the pact on 20 April, as his true objective was to strip power from the conservatives and the regular clergy of the Catholic Church in Guatemala, whom Central American leaders resented for their control over commerce and power during the Spanish colonial period. A member of the liberal party, Mariano Gálvez was appointed chief of state in 1831. This
14080-484: The CIA, which had also trained the men in camps in Nicaragua and Honduras. Since his army was badly outnumbered by the Guatemalan army, the CIA plan required Castillo Armas to camp within the Guatemalan border, while it mounted a psychological campaign to convince the Guatemalan people and government that Castillo's victory was a fait accompli . This campaign included using Catholic priests to give anti-communist sermons, strafing several towns using CIA aircraft, and placing
14300-516: The Caribbean coast of Colombia . In 1899, Keith lost $ 1.5 million when Hoadley and Co., a New York City broker, went bankrupt. He then traveled to Boston, Massachusetts, to participate in the merger of his banana trading company, Tropical Trading and Transport Company , with the rival Boston Fruit Company. Boston Fruit had been established by Lorenzo Dow Baker , a sailor who, in 1870, had bought his first bananas in Jamaica, and by Andrew W. Preston . Preston's lawyer, Bradley Palmer , had devised
14520-407: The Caribbean lowlands. It also dominated regional transportation networks through its International Railways of Central America and its Great White Fleet of steamships. In addition, UFCO branched out in 1913 by creating the Tropical Radio and Telegraph Company. UFCO's policies of acquiring tax breaks and other benefits from host governments led to it building enclave economies in the regions, in which
14740-429: The Castro government was toppled in a military coup led by Óscar Osorio . As the highest-ranking military officer in the October Revolution, Francisco Arana had led the three-man junta that formed the interim government after the coup. He was opposed to handing over power to a civilian government, first seeking to postpone the 1944 election, and then to annul it. In return for allowing Arévalo to become president, Arana
14960-418: The Company built extensive railroads and ports, provided employment and transportation, and created numerous schools for the people who lived and worked on Company land. On the other hand, it allowed vast tracts of land under its ownership to remain uncultivated and, in Guatemala and elsewhere, it discouraged the government from building highways, which would have lessened the profitable transportation monopoly of
15180-416: The Conservative government of Rivera Paz severely; they even had their own newspaper, El Popular , which contributed to the harsh criticism. Los Altos was the region with the primary production and economic activity of the former state of Guatemala. Without Los Altos, the conservatives lost much of the resources that had given Guatemala hegemony in Central America. The Guatemalan government initially sought
15400-406: The Costa Rican government defaulted on its payments in 1882, Keith had to borrow £ 1.2 million from London banks and from private investors to continue the difficult engineering project. In exchange for this and for renegotiating Costa Rica's own debt, in 1884, the administration of President Próspero Fernández Oreamuno agreed to give Keith 800,000 acres (3,200 km ) of tax-free land along
15620-415: The Guatemala operation. Company holdings in Cuba , which included sugar mills in the Oriente region of the island, were expropriated by the 1959 revolutionary government led by Fidel Castro . By April 1960 Castro was accusing the company of aiding Cuban exiles and supporters of former leader Fulgencio Batista in initiating a seaborne invasion of Cuba directed from the United States. Castro warned
15840-414: The Guatemalan army under Ubico. As an officer, Árbenz himself had been required to escort chain-gangs of prisoners. This process had radicalized him, and he had begun to form links to the labor movement. In 1938 he had met and married María Villanova , who was also interested in social reform, and who became a significant influence on him and a national figure in her own right. Another strong influence on him
16060-477: The Guatemalan army. The propaganda broadcast by the CIA had far more effect; it succeeded in leading a Guatemalan pilot to defect, which led to Árbenz grounding the entire air force, fearing its defection. The CIA also used its planes, flown by American pilots, to bomb Guatemalan towns for psychological effect. When the old planes used by the invasion force were found to be inadequate, the CIA persuaded Eisenhower to authorize
16280-480: The Honduran declaration of independence in 1838 from the Central American Federation, Honduras was in a state of economic and political strife due to constant conflict with neighboring countries for territorial expansion and control. Liberal President Marco Aurelio Soto (1876–1883) saw instating the Agrarian Law of 1877 as a way to make Honduras more appealing to international companies looking to invest capital into
16500-452: The Honduran government or in some cases it was permitted by U.S. companies, such as United Fruit Co., to create long-term contracts with independent producers on devastatingly diseased infested districts. Even once granted land concessions, many were so severely contaminated with either the Panaman, moko, or sigatoka, that it would have to reduce the acreage used and the amount produced or changed
16720-458: The Indians by paying thousands of indigenous peasants to march in Guatemala City in his support, and promising them land if they supported the Liberal party that Ubico had begun as a front for the dictatorship. By mid-October, several different plans to overthrow the junta had been set in motion by various factions of the pro-democracy movement, including teachers, students, and progressive factions of
16940-564: The Kan Kingdom in ancient texts. The region featured 26 cities, all connected by sacbeob (highways) that were several kilometres long, up to 40 metres wide, and two to four metres above the ground, paved with stucco . These highways are distinguishable from the air in Mesoamerica's most extensive virgin tropical rainforest. Despite local tradition and history, Hansen argues that the Olmec were not
17160-863: The Late Preclassic period at Kaminaljuyu in the southern Maya area suggest that Maya civilisation evolved differently in the Lowlands and the Southern Maya Area (SMA), leading to the Classic Maya civilisation. On 3 June 2020, researchers published an article in Nature describing their discovery of the oldest and largest Maya site, known as Aguada Fénix , in Mexico. It features monumental architecture, including an elevated, rectangular plateau measuring approximately 1,400 metres long and nearly 400 metres wide, constructed from
17380-667: The Maya—arrived in 1525 and began to subdue the indigenous populations. For nearly 330 years, Guatemala was part of the Captaincy General of Guatemala , which included Chiapas (now in Mexico) and the present-day countries of El Salvador , Honduras , Nicaragua , Costa Rica , and Guatemala. The colony declared its independence on 15 September 1821 and briefly joined the First Mexican Empire in 1822. By 1824, Guatemala became
17600-599: The Monte Alto area. However, it has also been argued that the only connection between the statues and the later Olmec heads is their size. The Monte Alto Culture might have been the first complex culture of Mesoamerica and a predecessor to all other cultures in the region. In Guatemala, some sites display unmistakable Olmec style, such as Chocolá in Suchitepéquez , La Corona in Petén , and Tak'alik A'baj in Retalhuleu ,
17820-530: The November 1911 Honduran presidential elections. In 1912, General Bonilla quickly granted the second railroad concession to the newly incorporated Cuyamel Fruit Company owned by Zemurray. The period of some of these exclusive railroad land concessions was up to 99 years. The first railroad concession leased the national railroad of Honduras to the Vaccaro Bros. and Co. (once Standard Fruit Company and currently Dole Food Company ). Zemurray granted his concession to
18040-569: The Pacific lowlands, heading for Xetulul Humbatz, Zapotitlán . He initially allied himself with the Kaqchikel nation to fight against their traditional rivals, the K'iche' . Pedro de Alvarado began his conquest in Xepau, Olintepeque , defeating 72,000 K'iche' men led by Prince Tecún Umán (now Guatemala's national hero). Alvarado then moved to Q'umarkaj , (Utatlán), the K'iche' capital, and burned it on 7 March 1524. He proceeded to Iximche , establishing
18260-566: The Soviet Union. By 1954 Árbenz had become desperate for weapons, and decided to acquire them secretly from Czechoslovakia , which would have been the first time that a Soviet bloc country shipped weapons to the Americas. The shipment of these weapons acted as the final spur for the CIA to launch its coup. On 18 June 1954, Castillo Armas led a convoy of trucks carrying 480 men across the border from Honduras into Guatemala. The weapons had come from
18480-460: The Spanish Main – via Boston and New Orleans written and illustrated by Henry R. Blaney. The travel book featured landscapes and portraits of the inhabitants pertaining to the regions where the United Fruit Company possessed land. It also described the voyage of the United Fruit Company's steamer, and Blaney's descriptions and encounters of his travels. In 1901, the government of Guatemala hired
18700-565: The Tela Railroad Company—another division within his own company. Cuyamel Fruit Company's concession would also be awarded to the Tela Railroad Company. United Fruit Company (currently Chiquita Brands International ) would partner with President Bonilla in the exchange of access and control of Honduran natural resources plus tax and financial incentives. In return, President Bonilla would receive cooperation, protection and
18920-529: The U.S. Central Intelligence Agency (see Operation PBSuccess ). The directors of United Fruit Company (UFCO) had lobbied to convince the Truman and Eisenhower administrations that Colonel Árbenz intended to align Guatemala with the Eastern Bloc . Besides the disputed issue of Árbenz's allegiance to communism, UFCO was being threatened by the Árbenz government's agrarian reform legislation and new Labor Code. UFCO
19140-402: The U.S. that "Cuba is not another Guatemala" in one of many combative diplomatic exchanges before the U.S. organized the failed Bay of Pigs Invasion of 1961. In the 20th century, many parts of Latin America were not positively operated and invested in compared to the region of Costa Rica. The United Fruit Company, according to researchers, made positive impacts in the region that continued past
19360-577: The UFC had expanded its land-holdings by displacing the peasantry and converting their farmland into banana plantations. This process accelerated under Ubico, whose government did nothing to stop it. The onset of World War II increased economic unrest in Guatemala. Ubico responded by cracking down more fiercely on any form of protest or dissent. In 1944, popular revolt broke out in neighboring El Salvador , which briefly toppled dictator Maximiliano Hernández Martínez . However, he quickly returned to power, leading to
19580-510: The UFCo. According to Yale Insights, the impact of the infrastructure still persists today in astonishing numbers. In 1973, households living within the boundaries of UFCo were 26% less likely to be poor compared to outside households. A most recent research statistic in 2011, states that only 63% of the poverty gap had closed by 2011. The impact of the UFCo investment in capital among families had statistically paid off as outside work options had around
19800-563: The US government for the overthrow of Árbenz, and the US State Department responded by engineering a coup under the pretext that Árbenz was a communist. Carlos Castillo Armas took power at the head of a military junta, starting the Guatemalan Civil War . The war lasted from 1960 to 1996, and saw the military commit genocide against the indigenous Maya peoples and widespread human rights violations against civilians. Prior to
20020-463: The US to establish an air base in Guatemala, with the stated aim of protecting the Panama Canal . Like his predecessors, he made large concessions to the United Fruit Company, granting it 200,000 hectares (490,000 acres) hectares of public land in exchange for a promise to build a port. He later released the company from this obligation as well, citing the economic crisis. Since its entry into Guatemala,
20240-401: The United Fruit Company (UFC) was seen as an impediment to progress by Guatemalan revolutionaries after 1944. This image was worsened by the company's discriminatory policies towards its colored workers. Thanks to its position as the country's largest landowner and employer, the reforms of Arévalo's government affected the UFC more than other companies. Among other things, the labor code passed by
20460-512: The United Fruit Company here in Bogotá stated yesterday that the total number of strikers killed by the Colombian military authorities during the recent disturbance reached between five and six hundred; while the number of soldiers killed was one. The dispatch from the U.S. embassy to the U.S. Secretary of State, dated January 16, 1929, stated: I have the honor to report that the Bogotá representative of
20680-589: The United Fruit Company to manage the country's postal service, and in 1913 the United Fruit Company created the Tropical Radio and Telegraph Company . By 1930, it had absorbed more than 20 rival firms, acquiring a capital of $ 215 million and becoming the largest employer in Central America. In 1930, Sam Zemurray (nicknamed "Sam the Banana Man") sold his Cuyamel Fruit Company to United Fruit and retired from
20900-467: The United Fruit Company told me yesterday that the total number of strikers killed by the Colombian military exceeded one thousand. The Banana massacre is said to be one of the main events that preceded the Bogotazo , the subsequent era of violence known as La Violencia , and the guerrillas who developed in the bipartisan National Front period, creating the ongoing armed conflict in Colombia . Following
21120-463: The administration of Harry Truman had become convinced that the Guatemalan government had been penetrated by communists, it relied on purely diplomatic and economic means to try and reduce the communist influence, at least until the end of its term. The United States had refused to sell arms to the Guatemalan government after 1944; in 1951 it began to block weapons purchases by Guatemala from other countries. In 1952 Truman became sufficiently convinced of
21340-429: The archetypal example of the influence of a multinational corporation on the internal politics of the so-called banana republics. After a period of financial decline, United Fruit merged with Eli M. Black 's AMK in 1970 to become the United Brands Company . In 1984, Carl Lindner, Jr. transformed United Brands into the present-day Chiquita Brands International . In 1871, U.S. railroad entrepreneur Henry Meiggs signed
21560-627: The aristocrats and of the Catholic Church—whose regular orders were expelled in 1829 and the secular clergy was weakened by abolishing mandatory tithing. Among his major errors was a contract made with Marshall Bennett —commercial partner of Francisco Morazán in the fine wood business—on 6 August 1834; the contract provided that the territories of Izabal Department , las Verapaces, Petén , and Belize would be colonized within twenty years, but this proved impossible and irritated people who had to deal with "heretics". In February 1835, Gálvez
21780-405: The army. On 19 October, the government learned of one of these conspiracies. That same day, a small group of army officers launched a coup, led by Francisco Javier Arana and Jacobo Árbenz Guzmán . Although the coup had initially been plotted by Árbenz and Major Aldana Sandoval , Sandoval had prevailed upon Arana to join them; however, Sandoval himself did not participate in the coup attempt, and
22000-596: The attacks of Francisco Ferrera in El Salvador . Instead, Morazán left Carrera in charge of a small fort in Mita, disarmed. Knowing that Morazán was preparing to attack El Salvador, Francisco Ferrera supplied Carrera with arms and ammunition and persuaded him to attack Guatemala City. Meanwhile, despite persistent advice to decisively crush Carrera and his forces, Salazar attempted to negotiate diplomatically. He even demonstrated his lack of fear and distrust of Carrera by removing
22220-479: The author himself grew up in close proximity to the incident. The climax of García Márquez 's novel One Hundred Years of Solitude is based on the events in Ciénaga. General Cortés Vargas issued the order to shoot, arguing later that he had done so because of information that US boats were poised to land troops on Colombian coasts to defend American personnel and the interests of the United Fruit Company. Vargas issued
22440-569: The banana and the effects of these practices created noticeable environmental degradation when it was a thriving company. Infrastructure built by the company was constructed by clearing out forests, filling in low, swampy areas, and installing sewage, drainage, and water systems. Ecosystems that existed on these lands were destroyed, devastating biodiversity. With a loss in biodiversity, other natural processes within nature necessary for plant and animal survival are shut down. Techniques used for farming were at fault for loss of biodiversity and harm to
22660-508: The banana import business in the United States, then their main source of income. The company catapulted into financial success. Bradley Palmer overnight became a much-sought-after expert in business law, as well as a wealthy man. He later became a consultant to presidents and an adviser to Congress. In 1900, the United Fruit Company produced The Golden Caribbean: A Winter Visit to the Republics of Colombia, Costa Rica, Spanish Honduras, Belize and
22880-515: The bankruptcy and ceasing of production in 1984. Since 1880 with the first initial U.S investment in 4% of the country's territory, the UFCO grew in Costa Rica to develop around 7% of their labor force. With a growing labor force and plantations expanding, camps for farmers and families emerged. With the emergence of the workforce came the construction of commissaries, schools, electric plants, sewage systems, hospitals, and recreation facilities all funded by
23100-451: The basis for much of the reform enacted under Arévalo and (later) Jacobo Árbenz. Although the US government would later portray the ideology of the revolution as radical communist, it did not in fact represent a major shift leftward, and was staunchly anti-communist . Arévalo's economic vision for the country was centered around private enterprise. The revolution in 1944 left many of the biggest opponents of organized labor unaffected, such as
23320-427: The bass population greatly impacted the native fish population, and continued to grow. The 55-gallon drums imported by the UFCO has led this American export to grow and become genetically superior in the warmer and longer growing seasons. Although UFCO sometimes promoted the development of the nations where it operated, its long-term effects on their economy and infrastructure were often devastating. In Central America,
23540-542: The beginning of the Cold War , the US and the CIA tended to assume that everybody who opposed it was a communist. Thus, despite Arévalo's ban of the communist party, important figures in the US government were already predisposed to believe that the revolutionary government had been infiltrated by communists, and was a danger to the US. During the years of the revolution, several reports and memoranda were circulated amongst US government agencies that furthered this belief. Although
23760-612: The beginning of what would become the most repressive state in the hemisphere". Following the coup and the establishment of the military dictatorship, a series of leftist insurgencies began in the countryside, frequently with a large degree of popular support, which triggered the Guatemalan Civil War that lasted until 1996. The largest of these movements was led by the Guerrilla Army of the Poor , which at its largest point had 270,000 members. Two-hundred thousand (200,000) civilians were killed in
23980-433: The city after he lost power. In 1838, the liberal forces of Honduran leader Francisco Morazán and Guatemalan José Francisco Barrundia invaded Guatemala and reached San Sur, where they executed Pascual Alvarez, Carrera's father-in-law. They impaled his head on a pike as a warning to all followers of the Guatemalan caudillo. Upon learning of this, Carrera and his wife Petrona—who had come to confront Morazán upon hearing of
24200-720: The company and renamed it Chiquita Brands International. The headquarters was moved to Cincinnati in 1985. By 2019, the company's main offices left the United States and relocated to Switzerland. Throughout most of its history, United Fruit's main competitor was the Standard Fruit Company , now the Dole Food Company . The United Fruit Company is reported to have been involved in bribing government officials in exchange for preferential treatment and working to consolidate monopolies. Latin American journalists sometimes referred to
24420-718: The company as el pulpo ("the octopus"), and leftist parties in Latin America encouraged the company's workers to strike. Criticism of the United Fruit Company became a staple of the discourse of the communist parties in several Latin American countries, where its activities were often interpreted as illustrating Vladimir Lenin 's theory of capitalist imperialism . Major far-left writers in Latin America, such as Carlos Luis Fallas of Costa Rica, Ramón Amaya Amador of Honduras, Miguel Ángel Asturias and Augusto Monterroso of Guatemala, Gabriel García Márquez of Colombia, Carmen Lyra of Costa Rica, and Pablo Neruda of Chile, denounced
24640-408: The company had to be politically involved in the region even though it was an American company. In fact, the heavy-handed involvement of the company in often-corrupt governments created the term " banana republic ", which represents a servile dictatorship. The term "Banana Republic" was coined by American writer O. Henry . The United Fruit Company's entire process of creating a plantation to farming
24860-444: The company in their literature: The Fruit Company, Inc. reserved for itself the most succulent piece, the central coast of my own land, the delicate waist of America. It rechristened its territories 'Banana Republics', and over the sleeping dead, over the restless heroes who brought about the greatness, the liberty, and the flags, it established the comic opera: it abolished free will, gave out imperial crowns, encouraged envy, attracted
25080-402: The company obtained a series of concessions in the country that allowed it to massively expand its business. These concessions frequently came at the cost of tax revenue for the Guatemalan government. The company supported Jorge Ubico in the leadership struggle that occurred from 1930 to 1932, and upon assuming power, Ubico expressed willingness to create a new contract with it. This new contract
25300-419: The company sold off the last of its Guatemalan holdings after over a decade of decline. Even as the Árbenz government was being overthrown, in 1954 a general strike against the company organized by workers in Honduras rapidly paralyzed that country, and, due to the United States' concern about the events in Guatemala, was settled more favorably for the workers in order for the United States to gain leverage for
25520-476: The company was the main obstacle to progress in the country. American historians observed that "To the Guatemalans it appeared that their country was being mercilessly exploited by foreign interests which took huge profits without making any contributions to the nation's welfare." In 1953, 200,000 acres (81,000 ha) of uncultivated land was expropriated by the government, which offered the company compensation at
25740-416: The company. The company had begun a public relations campaign to discredit the Guatemalan government; it hired public relations expert Edward Bernays , who ran a concerted effort to portray the company as the victim of the Guatemalan government for several years. The company stepped up its efforts after Dwight Eisenhower had been elected in 1952. These included commissioning a research study on Guatemala from
25960-400: The congress to pass a new labor code. This law was revolutionary in many ways; it forbade discrimination in salary levels on the basis of "age, race, sex, nationality, religious beliefs, or political affiliation". It created a set of health and safety standards in the workplace, and standardized an eight-hour working day and a 45-hour working week, although the congress succumbed to pressure from
26180-474: The connectivity of rural communities. Contrary to the predictions made by the detractors of the government, the law resulted in a slight increase in Guatemalan agricultural productivity, and to an increase in cultivated area. Purchases of farm machinery also increased. Overall, the law resulted in a significant improvement in living standards for many thousands of peasant families, the majority of whom were indigenous people . Historian Piero Gleijeses stated that
26400-761: The conservative aristocrats led by Mariano Aycinena y Piñol in Guatemala and to establish a regime favourable to the Central American Federation , the vision of the liberal criollos . Upon learning this, Aycinena y Piñol attempted to negotiate with Morazán but was unsuccessful; Morazán was determined to defeat the aristocrats at all costs. After his victory in San Miguelito, Morazán's army grew as many volunteers from Guatemala joined him. On 15 March, while Morazán and his army were en route to reclaim their former positions, they were intercepted by federal troops at Las Charcas. Despite being outnumbered, Morazán held
26620-583: The construction of a transoceanic canal in Nicaragua, attempted to mediate between the State of Guatemala and Morazán but was unsuccessful. Military operations continued with significant success for the allies. To prepare for the siege by Morazán's troops, on 18 March 1829, Aycinena declared martial law, but he was ultimately defeated. On 12 April 1829, Aycinena conceded defeat, and he and Morazán signed an armistice pact. Aycinena and his cabinet members were imprisoned, and
26840-487: The country. At the behest of the United States, the World Bank had refused to grant Guatemala a loan in 1951, which made the shortage of capital more acute. The official title of the agrarian reform bill was Decree 900 . It expropriated all uncultivated land from landholdings that were larger than 673 acres (272 ha). If the estates were between 672 acres (272 ha) and 224 acres (91 ha) in size, uncultivated land
27060-450: The coup were to be carried out. Manuals of assassination techniques were compiled, and lists were also made of people whom the junta would dispose of. After considering several candidates to lead the coup, including Miguel Ydígoras Fuentes, the CIA settled on Carlos Castillo Armas. The US state department also embarked on a campaign to ensure that other countries would not sympathize with the Guatemalan government, by linking it to communism and
27280-514: The death penalty retroactively. Mandatory tithing for the secular clergy of the Catholic Church was also reinstated. Francisco Morazán and his liberal forces were fighting around San Miguel in El Salvador , defeating any conservative federal forces sent by Guatemalan general Manuel Arzú from San Salvador . Arzú decided to take matters into his own hands, leaving Colonel Montúfar in charge of San Salvador and pursuing Morazán. Realising Arzú
27500-458: The decline of Morazán, and forced the conservative Aycinena clan criollos to negotiate with Carrera and his peasant revolutionary supporters. Guzmán, who had been freed by Morazán after the latter's apparent victory over Carrera in Guatemala City , returned to Quetzaltenango to bring the good news. The city's liberal criollo leaders swiftly reinstated the State of Los Altos and celebrated Morazán's success. However, upon hearing this, Carrera and
27720-451: The democratically elected government of Guatemala and installed a pro-business military dictatorship. In 1967, it acquired the A&W Restaurants . Corporate raider Eli M. Black bought 733,000 shares of United Fruit in 1968, becoming the company's largest shareholder. In June 1970, Black merged United Fruit with his own public company, AMK (owner of meat packer John Morrell ), to create
27940-405: The dictatorship of flies ... flies sticky with submissive blood and marmalade, drunken flies that buzz over the tombs of the people, circus flies, wise flies expert at tyranny. The business practices of United Fruit were also frequently criticized by journalists, politicians, and artists in the United States. Little Steven released a song in 1987 called "Bitter Fruit", with lyrics that referred to
28160-615: The earliest monumental masks; and the cities in the Mirador Basin , including Nakbé , Xulnal, El Tintal , Wakná, and El Mirador . In Monte Alto, near La Democracia, Escuintla , giant stone heads and potbellies (or barrigones ) dating back to around 1800 BC have been found. These stone heads are attributed to the Pre- Olmec Monte Alto Culture , and some scholars suggest that the Olmec Culture may have originated in
28380-405: The economically moderate Partido de Integridad Nacional (PIN) announced that Árbenz would be its presidential candidate in the upcoming election. This announcement was quickly followed by endorsements from most parties on the left, including the influential PAR, as well as from labor unions. Árbenz had only a couple of significant challengers in the election, in a field of ten candidates. One of these
28600-425: The entire population. Arévalo's ideology was reflected in the new constitution that the Guatemalan assembly ratified soon after his inauguration, which was one of the most progressive in Latin America. It mandated suffrage for all but illiterate women, a decentralization of power, and provisions for a multiparty system. Communist parties were, however, forbidden. The constitution and Arévalo's socialist ideology became
28820-465: The fields of Villa Nueva, forcing Carrera to retreat. After an unsuccessful attempt to capture Quetzaltenango, Carrera was surrounded and wounded, leading him to capitulate to Mexican General Agustín Guzmán, who had been in Quetzaltenango since Vicente Filísola's arrival in 1823. Morazán had the opportunity to shoot Carrera but chose not to, as he needed the support of the Guatemalan peasants to counter
29040-412: The forthcoming election. This resulted in growing support for an armed revolution among some sections of the populace. By now, the army was disillusioned with the junta, and progressives within it had begun to plot a coup. On 1 October 1944, Alejandro Cordova, the editor of El Imparcial , the main opposition newspaper, was assassinated. This led to the military coup plotters reaching out to the leaders of
29260-470: The fortifications around Guatemala City, which had been in place since the Battle of Villa Nueva. Taking advantage of Salazar's good faith and Ferrera's weapons, Carrera took Guatemala City by surprise on 13 April 1839. Castro Salazar, Mariano Gálvez, and Barrundia fled before Carrera's militiamen arrived. Salazar, in his nightshirt, vaulted over rooftops to seek refuge and eventually reached the border disguised as
29480-472: The fruit business. By then, the company held a major role in the national economies of several countries and eventually became a symbol of the exploitative export economy. This led to serious labor disputes by the Costa Rican peasants, involving more than 30 separate unions and 100,000 workers, in the 1934 Great Banana Strike , one of the most significant actions of the era by trade unions in Costa Rica . By
29700-416: The government allowed its workers to strike when their demands for higher wages and job security were not met. The company saw itself as being specifically targeted by the reforms, and refused to negotiate with the numerous sets of strikers, despite frequently being in violation of the new laws. The company's labor troubles were compounded in 1952 when Jacobo Árbenz passed Decree 900, the agrarian reform law. Of
29920-519: The government. Of the nearly 350,000 private land-holdings, only 1710 were affected by expropriation. The law itself was cast in a moderate capitalist framework; however, it was implemented with great speed, which resulted in occasional arbitrary land seizures. There was also some violence, directed at land-owners, as well as at peasants that had minor landholdings of their own. By June 1954, 1.4 million acres of land had been expropriated and distributed. Approximately 500,000 individuals, or one-sixth of
30140-595: The influence of the Catholic Church . He also made public education independent of the Church, fostered science and the arts, eliminated religious festivals as holidays, founded the National Library and the National Museum, promoted respect for the laws and the rights of citizens, guaranteed freedom of the press and freedom of thought, established civil marriage and divorce, respected freedom of association, and promulgated
30360-481: The injustices corrected by the law were far greater than the injustice of the relatively few arbitrary land seizures. Historian Greg Grandin stated that the law was flawed in many respects; among other things, it was too cautious and deferential to the planters, and it created communal divisions among peasants. Nonetheless, it represented a fundamental power shift in favor of those that had been marginalized before then. The United Fruit Company had been formed in 1899 by
30580-413: The interests of the landed elite. Two days after Ponce Vaides' resignation, a violent protest erupted at Patzicía , a small Indian hamlet. The junta responded with swift brutality, silencing the protest. The dead civilians included women and children. Juan José Arévalo Bermejo was born into a middle-class family in 1904. He became a primary school teacher for a brief while, and then earned a scholarship to
30800-523: The invasion and were in Mataquescuintla—swore they would never forgive Morazán, even in death; they found it impossible to respect anyone who would not avenge family members. After sending several envoys, whom Carrera would not receive—especially Barrundia, whom Carrera did not want to murder in cold blood—Morazán began a scorched earth offensive, destroying villages in his path and stripping them of their few assets. The Carrera forces had to hide in
31020-551: The labor code, as well as to exploit workers as far as possible before it was passed. The unions were also damaged when the US government persuaded the American Federation of Labor to found the Organización Regional Internacional del Trabajo (ORIT), a union that took a strongly anti-communist stance. Despite the powerful opposition, by 1947 the labor unions had managed to organize enough support to force
31240-407: The labor force were in agriculture, and industry was essentially nonexistent. Arévalo identified his ideology as " spiritual socialism ". He held the belief that the only way to alleviate the backwardness of most Guatemalans was through a paternalistic government. He was strongly opposed to classical Marxism , and believed in a capitalist society that was regulated to ensure that its benefits went to
31460-485: The land as well. To create farmland, the United Fruit Company would either clear forests (as mentioned) or would drain marshlands to reduce avian habitats and to create "good" soil for banana plant growth. The most common practice in farming was called the "shifting plantation agriculture" . This is done by using produced soil fertility and hydrological resources in the most intense manner, then relocating when yields fell, and pathogens followed banana plants. In addition to
31680-410: The land was intended to be developed for the greater good of the public with a possibility of being the granted "full private ownership" versus dominio pleno was the immediate granting of full private ownership with the right to sell . Based on the 1898 Honduran agrarian law, without being sanctioned the right their communal lands, Honduran villages and towns could only regain these lands if granted by
31900-516: The land-holdings of the United Fruit Company were the most extensive, had been ruled by an anti-communist government sympathetic to the United States since 1932. These developments created tension between the other governments and Árbenz, which was exacerbated by Arévalo's support for the Caribbean Legion. This support also worried the United States and the newly formed Central Intelligence Agency . According to US historian Richard Immerman , during
32120-406: The landed elite and the United Fruit Company. The revolution, and election of Arévalo, nonetheless marked a significant shift in the fortunes of labor unions. The protests of 1944 strengthened the labor movement to the point where Ponce Vaides stopped enforcing the repressive vagrancy law, which was abolished in the 1945 constitution. On 1 May 1945, Arévalo made a speech celebrating organized labor, to
32340-444: The largest in the Maya world. Their size is evident not only in the extent of the sites but also in their monumental construction, especially the vast platforms supporting prominent temples. Many sites from this era feature monumental masks for the first time ( Uaxactún , El Mirador, Cival , Tikal, and Nakbé). Hansen's dating has been challenged by other Maya archaeologists, and the developments leading to probable extra-regional power by
32560-432: The late 19th century until 1944, Guatemala was governed by a series of authoritarian rulers who sought to strengthen the economy by supporting the export of coffee. Between 1898 and 1920, Manuel Estrada Cabrera granted significant concessions to the United Fruit Company , an American corporation that traded in tropical fruit, and dispossessed many indigenous people of their communal lands. Under Jorge Ubico , who ruled as
32780-464: The latter being the only ancient city in the Americas with both Olmec and Mayan features. El Mirador was by far the most populated city in pre-Columbian America. The El Tigre and Monos pyramids have a combined volume of over 250,000 cubic meters. Richard Hansen , director of the archaeological project in the Mirador Basin , believes that the Maya at Mirador Basin developed the first politically organised state in America around 1500 BC, known as
33000-542: The liberal general: aided by Angel Molina—son of Guatemalan Liberal leader Pedro Molina Mazariegos —who knew the city's streets, Morazán fled disguised, shouting "Long live Carrera!" through the ravine of "El Incienso" to El Salvador. In his absence, Morazán was replaced as Head of State and had to go into exile in Peru . In Guatemala, survivors from his troops were shot without mercy, while Carrera unsuccessfully pursued Morazán. This engagement solidified Carrera's position and marked
33220-507: The loss of biodiversity, many new species were introduced into the environment including the largemouth bass. Largemouth Bass, a popular fish in the United States has made it all over the globe through exports. Lake Yojoa in Honduras was home to many largemouth bass not native to the region. Stemming from a United Fruit Company social club event, a group of North American employees wanting to indulge in their love for fishing, introduced 1,800 largemouth bass from Florida. From 1954-55 to about 1970,
33440-452: The merger of two large American corporations. The new company had major holdings of land and railroads across Central America, which it used to support its business of exporting bananas. In 1900 it was already the world's largest exporter of bananas. By 1930 it had an operating capital of US$ 215 million and had been the largest landowner and employer in Guatemala for several years. Under Manuel Estrada Cabrera and other Guatemalan presidents,
33660-456: The military; he threatened a coup if his demands were not met. Arévalo informed Árbenz and other progressive leaders of the ultimatum, who all agreed that Arana should be exiled. Two days later, Arévalo and Arana had another meeting; on the way back, Arana's convoy was intercepted by a small force led by Árbenz. A shootout ensued, killing three men, including Arana. Arana's supporters in the military rose up in revolt, but they were leaderless, and by
33880-410: The most severe violence was directed at workers on the plantations of the United Fruit Company. Despite UFCO's government connections and conflicts of interest, the overthrow of Árbenz failed to benefit the company. Its stock market value declined along with its profit margin. The Eisenhower administration proceeded with antitrust action against the company, which forced it to divest in 1958. In 1972,
34100-636: The most significant discoveries in over 150 years of Maya archaeology. The colonial era in the history of Guatemala spans from 1524, when the Spaniards conquered the region, to 15 September 1821, when Guatemala gained independence from the Spanish Empire. Second-in-command to Hernán Cortés , Pedro de Alvarado was sent to the Guatemala highlands with 300 Spanish foot soldiers, 120 Spanish horsemen, and several hundred Cholula and Tlascala auxiliaries. Alvarado entered Guatemala from Soconusco on
34320-686: The mother culture of Mesoamerica . However, it is well known that the Maya people themselves do not support this view. Based on findings at the Mirador Basin in Northern Petén , Hansen suggests that the Olmec and Maya cultures developed independently and later merged in some locations, such as Tak'alik Abaj in the Pacific lowlands. Northern Guatemala has exceptionally high densities of Late Preclassic sites, including Naachtun , Xulnal , El Mirador , Porvenir, Pacaya, La Muralla, Nakbé , El Tintal , Wakná (formerly Güiro ), Uaxactún , and Tikal . El Mirador, Tikal, Nakbé, Tintal, Xulnal, and Wakná are
34540-436: The mountains. Believing that Carrera was completely defeated, Morazán and Barrundia marched on to Guatemala City , where they were welcomed as saviors by the state governor Pedro Valenzuela and members of the conservative Aycinena Clan. Valenzuela and Barrundia provided Morazán with all the Guatemalan resources needed to address any financial problems he had. The criollos of both parties celebrated until dawn, relieved to have
34760-406: The new laws. In 1952, the government of Guatemala began expropriating unused United Fruit Company land to landless peasants. The company responded by intensively lobbying the U.S. government to intervene and mounting a misinformation campaign to portray the Guatemalan government as communist . In 1954, the U.S. Central Intelligence Agency armed, funded, and trained a military force that deposed
34980-516: The newly reinstated Mariano Rivera Paz quickly moved to reclaim control over the rebel liberal state. Carrera, with his volunteer army, returned to Quetzaltenango to reassert authority. On 2 April 1840, after entering the city, Carrera reminded the citizens that he had previously warned them after his earlier victory. He then ordered the execution of most of the liberal city hall officials from Los Altos and forcibly annexed Quetzaltenango and much of Los Altos back into conservative Guatemala. Following
35200-436: The next day the rebels asked for negotiations. The coup attempt left approximately 150 dead and 200 wounded. Many of Arana's supporters, including Carlos Castillo Armas , were exiled. The details of the incident were not made public. Árbenz's role as defense minister had already made him a strong candidate for the presidency, and his firm support of the government during the 1949 uprising further increased his prestige. In 1950,
35420-569: The number of casualties vary from 47 to 3,000. The military justified this action stating that the strike was subversive, and its organizers were Communist revolutionaries. Congressman Jorge Eliécer Gaitán claimed that the army had acted under instructions from the United Fruit Company. The ensuing scandal contributed to President Miguel Abadía Méndez 's Conservative Party being voted out of office in 1930, putting an end to 44 years of Conservative rule in Colombia. The first novel of Álvaro Cepeda Samudio , La Casa Grande , focuses on this event, and
35640-602: The oldest ceramic pottery in Guatemala has been found. Excavations in Antigua Guatemala at Urías and Rucal have uncovered stratified materials from the Early and Middle Preclassic periods (2000 BC to 400 BC). Paste analyses of this early pottery suggest it was made from clays sourced from various environmental zones, indicating that people from the Pacific coast expanded into the Antigua Valley. Guatemala's Pre-Columbian era
35860-688: The order so the United States would not invade Colombia. The telegram from Bogotá Embassy to the U.S. Secretary of State, dated December 5, 1928, stated: I have been following Santa Marta fruit strike through United Fruit Company representative here; also through Minister of Foreign Affairs who on Saturday told me government would send additional troops and would arrest all strike leaders and transport them to prison at Cartagena ; that government would give adequate protection to American interests involved. The telegram from Bogotá Embassy to Secretary of State, date December 7, 1928, stated: Situation outside Santa Marta City unquestionably very serious: outside zone
36080-457: The other Latin American governments, Arévalo began to support the Caribbean Legion , which sought to replace dictatorships with democracies across Latin America, by force if necessary. This led to the administration being labelled as communist by the dictatorial governments in the region. The Arévalo government also floated the idea of a Central American Federation, as being the only way that
36300-539: The overthrow of Árbenz. The CIA operation to overthrow Jacobo Árbenz, code-named Operation PBSuccess , was authorized by Eisenhower in August 1953. The operation was granted a budget of 2.7 million dollars for "psychological warfare and political action". The total budget has been estimated at between 5 and 7 million dollars, and the planning employed over 100 CIA agents. The CIA planning included drawing up lists of people within Árbenz's government to be assassinated if
36520-549: The parishes of Quetzaltenango, San Martin Jilotepeque, and San Lucas Tolimán, respectively. The defeat and execution of the liberal criollos in Quetzaltenango bolstered Carrera's standing with the local population, whom he respected and protected. United Fruit Company United Fruit had a deep and long-lasting effect on the economic and political development of several Latin American countries. Critics often accused it of exploitative neocolonialism , and they described it as
36740-459: The partnership his plantations in the West Indies , a fleet of steamships, and his market in the U.S. Northeast. Keith brought his plantations and railroads in Central America and his market in the U.S. South and Southeast. At its founding, United Fruit was capitalized at $ 11.23 million. The company at Palmer's direction proceeded to buy, or buy a share in, 14 competitors, assuring them of 80% of
36960-513: The peasant revolt using a scorched earth approach against rural communities. In 1838, Antigua Guatemala , Chiquimula , and Salamá withdrew recognition of his government, and in February of that year Rafael Carrera 's revolutionary forces entered Guatemala City asking for the cathedral to be opened to restore order in the Catholic communities, obliging Gálvez to relinquish power. Gálvez remained in
37180-410: The plan. In November 1952, Dwight Eisenhower was elected president of the US. Eisenhower's campaign had included a pledge for a more active anti-communist policy. Several figures in his administration, including Secretary of State John Foster Dulles and his brother and CIA director Allen Dulles had close ties to the United Fruit Company. Both of these factors made Eisenhower predisposed to supporting
37400-440: The police force, turning it into one of the most efficient and ruthless in Latin America. The police were given greater authority to shoot and imprison people suspected of breaking the labor laws. The result of these laws was to create tremendous resentment against him among agricultural laborers. Ubico was highly contemptuous of the country's indigenous people, once stating that they resembled donkeys. Ubico had great admiration for
37620-442: The population, had received land by this point. The decree also included provision of financial credit to the people who received the land. The National Agrarian Bank ( Banco Nacional Agrario , or BNA) was created on 7 July 1953, and by June 1954 it had disbursed more than $ 9 million in small loans. 53,829 applicants received an average of 225 US dollars, which was twice as much as the Guatemalan per capita income. The BNA developed
37840-437: The possibility of a revolution, the landed elite lent their support to Jorge Ubico y Castañeda , who had built a reputation for ruthlessness and efficiency as a provincial governor. Ubico won the election that followed in 1931, in which he was the only candidate. Ubico had made statements supporting the labor movement when campaigning for the presidency, but after his election his policy quickly became authoritarian. He abolished
38060-516: The protests, in an attempt to turn the coup into a popular uprising. Ponce Vaides announced elections, but the pro-democracy forces denounced them as a fraud, citing his attempts to rig them. Ponce Vaides sought to stabilize his regime by playing on inter-racial tension within the Guatemalan population. The most vocal support for the revolution had come from the Ladinos , or people of mixed racial or Spanish descent. Ponce Vaides sought to exploit their fear of
38280-408: The protests. Press freedom was suspended, arbitrary detentions continued, and memorial services for slain revolutionaries were prohibited. However, the protests had grown to the point where the government could not stamp them out, and rural areas also began organizing against the dictatorship. The government began using the police to intimidate the indigenous population to keep the junta in power through
38500-618: The public in the US that the Guatemalan government needed to be overthrown. In addition to the lobbying of the United Fruit Company, several other factors also led the United States to launch the coup that toppled Árbenz in 1954. During the years of the Guatemalan Revolution, military coups occurred in several other Central American countries that brought firmly anti-communist governments to power. Army officer Major Oscar Osorio won staged elections in El Salvador in 1950, Cuban dictator Fulgencio Batista took power in 1952. Honduras, where
38720-406: The railroad, plus a 99-year lease on the operation of the train route. The railroad was completed in 1890, but the flow of passengers proved insufficient to finance Keith's debt. However, the sale of bananas grown in his lands and transported first by train to Limón, then by ship to the United States, proved very lucrative. Keith eventually came to dominate the banana trade in Central America and along
38940-454: The railroads under its control. UFCO also destroyed at least one of those railroads upon leaving its area of operation. In 1954, the Guatemalan government of Colonel Jacobo Árbenz , elected in 1950, was toppled by forces led by Colonel Carlos Castillo Armas who invaded from Honduras . Commissioned by the Eisenhower administration, this military operation was armed, trained and organized by
39160-513: The rate of 2.99 US dollars to the acre, twice what the company had paid when it bought the property. More expropriation occurred soon after, bringing the total to over 400,000 acres (160,000 ha); the government offered compensation to the company at the rate at which the UFC had valued its own property for tax purposes. This resulted in further lobbying in Washington, particularly through Secretary of State John Foster Dulles , who had close ties to
39380-500: The reinstatement of the constitution. They also presented him a petition signed by 311 of the most prominent Guatemalan citizens. Ubico sent the police to disrupt the protests by firing on them, and declared martial law. Clashes between protesters and the military continued for a week, during which the revolt gained momentum. At the end of June, Ubico submitted his resignation to the National Assembly, leading to huge celebrations in
39600-506: The republics in Latin America not recognize and support authoritarian regimes. This initiative was defeated by the dictatorships supported by the United States, such as the Somoza regime in Nicaragua. In response, Arévalo broke off diplomatic ties with the Nicaraguan government and with the government of Rafael Trujillo in the Dominican Republic. Frustrated by the lack of results from working with
39820-412: The revolution. The communist movement was also strengthened by the release of those of its leaders who had been imprisoned by Ubico. Among them were Miguel Mármol, Víctor Manuel Gutiérrez , and Graciela García, the latter unusual for being a woman in a movement that women were discouraged from participating in. The communists began to organize in the capital, and established a school for workers, known as
40040-417: The revolutionaries, and for this crucial role he was rewarded with a place on the junta. The junta promised free and open elections to the presidency and the congress, as well as for a constituent assembly . The resignation of Ponce Vaides and the creation of the junta has been considered by scholars to be the beginning of the Guatemalan Revolution. However, the revolutionary junta did not immediately threaten
40260-606: The small force that remained but was defeated, losing his brother Laureano in the combat. With only a few men left, he managed to escape, badly wounded, to Sanarate. After partially recovering, he attacked a detachment in Jutiapa and acquired a small amount of booty, which he distributed to his volunteers. He then prepared to assault Petapa, near Guatemala City, where he achieved victory, albeit with heavy casualties. In September of that year, he attempted an assault on Guatemala City, but liberal general Carlos Salazar Castro defeated him in
40480-399: The streets. The resignation of Ubico did not restore democracy. Ubico appointed three generals, Federico Ponce Vaides , Eduardo Villagrán Ariza , and Buenaventura Pineda , to a junta which would lead the provisional government. A few days later, Ponce Vaides persuaded the congress to appoint him interim president. Ponce pledged to hold free elections soon, while at the same time suppressing
40700-548: The support of the army, Jacobo Árbenz resigned on 27 June 1954, handing over power to Colonel Carlos Enrique Diaz . US ambassador John Peurifoy then mediated negotiations held in El Salvador between the army leadership and Castillo Armas which led to Castillo being included in the ruling military junta on 7 July 1954, and was named provisional president a few days later. The US recognized the new government on 13 July. Elections were held in early October, from which all political parties were barred from participating, and Castillo Armas
40920-406: The survivors to fight for their lives. Morazán's soldiers lost their initiative and previous numerical superiority. In unfamiliar surroundings, they had to fight, carry their dead, and care for their wounded while being resentful and tired from the long march from El Salvador to Guatemala. Carrera, an experienced military leader, was able to defeat Morazán thoroughly. The defeat was complete for
41140-534: The system of debt peonage , and replaced it with a vagrancy law, which required all men of working age who did not own land to perform a minimum of 100 days of hard labor. In addition, the state made use of unpaid Indian labor to work on public infrastructure like roads and railroads. Ubico also froze wages at very low levels, and passed a law allowing land-owners complete immunity from prosecution for any action they took to defend their property, an action described by historians as legalizing murder. He greatly strengthened
41360-740: The teachers' party, had been formed, and Arévalo was named its candidate. In an unexpected surge of support, his candidacy was endorsed by many of the leading organizations among the protesters, including the student federation. His lack of connection to the dictatorship and his academic background both worked in his favor among the students and teachers. At the same time, the fact that he had chosen to go into exile in conservative Argentina rather than revolutionary Mexico reassured landowners worried about socialist or communist reform. The subsequent elections took place in December 1944, and were broadly considered free and fair, although only literate men were given
41580-459: The threat posed by Árbenz to start planning a covert overthrow, titled Operation PBFortune . The plan had originally been suggested by the US-supported dictator of Nicaragua, Anastasio Somoza García , who said that if he were given weapons, he could overthrow the Guatemalan government. Truman gave the CIA permission to go ahead with the plan, without informing the state department. The CIA placed
41800-503: The true religion!" and "Down with the heretics!" started growing and spreading. Gálvez asked the National Assembly to transfer the capital of the Federation from Guatemala City to San Salvador . His major opponents were Colonel and Juan de Dios Mayorga; also, José Francisco Barrundia and Pedro Molina , who had been his friends and party colleagues, came to oppose him in the later years of his government after he violently tried to repress
42020-443: The uncultivated portions of large land-holdings were expropriated in return for compensation, and redistributed to poverty-stricken agricultural laborers. Approximately 500,000 people benefited from the decree. The majority of them were indigenous people, whose forebears had been dispossessed after the Spanish invasion . Árbenz's policies ran afoul of the United Fruit Company, which lost some of its uncultivated land. The company lobbied
42240-678: The use of two additional planes. Guatemala made an appeal to the United Nations, but the US vetoed an investigation into the incident by the Security Council , stating that it was an internal matter in Guatemala. On 25 June, a CIA plane bombed Guatemala City, destroying the government's main oil reserves. Frightened by this, Árbenz ordered the army to distribute weapons to local peasants and workers. The army refused to do this, instead demanding that Árbenz either resign or come to terms with Castillo Armas. Knowing that he could not fight on without
42460-671: The violent reinstatement of Los Altos by Carrera in April 1840, Luis Batres Juarros , a conservative member of the Aycinena Clan and secretary general of the Guatemalan government under the recently reinstated Mariano Rivera Paz , obtained authorization from Vicar Larrazabal to dismantle the regionalist Church. Priests from Quetzaltenango —the capital of the short-lived State of Los Altos—including Urban Ugarte and his coadjutor José Maria Aguilar, as well as priests from San Martin Jilotepeque and San Lucas Tolimán , were removed from their parishes. Larrazabal assigned priests Fernando Antonio Dávila, Mariano Navarrete, and José Ignacio Iturrioz to cover
42680-407: The vote, in elections that were free and fair with the exception of the disenfranchisement of illiterate female voters. Árbenz was inaugurated as president on 15 March 1951. Árbenz was born in 1913 into a middle-class family of Swiss heritage. In 1935 he had graduated from the Escuela Politécnica, Guatemala's national military academy, with excellent grades, and had subsequently become an officer in
42900-439: The vote. Unlike in similar historical situations, none of the junta members stood for election. Arévalo's closest challenger was Adrián Recinos , whose campaign included a number of individuals identified with the Ubico regime. The ballots were tallied on 19 December 1944, and Arévalo won in a landslide, receiving more than four times as many ballots as the other candidates combined. Arévalo took office on 15 March 1945, inheriting
43120-442: The war, and numerous human rights violations committed, including massacres of civilian populations, rape, aerial bombardment, and forced disappearances . Historians estimate that 93% of these violations were committed by the United States-backed military, which included a genocidal scorched-earth campaign against the indigenous Maya population in the 1980s. History of Guatemala The history of Guatemala traces back to
43340-405: The welcoming Honduran nation. All the while Honduran bureaucrats would continue to take away the indigenous communal lands to trade for capital investment contracts as well as neglect the fair rights of Honduran laborers. After the peak of the banana republic era, resistance eventually began to grown on the part of small-scale producers and production laborers, due to the exponential rate in growth of
43560-419: The yacht "Hornet", formerly known as the USS Hornet and recently purchased by Zemurray in New Orleans. With a gang of New Orleans mercenaries and plenty of arms and ammunition, they sailed to Roatan to attack, then seize the northern Honduran ports of Trujillo and La Ceiba . Unbeknownst to Zemurray, he was being watched by the US Secret Service . Having captured the aging fort at Roatan, he quickly sold
43780-442: Was Jorge García Granados , who was supported by some members of the upper-middle class who felt the revolution had gone too far. Another was Miguel Ydígoras Fuentes , who had been a general under Ubico, and who had the support of the hardline opponents of the revolution. During his campaign, Árbenz promised to continue and expand the reforms begun under Arévalo. The election was held on 15 November 1950, and Árbenz won more than 60% of
44000-421: Was José Manuel Fortuny , a well-known Guatemalan communist, who was one of his main advisers during his government. In 1944, disgusted with Ubico's authoritarian regime, he and his fellow officers had begun plotting against the government. When Ubico resigned in 1944, Árbenz had witnessed Ponce Vaides intimidate the congress into naming him president. Highly offended by this, Árbenz plotted against Ponce Vaides, and
44220-451: Was United Fruit's principal lobbyist, was married to President Eisenhower's personal secretary, Ann C. Whitman . Many individuals who directly influenced U.S. policy towards Guatemala in the 1950s also had direct ties to UFCO. After the overthrow of Árbenz, a military dictatorship was established under Carlos Castillo Armas. Soon after coming to power, the new government launched a concerted campaign against trade unionists, in which some of
44440-399: Was allowed to leave the country safely, as was Ubico himself. The military junta was replaced by another three-person junta consisting of Árbenz, Arana, and an upper-class youth named Jorge Toriello , who had played a significant role in the protests. Although Arana had come to the military conspiracy relatively late, his defection had brought the powerful Guardia de Honor (Honor Guard) over to
44660-412: Was also a member of the law firm, Sullivan and Cromwell , which had represented United Fruit. His brother Allen Dulles , director of the CIA, was also a board member of United Fruit. United Fruit Company is the only company known to have a CIA cryptonym . The brother of the Assistant Secretary of State for InterAmerican Affairs, John Moors Cabot , had once been president of United Fruit. Ed Whitman, who
44880-447: Was an important step that would eventually lead to the formation of effective trade unions in Costa Rica since the company was required to sign a collective agreement with its workers in 1938. Labor laws in most banana production countries began to be tightened in the 1930s. United Fruit Company saw itself as being specifically targeted by the reforms, and often refused to negotiate with strikers, despite frequently being in violation of
45100-436: Was described as having "lost his nerve". They were joined the next day by other factions of the army and the civilian population. Initially, the battle went against the revolutionaries, but after an appeal for support their ranks were swelled by unionists and students, and they eventually subdued the police and army factions loyal to Ponce Vaides. On October 20, the next day, Ponce Vaides surrendered unconditionally. Ponce Vaides
45320-427: Was during a period of turmoil that made governing difficult. After the expulsion of the conservative leader of the Aycinena family and the regular clergy in 1829, Gálvez was appointed by Francisco Morazán as Governor of Guatemala in 1831. According to liberal historians Ramón Rosa and Lorenzo Montúfar y Rivera , Gálvez promoted major innovations in all aspects of the administration to make it less dependent on
45540-401: Was expropriated only if less than two-thirds of it was in use. The owners were compensated with government bonds, the value of which was equal to that of the land expropriated. The value of the land itself was the value that the owners had declared in their tax returns in 1952. The redistribution was organized by local committees that included representatives from the landowners, the laborers, and
45760-437: Was granted the newly created position of "chief of the armed forces", ranked above the minister of defense. The position had a six-year term, and controlled all military appointments. In December 1945, Arévalo was involved in a motoring accident which left him seriously injured. Fearing a military coup, the leaders of the Revolutionary Action Party (PAR) made a pact with Arana, in which the party agreed to support his candidacy in
45980-488: Was head of the CIA under Eisenhower, also did legal work for United Fruit. The Dulles brothers and Sullivan & Cromwell were on the United Fruit payroll for thirty-eight years. Recent research has uncovered the names of multiple other government officials who received benefits from United Fruit: John Foster Dulles, who represented United Fruit while he was a law partner at Sullivan & Cromwell – he negotiated that crucial United Fruit deal with Guatemalan officials in
46200-411: Was immensely favorable to the company. It included a 99-year lease to massive tracts of land, exemptions from virtually all taxes, and a guarantee that no other company would receive any competing contract. Under Ubico, the company paid virtually no taxes, which hurt the Guatemalan government's ability to deal with the effects of the Great Depression. Ubico asked the company to pay its workers only 50 cents
46420-412: Was mixed. In 1945, he criminalized all rural labor unions in workplaces with fewer than 500 workers, which included most plantations. One of the few unions big enough to survive this law was of the banana workers employed by the UFC. In 1946 this union organized a strike, which provoked Arévalo into outlawing all strikes until a new labor code was passed. This led to efforts on the part of employers to stall
46640-525: Was one of the military leaders of the coup that toppled him, in addition to having been one of the few officers in the revolution who had formed and maintained connections to the popular civilian movement. The biggest component of Árbenz's project of modernization was his agrarian reform bill. Árbenz drafted the bill himself with the help of advisers that included some leaders of the communist party as well as non-communist economists. He also sought advice from numerous economists from across Latin America. The bill
46860-406: Was passed by the National Assembly on 17 June 1952, and the program went into effect immediately. The focus of the program was on transferring uncultivated land from large landowners to their poverty stricken laborers, who would then be able to begin a viable farm of their own. Árbenz was also motivated to pass the bill because he needed to generate capital for his public infrastructure projects within
47080-475: Was president of Guatemala from 1898 to 1920, permitted limited unionization in rural Guatemala, but also made further concessions to the UFC. In 1922, the Communist Party of Guatemala was created, and became a significant influence among urban laborers; however, it had little reach among the rural and Indian populations. In 1929, the Great Depression led to the collapse of the economy and a rise in unemployment, leading to unrest among workers and labourers. Fearing
47300-811: Was pursuing him, Morazán retreated to Honduras to seek more volunteers for his army. On 20 September, Manuel Arzú was near the Lempa River with 500 men when he learned that the rest of his army had surrendered in San Salvador . Morazán then returned to El Salvador with a significant force, and General Arzú, feigning illness, fled to Guatemala , leaving Lieutenant Colonel Antonio de Aycinena in command. Aycinena and his 500 troops were en route to Honduras when they were intercepted by Morazán's forces in San Antonio, resulting in Aycinena's defeat on 9 October. With Aycinena's defeat, there were no more conservative federal troops in El Salvador . On 23 October, General Morazán triumphantly marched into San Salvador . A few days later, he went to Ahuachapán to organise an army to confront
47520-401: Was re-elected for a second term, during which the Asiatic cholera afflicted the country. The secular clergy that was still in the country persuaded the uneducated people of the interior that the disease was caused by the poisoning of the springs by order of the government and turned the complaints against Gálvez into a religious war. Peasant revolts began in 1837, and under chants of "Hurray for
47740-414: Was that UFCO was able to prevent the government from distributing land to peasants who wanted a share of the banana trade. The fact that the UFCO relied so heavily on manipulating land use rights to maintain their market dominance had a number of long-term consequences for the region. For the company to maintain its unequal land holdings it often required government concessions. And this in turn meant that
47960-484: Was the largest landowner and employer in Guatemala, and the Árbenz government's land reform program included the expropriation of 40% of UFCO land. U.S. officials had little proof to back their claims of a growing communist threat in Guatemala; however, the relationship between the Eisenhower administration and UFCO demonstrated the influence of corporate interest on U.S. foreign policy. United States Secretary of State John Foster Dulles , an avowed opponent of communism,
48180-444: Was the only candidate, winning the election with 99% of the vote. Among the outcomes of the meeting in El Salvador was a planned new constitution, which would roll back most of the progressive reform brought by the revolution. Following the coup, hundreds of peasant leaders were rounded up and executed. Historian Greg Grandin has stated that "There is general consensus today among academics and Guatemalan intellectuals that 1954 signaled
48400-407: Was toppled in a military coup led by Jacobo Árbenz in October 1944, an event also known as the "October Revolution". The coup leaders formed a junta which swiftly called for open elections. These elections were won in a landslide by Juan José Arévalo , a progressive professor of philosophy who had become the face of the popular movement. He implemented a moderate program of social reform, including
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