OTIS TO WASHINGTON, JANUARY 2, 1899

MANILA. (Received Washington, January 2, 1899 - 4.27 p.m.)

ADJUTANT-GENERAL, Washington:

General Miller's instructions in conformity to cable just received. He holds Iloilo in his grasp, but will not attempt landing until instructed. Conditions in Manila improving. Insurgent government becoming weak and unable to hold representative men. Aguinaldo's troops driven out from province of Tarlac and his officials murdered. Has called congress for to-morrow, but there will be but small representation. General Miller has President's proclamation. Not issued here yet, as time not opportune. Will be in two or three days. Sent one regiment south Wednesday morning, which will reach General Miller and be sent to Cebu. No further movement contemplated at present. Believe that it is possible to avoid conflict.

OTIS