Protection of Americans. Instruction to request Mexican Government to take prompt steps to suppress Indians in Sonora and to furnish adequate military protection to Americans residing there. Commercial relations. Statement in telegram No. 676 given to press and printed in all papers except El Universal. Protection of Americans. Foreign Office informs that military commander in region of Yaqui Valley has been ordered to afford protection to Americans. Same subject. Instruction to suggest to Mexican Government that troops be sent immediately to Sonora to restore order, and to intimate that passage could be secured over American territory. Commercial relations. El Universal states that Nieto, when asked reason for delay in instructing Ambassador Bonillas, replied he could say nothing until he had conferred with President Carranza who is absent from the city. Same subject. Nieto and Pani reported ready to leave for the United States to participate in negotiations; plans are tentative pending final approval by President Carranza.

Secre

Same subject. Acting Minister for Foreign Affairs states that one of objects of Nieto's visit to the United States is in connection with pending conference. Protection of Americans. tary of State for Foreign Affairs states that Department's suggestion of Jan. 5 has been referred to the Subsecretary of War and Marine for such action as deemed opportune.

Same subject. Situation at Guaymas complicated by attitude of local authorities in matter of neutrality, hence Department not disposed to recommend to Navy that vessel be stationed at Guaymas; if Americans in dire distress, Department would consider advisability of sending Marines to Guaymas.

Financial affairs. Text of law of payments, decreed Dec. 24, 1917.

Claims of American citizens against Mexico. Transmits text of decree prescribing regulations for carrying into effect the presidential decree creating a commission to pass upon claims for damages growing out of Mexican revolution. Border

disturbances. Mexican Consul at Tucson, Ariz., reports that an armed revolutionary expedition of Yaqui Indians is being organized, and his requests to U. S. Federal officials for assistance have met with no results; requests that investigation be made. Protection of American oil interests. Department informed that under Art. 27 of Constitution foreign companies can not exploit natural riches of country; American oil companies refused permits to drill on lands owned by them; instruction to take up matter with appropriate authorities. Border disturbances. El Democrata published an extra edition stating that the United States is perfecting arrangements for armed intervention in Mexico. Same subject. Instruction to announce publicly that story in despatch 720 is sheer fabrication and propaganda to disturb friendly relations. Same subject. Quotes report of War Department on subject of Ambassador's note of Dec. 18, 1917. Protection of American oil interests. Note from Pani states that Art. 27 of the Constitution does not prohibit foreign capital from being invested in oil industry, but requires foreign capital to renounce its nationality and organize as Mexican companies. Border disturbances. Copies of notes of Jan. 22 and 23 have been sent to the Secretary of War and the Attorney General for appropriate action. Claims of American citizens against Mexico. France is of the opinion that decree of Nov. 24, 1917, does not offer adequate guaranties to foreign claimants; requests to be informed of views of the United States.

774 Feb. 17 To the Chargé in Mexico (tel.)

Protection of American oil interests. Instruction to bring to attention of President Carranza chaotic conditions at Tampico and to express hope that necessary protection will be afforded American oil interests. Same subject. Reports destruction by fire of bridges on Huasteca Railroad and other property damage, probably by Pelaez forces; confiscations by Carranza troops. Same subject. Transmits copy of the argument presented by Gen. Candido Aguilar, supporting the proposed petroleum law which he submitted to Legislature, with a view to conforming to terms of Art. 27 of new Constitution. Financial affairs. Transmits letter from Mr. George W. Cook, an American citizen in Mexico, expressing the belief that the new law of payments will result in injury and injustice to American citizens, and requesting advice from the Department. Protection of American oil interests. Provisions of new decree fixing taxes on petroleum lands. Same subject. Refers to telegram from Tampico, Feb. 19, and instructs to request Mexican Government to return goods confiscated or compensate companies concerned.

Border disturbances.

Transmits

copy of letter from U. S. Attorney for the District of Arizona to the Attorney General, reporting investigation into activities of disaffected Mexicans in Tucson and Phoenix. Commercial relations. Negotiations which were to have been resumed with Nieto postponed until after Cabinet meeting Thursday.

Protection of American oil interests. Oil interests assert new decrees will wreck companies in Tampico fields, paralyze war contracts, and interfere with Allied naval operations; appropriate representations for suspension of decree left to own discretion. Same subject. Requests views from time to time on situation in oil fields and on political situation in Mexico City. Commercial relations. Learned unofficially that Cabinet did not approve Nieto's conduct of the negotiations; will try to remove apparent misunderstanding. Protection of American oil interests.

Unable to estimate effect new decree will have upon oil companies; has requested 30 days' suspension of application of decree but no reply can be given until next cabinet meeting; apprehension lest if taxes are not paid, Government will refuse clearance of oil ships. Same subject.

Transmits decree fixing taxes on petroleum lands; comments thereon. Commercial relations. Aguilar to continue trade negotiations assisted by Pani and Nieto; apparent lack of desire on part of Mexican officials to complete trade negotiations with the United States. Same subject. President Carranza and Cabinet unanimously rejected memorandum of the proposed Treasury arrangement for the exportation of gold to Mexico; President Carranza will handle further discussions directly. Claims of American citizens against Mexico. No definite position can be taken by the United States until further information is received from Mexico with reference to certain articles of the decree of Nov. 24, 1917; information has been requested. Commercial relations. Transmits formal statement given to press by Secretary of Government to effect that Mexican Government rejects tentative gold export arrangement; encloses newspaper clippings in praise and criticism of Nieto's activities; committee headed by Aguilar will continue negotiations.