File No. 812.00/14935.

Special Agent Carothers to the Secretary of State .

[Extract.]

Sir: * * * I am preparing a list of all matters relative to foreigners and to the new mining laws, and it is my intention to take up all these cases with Mr. Diaz Lombardo and with Mr. Escudero, in Chihuahua, very strongly, and it is my hope to induce them to recommend to General Villa the return of all foreign property that has been intervened, and to convince Villa as to the dangers of such interventions and confiscations. * * * When I mentioned to General Villa your desire that the mining law be suspended until such time as the Government can present its objections, he immediately replied that he was willing to revoke the whole decree and make a new decree, putting the mining laws on identically the same basis as the United States laws. I told him that it would be better to wait a little on this until he has time to properly consider it. I took this as an expression from him that he would like to satisfy you in arranging the mining laws. * * *

G. C. Carothers.