File No. 812.512/944.
Mr. Parker, representing American interests in Mexico, to the Secretary of State.
197. W. D. Hudson, representing the St. Louis Oaxaca Iron and Steel Company, states that taxes on property of his company have not been paid since December, 1914. These properties embrace 548 pertenencias and are within the jurisdiction of the Government of the State of Oaxaca. If the taxes on these properties are paid to the [Page 983] Government of the State of Oaxaca an amount of approximately $500 in gold will be necessary. If the taxes are paid to the de facto Government of General Carranza it will require under the present ruling approximately 850 American dollars. Mr. Hudson desires to be informed whether the Department will consider the payment of these taxes to the Government of the State of Oaxaca, which is in de facto control of the properties, as legal payment or whether he must [apparent omission] the taxes to the de facto government of General Carranza. The State Government of Oaxaca, which is at present independent of the Carranza Government, has refused to extend the time for payment of these taxes and the properties are therefore liable to be fee land, subject to new denouncement unless the taxes are paid to that Government within the next two weeks. Will the Department please inform me what I may say to Mr. Hudson?