File No. 812.512/1022
Special Agent Silliman to the Secretary of State
Arranged for informal meeting this morning between managers of principal American mining companies representing many millions and Secretary Cabrera. Conference lasted an hour. Local and general situation frankly and fully discussed. Secretary states that due to Government’s need of money it was obliged to adopt measures that it would not consider under ordinary circumstances; that it wishes the mining companies to understand this and that while the Government must go to the limit in taxes, it did not want to go beyond the limit. It wanted to dismiss its soldiers as rapidly as possible and have them employed in mines and other industries; that Government must foster industries and not oppress them. Interests of the Government and the industries of the country, he said, are mutual, and not antagonistic. He asked companies to be patient and to trust the Government to do its best for them under the abnormal circumstances. He said to them, and afterwards confirmed to me, when I read him Department’s February 8, 4 p.m., that Government had decided that any change in mining the here [decree?] would be considered during the next period and if changed it would become effective with beginning of new fiscal year July 1. This means that taxes for the next tercio will have to be paid according to terms of the present decree.