File No. 812.512/1361
Special Representative Rodgers to the Secretary of
State
No. 144
Mexico City,
August 16, 1916.
Sir: I have the honor to forward herewith a
copy of a formal protest, presented to the Secretary of State for
Foreign Affairs of the de facto Government of
Mexico, in the matter of forfeitures of
[Page 727]
any mining land leases for failure to pay the
taxes corresponding to the tercio which ended February 29, 1916, such
forfeiture having been announced in the decree of July 31, 1916.
Although assured privately by the Secretary of the Treasury of the de facto Government that there would be favorable
consideration of all cases and compromises wherever possible, and
knowing that the Government does not now feel itself in position to
inaugurate any drastic action against delinquent holders of mining
lands, I deemed it expedient to place a formal and friendly protest on
record. A copy of this protest was also given to the Secretary of the
Treasury, and it was received in good spirit.
On June 30, 1916, I filed a protest of a somewhat similar character in
anticipation of the terms of the decree which was issued July 31,
1916.
Trusting that the Department will approve of this action on my part,
I have [etc.]
[Inclosure]
Special Representative Rodgers to the Secretary of
State for Foreign Affairs
No. 208
Mexico City,
August 11, 1916.
Sir: I have the honor hereby to invite
your attention to, and to record, a formal protest against any
action on the part of the Department of the Treasury in the way of
forfeiture of mining land leases, for failure to pay the taxes
corresponding to the tercio ended February 29, 1916, such as would
seem to be contemplated under the terms of the decree dated July 31,
1916, and issued by the Secretary of the Treasury.
In support of my contention, under instruction from my Government, I
beg to represent to your excellency on behalf of the American
interests involved, that by reason of disturbed conditions, lack of
transportation, and other vital impediments, many of the holders of
these mining leases, who have not paid their taxes, were absolutely
unable to do so because of an absence of earning power, their mines
having been entirely unproductive. Again, owing to causes without
their control, many of these holders of mining leases have not even
been able to visit their properties, or to secure adequate
protection therefor. Furthermore, in view of the circumstances which
have oppressed them, they have sought for such commensurate
reduction in the rates of taxation as would justify them in
retaining their properties until, under a restoration of normal
conditions, they could proceed with the industry, and while, up to
the present time, there has been no such reduction as would seem
fitting, they still hope for it, believing that the authorities will
treat the question in the broad-minded spirit which will recognize
the justice of the cause, and at the same time operate for the
ultimate benefit of all concerned.
I present this matter in a most friendly spirit, and in the hope that
the authorities of the de facto Government of Mexico will proceed in
that which can be considered an equitable manner, recognizing the
rights of the Government as well as the adversities which have
afflicted the mining interests in Mexico in recent times, and giving
cordial consideration to the question of such future adjustment of
mining taxation as will enable not only development, with its great
benefits to the Government and labor in time to come, but also
proper compromises with those who have suffered in the past through
no fault of their own. With pleasure I state that it is my belief
that this broad principle already has recognition and respect,
despite the formal declarations of the decree which gives rise to
this representation.
With assurances [etc.]
