File No. 812.516/187

Chargé Summerlin to the Secretary of State

No. 349

Sir: I have the honor to transmit herewith the text and translation of a Presidential decree directing the liquidation of banks of issue in accordance with the provisions of the Decree of December 14, 1916.

I have [etc.]

George T. Summerlin
[Page 1013]

decree dated july 7, 1917, directing the liquidation of banks of issue in accordance with the decree of december 14, 1916

I, Venustiano Carranza, Constitutional President of the United Mexican States, to the inhabitants thereof make known:

That, in use of the powers in the treasury with which I have been vested by the Congress of the Union, and considering

That the liquidation of the banks of issue having been decreed on the 14th of December last year, and it having been decided on April 6 last that such liquidation should be of an administrative nature, it is necessary, in order that due compliance may be given thereto, that a special institution, supervised by the Government, be authorized to make such liquidations from time to time as required; have, therefore, seen fit to decree as follows:

Article 1. The monetary commission is appointed to make the liquidation of banks of issue, which should be liquidated in accordance with the provisions of Decree of December 14, 1916, auxiliary banks (bancos refaccionarios) being included in the law referred to.

Article 2. The monetary commission, as a liquidating institution shall represent the bank in liquidation in the courts and out.

Article 3. The board of directors of each bank shall appoint a supervisor (interventor) possessing the same authority as that granted in bankruptcy legislation to similar officials; the appointment of the person selected for this purpose shall be officially communicated to the Ministry of Hacienda.

Article 4. In case the boards of directors fail to make the appointments of supervisors within thirty days from the date of this decree, the Ministry of Hacienda is empowered to make such appointments.

I, therefore, order that this be printed [etc.].

V. Carranza