File No. 812.6363/256

Consul Dawson to the Secretary of State


Commander of Nashville telegraphed from Tuxpam to the Tacoma, Tampico, as follows:

Pelaez demands heavy tribute from American oil companies. Carranza commanders threaten to burn property and shoot managers if any evidence is obtained of such payment.

This confirms my information. Pelaez also demanded tribute from Panuco and Topila producers, threatening to destroy property if refused.

Situation places oil industry in serious dilemma and at the mercy of revolutionists and de facto Government, the first controlling sources production and the second shipping facilities