852.75 National Telephone Company/53: Telegram
The Ambassador in Spain (Laughlin) to the Secretary of State
[Received November 28—4:57 p.m.]
94. My 86, November 18, 3 p.m. On November 18 company was given 15 days to file its case with the parliamentary subcommittee. A prolongation of this period was immediately requested by the company but was refused. Should Page discuss this with you it might be well to discourage Embassy intervention for prolongation [Page 570] for fear of such a step being interpreted as tending toward recognition of nullification bill on which your protest of November 23 is a final stand. Rock is in agreement.
An independent bill has been introduced by a deputy of the radical party for abrogation of article 7 of contract which governs taxation. Moreover a decree is now before the Minister of Gobernacíon canceling telephonographic services of the company as authorized by article 12 of the contract.
I am informed that Cabinet dissension over nullification has not yet been composed and that there is an increasing possibility of a crisis over the question, also there are serious apprehensions that a general railway strike and a revolutionary uprising of extreme rights and lefts acting concertedly may shortly coincide.