812.6363/2963
Memorandum by the Chief of the Division of the American Republics (Duggan)
Mr. Welles spoke to the Mexican Ambassador about the pending petroleum decree when the Ambassador called to say good-by yesterday morning. Mr. Welles informed the Ambassador that we most earnestly hoped that the Mexican Government would take no action with respect to petroleum that would reopen or upset the so-called Calles–Morrow arrangement. In view of his conversation, and in view of Mr. Boal’s comment to me on the telephone July 17 that consideration of the oil decree seems to have been deferred for the moment, Mr. Welles does not believe that the Embassy in Mexico City should be instructed to take any further action vis-à-vis the Mexican Government in this matter.
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