812.5200 Compañia Terrenos Y Ganados San Rodrigo/27: Telegram

The Secretary of State to the Ambassador in Mexico (Daniels)

299, Your 399, December 11, 9 p.m. and Department’s 287, December 7, 5 p.m. Please express to the Foreign Office the Department’s and owners’ appreciation of the granting of the 30-day extension which afforded an opportunity for the two Governments to give further consideration to this matter.

After study of Article 52 bis of the Agrarian Code and its regulations, the company and its attorneys have about reached the conclusion that it will not be to their advantage to apply for inaffectability thereunder.

The Department is greatly interested in this case on its merits and as a test case, and considers it would be very unfortunate were the dotation to be carried out. It is confident that you will continue your earnest efforts, so far successful, to extend all proper protection with a view to prompt solution. Only as a last resort should there be agreement to dotation, in which event the permuta should be arranged; immediate full compensation will be expected if any of the lands are taken.

Please keep Department promptly informed by telegraph of developments.