812.6363/6408: Telegram

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

2. In his radio address last night President Cárdenas stated that definite termination of petroleum matter will have to be brought about through indemnization by judicial evaluation. Full Spanish text and English summaries have gone to the Department by air mail. The President is quoted in the press as saying that Mexico’s right to apply the expropriation law to companies which refused to respect the laws of the country is no longer a matter for discussion; neither is there any longer being discussed with the representatives of the petroleum companies any arrangement which would look toward their intervening again in the management of the industry as they were trying to do.