Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1885-06-26
MEXICAN FINANCIAL CRISIS.

Capitalists Opposed to the Decree of the
Government.
CRY OF MEXICO, VIA. GALVESTON, June
25.-There was protrscted meeting last
night of the Directors of the National Bank
of Mexico, at which Senior Dublan, the Min
ister of Finance, was present, and interro'
gated as to whether any arrangements
could be made with the Government where
By the bank might be exempted from the
operations of the law decreed on Monday
last, a synopsis of which has been tele'
graphed in these dispatches. The Minister
of Finance replied that nothing could be
done, as the law had been decreed by the
iull Cabinet, presided over by the President
of the Republic. The National Bank is
badly embarrassed, and, it is predicted, can
not survive this shock. The London Bank
is quite unaffected by the law. There is
talk that the National Bank, the Central
Railroad and the National Railroad will
jUin in
Common Protest to the Government,
but not until their attorneys meet can it be
decided upon what grounds this can be &C.
complshed. The National Banks capital
is largely held in France, where it is backed
by the Franco,Egyptian Bank, and to day
rumors are current thas the French govern
ment might make diplomatic protest in
behalf of the bank. A question has also
been raised regarding the attitude OF the
United States government shonld Ameri-
can railroads be seriously embarrassed.
Minister jackson is in Tolucs, where his
wife is i'll, and could not be interviewed BY
interested Americans.
The large German mercantile houses
here have bought up Custom House certih'
Gates at discount, and the point has been
raised in German circles that the home gov
ernment is likely to make diplomatic in
quiry why these certificates have been dis
credited.
The United States Position.
Regarding the question Of possible inter
terence by the United States Government,
it is said in legal circles here that the
American railroads are Mexican corpora
lions, under the terms of their respective
concessions, and cannot appeal to Wash
II gton.
1t is r. ported that the Government will in
! few days publish new scheme for the
adjustment Of the English debt. and it is
expected favored result will follow on the
London market.
The immediate effect of the financial
coup d et0t here must be beneficial The
Government will have more ready money al
command, now that 81 per cent Of the
revenues have been released from the bur
den of subsidies. A few weeks ago the
Government had but little money, and
could not pay its employees, and business
here was greatly depressed. The merchants
now look for improved trade and are likely
to order more extensively.
The Decree Criticized.
Another dispatch says: The new insn'
cial policy of the Government is severely
criticized by those interested in investment
of foreign capital in Mexico. The practi
cal effect of the decree for new $25, ,00O,
600, guaranteed by first lien upon all rev
enues, is that the National Bank, and the
Mexican National and Mexican Contra
railways must surrender their mortgages
upon custom receipts and take the new
Government bonds in place of them. Thi'
of course seriously affects the credit OF these
corporations, and their officers are alarmed
and indignant. The arbitrary course of the
Government is explained by the Minister o.
Finance as necessary, in view of the exist
ence of deficit which cannot be met BY q
loan through the National Bank nor BY re
duced expenditures nor increased taxation
Boston Investors Excited.
Boston, June 25.-The stock market has
been excited over the news from Mexico o
the decree for new government loan tax
ing precedence of railway and bank subven
lions. Mexican Central Railway bonds fel
six per cent. yesterday owing to the belle
that the payment of railway subsidies vii
be suspended. The officers of the road
however, claim that the whole policy o
! President Diszs government is too tavOra
bic to railway development to admit Of an,
doubt in regard to the ful6lment OF all tn
oblisa cations entered into.