The Chickasha daily express. (Chickasha, Indian Territory [Okla.]) 1899-current, 1915-11-23
Carranza Must Have Help from
United States and Uncle Sam
Must Stand as Security
in Some Way
EUROPEAN MONEY
MARTS NOT OPEN
Recognized Government Faces Inn
mense Debts; Vast Issues Of
Currency Afloat; Claims
Total 300 Millions
BY United Press.

~ NiAitCu ICcS.
WASHINGTON. Nov. 23.-Will
Uncle Sam become Mexico's financial
angel? This question is the absorbing
problem involved in establishing the
Carranza government.
That financial help must be given
by the United States to Mexico is ad-
mitted by officials. The form such
aid should take is the principal hitch.
High state department officials inti-
mate that the government cannot
appear as a principal in securing
credit for Carranza. It's moral sup
port, however, is assured.
The modus operandi probably will
be as follows: After Carranza's
agents in New York have made
guarded overtures to financiers for
loan, quiet inquiries will be made of
the state department if such loan
has the approval of the government.
Inquiry will be made as to whether the
United States would back up the loan
! in case Carranza's government should
fall and collection from new adminis-
Itration be made necessary. If agents
of financiers receive such assurances,
the loan will be made, with bonds of
the new Mexican government as Sc
curity.
That Carranza must secure his loan
in this country is regarded as certain.
Europe's money marts are not open
to him. 1t is possible he might place
part of a bond issue with Argentine
bankers. The bulk of the transaction
must, however, be handled by New
York financiers.
Re-establishing Mexico's financial
system presents many difficulties to
Carranza. Hundreds of counterfeit
issues of money are afloat. Villa has
issued millions of currency now value
less. In Mexico City alone there are
a score of repudiated issues. Huerta's
currency is worthless.
Carranza, who has announced that
he will establish gold standard for
Mexico, with new currency system
similar to the federal reserve act Of
this country, but he probably viii not
be able to do it until new Mexican
congress is legally elected.
Regarding the immense debt burden
faced by Carranza. payment Will be
effected. according to information
here. through claim commissions. Car
rama will assent to mixed claim COM
missions to deal separately with each
country presenting claims. Assurance
by Carranza that he would honor for
eign claims was one of the conditions
upon which he was recognized as chief
executive. These claims total about
$500 900, 900
The Mexican mixed claims commits
sion will, it is reported, be composed
of representatives of the interested ma
tions, but the United States will not
officially participate in collection Of
claims of other nations.
The claims Carranza assumes run
back five years from the ousting OF
President Diaz. No claims for prop
erty destroyed and confiscated during
that and successive revolutions have
ever been paid. This involves lengthy
and complicated negotiations before
payment of the claims, to establish na-
tional responsibility for property
losses in the many major and minor
revolts.
Solicitor Cone johnson of the state
department has active charge Of the
american claims. Many of these have
been on file for years. awaiting re-
establishment ef stable government
from which payment could be de-
manded' Railroad. mining oil and
ranching interests are the principal
American claimants Americans are
stock and bondholders of the Mexican
National and other railroads and tele-
graph companies which have suffered