New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-09-27
Protest TO Joint Commits,
sion Against Conhs-
catory Taxes.
AMERICANS FORCED
TO BUY CURRENCY
Carranza Sets High Price
on Paper Sold to
Operators.


with Mexican properties having total
Capitalization Of NOR. than '35o.eoo'VoO
Yesterday dispatched TO Franklin n
Lane. chairman OF the American divi-
sion Of the Mexican-American Com
mission in session at New London,
Conn. a joint protest concerning gov
ernmental obstruction Of industry IN
the southern republic. and asking for
relief as soon as possible.
tt. statement, which was prepared
b. william Loeb. jr-. director o; the
American Smelling and Refining Com
PAW. and signed by officials o, ~
teen other companies, complained OF
the confscatory nature Of the taxation
DEGREES OF General Carranza.
Practically the entire mining Indus'
.rv Of Mexico, il asserted, had been
crippled by the imposition Of inordi-
nately high taxes on mined ore. Bandit
raids on property, the extortion o.
large sums under threat Of destruction
Of equipment. purchase forced By The
de facto government Of Mexican cur
rencv from the authorities az inflated
prices, governmental control Of LABOR
widespread epidemics OF disease ana
scarcity Of food mad resulted, the
statement continued In the suspension
Of more than 50 per cent OF mining
operations in the country.
Most Of the properties had been op-
Grated at 40 per cent or less OF ca
pacity from January 1, 1915, 20 July l
Of the same year. Since that time al
mines. except in a few isolated IN
stances. had been shut down.
Tax Is 10 Per Cent.
Destruction by raiders was blamed
in part, but the principal obstruction
was declared 20 be the imposition OF a
tax of 10 per cent Of the gross value
of every ton Of ore mined. This levy
pavable in United States gold, entailed
either operation at loss or suspen-
sion. In many cases, It was said, the
De facto government had notihed me
mine owners that suspension would De
followed by confiscatlOn OF the proper
ties. For this reason, some companies
had operated az considerable loss.
Another cause of complaint was de-
clared 20 be the practice OF the us
facto authorities OF invs4idatns NeAI-
can currency purchased oy the con.
psnies IN the open market, the IONS u
nationalist officials forcing tnem 20 D4y
all moneys required from the govern
ments At rates higher than the pre-
vsiling exchange ngures.
Penorts from resident officials or me
Mexican properties we're lhciqdee ~
tho statement. which covered forty
printed pages. SUMMARIZED tne deIHl-o
furnished by the local representatives
-efarredto starvation conditions. prop
ertv destruction - desperadoes ;,
plagues Of typhus and yellow fever ana
"persecution By the authorities.
Mining Interests Demands.
Prime requisites 20 the resumption
Of operations, according 70 the state
protection from bandit raids on life
and property. -.
Reduction Of present excessive taxa
ton.
a. It's market value.
The discontinuznce OF labor control
By government decree.
Permission % import food Tor en-
pioyes.
Better transportation facilities.
BETTER san.tary conditions and con-
certed campa On against disease.
1T cannot be denied the statenent
concludes. that conditions have grad
usIIv become worse instead OF better.
The forces OF the Constltutionsiist 90
facto government are evidently unaol.
% maintain order
Doubtful Of Success.
II = tn. belief Of the officials o. IN.
protesting organizations that the NeA-
lean members OF the joint commission
will be unable % consider reforms nee
es,ary 20 a resumption OF America
mining industry m their country: Ihe7
have been expressly forbidden BY the
First Chief 20 enter INTO discussions
relative 70 Mexico's internal and
economic problems.
THE statement said Mr.. Loeb, "ls
intended solely for the Information OF
the American commissioners. While
We shall be glad II 10 IS brought before
The Mexican representatives, nc nave
no homes that II viii be
Mr.. Loeb and probably other repre-
ssntatives Of American interests IN
Mexico will confer with the American
commissioners IN person AZ Atlantic
City early next week.