Evening journal., 1918-08-15
MEXICO REFUSES
TO amend OIL LAW
Denies Right of England to
Object to Decree Tax
ing Properties
BASES ANSWER
ON SOVEREIGNTY


MEXICO CITY. Mex Aug. i5.-Reply-
ing 10 a protest from Great Britain
against the provisions Of the oil decree
OF February %. which was declared to
be conflscatory and in violation Of
the rights OF English companies hold
Ing oil claims, the Mexican Government
has declared that It does not recognize
the right OF any foreign government to
protest against DEGREES OF this nature.
IL holds that by virtue OF its sovereign
rights the Mexican Government is free
TO adopt such fiscal legislation as is
necessary. II suggests that recourse
TO the courts would be the proper
method Of determining whether the oil
land decree is unjust and conflscatory.
The Mexican reply follows
without judging the eXactness or
lnexactness OF the qualifications Of es-
tablished taxes, the Mexican Govern
ment can only express the surprise
caused by the note and the protest OF
his Britannia Majesty for in the ca
pacity Of an independent nation in the
legitimate exercise OF her sovereignty,
Mexico issued a decree against which
the only recourse that Mexican laws
concede is when they judge onerous
and conflscatory taxes decreed by pub
lie power.
THE surprise OF the Mexican Gov
ernment Is legitimate, as would be that
OF any other Government OF q free
Fvmfrrafnr- h~N - hfu nrfNunnIn
Majesty, n 10 found that acts or in
terror legislation such as the right OF
imposing contributions were called
into question by the diplomatic pro-
tests Of the countries Of subjects af-
fected by the imposition. The Mexican
Government Is sure that the Govern
ment OF His Majesty would not permit
diplomatic protests against the high
contributions that the war has caused
him 10 decree in all his dominions, and
which should weigh equally. not only
upon British subjects and subjects OF
conquered nations, or those subjected
IN any form 20 his dominion, but upon
foreigners alike.
I'm virtue OF its freedom OF fiscal
legislation, II Is opportune TO declare
that the Mexican Government does not
recognize the right OF any fOreigi
country 10 protest against acts Of this
nature coming from the right 20 exer-
else interior sovereignty, and, in conse-
ouence cannot accept the responsible
fly which II Is pretended Will be
charged 10 her account as supposed
damages as a consequence OF this legis-
lation.
such decision Is founded upon the
equality which the Mexican Gove~n-
ment desires should exist between
Mexlcans and foreigners regarding con-
/ trlbutlons decreed in its territory, be
cause n Is deemed that, conceding the
| preferences TO which all diplomatic In
terventlon tends, such a decision Is fair
10 Mexico IN It's strictest terms.
"The course to be taken. by foreign
ers and nationals alike 20 free them
selves from impositlons which ar'
! deemed confscatOry consists in sub
/ hitting the case before tribunals
which are always found ready to ad-
minister Justice, applying the law
which Justly guarantees individuals
/ against conflscation NJ property. Fur,
/ thermore. it Is generally admitted tha'
diplomatic representation should be inc
/ last recourse taken and only when the
/ last resources have been exhausted.
"If the provisions OF the decree are
/ openly against the laws and In VIOLA
tion OF contracts previously made. ac-
cordlng I'D the concept OF his Britannia
/ Majesty such could not nationally con-
stitute an obstacle TO the free develop
ment Of Mexican property, and this de-
velopment can demand, as has happen
Cd certain charges Of legislation bene-
fetal 70 the country. This Is evidenl
when n is considered that the modern
concept Of property Is that L is social
function bound closely TO the property
Of the state.
! "The Mexican Government has Urn
purpose In respect 10 foreign Interests
/ II gives them guarantees facliltatine
their development and believes that Us
program can only be realized tnrouen
/ ne laws and Institutions OF the re-
public by applying dispositions
"Tsteemins that 70 Is the best guar
sntee u can impsrt, the Mexican Gov,
ernment cannot see a way TO acoep'
the diplomatic protests from his BTU
ann,o Majesty, which would have th'
erect of giving English citizens un'
equal preference over Mexican ma
The replv is signed by General Can
dido Aguilsr. Minister OF Foreign NJ
fairs.