Pine Bluff daily graphic., 1920-07-08
MEXICAN SITUATION
 BEING STUDIED BY
 STATE DEPARTMENT
Recognition May Be Given Huerta If Assurances
 Are Offered
LIVES OF AMERICANS
 MUST BE PROTECTED
Men Who Dealt With Foreigners Un- der CarranZa Regime Still Deal- ing With Them, the State
 Department Learns

Washington, July 7.-The Mexican situation is receiving more careful study by the American government than has any subject since the Paris peace conference, it was stated today at the state department. This is with a view to according recognition to De La Huerta's provisional government provided satisfactory assurances are given that it can and will maintain order and will live up to it's obliga- tions respecting the protection of the lives and property of foreigners.
 Iglesias Calderon, the special en. voy sent by De La Huerta to ask recognition, will ask fer another con- ference with Acting Secretary Davis when he has discussed the situation with the members of his staff who have just arrived here from Mexico City.
 American officials, it is stated au- thoratively, are impressed with the evident sincerity of the expressions of Provisional President De La Huerta and of the efforts to bring about or der in Mexico, but they have taken note that the active workers in the various departments of the Mexican government have not been changed and that the newly appointed cabinet officers leave the work of their of fices chiefly to the same men who conducted the affairs of Carranza.
 Reports from Mexico City state that foreigners who went to the Mexican capital to compose the differences be- tween their companies-agricultural mining and manufacturing fore ed to deal with the same men they formerly dealt with, and in some cases the men who conducted the confisca- tion of their property under Carranza, and that they are meeting with the same difficulties as before.
 General Obregon's desires to re- duce the size of the army, as report ed in official and unofficial advices, are believed by officials to be sim cere, but it is noted the army has been increased by 3O,OOO men as re- suit of the revolution. Official re- ports received here have told of eff forts that are being made to moralize the army by stopping the abuses to life and property.
 General Gales has issued strong order of the plaza on that subject.
 Abuses Are Many.
 The treasury department has esti- mated that the cost of the army is 100000 pesos day, and Salvatore Alvarado acting secretary of the treas ury, officially announced there were 5000 or 10000 people living on the nation by the padding of pay rolls.
 One serious military abuse the gov ernment has not been able to correct is the withholding of railway cars and locomotives in spite of specific orders for their return to owners. More than 5000 cars are still in pos- session of the military and the rail- way operators say it is impossible to maintain freight or passenger sched- ules unless the care are returned. General Luis M. Hernandez has been sent on a tour of inspection with or ders to compel the military chiefs to return the cars.
 The school teachers in Mexico City have not been paid since June 10 and recently petition was sent to the senate asking restoration of the de- partment of public instruction which was destroyed by Carranza.
 Difficulties of reorganization and administration apparently are not the least serious of those facing the new government. Reports to the state de- partment today told of several new disturbances in various sections. These seem to be distinct from the movement led by Francisco Villa, and while not considered seri- ous in themselves, the department of ficials in their efforts to analyze the whole Mexican situation are giving them careful study.
 Reports from the border today that Villa had signed an armistice had not been confirmed in advices received by the department.
 Officials frankly state that the new regime in Mexico has a great task to perform before the country is re- stored to anything like normal con- ditions. They fully appreciate the difficulties that confront the new administration and say they are anx- ious to give what aid they can consist ent with the protection of the rights of Americans in Mexico.