New-York tribune., 1922-06-18
Mexican Action
OnDebtPraised
AT Washington
Agreement With Bankers Is
Regarded as Evidence Of
Desire of Obregon to
Meet Foreign Obligations
Lamont May See Hughes
Official Comment Withheld.
but Hope Exists Article
q Issue May BE Ended

tNNht Nth ~
Fron Th- Trfbure's Washington Bsreau
WASHINGTON. June 1.-THE ad-
vance step toward solution Of MeKieo's
financial problems. taken by the Com
mittee OF international Bankers and
Adolfo de Ia Hucria in New York yes
ierday. has been noted BY American
government officials. who, though with
holding all comment on the agreement
make no pretense OF eoneealing the
fact that the action is an evidence OF
! Mexico's desire 20 meet her foreign
obligations.
Il is thought likely that Thomas W.
Lamont, chairman Of the group Of in
ternationsl bankers, will advise Sec
retAry Of State Hughes fully on the
negotiations which have been held
| during the last two weeks. and which
terminated yesterday in the agreement
20 adjust Meyico's outstanding debt.
While IL steadfastly has been con-
I tended that the Harding Administra-
tion had no connection with the hnan-
T cial agreement. u is known that the
solution reached is pleasing 70 officials
here concerned With MeNican-Ameriean
! relations.
Obregon's Good Faith Shown
The agreement made by de la Huerta
Z and the bankers Is looked upon here
As an unmlstakable effort by the Obre-
/ Qon government 20 recognize MeSieo's
/ outstanding obligations. II is believed
/ here that President Obregon will not
delay in giving his approval 20 the
agreement and that a conscientious ef-
I fort will follow by the Mexican govern
ment 10 adhere 20 the stipulations OF
I the contract
Particular significance is seen here
I in that portion Of the joint statement
f issued by Mr. Lamont and Mr. de la
Huerta which referred % the deter
! mination Of the Mexican government 20
I fulfll us obligations % the fullest eH-
I tent Of It's capacity.
This is interpreted as fat declara-
tion on the part Of Mexico 20 seek 70
adhere 20 the financial agreement m
the hope that greater confidence may
be felt in the Obrsgon government by
the United States and other nations
whose citizens are holding the unpaid
bonds. The waivure Of interest pay
nents FOR the period stipulated IN the
agreement. 10 is believed here, will be
cheerfully approved By the bonohold-
ers.
Article q still an Issue
With the Mexican financial question
practically solved. attention viii no"
\ ( Hfawrafffnu ~ PRS.
ident Ohregon and his advisers 20 meet
The desires OF the American govern
ment FOR a specific declaration on Mex
ican laws regarding the rights Of for
siqners. while the Mexican supreme
Court has somewhat clarified the pro
visions of Article q Of the, Mexican
Constitution. there still remains ac
cording 70 the American view, the ne
cessity for President Obregon TO sup
ulate unmistskably that vested rights
OF foreigners in Mexico will be fully
recognized and not subjected 20 seizure
or undue taxation. The American view
i that this guaranty can best be ex-
presssd in a treaty % amity and COM
meree. the negotiation Of which auto.
natically will bring recognition Of
/ Mexico By the United States.
MEXICO CITY. June II CBy The As
sociated press).-Nevs of the success
ful outcome Of Finance Minister de Ia
Huerta's conferences with the interna-
tional bankers in New York was re-,
ceivcd with great satisfaction here ana
| the settlement was hailed as a momen-
/ tous achievement and a dennite siep
toward the resumption b. Mexico Of its
place in the concert OF nations
Il is generally predicted by the news
rapers that Senior de Ia Huerta doubt
+ less will reach a complete agree
with the American oil men relative 70
taxation. and IL i, not unlikely that ne
will 20 20 Washington 10 pay an intor,
NAL visit 20 President Harding and
Secretary Of State Hughes.
Talk OF Recognition Revived
Talk OF imminent recognition by the
United States was revived on receipt Of
the news o. the bankers agreement,
hu. in conservative quarters 10 was
pointed out that the adjustment OF
Mexico's debts was merely one step m
The right direction, with considerable
more distance 20 cover.
Much interest is evidenced as 70 just
what clauses Of the agreement must be
sanctioned By President Obregon be-
fore IL can become effective, inasmuch
as Senior De In Huerta az all times
was in telegraphie communication with
the President and consulted with him
at every stage Of the proceedings. II
il not anticipated. however that any
difficulties viii be encountered.
President Obregon could not be
reached by newspaper men seeking an
expression from him. personal inquiries
At both the National Palace and Cha
pultepec' Castle eliciting the reply that
he was not In.
The strikers. whose movement has
deprived the city Of bread and ,cle-
phone and strectcar service FOR three
days, had decided late yesterday after
noon 70 return 70 work temporarily
"for patriotic reasons 80 as not 70
ombarrass the Finance Minister in his
negotiations. Now that settlement
has been reached in New York the
strike probably will proceed as before
with both sides deAdlocked and the
strikers daily gaining adherents.
One man was killed yesterday az the
Xochimileo electric light plant by
stray shot fred by demonstrating
strikers.
r.. E:rxIs nyar Epa haasv