New-York tribune., 1922-05-14
Obregon Holds
Oil Properties
AS State Owned
Mexican President Says Sub.
soil Rights to Unexplored
Lands Belong to the Gov.
crnment by New Ruling
Silent on Commission
Financial Aspects of Problem
Will Be Settled in N. Y,
He Tells Correspondents

Copyright, 1922. New York Tribune Inc.)
MEXICO CITY, May 13.-President
Obrcgon explained to the correspond
cnts to-day, in connection with the
Mexican Supreme Courts fifth decision
yesterday defining Article 27 of the
Mexican constitution as non-rctro-
active, that his personal opinion of the
interpretation Of the Law was that sub
soil rights claimed before the consti-
tuition was adopted were the property
Of the surface owner, but If not
claimed before that time were the
property Of the state.
"If you want some rights you have
to pay for them" the President said.
Land owners ordinarily have paid
taxes for surface rights, and not sub
soil, the President explained. All those
who gave notice Of their intention to
utilize the subsoil we're taxed addi
tionally for that privilege. Therefore,
the President said, the government re-
spected the rights of these owners to
the subsol. But those who paid taxes
only for the surface were entitled only
to surface rights, he said.
Now Belong to State
The President was asked whether the
subsol of landa held but not explored
by oil companies was the property Of
the state. He replied that it undoubt-
edly was, as these were the rights re-
ferred to in Article q Of the constitu-
ton, which nationaliZes the subsoil
rights.
President Obregon refused to ex-
press an official opinion regarding the
proposed mixed commission to adjust
differences between the governments
Of the United States and Mexico. He
said that all he knew Of the matter
was what had been published by the
newspapers. He refused to Indicate
whether he would favor such a COM
mission to iron out the obstacles to
recognition of his regime by Wash
not come before the Cabinet and that
opinion.
Asked regarding the possibility Of
recognition Of the Guatemalan govern
ment by Mexico, President Obregon
said that if the people Of Guatemala
recognized their own administration as
legally constituted he saw no reason
why Mexico should withhold recogni-
tion. Asked when recognition would
be granted, he replied: every shortly"
Now a Matter of Money
Answering a question whether Adolfo
de la Hucrta, Minister of the Treasury,
was going to Washington or New York
on his projected visit to the United
States, the President with apparent
annoyance said that he had under
stood that the financial conferences
which Dc la Huerta will attend are to
be held in New York. He added that
the matters to be discussed were of a
purely financial nature.
Asked whether ho thought the Mexi-
can government could reach an agree
ment with the New York bankers, the
President said that if debtor (Mexi-
COY desired to liquidate its obligations,
he could not conceive Of failure to
reach an agreement with the creditor.
The President was asked what he
he laughingly replied that it was
hardly his place to express an opinion.
because that would be taking liberty.
And anyway, he added, he didn't think
that even the delegations at Genoa
knew what the results Of their nego-
tiations would be-
The President was asked what action
the Mexican government would take in
dealing with the American bandits cap
tured by Mexican troops when the out
laws attacked the oil properties near
Las Lomas, close to Tampico. He re-
piled that the leader Of the bandit
gang, Monte Mitchell, an American, had
been killed and that the captives
would be dealt with according to Mexi-
can law, just as all bandits, whether
Mexican or foreign, have always been
trsated. These bandits who were ar.
rested at Tampico yesterday "justifed"
their actions by saying that they were
attacking American oil properties.
Oregon denied that he had any
knowledge Of the report that Francisco
Villa was coming here to visit the
President.
Woman Candidate Runs Third