Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-01-15
Officials Silent on Probable
Course if Refusal Is Con-
strued covert Act"
SETTLEMENT BY CLAIMS
COMMISSION SUGGESTED
Kellogg Willing to Have His Mica
raguan Statement Made Public.
Mediation Is Favored.
BY G. GOULD LINCOLN.

New angles in the Mexican and
Nicaraguan situations today include:
Reported refusal of the Mexican
government to grant new permits to
drill oil wells on properties of Ameri-
Gan companies which have not filed in
accordance with the new land laws of
Mexico. effective January /.
Announcement by Secretary Kel-
iogg of the State Department that
he is willing to have the stenographic
report of his statement to the Sen
ate foreign relatiins committee on the
Nicaraguan situation made public
provided the Senate committee is will
ing to make it public.
Reiteration by the State Depart
ment that it is agreeable to the pro
posal made by the government of
Costa Rica that it mediate between
the warning factions in Nicaragua.
Suggestion that the claims commits
sion of the United States and Mexico,
located in Washington, handle the
controversies over the American
owned oil properties in Mexico.
GiIlett to Defend U. S. Policy.
Senator Gillett of Massachusetts,
member of the foreign relations COM
mittee, was prepared to defend the ad-
ministration's policy in an address to
the Senate today.
A petition was filed in the Senate by
Senator Walsh of Massachusetts from
citizens of that State urging that there
be legal adjudication of the differences
between the United States and Mexico
and of the troubles in Nicaragua, and
that as many of the United States
marines now in Nicaragua be with
drawn as may be possible.
A showdown in the Mexican oil
land tangle may grow out of the re-
ported refusal of the Mexican govern
ment to grant new permits to drill
wells on properties owned by Ameri-
can companies which have not filed
in accordance with the land laws
which became effective January /.
The attention of the State Depart
ment has been called te the refusal OF
such a permit to the Huasteca Co., at
TampicO, reported to be the property
of the Standard Oil Co. Of Indiana.
No comment was forthcoming
from the department as TO whether
the refusal Of the Mexican gov
ernment to grant permits to this or
other American companies in Mex
leo to continue with the develop
ment of the oil properties may be
considered an covert act" or what
will be the situation if this policy
is generally followed in connection
with American companies which
have not complied with the new
land laws of that country.
The department, it was said, is
awaiting further information re-
garding the refusal of the permit
to- the Huasteca Co. to learn the
exact reasons why the permit was
not granted.
Claims Action Not Discussed.
The suggestion that the differences
between the United States and
Mexico over the land laws of the
latter be submitted to the Claims
Commission of the United States and
Mexico was not discussed by the
department.
Minister Of Foreign Affairs Saenz
of Mexico, in a statement given out
here this week, suggests that an am
icable way of disposing of the differ
ences between the two governments
over the land laws would be to have
the cases of American companies
which did not comply with the laws. or
whose title to the properties was chal-
lenged taken before the commission.
Senator Borah of Idaho, chairman
Of the foreign relations committee,
also has proposed that the differences
between the two nations be arbi-
trated.
No comment on the proposal for
arbitration by The Hague Tribunal,
or for the settlement of the claims
Of the American owners and the gov
ernment of Mexico before the Claims
Commission, so far has been made by
the administration. In quarters close
TO the administration. however, there
has been a feeling that if the United
States agreed to arbitrate matter
affecting the constitution of Mexico
It might some day be requested to
arbitrate a matter which involved the
Constitution of the United States.
Personnel of Commission.
The Claims Commission is composed
of DIR. C.. van NoIlenhoven. presiding
commissioner; Fred X. Nielsen. com
missioner appointed by the United
States, and Senor LiCcnciado Genaro
appointed commissioner by Mexico.
In making known his wiIingn>
10 have his testimony before the for,
eign relations committee made publi,
Secretary Kellogg called attention tc
the fact that in some newspapers il
had been made to appear that his
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