John Lind to William Jennings Bryan

Captain Hough was released early this morning and Saved . I have made suggestions on two matters recently that require explanation. The form of note which I suggested with regard to imprisoned Congressmen was prompted by the provision of the Mexican Constitution which provides that at a time when the constitution is suspended for any reason persons assuming to act officially shall be held personnally responsible for any action taken for a period of one year after normal operation of the Government has been resumed under Constitution. I wished to emphasize that there might be a day of reckoning with a future Government. I recognize fully that the President’s note was more comprehensive, and I explain no1 only to make my viewpoint understood. My recommendation in Captain Hough’s case was drastic. Two considerations prompted it: first, an object lesson to Mexico that we were ready to class her with the Central America Republics when she conducted herself as they do; second, to demonstrate to the Germans and the English that we resent insult as much as they do. Aside from these explanations I have nothing to modify in my former reports.
After canvassing all the evidence available with the utmost care and reflection I have become convinced that the control and monopoly of the oil fields and oil business in Mexico is not only the aim of the Lord Cowdray interests but also of the English Government. England’s Mexican policy f for some time past has been shaped and exerted with this sole aim in view. The late Minister Strong was not deemed big enough to accomplish the work; hence Carden’s appointment. The Madero Government suffered downfall not alone by reason of the hostility of the hacendado interests, but more especially because of its halting allegiance to Lord Cowdray. It is charged, and I assume truthfully, that the Standard Company financed the Madero rebellion in part, but however well disposed the Standard may have been to resort to corruption to further its aims it has utterrly failed in accomplishing results as compared with Lord Cowdray. The Standard at this time has a Mr. Malbraith head a very nice man, probably an excellent businessman, not overscrupulous I judge, but utterly lacking in political acumen as compared to Mr. Adams. Under Mexican law oil was originally deemed mineral, title in the State. Some years ago the Congress remitted the title of oil to the surface owner. The oil development to date has largely been under lease from surface owners and also under concessions in the public lands. About the time that I reached Mexico agitation was started for “nationalizing” oil. The legislation proposed to that end to cover all property not developed to the point of production. It was also planned or at least discussed in Huerta circles. to prohibit the exportation of Mexican oil except for the use of the Governments of friendly nations. This latter proposition was much lauded as measure of conservation.
There has been considerable discussion in Government circles and also in the press of a scheme by which it was proposed by the Lord Cowdray interests to enter into a contract with the English Government to supply for Government use a very large stipulated tonnage of oil for a period of fifty or one hundred years and to assign the control of the corporations holding the Lord Cowdray interests to the English Government to insure the performance of the contract. The Congress now imprisoned was not wholly converted to these views. It is considered that Congressional legislation is necessary to carry out the scheme in its entirety, hence the disposal of the existing Congress and the call for the election of a new one. I feel morally certain that if the Huerta Congress is permitted to convene even for a day whether under Huerta or a successor the scheme above outlined will be sanctioned by formal legislation and additional concessions conferred. I have been convinced since the day after the coup d’etat that the principal object of that move was to facilitate the consummation of this scheme.
On the twenty second there appeared in NOTICIOSO MEXICANO published in City of Mexico, recognized as owned by Huerta’s personal associates the following article:We were holding the following information. The Government Secretary GARZA ALDAPE will shortly draw contract with the English, French and the German Government inasmuch as they offer hundred twenty million pesos annual rent for oil wells of the State of Tamaulipas. The understanding is that the project of GARZA ALDAPE after it is approved will affect the financial combination.We do believe that this is the result of thoroughly intelligent plan by the Government.As to whether the Governments of Germany and FFF France are parties to this scheme I have not knowledge, but I have no reason to believe it authentic. There can be no question but that the Mexican elements represented by General Huerta are anxious to have the Government of England and perhaps other powers become contractually interested in the soil and in the most valuable and extensive production which Mexico has at the present time. I shall not stop to discuss the possible political consequences that would necessarily result if these plans are not frustrated. Huerta’s recent announcement of his intention to refuse election and to resign was made on the very day that his tools were circulating his confidential instructions for the conduct of the election. I have copies of these confidential instructions. They would make a Tammany chieftain green with envy. Will forward translation tomorrow. The whole plan is as follows: Huerta will resign. His successor Lord Cowdray’s nominee will call a new election. Pending that election it is being considered whether or not Huerta should take the field. In due time he will announce his candidicy for the Presidency and with the prestige of an almost unanimous vote at the elections tomorrow he will of course be elected. Besides he will have a Congress of his own making to canvas and declare the result.
Yesterday I met Mr. Adams by appointment. We had a two hours’ conference. I meet him again this afternoon. He deplored the lamentable situation in Mexico and said that Huerta’s proposed resignation seemed like a ray of light and might afford a solution. He wanted to discuss with me earnestly plans for making the most of the opportunity etc. I said to him that as far as the Government of the United States was concerned recent developments coupled with Huerta's delay had made it a matter of utter indifference as to what Huerta did or did not do. I said further that before I would advise any participation on our part in constructive measures the boards must be cleared in toto of the whole Huerta regime; that it would be impossible to do any rational constructive work with such material as the Congress which Huerta was seeking to bring into being; that I personally would not, nor did I think that Washington would, give the question which he suggested any consideration whatever until the litter of political wolves which he proposes to turn loose tomorrow are politically strangled. If before his own resignation Huerta would denounce the election of members of Congress as utterly void and invalid, and direct his officials to refrain from making any returns of the election of Members of Congress, I would be glad to take the matter up in real earnest with reference to planning for the future. Our discussion generally was friendly. I was very conciliatory in regard to the matters recited above. Neither of us referred to Minister Carden’s actions or speeches and I do not intend to discuss that question with him this afternoon. They know my views and that I have understood their moves in the past. Will report again tomorrow.