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94
MEXICO'S DILEMMA

which contains the following provisions pertinent to this subject:

Article 27. In the Nation is vested ownership of . . . petroleum and all hydrocarbons.

. . . The ownership of the Nation is inalienable and . . . concessions shall be granted by the Federal Government to private parties or . . . corporations organised under the laws of Mexico.

Article 28. There shall be no . . . exemption from taxation . . .

Article 123 (Of Labor and Social Welfare) XVIII . . . Strikes shall be considered unlawful only when the majority of the strikers shall resort to acts of violence against persons or property.

Article 27 deliberately confiscates the oil properties acquired by British and American companies. Oil in Mexico has always been the property of the owner of the fee. The companies mentioned have spent large amounts of money to acquire oil rights by purchase and lease. The effect of this "constitutional" provision, if it is recognised as legal, is to make Mexican petroleum the inalienable property of the Nation. As such, being contraband, neutral Mexico cannot allow its shipment to belligerent nations.

Legislation is now before the Mexican Congress putting this "constitutional" provision into effect.

Article 28. The principal oil-producing com-