AZ vs. CA:04 California Exhibits, Vol. IV; Nos. 151-192

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-3- the actual amount of the Mexican Team vouchers, pay rolls, etc., which vouchers, pay rolls, etc., were prepared in my office, while the books of the Mexican Company (in English) covering these transactions, were handled by my Accounting Department, said books being still in my possession. The work being done under my sole direction. This arrangement continued in effect until February 14, 1911, when I received a communication, signed by W. J. Doran, as President of Compania de Terrenos y Aguas de la Baja California (Sociedad Anonima), stating that said Compania de Terrenos y Aguas de la Baja California (Sociedad Anonima), (The New Mexican Company), had on January 28th, 1911, purchased the properties formerly owned by La Sociedad de Irrigacion y Terrenos de la Baja California (Sociedad Anonima), (The Mexican Company), that it was the intention of said New Mexican Company to maintain and operate the Mexican Canal System and at the same time demanding as a consideration therefor, that I pay to said New Mexican Company, the sum of thirty cents out of every fifty cents collected by me from the sale of water in the United States. I refused to accede to these demands. Conditions became very complicated at this stage, it being impossible for me to ascertain just what my rights in Mexico were. In order to force matters to a conclusion, in the hopes of ascertaining by what right the New Mexican Company claimed ownership of the "Sociedad" properties, I temporarily withdrew my forces from Mexico. Thereupon the New Mexican Company assumed the maintenance of the Mexican Canal System, the funds therefor having presumably been advanced by W. J. Doran, Trustee of the Southern Pacific Company. This