Carranza, Venustiano, 1859-1920; Mexico -- History -- Revolution, 1910-1920; Mexico -- Politics and government -- 1910-1946
As revolutions cost money and none was forthcoming or could be had
after the murder of President Madero and Vice-president Suarez,
Carranza convened the state legislation of Coahuila demanding from
it the refusal of allegiance asked by General Huerta, and a vote to
turn over to him the money of the state treasury for revolutionary
purposes. Then he rode with a few followers on horseback through the
federal lines across the mountains of the States of Durango and Sinaloa
into Sonora, a State not connected directly by rail with Mexico City.
Being more free there from molestation by federal soldiers than the
other border States he helped to organize the government and made
his headquarters for a while in Hermosillo, Sonora. The seizure of
the border towns of Nogales and Agua Prieta opened the way to the
importation of arms and ammunition and to the receipts of the custom
houses. As the revolutionary troops on the border States captured more
custom houses, as happened in Juarez, Ciudad P. Diaz, Nuevo Laredo,
Matamoros and finally the seaport of Tampico, the revenues increased as
well as the facilities for the importation of foodstuffs, clothing and
ammunition.
Carranza and his sub-chiefs had five different methods of acquiring
financial support in northern Mexico.
1. The interior war tax, which was paid by Mexican and foreign
commercial mining and industrial firms doing business in the northern
States, besides the taxes paid by the “haciendados” or land owners,
farmers.
2. Custom house duties at all the border towns on imports and exports,
that is to say on foodstuffs, cattle, ore, metal, clothing, etc., which
were paid in gold as arms and ammunition bought by the rebels had to be
paid in gold.
3. Forced loans from the enemies of the Constitutionalists.
4. Voluntary loans by the friends of the revolution such as rich
Mexican landowners, capitalists and miners.
5. The creation of an interior debt by the issue of paper money to be
circulated in all the territory under the power of the revolution and
the prohibition to circulate the bills issued by the Banco Nacional of
Mexico City on February 18th, 1913, at the order of General Huerta.
Public-domain text, read in full here on John Shaqi.
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