> after I set "submodule.recurse true", I still have to type "git submodule update --
> init --recursive", without --recursive, mscb/mxml is empty and the build bombs.

Indeed, doesn't work for me either. If some git guru has some more insight, please post 
here!

 
> P.S. the underlying issue is that the mxml submodule is now included twice 
> (midas/mxml and midas/mscb/mxml) and there is nothing to enforce that both copies are 
> the same. (No idea what happens if the two mxml's are different).

The version of each mxml is defined by last commit of the parent repository, which contains 
the hash of the submodule version. If we have to update mxml for some reason, we have to 
commit also mscb with the new version, and then midas with the same version of mxml. If one 
checks out midas then with 

git clone https://bitbucket.org/tmidas/midas --recursive

one gets the same versions for mxml.