RUSSIA AND GERMANY.

Auckland Star, Volume LIII, Issue 91, 18 April 1922, Page 5

RUSSIA AND GERMANY.

A TREATY SIGNED. RECOGNITION QF SOVIET. RECIPROCAL ABRAKGEKENT. A GENOA SENSATION. V . <By Cable.—Press Association.— Copyright,) (Keceived 11.30 a.m.) GENOA, April 17. The Germans have concluded an economic agreement with Russia. This provides for the de jure recognition of the Soviet, the restoration of diplomatic relations, and reciprocal favoured nation treatment. Tlie announcement caused a great sensation at the Economic Conference. An official Bolshevik statement declares that though the new agreement would produce the allied charge that Russia had failed to keep her pledges to confine herself to the conference agenda, it should be pointed out that the negotiations set aside the BrestLitovsk Treaty and placed both countries on a basis of complete equality, enabling common co-operative effort towards the highest economic development of both countries. —(A. and N.Z.) PRELUDE TO ALLIANCE. A GRAVE POSITION. CONFERENCE HAT BREAK UP. (Keceived 1.30 p.m.) GENOA, April 17. The Conference was surprised by the announcement of the Russo-German Treaty, concluded yesterday. It replaces the Brest-Litovsk Treaty, renounces all war claims by both nationals, and also condones claims for private property, provided the Allies similarly renounce their claims. It cancels the claims on account of Russian socialisation xoeasures, provided the Soviet does not give similar indemnity on account of the claims of other States and affords . favoured nation treatment. The delegations, who resumed their conversations this evening, will now turn J their attention to this new turn of affairs. It puts the Allies in such a. position that Russia can say: "Germany ■ is willing to renounce her claims, why do not you?" It purports to be an economic treaty, but is a de jure recognition of the Soviet.' Diplomatic relations were established from six o'clock this morning, and the agreement is generally regarded as a prelude to a Russo-German Alliance. The document was not officially communicated to the Allies, except to Italy. When the delegates met a German official unofficially; handed Mr. Lloyd a copy. Mr. Lloyd George immediately sent a - message to the German delegation, saying that he took a very grave view of Germany's action in taking this step behind the back of the conference. He . also expressed astonishment and indignation. ■', The French delegates are considerably perturbed, but the delegations of the Allies decided to take no action until to-morrow. The British view is one of surprise that action was taken here, although the possibility of such a treaty had always been foreseen. The idea oi the Genoa Congress was to prevent tbe division of Europe into two camps.* Germany now finds herself in a worse position than hitherto; she has piroved her- ' eelf disloyal, and has no defence for ncr attitude. The last treaty was evidently drafted fcnonths ago. Perhaps little exception could be taken if signed prior to the coming to Genoa of-the Russians, who were always free to make an agreement for recognition whenever they, could. But Germany's case is different, because she ' accepted the Cannes agreement for the very purpose of, reconstructing Europe. The outlook is grave, although some are of opinion that it will not. cause the - Conference to break up.— (A. and N.Z.)