SOVIET BONDS.

Auckland Star, Volume LIX, Issue 254, 26 October 1928, Page 7

SOVIET BONDS.

Strong International Body Of

Financiers.

SIGNIFICANT MOVE.

(British Official Wireless.)

RUGBY, October 25.

In financial circles importance is attached to the formation of an international committee, with Lord Revelstoke as chairman, to protect the interests of holders of Russian bonds. Represented on this body is an imposing list of associations covering the principal countries in Europe.

The committee will concern itself exclusively with bonded debts which constitute a direct obligation of the Russian Government, or of a Russian municipality, or which contain a guarantee of either of these authorities.

The associations represented on the committee have bound themselves not to conclude any separate settlement in respect of debts, either v.ith the Russian Government or with any successor State, nor to be party to any arrangement unless the benefits of that arrangement are open to be shared on an equal footing by people of all nationalities in the countries represented on the committee.

Political Aims or a motive of hostility toward Russia are disclaimed by the committee. Its sole objects are to safeguard the interests of the bondholders.

The influential nature of the committee is indicated by its members. They include Mr. Lionel Rothschild and Lord Revelstoke-(Britain), the representatives of two French banks, the chairman and vice-chairman of the Dutch Stock Exchange and German financiers.

It is remarked in the London Press that the committee is powerful enough to place the position of the Russian bondholders before any Russian Government which should desire to raise fresh loans before considering the rights of the holders of the existing bonds.