"UNIMPORTANT."

Franklin Times, Volume XX, Issue 157, 22 December 1930, Page 7

"UNIMPORTANT."

RUSSIAN WHEAT SALES. AGENT'S DEFENCE. E. Y. Belitzky. vice-president an treasurer of Ihe All-Russian Textil Syndicate, has admit ted that his organ isalion, on orders from Russia, ha sold nearly 5,000,000 bushels of grai short in the Chicago market, hut as 'serted that, as Die transaction cover cd that period from the beginning o the year, they could not material!; have effected the trend of prices, in asmuch that the daily turnover ii dealings on Hie Chicago Board o Trade Ms about r-O.imii.fiOo lo (50.000. ■ 000 bushels, .says ihe "New Yori Times." The explanation for Ihe short sale; offered by Mr Belitzky was Unit the: were the "usual hedging operations." lie commented that Ids syndicate ha. purchased more than 2T)i),ooo.oii:i dollars' worth of cotton in ft"' I'nitc Slates in several years. While nobody was interested in advancing I in notion that Ihe Soviet Government wa:a friend of the American farmer liecause of the Russian purchases of co|I ton, said Mr Belitzky, some per r -'e<s were quick to accuse the liuss-i-ns oi 'being enemies of ihe American grain growers because of Urn sale of ' -i negligible quantity of grain." lie denied emphatically thai the transactions were intended to depress i the market, as alleged by Secretary : Hyde, and offered to open the books of his syndicate to any governmental inquiry into the situation. "The All-Russian Textile Syndicate is an independent organisation and not a subsidiary of the Amtorg Trading Corporation, as reported in the Press," said Mr Belitzky. "The All-Russian Textile Syndicate has been engaged for many years in dealing in commodities for its clients in the Soviet Union. During the several years of its existence the All-Russian Textile-Syndicate purchased in this country over 250, ~ 000,000 dollars' worth of cotton. "Recently the All-Russian Textile Syndicate received orders from its client in the Soviet Union to sell a relatively spall quantity of wheat on

the Chicago market. These sales were intended as usual hedging operations, and the Chicago Board of Trade would not reflect the international price in commodities if it would decline such transactions. "It is furthermore evident, that the sale of a small quantity of wheat by the Textile Syndicate through the Chicago Board of Trade could not appreciably affect (lie (rend of prices, in the Chicago Board of Trade is from .50.000,000 to -00,000.000 bushels a day. I must emphatically state that the transactions mentioned were of a purely business nature and were not intended as manipulations for the purpose slated in the Press." Mr Belitzky. in response lo quesi lions by reporters, said that P. A. Bogdanov. head of the Amtorg Trading Corporation, was a director of the All-Russian Textile Syndicate in his personal capacity, but not as head of The Amtorg. Asked whether he was surprised at the Hyde charges; Mr Belitzky said he was no!, '.ul that i ! " would have been surpri... d if I lie accusations had been made six months ago. ••!>, Core the Fish Committee began operating," he was asked. "Thank you for helping me out," he replied with a smile. j The All-Russian Textile Syndicate was organised in 1023. B. V. Kadik is vice-president in charge of operations in Ihe United Stales, and G. M. Melilchansky is president, with headquarters in Moscow.