RUSSIA

Hawera & Normanby Star, Volume XLII, Issue XLII, 1 May 1922, Page 5

RUSSIA

PREAMBLE TO ALLIES' NOTE,

ARRANGING FINANCIAL HELP

BY CABLE—PEESS ASSOCIATION—COPYEIGHT GENOA, April 29. The Allies' note has not yet been completed, but the preamble was issued this evening. It states that the Allies have given profound consideration to the condition of Russia, and that they sincerely desire the establishment of friendly relations amongst the European nations, amongst whom Russia might take her place.

They recognise that Russia's resources have been drained during the past eight years, and that misery, famine, and privation would continue, constituting a plague spot of increasing menace to the European system. The Powers are anxious to avert such a fate falling upon Russia, but her reconstruction is impossible without the assistance of Western capital. When the nationals of other countries are guaranteed safety in doing business they will hasten to her assistance. Russia's economic resources are paralysed, not destroyed, and industrial Europe can furnish her requirements as soon as guarantees are forthcoming and debts recognised.

Several countries are prepared to form a. consortium, providing an initial capital of £20,000,000, while some countries are prepared to finance their nationals in Russia. The British Government would make use of the Trade Facilities Act and the Export Credit Apt. France is unable to provide financial help, but is prepared to join in a consortum, and also to supply seed, agricultural and other machinery with trained workers. Italy will take up twenty per cent, of the consortium capital and assist in agricultural organisation. Japan will grant a credit of 8,000,000 yen to the Russian Trading Company. Belgium will give 250,000,000 francs to assist the export trade, and also twenty per cent, of the consortium capital, and help private mining and other enterprises.

Only two articles of the note are completed, and it is not likely to be handed to the Russians before the early part of the week. The first article deals with propaganda. It has been decided that the Soviet must refrain from propaganda, both socially and territorially, and must clearly understand that there must be no agitation against de facto frontiers established under existing treaties.

The second article deals with the methods of writing down debts. It was suggested writing down should be done by either the International Court of Justice under the League of Nations or by the American Supreme Court. The question was referred to the legal experts committee.

The Australian Press Association's correspondent at Genoa states that M. Bratiano was responsible for securing the references to frontiers in article one. Mr. Lloyd George, while in full accord with Roumania's claim to Bessarabia, thought that such disturbing questions as frontiers should be excluded from the text of the note, and dealt with in the pact against aggression. The neutral countries abstained from voting on the point, but the Little Entente was extremely nervous as the result of the Russo43erman agreement.

There has been much discussion over the article in the note dealing with private properties, and efforts are being made to devise formulae, which, while J not hurting the sensitiveness of the Bolsheviks, will give- the A#ie§ the guarantees they require. LOMXJft, April 28. Mr. H. Wickham Steed (editor of the Times), in a message from Genoa, says it is no longer accurate to call" the Allied document about to be presented to the Bolsheviks an ultimatum. It appears now to be almost a Israft convention, consisting of a preamble and outlining the assistance European States are prepared to give the Bolsheviks, such as export credits and the restoration of railways and maritime communications. The Bolsheviks are asked to recognise their public debts and damages suffered by foreigners and the return of private property to its former owners; also a reduction, not the cancellation, of war debts. The cru.cial question is : Will the Bolsheviks accept? Perhaps they are bluffing* but at present the chances are against I accepting. Herr Wirth last evening eulogised the Russo-German treaty, and said it was a model agreement for the proletariat of the whole world, while | Tchitcherin applauded it as the first treaty in history drawn ap in an evangelical spirit. The . Australian Press Association's Genoa correspondent says discussion on j the French and British drafts of their notes to the Soviet continues. It is understood there is very little difference between the two documents. Both, make it clear that the Russians must accent the Cannes resolution as a whole, and not in part.