DUPED BY SOVIET.
AMERICANS' CONCESSION. ALLEGATIONS OF AGENT. LO.YDONT, Oct. 17. The Harriman Company of America, which in 1925 secured a Soviet manganese concession in (ho republic of Georgia, was duped of £1,000,000 as the result of three years of trickery, according to its agent, who is now in London. Tho agent says the company abandoned the field on October 10, receiving £3.500,000 in 7 per cent, rouble debentures, to offset a colossal outlay in hard cash. " The Soviet regards foreign companies as milch cows sent to Russia for the special purpose of providing funds for foreign propaganda," ho said. Their estimate of tho railway which Harriman's had to construct under the terms of the concession was £200,000 Actually, when the demands of tho unions were met, the cost was £2,400,000. Furthermore, a compulsory rate of exchange was imposed, by which the Soviet took a "rake-off" amounting to £690,000. The company was forced to pay £IIO,OOO in social insurance, and no overtime was allowed, although the adjoining Soviet mines were working night and day.
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New Zealand Herald, Volume LXV, Issue 20084, 23 October 1928, Page 9
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174DUPED BY SOVIET. New Zealand Herald, Volume LXV, Issue 20084, 23 October 1928, Page 9
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