The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-07-07
RUSSIA IS IN |. DIRE
FINANCIAL STRAITS
Minister of Finance Admits Pad
! ding of Budget to Get
Big Loan.

St. Petersburg, July General
Trepoff's advocacy tof ministry COM
posed Of constitutional democrats in
PRODUCED new element into the situa-
tion which, tho the fall Of the Goremy-
is steadily trending toward, parliamen-
tary government as being the only ex-
pedient which may ward off the i'm
pending storm Of anarchy: A state
ment made by him in an interview at
Peterhof yesterday shows the constitu-
tional democrats have g wholly unex-
pected, and perhaps q ma ally, lat at
ponent who is held in contempt as a
procrastinator and drifter. Trepoff's
conversion to the idea Of a responsible
ministry Is based, however, not on re-
gard for the constitutional democrats
whom he considers to be half revolu-
tionists, but on the conviction that re-
preston by disaffeeted army and dis
st. Petersburg, July 7,--Whtle the &C.
tion of the lower house Of parliament
yesterday in appropriating 81 500, 900 to
be dispensed by the administration for
famine relief was epochal, as the first
recognition Of the cabinet by parha-
ment and the first step. in joint work,
it's Importance was far overshadowed
by the admissions made" by Minister OF
Finance Kokovsoff in the budget COM
| mission about the padding of estimates
! for the liquidation Of war expenses IN
order to be able to extract larger
loan from the foreign markets.. l'&~
These developments made an immense
sensation and were eagerly discussed IN n
was declared that if the statements Of
the commission members were true 1t
placed Russian financial methods on q
par with those >. Of mushroom South
/ American republics and would under
1 mine the confidence Of foreign tinan-
Russian finances and immensely compll-
cate future credit operations. .
| Fish for Democrats. "a.
All this naturally is fish for the, net
Of the constitutional democrats, who see
in the revelations the brightest prospect
for forcing the transfer OF the admins
trative power to responsible cabinet
All of today's moves Of the constitu'
tional democrats point to realization
Of their expectation that they may soon
be intrusted with the full responsibility
Re sp ey
Floor Leader Naboukoff and others on
i Thursday show that the decision to
! break WITH the extremists and social
4 ists,nas foreshadowed in the recent IN
| terview of the Associated Press with
! IVAN Petrunkeyitch, had been definite
| " taken, and that the party leaders are
now looking forward to constructive
criticism of everything governmental
>@.,,:. Debate Is Sensational. / .,>
The debate on the Bialystok report
was adjourned until Monday to per
NIT the consideration Of the ministry s
bill for famine relief. This discussion
developed sensation, showing that the
constitutional democrats finally have
found a lever by which they hope tc
force the government to surrender con
troll Of the purse strings, the vital OBJ
iect at which they have been aiming
from the beginning.
Professor Hertzenstein, chairman OF
the, committee which reported the bill
revealed the important fact that M
Kokovsoff, the finance minister, made
no effort to conceal the desperate fnan
,cial straits Of the government. He in
formed the committee that the condl
ton , of the treasury was much worse
than believed and even asserted that
vey no adequate idea of the real state
of affairs. - =
New Loan Needed. ? s, =.
He said that the government, is living
it must retrench; but, he explained
this cannot be accomplished this year
Therefore it is necessary to make {
fresh loan: to cover the famine relief.
&1@s Cr1x Of the Problem. " 4
The real cause of the FINANCIAL strait
Of the government, M. Rodetcheff said
is it's persistence in it's political policy
The $1o,000,o0o in the budget for re
building the oil industry of the eau
casus is what the country is paying TO
the building policy of Prince Galltzin
} former governor general Of the Cauca
sus. Now, unless the government doe
something to stay the revolution, tn
, state and nation will be bankrupted
, The greatest service the ministry cal
render the country and people, he SAID
would be to give way, to responsible
{ cabinet representing the majority 2: il
parliament. .t~- .....2"