The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-28
How Bolshevism Brought About the
Industrial Ruin OF Russia.

In a recent attempted defence Of
the present rule In Russia a reference
was made to the growing success Of
the management Of industrial concerns
by the Soviet" There was no proof
adduced to show this growing success
or even to set forth the real industrial
conditions. Reports, however, received
from the British agents and residents
In Russia and published by the Brit
ieh War Cabinet present for the first
time the actual economic consequences
and the almost incalculable misery
that have followed Bolshevik rule.
The most distinguished example of
Bolshevist industrial control was in
the management of the Putilov, the
Russian Krupps, and the Obukhov
Gun Works near Petrograd, the first
industry nationalized. The Bolshe-
Wiki took extraordinary measures to
secure the apparent success Of this
scheme. Laws were passed to pro
tect" the work people by prohibiting
the dismissal OF workmen on the
ground Of incapacity or idleness, and
also to enforce the attendance Of the
stan. Wages increased and output de-
creased. Where there were formerly
25,OOO men employed there are now
less than 500. The same results fol-
lowed In the factories ut Moscow and
In all the larger industrial towns Of
central Russia. In a general sum-
mary Of the conditions the report says
output has decreased in some cases
90 per cent, and "as there is no avail
able supply of funds or raw materials
1t Is only question Of a few months,
II the Bolshevists remain in power, be-
fore all the factories will be forced to
close down"
No statistics are available, but a
fairly reliable estimate of trade con-
ditions has just been compiled by men
familiar with the situation. Less than
40 per cent. Of the plants In the
metal trades are in operation even on
reduced schedules. The production in
the linen trades is 80 per cent. Of
the normal. Work people were starv-
Ing and absented themselves from
their work searching for food" Short
age Of raw material and food reduced
the production Of the woollen mills 90
per cent. There is the same reduction
in the output of cotton mills. The silk
trade Is practically dead. The same Is
true of the coal and lumber trades
on account Of the shortage Of labor
and the Reorganization of traffic.
The Bolsheviki have from the first
appreciated the fact that their rule
would be doomed without sufficient
facilities for transportation. They Sc
cured control Of the railways and
boat lines. "Owing to neglect and
non-execution Of necessary repairs as
much as 81 per cent. of the American
locomotives on the Siberian railways
were out Of action In February, 1913"
say the reports. The decay of the
railway rolling stock has been so great
J In Europe as to render many lines
entirely imperative.
All securities, including Government
stocks, treasury bills, bank trading and
Industrial stocks and bonds, have been
nationalized. A rough and ready val
uation Is given to such securities and
the holder Is credited with a bank
account which is likewise natlonalized
and upon which he Is permitted to
draw according to the ruling of a
Bolshevist committee. 1.-THE malver-
sation Of incredibly large sums of
money is Of daily occurrence" Under
the Bolshevist regulations there has
been a complete breakdown of the
credit system; the check has fallen
into disuse, and there are no longer
any securities to enable a trade or an
industry to obtain credit or to raise a
loan. A conclusive proof of Bolshe.
vlk economic bankruptcy is furnished
by the budget statement for 1919 in
! which the expenditures are placed Mt
100000 100000 rubles and the revenue,
including taxes and Contributions
from the bourgeois classes" at only
2s,000,ooo.O0o.
The utter desperation of the Soviet
Government Is seen In the recent leg
islation to obtain the complete control
Of Russian affairs. One Of the Brit
ish official reports says that the Boil
shevists can no longer be described as
a political party holding extreme COM
munistic ideas but relatively small
privileged class which is able to ter
rorize the rest of the population be-
cause 1t has the monopoly OF both
arms and food supplies" BY recent
enactments all lands, buildings, ma
chinery. even furniture. are national.
lied. Clothing, such as winter over
coats, can be confiscated for the bene-
at Of the Red Army and no man can
possess more than one suit of clothes,
two changes of linen or two pairs OF
boots. Gold articles are subject to
conhscation. And as money is being
hidden to an enormous extent, Soviet
printing presses are making this def
cit good by turning out paper cur
rency. The paper in circulation is
one hundred times the plcsent gold
reserve.
The chaos to which Bolshevism has
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