The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-16
RENEWAL FAR AWAY
Reds Downfall Considered
Certain and Traders Mean
while Abandon Hope.
RUSSIA IN AWFUL SHAPE
Returned Englishman Tells Of
Desperate Plight Due TO
SOvietS' Rule.

Special Cable Despatch 70 THE NEW YORK
HERALD.
Copyright, 1880, bv THE New York HERALD.
New York Herald Bureau,l
London. Oct. u.s.
English optimism and the hope for
a speedy reesrablishment of business
relations with Soviet Russia have been
swept away like Trotzky's legions on
the Polish front. Where three months
ago there was much confident talk OF
renewal of trade relations between
Great Britain and Bolshevlst Russia,
now nothing remains save OMNIBUS
silence British trade anticipations in
that quarter have been shelved in
definitely, just as have Lenine's plans
for Bolshevizing all Europe.
The downfall of the Red armies be-
fore Warsaw put crimp into the ne
gotiations, and now, in the face of
reports OF internal troubles iii the Red
regime, no attempt is being made to
revive these negotiations. TOO. there
il growing sentiment here that a
new Russian upheaval is pending, and
this has put a muffler on Anglo Rus
sion trade enthusiasts.
Attempts by THE NEW YoRK HERALD
correspondent here to get from repre-
sentative business men expressions OF
opinion on the prospects for resunling
trade with Russia only resulted In re-
inf .,t,-
cles in London Russia Is considered far
too great a gamble TO warrant any seri-
Gus discussion Of business possibilities
there In any form.
Reluctance to Give Views.
The views OF some score of officials
and leading business and financial men
in London were sought, and In every
single instance they politely, but firmly.
begged TO be excused from making any
statement or expressing any opinion.
The only thing they had 10 say was that
there was nothing 10 oe said. AS sir
Reginald Mckenna, formerly Chancellor
of the EXcheqler and now one of the
leading financiers In England. put ii. "a
man might as well discuss the prospects
OF red or black coming up at Monte
Carlo as TO try to figure which way
Russia is going 20 turn.
They have two fronts and internal
troubles" he continued. land there is
no telling where the present Soviet Gov
eminent will he inside of two months
Certainly no trade is going on now ex-
cept for cash down in London, and no.
body can say what the future has TO
offer"
A man who Is an important figure in
the trade world but who would not per-
t,,lf 10 ha
You ask me what l think about
Russia as a business risk I must con-
Tess that / do not think II any risk at
all. but an out and out dead loss II
is true that couple Of months ago we
were hopeful but the guns of our
friends the Poles have cleared the hori-
ION. Now we are waiting for further
developments"
The military collapse of Russia on the
western front destroyed many illusions
about the Soviets and ,as caused a radi-
cal alteration OF opinion here. There is
no lessening of the British desire to get
in on the ground floor Of Russian trade.
but there is n decided conviction that
the door is not open yet
Real situation I'm Russia.
sir Charles NIAGARA. n well known au-
thority on world cotton trade and who
ton In Russia, gave a statement made
to him by an English friend of his who
has just returned here from Russia. He
said the Russian cotton mills were In
very bad shape and that IL would take
years TO properly rehabilitate the cotton
business there, that cotton mill machin-
cry Is practically n total loss and that
the Russian people were suffering great
hardships because OF the food shortage.
while majority OF them have no
clothes except those on sheir backs. Dis
ease Is rife. and until better transporta-
ton facilities are provided there can be
no Improvement in conditions.
IF England and other countries refuse
TO trade with Russia the Russian people
will starve." he said. I'm any case the
Bolshevlst Government will have TO go
sooner or later. and when II goes there
may be some hope. A very large num-
Der OF the present population OF Russia
cannot survive, however. unless the Boil
shevist Government & put out OF exist
ence. and even then n help Is rendered
II Will take ten years 70 put Russia
straight.
Moscow IL n perfect wreck and IL
without single hotel. All the big houses
there have been commandeered for Gov
eminent purposes or FOR the scum OF the
country"
Sir Charles vouches for these state
fnents IN n warning 20 British labor
against Boishcvism.
few months ago the feeling here was
that when the Russo Polish troubles
we're over the outlook would be brighter.
but just tho contrary has happened. the
situation having become more uncertain
than ever.