New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1921-06-27

Firm Formed TO
Control Trade
Hamburg American Line
Owns Half Interest and
Soviet Government the
Other; to Direct Traffic
Lenine's Rule Recognized
Teutons to Profit Through
U. S. Deferring Action on
Recognition, Says Leader

HAMBURG, June &c (By The Asso-
ciated Press).-- 1t is the purpose of the
German shipping, industrial and bank
ing interests here to take the initiative
in carrying on business with Russia.
An important step in this direction al
ready has been taken by the organiza-
tion of the German Russian Transport
Company, in which the Soviet govern
ment officially holds a one-half inter
est, and which will exercise general
supervision of rail and water traffic
between German ports and Russian
destinations.
The new organization has only a
nominal capital Of 100000 marks, as it
for the present contemplates using
only the services of German traffic ex-
Soviet government in sn advisory
capacity, a Russia by the terms of
the agreement assumes the payment of
all transportation and operating
charges connected with the forwarding
of comm ODDITIES purchased for Russian
account in Germany.
Trade Recognizes Lenine Rule
A leading member of the Warburg
banking house told the correspondent
to-day that German commercial inter-
ests proposed to take Moscow's regime
as it is, and as government in fact
He said he did not look for the early
downfall of ,Nikolai Lenine and Leon
Nynf 1ly md 4l14 II.
forced disappearance from the govern
ment would result in unspeakable
chaos
The banker said he failed to under
stand why the United States ignored
the present Soviet admin stration in
Russia. 1t was his belief, he said, that
Leonid Krassin, the Bolshevik Minis
ter of Trade and Commerce, should be
permitted to enter the United States
with the purpose of discussing Russia,
either officially or privately.
The banker said he firmly believed
that the task of winning back Rus
STA" could not be accomplished without
the active participation of German
flected opinions expressed by other
leaders of Hamburg's commercial in
terests who talked on the subject At
the offices of the Hamburg American
Line, which controls the other half in
terest in the new German Russian
transport Company, the correspondent
found feeling of optimism with re-
spect to early prospects for an active
resumption of trading between Germany
and Russia.
There is less reason for being diff
dent about going into Russia under
present conditions than existed when
the European Powers decided to ven
ture into Darkest Africa" said one
of the directors of the line.
Delay Costly to America
That the United States, by deferring
action in recognizing Russia, was de-
priving itself of practical advantages
which should be seized Immediately
was the opinion expressed by this Ger
man shipping leader He said the newly
founded German-Russian Transport
Company only represented the frame
service. The functions of the com
pany, he added, would be to charter
vessels and select all-rail routes and
otherwise assist Russian buyers to OBJ
tain the lowest freight rates and
generally expedite the transportation
of all commodities, from TOYS to loco
motives, bought in Germany.
The Hamburg American Line through
the new organization is placing its
traffic experts at the disposal Of the
Soviet government. These specialists
will work in conjunction with the
Soviet trade commission recently es-
tablished in Berlin under the direction
Of the Russian envoy, M. Stopianiakov.
All purchases are to be made by the
Russian government exclusively pend
ing the restoration of free trading,
which leading German business men
say will shortly be forthcoming as
feature of Lenine's revised program.
Four of the largest German loeomo-
tive builders are engaged in work. on
the first installment Of engines ordered
by the Russians. The Soviet govern
ment has made an ample advance pay
ment, on these locomotives, it is said,
and delivery Is expected to take place
early in August
Among firms which have booked or
ders from Russia are the Krupps, the
Borsing Company, of Berlin, the Hens
chell Company, of Cassel, and the Vul-
kan Works.
Al E~yn~~~v M~z -