The New York herald., 1921-06-13
SOVIET CONCESSIONS
TO VANDERBILT VOID
Krassine Says Bolsheviki Seek
More Serious Relations
Outside.
DEFAULT IN OLD DEAL
Declares Foreign Capitalists
Will Be Protected in Rus
sian Exploitation.
DEFAULT IN OLD DEAL
Special Gable to THE NEw YORK HErA.n.
Copinioht. 1927. bu TIE NEW YoEK HEEAL D.

Special Gable to THE NEw YORK HEEA.n.
Copyright, 1921. BY THE New YORK HERALD.
New York Herald Bureau,
Paris, June 12.
Leond Krassne. Russian Soviet
Minister Of Commerce and Trade, to-
day confirmed the report that the con-
cessions obtained by Washington B.
Vanderlip of California were void be-
cause his hackers had failed to put up
the cash necessary to seal the con-
tract.
In an interview given to the corre-
spondent of the Petit Purisien, Kras-
sine admitted that the Bolshevili had
promised the Kamschatka concessions
10 Vanderlip merely "as matter OF
principle" but that they are now seek
ing more serious relations with both
American and European financiers.
He particularly mentioned the West
inghouse corporation which for three
years has remained unnationalized In
Russia
Krassine saId the desire Of foreign
would result in Russia obtaining their
aid for trade restoration. and that the
Soviets would guarantee the protec-
ton OF foreign interests because OF
their great need of administration ex-
perts
According to the CORES pondent,
Krassine said Russia's internal debt
would liquidate itself. as the Soviets
would print enough bank notes so
that the money no longer would be
taken seriously. Then the people
themselves will destroy this mass of
valueless paper and the situation will
be cleared"
THE capitalists are assured of the
good faith of the Soviets." Krassine
added. because tho Soviets never have
wronged those working under agree
ments with them. and If the Soviets
are overthrown, their successors GER
tainly will be less radical and will pro-
tect the capitalists. But principally
because the Soviets need the capital
lists they would not interfere or con-
fscate. because what they want is not
machines but the men who can make
them go.
Krassine declared that foreign pur-
chase contracts placed by Russia
amounted 10 s1o.00o.0oo In the United
States. f5.ooo.ooo in Great Britain. 5o.-
100000 crowns In Sweden and 5000
100000 marks in Germany.
But our gold reserves have a limit"
he added. "and as our exports still are
negligible we must resort to concessions
Of which only one. that with the svensks
But others are pending.
we are looking westward in order 20
establish our hegcmony In Russia" he
continued. I'VE are expecting not only
material aid in the form Of manufac-
tured objects but mechanical aid such
as the advice OF specialists capable Of
exploiting our prodlgious riches. You
will see very shortly the formation OF a
great International consortium which
viii be ready TO exploit our wealth
and thanks to II the Soviet Government
will triumph over all It's difficulties"
While not envisaglng French coopera-
tion In such a movement, Krassine oe-
clared that he was ready not only 20
place orders i'm France but was willing
10 open discussions on The recognition Of
the debts OF the old regime Oargely the
Imperial Russian bonds, the bulk Of
which are held in France). declaring that
Lenines recent change In tactics in an
effort to induce the friendship OF the
worlds capitalists proves that Lenlne.
and not Trotsky, has the real vision Of
Russies future progress and evolution