The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1921-02-21
NANCE TO
lRENSl[Y
EXPLAINED
~ p " ~
"a Says Cash, loan.
u Russia Was Not in
Eouston's Control.

- 49, @Fs.'
V6hiugton, Feb. 21.--Denial that
- puftion of the money advanced
i ~ ,Kerensky government of
ineA d still under the control Of
hautary Houston was made by
hucitor General william L. Frier-
= u . brief filed today with the
strict supreme court. in response
y he suit brought by william r.
lsafst Of New York, a. . taxpayer,
snjoin the secretary Of the treas
.ry from further financial trans,
6dlons with foreign governments.
. The brief also denied that there
NJ any intention ON the part Of
Ne secretary Of permitting funds
tnder his control to be paid to the
Kerensky or any other Russian
government. Mr.. Frierson declared
Aers was no occasion for IN in
junction, as the defendant has no
Intention of establishing further
CREDITS to any foreign governments.
.ns must have been known to the
DhtnGn when he filed the bill"
With regard to the payment Of
he unexpended balances now ex-
sting in favor Of Czecho- -Slovakia,
France. Greece, Italy and Liberia.
As solicitor general contended
ths faith Of the government was
pledged" because these credits
we're established under authority
Y congress.
Free From Control. =
4 Describing the transactions be-
tween this government and the Ker-
Niky government, the solicitor
teneral declared the credits were
0tAblished and advances made
sjust ass they were made TO any
aher foreign government, and
when made were entirely free from
lhe control Of the secretary of the
tfSssury."
It Is not true, Mr.. Friers0n said,
that there is any existing credit in
favor of the Kerensky or other
Russian government, nor that any
funds belonging to, the United
States have been placed in the Ma
tonal City bank, or any other bank,
subject to the check of the Kefen-
sU or other Russian government
With the approval Of the secretary
At the time of the overthrow Of
As Kerensky government, Mr.. FRI
srson explained. the balance Of the
credit In its favor was withdrawn
and there remained in the hands Of
The Kerensky representative in this
country about $56,0O0, 900.
While this money has been paid
ever Just as advances to other gov
ssnments were ,paid." the solicitor
general asserted, land the secre-
Ary OF the treasury had no control
over It, he was anxious to see that
y was applied to the satisfaction
Il obligations which the Kerensky
government had incurred In thii
country, and succeeded in securing
q agreement by which 1t was de.
posted In the National City bank
with IN understanding that the sec
stary Of the treasury should b(
aoohed before Withdrawals were
nsde from the deposits"
-
For Debts in United States.
THIS money didn't belong to thu
Qnited States, since 1t had beer
ltsviously paid to the represents
uSe Of the Kerensky government
I'D the arrangement referred Il
~ made because that representa-
!ne was willing to have the fund.-
0en In his hands applied to th'
aeisiaction OF American debts"
ID submitting that no injunction
mould be issued, Mr.. Frierson ~
eefted that the secretary did no
samit that the plaintiff has . statul
sntttling him to call In question
uevarious credits or that the c0ur
- Any Jurisdiction to determtn,