Evening star., 1922-06-05
BAKfzlNE7EFF TO GIVE UP
EMBASSY POST JUNE 30
Declared in Letter A pril % Work Was About
Comp!eted-Hughes' Reply Next
Day Approves Withdrawal.

the same time my status as am
bassador has been made the subject
| of renewed discussion. ] am led to
question whether my continuance. as
| ambassador Of Russia. will longer
| serve the best interests of my coun-
try and the convenience Of the United
| states government. / am prepared. III
! the United States government so de-
slres. to retire and terminate my OH
cial functions.
Nc.,id Lenve June ~
! ''Cn account OF personal ma7,,rs ]
have planned to sail from this coun-
try within the near future. 1t would
be necessary to wind up my affairs
and to arrange for the custody OF the
/ Russian property, for which am
responsible. This work could be com
pleted about the 3Oth Of June Snich
date could be regarded as Ira date
on which my retirement fror sficial
duties would take effec-
!. IN the event of my retifehent.
suggest that Mr.. Serge Ughef. finan-
cial attache of the embass,. pe rec
oSniZed as custodian of the ,'ro oertfes
in question, and as the agers through
| whom pending business cat re trans
acted and terminated.
I'm assuring you Of my i-np ap-
preclation of the personal rrS.;idera-
tion ! have always enjo, I'd al the
hands of the State Depar''n m. and
other departments of tn" American
government. ! desire 10 t>.o-csS also
my gratitude for the go,s ALL and
| consideration with which n. United
States has treated my coun.r". Amer
| ica was first to welcome the advent
of democracy in Russia and ~ recoK-
nize the provisional government. Since
! then and throughout RuSs'a< great
trial the United States has .Tden-ed
deep and sympathetic under standing
! of Russia's process of transformation
and has conserved unbroktn faith in
| the regeneration and happy future Of
! the Russian people. The Cn'tsd STATES
has lent friendly effort in reservins
for the Russian people thu integrity
of their national patrimony and :n
! safeguarding their econor, ,ic free
| dom. Finally America has Generously
| come to the relief of suffering and
saved millions of Russians IRON, star
, walton. For this assistance and sup
port in the hour of distress Russia
VIII conserve eternal gratitude"
Hughes Reply Pro-ppt.
| To this letter Mr.. Hughes replied
the following lay as fviiti:~-
| My Dear Mr.. Ambassador: I have
received your letter of April IS, 1922
! IN which you bring forward the Ques-
| tfon of your status as ambassador in
: the nlted States and suggest ~haf il
| ma! he appropriate to have This ter
| inmate in the near future. inasmuch
as the liquidation and final settlement
| OF the business of the Russian gov
eminent In the United States for
! which you were responsible is now
! practically completed. and as you
| continuance as ambas, ,ador under the
existing circumstances may give rise
| to misunderstanding.
| Il believe that a change in the present
situation is desirable and I am glad
to be able to concur in your suggestions
as to how this may best be brought
about.
You will continue to be recognized as
ambassador until June 80 next After
! this date tne custody of the property
of the Russian government in this
country for which YOU have been re-
| sponSible will be considered to vest In
Mr.. Serge Uehet. the financial attache
of the embassy. Mr.. Ughets diplomatic
be altered by the termination Of your
duties and he will continue to enjoy
the usual diplomatic privileges and i'm
munities.
With assurances Of my high esteem
and apprecatng the friendly spirit I'm
which you have dealt with all matters
of interest to this government. l am.
my dear Mr.. Bakhmeteff.
Very sincerely yours
'Signed) CHARLES E HUGHES
Bornh Declines Comment.
Senator Borah of Idaho. chairman of
the Senate labor committee. before
which he sought to bring Mr.. Bakhme-
| teff in connection with its inquiry into
J the presence here of Gen. SemenoH.
Russian Cossack hetman. refused last
night to comment on the announcement
! from the State Department or upon the
reprot from Secretary Mellon upon the
! status of credit advances to the Rus
sian embassy
In the course of his repeated attacks
upon the status occupied by Mr.. Bahk-
meteff in the United States. Mr.. Borah
asserted that more than S500OO.oOO OF
the funds advanced to him as repre-.
sentative of Russia had been diverted
to purposes not intended by the United
+; States government
/ In his letter detailing the financial
T! transactions of the retiring ambasa-
dors in this country. Secretary Mellon
declares that no loans were made to
the Russian government after the
fall of kerensky. except on advance
of Sl.32e.75" on November IS. 1917.
THE proceeds OF which were stimuli
taneously applied by the Russians I"
the payment of interest to the gov
erniont of the United States.
spent 3I.OOO.OOO.
! I'm connection with the loans SO
made TO the Russian government.
MIR Mellon continues. the latter
rendered reports to the Treasury OF
ATS expenditures. These reports
| cover the period from April b. 1871.
the date of the United States Gov
ernment's entry into the war. to
! March T. 1921. and show total ex-
penditurcs for that period of about
1921 O00. 900. The principal items OF
| such expenditures appear to have
been munitions. including remounts:
exchange and cotton purchases. and
other supplies.
OF the embassy's $56.000.O00 bank
| balance shown on the books at the
time of kercnsky's fall. the Treasury
Secretary saws that S41.0OO.000 was
put into a liquidation account and
So. .OO0. 900 placed in special accounts
ito be used for specific purposes" a.
the Treasury might authorize. Up to
March 4. 1921, when the liquidation
| account was closed. there had been
additional deposits of S29.00O.000. de-
| rived chiefly from sale of Russian
property in this country.
This made the total deposits in the
liquidation account aggregate about
s16. .O0O. .0O0.' says the letter. and the
total disbursements from this account
for the period in question also
amounted to about $76.000.o00. From
the reports of the Russian represen
tatives il appears that these dis
bursements were made for supplies.
transportation. storage. inspection.
interest on loans made by the United
States government and on private
loans f1oated in this country. salaries
and upkeep of the Russian embassy
and consulate and other Russian In
stitutiors in the United States and