The New York herald., 1922-04-22
Demands of Allies Agreed To
. With Plea for Aid in Its
Economic Recovery.
GERMANS TO STAND ASIDE
Won't Participate in Russian
Problems. but Russo-Gcr-
man Treaty Stands.

GENOA. April II (Associatcd Press
The text of tie Russian reply 10 the
Entente Powers follows:
The Russian delegation has cx-
amined with the greatest care the
proposal of the allied Governments,
as set forth III the official note OF
April 15, and at the same time has
consulted with it's Government.
Tie Russian delegation is Of opin-
ion that the present economic situa-
ton in Russia and the circumstances
leading to it amply justify, in re-
spect to Russia, the complete re-
mission OF all her debts as set forth
in the above mentioned note by
recognition OF her counter claims.
However, the Russian delegation
is ready to go a step further in the
of differences and to accept articles
and and item l of the above
mentioned annex. provided tEat war
debts and arrears in interest, as
we'll as postponed interest on all
debts. are written down and iinan-
cial assistance is given Russia to
help her to recover from her pres
ent economic state in the shortest
possible time.
TArticles referred tn are as follows:
Section 1.-The creditor Allied Gov
ernments represented at Genoa can
not admit any iis bility regarding the
claims advanced by the Soviet Gov
ernment.
economic condition OF Russia. how
ever, such creditor Governments are
prepared 10 write down the war debts
owing by Russia TO them by q per-
centage 10 be determined later: and
the countries represented ct Genoa
would be prepared TO consider not
only the postponerlent or payments
Of interest upon financial claims but
also the remission Of some part OF
the arrears OF interest or postponed
Interest,"
Regarding Article 3. Part 2, on
the subject of the above conditions.
the Russian Government would be
ready to restore to their former
owners tEe use of property. nation
allied or reserved, under the rcser-
walton that in the event OF that
being impossible, satisfaction shall
be given to the legitimate claims of
the former owners. either BY mutual
agreement arrived at indirectly be-
tween both parties or In virtue OF
arrangements 10 he worked out dur
ing the present conference.
tSection reads: 1t must be deft-
nitely agreed, however. that there can
be no allowance made 10 the Soviet
Government against, first, either debts
and financial obligations due to for
eign nationals. or. second. tho right
OF such nationals regarding the re-
turn OF their property and compensa-
ton for damage or loss in respect
thereof."1
Financial assistance from foreign
sources is absolutely vital for the
economic reconstruction of Russia,
and SO long as there is no prospect
OF reconstruction forthcoming the
Russian delegation does not sec It's
way to saddling It's country with
debts of which IL would not be able
to acquit itself.
The Russian delegation wishes II
clearly understood. notwithstanding
the fact that 1t appears obvious in
point OF right. that the Russian
Government cannot assume any OBJ
ligation with respect to the debts Of
it's predecessors until IL has been
officially recognized dc jurc by TIE
interested Powers.
Hoping you will find the forth
coming proposals will be an ade-
quatc basis for a resumption of dis
cussions, we have tho honor TO be,
Your very obedient servant.
TCurTcHERrN.