The New York herald., 1922-06-09
SOVIET STILL HOPES
FOR LOAN AT HAGUE
Rakovsky Thinks American
Abstention Will Delay
, Recovery of Russia.
EXPECTS MORE TREATIES
Georgia and the Ukraine Be-
gin Negotiations With
Berlin Government.
EXPECTS MORE TREATIES

Special cable to THE New Yosk HERALD.
Copyright, 1922. by THE NEw YORK HERALD
New York Herrid Bureau.
Berlin. June 8.
Soviet Russia still is hoping TO obtain
loan at The Hague conference, Chris
tian Rakovsky. Soviet Ukrainian Pre-
mier, told THE NEW YORK HERALD COR
respondent. "The fact that this loan
was put among the questions to be dis
cussed at The Hague indicates that
others among the Powers think It is
possible" he said. 1--WE have received
an invitation and we intend to send the
leading Soviet experts as soon as the
other Powers fix the program for dis
cussion."
NJ. Rakovsky was a leading physician
at the time of the first Ukrainian revo-
lutionary Government and later became
the chief Soviet official. He thinks that
Americas refusal to participate In the
Hague meeting will delay Rhssia's re-
covery but not prevent it. because ENG
land and Germany need Russian wares
and markets"
France has not the same need for
trade expansion" he continued. THE
footsteps in concluding treaties with
Soviet Russia. Eventually America will
turn to Russia for investment of capital.
Should foreign capital not enter Russia
several million more persons Will
starve. but the Soviet Government can
hold OUT
Stating that the Government intended
to make further notifications In Its
policy to attract foreign manufacturers
he said that "Our needs are such that
we have decided to grant great liberty
and guarantees for their property"
Asked if that means full recognition of
private foreign property. Ral.ovsky al
nlitted that 1t did not arguing that the
French Revolution was based upon the
partial confiscation of private property.
and asserting that Mr.. Lloyd George
realized that this principle was not in
violable.
I'VE are prepared to offer compensa-
tion to the losers in a proportion COM
patible with the aid outside capital gives
US. and in the future agree to assure
the security of foreign capital" He
thought that American opposition would
subside when 1t was realized that Soviet
Russia offered the only serious obstacle
to American commercial expansion IN
Europe. The obstacle would be sur
mountable, he said. adding that he
hoped American relief would extend its
activity later to participate In a general
reorganization.
NJ. Rakovsky denied the rumors that
this years crops would be sufficient
only for four months I'VE anticipate
good harvest. but the area is limited. .
he said There is enough meat for
six months. But local famine condi-
tions where American aid is vital. will
last four or five years. The Soviet Gov
ernment intends TO conclude treaties i'm
mediately with the German Government
concerning the Ukraine and Georgia, on
the basis of the Rapallo treaty" he
said. "Those areas were not in the war
zone. and consequently such settlement
will be easy. But the Ukraine deiv-
cred grain and sugar TO Germany
during the latter part of the war worth
447. 900. 900 gold marks"
Maxim Litvinoff opened these negoti-
ations in Berlin. and Rakovsky is now
conducting them with Germany. He
told THE NEW York HERALD correspon-
dent that the Ukraine desired goods in
stead of paper. Krestinsky. the Soviet
Ambassador In Berlin. is participating
in the negotiations with other officials
representing Georgia and the Ukraine.