The New York herald., 1922-07-27
HAGUE BENEFICIAL,
ENGLISH ENVOY SAYS
Sir Philip Lloyd-Greame Calls
1t Long Step on Path to
Settlement.
NEXT MOVE UP TO REDS
Asserts Conference Showed
Russians Others Were
Ready to Aid.

LONDON, July rs (Associated Press).-
sir Philip Lloyd Greame, head of the
British delegation at tho Hague confer
ence, reporting to the House of Com
mons to-day said that 1t had made
long step forward on the path toward q
Russian settlement. The next and fina
step, he added, rested with the Russian
Government. He. denied that the pro-
cedure of the conference was forced upon
one party by the. Others and declared
that the only hope OF restoring Kussia's
industry lay in bringing back into II as
many of those who built 1t up as pos
s.ble
In the last few days OF the conference
the Russian delegation had made a
marked advance. It's first proposals re-
garding compensation would have ef'
the property in Russia Of foreign owners
in exactly the same position as pefore
the conferences.
II was perfectly clear. said Sir Phiiip
that there was no basis in the Russian
Governments plan which would attract
rriyate investors or justify foreign GOV
ernments in piedging credits, and the
conference decided that 1t would be Inn
possible to negotiate further IL Russia
that attitude. If matters had
rested there the conference would still
have been Of value, as 1t would have
made plain the reasons why an agree
ment was impossible. But happily. al
though the conference was unable tt
recommend any basis of immediate
agreement, the final phase did offer rea
hope Of concrete results.
The further proposals Of the Russians
constituted distinct and remarkable
advance. 1T was not formal offer
but showed that the Russians wer'
definitely prepared to invite their Gov
ernments to consider a policy which in
cluded formal acknowledgment o
Russia's debts and the obligation to pa,
compensation where property had beel
nationalixed." he said.
'The Hague conference brought th'
Russian Government face to face witt
actualities as never before. 1t ha'
shown Russia the willingness OF othe
countries to cooperate with her. Will
at the same time showing the inevitabl,
character of the economic forces whicl
govern cooperation
The debate on the report developed
into a general discussion of the polio,
toward Russia, in which John Rober'
Clynes. Laborite, attributed most o
Russia's difficulties to Europe's blockade
and the postwar attitude toward Rus
sia. He advocated that Great Britain
formally recognize the Soviet Govern
ment.
Premier Lloyd George contended tina
this would not solve the difficulty. "Yo'
may send the most eminent Ambassa
dor to Moscow" he said, but he will
not be followed by single trader o.
banker until Russia nulf1lls the neces
sary conditions. To profess otherwise
would only mislead Russia and induc'
her to adopt q waiting policy. In thu
hope OF getting what she wants withou
fulfilling these conditions"
|. Arguing that not two. perhaps not
dozen, conferences would suffice to solv
the problem, the Prime Minister de
ciared that the greatest advantages fror
TIN Genoa and the Hague conference
had Aeen the education of Russia to
propey understanding OF penalties.
Mr.. Lloyd George generally indorse
the position adopted by Sir Philip Lloyd
Greame.