The Washington herald., 1922-04-15
Fate of Genoa Farley
Seems to Hang on Gar
list and Kerensky Debts.
BRITISH PREMIER
is CONCILIATORY
All-Day Conference Indi-
Gates Tchitcherin Holds
Whip Hand.

GENOA, April 1.-THE fate of the
Genoa conference now seems to
hang on the question of the old
Russian debt.
A complicated and delicate situa-
ton has developed ove- just how
sky debts the Soviet shall be re-
sponsible for II. 1t is a tangle which
will require all the resourcefulness
of Premier Lloyd George to unravel.
Leading conference figures wres-
tied owe. the problem at an all-day
session at Lloyd Georges villa.
pausing only for luncheon. But late
tonight found them still without
prospect of an agreement.
Russia and France Clash.
The old realignment reappeared
during the discussion. with Russian
Foreign Minister Tchitcherin stub
bornly fighting the recomme ndation
of the allied economic experts,
Lloyd George inclining to be con-
ciliatory and Barthou, of France,
maintaining the French irrecon-
cilable attitude.
Tchitcherin, by his determined op-
position to the recommendations
has worked himself into a strategic
position and may almost be said to
hold the fate of the conference in
his hand. He has II within his
power now either to drive a COM
promise bargain by yielding at GER
tain points, or to refuse to give In
at all and force the allies. II they
do anything at all, to do it over the
protest of RUSSIA situation which
might arouse sympathy for the So
Wet, on the ground that it's SOW
ereign rights were being usurped.
No War Debts Paid. He Says.
Tchitcherin. in resisting the allied
recommendation, insisted that Rus
sia should not be compelled to pay
the Czarist and Kerensky obliga-
tions because no countries intended
to pay their war debts. Britain and
France. he pointed out. had not paid
their war debts to the United States
Furthermore, he declared, Russia
did not come to Genoa to put her
head in a moose whereby future gen.
erations would be enslaved with
heavy indemnities.
The British are apparently willing
to modify the recommendations
somewhat, but France is strongly in
sisting that they stand unchanged.
The whole fate of the conference
is admittedly turning on the Rus
sian reply to this phase of the eco
nomic report which asks her to give
fixed guarantees to insure protec-
tion for foreign capital invested for
reconstruction.
Delay Is Granted.
The informal conference at Lloyd
Georges villa was participated in
by Barthou. OF France: Schanzer. of
Italy, Theunis, of Belgium, and the
three leading Russian delegates
Tchitcherin, Litvinoff and Krassin-
besides numerous experts.
The bolsheviki ate at the same
table with the allied statesmen for
the first time at luncheon on Good
| Friday
The informal conference arranged
by Lloyd George disclosed to what
length the allied statesmen are 60
| ing to placate Russia and work out
a solution acceptable to her. Tchit-
cherin had asked a twenty-f four
hour deay in which to study the
economic report. This was extended
to forty-eight hours when the allies
learned Tchitcherin was not inclined
to accept the recommendations.
Would Avoid Open Fight.
Then another postponement was
granted ostensibly because of Good
Friday, but in reality to give time
for the informal and private nego-
tiations now going on. Formal con-
| sideration of the report may go
over into next week. Informal
discussions will be continued tomor-
row.