The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1924-06-10
ANGLO-SOVIET
C 0 N + ERENCE is
MAKING PROGRESS
w ould Pay Pre-War
Debts to British Subjects

eN'1AoA Va eAO <AAbAC7OONACb NOAACA-
ence the Russian delegates announced
that should the Soviet government be
able to raise long-term loan it would
be prepared to set aside a lump sum
to cover the pre-war debts of British
subjects.
The foreign Office issued the follow
ing communique after the conference:
1.-THE conference met at the foreign
Office today under the craftsmanship
Of Mr.. Ponsonby.
"The Soviet delegation announced
that, having received the necessary
data from the British delegation, they
were preparing formulate for the
settlement of the economic questions
before the conference, and were
already in a position to state their
views in regard to pre-war debts and
claims for personal injuries of non
material character.
"They also handed to the British
delegation memorandum upon the
restoration of Russian credit on the
British market, which the British
delegation promised to examine with
view to subsequent discussion.
Pre-War Debts Proposal.
"The Soviet delegation stated that
their government would agree, If
they could get, with the assistance of
the British government, a long-term
loan, to set aside a lump sum to
cover the pre-war debts of Russia to
British subjects.
claims in this connection would be
considered only in the case of those
who had held Russian bonds before
March II, 1917. Nor would the claims
be admitted of those who had sub
sequently taken an active part against
the Soviet government. 1t would be
the policy of the Soviet government
to give smaller claims priority.
1.-THE greater part Of the loan would
be spent in Great Britain for the
purchase of machinery and other
goods needed for the restoration of
Russian industry and agriculture.
THE British delegation said that it
would be necessary to examine the
Soviet proposals more closely before
pronouncing upon them, but
that Il should be understood at once
that any assistance which the Brit
lsh government could give toward
floating loan would of necessity be
very much limited, and that there
could be no question Of any govern
nent guarantee.
Immediate Payments.
1.-The Soviet delegation was asked
to explain whether recognition of pre-
war debts involved admission of liza
bility for the principal and back inter-
est of the debt and for the resump-
ton of interest payments.
"The Soviet delegation replied that
their government was not prepared to
repay the pre-war debt at its full pre-
war value. They considered that back
interest could be written off, and that
the principal should be reduced.
Russian assets, they pointed out,
had been reduced as result of the
war and of subsequent fighting on
Russian territory. Also whereas at
previous conferences their creditors
had been willing to grant a morato-
rum, the Soviet government were
now prepared to start payments at
once.
"They considered, indeed, that
limited payments to British bond
holders should be made as soon as
settlement had been reached.
1.-THE Soviet delegation urged that
the British government should do
what they could toward helping a loan
which would make it possible for the
Soviet union to settle pre-war debts,
would restore the Russian economic
structure, and would develop Anglo
Russian trade and thus help British
unemployment. They pointed out
that the participation of the Russian
State bank would, among other
things, give solid security for the loan
"The British delegation repeated
that any guarantee by the government
was out of the question. They felt
that too much Importance might cas-
lily be attached to the Necessity for a
QUARANTINE
They hoped that the Soviet gov
eminent would find no dificulty in
raising the money they required.
Sympathetic Attitude.
THE British government would,
however, be prepared, so far as they
had any power in the matter, to take
a sympathetic attitude toward the eff
forts Of the Soviet delegation to raise
loan privately, and on this assur-
ance the Soviet delegation declared
that they would only bring forward
this point again should they fail to
conclude negotiations in the manner
proposed.
with regard to personal injury
claims on both sides, the Soviet dele
cation expressed itself in general
agreement with the method OF settle
ment proposed by the British dele
cation at the last meeting, but sug-
gested that there was no need to have
lrao0uroo n owhft~atf~- l.