Evening star., 1925-04-10
us. NOT OPPOSING
S0V|ET-JAPAN PACT
May Issue Formal Denial Of
Reports Concessions Are
, Viewed SuspiCiously.

Published reports that the Wash
ineton Government views with sus-
picion and distrust oil concession pro-
visions of tho new Russo-Japanese
treaty are causing great concern to
high officials of the administratio
II can be stated on unuuestionable
authority that such publications are
without any foundation in fact. A
formal decla ration to that effect may
he considered necessary should mis-
statements AS to the Government 5
attitude continue to be circulated.
The question as to the nature and
purpose of the oil concession granted
10 japanese interests by the treaty
has come before the Washington
Government only on the strength OF
briefs submitted in behalf of the
previous concession obtained by the
Sinclair oil interests in 1922 from the
Far Eastern republic in Siberia. which
Is now a part of the Soviet Russian
government The Sinclair concession
was recently held invalid by courts
OF the first instance in Russia.
Designed 10 Force Recognition
Examination of the supplementary
conditions Of that concession by Gov
ernment officials here. however, has
ably entered into by the Far Eastern
republic for the specific purpose of en-
ploying il as a leverage to compel
diplomatic recognition of the soviet
Russian regime by the United states.
The concession itself covered some
500 square miles of proved or PROB
able oil lands in northern Sakhallh.
II was negotiated and ratified during
the period of Japanese military oc-
iSIa nd nd q
elusive concession so far as the de-
fined territory is concerned. In that
respect il is similar TO the concession
since granted to Japanese interests,
only of a more blanket character.
Sec Purpose Disclosed.
Coupled to the Sinclair concession.
however. are two clauses which are
regarded by high administration Of
f'ials as disclosing the real purpose
Of the Russian authorities in grant
ing the concession The first clause.
which occurs in the agreement itself
sets out that the Far Eastern republic
retains the right To cancel the conces-
sion during the first year Il THE gov
ernment is convinced from any acts or
declarations of the government OF tho
United States of America that the lat
ter will not give support to the COM
cession agreement"
The second clause occurs In the
supplemental agreement negotiated
JaR<ary I, 1922, and ratified by the
Soviet government on January 3, 1928.
1t also reserves the right of the gov
ernment to annuI the concession IF
at the end of the fifth year after the
date Of signing the supplemental
agreement there are not established
nffi,N oil 10 inD hat tyNna 40
United States of America and the
Far Eastern republic, in the form OF
juridiCal recognition recognition de
jurel of the government of the Far
Eastern republics on the part of the
United States Of America"
Viewed With Distress
1t is because Of these stipulations
that the Washington Government has
looked with suspicion upon the mo-
tives of the Sinclair concession ever
since it obtained copies Of the agree
ment and the supplemental agree
ment. Presentations made in behalf
OF the Concessionnaire by counsel are
being considered in the light of these
stipulat tions.
In regard to the concession granted
in the Russo-Japanese agreement, 1t
IS known that official scrutiny of the
treaty, which includes the concession,
has not thus far disclosed any ground
on which il could be challenged as
violative Of the open-door principle.
il grants exclusive rights within de-
fined areas, but reserves other possi-
bic oil territory under Russian jurs-
diCtion with the assurance only that
Jspancse applicants for concessions
will be given equal treatment with
those Of amy Other nationality. In
form and in substance This coOcpS-
sion is sa id to be OF the same nature
IS others obtained in China by Euro
pean interests without any questions
of discrimination having been raised
against them.
The Japanese concession, covering
n part of Sakhalin. differs from the
Sinclair concession in the same region