Evening star., 1945-09-22
Reds Sign Pact
With Hungary;
ANiesDisturbed
Believed Getting Rule
Of Half of Economy;
Council Cancelled
by the Associate press.

By the Associate Press.
LONDON, Sept. GA Russian
trade agreement with Hungary
was revealed here today and a
British official expressed deep
concern over the situation, si-
multaneously with the cancella-
ton of today's meeting of the
Big Five Foreign Minister'S
Council.
In the British view the agreement
would give Russia control of half of
Hungary's economy.
Today's meeting had been sched-
uled to take up the Hungarian peace
treaty. No official explanation was
given for the cancellation. 1t ap-
peared the ministers would not meet
unt1 Monday.
Americans at the council meeting
apparently shared Britains interest
in the Hungarian trade treaty. The
British are consulting Washington.
Official British sources declared the
pact was considered another step in
what appears to be a Soviet cam
paign to hold a tight rein over the
economic as we'll as the political life
of all Eastern Europe. No Russian
comment was available.
The agreement, which has been
initiated and awaits Budapest's
ratification, is said to propose found
ing Soviet et-Hungarian combines for
the development of steel, oil and
other industries. Also said to be in
cluded are shipping on the Danube
and TISza Rivers, airlines, trucks
and motor traffic and a joint bank
to finance mutual trade
Earlier, reliable source said
Soviet Foreign Commissar Vyaches-
Law M. Molotov had protested that
the councils communiques had been
too detailed and that too much in
formation had leaked out of closed
sessions.
This source said the Big Five
agreed to meet his objections. A
considerable part of yesterdays ses-
sion was taken up by discussion of
the protest.
Object to Communique.
Results became apparent quickly.
Last nights communique said only
that the Romanian and Bulgarian
peace treaties were discussed, with
Soviet proposals as a basis, and that
British and American views were
being considered.
In connection with Italian-Yugo-
slav border adjustment, it was re-
ported that Molotov had objected
to a communique issued on that
subject on the grounds it did not
have Russian approval.
The communique announced that
the deputies had been instructed
to study the issue with these terms
OF reference: Drawing the frontier
on ethnic lines and International
ization of the port of Trieste.
The wording made it appear that
the Big Five ministers we're in
agreement on these principles, but
IT was learned that the Russians
still were holding that Trieste
should go to Yugoslavia.
Plans Trieste Autonomy.
Yugoslav Vice Premier Edward
Kardelj, who had conferred with
Secretary of State James F. Byrnes
yesterday afternoon, declared at a
press conference last night that
Yugoslavia intended to give Trieste
the status of separate state in
the Yugoslav federation if it was
placed under Belgrade sovereignty.
Mr.. Byrnes was scheduled to see
Italian Foreign Minister Count
Alcide de Gasperi this morning.
There appears to be no hurry to
finish the treaties and this session
is expected to break up next week
The detailed work, perhaps by the
ministers deputies, would be possible
between sessions.
The ministers yesterday skipped
completely the Greek claims on
Bulgaria because the Russians re-
fused to listen to the present Greek
government, with which they are
dissatisfied, and the western Allies
refused to negotiate with the pres
ent Bulgarian regime.