(e) Return of certain rolling] stock to the U.S.S.R. Government at present in use along the-Chinese Kasten Railway. During the various "White" movements and campaigns against the "Reds," several ears and locomotives captured in. Siberia were transferred to the Chinese Eastern Railway, then not partial Soviet management im use in Russia and Siberia have deteriorated 2 good deal, despite the boasts of the Bolsheviki [that they have iniproved things all round, railway efficiency in Soviet Russia is but 33-1/3 per cent. normal (1914). Tt now seeks to recover the cars and locomotives cap: tured by the "White" factions isposed of to the GER, On the face of it, this demand does _not seem unreasonable, but the value! placed on the rolling stock so eaptured and transferred is way above all reason. They were in none-too-good state when taken over and it) would be illogical to expect them to paid for on the basis of cost, price, Moreover, the Russians) claim "compensation for lost earn ings" but who is there to tell just! how much this loss represents?
(a) Acceptance of the U.SS.R. state currency by the cash offices of the Chinese Eastern Railway on equal terms with other currencies! having legal tender along the line.
the Chinese absolutely refuse to entertain, It is a well-known fact that the Chervonitz hi highly value in Harbin (Yen 11.25 to Yen 1200 per Chervonitz), but} in Russia the present value of the Chervonitz is but Yen 2.60 to Yen!
280. "Do the Soviet government expect to palm off on us a whole lot. of worthless notes at a highly inflate ed rate of exchange?" ask the Chinese, who proceed to say that, having, Jonce been bitten by Russian' money, they are now twice shy.
(e) Payment of interest accumulated on the debts of the Chinese! Eastern Railway due to the U.S.S.R.. Government. These "debts" include the item under section "C" and, naturally, the Chinese do not have debts (2) Dismissal of non-Soviet Rus-sinns from the services of Chinese {institutions on the ground that their employment is a danger to the interests of the U.S.S.R. On the other hand, the Chinese insist that) they will do nothing of the kind for! viz., that in the first Place these people are now Chinese citizens, having taken out naturalization papers, and, secondly, the 'Chinese maintain they are not going' to allow themselves to be dictated to by an outside power as to whom they' should or shoul not employ. This persistent demand for the dismissal of non-Soviet Russians has} been instigated all along by Sovies professional unions in Harbin for obvious reasons. In the police department, for example, there are a Inrge number of "White" Russians
Text read from the printed page and cleaned; old type leaves the occasional error.