Eighteen Months of Negotiations Brought to an End: Important Concessions by Moscow An agreement on the terms for the sale of the Chinese Eastern Railway was reached early on Tuesday" (Jan 22) between Japanese and Soviet representatives, thus bringing to.a close eighteen months" acrimonious negoti tions, reports Rengo from Tokyo, "Phe text of the final agreement wil be dratted by a committee con: sisting of M. Benedict, 1. Kozlovsky, Soviet delegate, Mr. C. Ohashi, Vice: Minister for Foreign Affairs of Manchoukuo; and Mr. H. Nishi, Chief the First "Section. of the Tokyo Eurasian Affairs Bureau, who wi represent Japan. Mf K. Kobayashi, Chief of the Firs, Section of the Treaty Bureau, will attend the meetings of the committee as observer, The successful conclusion of the conversations between M.. Kerlovaky and Mr. 8. Togo, Director of the Buréaw of Burasiin Affairs of the Japanese, Foreign OMee, was one hounced to the press at'1.30 o'clock yesterday morning.
The final agreement, according sources close to the Foreign Office, will not-be in the form of a treaty, 0 as to avoid all appearances. 01 Soviet recognition of Manchoulcuo.
Terms of Payment The: terms of the agreement were officially announced to be as following:
1. The final price for the CER. I et at ¥.140,000,000, which wil be paid' thirds nem be made semi-yearly, within three years, 'One half of the cash consideration ¥.23,390,000, will be paid at the {me the formal agreement is signed. 'The remaining' sum will be paid out in six. self-annual instalments, witt, the interest fixed at three per cen per annum. based on tne Swiss franc 1s to be inserted in tne final agreement, guarding aga uctuations in the yen exchange rate.
It ts learned from reliable sources that, after its transfer to Manchoukuoy the CER. will be handed over the South Manchuria Railway Ca. for management and operation. At present, the S.M.R. operates all of Manehoukuo's "state-owned railways. (Circles close to the Government anticipate that, prior to the step, the SMR. will be reorganized, with view to limiting its activities to rail way operation—Rengo.
The original price asked by the Soviet Government amounted to 250,- 900,000 gold roubles, which, at the ate of exchange of that time, reached '¥.625,000,000. "Manchoukuo counterproposals amounted to -¥.50,000,000.
Harbin, Jan. 23, Tt is estimated that 6,000 Soviet employees on the CER. will be discharged when the transfer of the line Manchoukuo takes place.
Local merchants, are worried because the return of the workers to Russia will deplete retails to. such fan extent that shopkeepers are fae ing bankruptey—United Press.
Dairen, Jan, 23.
With the transfer' of the CER, the telephone and telegraph lines and equipment operated by the railway administration will be taken over by the Manchuria Telephone and Tele-Con it was formally decided Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.