Tokyo, Oct, 22.
The Manchoukuo delegation shore, headed by Mr. C. Ohashi, is considering the latest Soviet proposals on the transfer of the CER, it was revealed to-day, The proposals deal largely with the system. of payments. The Soviet Gelegation suggests that the Y.100, 000,000 payment in Kind should include electric equipment, machine tools, foodstuffs (including rice and wheat), and articles for daily con. Sumption. The Soviet Government Gesires to have these goods delivered to Russia within 2% years.
'Moscow also proposes the establishment of a through service between Manchuli, on the Siberian border, end Pogranitehnaya, on the Maritime Provinces' border, enabling Soviets. to save time in transit from Moscow to Vladivostok. The Manchoukuo Foreign OMfice is reported to be studying this proposal, but it maintains that further discussion is neces sary before the point can be settled.
An agreement is reported to have been reached on the time and manner of the withdrawal of the Soviet employees of the line—Rengo, Complete Agreement reached upon all details in connec:
Complete ent" has—been Tokyo, Oct. 23.
tion with the sale of the Chinese Eastern Railway, except the method of guaranteeing" Manchoukuo's payments to the Soviet Union, it was Tearned to-day.
Conferences on this phase of the] transaction are being continued between Mr. K. Hirota, the Foreign Minister, and M. Constantin Yurenev, the Soviet Ambassador, and an early! settlement is forecast in well-informed. circles.
Mr. Hirota, "it is understood, 1s) proposing that a Japanese syndicate should absorb a Manchoukuo bond issue, against which Soviet trade agents could obtain Japanese manufactured goods on a basis of world Prices for goods of the same description.
That this proposal is likely to be accepted was indicated when a Foreign Office spokesman said that the question of the Japanese guarantee of the payments to Moscow was a
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