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will result. In the latter case, there may be a speculative traffic in the notes on the part of middlemen buying the notes at a substantial discount to resell to banks, etc., which need them to buy American products.

Please communicate to War Trade Board. Not sent to Paris.

POOLE

File No. 861.51/437

The Acting Secretary of State to the Ambassador in Great Britain

(Davis)

[Telegram]

WASHINGTON, December 31, 1918, 5 p. m.

3741. [From War Trade Board] for Sheldon: 1

2

1961. Referring Embassy's 4877, December 24; your 2180. Copy of our recommendations to Paris has been forwarded to you and pending action by that conference nothing further will be done with currency matter.

POLK

File No. 861.51/445

The Consul at Vladivostok (Caldwell) to the Secretary of State

[Telegram]

VLADIVOSTOK, December 31, 1918, 8 p. m.

[Received January 2, 1919, 12.52 p. m.]

385. [For] War Trade Board, 71:

Referring your unnumbered December 29, 3 p. m.3 Russian bank notes were not removed from transport Sheridan. Transport sailed to-day for Manila. News of the expected arrival of bank notes had been widely spread over Siberia and refusal to permit delivery of same to Russian authorities has created very unfavorable impression toward American work.

CALDWELL

File No. 861.51/467

The Acting Secretary of State to the Acting Chairman of the War Trade Board (Woolley)

WASHINGTON, January 8, 1919. SIR: Referring to a communication from the War Trade Board, 634, dated January 2, 1919, regarding shipment of Russian bank notes, I beg to inform you that the 800 cases of bank notes which

3

1L. P. Sheldon, representative in London of the War Trade Board.

2 Post, p. 170.

3 Not printed.

cleared from New York, December 21, 1918, in the steamer Tatsuno Maru and which were due to arrive at San Francisco January 9, should be removed from the vessel at that port and held pending further instructions.

I am endeavoring to ascertain whether it will be necessary to return these notes to the American Bank Note Co., or to have them safeguarded in the United States Subtreasury at San Francisco. I will advise you as soon as practicable of the decision reached.

I also wish to request that the license for 280 additional cases of bank notes which it is understood are shortly to be shipped from this country, be canceled and the Russian Embassy duly notified. I am [etc.] FRANK L. POLK

CHAPTER III

COMMERCIAL RELATIONS AND RELIEF

Restriction of Exports to Russia after the Revolution of November 1917Limited Shipments of Nonmilitary Goods Permitted-Projects for Buying up Supplies in Russia to Prevent Their Acquisition by Germany; Organization of the "Goods Exchange" (Tovaro-Obmien)-Measures for Relief in Archangel and Manchuria

File No. 861.48/416

The Ambassador in Russia (Francis) to the Secretary of State

[Telegram]

PETROGRAD, November 24, 1917.
[Received November 26, 3.04 p. m.]

2022. At various times since March last the chief supply committee of northern railways has bought in America 42,000 pairs boots from Taylor and 117,500 pairs from Endicott-Johnson through V. D. Zimdin, latter's agent here. Supply committee visited me and after relating necessities and sufferings of their wives and children said had paid Rs. 11,000,000 into Credit Chancellery besides large earnest money to Zimdin and had secured tonnage for purchases, every transaction being approved by Michelsen committee.1 I confirmed this story through Sahmen, director, Credit Chancellery, who says shipment delayed by our purchasing committee who prohibit exportation of supplies purchased otherwise than through it. While think such policy exceedingly wise, I recommend this case be made an exception. I am still looking after transportation interests here and it would greatly assist if could secure this shipment as boots are greatly needed. Moral effect of my assistance would be inestimably appreciated. Have seen cables from Endicott representative, Chicago, saying Continental Commercial Bank can not make payment to Endicott because Government prohibits transfer of credit in National City. Understand these payments aggregating $240,000 are to be debited to advances made Russia, the Department of Finance having received its equivalent in rubles here from these rail

1The Inter-Allied Priority Board, or Michelsen commission (chairman, the Russian General Michelsen), controlled questions of preference in shipments of materials required by Russia.

102

road workers. Supply committee can ascertain prices charged and if excessive might order reduction but if this impossible necessity is so pressing that I strongly advise permitting shipment to clear at earliest possible date. Zimdin is also agent for Robert Dollar Co. who probably furnishing tonnage. Shoes more needed than munitions now. Please answer.

FRANCIS

File No. 861.48/417

The Ambassador in Russia (Francis) to the Secretary of State

[Telegram]

PETROGRAD, November 26, 1917.
[Received November 28, 1.03 a. m.]

2039. Referring to my 2022 of November 24, concerning shoes for Railway Union wives and children have addressed following to supply committee:

Being deeply impressed by your statement that the members of the Railway Union and their families are greatly in need of shoes for the coming winter, I immediately began to investigate the facts set forth in your note and am pleased to inform you that I have satisfied myself that your statement is substantially correct. Consequently this is to inform you that I immediately filed a cable to my Government strongly urging that the shoes contracted for in the United States by your supply committee be shipped at once. is my sincere hope that my recommendation will be promptly complied with and I have every reason to believe that such will be the case. Your assurance to me that tonnage has been secured for these shoes justifies my belief and is very gratifying to my desire that the necessities of those whom you so energetically represent will be soon relieved.

It

This letter sent broadcast throughout Russia to-day and will not only have good effect on public sentiment but will assist materially in my efforts to relieve Moscow [sic] from, and remedy, suffering of food scarcity. Please cable that request granted.

Reported that wireless received at military headquarters stating you have stopped all shipments to Russia until stable government established. Have no information that such order has been issued but if has think should be limited to munitions as continued shipment of shoes and clothing will have widespread effect and be helpful in many other ways.

FRANCIS

File No. 811.142/2713

The Ambassador in Great Britain (Page) to the Secretary of State

[Telegram]

LONDON, November 26, 1917, 6 n. m..

[Received November 27, 6.10 a. m.]

7815. For Davison,1 American Red Cross [from Endicott 2]: 1060. Blockade Department inform us practical embargo on all shipments Britain to Russia. British Red Cross confirm this, stating impossible ship opium which was to have left this week it being impossible to ship earlier. Have consequently canceled purchases and shall not draw.

PAGE

File No. 811.142/2713

The Secretary of State to the Ambassador in Great Britain (Page)

[Telegram]

WASHINGTON, November 30, 1917, 4 p. m.

5932. Your 7815, November 26, 6 p. m. Please investigate and report by telegraph as to foundation for statement concerning embargo on shipments to Russia.

War Trade Board passed a resolution on November 19, as follows: "For the time being and until further action by the Board to withhold all licenses for exportation of controlled commodities to Russia including licenses for transpacific shipments." This resolution has not been made public and because a few shipments have been allowed to proceed to outlying Russian territory, publicity has been given to the statement by War Trade Board that shipments to Russia are not being held up.

File No. 861.48/421

LANSING

The Ambassador in France (Sharp) to the Secretary of State

2852. [From House]:

[Telegram]

PARIS, December 5, 1917, 10 a. m.

[Received December 6, 1.30 a. m.]

The representatives of Great Britain, of Italy, of China, of France, in session at Paris, December 3, 1917, with the representatives of the United States and Japan decide after examination of the actual

2

1 Henry P. Davison, chairman of the War Council of the American Red Cross. Lieut. Col. William Endicott, in charge of the American Red Cross Commission to Great Britain.

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