to construct at great expense a railway to a foreign town which their own Šibenik and other Adriatic towns did not possess. This, naturally, they refused to undertake, as also to agree to the Italian suggestion that a free zone of some twenty kilometres should be instituted at the back of Zadar. One might safely say that the Italian agents in this region would not have confined themselves to salutary measures for the welfare of the town. It is stated in the Treaty of Rapallo that in case of disagreement either party could invoke an arbitrator, and the Yugoslavs, who happen now to be the weaker party, have been contemplating application to the League of Nations. Well, in Genoa it was proposed by Italy that Yugoslavia should renounce the clause which deals with an eventual arbitration. If you make a large number of demands--never mind that they should be in opposition to a Treaty you have signed--then you may gain a few of them--and Italy was hoping that the Free State would repay the costs which she incurred there on account of her unruly son d'Annunzio, and, likewise, that the good Italianists who at the end of the Great War committed wholesale thefts from the State warehouses should not be made to pay for it. With all their guile and strength the Italians were endeavouring to avoid the execution of her Treaty of Rapallo. "Italy is the one Power in Europe," says Mr. Harold Goad[70] who thrusts himself upon our notice, "Italy is the one Power in Europe that is most obviously and most consistently working for peace and conciliation in every field." HOPES IN THE LITTLE ENTENTE