The Russian Government will signify its intention to redeem these bonds by the end of the ninth year at latest. I am aware that serious changes in this contract were contemplated by the two parties in the course of the negotiations. _They were only to be introduced if Mr. Lloyd George succeeded in bringing about the_ de jure _recognition of the Federal Soviet Republic_. This agreement, which was duly initialled, _but not signed_, at Genoa, referred only to concessions for deposits not hitherto exploited. But the Soviet Government had given an oral promise to hand over to the English the fields which were already developed and which had been nationalized for the past four years. Moreover, during this winter, British groups, through Krassin as intermediary, had entered into relations with the former owners and had negotiated with them for the resumption of their concessions. The Bolshevik Government has always urged foreign Powers seeking to acquire a share of Russian oil to deal separately with the dispossessed owners in order to protect themselves against all possible claims in the future. From the very beginning of 1922, the _Royal Dutch_ spread a rumour in France that it was experiencing difficulties with the British Government and must rely upon the support of the French Government. This manoeuvre succeeded so well that, when the French representatives at Genoa were given precise information about the impending conclusion of the agreement between the _Shell_ and the Soviets, they shrugged their shoulders and smiled contemptuously; the rivalry between the _Royal Dutch_ and Great Britain was unquestionable. If the great trust obtained certain advantages, France would benefit; it was best to let it carry on. Their disillusionment was bitter. * * * * * Now the British Government, in conjunction with the _Royal Dutch-Shell_, has been seeking to obtain for itself the products of the oil wells of the Caucasus, not since 1922, but since 1919. The early negotiations proceeded slowly. Mr. Lloyd George had then but little confidence in the permanence of the Bolshevik régime. He did not even contemplate negotiations with its representatives. The financiers of the _Royal Dutch-Shell_ approached only the most important of the dispossessed Russian oil magnates. On July 27, 1920, one of the most powerful subsidiaries of the trust, the _Bataafsche Petroleum_, bought a large quantity of the shares in Caucasian companies owned by MM. Mantasheff, Lianosoff and Pitoieff. For the celebrated Russian actor, Pitoieff, is also a great oil proprietor. The purchase price was fixed at £11,042,000, of which £645,000 was paid in cash. The balance was to be paid by instalments, but the Russian proprietors have not received even the first.