THE ROOT OF THE RUSSIAN DIFFICULTY.
AN ECONOMIC AND FINANCIAL CRISIS,
ce
T JULIOB WEST.]
THE BUNGKUNG
been replaced by a special issue of postage įstamps, printed on specially thick paper. The one copock note (now worth about the tenth of a penny) may be regarded us pathetic symbol of Russia's difficulties.
THE WAGES PROBLEM.
DAILY PRESS, TWEEDAY, SEPTEMBER 11TH, 1917.
THE GOLDEN GUNNER. R.G.A. RECRUIT WHO DID WHAT
HE LIKED:
PRESENTS.
were
Sergeant. Briggs, with out going into the witness-box, handed in a statement, which appeared in its reading by the Judgo Advocate to be a geni :ral denial of the charges.
DECREASE (OF PRODUCTION,
158.. a week left over. It would not go.. far to pay for the champagne suppers, the The net result of this agitation has been
diamond ring for his fangée, and settled an enormous decrease of production. It
the bills at the London hotels. Witness must be remembered that not only have
concluded by saying he had served 21
The Judge Advocate having advised the the workmen been insisting on higher
counted a stern disciplinarian. He had Court, the Cours retired to consider ita wages but they have also been demanding | OFFICERS, ACCUSED OF ACCEPTING years in the Army, and had always been
found that there
muy grave verdict, and after a quarter of an hour's (and they have obtained) a grently no duced working day. Moreover, employes had a separate room in the barracks, irregularities at the depot which had gone absence returned. At the request of the of a great many large factories have rend they told me that I need not do any on without his knowledge. Why Jordan president, evidence as a Sergeant Briggs
had singled him out for this malicious fused to go on working unless the manage-duty at all if I played the game fair and attack he did not know, but he felt bound previous character was taken, a good
This was one of
ya superior officer. ment complied with certain almost penal kept up any payments.
made by
to fight the case as fully as he could character,being gif he had any state-
Briggs, being asked conditions. For instance, men elected by the astonishing statements
ment to make, said he wished
wished to make their fellow employer to serve on local Gunner C. C. Jordan,. R.G... at the He had already had 130 days' imprison-
Westminster ment 53 of which had been in solitary complain had, ho considered, Been
as to his treatment after Councils of Workmen's and Soldiers' Delc-general court martial
arrest Abraham Kariski, ong of the men who, breach of the Army regulations, which gates must continue to receive their wages, which was trying Second Lieut. W. confinement on prison fare.
Quartermaster-sergeant, W. H.
Out
month. He and his family lived on black and time lost through disputes has also et Bad Sergeant D. J. Briggs, allit is. alleged, had obtained passes fromheld a man, innocent till he was proved
Mr. Julius West has returned from Russia, He was the delegate representing the Fabian Society at the Socialist Confer He speaks Russian, and is an expert on Russion affairs.} On returning from a short journey to Russia the firm thing which strikes one about English pinion is its tendency to attribute the disorders on the other side to The British public is political causes. apparently under the impression that tho trouble is mainly due to party disputes, with a certain amount of German pro- Paganda thrown in. There is no doubt that these are very important factors in the situation, but by themselves they cat bardly held accountable for the in-period. creasing disorganisation of affairs in general. The root of Russia's present difficulties is economic and financial, and So far there is a not political. political difficulty--and I do not for a moment deny that it exists and is serious it is very large extent merely the reaction of the prevalent economie condi tions.
из
The outward and visible sign of the troublesomeness of the situation, is paper. Metal currency has censed to exist. I you ask ppl where it has got to they shrug their shoulders and talk abou hoarding. illiterate peasants, it appears dislike paper money, and have collected all the coin in circulation. During the last three years, the Romanov Govern- ments attempted to get out of their finan- cial difficulties by printing vast quantities of payer money. This had the result of driving coins out of circulation and de- preciating the able. In a country with an advanced banking system the effects would not have been so serious, but in Russia, where banks are mistrusted, the anrestricted issue of paper money pro de cxeptionally easy deseant to wards national bankruptcy.
.u
had no money, and had only been. enableds to keep himself clean by the kindness of the wife of Sargeant Major Ciarrett, who supplied hit with soap and also did his washing.
This, however, is only one side of the difficulty. There is also the wagce prob- lem to be considered. The Russian Lova workman was until quite recently in receipt of extraordinarily low wages, and accustomed to a terribly low standard of life. His wages, in English terms, often came to no more than a pound or two bread and weak tea, and shared a room
108 dage impri or a cellar with perhaps several other to be paid for...
sulfected without trial to In the circumstances it is not surprising of the Royal Garrison Artillery, for accused, acknowledged that he had lent
themselves from military duty at Wool him. He did not ask Jordan how be soment, 5 days being spent in solitary (amilios. In the circumstances it is not
Factories engaged
obtained the passen.
confinement. He had not been allowed to surprising that he was seldom a parti- to find innumerable undertakings shut accepting bribes to allow men to absent about £85 to Jordan to obtain passes for guilty. He had, however, been already wich. "I was in receipt of an allowance
Gunner Joncs Morrell, called by Sergised anyone about hist
though he cularly efficient workman. He was slow, down altogether,
of £20 a month," said Jordan, "and was allowed to sleep out of burracks by means Major Garrett, denied that he had huden isted by Scollandiyard office ho and his employer generally called him in the production of munitions have in most cases been able to secure help from
of a pass which I obtained: from Lieut. received any pass from accused. lazy. Wages had been rising slowly ever
Genner Walter Morris, who is alleged since 1905, the year of big strikes, and they the Government, but those not directly had been increasing fairly rapidly between engaged on war work have been having Horan. I gave Horan £10 for a general
London pass and a permit to don mufti by the prosecution to have given money reliable I spent most of my time in London, and and received passes, made a similar denial. Cross-examined by Sir A. Bodkin, he the outbreak of war and the Revolution, a very bad time, But even so they were appallingly insuf
There are, of course,
4 good
At the request of the Judge Advocute ficient, especially in view of the extra:
statistics available as to the extent of the lived at a Strand Hotel. I had ordinary rise of prices during the latter tall in production. A few fortunate fac time boating at Richmond, and gave admitted that before joining the Army
tories in Petrograd and Moscow have been 1-Garrett a gold wristlet watch as a present he met Jordan at Woolwich and took him the statement was handed in.
The rt again retired and on its. It was arranged that I should be allowed for an officer as he was wearing an officer's
was unic. On entering into conversation he resumptie the charge against Lieut. when the Revolution able to report that they have not suffered
to go to Edinburgh for £10. Consequently,
told Jordan he would like to join, the Horan alone was proceeded with. The detained because I had left my pass
1. have charge was one of accepting £10 from ame, the workmen felt they were justified to the extent of more than 20 per cent., in asking for an increase of wages which but the majority, perhaps, place the behind. I gave the escort £2, and they R.G.A., and Jordan answered,
to bo absent. from barracks except when sometimes came to as much as 300 or 400 figure at something like 30, and one hears stayed in London. I sent the following great influence with the officers, and 1 Albert: Grabb, and granting him a pass por cent. And yet, in the circumstances occasionally of places where only 20 per relegram to Garmit: Sending you £10 can get you in,, but it will cost you
A. Bodkin stated that Grabb lived: anything out of it, himself. Witness aftery of the case, the Minister of Labour, M. cent. of the pre-Revolution output is Monday Salamos Jordan. I also sent money." Jordan said he would not get engaged on military duty
I have beard of one un 1 Briggs £5." Skobeley, assured me that such demands maintained.
Jordan admitted that he had acted, as wards sent fordian two cheques, one for at Knightsbridge, and, as his father was
£25 could not always be regarded as unjusti- fortunate establishment, engaged on Gov.
Inter. by invitation at a. Strand Hotel,
Horan through a servant of Horan, who Sable. Immediately after the Revolution ernment work, employing many thousands intermediary between prisoners and other and the other for £3. He met Jordan dying, he obtained the-pass from Lieut. hese deatands for higher wages took place of men and women, which turned one recruits. From two recruits 80 each was where the latter was staying. While in shand his room with him.
Gunner Grab stated on oath that ha at virtually every factory. But it was during the three months following the obtained and another paid £00 for a pass the regiment witness aduitted that he had found impossible to settle matters immer Revolution only 7 per cent, of its output allowing him two months leave. Even done no military duties except since his paid £10 to Gannes Rudland in
tually Jordan wus court-martialled, and arrest.
envelope on the understanding thai be diately a temporary decline started once for the previous six months.
Gunner Philip Silverman, erose cxaTshould pay it to Lieut: Horan. When bis more on the upward path. So that a
Add to these facts the very important is now undergoing sentence.
Second-Lieut. Horan, who elected toed by Sir A. Bodkin, said he was give father died he received five days' leave succession of demands for higher wages consideration that transport is becoming took place, and in a good many cases the more and inore difficult, that the number give evidence, snid he had, serred in the the ordinary recruit pass when he firefrain Colonel Osborne Towards the closo He had one or two passes, this leave he wired to Horan, Please workmen feit that the food speculators of locomotives needing repair is something Army for 20 years, and was tov proud of joined up. tere getting the best of them and that the in five figures, while the number of love the uniform to disgrace it. With regard afterwards from Jordan, but he was a r extend leave 48 hours. Important busi- ness on hand." Lint. Horan happened ing, or even aceing before the trial, he they were granted. He had paid, Jordan
to be in town, and on visiting him at nly way of meeting them was to insist!
paratively microscopical, and it must be on the demands of wages out of all pro- i motives actually undergoing repair is com. I to a particular pass, which he denied: sign. recruit, and did not bother to ask why
declared:"No one outside the walls of £30 in order to gut into the RG.A
Knightsbridge, he gave the extension a lunatic asylum would sign such docu.
k
Mark Silverman said that he was
Licut Horan, in evidence, admitted portion to those which they had been re-realised that the economic situation is
ment. It is all rot." He had never re-anxions to be posted to the R.G.A. in
giving the extension, and said he brought. eiving. Cases have been heard of when perhaps even more menacing than the
justification. He was ceived any money from Jordan, whose Woolrich, as ble business, was there, and Back the wire na a the workinen demanded as much as 800 military. A great many things which we had been in the habit of regarding as neces: per cent. over pre-Revolution rates.
salien. There was not one word of truth to it daily. Jordan, offered to
negotiate
In answer to Sir A. Bodkin, he denied This demand for higher wages naturally series of life havo virtually gone out of statements he could only attritte to he wanted a couple of hours freto atte ud arrested on his return to Woolwich.
it for him, and a bargain was struck for the receipt of £10: from Rudland. has not been accompanied by smoothness manufacture. In Petrograd and Moscow in the story from start to finish.
Sergeant Major Garrett made a slate £32. Witness actually paid £2, a dodue.
a suit of clothes from Jordan, throughout. There have been innumerable boots, shoes, and clothing cannot be ob
ment without taking the oath. He said tion of £12 being made for strikes, although they have seldom lasted tained except at fantastic prices. In.
He more than a few days. The dangerous order to check profiteering, any person that he had never received way money, Jordan wished to give bis young lady, but denied that he accepted them as an
and which witness applied from his inducement to grant, privileges. element in the new movement has been the requiring garments has to appear before from Jordan, or granted him privileges mantle shop. Jordan sensed to be w well denied having accepted any other present
to enable him to evade his milimry dutie. tendency towards syndicalism. Workmen local committee and convince them of his
He had always looked upon Jordan as n off that witness thought he could buy the from Jordan, and said the cigarette caso have attempted to take control of factories needs, and if successful he will obtain a and to disperse entirely with the so-called certificate authorising him to make his rich man, natieing how he spent money world, hut all that was bought for witness which had been mentioned was left on his
This is In certain purchases. management.
a remarkable, yet But he now learned that he only drew was six months at Wandsworth. Ele con office table. I have never been an accos cases the workmen have very soon dis- eloquent, testimony to the economic dis- £20 a month from Burmah. Out of this, sidered he had paid too much for tas plice, witness concluded with some feel- The Court's decision on all charges was covered that they could not carry on organisation of Bussia. Compared with and reckoning the sums he contended he privilege. He ainwined that althoughing. I have been ict into this." to be promulgated in due course. without their technical staff, which found it the political situation seems almost had given Lieutenant Horan, Sargeant he had been convied it did not profe
trivial in ita incoherence.
Briggs, and himself, there would only he that he was guilty. itself reinstalled after a very few days.
With a banking system such as exists in Russia there is to limit to the quantity of paper money which the country can abbourgeois " Aort, and consequently to the liabilities which the Government can incur in issuing The smaller coins 30, 30, 15 and 10 copecks, and down to one copark have
it.
A
PATRIOTIC CALL.
STEEL FOUNDRY
a.
ILO
mantle which, et Major Garratu admitted having
THE HONGKONG STEEL FOUNDRY COMPANY, LIMITED.
PROSPECTUS
Inviting public subscription for 85,000 shares at par ($10 each), upon an increase of the Capital of the Company.
-T is desired, and a resolution for that purpose has been passed, to increase the Capital of the Company to $1,000,000 by the issue of new shares, for the purpose of extanding the business which is firmly believed will, if so extended, not only prove exceedingly profitable to all interested in the Company, but will also supply a want to local concerns..
The Capital of the Company is now $1,000,000, of which only $78,080 has been paid up, and on this the Company last year made a net profit of 819,817 and paid a dividend of 10 por cent, at the end of the present financial year. It is anticipated that doubling the Capital will at least treble the profit; and, should this anticipation be realized, the Company could pay at least a steady Twenty per cent.
Steel Castings are needed for numerous purposes by all Railway Contractors, Engineering and Dock Companies every- where in China, and by many small manufacturers. At present a large portion of the Steel products which this Company is able to manufacture is obtained from abroad-at probably a great expense in consequence of the very limited capacity of this With an increased Company to carry out orders received. Capital, enabling more furnaces to be erected, and more labour employed, this Company would then be in a position to supply. most of, if not all, the needs for steel castings in this part of tha world; for, with the experience now acquired by the General Managers, and by their present heid workmen, there should be no difficulty whatsoever in most satisfactorily fulfilling such requirements.
It is much desired that sufficient additional capital be subscribed, beyond that which is required for the further development of the Steel Casting department, in order to enable a plant to be obtained, and ses up, for the purpose of rolling Steat Ingots into material for Engineering, Dock, and Building requirements; for which material there is now a great demand
It is therefore trusted that many persons in the Colony will be found really to subscribe towards the increased capital desired, both for their own bepelit, and for that of the community generally.
Tho General Managers are ready and willing to enter into any reasonable agreement desired by the Company to continue their services for a lengthy period. Also, if desired by the Company, they are fully prepared to transfer the control to a Board of Directora, comprised of such persons who are in a position to introduce business, of the Company thinks advisable.
The minimum subscription for the new shares now offered to the public, upon which the General Managers may proceed to allotment, is $900,000.
Mr. C. BERNARD Brows, of the firm of Messrs. LaINSTEAD
& DAVIS, Hongkong, is the Auditor of the Company.
A copy of this prospectus has been duly filed for registra
tion with the Registrar of the Companies.
Application for Shares should be made to the Company's Bankers, or the office of the General Managers, where forms will be supplied.
GORDON & CO.
General Managers.
Dated this 2nd day of August, 1917.
REPORT AND STATEMENT OF ACCOUNTS FOR 1916–17-
Report presented to the Shareholders at the Seventh Ordinary General Meeting hold at the Office of
the General Managers, on Wednesday, 15th August, 1917, at 11.20 o'clock ..
The General Managers have now the pleasure to submit their annual report and statement of the Company's accounts made up to 31st May, 1917.
t
The net profit for the year ended 31st May, 1917, after allowing for interest, Auditor's Fees and writing of depreciation on Company's Plant, Machinery, Launches and Stook, is $10,817.03 This amount together with the sum of 319,545.63 undistributed profit brought forward from last year makes an available balance of 239,366,55, which it is resolved to appropriate as follows:-To place to Reserve Fund $10,000.00. To pay a dividend of $1.00 per share $7,808.00. To carry forward to cralit of noxt year's account 821,558.56.
Dr.
BALANCE SHEET AT 31ST MAY, 1917.
LIABILITIES,
CES.
..$1,000,000)
ASSETS. Machinery, Melting Furnaces, Foundry Plant and Tools including Annealing and Preheating Chambers and
8
lete.
$78,080 00
5,000 00
also all rights to secret pro- cesses as per last account. 83,958. 12: Less sold, &c. ..................
311.25
$83,046,87
6,227.72
877,419.15 4,936.80
82,350 01
SHARE CAPITAL.
Authorised 100,000 shares at
$10 each..... Issued 7,808 shares at 10each MORTGAGE ACCOUNT SUNDRY CREDITORS including Genaral Managers PROFIT AND LOSS ACCOUNT.
Balance as per laat account.. $19,548.62 Profit for the year memu
19,817.92
To Interest Account
ㄉ
Auditor's Fee
30,755 72 Less Depreciation
Additions during the year ...
30,366 55 Value of 2 Launches as per
last account
...$ 4,500.00 Less Depreciation ..............................................
450.00
4,050 00
Office Furniture and Fixtures
including valuable draw-
ings as per last account...
810.00
Less Depreciation
81.00
72909
827,619.70)
*795.89
26,653 61
6,000 00
15,874 35
7,439 10
143,202 27
148,302,27
Stock in trade.......
Los Depreciation
Work n Progress.......
Accounts Receivable
Cash at Bank and in hand
Bank 7,271.04)
P/Cash 107.58)*
PROFIT AND LOSS ACCOUNT.
For the year ending 31st May, IDIT.
&
Loka
[cts.1
450 00 By Balance Working Account 2001 00
28,117 79
ப்
Depreciation on Machy, Plant, Stock,
$30............
7,554 01
95 25
"
Profit on the year....
Ta Writing off old Machinery..
19,817 93
28,11779
28,117 79
GORDON & Co.,
General Managers.
I report that I have audited the above Balance Street with the books and vouchers of the Company and have found it to be in accordanco therewith.
I have received all the information and explanations I have required. No depreciation has been written of Steel Process Patent Rights which appear in the books at their original cost, namely, $21,369.64 Subject to the foregoing observation, in my opinion sach Balance Sheet is properly drawn up so as to exhibit a true and correct view of the state of the Company's adsits according to the best of my information and the explanations given me and as shown by the books of the Company.
C. BERNARD BROWN, AC.A.,
Hongkong, 6th August, 1917.
Auditor,
To be retained by the Bankers.
This form should be sent entire, with a cheque for the deposit of 81U ou sach share to the bankers of the Company, namely, the
CHINA.
To be returned to the applleant.
CHALTERED BANK OF INDIA, AUSTRALIA AND
The Register for application of Shares will be closed on Thursday, 1st November, 1917, at 3 o'clock.
HONGKONG STEEL FOUNDRY CO., LTD.
Form of application for Shares.
To the General Managers of
BONGKONG STEEL FOUNDRY COMPANY, LIMITED.
Gentlexen,
Having paid to the Company's bankers the sum of $......... being a deposit of $10 per share for....shares of $10 each of the above-named Company I (or we) request you to allot to me (or us).shares on the terms of the Company's Memorandum and Articles of Association and I (or we) agree to accept the same or any less number that may allot to me (or us) and I (or we) authorise you to register mo (or us) as the holder (s) of the said shares.
you
Name in full.
Address...
Description
Date........
Signature
Receipt for Application Money.
Received this......inl.day of ..................... on account of the Hongkong Steel Foundry Co., Ltd., from.......................... .........the sum of $............being a deposit of
$10 per share upon..............
shares of $10 each of the
above-named Company,
For the-
Chartered Bank of India, Australia and China.
Dashier.
N..-This receipt when returned to the applicant must be preserved, and if accompanied by receipt for the amovat du et allotment, will be exchanged in due course for a certiliate.
Should the amount of $200,000 not be subscribed to enable the General Managers to proceed with the allotment,
the amount subscribed by sach subscriber will be returned without interest.