File No. 861.00/1456
The Consul General at Moscow ( Summers) to the Secretary of State 1
[Received 6.35 p.m.]
315. The de facto government is growing sensibly weaker on account of internal dissension, dissatisfaction and opposition on part of workingmen and peasants and the swollen strength of the anarchists who possess arms, artillery and machine guns and threaten openly to overthrow the Soviet government. Outside Moscow the local Soviets are practically autonomous and ignore the central authorities who confess they cannot control them. Soviets are levying arbitrary contributions and imprisoning those who refuse or can not conform thereto. State of anarchy is especially flagrant Siberia where many American and other firms are seriously suffering notwithstanding energetic protests consulates. Probably all factories closed or closing, there being no raw material and no money to pay employees. The situation is even more serious where nationalization has taken place. The Government realizes its predicament and is endeavoring to employ technical assistance put factories [on feet?]. Lunacharski publicly stated that cooperation bourgeoisie indispensable [Page 496] and this is generally considered full failure present political experiment. The Bolshevik press continues violent attacks on Allies. The Russkoe Slovo, largest paper Russia, permanently closed for advocating Japanese intervention. Delegations all classes continue sending deputations demanding Allied aid to try curb anarchism and prevent Russia’s becoming German colony. As a result of demoralization many banks, letters of credit, and real estate being bought by German agents who are determined central Russian control. Trustworthy reports state that Germans have made contracts for control over Russian oil sucklers [fields], grain and certain railways. The seizure of the mining districts of south completely paralyzes Moscow factories which depend thereon for fuel and raw material. Germans continue advance in south occupying Poltava, Sumy and threatening Kharkov. No resistance due demoralization troops. Every advance net with large stores supplies. In addition to nine governments comprising Ukraine and mentioned my 313,1 Central powers will take over such a section of Great Russia as will insure control agriculture and manufacturing products. Grüner, well-known German transportation expert, now at Kiev supervising reconstruction railway system in Ukraine.
No communication Tiflis. Erzerum reported captured by Armenians and Batum surrounded by Turks. Central powers evidently contemplate complete possession [omission] line. Alexeev and Kornilov armies being reenforced and heavy fighting around Ekaterinoslav. Majority conservative leaders now in that section hoping Allied intervention will come through revolution [omission]. Germans purchasing stocks of cotton in Central Asia [omission]. Macgowan, Thomson and others in Irkutsk report that prisoners are recruiting armed for campaign against Semenov. Bolshevik government seems have little authority over their acts.