File No. 103.96/1536

The Minister in Sweden (Morris) to the Secretary of State


3194. War Trade Board from Owen:1

I would ask you to consider advisability of War Trade Board Russian Corp. working in conjunction with the Russian Cooperative Alliances and the Moscow Narodny Bank for the purpose of purchase and sale of products in Russia. This would appear a good method of circulating the new ruble issue. Doctor Huntington of the Department of Commerce recently arrived in America will give you full information relative these cooperative institutions. Tapilski, director of the Russian Flax Growers’ Cooperative Association and member of board of Narodny Bank, is now in London. He may be found at Narodny Bank, London branch. I fear he will make some deal with English bankers as I could not give him any hopes of your buying flax when he was in Stockholm. I suggest that you instruct [Page 169] Sheldon to ask Tapilski not to commit himself to any private British group until you have time to consider possibility of War Trade Board Russian Corp. working with his organizations or in conjunction with some Allied body. Berkenheim, head of the combined cooperative institutions, also member of Narodny Bank board, will arrive Stockholm shortly. I hope you can authorize me to treat with him. I understood these cooperative institutions are not of Bolshevik character; also, that they have been very successful and have considerable power.

Copy to London.

  1. See footnote 1, ante, p. 162.