861.77/1006: Telegram

The Ambassador in Japan ( Morris ), temporarily at Omsk, to the Secretary of State

Supplementing my July 31, 6 [11?] p.m. I submit herewith summary of the financial requirements of the Siberian railways as compiled by Gilford Rogoff [ Ustrugov?], Jackson [ Jack?] and Emerson: they find that no additional rolling stock beyond that already contracted for will be required on the portion from Vladivostok to Omsk during the coming year. The following, however, will be needed; value estimated in American dollars: technical and mechanical improvement and enlargements of water system, $1,020,000; materials absolutely necessary for operation and not obtainable here $5,510,000; expenses incident to operation of coal mines $470,000; ocean freight for shipments $600,000; supplying employees and families with winter clothing $10,400,000; miscellaneous requirements of Chinese-Eastern $1,000,000. Total $20,000,000. This is the amount previously estimated by the Inter-Allied Committee. It will be observed that it does not include expenses for salaries and maintenance of Railway Service Corps.

The Committee authentically reported that they could not submit any accurate estimates for the section between Omsk and the Volga River, but were of opinion that not less than $10,000,000 would be required.

From the very scant knowledge available they estimated that the needs of the railways in European Russia for equipment and rehabilitation would exceed $200,000,000.