tion for the eastern half of Harrar province in consideration of a payment of an amount stated to be 20,000 pounds sterling by the Corporation. . . . Baghdassarian . . . did not notify the AngloAmerican Company in London, ... However, the agreement was made and the Anglo-American Oil Company despatched, at considerable expense, an expedition to exploit the alleged Abyssinian oil fields. The arrival of this expedition at Aden and its journey to Abyssinia have been discussed in this Consulate's previous despatches. Upon arrival of the expedition in Abyssinia it was found that the Baghdassarian concession had been invalidated and that the Abyssinian Corporation, Limited, held a valid and legal concession for the most desirable half of the territory covered by the original Baghdassarian concession. The AngloAmerican representatives were inclined at once to give up their project, but were encouraged by Baghdassarian to wait a while until he could arrange to obtain a new concession. He appeared to be making no headway in this matter and the Anglo-American representatives attempted to reach the Ras and negotiate directly for a concession. This they were unable to do owing to their lack of experience of how things are done in Abyssinia, which circumstance enabled Baghdassarian to prevent them seeing the Ras on business. Such was the situation at the time the undersigned arrived in Adis Abeba the first part of August; and being appealed to by the Anglo-American representatives steps were taken to protect such interests as might seem to be their right. The undersigned applied for and obtained an informal audience with Ras Tafari for the purpose of discussing this and other matters of possible interest to the Department. The Ras stated definitely that he considered the original Baghdassarian concession invalid because it had not been issued in legal form. To this it did not seem discreet to offer any argument, but it was suggested to the Ras that an American company in good faith and at considerable expense had sent out an expedition to exploit the oil rights under the Baghdassarian concession, and that if the expedition had to return without having accomplished anything there would likely result an impression unfavorable to Abyssinia, and that his representations made to the undersigned on former occasions that he very much desired American enterprise in his country would appear to lack sincerity. Ras Tafari then said that he would make it possible for the American company to work in Harrar province; that although he had already sold to the Abyssinian Corporation, Limited, a concession for the eastern half of Harrar province he would at once issue to Baghdassarian a new concession for the other half of the province under which the Anglo-American Oil Company could proceed to work as originally agreed in London with Baghdassarian. The undersigned suggested that Baghdassarian apparently had not been honest with the Anglo-American Oil Company in the first instance and might refuse to deal with them under the new concession. He replied that if he issued the concession at all it should be to Baghdassarian as he felt that the latter was entitled to some recompense for the cancellation of his original, though invalid, concession for the whole of the province. . . . It was then suggested to Ras Tafari that the new concession issued to Baghdassarian should include an article specifying that the Anglo-American Oil Company should have the privilege of exploiting the oil rights under the agreement made in London with reference to the original and apparently invalid concession. After some argument the Ras agreed to this. In two days, a record time for Abyssinia, the issuance of the new concession was secured and it contains as "Article 19" the proviso that the oil rights shall be worked by the Anglo-American Oil Company under the agreement previously made with the company by H. M. Baghdassarian in London. In insisting upon and obtaining this protection for the AngloAmerican Oil Company the undersigned was careful, as instructed by the Department, to make it plain that the company had no official status but was merely receiving the official protection of its legal commercial rights to which it and any other American company operating abroad was entitled. The concession issued to the Abyssinian Corporation, Limited, is for the "eastern half" of Harrar province, or for that part adjoining the British Somaliland frontier. The new Baghdassarian concession is for the western half of the province. The division had not been made and as it promised to be a delicate and difficult matter the Ras. . . informed the undersigned that the BaghdassarianAnglo-American group would have to get together with the Corporation and make the division. If they could not agree he promised to arbitrate. This latter contingency was undesired as it would indefinitely delay matters. The Anglo-American representatives then met the Abyssinian Corporation representatives to discuss division and could not agree, as was to be expected. At the request of the AngloAmerican representatives the writer then informally took up the matter with the British Charge d'Affaires at Adis Abeba, ... It was suggested to this gentleman that the American group very much desired an amicable settlement and working arrangement with the Corporation and he was asked to use his influence with the representatives of the latter. He saw the point that if the Anglo-American group developed the Baghdassarian half of the concession the half possessed by the Corporation would at once become much more 126794-vol. 11-36- -22 valuable without the latter having incurred any expense for development work. Because of this and various other obvious reasons he saw that it was to British interest to use his influence towards an amicable settlement. He did so and an agreement as to the division of the province was arrived at and is now in the hands of Ras Tafari for approval. In the meantime the Anglo-American representatives are authorized to start prospecting work. The territory in which the Anglo-American Oil Company will prospect for oil under the new Baghdassarian concession and the agreement with the Abyssinian Corporation, Limited, is the northern part of Harrar province bounded approximately as follows: on the north by the 11th degree of north latitude; on the south by the 9th degree of north latitude; on the east by the 43rd degree of east longitude; and on the west by the 40th degree of east longitude. The eastern half of this approximate district is included in the Abyssinian Corporation concession for all minerals and the western. half is included in the new Baghdassarian concession which also is for all minerals. The privilege gained by the Anglo-American Company to prospect for oil only in that part of the district included within the Abyssinian Corporation concession is the result of compromise by which the Corporation is in return given oil rights in the southern half of the Baghdassarian concession. The AngloAmerican territory is considered much the more promising for oil. I have [etc.] ADDISON E. SOUTHARD FINLAND TERMINATION OF HOSTILITIES WITH RUSSIA Inquiries from the Government of Finland Regarding the Policy of the United States toward Russian Attacks on Finland—Decision by the United States to Refrain from Offering Advice to the Government of Finland-Conclusion of Peace between Finland and Russia 123 M 272/81: Telegram The Chargé in Finland (Magruder) to the Acting Secretary of State HELSINGFORS, March 20, 1920-noon. 2. Minister for Foreign Affairs received me yesterday. I was also informally received by the President who warmly welcomed me to Finland and expressed the gratitude of the whole Finnish nation to the United States for having officially recognized the Republic of Finland. His Excellency also expressed deep appreciation of the assistance rendered Finland by the United States Food Administration. He then inquired whether the policy of the United States respecting Soviet Russia was to act in conjunction with France and Great Britain or to pursue its own independent course. I replied that I was not in a position to answer this inquiry inasmuch as I had no instructions respecting my Government's Russian policy. The President then said that he hoped our Government appreciated the difficulties Finland was meeting, as the result of the constant threat by its neighbor Bolshevist Russia, in pursuing the foreign policy of its choice. MAGRUDER 861.00/6647 Memorandum by Mr. F. L. Belin, Division of Russian Affairs, Department of State [WASHINGTON,] March 23, 1920. On Saturday, March 20, the Finnish Minister called at the Russian Division and left a copy of a telegram which he had received from his government which stated that the Bolsheviki had started attacks 253 on the Finnish frontier from Lake Ladoga to the Arctic Ocean, in five distinct sections. Mr. Saastamoinen stated that his government was very much troubled and would appreciate the advice of the American Government in this situation. Acting on the verbal instructions of Mr. Polk, I informed the Finnish Minister today that the Latvian and Polish Governments had inquired as to what would be the attitude of the United States Government in the event that they negotiated peace with the Bolsheviki and that they had been informed that as this Government was not in a position to furnish money, ammunition or supplies of any kind, it therefore did not feel in a position to give advice on this question, and that in general these governments should have to make the decision themselves. The Finnish Minister was very grateful for this information which he said he would cable to his government at once. F. L. BELIN 760d.61/14 The Minister in Norway (Schmedeman) to the Secretary of State No. 1540 CHRISTIANIA, May 4, 1920. [Received May 25.] SIR: Referring to my despatch No. 1533 of April 23rd last, in which I informed the Department that Finland and Russia had declared a truce for the purpose of discussing boundary questions, and that the Norwegian Government had informed Soviet Russia and Finland that it desired an opportunity to be heard in case the negotiations between Finland and Russia should touch on the question of boundary regulations in the Petsjenga district, I have the honor to report that the Minister for Foreign Affairs informs me that replies have now been received from the two governments. The Russian Government states that the boundary lines on the Norwegian frontier will not be changed, and in a Note received from the Finnish Government through its Minister in Christiania it is stated that Finland maintains that the matter of boundary regulations in the north is a question which concerns only Finland and Russia, as Norway renounced all rights to the territory in question by a treaty with Russia in 1826, and that after Russia and Finland have come to an agreement, Finland will then discuss boundary lines. with Norway, but not before. I have [etc.] A. G. SCHMEDEMAN |