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be payable on like articles the produce or manufacture of any foreign country;

No higher or other duties shall be imposed on the importation into or disposition in Poland of any articles the produce or manufacture of the United States, its territories or possessions, than are or shall be payable on like articles the produce or manufacture of any foreign country;

Similarly, no higher or other duties shall be imposed in the United States, its territories or possessions, or in Poland on the exportation of any articles to the other or to any territory or possession of the other, than are payable on the exportation of like articles to any foreign country;

Every concession with respect to any duty, charge or regulation affecting commerce now accorded or that may hereafter be accorded by the United States or by Poland, by law, proclamation, decree or commercial treaty or agreement, to any foreign country will become immediately applicable without request and without compensation to the commerce of Poland and of the United States and its territories and possessions, respectively:

Provided that this understanding does not relate to

(1) The treatment which the United States accords or may hereafter accord to the commerce of Cuba or any of the territories or possessions of the United States or the Panama Canal Zone, or to the treatment which is or may hereafter be accorded to the commerce of the United States with any of its territories or possessions or to the commerce of its territories or possessions with one another.

(2) The treatment which Poland may accord, in order to facilitate strictly border traffic, to the products of a zone not exceeding fifteen kilometers in width beyond its frontiers or to the products of the German portions of Upper Silesia under the régime at present existing.

(3) Prohibitions or restrictions of a sanitary character or designed to protect human, animal or plant life or regulations for the enforcement of police or revenue laws.

The Polish Government, which is entrusted with the conduct of the foreign affairs of the Free City of Danzig under Article 104 of the Treaty of Versailles and Articles 2 and 6 of the Treaty signed in Paris on November 9, 1920, between Poland and the Free City, declares that the Free City becomes a contracting party to this agreement and assumes the obligations and acquires the rights laid down therein. The above declaration does not relate to those stipulations of this agreement which are accepted by the Republic of Poland with regard to the Free City of Danzig on the basis of rights acquired by treaties.

Malloy, Treaties, 1910-1923, vol. II, pp. 3329, 3385. 'League of Nations, Treaty Series, vol. 6, p. 189.

The present arrangement shall become operative on the day of signature and, unless sooner terminated by mutual agreement, shall continue in force until thirty days after notice of its termination shall have been given by either party; but should either party be prevented by future action of its legislature from carrying out the terms of this arrangement, the obligations thereof shall thereupon lapse.

It is understood that this agreement is subject to ratification by the Polish Diet."

I shall be glad to have your confirmation of the accord thus reached. Accept [etc.] [File copy not signed]

611.60 c 31/44

The Polish Minister (Wróblewski) to the Secretary of State

WASHINGTON, February 10, 1925.

SIR: I have the honor to make the following statement of my understanding of the agreement reached through recent conversations held at Washington on behalf of the Government of the Republic of Poland and the Government of the United States with reference to the treatment which Poland shall accord to the commerce of the United States and which the United States shall accord to the commerce of Poland pending the negotiation of a comprehensive treaty of friendship, commerce and consular rights to which the Governments of both countries have given careful attention and in favor of which both Governments have informally expressed themselves.

These conversations have disclosed a mutual understanding between the two Governments which is that, in respect to import, export and other duties and charges affecting commerce, as well as in respect to transit, warehousing and other facilities and the treatment of commercial travelers' samples, Poland will accord to the United States, its territories and possessions, and the United States will accord to Poland, unconditional most-favored-nation treatment; and that in the matter of licensing or prohibitions of imports or exports, Poland and the United States respectively, so far as they at any time maintain such a system, will accord to the commerce of the other treatment as favorable, with respect to commodities, valuations and quantities, as may be accorded to the commerce of any other country.

It is understood that

No higher or other duties shall be imposed on the importation into or disposition in the United States, its territories or possessions,

The Minister in Poland reported in despatch No. 30, Sept. 15, 1925, that formalities of ratification by the Polish Government were completed on Sept. 14.

of any articles the produce or manufacture of Poland than are or shall be payable on like articles the produce or manufacture of any foreign country;

No higher or other duties shall be imposed on the importation into or disposition in Poland of any articles the produce or manufacture of the United States, its territories or possessions, than are or shall be payable on like articles the produce or manufacture of any foreign country;

Similarly, no higher or other duties shall be imposed in the United States, its territories or possessions, or in Poland on the exportation of any articles to the other or to any territory or possession of the other, than are payable on the exportation of like articles to any foreign country;

Every concession with respect to any duty, charge or regulation affecting commerce now accorded or that may hereafter be accorded by the United States or by Poland, by law, proclamation, decree or commercial treaty or agreement, to any foreign country will become immediately applicable without request and without compensation to the commerce of Poland and of the United States and its territories and possessions, respectively:

Provided that this understanding does not relate to

(1) The treatment which the United States accords or may hereafter accord to the commerce of Cuba or any of the territories or possessions of the United States or the Panama Canal Zone, or to the treatment which is or may hereafter be accorded to the commerce of the United States with any of its territories or possessions or to the commerce of its territories or possessions with one another.

(2) The treatment which Poland may accord, in order to facilitate strictly border traffic, to the products of a zone not exceeding fifteen kilometers in width beyond its frontiers or to the products of the German portions of Upper Silesia under the régime at present existing.

(3) Prohibitions or restrictions of a sanitary character or designed to protect human, animal or plant life or regulations for the enforcement of police or revenue laws.

The Polish Government, which is entrusted with the conduct of the foreign affairs of the Free City of Danzig under Article 104 of the Treaty of Versailles and Articles 2 and 6 of the Treaty signed in Paris on November 9, 1920, between Poland and the Free City, declares that the Free City becomes a contracting party to this agreement and assumes the obligations and acquires the rights laid down therein. The above declaration does not relate to those stipulations of this agreement which are accepted by the Republic of Poland with regard to the Free City of Danzig on the basis of rights acquired by treaties.

The present arrangement shall become operative on the day of signature and, unless sooner terminated by mutual agreement, shall continue in force until thirty days after notice of its termination shall have been given by either party; but should either party be prevented by future action of its legislature from carrying out the terms of this arrangement, the obligations thereof shall thereupon lapse. It is understood that this agreement is subject to ratification by the Polish Diet.

I shall be glad to have your confirmation of the accord thus reached.

Accept [etc.]

WL. WRÓBLEWSKI

RUSSIA

REFUSAL BY THE DEPARTMENT OF STATE TO INTERVENE ON BE

HALF OF THE SINCLAIR EXPLORATION COMPANY AGAINST CANCELATION OF ITS OIL CONCESSION IN NORTHERN SAKHALIN1

861b.6363/112: Telegram

The Minister in Latvia (Coleman) to the Secretary of State

[Extract]

RIGA, February 27, 1925-noon.
[Received 5:28 p. m.]

18. Izvestia 24th. Supreme Soviet People's Economy applied to Moscow Province Court for the cancellation of the Sakhalin concession contract with the Sinclair Prospecting [Exploration] Company on the ground that it failed to begin prospecting within the stipulated time and to expend stipulated amounts for technical preparations in connection with such work. Hearing March 11th.2

861b.6363/116

COLEMAN

Memorandum by the Secretary of State

[WASHINGTON,] March 12, 1925.

MEMORANDUM FOR CABINET MEETING:

In 1922 the Sinclair Oil Company entered into a contract with the Far Eastern Republic for an oil concession in Northern Sakhalin, being that part of the island claimed by Russia. The Soviet Government insisted that the concession required ratification by it and a supplemental agreement was made on January 23, 1923, confirming the grant but providing certain conditions making the concession dependent upon the attitude of the American Government toward the Soviet regime and toward the concession granted by it. One of these specifically provides that the concession might be cancelled at the end

'For previous correspondence concerning this concession in Northern Sakhalin, see Foreign Relations, 1924, vol. 1, pp. 678 ff.

'The Minister in Latvia reported in despatch No. 2762, Apr. 11, 1925, that the Moscow Province Court had annulled the Sinclair contract on March 24. The Minister reported in despatch No. 2947, June 12, 1925, that the Soviet Supreme Court had rejected an appeal by the Sinclair Exploration Co. against the decision of the lower court. (File Nos. 861b.6363/129, 134.)

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