The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-03-21
President Wilson and Pre-
miers Busy With Rep
aratiOn Question.
DIFFERENCES DEVELOP
Chief Trouble Over Amount
That Germany Is Able
to Pay.
PUT AT FORTY BILLIONS
Amendments to League Cove
nant Will Be Taken Up
Tomorrow.
UT AT FORTY BILLIONS
BY fhe Associated Press.

PARIS, March 20.-President VIII
son, NJ. Clemenceau. the French Pre-
mier and David Lloyd George, the
British Prime Minister, conferred at
the residence Of Mr.. Lloyd George
to-day, the session lasting from 3
o'clock in the afternoon until late
in the evening.
They are seeking TO adjust differ
ences, constituting some of the larger
questions pending now-reparations
for war losses and the Franco-Ger-
man frontier. These questions for
the moment have assumed paramount
Importance, taking place even ahead
of the League Of Nations, for while
the work of the commission revising
the covenant IS proceeding rapidly,
much difficulty is being met in reach
Ing an accord OH reparations and
frontiers.
Bill Reduced to Forty Billions.
The chief issue of the question of
reparntions Is not what Germany
should pay. but what she can pay.
The commissions experts which have
studied the subject have gradually re-
duced the claims to a total of about
forty billion dollars
One proposal was to spread the
payment over forty years. On this
basis the principal, with interest.
would amount to SS0,O0O,OOO,OOO at
the end Of the period. Against this
proposal the commission has esti-
mated all the available wealth and
resources Of Germany at home and
abroad.
Utmost Put mt Twelve Billions.
The American view as to these
estimates is that sl2.OO0.000,OOO is
the utmost that can be expected. This
1000, 100000 is made ,lp roughly
as follows:
German resources outside Of that
country. $4,000, 600, 900. represented
in merchant ships, railways and
mines in Alsacp-L0rrninc. coal and
iron deposits in the Sarre Valley, for
eign securities and Government prop
erty in former Germany colonies
Seven billions Of this property, the
commission estimates, belongs to pri-
vate German citizens and the re-
mainder is owned by the Government
OF private resources Germany has
property valued at 100000
in South America, 100000 I'm
the United States and $4,000, 1000
900 in other countries.
All this outside property is re-
garded by the commission as subject
to contiscation by the allied and as
sociatcd Powers. should this view
prevail it would yield $4,000. 1000
900 for the immediate liquidation Of
war losses. This would leave
s4.O0O.O0O.0OO to he paid If the
American estimate Of the total to
bc claimed is adopted.
Question of Competitions.
The American view rs to the means
to provide for this balance is that the
chi"t roll"nrr wi!-S"vc to be placed
in Germany's balance Of trade This
In turn has opened another large and
subsidiary question. as 10 how far
German industry should be allowed
to compete with the rest Of the world
particularly with nearby countries
like France,
The French delegates hold that
German industry should hc Curbed b.
checking exports and imports. The
American and British views tend
toward permitting Germany 10 re
sumo Industrial activity I'm order 10
pny the balance Of the $1,000, 900 O0o
Gcbt Ia the Allies and associated
Powers. The commi%SipuS experts
estimate the exports and imports
would yield balance of about $500
OOO 600 annually. or approximately
billion dollars every three years.
ON this basis the balance of the
debt could he cNtinguiSlIpl in twelve
years and the cntirc operation con
cludcd. This vicw. it is said. is far
from meeting with general accept
nncc. The French. and to some ex-
tent the British, are inclined to ask
much heavier rcparntion, spread over
II much longer period.
French Demand Priority.
Serious division of opinion also
exists over the allotment Of damages
among the allied Powers. The French