Evening star. [volume] (Washington, D.C.) 1854-1972, 1919-11-02
austria DEFAULTS
HER OBLIGATIONS
Belgium Has Received $402,.
$4,000 From Germany and
Much Machinery.

The London Times comments q
follows:
The news that Austria has default
ed on her national debt was full.
expected by those acquainted witt
the parlous condition of her finances
A banker, who has just returned frou
q visit to that country. early tht
week said default was a certainr
within a very short time. certaii
amount of Austrian securities an
held here. The special debt of Aus
tria on February IS. 1918. was equiva
lent to f2.253.456.s03. Of which rathe
more than one-half represented wa
debt
Interest on this debt requires 1900.
600 yearly. Eight war loans were issue,
by Austria during the war. resulting il
subscription Of 35.o75, 900. 900 crown
(the par value of the crowns in ster
ling being 10 PENCE. Seven Austrian
loans are known to the London mar
ket. the chief Of which is the f16.
$4,000 Az per cents treasury nota
issued here and on the continent ID
April, 1914. Only one coupon WA
ever paid on that part of the LOAF
held in this country.
Two Defaults in Century. .
Austria had made default on. tw.
occasions during the last century
In the Napoleonic wars the credb
of Austria declined steadily In 1901
the export of gold was prohibited il
order to alleviate the gold famine
But this measure was unavailing
The war of 1903 aggravated condi.
tions SO much that a decree wal
issued ordering all silver in privats
possession to be surrendered againsl
up. and in 1911 the interest on thu
state debt was reduced by one-half.
About the middle Of the century thu
finances of Austria, which for year
had been in a dubious position. wer(
again in a critical state by the out
Even before the war the Austrial
government had exhausted its cred1
and specie payments had been stop.
ped. They were to. have been res
sumed In January. 1889. but in thu
early course of the war the promis,
was annulled for the time being By
the state itself, and it proceeded Il
finance the war by the issue of .
loan, which the finance minister wa
empowered to negotiate at the ma
tional bank at two-thirds Of the noms
inal value OF the bonds.
The following item is taken from thu
London Times of September 81:
During a discussion on the bulge
and the economic position of the coun
try in the chamber today the min
lister Of finance said that in the execu
ton Of the peace treaty the sum q
2.0s4.000,000 francs ($402,212.000 q
pre-war rates) had already been re.
| ceived by Belgium. as well as SOC
pieces of machinery out of the 9.79i
which had disappeared: while sterl
punishment was to be melted out II
those who were OBTAINING material
I'VE shall refuse German labor" h
said, for 1t il impossible that TIN
same hands that caused the destruo
ton Of our property should come q
work for its restoration"
the country had given satisfactory re
suits, and the coal production was q
present So per cent OF the amour
produced before the war. Unemploy
ment was decreasing to very con
siderable extent.
After a night sitting Of the Belgial
chamber, the governments incom
tax bill has been adopted by q fairt
. RE Bill levies a ID per cent tax Of
large fortunes. Workmen who ear
more than f96 will pay = tax of pc
cent. The chamber voted a tax OF
professional incomes Of per cent 70
the FIRST f120, with an additional one
half per cent for specified increment
above this amount.