New-York tribune., 1920-06-22
Give
Greek Army
AFree Hand
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carry out the provisions of the pact.
The communication, which had been
drawn up by Marshals Foch and Will
son, emphasized the military penalty
which resistance to the Allied demands
would entail.
The note goes into great detail! in
enumerating German violations of the
treaty and demands immediate compile
ton Of the tasks of destroying war
material and reducing the army to
100000 men. The official draft of the
note probably will be dispatched to
Berlin late tonight.
In view of the grave developments
in the East the Allies will warn Ger
many that they will not tolerate
trouble from her. On the slightest
sign of resistance a military force will
be employed to insist on fulfllment of
Germany's obligations.
With new war opening before them
and a grave possibility Of the flaming
up of the whole Eastern and Mahome-
tan world, they can no longer deal
with Germany with glovcd hands. If
Germany takes advantage Of the
troubles in the East to make difficult
ties in the West, she will find England
and France firmly united in the deter
mnation to use military force. On the
other hand, if she will turn over a new
leaf and make efforts to fulfill the
treaty, she will get every assistance.
The note was the result of accumu-
Ia tod RI Of bo
of her failure to carry out the treaty.
Millerand had been supported steadily
by Lloyd George in his contention
that Germany must be comoplled by
threats of military action to fulfill the
terms of the document
Agree on Reparations
A sensational development of the
conference to-day was the sudden
agreement between Lloyd George and
Mlllerand on the amount of repara-
tions Germany shall pay.
The Allies desire to offer Germany
both positive and negative inducements
TO remain quiet. While on the one hand
they are threatening to invade Ger
agreements with the Allies. on tho
other hand they propose to hold out
hope of substantial financial support
if she behaves herself.
1t can be stated upon reliable Au-
thority that the Boulogne conference
has decided upon an extensive revision
of the financial sections of the treaty
The Supreme Council has adopted a
new financial program which almost
amounts 70 & scrapping Of the reps "a
ions section Of the pact
1t IS reported that a policy OF ''ex-
tensive annulJies" has been definitely
adopted IN Difference to French crit
cism Of the "forfcit system" it is said
that both schemes, although appearing
different, will amount to the same
thing in the end.
Index Figure Considered
The Allies are considering the sug-
gestion that Germany's annual pay
ments of indemnity under the peace
treaty be based upon some index figure
in German finances which would auto
matically indicate the amount to be
turned over. The new scheme involves
the fixing of a maximum sum payable
by Germany which shall be settled in
annual installments, based on the index
figure.
After much discussion tho Anglo
French financial experts came to the
conclusion that the treaty clauses are
too vague to be applicable. They looked
around for a new principle to fit the
circumstances and have accepted the
index plan in principle. They are now
agreed that this new index figure
should be substituted for the one which
the treaty provides should be furnished
by the reparations commission.
The reparations discussions have
progressed so smoothly since the adop-
ton of the new principle that the con-
ference here may be prolonged until
W Wedncsday to settle all details
The new financial arrangement does
not change the program for an interna-
tional loan, which will be issued to
cover the German indemnity, nor does
1t settle the question whether or not
inter-Allicd debts shall be settled by
means OF German bonds. 1t is con-
firmed in official circles here that this
depends on the question of how much
America will accept in German bonds
in settlement of Europc's debt to her
This question undoubtedly will be Off
cially put up to America. Pending
settlement of other matters the qucs-
ton Of the intcr-Alicd debt will re-
main in allegiance.
American Position known
1t is certain, however. that particu-
larly definite promises have been re-
ccived from America, and that these
will enable the Allies to 90 ahead with
their plans for an international loan
among the Allies, neutrals and even
late enemy nations. 1t is asserted that
difficulties no longer exist between
France and Britain on the question of
the amounts that Germany can pay
and to what cxtcnt France shall or
Sa'