New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-05-10
Delegates at Spa Will Pro-
pose Paying Over Fixed
Percentage of Budget
on Annual Sliding Scale
Paris Officials
Defer Comment
Creditor Country to Profit
as Fast as the Debtor
Receivers Economicallv
By Ralph Courtney
Special Gable 10 The Tribune

Copyright 1920, New York Tribune Inc.
PARIS, May 8.--The French govern
ment has been advised of the proposl-
ton which the German representatives
will present to the Allied Premiers at
the Spa conference to be held May 25.
Under the plan proposed by the Ber-
lin government Germany will pay
France annually by way of reparation
for damages caused in the war a sum
based on fixed percentage of the
German national budget
In support of its plan the German
government suggests that calculation
of Germany's liabilities is possible if
this scheme is used, and if the annual
payments are proportionate to the ma
tional budget they also will be IN pro
norton to the country's prosperity
and ability to pay. Under this plan
France would benefit progressively as
Germany RECEIVERS economically.
France would receive very little, the
supporters of the new plan admit
white the German mark remains at its
present value, but as the mark ap-
preciates France will benefit directly
in Germany's economic resurrection.
Proposed by Commission
In diplomatic circles it is said this
scheme was first proposed by the Ger
man commission which has been study
ing the best methods of raising the
money due the Allied powers. Com
ment on the plan was lacking in Off
cial quarters here tonight.
The chief drawback to the German
plan, as seen unoffic tally here, is that
it offers no assurance that France Will
receive anything worth counting for
several years.
French and Belgian economic experts
are in complete agreement in the policy
of fixing a definite sum which Ger
many must pay and are not expected to
look with favor on any sliding scale.
M. Jasper, who is in charge of the re
construction work in Belgium, had a
long conference with Premier Millerand
on the subject to-day. Afterward he
said:
1--WE are going to call Germany be-
to pay us and on what she bases her
hopes of being able to settle the debt.
Germany must know the total sum
which we require and the amount Of
the annual payment which she must
face. The question is a delicate one
but it must be settled"
Two Premiers to Confer
Asked whether 10000, 100000 gold
marks Is the amount which Germany
will be asked to pay, NJ. Jasper said:
1--WE must be careful about making
prognosticatons. 1t is better to wait
until Premiers Lloyd George and Mil
lerand can discuss the subject. Our
problem, first Of all, is to reach perfect
agreement among the Allied powers.
both as to how much Germany must
pay and what part each of us shall re-
celve. There must be no divergence Of
views among US when we meet the Ger
mans"
Thus the forthcoming historic meet
ing between the French and British
premiers, which is expected to take
place at Folkestone between Nav l3
and Is, at present looms larger in the
eyes of French officialdom than the
Spa conference itself. The attitude
which the French will take at Spa de-
pends upon the developments at Folke-
stone. Premier Millerand wants some
thing more than single agreement on
the sum the Germans must pay. France
has seen that no practical result has
come of previous agreements reached
between the Allied powers and Ger
many, and in the present instance p
demand is being made on France to
help Germany financially. In these cir
cumstances the French Premier is all
the more anxious that the German
reparations money should be forthcom-
ing on scheme that will guarantee
payment.