New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-05-18
Increase in Indemnity Is
Considered. Germany
To Be Released From
Interest OH Payments
Loss onU. S. Loans
Involved i'm Plan
America To Be Asked to
Demand Only Principal
of British, Obligation

F-oa, Ths fribNucS kuropCaH Bureau
Copyright 1870. New Work Tribune Inc.
LONDON. May II. 1t was
learned to-day that the Office of the
Chancellor of the EXchequer is now
considering a plan of increasing the
German reparation bill over the
S30,O00,000,000 figure previously
tentatively fixed, at the same time
eXempting Germany from the neces-
sty of paying interest on deferred
yearly payments.
In that case the British would can
eel payment Of interest by France
on loans from Great Britain. Brit
ish officials hope that if this is done
America will then cancel interest on
the British debt to the United States.
it is said here that this would mean
ret loss to America, while the British
eventually could recoup from the Ger
man reraration.
Official admission was obtained that
the purpose OF Anglo French officials in
oJtning their scheme for the capital
lzst.oH Of Germany's debts and the
rayment Of inter-Allied debts parallel
with the roceipt of installments from
Germ. ay. las to sound out American
sentiment.
Corsummation of the plan or some
modification Of it is contingent upon
is beng accepted by the American
government.
|. S. Consent Impossible
AS TO the American government or
anaucicrs underwriting the German rep
aretlon, influential American banking
authorities in London emphatically de
clare there is not the slightest posi-
illlty of this. Besides taking the view
that the proposal is impractical, they
regard it as dangerous business
prop ition. They say that every
anti British and anti European force
. IN America would fight the proposition
on International political grounds.
The proposal, boiled down, is stated
thus: America pays the German repa-
ration and then becomes financially
committed to enforcement of the Ver-
sailes treaty, which she has refused to
ratify.
The Evening News" says:
I'VE would cordially approve the ar
rangement but for the fact that we
ave borrowed money for France from
me United States and there is no pro-
VISION apparently for any moratorium
regard to our obligations to our
eredlfcrs. We are to continue repayinc
ocr debts with interest-in fact, we
l,cently have been lectured by the
American Secretary of the Treasury
"a the necessity Of getting to work and
sving our western ally the money il
70 wait until bankrupt, water-logged
Germany pays up
American Aid Coveted
1t IS significant that the only morn
hg paper mentioning America in con-
hection with the Lloyd George Mile
and agreement is The Daily Chron-
'ce' This is known as Premier Llovd
toraly: e"'-
Ihe inter-Allied scheme would. Of
course, be much more complete if
.Nherlca, the greatest OF all allied cred
No[s' could see its way to fall in
Ihe Chronicles" special correpond
ent at Hythe telegraphed:
me united States is concerned in
'ne ihter-Ailled debt arrangement and
'he has not even Watching represent
"
,cE te be no reason why she sho1ll
elJect these plans of her debtors
"HI q, ASSOCIATION in the war"
;dne press and officials again are be-
ss::nnihg to murmur against Frances
u'SN!hcltnaton TO tax itself adequately.
Newspaper editorials, although care
uily worded for the most part for the
s@Ae or French sensitiveness, already
on ?eg'hhlng to express as the official
vpahl9n that the AngIo-French plan is
no.i-o lor France. but that England
,ShS sJ's nothing unless Germany pays,
Uhie Ul. france doesn't have to repay the
British unless Germany paws. thus
making the British virtually the guar
""sotS Tor the German reparation.
W tHat reason, the plan of capital
Ing ihe German reparation, so that
'e Ai'les could Immediately realize on
ru.ufe German payments, was pro
FARlS, May II (By The Associated
nreSs).-lt is understood in official
y (aicies here that the Anglo-French con-
o.ehce at Hythe, which closed yester-
10y, CCay, decided that the sum total which
worm1Hany should pay as reparation
~0I, mVula be fixed at 100000 ,000, 900 marks
'' approximately $4,000, 000,000).
Bond Issue Authorized
c;aS Is also understood that it was de-
isaeu uermany would be permitted to
c'ee - .t ponds covering her indebtedness
me- AilleS, payable in annual install
d.I;ese These decisions. together with the
enon oaslon to postpone the Spa confer
r", 10 June 2l, comprise the definite
~: GSlons reached by the French and
,s'sh premlers, according to the
UNDERSTANDING here.
as. sp'"'al session of the Supreme
>,Ja ~Jalc' VIII be held at Ostend to CON
lii financial questions among the
ba u Is stated. This meeting will
lions r,noeependent of the league of ma
Tpn TINS financial conference at Brussels.
TO be fixed. '''N e''N'' 'o"'' II
h.de The decisions thus reported have
SraI. en 1avorabfy received in French
na;I s,es. While the total amount to be
tSa as reparation is much lower than
fnn. ngure France desired, and is still
cIaser snort of the actual sum de-
J"a J"nea TO be required TO restore the
dsea'ed regions and pay for other
Coo 0nSge' non 1t is suggested that 66,0o0,-
As 'iGVV ~ marks IN gold, which is figured
at iahee share, would be equivalent
nn,s' present rate of exchange to
80 80 $4,000 100000 francs ia French
p''. so3 1h's, it is felt. could hardly
" % s"'lsly French public, opinion.
Liberty souds
umplt