The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-05
U. S. NOT LIKELY TO
PAY PARIS RAIL BILL
French Government Has No
Claim on This Country, Is
Wall st. Mems Opinion.
SEEN AS POLITICAL GAME
Deficits Resulting From War
Time Congestion Cannot All
Be Laid to Americans.

&murts under way IN Paris 90 obtain
nom tho United States Government,
through diplomatic channels, several
million, dollars claimed by the Trench
Government as the deficit in the French
railroad budgets during the period the
lines were congested with allied war
traffic are doomed to disappointment, in
the opinion Of well informed interests
in Wall Street. Those interests assert
that the only possible settlement might
be the partial cancellation of the debt
of the French Government to the United
States Government, which runs above
billion dollars.
The claims are regarded here as vague
and the belief is that the subject is a
partisan political affair, which would not
ho pressed If q vote on the matter were
obtained from the citizens of the re-
public of France. The whole matter,
doubtless will be shelved until the Har-
ding administration comes into office, but
e may become one of the first problems
to be faced by the new Administration.
There was no disposition in Wall
Street to urge that the United States
fail to assume any proper or moral OBJ
legation In connection with this subject.
It was pointed out that the United
States Army. having receipts in full for
all obligations, claims for 100000. 600
at normal rates Of exchange as the
budgetary deficits of the Government
owned railroads of France are beyond
the responsibility of the United States
Government. The deficits of these roads
apparently amount to about 2.500,000.-
900 francs, which at current rates Of
exchange would call for less than $175,-
o00, 1000.
While there was no disposition in
Wall Street to criticise French methods
of operating railway transportation, 1t
was pointed out that the United States
has had sufficient experience with Gov
eminent operation of railroads to con-
vince bankers that little of the bud
Hetary deficits on the State owned rail-
ways of France is chargeable to the
congestion of traffic due to the United
States Army of Occupation. On the
basis of present reports Wall Street is
not inclined to take seriously the efforts
1T In motion by the French.
One railroad executive went so far as
% say that the whole story looks like a
mesh attempt on the part of certain
French interests to get the United States
10 cancel q part of the war debt OF
she French Government. He said:
TT might be proper for the United
6JSdIeS N1OV6tTIflcHl W h5h tlc Ctchci
Government directly whether the efforts
being made In Paris to put the United
6tates into such a position that 1t would
have to shoulder direct responsibility for
sons Of the French war debts has Its
backing or Is merely a shot into the air
"a the hope OF pleasing the peasant and
The taxpayer Of France by getting even,
. small reduction In the country's ex-
ternal obligations.
TT Is not difficult to understand tbs
European point Of view that the United
States Is so wealthy that 1t could cancel
On allied war debts to it without suf-
1er1ng serious financial disturbance. It
n difficult to believe that the French
Government would permit itself to b
placed In the position of backing any
movement to get the United States to
assume direct or indirect responsibility
for the allied war debts.
''The obligation OF the United States
Government either Is a proper and
moral debt, which should be settled at
once and should be pressed without Sc
cret diplomatic negotiations by the
French Government, or the matter is
ridiculous and can be dismissed without
scrious thought The failure of the
French Government to take action Is
evidence enough for me to believe thai
tie United States has no responsibility
In the matter