Clearwater Republican. [volume] (Orofino, Idaho) 1912-1922, 1921-02-04
GERMANY IS FINED
Ct BILLION DOLLARS
SYSTEM OF PAYMENTS FIXED BY
THE ALLIES MANY
EXPERTS.
eIvEN AZ YEARS TO PAY IT
Scheme Provides Sliding Scale and
Tax on Exports-Approval Up to
Supreme Councii-Premiers to
Fix Defaul Penalties.

Fix Oefaul Penalties.
PARASITIC session of the COM
mittee of experts of the allied SUI
preme council ended Saturday after
having reached complete agreement
on the system of annual payments of
Preparations by Germany and annui-
ties on Germany's foreign trade.
1t now remains only for the plenary
sitting of the supreme council to in
dorse the agreement, draw up in
structions for the Brussels experts
and fix penalties for defaults by Ger
many.
Get az Years to Pay.
The proposed scheme provides for
the payment of annuities ON a sliding
scale of from 2,000000,O00 to $1,000
100000 gold marks over a period OF
probably AZ years, and also a 1919
per cent ad valorem tax on German
exports, so that her creditors will be
paid according to Germany's increas-
ing prosperity.
The sudden ironing out of differ
ences came after two days OF con-
tinually widening breach that threat
ened to break up the conference, II
being virtually suspended except for
private conferences. Official French
circles give the Belgian delegation
credit for the success in reconciling
the British and French viewpoints.
The project in its final form, when
approved by the supreme council, will
be submitted to Germany for accept
ance as an agreement outside of
article 233 of the peace treaty which
entrusts the reparation commission
with the task of fixing the amount
of the indemnity. Then another con-
ference will be called to which the
Germans will be invited
Talk $s7 900 ,ooo, 900 Indemnity.
Payment by Germany of reparation
to the amount of 1863, 000,0O0OO gold
marks normally about $67 900, O00, 1000
distributed over a period of AZ years,
is the proposal considered.
This sum would be payable in in
stalments of 3,000,O00,000 marks gold
annually for the first five years,
5000, 100000 marks gold for the five
years following, and 7,O0O,000,O00 an
nually for the remaining 80 years.
In addition Germany would be re-
quired to pay variable annuities OBJ
tanned by taxation of from 10 to Is
per cent on exports.
Full Agreement Made.
Full agreement on PREPARATIONS,
German disarmament and all other
important questions before it has
been reached by the supreme coun-
Gil. 1t will again meet in London
February q.
Germany must disarm by July /.
disbanding all her civic guards not
provided for in the peace treaty
Germany will be called on to pay
in AZ annufties on sliding scale
100000 100000 gold marks $53,675,
0OO,000). Her exports, in addition,
bear an export duty of IL per cent
for the allies. On the basis of last
years exports this would give the
allies 1,25O,000, 900 gold marks, or IL
per cent of whatever money in which
the exports are paid for. Thus, it is
estimated, the first payment made by
Germany will be $3.50, 100000 gold
marks, the export tax being paid in
cash.
1t is pointed out that besides being
sure method of collection it will
act as protective tariff in coun-
tries near Germany which are likely
to be flooded with goods made in
Germany at low cost.
D>o.IA;n.
Penalties agreed on for violations
will apply to all agreements alike.
Seizure of Germany's customs was
added as fourth of the penalties
adopted. The other three are: ,Exten-
sion OF the area of occupation; occu-
patton OF the Ruhr district; refusal
to admit Germany to the league of
nations. The proposal to apply pen.
alties was presented by Premier
Lloyd George.
According to the arrangement, the
annuities and export taxes are paw
able semi-annually. Discount for ad.
vance payment will be 8 per cent the
first two years, 6 per cent the third
and fourth years and s per cent
thereafter Germany Is forbidden to
establish foreign credits without ap-
prevail OF the PREPARATIONS commits
sion.
leniency to Austria.
The decisions were communicated
to Germany. AS to Austria. it was
agreed that the allies should forego
reparations, the cost of the army Of
occupation and certain other Aus
trian debts to enable Austria to OBJ
tain aid more easily 1t was also
decided to convene conference of
Austria and adjoining countries to
endeavor to improve relations be-
tween central European states
Gift to Whitworth COLLEGE.