New-York tribune., 1921-03-07
New Proposals Said to
Provide for Payment of
Hundred Billion Marks
in Only 3O-Year Period
Britain Optimistic
Over Settlement
Session of Supreme Coun-
ell Hurriedly Called to
Discuss Berlin Proffer
By Arthur S. Draper
rom The T,Ibnnc's Europedn Bureou

FROM ne 4 r1ONNe 5 European Oufeo0
Copyright 1921, New York Tribune Inc.
LONDON, March 6.--When the
Allied ultimatum to Germany to
weld or be punished expires to-mor-
row noon DR.. Walter Simons, Ger
man Foreign Minister, will present
to the Supreme Council a new pro-
posal. Under it Germany will offer
to pay the Allies double the amount
of reparations that the Entente pre-
miers refused last Tuesday, or about
100000, 100000 gold marks.
The Allied demand drawn up at
Paris last month was for 226,0Oo,-
100000 marks The first German
offer was $4,000. 100000 marks, but
deductions from this, amounting to
2O000000,0 900 marks. were insisted
upon as credit for payments already
made.
Although Berlin dispatches say that
the German government is obdurate
and unafraid, there is reason to believe
that Or. Simons has instructions tc
yield much more than he did at last
weeks conference.
New German Proposal.
1t is understood that the new Ger
man proposals Will suggest:
That Germany be permitted to pay
part of her debts by building large
number OF concrete houses in stand
ardized parts for use in the devas-
tated parts OF France and Belgium.
These would be built ir. Germany and
shipped to France, where they would
be put together by comparatively
small body Of German workmen.
This would obviate the presence Of
large groups of German workmen on
French soil.
That an alternate scheme be sub
stituted for the IL per cent tax on
exports proposed by the Allied pre-
miers. DR.. Simons will suggest that
the tax, instead of being on exports,
be levied or the trade balance. e.,
on the difference between the value
Of German exports and imports, or on
some other index figure which could
be decided upon in future consulta-
ton between Allied and German eco
nomic experts. AS German exports
increase the amount reverting to the
repsrations fund will increase
That the anOint of tho Erct four
annuities be reduced and that these
be increased gradually as Germany
recovers.
That the war bill shall be COM
pletely paid in not more than thirty
years. instead of forty-two, as the
Allied premiers had proposed.
Unsatisfactory 10 French
Whether the new German offer will
be accepted by the Allies as a basis of
negotiation is problematcal. To the
french It IS decidedly unsatisfactory,
and the Paris delegates here fully ex-
pect that to-morrows session will
break up in disagreement and the
Allied armies will take up their ad
vance across the Rhine. The British
are more optimistic, hoping that Lloyd
george, III the role OF mediator that
~"JYSo iiillHS 50 iHucil, can DIlHS
both sides into line.
Il the Allies refuse to entertain
these new proposals the German dele
gates will return to Berlin and the
Allied military leaders will take
cnarge There are some VINO hope this
Will prove to be the case, but their
number IS smaller than it was short
time ago. They feel that there is
TOO much at stake to resort to mill
tary means without exhausting every
possibility of an agreement through
negotiation. That is the view pre-
sented by two of the governments
strongest supporters in the Sunday
press.
Probably the one feature of DR..
simons's reply which will be the most
unsatisfactory to the British will be
CONTINUED on page sour)