Evening star., 1921-03-03
ALLIED ULTIMATUM
GIVES BERLIN UNTIL
MONDAY TO ACCEPT
CONTINUED from First Page

because Premier Lloyd George was
unwilling to take irretrievable steps
until the inauguration of President
elect Harding. who is expected to ex-
pound the new American administra-
tions foreign policy in his address in
Washington on Friday.
For the first time since the opening
of the allied conference with the Ger
mans, considerable public interest
was evinced in the proceedings. The
sidewalk opposite the entrance to St
James Palace. where today's session
occurred. was lined with people long
before the hour set for the meeting
while the windows of Marlborough
House, the residence Of Queen Mother
Alexandra. afforded vantage points
for view by members Of her house
hold.
DIR. Sthamer. the German ambassa-
dor, was the first to arrive He was
followed shortly by NJ. Jasper, the
Belgian foreign minister, with his
military advisers.
Verdict AnxfousIy Awaited.
Virtually the entire German delega-
ton was present at the palace when
the conference began, but only a few
of its members accompa MED Dr. ST.
mons, the foreign minister. to the con-
ference hall. the others anXiously wait
ing outside for the verdict of the allies
Baron HayaShi of Japan. Count SforZa.
the Italian foreign minister: Premier
BRAND of France. and Philippe Berthe
lot, general secretary of the French for
eisn office, came in turn. Minister. of
War Barthou was absent, having left
today for Paris.
Mr.. Lloyd George. who was nearly
a quarter of an hour late. drove up
with Lord Curzon and Mr.. Bonar Law.
The hour was too advanced to admit
of his taking his accustomed walk across
the park. and thus he was missed by
the crowd which had gathered to cheer
him.
present in force. Marshal Foch was
accompanied by Gen. Weygand. and
Field Marshal Sir Henry Wilson. by
Maj. Gen. William Thwaites and Gen.
Bingham.
Summary OF German PROPOSAL.
After the meeting of the allies yes
terday statement was issued from
the conference embodying sum-
mary of the German proposal and
comment thereon.
1.-The plan prepared by the allies at
Paris for the payment of repara-
tions," says this statement. relieves
Germany of substantial proportion
Of the amount payable by her under
the treaty of Versailles
L
German proposal. and the statement
says: This proposal does not merit
either examination or discussion. To
demonstrate it's true character it is
sufficient to note the following:
First. the German government as
the present value of the fixed annui
ties on an per cent basis. This
table is applicable in the Paris plan
only to discounts of fixed annuities
made in the first two years.
Value Of Annuities Ignored.
Second. the German government
ignores the value of the variable an
nuities provided for in the Paris
plan. the amount of which depends
upon the value of German exports.
Third. the annuities payable under
the Paris plan are in addition to what
ever sums may be found to have been
paid on account of reparation.
Fourth, the German government as
sess at twenty billions the value of de-
liveries made by them on account of
various obligations imposed upon them
by the treaty. The repara ton commits
sion assess their value at less than half
that sum. The amount to be credited
to the German government in respect
TO these deliveries in the reparation ac-
count will be found to be very small.
Use Variable Tables.
Fifth. the German government use
an per cent table for the purpose of
arriving at the amount due from them;
they propose at the same time that the
interest upon their debt shall be limited
to per cent.
Sixth. the German government pro-
pose that their securities shall be re-
leved of taxation in the country of is
sue. thus burdening the country of is
sue with part of their liabilities.
Seventh. on the assumption that the
amount which Germany will pay during
the first five years will be l.500, 900. 900,
and that the whole obligation will be
discharged in thirty years. the amount
she will have to pay for the twenty
five years following that period to pro-
vide for the interest on the sinking fund
of her whole debt will be three billions
a year The present value of German
payments on this reckoning will amount
at the outside to somewhere about 27.-
900. 100000.
1T is only necessary to compare this
sum with the value of the payments
made under the Paris plan to expose
the entire inadequacy Of the German
proposals. Under the Paris plan. on an
per cent table. the present value of
the fixed annuities alone is SO, 1000, ,000,-
900 gold marks This table is. however.
applicable only to discounts of future
annuities made during the first two
years On an $ per cent table-the rate
at which discounts can be made after
l925-the present value is over S3,0O0,-
900, 900 gold marks"
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