Every evening, Wilmington daily commercial., 1921-08-15
SITUATION IS GRAVE
IS VIEW Of LONDON
Further ParIeys Not Barred and
People Await Meeting of
Dali Eireann.

BY Associated Press 70 Every Evening.
London, August f5.- England today
faced crucial period in the negotia-
tions looking to tho establishment Of
peace in ireland. The action of the
British government yesterday Insmak-
ing public letters exchanged between
Prime Minister Lloyd George and
Fsamonn de Valera irish Reu-1blican
leader. showed tho people that a vir-
tua1 deadlock existed and. although
the door was declared 70 have b@en
left open for further paricys. It was
apparent THAT the situation was one
Of gravity.
Reports from Dublin which might
Indicate what the Irish Republicans
would do to counter the unexpected
move Of the government in giving the
correspondence to the press were anx-
iously awaited. II appeared the next
step should be made In that city a.
Mr.. Lloyd George literally laid his
cards on the table yesterday
Whether they would issue 81 state
ment or would wait until the opening
of the Irish Republican parliament
tomorrow was uncertain. The purpose
Of the precipitate action Of the gov
ernment in making public the British
proposals. and the demands of the
Irish Republicans had not been dis
closed. but II would appear that the
prime minister sought TO lay the irish
problem before the country on the eve
Of the meeting OF the Dali Fsireann.
EnrIand's Prorered Terms.
The government terms were. in brief,
as follows:
Dominion status for Ireland with
complete autonomy in financial mat
tcrs, but without tariff or trade re-
strictions between the islands. Ire
land would maintain defense forces
and police, but her territorial forces
would be kept within reasonable
limits"
Ireland would maintain her own
postal system. but would grant Eng
land air defense and communication
faciiitiess Ireland would have control
OF her own educational and industrial
affairs. but the British navy would
maintain its hold on the seas around
the island. A share Of the United
Kingdoms debt would be assumed by
Ireland the exact amount to be fixed
by arbitration.
Full Independence. Yaiera's Demand.
Mr.. de Valera in reply demanded
full independence for Ireland. and sug-
gested treaty OF association with the
British commonwealth group. Trea-
ties regarding trade and limitation of
arnaments were urged by the Irish
Republican chieftain together with
mutual agreements as TO air. railway
and other communications. The u
ster problem would be left 10 the Irish
| themselves for solution. Mr.. de Valera
declaring the employment of force
was not Contemplated"
Ulster Expresses Loyalty.
The attitude of the Ulster govern
ment was made plain by the making
public at Belfast of letter TO Mr..
Lloyd George from Sir James Craig.
the Ulster Premier. Sir James ex-
| pressed the loyalty of his government
to the empire. and reiterated his readi-
ness to confer with Mr.. Lloyd George
and the Sim Fein as TO some means
of settling the Irish controversy, but
declared he would not support the
Sim Fein in what he described as "a
move TO coerce the government to re-
pudiate the Irish Act" and to press
for wider powers.
Most of London's newspapers, in
their comment on the Irish situation
reflected the belief that the govern
ment's proposals offered a generous
settlement of the controversy.
The letter from Lloyd 10 de Valera
setting forth England's proposals tc
/ the Irish and Che reply from de
| Valera, president of the Irish Re
public" rejecting England's offer ano
presenting Ireland's demands ars
printed on page of today's Every
/ Ryening.