New-York tribune., 1921-04-16
Bulk of Gold Reserve of
Telltons Demanded as
First 1nstallment Under
Threat of Ruhr Seizure
Ready for Clash
If Berlin DELAYS
War Council Completes
Invasion Plans for Sub
mission to the Allies
By Ralph Courtney
Special Cable to The Tribune

PAKlS, April lot may now be said
definitely that rupture between the
Allies and Germany and clash of ma,
tions, if not of arms, is inevitable. 1t
has been thought until the present
time that if Germany came forward
accepting the terms of the Paris con-
ference the Allies might not insist on
the immediate payment of the 12,0Oo,-
100000 gold marks due from Germany
son May under the terms of the Treaty
OF Versailles.
A great state conference was held
this morning at the Palace of the
Elysees under the presidency of
M. Millerand, at which members
OF the government. marshals and
generals were assembled to con-
slider the German problem. Among
those present were Marshals Foch
and Petain and Generals Wey.
gand, De Goutte, Desticker and Baut.
This war council although the news
papers pointedly refrained, from re-
ferrng to it as such, decided upon the
advice of Marshal Foch and his aids,
it is understood, that nothing would be
easier than to accomplish the military
operations involved in tho proposed
scheme. Before any action is taken,
however, it is was thought advisable
for the Allies to be in complete agree
ment as to what was to Be done in the
way of administration when the mill
tary operations have been accom-
Premier BRAND assured the Foreign
Affairs Commission to-day that he
would make sure of this point as
soon as the British Premier has leisure
to think of matters other than the
settlement of the coal miners strike.
AS far as France is concerned, how
ever, the Paris agreement, which was
offered to the Germans in London and
refused by then, must now be con-
sidered to exist no longer. France
wants money from Germany, and un-
less Germany offers money France will
take action. The military and eco
ncmic measures which are being
planned may not be put into operation
as soon as is generally expected, but
unless great pressure is brought to
bear upon France by Great Britain or
the United States no plan submitted
large cash payments will be acceptable.
Demands Billion at Once
France demands, to start with, 1,000,-
100000 marks in gold and guarantees
for the settlement of the other 11,00O,-
100000 which the Reparations CON-
mission insists that Germany still owes
of the 2O,000000,000 already due from
her. The Germans contend that they
have paid the Allies more than 81 ,000,-
100000 gold marks, butsthe Reparations
man calculations. Officially, the Ger
mans have 100000, 900 gold emarks in
their national treasury. Of this sum
1T is believed that about LOO, 100000
marks actually exist. Besides this, it
is calculated that the Germans possess
IN foreign values perhaps another
billion.
The surrender of Germany's gold
bullion, which is the only small re-
naming foundation for the paper mark,
would cause the value of the latter to
decline still further, but it is not be-
iieved here that this should interfere
with the just demands of the Allies.
france requires the payment of the
entire 12,ooo,ooo,ooo gold marks de-
manded by the reparation commission.
this in kind. The French attitude NAV
be gauged by the tone of lie Temps.
the semi-official newspaper, this eve
ming. 1t says:
Let the German government saw
how much it is prepared to pay in
gold, in raw materials, in foreign Sc
curities or other objects of marketable
value-nothing could be better. In
order to guarantee the remainder of
the debt let it offer methods of Allied
participation in the great German in
dustrles, some means If controlling
and effectually seizing customs receipts
or other practical arrangements which
would give her creditors sure and
negotiable pledges-that would be
worth an examination"
If Germany pays 100000, 900 marks
IN cash France will consent t, discuss
guarantees for the remainder. If cash
is not forthcoming military action will
(Coninuod on mana fourl