The New York herald., 1921-03-10

cop9ri2nt. 1891 b. THE New yoxK iiHRsLp.
New York Herald Bureau,
Paris, March 8.
Although the fixing of the new Ger
man customs frontier in accordance
with the decisions Of the Allied Su-
preme Council in It's meetings in Paris
ard in London was to be effective i'm
nediately, THE NEW YORK HERALD cor
respondent here learned tonight that
the application of the interior tax ad-
ninistration in the occupied zone,
which was provided for in the third
sanction, is being held up until the
American attitude in the Coblenz
bridgehead is known, the allied Am
bassadors in Washington having been
instructed 10 report on this without
delay.
The fact Is the American zone OF
occupation, except on its easterly
BOUNDARY. is entirely surrounded BY
French, British and Belgian troops,
making the collection OF customs du-
ties a matter affecting only the French.
The only railroad centre In the Ameri-
can zone which Is really affected Is
that at Trier tTreyes, fifty seven miles
southwest of Coblenz), where the
French have been In occupation since
last year, when the American forces
were reduced to their present strength
OF 1000 officers and men. The rail-
roads entering the American area from
the east pass through territory con-
trolled by the English and the French
north Of Coblenz or through the
French headquarters at Mayence and
Weisbaden on the south.
May Isolate Americans.
It would be possible. OF course, Tor
German goods to enter Coblenz by way
OF the ordinary roads for shipment under
American authority. but the Allies have
envisaged this and are actually consider
ing changing the contour OF the bridge
head eliminating its present seml-circu-
lar shape 70 provide strip thirty kilo-
meters wide on the right bank OF the
Rhine. the outlying positions of which
would be In the hands of British and
French detachments, thus leaving the
American forces on the Rhine isolated
from the rest OF Germany. This move,
however. will not be taken unless the
Administration OF President Harding
contests the authority of the Inter-
allied Reparstions Commission
The American Embassy here is await
ing instructions from Washington. but
the con nsensus in Paris is that President
Harding VIII not change orders previous
ly Issued TO Major-Gen. Henry T. Allen,
commanding the American Army Of Oc-
cupation. which implied close coopera-
ton in the decisions OF the High Com
mission. although the American occupa-
ton continues only under the armist!ce
agreement, which does not provide for
special customs regime
Germans Take Action.
Meanwhile the High Commission has
taken the precautionary step OF ordering
the German customs agents at all from
tier stations no longer TO turn over their
dailv receipts to the German Govern
ment, but 10 send their receipts directly
10 the headquarters OF the commission
in Coblenz where n special bank account
will be opened for these returns. The
money so received will be turned over to
the Reparatlons Commission later on for
distribution. This order viii become
effective tomorrow. All violations Of
the existing customs regulations are
punishable oy prison sentence Of one
year at hard iaOor.
Paul Doumer, French Finance Minis
ter. was reported 70 have admitted that
the customs arrangement was only y
temporary one and was designed to mee'
the requirements Of the situation until
May i. when France will insist on >
literal observance Of the peace treaty.
The Paris accord Of the Allies y. ac-
cording to the French theory, abrogated
By Germany's refusal TO accept u
"The treaty gives more sweeping privi-
leges which we will not hesitate to ap-
ply" NJ. Douner said