Evening journal., 1921-05-04
ULTIMATUM ON
BERLIN READY.
CONTINUED from first pase)

tined Berlin that penalties will be
exacted II the terms are not accepted
by midnight OF a certain day. be-
lieved TO be May 70.
The Supreme Councils note. pro-
viding for payment Of the debt by
fond issues and exacting an export
tax. was to be transmitted to Berlin
by the Allied reparations commits
sion. which conferred with the su-
creme Council today.
II was reported that Germany had
submitted new offer. approximat-
ing the Allied demand. This was
denied by the Foreign once. The
report was characterized as a Ger
man invention"
Berlin. IL was stated. realizes that
the new Allied terms are more IA
vorable than those proposed at the
first Paris conference on reparations.
II was believed by attaches that Ger
many started the rumor OF a new
offer to conceal what satisfaction
she feels in the new Allied propo-
sails.
A copy OF the Allied ultimatum
viii be sent Washington stimuli
taneously with its despatch TO Ber-
lin.
The Supreme Councils labors
were reported TO have been COM
pleted. except for a decision on naval
action In case OF Germany's rejec-
ton Of the ultimatum. II was
stated that Washington will be con-
suited before war craft are sent 10
blockade German ports.
The Allied reparations commits
sion arrived here from Paris today
and went into conference with the
Supreme Council. at 11.3O A. NJ.
The Supreme Council was reported
to have decided TO demand OF Ger
many the sum OF 6.75O.OOO. 900
pounds, nominally s33.75O. 900 900
This amount included the Belgian
debt TO the Allies which Germany
under the Versailles Treaty agreed tC
pay.
The Council proposed that IN
amount be paid as follows:
First a bond issue OF 500. 900, 900 4
be delivered by July l, to bear in
terest OF FIVE per cent. Second,
bond issue OF 1900, 100000 pound
at the same interest. to be delivered
November /. Third. the remaining
4.250.OOO, 900 pounds TO be delivere'
when the reparations commission
demands that bonds.
Delivery OF the last series OF bond
would be called for according 70 tn
commissions idea OF Germany's ca
pacity to pay. based on returns from
an export tax OF 25 or 26 per cen'
The export tax was designed as
guaranty for German payment an
also to yield the Allies about 100,
600 900 pounds annually II was in
tlmated that the sums realized fror
} the export tax would be applied I
2 interest on the bonds
: Another provision was that Gel
/, many must pay. within three month";
5o.O0O,0Oo pounds gold or approve
reign bills 10 be applied on the fir
b 60.O0O,000 pound annual payment
, The Council also demanded tn,
| Germany agree to deliver 10 any a
lied country materials for the recoI
1 struction OF devastated regions. TT
4 materials so delivered would be al
4 piled to the reparations account.
1t was proposed also TO create
commission OF guarantee" TO ope
, ate under the reparations commi
sion. Its office would be in Berlii
= II would consist OF Allied represents
3 tives. a delegate from the Unite
r States. II that country agrees to pa
3 ticipate and three commissioner
from neutral countries.
The guarantee commission will d,
I eide for the reparations commissio
- when portions OF the third class
. bonds can be demanded
p The Councils notification TO &c
Z many also carried the threat OF pei
e alties known TO include invasion
4 the Ruhr and possibly to include
r naval demonstration.
Marshal Foch and Admiral Ora
set returned to Paris today after col
G ferring with the Council. indicatir
y the plans for carrying out the pena
n ties have been completed