New-York tribune., 1921-05-03
German w ar
Bill Set at
81 Billions
Supreme Council Decides
Berlin Must Yield by
May II and Deliver
&lOO, ,O0O,O 900 a Year

LONDON. May (By The Associated
Press) s).-Germany will have until May
IL to accept the ultimatum Of the All.
lies respecting payment Of reparations
and guarantees binding her to fulfil
her obligations. Otherwise the Ruhr
district will be occupied by Allied
troops.
The Supreme Council to-day reached
substantial agreement that Germany
shall be required to pay the Allies
s1oo,ooo,ooo ((s4s7, ,ooo,ooo) yearly, plus
2s per cent on her exports. In this way
will be discharged Germany's obliga-
tion. as fixed by the Preparations Com
mission. of ss,e0p,ooo,Oo0 (s32,142,-
000,ooo).
Germany's debt shall be acknowl-
edged by the issue by Germany Of
bonds bearing s per cent interest. OF
these a certain amount shall be issued
immediately. second lot in November
and thereafter as many more as she
has ability to pay. How the bonds are
to be paid off is still matter Of dis
cussion.
These terms will be incorporated in
the Allied ultimatum to Berlin. which
Will be sent to Germany as soon as the
details Of the terms are definitely de-
cided upon. probably at the meeting of
the council tomorrow.
Invasion to Follow Default
should Germany fail to accept the
terms within the stipulated time the
French plans for occupation of the
huhr, with a possible naval demonstra-
tlon on the part Of the British. will
be carried out and the proceeds Of
German revenue, such as customs. will
DO appropriated toward payment of
the annual obligation.
The ultimatum to Berlin will recite
that Germany having failed to fulfill
.he treaty of Versailles with respect
TO reparations, disarmament and pun
lshment of the war criminals, and hav-
ing violated various other articles OF
the treaty-which will be cited by
number-the Allied governments have
iecided to occupy the Rukr. In this
event British and Belgian forces on
the Rhine will join with the French
in their march into the district,
The Reparations Commission will
notify Germany within four days Of
the sums payable and the conditions
OF payment Germany's reply must be
acceptance, without reservations or
discussion. If such affirmative reply
is not received by the evening of MAY
IL the occupation will begin without
further notice.
A joint Anglo-French Naval Council
has been called to meet in London to-
morrow, in which Admiral Beatty, for
the British, and Admiral Grassie, for
the French, will participate. The
French Admiral was summoned to
London tonight.
Although the Supreme Council de-
cided upon the action to be taken
against Germany should she fail to ac-
cept, decision was not reached on
the nature of the guarantees she will
be required to give.
GUARANTEES Problem Puzzling
The question of guarantees is per-
picking. The council was engaged for
four hours in trying to harmonize the
ties, which will include the establish
ment of a commission of debt, on the
same general lines as the Turkish debt
control. This. commission will be
charged with observation of the Ger
man revenues. The Allies will also
ask for participation in the profits Of
German industry.
The drafting committee is still at
work on the details Of the terms of
payment to be insisted upon, but hopes
to conclude it's report in time for to-
morrow's meeting, which will be at
tended by the military and naval ex-
perts.
When the German payments amount
to more than the sum required to paw
the interest on the bonds already is
sued, the Reparations Commission will
be entitled to require the issue of fur
ther bonds. The intention Of the plan,
according to British official, is to pro-
portion the German obligations, after
a certain figure, to her ability to pay.
The results of to-day's meeting are
regarded by the French delegation as
satisfactory. They would
rather have occupied the Ruhr first and
then informed Germany of the Allies
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