New-York tribune., 1921-12-22
Reparations and Econom-
ic Restoration of Europe
Passed ON to Session
at Cannes by Premiers
Second Conference
To Follow Meeting
Two-thirds of Berlin's
January and February
Bill Will Be Accepted
By Harold E. Scarborough
From The Trtbune's European Burea,

From The Tr1bune's European Bnrenu
Copyright 1921, New York Tribune Inc.
LONDON, Dec. 21.-The Supreme
Council of the Allies will meet the first
week in January to seek an agreement
Oh, the question of German reparations
nd the other questions which are hold
ng up Europe's return to healthy
conomic and political life. This was
seclded on to-day at another confer
,nce between Premiers BRAND and
Lloyd George on the vital questions of
policy on which France and Great
Britain have been divided and which
are now moving toward solution.
The final conversation between the
two Premiers will be held tomorrow
morning. While the true measure of
the agreement which has been reached
by the spokesmen of the two principal
Allies will not be known until the
Cannes meeting, it is certain that the
two nations have been brought dis
tlnctly closer together.
Naval Clash Causes Friction
There is no denying that the conflict
between the British and French naval
policies at Washington has brought an
element of friction into the later stages
of the Lloyd George BRAND conversa-
tlons, but so far as financial interests
are concerned both nations evince
tendency to go slow, with results con-
ducive to harmony between them.
Any exact figures regarding the
amount of reparations that Germany is
expected to pay are not available, but
in official circles this evening it was
thought two thirds of the January and
February installments will be forth
coming.
Premier BRAND will leave for Paris
after. the meeting tomorrow morning.
Lloyd George will go to the south Of
France several days before the Cannes
conference in order to rest a while.
Long Moratorium Opposed
Although the two premiers con-
tinued their discussion tonight. il
was understood that several questions
at issue progressed toward settlement
this afternoon. 1t was confirmed that
BRAND showed himself complacent to-
ward the prospect of easing German
payments during the next year or two,
moratorium. Signs point to stricte
Allied control Of German finances. pos
sibly including the installation of Allied
commissions to endeavor to set Ger
many's financial house in order, though
this last possibility is uncertain. It is
agreed that the Reparations Commits
sion is to be given greater powers and
that the, committee on guarantees of
this commission is to be reorganized
on stronger basis.
The French evidently are vereing to-
ward renouncing the demand that the
gold reserves of the Reichsbank be
handed over to the Allies, if Allied con-
troll is instituted over this bank, in
cluding the power to limit note issues.
Allied supervision of exports and i'm
ports, together with the insistence on
the payment of customs duties in gold
also appears probable
Britain Rencunces Share
During the afternoon session. II ;s
believed, the Wiesbaden agreement and
the August 13 pact were amended in
such way as to be acceptable to both
nations, and it is said that Great Brit
am is renouncing claim to her share.
OF the first billion gold marks, already
paid. N''N'
Besides the conference at Cannes the
first week in January, another confer
ence is projected, in which the foreign
ministers would consider the Near
East question.
Although Belgium is not represented
here, Premier BRAND to-day was called
upon by Baron Moncheur, the Belgian
Ambassador at London. and explained
the course of the present conversations.
The projected world economic confer
ence may be regarded as assured.
Premier Pledges Secrecy
LONDON, Dec. 81 (By The Asso
ciated Press).-A pledge to secrecy was
entered into between the two premiers
regarding their London conversations.
but the Supreme Council evidently has
(contlnued on next pase)