New-York tribune., 1921-05-04
Allies Will
Invite u. S. to
Join Council
Continued from arss sass

-
finally passed at another meeting Of
the Council tomorrow and then handed
to the Reparations Commission, which
has been called from Paris and which
will forward the last word Of the Allies
to the Berlin Cabinet in accordance
with the Treaty Of Versailles. The ul-
timatum will expire ON May IL.
The total sum which Germany will
be called upon to pay has been in
creased to 6,750,000, 900 pounds sterling
by the inclusion Of the sam due Bel
gium on account Of her debts to the
Allies.
Under the bonding scheme to guaran-
tee the payment of S100, 100000 annual
ports, $500, 100000 in bonds will be is
sued when the ultimatum expires or
Germany accepts the terms. Bonds to
the amount Of 900,0O0,0O0 will be
issued in November. The balance, 44,-
250,000,000, will be issued in accord
ance with Germany's capacity to pay.
That capacity will be gagged by the
product of 25 per cent on exports.
Besides the 5 per cent interest on
the bonds, an additional ! per cent will
be imposed on them to form a sinking
fund. The amount required for service
bonds will be thus G2,500, 100000.
Should the 4100,000,000 annually and
% per cent on German exports amount
to more than the s150 100000 required
for interest on the Service bonds, to be
issued Immediately and in November,
a sufficient amount of the remaining
bonds held in reserve will be automati
cally issued in order to absorb the
balance
There will be also an addition of
per cent on German exports for the
purpose of providing fund to pay the
interest on the bonds held in reserve.
Interest on any bonds paid off will con-
tinue for the purposes Of the sinking
fund. It is calculated that these bonds
will be redeemed within thirty-seven
years from date of issue.
In no case, according to the scheme,
will Germany be paying more than
five per cent interest and one per cent
sinking fund on the total debt of S.
a charge on German customs or any
other revenue that the Reparations
Commission is prepared to accept
The Reparations Commission will! re-
ceive the bonds and apportion them
among the Allies in accordance with
tho Brussels agreement Each power
will dispose of them or hold them as
it pleases.
The Allied Supreme Council to-day
decided to take no naval action against
Germany without consulting the
United States. This was agreed to after
rather full discussion of the Council
members with Admiral Beatty, of Eng
land, and Admiral Grasset, of France,
of plans for naval pressure upon Ger
many.
Four suggestions were examined by
the Council this morning, namely,
blockade of the German ports, partial
blockade, demonstration without a
blockade, and seizure of the customs
receipts in German ports. Sir Gordon
Howard, for Great Britain, and M.
Fromageot, the famous international
legal member of the French Foreign
Office, gave their judgment as to the
rights of the Allies in relation to
neutral countries. The unanimous
opinion was that nothing further
should be done at present concerning
naval action until the views of the
Washington government were learned,
and only as an additional means of
compulsion in the event that occupa-
ton Of the Ruhr,sif carried out, should
not prove sufficient to cause sur
render by Germany.
Mr.. Lloyd George, the British Prime