The New York herald., 1921-08-17
Continued from First Page.

taking the area as whole the sub
stantiai majority was German. The
italian experts agreed with Great
Britain, Mr.. Lloyd George said. but the
French differed. Great Britain. France
and Italy have the same interest.
namely, to do justice betwes.' the dis
putants. he declared. but tie French
undoubtedly were moved by the ques-
ton OF security.
Calling attention to the Polish In
surreetion, the Prime Minister charac-
terized II as an attempt TO anticipate
the decisions of the Supreme Council.
After some discussion by the Supreme
Council. Mr.. Lloyd George said. It was
apparent that complete unanimity was
quite impossible and the members were
unanimous in agreeing 10 refer the
matter to the League of Nations.
He assumed the league would not at
tempt to deal with the question itself,
but would refer 1t either to a COM
mittee of turists or to an arbitrator
Importance OF League Reference.
1t was very important, said Mr.. Lloyd
George, that before anything had hap
pened France. ITALY. Japan and Great
Britain were pledged to accept the de-
cisions of whatever body was nominated
by the council. The parties would un-
doubtedly appear before the judicial tri-
bunal appointed by the league. he de-
clared, and the matter would be tried on
basic documents and evidence. 1t was
the most important question yet referred
TO the league Mr.. Lloyd George asserted,
whose reputation and influence would be
enhanced considerably IL 1t successfully
dealt with II.
Regarding the sanctions imposed on
Germany the Premier said there was no
doubt that the economic penalties,
especially the customs. were irksome and
injurious and their continuance could
only be justified If Germany had refused
to make better arrangements He said
she had accepted better arrangements and
was doing her best to carry them out with
respect to the reparations and that the
Allies felt that TO prolong these irksome
customs barriers upon the Rhine after
Germany's acceptance of the other ar
rangements would be unfair and they
had agreed to terminate them.
Regarding the military sanctions in
Guiding the occupation of the Ruhr
ports, Mr.. LLOYD George said that the
French felt there were some clauses
In the treaty which had not been COM
pletely carried out. notably those re-
garding disarmament. They proposed,
the Prime Minister said. that the mill
tary sanctions should be continued for
some time longer, but, he added. that
at any rate the matter was to be re-
ferred to the military committee at
Paris. and 1t is proposed to deal with
the matter at the next meeting OF the
Supreme Council.
Mr.. Lloyd George said there was
general feeling that the time had come
for a gradual reduction in the military
burden imposed on Germany in the mat
ter of occupation and control. The ex-
pcnse OF this, he said. absorbs re-
sources which are of just as much in
terest to the Allies as to the Germans.
up to the present. he added, "the
cost OF occupation and of the various
commissions of control in Germany has
absorbed almost the whole of the money
which ought to be available for repara-
tions. There is no doubt that they are
a source of constant irritation. The
sooner Europe settles down to normal
the better.
Germany Weak; France vfEilnnt.
Germany is now exhausted and
languid. but as she heals and RECEIVERS
the occupation controls will become
more and more lrksome and there will
be danger OF episodes. We have decided
gradually to reduce some of these COM
missions to the narrowest limit and
with regard to the costs Of the armies
Of occupation we hope to be able to
effect an arrangement which will be
more than satisfactory to everybody all
around.
II can quite understand the nervous
ness OF the French people. (Cheers).
There have been very distressing epi-
sodes within the living memory which
made II difficult for France not to feel
a legitimate apprehension of what may
ensue If Germany were to renew her
attacks. But the real security of France
depends upon peace. The first step
toward this is the disarmament of Ger
many and that is why the British deie-
CATION has always insisted on placing
that first
TT takes long time, but 1t always
gets out.
Secondly. the security of France de-
pends upon the recollection by Germany
OF the ruin the great war which she
inaugurated brought upon herself and,
thirdly, upon the knowledge which every
aggressor must have that whoever wan
tonly provokes war brings the whole
world against them and that initial sue
cesses in the end only aggravate ruin.
A nation which has been exasperated by
an excess of provocation would not
reckon the cost, and 1t is only where
there is wanton attack that the world
at large will come to the rescue. and
that is the real security of France"
The Prime Minister summarized the
events leading 10 the position In Asia
Minor, saying: There is danger OF
anarchy and Its consequences in these
various areas. France occupied Cilicia
with a view largely to protect the Ar
menian population. the Italians occupied
Southern Anatolia for the same pIrpose