The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-02-02
Foreign Minister SimOns's
Notice of Refusal to the
Reichstag Is Met by
Full Support.
ALL PARTIES UNITED
British French Alliance
Against Z. S. at Expense
Of Germany Is Seen in
New Terms.
WILL OFFER SUBSTITUTE
Berlin Will Not Even Send
Representatives to London
if Nationalists Garry
Their Battle.
WILL OFFER SUBSTITUTE
By RAYMOND SWING.

Special Gable to- THE New YORK HERALD.
Copyright, 1921, bv TIE New York HERALD.
New York Herald Bureau
Berlin, Feb. 1.
Germany's answer is mol" to the
reparations settlement arrived at by
the Entente Powers in Paris last Sat
urday This reply was definitely
given by DR.. Walter Simons, Foreign
Minister, in the Reichstag this after
noon when he, said the German Gov
ernment would make counter-pro-
posal to the Entente. DR.. Simonss
"No' will be repeated by party lead
ers in the Reichstag debate tomorrow
on the Foreign Minister'S declaration
of policy. e
For the first time since the war the
German Parliament is united and
speaks with one voice. Even the Com
munists and the. Socialists, while
eager TO have the disarmament
clauses of the Paris terms carried
out, concur with the bourgeois parties
that the reparations conditions cannot
be carried out.
In certain industrial and financial
circles here 1t is insisted that behind
the Paris agreement Is an Anglo
French alliance against the United
States at the expense Of Germany,
and that this alliance was hastened
by desire on the part of the Entente
Powers 10 bring something actual into
being before the inauguration of Mr..
Harding as President of the United
States.
Holds Lever ON U. .. Loans.
tArticlo w. of the Paris reparation
agreement provides that Germany shall
not directly embark on any credit oper-
ations outside her own territory without
the approval of the Preparations Com
mission" A special cable despatch to
THE NEW YORK HERALD from Paris last
Monday referred to this article of the
agreement. saying that not only had the
Allies decided on the reparation annui-
ties without consulting the United
States interests. but also had devised
a scheme which precluded "any treaty
the United states might make with Ger
many from having priority over an en-
RaEefncnt WIN treat fTdnCe,
Belgium. Italy and Japan. 1t is
now known that Germany will be ex-
pected to promise, when called 10 Lon
don for the February conference. TO
agree not to negotiate any credits or
loans without the fullest cognizance and
approval of the Allies thus effectively
preventing the United States. unless the
Allies consent, from taking German re-
sources as a guaranty that Germany will
repay such credits or loans."1
The crucial decision now confront
ing the Berlin Government Is whether
or not German representatives will be
sent to the London conference which
is to be held late this month TO receive
Germany's reply on the reparation
plan and take action on it. The Ma
tionalists will bring to bear all pres
sure In their power to have the Cab
met even refuse to negotiate on the
basis of the Paris terms. Both wings
dents and tho Majority-are expected
TO work in ravor of sending repre-
sentatives TO the London meeting.
Believe Cabinet VIII stand.
Opinion here varies regarding the
seriousness of the Cabinet crisis. Dr.
Simons. after deciding yesterday to
resign the portfolio of foreign affairs
as protest against what Is consid-
cred here an incxplicable and bewilder-
Ing shift OF policy by the Entente
Allies, has been induced TO remain in
Office.
Both the Conservatives and the Ma
iority Socialists decline to enter into
new Ministry. which makes a new
coalition with a strong majority in
the Reichstag out of the question