The Washington herald., 1921-05-08
COLLECTIONFROM GERMANY
MUST REST ON GUARANTEES
ACCORDING TOFRENCH VIEW
Proposals Submitted by Berlin Insisted on
- Scrapping the Treaty, Simonds Declares.
by FRANK II. sIMoNDs.

ministration in the direction Of
participating in European settle
ments Up to the moment when
Mr.. Hughes so answered the Ger
man appeal for American mediation
as to make "a new German pro-
posaI likely. our attention had been
.eoncentrated upon questions like
Sap and Mesopotamlan oil, which
were economic rather than political
and concerned our recent associ-
? ares, not our German enemy.
Takes Up World Problem
But with the opening Of the door
for a German reparations proposal
the new administration definitely
undertook to associate itself with
the rest Of the world in the settle~
mcnt Of the gravest of all the re-
manning war problems. In taking
this momentous step, what was In
the mind OF the President and his
advisers, who in this instance were
quite obviously Mr.. Hughes on the
political and Mr.. Hoover on the
economic side?
This viewpoint may be sum-
married. as follows: BY reason of
It's loans, its credits and its for
Cign trade the United States is
Vitally interested in the restoration
Of normal conditions in the world.
The total of loans amounts to some
thing more than $1,000, ,OOO,O 900. the
total Of credits represents at least
$4,000. 200. 900.
Has $4,000. .OOO. 900 stake.
We have then. at once a stake
of SIS. 900, 900. 600 invested in Europe
and there can be no prospect of any
repayment so long as the repara-
tions dispute continues to paralyZe
. restoration. Moreover in recent
- months our foreign trade has
shrunk to about half its recent
dimensions and the country is pass
ing through a period of acute eco
nOmic depression, due in part. at
least. to the European disturbance.
Obviously. then, if the United
States, having indicated its belief
that Germany should pay and pay
up to the utmost limit OF reason
able possibility. and having also
disclosed the fact that in resisting
such payment Germany need look
for no American support or ap-
prOval. could contribute to bringing
about an agreement on the sum and
~" method Of payment, not only
would American interests be served
but there would be manifest ad-
vantage for the whole world. Con-
siherinE our interests. our right to
speak was undHniable.
Chances for misunderstanding.
There was a second element OF
Vital Importance. From the outset
there was a perception in the minds
q. all concerned that American ac-
tin might be Observation-Disclosures s.
understood in Germany. allied cOun-
tr.rs and even at home. Thus the
constant effort of Mr.. Hughes wa.
. leave no doubt in any mind that
while seeking an adjustment of the
Trparations problem and seeking il
a a party vitality at interest, the
whole spirit and temper of the ad-
ninistTation was prO-ally.
What the State Department hoped
when IL left the door open for a
German proposal. was that Germany
might find il easier. given her rebel
lion at Berlin. and her defiance ei
thnI allies since the London confer
. eucc. to make suggestions through
the United states than to surrender
uu"Onditionally to her European
enemies
Hoped for New Basis.
What il further hoped was that
Germany would send to Washington
such a proposal as might, even if
not in itself completely or approx.
mately satisfactory. supply the basis
for i new discussion, a discussion in
EHrOpe rather than in the United
States and between Germany anG
her European antagonists rathel
than between Germany and th'
United States.
What the State Department wa!
resolved to avoid at all hazards was
assuming or being maneuv"red int,
"a position in which il would become
either the guarantOr of German
good faith or the indOrser of the
German proposals. 1t did not desire
to mediate between Germany ant
the allies: il did not desire to pas:
Judgment upon the German prOpo
sitiOns when made; it was uniquely
interested in undertaking to set il
motion again the processes of dis
cUssiOn. thus preventing a break
down OF all discussion and the re
version to something which sug
gested war and certainly entaileC
increased dislocatiOn of business IL
the world to the obvious injury o
the United States.
Question of Good Faith.
Now. in this situation what wa
the view of the several nations con
Cerned? This was bound to be thI
decisive factor in the whole discus
sion. First of all. what was the Ger
man purpose? Was there a SINGER,
desire on the part of Berlin to reacI
a solution of the question; to find I
basis which lay within the limits o
possibility, from the German view
point? In a word. was the position
% assumed at London taken in gooC
faith, or was it one more German
maneuver?
II it was maneuver. if German
be-. craftsmanship were trying to sepa
-- rate the United States from the Eu
rOpean associates of the war. L
make the United States the cham
pion of Germany against the allie
- and thus to escape all payment, theI
IL was quite obvious that the Who'll,
undertaking would be fraught will
grave dangers. There was soun'
reason for believing that German
faith was no better than it hat
proven on every occasion since July
,l9l4, and in that case We might flint
ourselves once more in the situation
President Wilson had occupied whel
Germany made her dishonest peac
Offer in 1917.
Danger of MIsinterpretation.
From the outset, then. there wa
danger that We might become
German tool. although there wa
never any danger that Mr.. Hughe
would become by deliberate inten