The New York herald., 1922-01-06
BRAND UNMOVED
ON PREPARATIONS
Insists They Come First at
Cannes-British and
Italians Aligned.
NO AGREEMENT SO FAR
Lloyd George Discusses the
Question in Private With
French Premier.
HARVEY REFUSES GUARD
Holds Himself AlOOf From
Preliminaries and Is Busy
Playing Golf.
HARVEY REFUSES GUARD
BY LAURENCE HILLS.

Special Gable to THE NEW York HERALD.
Copyright, 1879, by THE New York HERALD.
CANNES, Jan. 5.-The fact that the
general economic restoration of Eu-
rope has been given first place on tie
agenda of the Supreme Councils
meeting tomorrow indicates the i'm
portance which this question has as
sumed. For two hours to-day Prime
Minister Lloyd George and Premier
BRAND discussed this question pri-
vately, but, though conceding that it
should be the first to be taken up to-
morrow with each delegation head
contributing his view on the subject,
M. BRAND is understood to have held
firmly to the idea that the reparations
question must be settled first before
the French can approve any move
that would include Russia and Ger
many in a plan for Europes restora-
ton.
This seems to have realigned the
British and the italians and the
French and the Belgians. Ambassa-
dor Harvey, who is here as the official
American observer, is entitled to make
some observations, and the view of
TIE United States is that any solution
of Europe's economic troubles must
necessarily involve discussion of the
reparations problem.
Experts Separate Subjects.
Europe's restoration and the repara-
tions were discussed to-day by the ex-
perts as two separate matters which the
French won't have interviewer, yet the
two naturally seem to belong together.
Premier Lloyd George has half the
British Cabinet here. and If he puts
through his economic plan he will, 1t is
believed. call general election and will
count upon the promise this holds out
to end unemployment and on his Irish
success to carry the country.
Ambassador Harvey is holding him
self we'll aloof from all these prelim-
inaries and is playing golf and motor
ing. The authorities, apparently being
fearful of some attack similar TO that
attempted on Ambassador Herrick.
placed guard of detectives in front Of
his room when he first arrived. but this
was removed at Mr.. Harvey's request.
For an Economic Conference.
In the preliminary gatherings here
the idea of a European economic con-
Fnro,oa eaa,,s 20 ha gaparoIrx, oonan.ad
the Italians apparently being strong for
such a meeting, but the Belgians and
French are making their consent condi-
tional upon n settlement OF the repara-
tions question being made in advance of
this meeting. at least concerning Ger
many's payments for the next three
years and to the virtual exclusion of the
reparations question from the agenda OF
such a conference.
Yet everybody knows that. whether
officially excluded or not. this question
would underle all Of the discussion for
Europe's economic reconstruction.
II Is currently reported that In the
conversations I'm Mr.. Lloyd Georges
villa the submarine question has been
taken up, the French feeling that they
have been put in an exceedingly bad
position before the world on this matter
largely by the British policy at Wash
ington. 1t is openly hinted that the
whole French submarine position would
be instantly changed were Mr.. Lloyd
George to accept here Premier Brands
suggestion OF a formal Franco British
alliance which he Is understood to be
advancing earnestly.
Until these private conversations have
been finished and the council has had its
first two or three sessions nothing can
be predicted as 70 what the diplomats
at Cannes intend TO do 10 get Europe
back TO normally, though there seems
20 be n general recognition OF the neccs-
sity of utilizing this meeting to set In
motion some general plan covering all
European nations which II Is hoped will
ultimately command Americas conf
dence and support. This apparently is
Premier Lloyd Georges aim at Cannes.
CANNES, Jan. 9 (Associated Press) -
To-day's developments seemed 10 con-
firm the Impression that the Allies arc
agreed upon the principle OF an eco
nomic conference, though still debating
the details.
Reparations were discussed by the ex-
perts to-day. the Belgians stoutly OPP
posing any modification in the schedule
Of payments tha. likely would compro-
mise Their priority on the 2,5OO,0 600
gold marks due by Germany. The
French delegation Is backing the Bel
gians on this point. but IL is inclined 20
make concessions TO the British view
point to the extent OF reducing the cash
payments 60 50o.000, 600 gold marks an
nually and the rest OF the reparatlons
in kind The British go further than
this and desire to reduce tbe deliveries
In kind so that the total both In cash
and in kind can be reduced about 25 per
cent. from the Paris agreement. or
1900 900 90 gold marks.
Participation by Germany In the
eventual international economic confer
ence is now taken for granted. but there
still is discussion as TO what would be
the consequences Of the presence Of Rus
sian Soviet delegates. which II is held
IN French circles would be tantamount
20 recognition Of the Bolshevist regime.
The Italians are strongly supporting the
! idea Of n fun conference, comprising tho
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