Evening star., 1922-07-28
PREPARATIONS CUT
LIKELY BY ALLIES
France Declared Willing to
Reduce German War Debt
to $11,eOO, 600, 900.
FUND CONTROL FAVORED
Would Also Reorganize Payments
in Kind and Employ Former
Enemy's Labor.
BY PAUL SCOTT MOWRER.
By Cable to The Star and Chicago Daily New

By PAUL SCOTT MOwRER-
By Cable to The Star and Chicago Daily News
.- Copyright, 1877.
PARIS, July 2S-Some time ago the
correspondent announced in one OF
these dispatches that the French gov
ernment was at least trying to pre-
sent a positive reparations program
instead of the somewhat negative po-
sition it has maintained during the
last three years.
On the eve Of the important con-
versations soon to be held by Pre-
mier Poincare and Lloyd George this
program seems to be nearing compile
ton. 1t has not yet been formally
enunciated but as nearly as the writer
can discern 1t will be somewhat as
follows:
Likely Details OF Program.
1t will agree to a tentative reduc-
ton in the German reparations total to
about $4,000, ,000, 900 gold marks ($11,-
SOC, ,ooo. .oeo) by laying aside the entire
issue of series &C. bonds until such time
as they can be utilized in compensa-
ton Of war debts. or at least as com
pensation for the "B' British war
debt
The organization on a larger scale
of payments in kind and the use OF
German labor and materials for
French works.
Allied control of Germany's public
finance. in order to stabilize the value
Of the mark and to arrest the flight
of capital and readjust the budget.
The organization of a small inter-
national reparations loan to provide
funds for cash payments.
Compromise Necessary.
This program, If adopted by the
French government, will be the re-
suit of compromise, between the three
! tendencies now existing in France.
M. de Lasteyrie, the minister OF
finance, seeing the problem wholly in
a financial sense, calculates that
France must either cease to advance
funds for reparations or in another
uiated reparations debt will absorb
the entire government income. Ihe
reconstruction thus far accomplished
has benefited the big producers and
manufacturers because or IT'S value
| in the national economy. What re,
mains to be done Is to renulio OF OF hunn Dur,o
Bile citizens 1t is unthinkabie thai
these houses should not be built. and
for this reason NJ. de Lasteyrie pc
lieves that the only solution OF the
problem is an international repara'
| tions loan. -
French war debt to Great Britain can
celed and wants Great Britain to re-
nounce her 20 per cent share OF the
German reparations. he Woulo tneI
| be willing to see the totaa OF oao 1nt nnt
| rnId marks, which sum he believes
| could be raised by loan.
Asainst Evacuation.
The French foreign office is moi
| host,,e to this plan. but fears thai
the british might attempt to attach
| :. a. such unacceptable conditions al
th. evacuation by the allies Of ths
w.., hank of the Rhine. For thai
| reason the foreign ONCE for the mo
ment favors an experiment IN ths
/ way Of organizing extensive repara
+,on. in kind. Premier Poincare
who II a jurist as well as states
nan and a stickler for form. wants
I 49,. r.r.rations commission to an
nounce to the world Germany's will
T,,s .deSault and otherwise proceed
.tr,ctiv According to the treaty. III,
r. at least a much preoccupied will
| ErancSs political security as will
/ the country's financial situation.
P,sttinr these various tendencies
toKether has resulted IN 2 program
| nnw relieved here that the Lloyt
/ G.crre.Poincare conversations will
/ be held about the middle of August