The New York herald., 1922-08-08
CONFERENCE SEEKS |
WAY TO REALIZE ON |
ASSETS OF GERMANY
POincare Wants Productive
Forfeits' if Moratorium
Be Granted.
URGES STERN CONTROL
Says France Will Go Alone
if Allies Refuse to Agree
to Its Program.
LLOYD GEORGE PROTESTS
Declares if Debtor Fails 1t Is
Matter for All, Not One
Alone.
LLOYD GEORGE PROTESTS

specio, Gable to THE NEW YonK HERALD.
Copyright, 1929. by THE New YORK HERALD.
New York Herald Bureau.
London. Aug. Z.
Premier Poincare of France proposed
to-day that the Allies must take pro
ductive forfeits" from Germany II
moratorium Is granted. Prime Minis
ter Lloyd George replied that there
was no use in levying forfeits unless
they were actually productive. With
this divergence of opinion at the start.
the conference ran true to form, and
with the italian. Belgian and japanese
delegates agreeing with Lloyd George.
il was decided to refer the matter to
experts, who will meet tomorrow. M.
Poincare declared France is not op-
posed in principle to giving Germany
a limited moratorium, but she must
give guarantees.
The first session of the conference
resolved itself into meeting of i'm
Fortunate creditors, doubtful whether
the debtor had any tangible assets.
Yet it got a little beyond importantly
when each representative recited the
sacrifices and injuries of his country
as a result of the war.
The best information has 1t that NJ.
Poincare in his proposals, which have
not been made public. does not press
for participation in German industry,
which he regards as impractical. but
insists upon control of German ex-
ports, and OF tangible assets Ike
capital, profits. securities and money.
and participation in customs. with
taxes on Ruhr coal. State forests, &C.
The financial experts will examine
NJ Poincares schemes. such as partic-
ipation In German natural resources.
State enterprises and. a share OF the
profits of private German Industry, to
ascertain whether such assets are coli
lectible. Sir Robert S. Horne. Chancel-
lor OF the Exchequer. will preside.
Details Of Plan withheld.
The details are to be withheld until
the experts consider II, but 1t Is pre-
sumed to include numerous devices al
ready discussed. plus a stringent inter-
allied control of Germany's issue Of
paper money. NJ. Poincare insisted that
FTdnCc fdQ uUle lUt SAInc dS IeT-
many since the war shes would have
been in the some desperate straits But,
he added, Frances situation was des-
perate enough.
Mr.. Lloyd George took issue sharply
with almost the entire content of NJ.
Poincare's statement, and the other
delegates persisted in presenting their
own conditions. with little reference to
Germany or the world at large Each
that hod ci,ffo
much and ought to be reimbursed.
Baron Hayashi did not claim that
Japan had suffered. but he declared
that the important point of the meeting
was that the Allies should fnd some
means of getting money
America kept entirely out OF the dis
cussioE. Ambassador George Harvey
remained in Scotland. and there was not
even an unofficial representative of the
United States present. So complete was
the lack OF participation by America
that Mr.. Lloyd George was led to allude
10 review published by the Bankers
Trust Company Of New York as a
neutral compilation"
Mr.. Lloyd George won the first
tactical victory by inducing NJ. Poin-
care to present his case first. The
French Premier declared he had had
fully developed plan to submit to the
conference, but that recent events had
made II impossible to submit H.
In response TO question after the
session. he admitted IL was the Balfour
note that upset the plan He told the
conference IL was not possible to reach
final settlement In the worlds econo-
mic affairs without discussing repara-
tions together with allied debts. He
said. however. that he had been forced
to the conclusion that this was not
practical at the moment. but he hoped
1t would be possible In the future.
Cites Treaty Violations.
The gist OF his argument was that
Germany never had fully observed the
treaty of Versailles either in trying those
guilty for the conduct of the war or
disarming or making reparations. He
declared that reparations had been
scaled down to $4,000, ,000, 900 francs
and that of the 10000, 900. 900 scheduled
for Immediate payment only 10000, 000.-
600 had been paid. He then asserted
that France already had advanced on
Gcrmany's payments 10000. 900. 900
francs. He said that $4,000. 900. 900
francs were directly for reconstruction
in the devastated regions and 95,00O,-
100000 francs for pensions and allow
ances to soldiers widows and children.
AS result or this and Germany's
failure TO pay. France IL really in a
critical financial condition" he said.
MIR. Lloyd George says we must not
push Germany to despair, and say
we must not push France to despair
M. Poincare denied French imperialism,
and said that the army had not been
reduced only because France was not
confident of Europe's stability He de-
clared that Sir Robert Horne's conn
parison between English and French
taxes was Inaccurate. as Il was impos-
sible for the French tax to be heavier.
as II had to come entirely from the
great middle class. there being nc great
fortunes like those Of England. and tho
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