The New York herald., 1922-01-14
GERMANS PLEASED
AT CALL TO GENOA
Express Curiosity as to Extent
of American Participa-
ton Expected.
TO SEND GOLD TO LONDON
Reichsbank to Deposit 5O,O0O,-
600 Marks as Pledge for
Foreign Money.
TO SEND GOLD TO LONDON

BERLIN. Jan. 13 (Associated Press).
The conditions under which Ger
many has been granted temporary
respite in her January reparations
payment became known late this eve
ming, although the Cabinet was still
without direct word from DR.. Rathe-
nau at Cannes.
Official quarters declined to discuss
the revised terms, declaring they
would await the return Of the German
delegates. who are expected to reach
Berlin Sunday from Cannes. These
quarters do not conceal their pleasure
over the invitation to the Genoa con-
ference, and also express curiosity as
to the extent OF American participa-
ton in that gathering.
The Reichsrat has approved the draft
of a bill. which is to be submitted to the
Reichstag, requiring the Reichsbank in
the future to indicate in its weekly state
ment not only the gold reserve in the
Reichsbank treasury but the gold it has
on deposit abroad.
The newspapers allege that the Reichs-
bank has arrived at an agreement to de-
posit a portion of its gold. reported to
amount to 50,000,000 marks, with the
Bank of England as a pledge for obtain
ing foreign moneys when these are
needed for German import purposes.
Proposed alterations in the banking
laws which would permit the Reichsbank
to include. gold hypothecated abroad
among it's active assets has been sharply
opposed by financial writer's on political,
ethical and economic grounds. The bill
approved by the Reichsrat when 1t is in
troduced in the Reichstag next week
will, in all probability, be the subject of
sharp debate.
Although plan to permit the Reichs-
bank to ship portions of its gold reserve
abroad in order to cover loans and pur-
chases of foreign exchange has been un-
der advisement for several weeks tho
issue has now become acute through the
demand that such transfers either be
definitely prohibited or, IL made prac-
tice, the amounts involved shall appear
as a separate item in the ReichsbanlS's
weekly report.
Opponents of the plan demand to know
why the Reichsbank should be accorded
a privilege which is denied the ordinary
business man in being allowed to include
a hypothecated portion of his property
among his active assets.
"Our experiences In connection with
the liquidation of German property
abroad during the war should save us
from fresh delusions," says the Tdcg-
Hsche Rundschdu.
1t expresses the fear that inasmuch as
Germany In all probability never will be
able fully TO meet her obligations, II
would be an easy matter for England to
find a legal pretext under the Versailles
treaty which would warrant her In
seizing gold hypothicated by the Reichs-
bank. despite the assurances alleged TO
have been given Rudolf Havenstein,
president of the Reichsbanlz, that Ger
man gold could be reexported on de-
mand.
Does the German Government actu-
ally believe it Is able TO specify the day
or the time when 1t will be in n position
to dereem its hypothicated gold?" asks
the Lokal AmzciDer. Such an eventual
ity is conceivable only IL the conditions
of the Versailles treaty and the London
ultimatum are abolished"