Evening star., 1922-07-17
MORATORIUM HELD
VITAL TO GERMANY
BY INVESTIGATORS
Preparations Body to Be Told
TWo-Year Halt in Cash
Indemnities Needed.
THINK BERLIN SINCERE
IN CUTTING EXPENSES
Frenchman Will Sign Report, But :
Holds Dissenting Opinion,
Rumors Declare.
By the Associated Press.

Dy he Associated Press.
PARIS. July 1.-THE members of the
allied committee on guarantees returned
to Paris today from a months inquiry
in Berlin with the majority of its men,
bers convinced that a moratorium Of
TWO years or more on cash indemnity
payments is the only solution of the
present financial crisis in Germany.
The report of the committee to the
reparations commission proba bly, will be
made Thursday or Friday. While IL
will not contain, 1t appears. a definite
recommendation for moratorium. the
members of the committee are expected
TO inform their respective delegations
that long breathing spell must be
accorded Germany
1t was learned from a reliable source
that the French member of the COM
mittee is the only one who does not
favor moratorium. Despite this, he
is expected to sign the report OF the
committee, which will be strictly tech
nical in character.
The committees inquiry has led
majority of the members to believe that
Germany has been making an honest
effort TO carry out the budgetary re-
form and other instructions laid down
by the reparat tions commission, but that
the country is suffering from the mis-
takes made before these reforms were
instituted.
The reparations commission was
only notified today that Germany had
deposited 32.000.000 gold marks in
designated banks to meet her July Is
reparations payment.
Long Delay Blamed.
The committee unanimously agrees
that the fundamental fault lies with
Germany because oS her long delay
in bringing about the financial re-
forms which would probably have
prevented the fall Of the mark. The
investigators. however, are reported
to be convinced that the present
government of Germany has been do
ing all it could to comply with the
mission. but had found it impossible
to prevent the present situation
arising because of the policy pursued
by Germany up to year ago.
The committee concluded an agree
ment with Germany under which
further exports of capital will be alb.
soluteIy stopped. but the details .of
the plan are being withheld pending
the outcome of the moratorium re-
quest.
convinced that the German budget
can be balanced within few months
IL moratorium OF several years De
granted Germany.
. The committee is expected to re-
port that the further control of Ger
man finances would be impracticable
and of little value. although the
French are reported to be in favor
of more rigid control under the in
terpretation of the word 'control
in the treaty of Versailles. The Eng
lish and French members are in con-
troyersy over the meaning Of the
word. the French taking IL TO signify
immediate personal supervision over
the whole financial scheme in Ger
many while the English hold that
the English meaning of the word
simply indicates general supervision
of a less stringent nature.
1t is probable that the reparations
commission will be asked to define
to what extent control could be eN-
tended under the present form.