The New York herald., 1922-12-10
ASKS MORATORIUM
Bonar Law Meets Plea
Of POincare for Aid
by Announcing
New Policy.
OPPOSED TO SEIZURES
Prospect of Settlement at
Premiers' Conference
Grows Brighter.
RECALLS BALFOUR NOTE
America and It's V0idance of
European Debts Come
RECALLS BALFOUR NOTE

LONDON, Dec. 9 ASSOCIATED Press).-
Premier Bonar Law announced to the
allied Premiers this afternoon that
Great Britain would be quite willing
to reconsider the question of cancella-
tion OF the French debt. provided such
d step were made possible by a rep
arations settlement satisfactory to
made at the second session of the Pre-
miers' conference. called In anticipa-
ton of the Brussels economic confer
ence In an endeavor to reach an agree
nent on German reparations. EIis an
nouncement created sensation.
Mr.. Bonar Law previously had inti-
mated that Americas insistence on
the payment of the British debt had
made it very difficult for England to
discuss remission OF the French war
debt His declarations at the after
noon meeting greatly encouraged Pre-
mier Poincare. who was pessimistic
early in the day. Although reservins
his formal reply until tomorrow, N.
Poincare expressed his pleasure at the
British attitude.
While the premiers are far from a,
accord as yet. It was said by the French
delegation this evening that Mr. Bona-
Laws pronouncement had made an
agreement much more likely.
BaIfour Note Nonexistent.
that the Bslfour note no longer existed
for the British Government and that he
was free 70 consider the whole question.
'T am prepared to reconsider the
question OF cancellation of debts" he
went on. "if such cancellation would
insure settlement satisfactory to the
British Government" He outlined the
kind OF settlement he desired--a mora
torium sufficient for Germany to re-
establish her finances and credit and
stabilize the mark. no military action
OF any chartcter by the French and a
reduction OF the indemnity TO between
10000. 100000 and 4o.Ooo.ooo.o 900 gold
marks.
The four Premiers. Bonar Law. Poin-
care. Theunys and Mussolini. to-day
held two meetings lasting five hours.
At the first session NJ. Poincare offered
in behalf OF France acceptance OF two
years moratorium fc. Germany pro-
vided satisfactory guarantees were
forthcoming. These guarantees ambraced
measures for economic control of the
Rhlneland industries and partial occups-
tion Of the Ruhr district with division
OF soldiers to collect customs on the coai
output NJ Poincarc did not consider
that this program would be regarded as
military action against Germany.
Regarding cancellations. he was VIII.
ing that the German indemnity be re-
duced 70 10000. 900. 900 gold marks. pro-
vlded England cancelled Frances debt TO
her and France he given a larger per-
centage OF cash payments.
BeIgium's Proposal.
The Belgian plan presented by Premier
rheunys calls for a two year moratorium
for Germany and a loan, participated In
by all nations, at the rate OF 5000. 900 900
gold marks a year fof seven years.
making a total Of 35.ooo.o0o.ooo. This
should represent the total reparations
by the wealth OF the German republic.
The German debt would be reduced to
between 30ooo. 900 and 10000. 900 900 gold
marks and France must abandon all
idea OF military or economic pressure.
The Germans would be required to effect
rigid financial reforms. including bal
ancing the budget and stabiIlzing the
mark. Part OF this loan would be handed
over 10 Germany for that purpose
The Belgians propose postponement os
the Brussels conference until the end ot
January or the middle OF February.
Their plan viii be discussed Monday.
IL IL understood that the King will
receive the rreniers and Finance Minis
tiers tomorrow.
Those present besides the Premiers
were the Finance Ministers OF Great
Britain. France and Belgium. Count 60
Saint Aulaire the French Amba ssador:
Foreign Minister Jaspar OF Belgium and
the italian members OF the Reparatlons
Commission.