The Washington herald., 1922-06-07
Demands S Documentary
Proof U. S. will Reduce
French Debts.
MORGAN'S EFFORTS
SET AT NAUGHT
British Envoy at Berlin
Rushes to London to
Meet Financier.

PARIS. June 6.-Premjer Poincare
has natly informed the Preparations
Commission through Louis Dubois.
the French reparations delegate. that
France will not consent to a reduction
of the sss. 900. 100000 German repara-
tions bill
The French attitude dooms the plan
OF J. p. Morgan and his associates
to reduce the reparations bill by at
least a half and then to arrange
series Of International loans for the
conversion Of the German war debt
into commercial loans. It probably
dooms even the prospect for a half
billion or a billion-dollar loan for the
approaching reparations payments
and the purchases OF raw materials
for German industries.
Morgan Back I'm Paris.
Mr.. Morgan returned to Paris to-
night from his country home in Eng
land and he will meet the other bank
ers tomorrow afternoon. but the slump
in the mark clearly indicates what
Europe hopes from their discussions.
The reparaSons delegates met
this morning in spite of their plans
made Monday to adjourn for several
days because the British discovered
the impossibility of getting French
support for the British plan of ac-
tion. The work of the delegates was
to repl yto the query of the bank
er5 asking IL the London sch<dule
could oe reduced. A reduction of
the reparations bill would be a re-
vision of the most important part Of
the Versailles treaty.
Demands Assurances.
NJ Dubois Immediately told the
British, Belgian and Italian dele
gates and the unoficial American
delegate that France would agree
to reduction of the repsrstions
II IL hxdtau assurance that its war
debts Of 5000, eoo, 900 to America
and Great Britain would be reduced
In the same proportion. He said.
however. that his government con-
sidered II useless to discuss a reduc-
tion of the war debts now and con-
sequenuy win refuse to reduce the
reparations.
Sir John Bradbury, the British
delegate. supported by the Italian
anu ny Inc DSAelahs loNOA tN
a common reply to the bankers to
the effect that the allies would
gladly reduce the reparations IL
America would reduce their war
debts proportionately. but the
French would not Join.
Prevents Reduction.
The refusal of France. which Is
allowed So per cent of the repara-
tions, to reduce the claim on Ger
many is sufficient to prevent a re-
duction despite the British ana
italian viewpoints.
The explanation Of the French at
ltitude. aside from the justice OF
Frances right to full reparacions
for the ramage suffered during the
war. is primarily that Premier Poin-
care is a lawyer and as such will
not consent to cutting the French
claims until he has documentary
proof and absolute certainty that
the FrencH debts will be reduced.
Envoy Rushes to London.
BERLIN, June Sin the hurried
trip of Lord D'Abernon. the Brit
ish Ambassador in Berlin, to Lon
don. German official circles see an
important meeting with p. Nor
gan at the suggestion of the Rfit-
ish government which II is de-
sires the American financier to OBJ
tain a report on Germany from a
most reliable source.
In the meantime pessism prevails
In Berlin over the proposed ST.
000. .ooo. 900 loan. a proof of which
Is seen in the decline OF the mark,
believed to be on its way to 800
to the dollar again.