New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-07-11
Right to Take Special
Measures in Case of De-
faulted Payments Main
,ained in Conference
Gives Little Hope
To Berlin ENJOYS
sistReparation Commis-
sion Remain in Charge
Of All the Negotiations
By Wilbur Forrest
speesol cable to The Tribune

ccovreht. 1922, New York Tribune Inc.
PARIS, July 10.-The French govern
,snt has decided to stand firm on the
Versailles Treaty and the London
sgreement, which give her the right
q take special measures to collect in
demnity from Germany in case she be-
cones bankrupt and payments are de-
fsulted. This became known after the
conferences to-day of the German
emissaries, DR.. Fischer, head of the
German War Debts Commission, and
Herr Schroeder, Under Secretary of
Finance, who presented an account of
their country's financial condition to
n Dubois, head of the Reparation
Commission, indicating that cash pay
rents may be impossible.
France for the time being is not
prepared to interfere in the crisis due
10 the failure Of the German marks
value but is inclined to assume that
the Reparation Commission is the only
body capable of dealing with the uues-
ticn Of a moratorium for Germany.
Far from a tendency to join the Brit
ish suggestion that quick measures be
taken to save the German situation,
high official circles declared that it
had not yet reached the point where
governments were competent to regu-
late, as the comm misaion was vested
with full powers.
British Attitude Resented
The semi official Temps" rehectine
the general feeling, resents the criti-
eism OF the British press aimed at
frances attitude and scouts the wis
com Of the British plan either TO call
an immediate meeting of the Supreme
Council or conference of the faan-
cal ministers of the Allies, neutrals
end the United States to consider the
German exchange disaster.
The Temps points out that the
council has no financial competence
sndthat its work on reparations has
thus far pro0sd exceptionally unsuc-
tessfal. In ressrd to the meeting OF
the finance ministers it. is suggested
that it would be better to wait the ver-
dict Of the Reparation Commission as
well as that of the committee on guar.
antics, which has been in Berlin for 6
month and which is returning to Paris
within the next few days. The Tribune
,orrespondent is informed, however
that. this committee will be able tt
throw little light on the inside work
iags Of the German financial system, a:
during its stay the government was il
state of semi-chaos and department
beads were not able to furnish clear
explanations.
There is tendency in Paris to agree
With England that the collapse of the
nark is due to the failure of Germany
% negotiate a loan, but there is di
yergence of opinion as to the reasons
.or that failure. In that connection
the Temps" suggests that the Allied
nations have much to discuss before
talking over the problem of repara
tons again. The Temps" believes the
loan failed because of Allied debts
and If that problem had been settled
the mobilization of the German debt
some weeks ago would have been easy
Debt Cancellation Urged
=, The first, difficulty" says the
Temps" is the British Parliament
'snicn VIII never give consent. Second.
. Y " no 70 debt can be wiped off so long as
tAe united States does not abandon hel
Ssf credits to the Allies. The British
sosefnment already has made known its
nfsYocable decision to wipe off large
bsrt of .the Russian war debt anc
ir,arllsment has not protested. The
united States has thus far given ur
non, none Of the Allied debts, and it is
Sitak Smlstake to believe that the United
states must make the first move. Or
Inc contrary, the United States is wait.
tC6Httnuad