Evening star., 1922-09-02
FRENCH PIN HOPES
ON DEBTS PARLEY
Reply to BaIfour Note Seeks
Again to Drag U. S.
Into Conference.
WANTS DEBTS CANCELLED
Declares Obligation to America
Was Purely Commercial
Transaction.
WANTS DEBTS CANCELLED
By the Associated Press.

By the Associated Press.
PARIS, September "A proposal
for a conference of all the interested
nations to settle the war debts ques-
ton is embodied in the French reply
to the recent circular note sent to
the entente powers by the Earl of
Balfour, as British acting secretary
for foreign affairs. The reply, signed
by Premier Poincare, was given out
last night.
Such meeting, the French note
holds, would have the most salutary
effect on the reparations problem; as,
until the question of interallied
debts is settled, there can be no solu-
ton of the former. Furthermore, it
is again pointed out, France cannot
pay her war debts until she receives
the money from Germany.
Believes Cancellat ton Just.
The note reiterates the French view
that general cancellation of the war
debts is justifiable, and plainly in
Inmates that the United States should
participate in any general agreement.
United States entered the war with
out her existence being directly men
aced, to defend with her honor the
principles upon which civilization is
based, while England, like France,
fought to safeguard not only the in
dependence of her territory, but the
property and the means of existence
of her people"
Until such a conference is held,
France, it is declared, will be unable
to give definite indication to the
creditor powers as to the payment
of the debts she contracted during
the war.
Draws d DistfnctfOn.
The note draws a distinction be-
tween the debt to England and that
to the United States. After explain
ing that part of the debt to America
was contracted after the armistice
through the purchase of surplus war
stocks, and therefore was regarded
as purely commercial transaction,
the premier continues:
Without doubt, for the remainder
Of the debt to America the same rea-
soning applies as for the other war
obligations of France. But it cannot
be forgotten, nevertheless, that the
United States entered the war, with
out her existence being directly men,
aced, to defend with her honor the
principles upon which civilization is
based, while England, like France.
fought to safeguard not only the in
dependence of her territory, but the
property and the means of existence
of her people,"
Tied Up to Reparations.
The note declares that the repara-
tions program can never be perma-
nently disposed of until there is an
agreement on war debts, and, without
mentioning the United States specifi-
cally in this connection, plainly indi-
Gates that the United States should
participate in such a general under
standing. France was prevented from
initiating such an agreement, it is
added. only by the publication Of the
Balfour note.
The war debts were not contracted
for the profit of separate nations, but
in the common cause of liberty, the
note continues. and from the point of
view OF moralty general cancellation
is quite justified. On the other hand.
the German indemnity is placed in a
totally different category. since 1t was
imposed for destruction caused by
Germany, for the most part unwar-
ranted, and France was forced to
make heavy advances for the recon
struction of her devastated regions.
Finally it is declared impossible for
France to discuss payment to those
countries she owes until she is paid
directly by Germany or through some
other means.