The New York herald., 1922-05-31
GERMANY'S REPLY i
ACCEPTED, Brings ]
HER NEARER us
Makes Allied Commission
for GUARANTEES Most Im-
portant Organization.
EXPECT AMERICAN AID
Berlin Informed Washing
tons Interest Is Only a
Matter of Time.
LOAN QUESTION COMES UP
Belief Germany Has No Inten-
ton Of Making Promise
Depend on Issue.
LOAN QUESTION COMES UP

Special Gable to THE Nrw YORK HErAIp.
COPYRIGHT, 1899. By THE New YORK HEnArp.
New York Herald Bureau.
Paris, May 30.
BY accepting Germany's reply to
the moratorium conditions imposed by
the Preparations Commission-official
announcement of which THE NEW
YORK HERALD correspondent is in
formed will be made within the next
twenty -four hours--the Allied Com
mission for Guarantes reappears on
the scene as the most important po-
litico- financial organization in the
world, with America represented only
by an unofficial observer in the per-
son OF Col. James A. Logan. The Ger
man reply accepts the commissions
conditions with the proviso that Ger
many gets foreign loan.
1t is expected that the new powers
of financial control which will be con-
ferred upon this hitherto inactive or
ganization will influence Washington
to appoint a permanent financial ex-
pert, authorized to discuss in the name
OF the Government all financial con-
troversies. In fact, 1t was declared in
high official quarters tonight that
Germany already has been informed
that acceptance of the Reparations
Commissions demands will result In a
closer rapprochement with the United
States. and that it Is only a question
of time before the United States Gov
eminent will interest itself actively
in all matters concerning German
finances. especially as the project OF
an international loan appears to be
the fundamental in Germanys new ef-
fort to meet her obligations.
The commission itself was surprised
by the accuracy with which DIR. An
dreas Hermes, German Finance Minis
ter, and Herr Bergman interpreted
tie scheme outlined in private CONVEX
sations and presented it to the Wirth
Cabinet. which approved IT. Only a
few minor changes were required IN
the text as resubmitted by the Ger
man delegation, and those were OBJ
tanned readily last night over the
telephone to Berlin. Copies of the
revised document, examined this after
noon by members OF the commission.
elected strong approval of Gerrnanys
conduct and prompt acknowledgment
that for the first time in many months
there has bsen a definite effort to
colllaborate along the lines suggested
by the Allies.
VIII Observe Promise.
According to a high authority to-
night, only one point remains TO be
Strengthened out in the conversations
tomorrow. namely, whether In the
event of an International loan not
being obtained. Germany will consider
the whole scheme as presented to-day
as having collapsed. That would re-
open the crisis, but members OF the
commission expressed themselves this
afternoon as convinced that Germany
has no such intention, dependence
upon an international loan having
been suggested in the reply only as
showing lne possible Necessity lor
further imitation. II IL is unsuccessful
Germany's acceptance of financial
control. up to point where her
sovereignty would be infringed upon. Is
considered here as the outcome OF rep
resentations which have been made
constantly TO Berlin by American and
neutral bankers. as we'll az the unof-
ficial American delegates OF the Repair
atoms Commission and its Berlin sub
sidiary. the commission of guarantees"
The realization that unless this was
accorded all hopes of obtaining foreign
financial assistance must be abandoned
made Dr. Termess task In Berlin last
week extremely easy, and prevented n
German Cabinet crisis. according to ono
authority, who considers that European
relations are about to enter a new
phase. in which the United states II to
play an important role, politically as
well as financially.