The Washington herald., 1922-08-14
Settlement of Reparations
Remains Untouched in
London Farley.
SCHANZER DRAFTS
COMPROMISE PLAN
Economists Say Europe
Is Speeding Toward
Breakdown.

LONDON. Aug. 13.- Whatever
the outcome of the present sadly
involved pickering between the al
lied premiers may be. 1t is now en-
tirely clear that the major issue
and financial disintegration
throughout Europe-will be left
untouched and will be permitted
to reach the danger stage before
the heart Of the problem Is tackled
After week of conference
neither the allied premiers nor their
expert advisers have been able to
agree on the first cardinal side
issue. namely. the conditions which
must accompany any moratorium
granted Germany. The fundamental
question-averting complete
European breakdown through a
general settlement of the repara-
tions and war debt problems-has
not even been approached.
Delays Real Settlement.
Some temporary niakeshift post
ponement of real settlement will
be the only result of the present
conversations. This is obvious
from developments to date. In the
opinion of competent observers.
Instead of making efforts to de-
wise means of saving the Old
World from collapse. the deliber-
ations have merely developed into
the usual fruitless Anglo-French
haggling.
The deadlock in the present ne
gotiations was described as COM
plete when the delegates adjourned
for the weekend. The insistence
of the French upon supervision Of
the mines in the Ruhr regions and
the forests on the left bank of the
Rhine provided the main stumb-
ling block.
Schanzer. Italy's representative in
the conference. announced today
that he will offer a compromise TO
break the deadlock between France
and Britain. He proposes that Ger
many's August payment be post
poned for fifteen days and. that a
md conferences be called looking
an agreement on q moratorium
The September payment.
Tuesday Is Time Limit.
be allied premiers will meet
I'm tomorrow with Lloyd George.
ncare and Premier Theunis. of
gium, again attempting to
ch an agreement. Premiers
kanzer, of Italy. and Hayashi. of
pan. will also participate in the
Inference. 1t is expected that
norrow's session will produce
fher a break, or what looks like
inevitable compromise, mas
fch as the next German payment
SO. .000, 900 gold marks, or about
5000, 900, is due and Tuesday Is
e end of the time limit during
Mich IL must be decided wheth-
and how a moratorium shall be
Fanted Germany.
Meantime. economists and impair
hl diplomatists declare Europe is
,eeding toward real crisis" :"
Thich, they pedict, will surpass
ything yet witnessed
The committee of experts finished
Is second report last night and are
Snearer an agreement than before.
Ne Italians. Belgians and British
DIRE generally agreed in opposition
to the French proposals.
The French are insisting upon a
limit of three months for a mora
torium, while the other allies are
satisfied that nothing less than a
year will do any good. The French
are willing to extend the first mora
torium to private debt payments as
we'll as to reparations. but they still
insist upon guarantees.
The French are still optimistic
The Belgians and Italians are try
ing to persuade them to be more
reasonable.
Copyright, is22.)