New-York tribune., 1922-08-10
Rejection of Poincare
Proposal to Put New
Burdens on Germany
Threatens Allied Farley
Meeting May Come
To End This Week
Lloyd George Calls His
Cabinet to Discuss New
Angles; Premiers Recess
By Wilbur Forrest

cial experts at the Allied Prcmiers'
conference here to-day rejected Pre-
micr Poincare's plaa for dealing with
Germany, grave fears were expressed
in many quarters that an impasse had
been reached that would disrupt the
discussions and result in independent
action by the French. The serious
ness Of the situation, however, was
modified by the statement Of a per-
son close TO Poineare that the French
Prime Minister was ready TO make de-
cided concessions in order to maintain
Allied unity.
The British do not share the French
expectations that an agreement Of any
sort is possible. Premier Lloyd George
has summoned his Cabinet TO meet to-
morrow afternoon to consider eventu-
alities II the present meeting
breaks up.
There are such gaping discrepancies
in the official statements given out by
the British and French tonight that II
is necessary TO summarize both.
British Deny agreements
The British take the gravest view Of
the situation, saying that there seems
10 be little hope Of an agreement when
the premiers meet again, day after to-
morrow. They deny reports credited
to the French that Lloyd George, IN
conversations with Poincare, agreed 20
- Z
exploitation Of state property by the
Allies. The British assert that there
has been no agreement at any point IN
the discussions Of the past three Gays.
They assert that they are unalteraoly
opposed 70 any customs barrier en-
circling the Ruhr valley. Lloyd George
told the French Premier that any IN
s;stence on that point would place the
British Cabinet in an extremely en-
barrassing position.
The French official version Of the
situation is that they are satisfied that
an agreement can be reached and that
there is no danger either Of the break
up Of the conference here or the col
lapse of the entente cordiale. Ihey
assert that the financial experts, de-
spite vote of 20 / against the Pom
care plan, accepted enough OF It's de-
tails to allow further progress, They
predict that the discussions In the next
few days will develop other penalties
that can be inflicted on Germany IN
place of the ones rejected by the ex-
perts. and that these can be agreed 10
by all the Allies. The French say, also,
that they are now ready TO drop Poin-
cares suggestion that the Ruhr Valley
be encircled and the mines there be cX-
plotted by the Allies.
LONDON, Aug. Q (By the Associated
Press).-The Allied Premiers will
gather again Friday. but whether
only TO adjourn formally and ar
range a further meeting elsewhere.
or to consider an entirely new
plan for settlement Of the fin
ancial situation In Germany, prob
ably will depend on the outcome OF to-
morrow's gathering Of the British
Cabinet and whatever new suggestions
France may have 10 offer.
As a result Of a thrcc-hour con-
versation between Poincare and Lloyd
George to-day. II was decided TO
refer Poincare's plan back TO the com
mittee Of experts with the request that
the points upon which the British ana
French are not in agreement be re-
examined.
LIovd George agreed 20 the French
suggestion TO collect 20 per cent OF
German exports az her frontiers, which
would be paid into reparation funds.
He also agreed TO the suggestion for
taxing over the state forests and
mines in German occupied territory.
Belgians Favor One Point
In the report Of the experts COM
mittee, the Belgians supported one
phase of the French plan-Allied con-
troll OF state-owned mines in the Ruhr
region. A majority Of the experts
branded this proposal as useless, ex.
cent as a sanction The suggested
establishment Of customs lines between
the occupied area and the rest OF Ger
many and around the Ruhr region was
rejected as undesirable. AS recounted
by the British snokesmcn, the majority
Of the experts held that no real mora
torium would be afforded by remitting
the present forms of payment II equal
~ onerous obligations were placed
upon Germany.
The view Of all except the French
delegate was that IL any guarantees
oil tDlS ndluIt WtiS " " e'N'" -
would be simpler 10 take over the pres
ent customs arrangement at the Ger
man frontiers than to divide Germany
by fresh customs barriers. The pro-
posal TO seize 60 per cent interest in
factories. especially the dye works on
the left bank OF the Rhine, also was
declined on the ground that this could /
be done only by compelling the German
to buy out the present pro-
prietors. which would involve an issue
Of more paper money and a further
aggravation of the German monetary
situation.
Agreement Never Approached
Neither in the work Of the confer
ence itself nor in the many informal
among the principal del
egates outside has there been any ap- F.
proach 10 an agreement. Although the
Belgian delegates have been tireless in /
irving TO reconcile the conflicting views 7
between the British and French states
men. there appears to be fundamental
digerence between the British and
French conceptions Of tho principle OF
Control" TO be applied 90 German
finances. while the British govern /
ment by no means insists on an uneon-
djtional moratorium to Germany, II IS
pointed out on behalf Of the British 4
delegates that the idea of stopping
payments here in order that payments |
may begin in Germany fails TO fulfill /
the British definition Of moratorium.
WHITE; SULPHUR sPRINGs-GIorIous now
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