New-York tribune., 1922-08-04
Cabinet Renews
Approval for
Poincare Plan
Reparations Program of
Pr c m Ter Restated i'm
Light of Balfour Note
on War Debt Repayment
Paris Position Unaltered
French Leader Is Given
Fresh Instructions to
Evadel l. oan Discussion
By Wilbur Forrest
Special Cabls TO The T'rsbane

Copyright. 1892, New York Tribune
PARIS, Aug. 3.--The French Cabinet,
in a meeting at the Elysee Palace to-
day, presided over by President Mile
rand, reafiirmed Premier Poincare's
plan for a reduction of German repara-
tions, provided Great Britain will agree
| to corresponding reduction in the
French war debt to that country. The
/ Cabinet heard complete explanation
! from NJ. Poincare of the present state
OF the questions of reparations and
inter-Allied debts as well as the Pre-
mier's Interpretation of the note just
received over the Earl of Balfourss sig
nature. 1t was established beyond
doubt that NJ Poincare will explain the
Cabinets decision when he arrives IN
London next week.
Many students of Europe's tangled
financial problem have declined to ac-
cept the popular theory that Balfours
note clipped the wings OF the London
conference in advance. The French
Cabinets decision almost wholly is con-
four document deals solely with inter-
Allied debts.
France, as has already been told in
The Tribune, proposes to reduce Ger
man reparations to the neighborhood
OF 10000, 900 900 gold marks in return for
Allied consent to strictly priority al
location of this sum to the rebuilding
of ata ~
mean time imposing upon Germany
Allied control which will guarantee
Germanys reduced obligation. All this
is contingent upon the readjustment of
Frances debt to Great Britain and the
latter's renunciation of her part in Ger
many's reparations as a whole. The
Balfour note, as interpreted here, ma
terially reduces the French debt, and
there is reason to believe that England
is ready to renounce her % per cent
from Germany.
Told to Question Balfopr
! Poincare is expected to avoid debt
discussion if possible, but in case OF
/ British insistence he is assigned by
the Cabinet to DEN and whether the
fren;h Interpretation of the Balfour
note is correct. Aside from this basis
! for negotiation it is admitted that the
London conference will open in a diff
ferent atmosphere.
The first meeting Of Poincare with
Lloyd George, Premier Schanzer Of
Italy and representative of Belgium
will come two days after France will
| have exercised new sanctions on Ger
| many as result of failure to meet the
compensations bill. AS it is almost GER
! tain that Germany will default in this
respect Poincare will be called on to
make good the threat contained in the
recent ultimatum. A second fact that
will make the conversations difficult
| is the fact that the Cabinet to-day re-
| approved the French program for new
! guarantees from Germany and priority
| for the devastated regions, without
| which France is determined not to give
single days moratorium TO Germany.
| Troops in the Rhineland have their
orders and telephone call from Poin-
care in London to the Paris war Office
will start them in motion. 1t is known
here that Great Britain, Italy and
Belgium will oppose Frances demands
/ against Germany, but the hope for the
conference lies in the fact that they
will be loath to permit France to break
away from the Entente with individual
measures toward Germany.
See Move to Take Up Debts
Outside of government circles it is
believed that the other Allies will at
tempt to maneuver Poucare into dis
cussion OF the whole problem of debts
and reparations in an effort to settlt
these once for all. Opinion was di
yided to-day as to whether the Bal
four note makes the situation easic:
or more difficult. but it is general,
agreed there is hope for definite
results.
lie Journal des Debats' takes th
view in to-night's issue that the Bal
four note does not necessarily con
denim the London conference to failure
"It must be considered" says th
newspaper, ''from the effect that Eng
land does not refuse to make sacrifices
She believes without doubt that Euro
pean debtors could help her NEE
American demands, but beyond tina
she absolutely renohnces her dues an,
her demands on Europe are relatiyel,
small. Under these conditions all pos
sibility of satisfactory accord canno
be excluded.
From some points of view the Britis1
note rather facilitates settlement, a.
England has shown herself in principl
as disposed to abandon her share O
German payments as well as most o
her dues from her Allies. One can a
land is sincere in her offers, and w,
have excellent argument to show it will
be best for Europeans to offer goo,
example, especially as France Is ais,
disposed to abandon dues from he
Allies"
" TTI Ey ~