The New York herald., 1922-06-01
MUST BE MUTUAL
Declares Abstention Of
L. S. Threw Out of
Balance Whole Ma
chinery Of Peace.
OPPOSED TO SANCTIONS
Says Isolated Action by
Any Ally Will Break
Up the Entente.
CRITICAL PHASE is ENDED
Glad Germany Has Made Real
Effort to Meet Allies Re-
quirements.
BY JOHN McH. STUART.

BY JOHN McH. STUART.
Special Gable to THE :SEw York HExALp-
Copyright, 1922. By THE New YORK HmALR
New York Herald bureau.
London, May 81. -
Premier Lloyd George in the House
of Commons tonight definitely laid
down the British foreign policy in
its two most important coordinates--
toward reparations and the Entente
and toward the remission Of war
debts and the United States. He
wants a complete remission Of var
Gebts. Though 1900, 100000 pttnds
sterling is owing to Great Br tain.
while Great Britain owes only
IL .00O, 900. 900, he is willing to CANCEL
all. But he will not cancel ma
e., ,00o, ,0O0, 900 unless the f1,00t co.
900 owed to the United States 20 10
Cancelled.
The Premier said that the tatire
machinery OF the Versailles treaty
and of the League OF Nations has
teen thrown out of balance b. the
,efusal OF the United States to pav
ticipate, and hopes the whole lses-
t,ion OF cancellation OF war debts ocn
will be discussed.
Toward France and Germany lr.
Lloyd Georges policy is this: s,
long as the German Govern
shows desire to fulfill the treaty :
far as 1t is able isolated action by
any Of the Allies will break the En-
tente." The measure Of Germany's
ability to pay is contained in the
Reparations Commissions report and
the treaty to which all are sigma
tories. II the German Government
should elect to resist the treaty Eng
land and France will act in concert.
But Mr.. Lloyd George made 1t per-
fectly clear that he believes there Ia
no ground for such action now.
waterloo and Now.
For the first time since tie war the
word Waterloo" was uttered from
the Government benches. Premier
Lloyd George reminded France that
Great Britain In taking into considera-
ton the difficulties OF Germany was
pursuing the same traditional policy
which 1t pursued after Waterloo VIXEN
Russia and Prussia wanted France
crushed by indemnities and Great
Britain refused.
| r~,.r 4lo Drgx,,~ Nftr,~4o~ satd
he hoped any talk Of isolated action or
what would follow was needed no
longer and concluded with tie words:
"All say is that any isolated action
on the part OF any OF the Allies would
be disastrous TO the Entente"
The discussion opened before a
packed house with Friedrich Sthamer,
German Ambassador TO Great Britain.
sitting in the Ambassadors gallery.
| Interest was intense IN the Prime
Minister'S declaration.
Text of the speech.
Mr.. Lloyd Georges speech in fun
follows:
when a discussion was anticipated.
some weeks or a fortnight ago. on tho
subject of repsrations the sir.ation
appeared somewhat critical. l am
glad to be able to say that the strain
has decreased and matters seem in a
lair way TO accommodation. There
have been negotiations betwe IN the
Preparations Commission ard the Ger
man Government--rather. the Repa-
rations Commission under the treaty
I OF Versailles has been in communica-
,ion with the German Government.
| Proposals and counter pror osals have
\ been made.
The German Government sent In a
reply to the final suggestion Cf the
Reparations Commission, and the re-
ply is now being considered I AN not
in a position TO say what the answer
will be, and Il is not for ne to make
any suggestions TO them as q the
course they ought 10 pursue. think
4, may be assumed, however. that the
critical phase OF some weeks ago for
/ ,he moment has passed away 1t
would be difficult for me to enter any
discussion OF the subject. Anything I
may say can hardly be fruitful OF the
present moment and might very easily
be harmful.
III should be content with these few
words TO sit down but for the fact
that Mr. Clynes attributed practically
! The whole Of our present difficulties 60
certain declarations made during the.
general election OF 1918. sCl
supposed. according to the Riant Hon
orabie gentleman TO have r1'sta ths