The New York herald., 1922-07-09
BERLIN ASKS ALLIES
FOR MORATORIUM ON
PREPARATIONS DEBT.
Wants Payments in Cash
Spread Over Longer
Period.
ENJOYS GO TO PARIS
Believed France Will Make
No Objections for 1923
and 1924.
CHANGES ITS ATTITUDE
Also Ready to Take Goods
and Labor as Part of
Indemnity.
CHANGES ITS ATTITUDE

BERLIN, July 8 (Associated Rress).-
1t was semi -oficially announced to-
day that two German experts were
going to Paris to-day to ask the
Reparations Commission for a mora
torium by which Germany would be
enabled to spread her cash payments
over a longer period.
The 50,0o0000 gold marks required
to meet the July installment Of Ger
many's reparations payments already
had been gathered in the Reichsbank
before the mark entered upon its pres
ent headlong plunge.
Official quarters frankly admit that
they prefer not to contemplate Just
what will happen in case Germany Is
obliged to go into the open market
for the purpose Of acquiring gold
equivalents for the next payment, with
the mark heading for the same road as
that taken by the Austrian crown.
France May Not Object.
Special Gable to THE NEW York HERALD
Copyright, 1923, by The New YoRK HEaALp.
New York Herald Bureau.
Paris. July g..
No serious objections are likely to
be made by France to moratorium
for Germany on payments In cash dur
ing 1923 and 1924, such as Germany
Is reported to be on tho verge Of re-
uuesting.
Opinion here Is rapidly swinging
around to the principle Of payments in
goods rather than In cash. and the
Government IL trying to. adjust its nm
ancial plans to this perspective. This
explains the plan OF Minister OF Public
Works lie Troocuer. announced this
week. to use German labor on vast
public utility construction projects. such
as hydro-electric development Of the
Rhone valley and the vosges tunnel.
Deputies commissions approval yester-
day Of the Wiesbaden accord, and its
decision to ask Premier Poincare to
apply It Immediately. without waiting
for ratification by the Chamber.
The reason why Germany's new de-
mand for a moratorium Is not arousing
great protest here Is to be found in
the fact that during the next two
years Frances share In any payments
~,
under payments in kind. such as pro-
vided for in the Wiesbaden accord. she
is likely to collect far more, In proper
tion. than the other Allies.
U. 3. Claim ConsidereA.
1t is pointed out here that German
payments in cash are still subject to
the American claim for army compensa-
tion, which renders virtually certain the
impossbility Of France deriving any
immediate benefit from cash payments
Little stock is taken. either by the
Government or privately informed
financial circles. In recent alarming re-
ports from Germany. On the contrary.
there Is greater reinsurance evident
since the republican demonstration that
started with the assassination Of DR..
Walter Rathenau, by the working ele-
ment. that a monarchist revolution in
Germany Is for the present impossible:
and that If payment is limited to mer-
chandise the German democracy itself
will be considerably strengthened.
PARIS, July s (Associated Press) -
News received here that Germany in
tended TO ask the Reparations Commits
sion for moratorium on cash pay
ments and that DR.. Fischer. chairman
of the German War Debts Commission,
the Ministry of Finance, had left Berlin
for Paris, excited no Surprise among the
members Of the commission.
The dizzy fall Of the mark had i'm
mediately aroused speculation as to
what Germany would do. and the con-
cusion most observers reached was
that she would take advantage of the
situation to ask further leniency.
Germanys cash payments this year
and the major part of her rcparations
payments for 1929 would 60 toward
meeting the Belgian priority claims, and
therefore there IL no immediate con-
Germ among the French authorities re-
garding the effect Of such a move by
Germany on French finances. although
the seriousness OF German conditions Is
generally recognized
The Temps takes advantage OF the
present developments TO reiterate the
French view that while a morato dum
may be necessary, the real need In Ger
many Is a dra site overhauling of the
finances Of he Government. the stop
page Of the money printing presses and
the manifestation Of real desire on
the part Of the Germans to put their