The New York herald., 1922-05-03
Reparations Amount to 90
Billion Frncs; She Hopes
to Get 25.
WOULD BALANCE ACCOUNT
Thinks America Is Morally
Bound to Aid in Executing
Versailles Pact.

PARIS, May (Associated Press).-
The American Debt Funding Commits
sion communicated to the French Gov
crnment three days ago the text of the
war debt funding law and the reso-
luton adopted by the debt commission
in connection with it, together with the
request that the French Government
make any observation 1t desired con-
cerning the execution of the terms of
the law.
This step is taken in official circles
as a polite intimation that the time had
come to enter into serious negotiations
for payments on the debt, although 1t
is not believed here that the American
commission intends to force matters.
The French reply is expected pow 70
be briefly to the effect that France
intends to pay all she owes but must
have a chance to collect some debts
owing to her; also that the burden OF
reconstruction is such that France mas
been unable to provide sinking FUND
for her war debt, as she had been
obliged to make advances Tor that
purpose for the account of Germany
who had not paid the reparations due
from her.
The balance sheet of French war
debts is given here as follows;
Debtor.
To the United States-13, 100 100000
gold francs. To Great Britain-l2,-
Annn 4
100000 gold francs.
Creditor.
From Italy-l ,ooO, 100000 gold francs.
From Russia, 900, 600. 900 gold francs.
From Belgium. ESQ, 100000 gold
francs. Jugo- -Slavia-500.0 100000 gold
francs. Other allies. including Ru-
mania-1. .25O. 100000 gold francs.
Totals, 900 100000. which. plus rep
arations due from Germany, amount
Ing to $4,000 100000, makes total OF
100000 900 gold francs.
1T is not pretended that the whole
6S 900 100000 due in reparations ought
to be included In the war debt balance
sheet, but that at least $4,000, 100000 gold
francs already spent by France for the
account of Germany in the reconstruc-
ton work OF Northern France ought to
be so included. This would bring the
credit side of the sheet to $4,000 900
: gold francs. showing a balance in favor
OF France of 5000. 100000 gold francs.
Thinks United States should Aid.
All the Allies are still considered here
az equally responsible for the execution
OF the treaty OF Versailles. and as the as
sociated Power the United States is NOR
ally responsible for its execution. in the
opinion of French officials since the
treaty was not rejected by the United
States on account of the reparations
clauses. Hence. 1t is argued. France is
Justified in asking Americas help to
bring in what Is owed France under the
terms Of the treaty so she can pay her
debts.
This communication comes just at a
time when France is being asked at the
Genoa conference to reduce some OF her
claims against her former Allies" said a
high Government official to-day. I'VE
are glad to be generous with our Allies,
but to do so our allies must stand with
us. We are in a position of a CONNER
cisl house with big debts and big out
standing credits, asked by creditors to
pay and by debtors to reduce and sus-
pend. IL we are to pay we must be
paid"
WASHINGTON, May 2 (Associated
press) Notice was sent recently
through the State Department to all Of
the allied nations to which the United
States made her war loans that the
american Debt Refunding Commission
was prepared to enter into negotiations
looking toward conversion of the debts
into long term securities.
Formal replies to the notice have been
received, so far as could be learned to-
day, from none of the nations, but Great
Britain has indicated informally a will
ingness to proceed at an early date, and
1t is considered probable that prelmi-
nary negotiations with that nation will
be entered into within fortnight.