The Manitowoc pilot. [volume] (Manitowoc, Wis.) 1859-1932, 1922-02-02
CASH DEMANDS
PINCH GERMANY
Berlin Asks ReparationS Com
mission to Ease Up in
Collections.
OFFERS GOODS IN PAYMENT
Also Suggests That Allies Take
Measures to Restore Germany's In
ternal and External Credt-Priee
Of Bread Up rs Per Cent.

Berlin, Jan. 30.-The German note
to the reparations commission in re
Spouse to the commissions demand
for explanations Of Germanys allegeC
inability to meet her obligations fol
January and February requests that
Germany be relieved Of all cash pay
ments in 1922. 1t also asks for a
general reduction in cash payments
and an increase in payments in goods
The note suggests that the allies
take measures to restore Germany's
internal and external credit, and here
by facilitate the floating of a big in
ternatiOna reparation loan. 1t an.
nounces that Germany will raise an
internal loan In 1922 independently OF
the forced loan In order to reduce the
floating debt.
1t is pointed out in the note that
the allied experts at the Brussels con-
ference in 1920 recognized that Ger
man direct taxation was incapable of
further augmentation, but that never
theless bills were now before the
relchstag to provide further increases
in property tax, as well as taxes on
capital and corporations The turn
over tax will be increased from IL
per cent to per cent, and the coal
tax from 20 to 40 per cent.
The burdens on production and con-
sumption will be increased, and, In
addition, the increased customs duties
will be collected on a gold basis. The
entire burden imposed on consumption,
It is asserted, is at least equal to that
in other countries.
In explanation of Germanys fnaD-
cial position, the note states that en-
ergetic measures will be taken against
the removal of capital abroad and the
evasion of taxation, such as the abGii-
tlon of the obligation to secrecy i'm
posed on banks, and control over the
ownership Of securities deposited with
banks. II explains that the railway
rates, compared with pre-war condi-
tlons, had been increased nineteen fold
for passengers and thirty-two fold fol-
freight; the postal and telephone rates
were increased twenty-one fold.
The food subsidies for 1922 viii
amount to only l,OOOOOO,OOO paper
marks, as compared with 2,250,0O000(
previously The price Of bread will
shortly be increased by Is per cent. A
system for insurance for the unem
ployed at the expense of employers
and employees will be introduced t
replace the existing relief system.
The ordinary budget shows, with {
revenue Of 103, 2OOOOOOOO marks ant
expenses Of 8G7OO,OOO,O0O marks, &
surplus Of 16,5OO0OOOOO available fol
PREPARATION payments.
1t is absolutely necessary, If the
matter Is viewed from an economic
standpoint, the note continues, that
Germany should ut least for 1922 be
relieved of all cash payments on &c
count of PREPARATIONS.
The German government recognizes
that economic and financial considera
tons must yield to political necessi
ties II refers to the figures taken into
consideration at Cannes by the allies
namely 72O,OOOOOO gold marks In casl
and 1,4500OO,00O gold marks in kind
and requests n reduction in the cash
payments, increasing If necessary, the
payments in kind
1t also proposes that the costs Of
occupation should be credited to the
total sum in cash and kind paid II
1922 and that the other obligations II
foreign currency arising from the
peace treaty, especially clearing house
obligations should be mltigated.