The New York herald., 1922-05-07
Obstacles Are Not Insur-
mOuntable, Vice-Premier
Quoted as Saying.
AWAIT RUSSIAN REPLY
All Moves Halt Until Attitude
of Soviet Is Made Clear
Schanzer Sees Solution.

GENOA May associated Press) !.
France will stand with belgium ir
opposing that part Of the Alliet
memorandum to Russia dealing with
the property in Russia OF foreign
owners. In consequence Of this de-
cision, which was communicated tt
Premier Lloyd George by NJ Barthou,
head of the French deleCation, this
evening, another crisis has arisen
which endangers the conference and
may or may nor be settled before the
Br'tisb Prime Minister returns tg
London
If the views OF Belgium with re-
spect 70 this article can ne met-and
it Is considered possible that the Bel
gians may notify their demands to
some degree-France will place no
obstacle in the way os settlement
The Russians. however, are still to
be heard from. Their reply will
probably be delivered within two or
three days. and q IS known definitely
tnat they will urasent numerous OBJ
ject!ons to the conditions set forth
by the allied pnwa~s.
Barthou Meets Premi-r.
Mr.. Lloyd George and VI Barthou
of France met at o'clock this eve
ming, after which it was stated that
their meeting offered no relief in the
strained situation. Nothing will be de-
cided definitely, however. it was stated,
pending Russia's reply TO the allied
memorandum.
Other questions TO be talked over by
the two leaderJ are the non-aggression
pact proposed by Mr.. Lloyd George
and po sib'y ths great problem of the
German war re )arstions.
Unless an adj strnent can be reached
by the Pownrs TIE representatives OF
the Little + ltente n@rions. 4, is said,
will propose ldjo 'r1caent of the con-
ference until o later date. when there
is greater possibility OF agreement.
The Little Entente also g reported to
be ready to side with yhe French and
Belgians in case the arter decline 10
adhere to the terms 3s the Russian
memorandum
Adolph Joffe 81 the Russian delega-
ton left last night for Moscow to con-
fer with the Al-Russian Central Ex
ecutive Committee. but The Russian
reply will not await his arrival there.
It is said, although it Is not expected
to be presented for two or three DAYS
more.
Puts Conference In Jeopardy.
NJ. Barthou stated that Franco v,as
firm in her decision to stand by Bel
GUM. and that he had been Instructed IN
Paris to withhold French approval ar
the Russian memorandum until BeIeiur,
had agreed to Article 7--formerly Ar
t'cle 6-relating TO the restoration OF
private property to former foreign
owners.
While the head Of the French deieRs
tion gave assurances that France wanted
the conference at Genoa TO succeed. be
lief was expressed in conference circles
this evening that his firm position con-
cerning the property question was likely
TO place the conference IN jeopardy.
The official French narrative Of to-
days happenings not only shows thar
the conference is endangered but also
indicates a distinct divergence OF view
between France and England, tendine
TO emphasize the differences tnat hAvo
frequently arisen between than during
the conference.
TIE British Premier. in his meetine
with NJ Barthou refused 20 agree ,o
any further modification or thu memo
randum. which already Is in ire hands
OF the RussiaA delegation.
Barthou Sees scnanser.
NJ Barthou first saw the italian For
eign Minister Slgnor SchAnzer. and
found him busy trying = frame a fof
mula on the question OF property rights
in Russia which would satisfy every
body and avoid a rupture OF the confer
ence.
Even y break comes" Signor
Schanzer Is quoted by the French as
saying. there would be no reason for
relaxing the bonds OF friendship which
have always bound and must bind tho
allies together"
Signor Srhanzer then referred to the
provisions OF the Cannes resolutions ani
emphasized that they made n clear that
Russia would be given the right to cs-
tablish such administration OF property
within hei boundaries as she wished
The problem was to reconcile this right
with suitable guarantees THAI foreign
ers' property would be respected
How 10 harmonize these two things so
as to please everybody the italian Min
lister admitted. was n serious question
that he had failed up to the present 20
work out
VI. Barthou then saw Premier Lloyd
George and gave him a detailed account
OF the circumstances which forced
France 20 adopt her present position
side by side with Belgium.
Public opinion IN France" said N.
Barthou was deeply moved ny the an
uOuncemeut OF a separate Russo-Gcls