New-York tribune., 1922-06-08
Refusal of Paris 10 Vote
With Allies in Granting
Financicrs Full Powers
Holds Up Negotiations
Cut in ReparatiOns
Stumbling Block
POincare Declares Nation
Will Press for Complete
Payment by Germany
By Wilbur Forrest


Special cable 70 Tte Tyibsre
copynght 1922. Neu York Tribune ~
PARIS, June Whether 10 pro-
ceed with the discussion Of a large
loan 70 Germany. taking into cor
sideration a reduction Of the repara.
ton debt, without the collaboration
Of France, Germany's chief creditor,
was the great question before the
meeting Of international bankers
to-day.
The bankers met to-day after the
Reparation Commission announced
It's decision 70 authorize the bankers,
if they saw ft in framing a loan
proposal, 10 scale down reparation
payments. France alone withheld
sanction to this feature Of the report
and The Tribune correspondent
learned tonight that she would re-
main firm in thi sattitudc. II Is
understood that Roland ". Boyden,
American unofficial observer, though
not empowered TO vote in the conf
mission, joined with England, Bel
gium and Italy in granting extended
wide latitude to the bankers 10 pro
pose the German loan.
The bankers received a 3 10 1 vote
in the commission. They admitted
hat the refusal Of France 20 JOIN in
the negotiations was serious mat
ter that required the most careful
study, and adjourned until to-mor-
row.
France Against Debt Cut
The attitude Of France, II Was learned
tonight, is that she has no dtsirc 10
/ join in any action that would give her
consent 20 the principle Of scaling d0vr
/ OF German reparatiOns, unless there
were some compensation In the way of
reduction Of her own war debt
Two elements enter into the stand
/ taken By France. Tho first is that She
+ desires 70 learn the outcome Of her
/ negotiations with the United Atates
regarding the funding of her debt IN
America before granting any conccs-
sions 10 Germany, and the second Is
/ that IL Germany Is able 10 clear up her
reparations problem, through the aid
! Of the Allies, .hc will In few years
demand the French evacuation Of the
Rhine. and France Is unwilling % take
any stand that WILL force her into the
position Of abandoning her security on
/ the Rhine.
Premier poincare appeared this AZ
/ tornoon before the Senate Committee
on Foreign Affairs and announced that
France was ready 10 pes for full pay
ment from Germany, 10 enable her %
reconstruct the :crrl .Ory deyasted by
war operations and also 20 electrify
French state railroads.
Important Decision To day
The most important phase Of the
loan situation, hoSeyor, IS the forth
coming decision OF the bankers to-
morrow whether 10 continue the dis
eussion Of the German loan or abandon
IL, in view Of the opposition from
/ France.
The situation places the bankers, IN
cluding J. p. Morgan, In a delicate
position. They must decide whether
I 10 proceed in the face OF a hostile
attitude on the part Of the French gov
ernm.J..
The French viewpoint Of the fune'
/ tions Of the bankers is summed up by
/ the "Temps" tonight, when Il says;
"Our allies believe that the bankers
should be allowed TO develop all ideas
that they Judge 20 be Interesting with
out reference 10 any limitations. Tho
French idea. however. is that the
bankers must not be allowed 20 de-
yelop any plsns which tend directly or
/ Indirectly to reduce German repara-
tions. Il is better for France 10 be
alone and right, taan wrong with
others. France is right and Il Is weh
10 show this detaJ
The Temps" then quotes the orig
iral resolution by the Reparaticn
Commission creating the bankers com
nittee, which charActerites the BANK
ers as merely committee OF experts
10 study the situation and render an
opinion o. the conditions under when
/ Germany could, IN view % the Loedon
schedule. raise foreign loans Inc
newspaper says that the bankers are
trying 10 exceed their powers
French Alone In Stand
II was after a lengthy and rather
hectic meeting Of the Reparaiion Com
mission that the French stood alone
against Great Britain, Belgium and
Italv on the question Of extending the
powers OF the bankers 10 modify any
Of the agreements made In the London
conference regarding German repara'
tio.s. Following the meeting, NJ. Dc.
bois. the French member and president
OF the commission, conferred WITH
Premier Poncare and two members OK
the loan committee. This interview
sealed the stand taken By France not
10 adhere 10 any move made 70 extend
powers 20 the bankers, although u was
known that Belgium was prepared 10
act with the others In making u posi-
Bile for tho loan 20 be foated by per.
hitting the discussion Of Allied debts
and the Reduction Of the German
burden.
After this meeting ". Dubois
stood out srrinst the field and the
commission sent out note 20 the
bankers authorizing an extension of
It's deliberations 70 include the possi-
BILE modification of the German debt.
Accompanying this note was attached
the indiyidus, opirion Of each Of the
members, including that OF the dis
senter.
Text Of Brokers' Proposal !,
PARIS, June (By The Associated
Piess).-A communication issued TO-