The Washington herald., 1922-12-07
|. s. WILL ASK
Allies BONDS
BE NEGOTIABLE
win Object to Payments in
Large Denominations, Says
Secretary Eliot Wadsworth
TELLS HOUSE COMMITTEE
France. Not Ready to Make
Any Definite Agreement on
Her War Debt, He Admits
BY Universal Service.

BY Universal Service.
) Negotiable bonds in small de-
nominations will be demanded of
debtor nations in every case where
this Government can market the
securities satisfactorily, Eliot
Wadsworth, Assistant Secretary
Of the Treasury and secretary of
the World War Debt Commission,
has assured Congress.
Mr.. Wadsworth's statement was
made in the course of his examina-
ton by a subcommittee of the House
Appropriations Committee preparing
the Treasury Department appropria-
tion bill. The record of the hearing
was released for publication yester-
day. The question of negotiable
bonds was brought up by Chairman
Madden. Mr.. Madden said:
MADDEN RAISES POINT.
1t seems TO me, inasmuch as we
can never tell what will happen
over a series of years, wisdom
would dictate the taking of nego-
table obligations. 1 think that
should be done regardless of the
expense that it might impose upon
the maker.
The other countries might come
m and undertake to sell their
bonds. for example, and we ought
not to be put in the position Of :
having our security in the form Of
q
selling their bonds in $500 and
$1,000 lots.
Mr. wadsworth replied:
ASKS 100000 FUND.
I think 1 can assu>s you that
the commission will get that op-
ton at least, so that they can de-
mand negotiable bonds. I do not
think we need have any fear as to
that at all.
The secretary of the debt commits
sion was urging, among other items.
IN appropriation of 100000 for 'he
commissions expenses. He declared
all Of this sum might be expended in
two months IF we were really in II
big discussion with those people"
What is the necessity for dis
cussion?" asked Chairman Madden.
.
amounts of the loans, lis there?'
No. SIR" wadswnrth answered
Then. what is the discussion that
could taSe-piace 4 hat would require
any expenditure" Madden pressed.
''They will bring experts over
here" suggested the secretary.
ITO do what?'
DEBTS s1I .6J6. .OOe, 900.
with records as to their finan-
cial status
'To prove that they do not owe
us what is claimed?''
mo, sir: but to prove perhaps
that they can only pay l per cent
interest now or that they could pay
5 per cent next year.
The total of the debt now due
from foreign powers. Wadsworth's S
statement showed is s11 $50 932.-
1916. of which s1O.IO2. 14OS29. .6S
Is principal and s1.554. .791 ,90S.3 ac-
crued interest.
Discussing the recent visit of NJ.
Parmentier. French debt commits
sioner. to this country and his meet
ings with the funding commission,
wadsworth said:
FRANCE NONCOMMITTAL..
With France we did not make
any headway at all. The COM
mission who came said the situa-
tion was so uncertain as to their
collection of reparations from
Germany that they were not pre-
pared to say anything definite
/ Chairman Madden apparently
was astonished. He asked:
do you mean TO say they were
not prepared to fund it?'
wadsworth: NO. sir: they did
not want to draw up any definite
plans before the commission"
Madden: They did not want to
either fund or pay?
wadsworth: They say that they
will pay. but that one OF their big
gest assets, in the form of what
they might get from Germany. was
uncertain. and that they were not
prepared to say when they would
begin to pay"