The New York herald., 1922-07-28
hughes ADVANCING Z
WAR CLAIMS TREATY
In Conversations With
German Officials on Debts
to Americans.
PLAN STIFFLY OPPOSED
Garvan Warns of Huge
Teuton mtrigues Under
Way in U. s.
URGES USE OF SEIZURES
Declares Departments at Cap
ital Are Honeycombed With
German Spies.
Special Dispatch to THE New YoRK HERALD.
New York Herald Bureau.
Washin0fnn Ii LuIx

Special Dispatch to THE New York HERALD
New York Herald Bureau
Washington. ID. c., July 27.
The State Department is engaged in
conversations" with officials of the
German Government preliminary TO
the negotiation of special treaty de-
signed primarily to. settle the Ameri-
can war claims against Germany.
This was brought out to-day at the
hearing before subcommittee of the
Senate Interstate Commerce Commit
tee on a bill recently introduced by,
Senator Underwood (Dem., Ala.), which
provides that the American claims
shall be paid out of German property
held by the Alien Property Custodian.
Col, Thomas w. Miller, Alien Property
Custodian, will be protected in every pos
sible way. He refused to take stand for
or against the Underwood bill, saying that
the State and Justice departments are as
much concerned over the proposition as
his office, and that he desired to obtain
the views of the officials of those de-
partments before expressing his.
he would oppose any separate treaty
with Germany designed to settle the war
claims, and that he would insist upon
the passage of his bill, which would
create a tribunal before which American
claimants could appear. He thinks the
matter should be disposed of at this ses-
sion of Congress.
Garvan and Palmer Testify.
Senator Cummins (Rep, Iowa). chair
man Of the committee, said there was a
strong belief In some quarters that the
claims against Germany should be ne
gotiated through diplomatic channels. He
said those holding that view want a
mixed commission composed equally of
Germans and Americans. Under the
Underwood bill the commission would be
composed exclusively of Americans.
Besides Col. Miller, two former Alien
Property Custodians. Francis p. Garvan
and Mitchell Palmer. testified before the
committee.
Mr.. Palmer said he saw no reason
why there should be any compunction
Ar using seized German property to pay
American claims
1T must not be forgotten" he added,
that we won the war and Germany
lost It and for that reason Germany
should pay our bill for the war. The
only question to be determined Is the
adjudication of the items of that bill.
and I believe the creation Of an Amer
lean commission to review claims
against Germany as proposed in the
Underwood bill would provide feasible
and meritorious method OF arriving at
such an adjudication
Mr.. Palmer said he did not think
Germany should have any voice as to
the size of the bill the American claim
ants should present He did not regard
further negotiations or a new treaty
with Germany as necessary.
During the extended hearing there
wete only fleeting illusions to the sale
OF the German dye and drug patents to
the Chemical Foundation, as Chairman
Cummins ruled mo extraneous matters
should be considered.
Warns of German Spies.
The testimony of Mr.. Garvan was
very short Il suggest that the COM
mission have power to investigate any
alleged unfairness on the part of the
alien property custodian in any trans
action whatever" he said German
propaganda Is now rampant in the
United States. She is spending hun
dreds Of thousands of dollars in an
effort to get Congress. to return this
property. There is no way to disclose
this except by summoning witnesses.
] think that former officials should
have the opportunity to meet their Ger
man accusers. 1t is impossible for in
dividuals to spend enough money to
combat the German intrigue, SO we
should have our day in court To-day
the departments are noneycombed with
German spies and representatives. and
che Ia seeking to spread her propaganda
through the newspapers"
Mr.. Garvan suggested that the COM
mission under the Underwood bill
should be authorized to find out the
actual value of American property
seized by Germans and how much had