Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1922-03-28
NEW LEGATION
ARISES FROM CLAIM
DUE FROM GERMANY
Approximately S300,0OO.-
900 Asked by Survivors Of
Those Drowned on LuSi-
tania
BY DAVID LAWRENCE
Ieased Wire Service to The Journal.)
Copyright, 1921

| -
sums due here from Germany are
growing.
The effort to obtain the $241, O0O,-
600 for the expenses of the United
States army of occupation on the
Rhine has drawn attention to COM
plication with respect to another
claim Of approximately $500, OO0,0OG
due American citizens whose rela-
tives lost their lives in the 1usitanta
disaster and Americans whose prop
erty was seized or destroyed by
Germany during the war.
American claimants have been
waiting patiently for the Germany
government to pay them. But it is
apparent now that all Germany's
assets are mortgaged to the allies
and even the United States govern
ment seemingly can't get a priority
on money spent since the armlstlce
in maintaining it's army.
The legal representatives of the
host of American claimants where
include the stockholders of such big
concerns as the American Radiator
company, Standard Oil company,
National Cash Register company,
| Singer Sewing Machine company
and International Harvester com
pany are beginning to get anxious
about their claims. Most of these
companies had properties in Ger.
many which were seized or liquidat.
| ed by the German custodian of alien
| property.
Must Look to U. S.
If the German government can
not pay American claims because all
funds first must go to satisfy the
allied governments, then the Ameri-
can claimants must look to the Unit
| ed States government for satisfac-
! ton. The Harding administration
has been trying to evolve a policy
which would be in harmony with
American tradition. 1t has not felt
kindly toward the idea of confiscat-
| ing Germany property here as
lmeans of raising the money4to pay
American claims against the Ger
man government
The feeling Of President Harding
and Secretary Hughes has been
that the individual owners of Ger
man property in America were not
responsible for the acts OF their gov
eminent. The American government
| does not care to confiSCate German
property.
But how are the American claim
ants to be paid? There are two
ways proposed. One is that the
| United States government shall di'
rectly reimburse the claimants and
collect on the far off future from
| Germany. The other is that the
German property now held by the
alien property custodian here be re-
tanned Indefinitely and that bonds
be issued against it and these bonds
turned over to the American claim
ants who could sell them and real
| ize cash value. Thus the German
property would be held intact for
many. years and as soon as the Ger
man government redeemed the bonds
the property would go back to the
| lawful owners.
Policy Not Evolved
Sue. d scheme is in effect in
South Africa and has the sanction
of the British government. The
British central government as well
as the Australian and other colonial
governments are applying some
what different system. All the Brit
ish claims against Germany are sat
isfied out of a clearing house fund
This fund is accumulated from
the proceeds of liquidation of Ger
man property, which, by the terms
of the Versailles treaty, can be re-
tanned or sold, and the German own
ers in turn are recOmpensed by the
German governments clearing
| house for debts of this kind. The
policy of the allies has by no means
been definitely evolved, but the al
lies can apply the German property
toward reparations if they like.
American policy depends entirely
on the wishes of congress, by whose
authority the German property in
America originally was seized. While
it is true that American claims
against Germany are estimated at
$500, 900, a mixed claims commits
sion is about to be set up by Ger
many and the United States to adj
Indicate the claims, and as usual in
such cases. extravaganza estimates
are materially cut down. But there's
enough German property in Amer
lea to offset the American claims
against Germany.
German Propaganda Active
An effective campaign has been
instituted by Germans in America
| to persuade America to give back the
property to the lawful owners. Of
ticials COncede that if congress were
to vote on the issue today, the prop
erty would be returned by an over
Whelming vote, as there is no dis
position to hold the individual Ger
man responsible for acts of war.
| There is no tendency on the part
of American claimants against Ger
many to inflict hardship on German
owners of property in America, but
the people whose relatives lost their
lives on the Lusitania are insisting
that since the American government
cannot even collect mbney from Ger
many or the allies for sums paid out
since the armistice to maintain
the American army of occupation,
the only chance of satisfying Amer.
lean claimants either is to appropri-
ate from the treasury or use the Ger
man property indefinitely as COLA
teral for the issuance of bOdns to
pay the American claims.
It's one of the most complicated
legal problems that has arisen in
the aftermath of war and the ques-
ton has been slumberlng while our
government Investigated the prac-
tice of other countries. Now the in
cident over the American army claim
is emphasizing a growing relation
ship between the claims for Amer
lean lives and property destroyed
by Germany and the assets of Ger
man citizens held by the United
States government.