The Republican journal., 1922-10-26
AMERICAN BANKERS ASSOCIA-
TON.


yention few days ago and it is said that
there were 10000 delegates present The
fixed stars were Mr.. Thomas w. Lamont,
representing the j. P. Morgan Co., Thos.
B. McAdams, president of the associa-
ton, and the Right Honorable Reginald
McKenpa, ex-Vice Chancellor of the
British Empire and now at the head of
Britain's largest bank. There were many
other stars shedding their light upon the
obvious but only the effulgence OF the
fixed stars was allowed to illuminate the
matter in which Wall street, New York,
and Lombard street, London, had any
special interest, namely, the cancella-
ton Of allied debts.
In viewing our relation to these debts
Mr.. Lamont said we should investigate
and determine whether any of them are
uncollectable and there ore should be
"written off," and which among the
others are good in part, but require ample
time for payment To this he added that
one half of the total Indebtedness was
contracted between our declaration OF
war and year later when the American
army got its soldiers into the trenches IN
any considerable number. He also asked
his hearers to consider whether some
consideration as TO whether some com
position should be made because the Al
lies debts were contracted for munitions
purchased from US during the interval
while we were unable to furnish sol
diers." He then suggested that the
bankers should consider whether the
United States had, since the armistice,
discharged its duty to Europe as well as
il had done in the war. Mr.. Lamont GER
tainly presented the Wall street view
gently, but his meaning is plain.
Upon the question of interallied indebt-
edpess President McAdams said: "Some
debts must be extended for long periods,
Others Cancelled or curtailed."
MIR. McKenna, the British banker, met
the main question without flinching. He
said: England has the ability to pay in
full her debt to the United States and had
The determination to honor her bond in
full" The other debtors were not, ne
said. in position to meet more than
small share of their external indebted
ness and in the existing conditions OF Eu-
rope definite postponement of any pay
ment by them was desirable. The Brit
ish sentiment regarding the allied debts
due the United States Government was
clearly set forth in the Balfour note
some time ago, and the statement OF Mr.
McKenna is of no particular interest aside
from being a confirmation of that state
ment.
1t is not surprising that Mr.. Lamont
Mr.. McAdsms and hundreds OF other In
ternational bankers of New York are il
favor of wiping out or scaling down thu
debts which the allied governments ow'
10 Ours. They have neeotisted loans t.
foreign nations, cities and big industria
eorporations and taken bonds for the pay
ment of these loans in full, with interest
and in gold. They have received fa
DrOfltS LOT ncSotidtths thSSS ioeAS' Oc,-.'
of these bonds they own and some o.
them have been sold to American invest
ors outside of banking circles. The!
know that, if our Government can be In
duced to cancel the obligations OF III
foreign debtors, their private loans vii
he greatly enhanced in value. On thei
mart il is an entirely selfish proposition
Not one of these people has ever suggest
ed the cancellation or remittance of
single dollar of the money which they
have loaned to the Europeans for whom
they profess to have such unboundet
sympathy.
They are philanthropists but they wan
the American taxpayers to furnish th'
relief funds.
Congress and the President have Great
ed . Debt Funding Commission will
mower to convert the acknowledgment
of debts, which we now hold. into lon'
time bonds as per agreement, and no par
Of the debts can be cancelled by the com
mission without the consent OF Congress