San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-03-03

asked Great Britain to guarantee any
of the loans made by this country
to the other Allies nor is there any
record Of any understanding between
London and Washington with respect
to the use which was to be made of
the money lent to Great Britain di-
rect.
Practically all of the money ad-
vanced by the Washington govern
ment to the Allies was spent in the
United States and credited to the
purchases made by the various Al
lied purchasing commissions. Some
money advanced by the American
government was also used by the Al
lies to pay interest on loans they had
obtained from private bankers prior
to American entry into the war.
Great Britain's Side.
The British argument is that ire
spectiye of any understanding be-
tween Washington and London the
practical effect of the financial trans
action undertaken after America en-
tered the war was that Great Britain
borrowed from the United States
about the same amount that was lent
thereafter to the continental powers
by Great Britain. The point witch
the British wish to make is that ii
they had not had to support the con-
tinental Allies there would have been
no need Of financial assistance from
America. The idea is that Great
Britain borrowed for an altruistic
purpose-not for herself but for 9TH
ers. and hence the money she had
just agreed to pay back to America
is after all money that she lent TO
the other Allies but probably will
never collect.
There is theory held in official
circles ,here that somehow and some
time in the future Europe will revive
the discussion of cancellation and
that if the British impression goes
unchallengcd at time when the facts
are still fresh in the memories Of Of
ficinls they will not be so easily re-
futed ten or fifteen years hence.
Like "Who Won the War;"
The controversy over funds re
minds many officials here OF the dbn-
troversy which ragged in 1919 and
1920 as to which country really won
the war. The Belgians were con-
WINGED that if they had not halted the
first German advance. Paris would
have been captured; the French are
sure that if they had not furnished
the big army they die the Allies
would have been crushed; the British
feel confidence that if the British
fleet had not been as powerful and
effective as it was, the blockade
would not have been any good and
the Germans would have had more
supplies from the outside and finally
many Americans will carry to- their
graves irrefutable impression that
but for the 100000 men brought to
France in the crucial moment, the
whole Allied cause would have been
defeated. .,
And so it is with funds. If Amer
lea hadn't helped Great Britain the
Allies would have lost: if Great Brit
ain hadn't helped the continental
powers with funds the whole Allied
fabric would have collapsed. Any eff
fort to imply that concessions are
therefore due one power will not he
regarded with favor here and as for
a general cancellation all around. the
arguments made before the British
mission arrived and decided TO pay
its debts still hold good so far as
the American government is con-
cerneC. A general all-around effort
to pay debts is viewed as an eco
nomic necessity and psychological
stimulus to world credit conditions.