, 1923-03-11
ME Preparations Commission


must go.
Instead of President Will
sons Peace Without Victory" Eu-
rope welters in a victory without
peace, The stormy petrol of this stu
alton is the Preparations Commissioner
1t is n cause n a symbol of disorder.
To many persons who share with
me a sympathetic feeling for the
French people in their great perplexi-
ties. the radical proposition just stated
will at lrst seem unfriendly. Yet, If
one believes that the interests of
France. as well as those of Europe.
are to be served by a reversal OF
policies determined amidst the pas
sions of 1919. then he should espouse
such reversal. while setting forth the
faith that is in him. From time to
time we severely criticize our own
governmental action. Do we, there
fore. cease to be pro-American? AMI
must we then be blind to all possible
errors of Judgment on the part of
those statesmen, who for a season
control the political destinies OF a peo-
pie whose welfare we desire.
70 me It seems that something like
the following program must be fol-
lowed If France is to be delivered, in
part, from the snnres in which she
and the whole of Europe have fallen.
Ffrst-An amoun Of war indemnify
must be fixed with respect to the
amount of wealth which car be sup
piled as an exportable surplus result-
ing from Germany's general interna-
f1ana1 11rrw,.N-.z ~I... 80.
may be due to special reconstruction
measures, If rance IS willing to open
this special field of expectation to Ger
man goods and labor.
Second-The determination of this
total indemnity should not be based
upon calculations of allied claims un-
der the various headings appearing in
the Treaty of Versailles, but upon
Germany's capacity to pay annuities
in gold values. The payment shouli
probably be extended over periods
longer han that fixed in the treaty.
Third-The division of the whole
sum thus liked among the various
claimants is n matter with which Ger
many has nothing to do. but is to be
agreed among the claimants.
About German Bonds
And Their Employment
Fourth-In witness of the German
Indebtedness. bonds should be directly
delivered to the creditor Governments,
these bonds being of uniform rank and
character. unless priorities and differ
ences be established by their own acts
non the recipients.
Fffth-The costs of military occu-
patton of German territory. IL con-
tinued at all, must be fixed or sur
rendered entirely.
Sixth-No sound German obliga-
Ions can be obtained unless. after full
hllment of their requirements, Ger
many should be left with external re-
oeipts and payments at least balanced
or running slightly in her favor. 9th
erwise no permanent reform of her
currency can be effected. Without
such reform her m will decay,
thus destroying her capacity to pay"
l say this deliberately and emphati-
caliy. in spite of tie recognized tenn
porary advantage given to export
rad by depreciating currency.
Seventh-No outcome OF the Ruhr
valley movement can yield valuable
financial results to the Allies on other
bases than those indicated. Even IL
there be actual confiscation of physl-
cal property no considerable payments
can be realized save on the theory OF
subsequent profitable use for the benc-
fit of the Allies of such conhscated
property. And again. In this ease tho
problem of transferring values across
a currency frontier would still remain.
plus a thousand political complica-
tions
Eighth-The bonds above contem-
plated should be payable to bearer
and preferably sold everywhere. from
China TO Peru" thus causing h
maintenance of Germany's credi
throughout the world TO become an
essential element in her foreign and
domestic policies.
Ninth-Coincident to the delivery OF
these bonds to the creditor Govern
ments. all vexatious rights of inter-
ference in Germany's internal affairs,
as now vested in the Preparations Com
mission. should be withdrawn and h n
body cease to exist This can be
brought about without revision of the
treaty. as will be shown below.
The Powers That Lie in
The Reparations Commission
Events have already proved thatthe
continued functioning of this commits
sion under the treaty will be cconi
panied by dlssensions among the Al
lies. A painless death. by agreement.
will be better for all parties than an
ngonized demise with bitterness at the
bedside.
This body has been more In the
limelight han any otter OF the many
commissions which sprang from the
womb of the Great Pact. From Toxic
to San Francisco, across the conti-
nent. its decisions have detonated into
disturbances of the first magnitude.
This commission possesses the
power of displacing the German Gov
ernment-or giving command to that
Governmental many of the most
vital functions OF the State. It can
make sudden demands for huge pay
ments. 1t can order changes in the
tax laws Of Germany. 1t can insist
upon changes in the whole national
budget. II it were conceivable that
the members of the commission ould