Newark leader. ([Newark, Ohio]) 1917-1946, 1923-01-19
MORGAN'S TOOL
COAL AND IRON PREPARATIONS
PARTIAL DEFAULT
Is an Excuse for France, MOrgan's
Cats Paw, to Invade Germany
and Assume Control of Valu-
able Steel and Coal
Interests
(By Federated Press)

French steel magnates, dominated
by the Schneider r-Creusot interests,
are responsible for the determination
of the French government to seize
the Ruhr following German default
in reparations payments. j. p. Nor
gan & Co., through their Paris house,
are in close touch with Schneider
Creusot and are deeply interested in
promoting the activities of that con-
Germ. The objective is the progress
sive acquisition of the coal and iron
resources of bankrupt Europe.
French iron masters are faced with
the fact that despite their acquisition
of Lorraine with it's iron ore, German
steel production still ranks second
only to that Of the United States.
Coal and iron ore have been the
foundation of 10Th century national
per-eminence The dominant position
of Great Britain has, more than any
thing else, been due to the convenient
juxtaposition of coal, iron ore and
water transport.
The United States, however, alb
sorbed so much of it's own product in
domestic expansion that England
and Germany were left as chief rivals
for foreign markets. The long tons
of iron and steel exported by the four
countries in 1913 were: Germany,
$50 800; England, 5,268, 900; United
States 2,445,612; France, 1,008,324.
It was during the early years OF the
goth century that British foreign
policy turned to close alliance with
France and Russia against Germany.
Under these circumstances it was to
be expected that the resources OF the
iron and steel industry would play an
important part in the readjustment
after the war.
From the beginning of peace nego,,
tiations the split between England
and France was developing, as it must
have, for they were both dominated
by desire for acquisition. They
agreed, however, in wanting repara-
tions fixed at a figure which would
demoralize and bankrupt Germany.
France looked forward to fore
closing on a debtor so as to justify
annexation of national resources to-
gether with the acquisition, at ter
rifcally deprecated values, of the
magnificent means of production
which Germany had developed in the
Rhine country.
The British are accustomed to a
more subtle form of financial pene-
tration. They looked to destruction
of German credit to the point where
British fnanciers would be able to
appear as the saviors of Germany,
receiving, in return, the securities
representing actual control of German
industrial enterprise. Thus England
would absorb the steel and coal inter-
ests that had been her most danger
Gus rivals.
The Ruhr coal fields has been a
damaging competitor whith the coal
fields of England. British business
interests cannot agree to allow 1T to
fall to France, which already domln-
mates the other coal deposits of wes--
tern Europe. British financiers must
gain possession of the Ruhr by con-
solidating with their own enterprises
those of SHINES and the other Ger
man magnates.
The presence of Kuhn, Loeb & Co.
among the international bankers, who
are attempting to buy into control of
these industries with view to ex-
plotting the cheap labor of conquered
people, raises an interesting question.
Perhaps the difficulty which the ad-
ministration at Washington finds in
making up its mind on the subject of
reparations is due to the fact that
Kuhn, Loeb & Co. are interested on
the side of the British, Dutch, Ger.
man financiers, while the house of
Morgan is in close touch with the
Schneider -Creusot interests which
dominate French policy.