Evening star., 1923-08-13
British Say France Violated
! Peace Pact IN Rullr InvasiOn
Curson Firm in Demanding Immediate
/ Action to Giue Britain Opportunity
to Collect From Germany.
BY the Associate ted Press.

BY the Associated Press.
LONDON. August 13.-The British
government. in the publication yester-
day Of it's official correspondence
with the allies since June, placed on
record its position with regard to the
German reparations problem.
Lord Curzon, secretary for foreign
aifaIrs. in an elaborate note dealing
with all the manifold aspects of the
problem sets forth that the British
government regards the occupation
on the Ruhr as Illegal and unauthor-
zed by the Versailles treaty, thus
supporting the German contention
in this respect At the same time,
however, he offers to submit the point
to arbitration at The Hague or by
some other body:
While still adhering to a tone of
Che utmost of courtesy and saying
nothing definite with regard to any
separate action on the part Of Great
Britain, Lord CurZon emphas sizes that
: Great Britain cannot agree with the
rrsnSn policy, which he intimates
plainly seems to point to an indefinite
occupation of the Ruhr
Leaves Method to France.
Lord Curzon still leaves it to the
: french government to suggest the
nethod OF selecting an international
commission to examine into Germany's
capacity to pay reparations, but he
piaihly declares that Great Britain can
~ accept the decision of the repara-
l!on commission on this matter, since
that commission has become the mere
: instrument of France-Begian policy
flnally Lord CurZon declares that the
British government still adheres to the
former
: under which Great Britain would be
satisfied to obtain from German repara-
tons and allied debts to Great Britain
q sum sufficient to meet Great Britains
obligations to the United States
me British note remarks that "it
Is ulmcult to think in what way
greater consideration should have
: Deen SHOWN to the Franco Belg ian
, point or view" 1t then at great
; length outlines the British VIEWPOINT
= hich Lord Curzon summarizes as
follows:
No Cancellation.
His majesty's government never
contemplated and does not contem-
plate that Germany should be re-
meFeo OF all reparation payments.
Ihey are determined that Germany
snaIl pay to the maximum of her
capacity. What that maximum may
De should be decided by an impair
tial inquiry. 1t cannot be ascer-
tanned by casting up amounts Ger
ceive.
ITO ask more than Germanv.s ca
pacity can only destroy assets which
germany would be able to offer the
allies. To force liquidation Is not
the most profitable way OF making
recovery from debtor with re-
sources
1T is admitted that Germany can
; only make substantial payments if,
) oy restoration of her finances and
Sta olllzatlon of her currency. she Sc
cures budget surplus available for
feparations. Moreover, this surplus
must be in form which can be
made available for external paw
nlents over the foreign exchanges.
External debts cannot be paid by
the collection of deprecated paper
marks
! In the view of his majesty's gov
ernment, forcible Interference with
the economic life of Germany, even
If consistent with the treaty of YER
sary restoration. Not only will 1t
prevent realization of any surplus for
separations, but, by intensifying the
ulsorder OF German finance and cur
FehcS. VIII have the gravest reactions
on trade.
Sees Menace in Policy.
!. His majesty's government, there
qore, regard as doomed to failure the
method pursued by the French and
.Belgian governments to secure rep
arations. Despite the wholesale seiz-
,Mres, the occupation of the Ruhr has
produced. at great cost. less receipts
'for the allies, notably of coal and
yoke. than were Forthcoming the pre-
.svious year. Moreover. his majesty's
government feel that the resulting
tsituation involves a great and grow
ens danger to the peaceful trade of
1he world. and not the least of that
tof Great Britain.
; The government regards the con-
ttinuance OF the present position as
.Traught with gravest risk. both eco
'momic and political They consider
pan impartial fiXation of Germany's
'aiability at a figure not inconsistent
with her practical power of making
payment as a matter of great ur-
Eency. and they have suggested what