The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1924-04-10

listing measures, insofar as they hamper
that activity will be withdrawn or suf-
ficiently modified SO soon as Germany
has put into execution the plan rec
commended"
No Interference
The committee recommends the con-
version of the German railways into
joint stock company, adding: Our
plan demands only a modest return
on the capital cost, and SO long as
this return Is forthcoming we do not
anticipate any interference in the Ger
man management of the undertaking.
The railways are to be managed by a
board of IL directors, chosen by the
German government and the private
holders of reference shares and the
other nine by the trustee of the bonds
to be issued amounting to 1900, co.,
900 gold marks, five Of whom may be
Germans. The chairman Of the board
and the general manager of the rail-
ways will be German.
Regarding contributions from the
various German industries, the report
says: 1.-THE committee has been i'm
pressed with the fairness and desira-
bility of requiring as contribution to
reparation payments from German in
dustry, sum of not less than 5000
100000 gold marks to be represented
by first mortgage bonds bearing five
per cent interest and one per cent
sinking fund per annum."
1t is pointed out that the industrial
concerns have profited in many ways
through the deprecated currency, such
the long delayed payment of taxes by
subsidies granted and advances made
by the German government and by
the depreciation of emergency money
they issued. Notwithstanding some
losses incurred by these industrial con-
Germs, the committee feels that the
burden imposed by the plan is not too
great for them to bear.
Treaty Payments
The provision contemplated By the
committee for treaty payments, is as
follows: Budget moratorium period |:
First year from foreign loan and part
interest 100000, 00O) on railway
bonds, a total of 1,000O0O,000 gold
madks. Second year, from interest on
railway bonds including 100000, 900
balance from first year, and interest
on industrial debentures and budget
contribution, including the sale of rail-
way shares, total of 1920, 900, 900
gold marks.
Transition period: Third year,
from interest on railway bonds and in
dustrial debentures, from transport tax
and from budget, a total of 1000, 000,-
600 gold marks, subject to contingent
addition or reduction not exceeding
Ok0 000 mn no11 be Tnx,wAh
from interest on railway bonds and in
dustrial debentures, from transport tax
and from budget, total of 1,750, 000,-
900 gold marks, subject to contingent
addition or reduction not exceeding
250,OO0,000 gold marks.
STANDARD year: Fifth year, from in
terest on railway bonds and industrial
debenturesfi from transport tax and
from budget, total of 2,5O0,000,O 900
gold marks"
The Safeguard
With view to making certain that
not only does Germany meet her pay
ments, but that the possible surplus is
actually established, the report says ::
1--WE are convinced that some kind of
co-ordinated policy with. regard to, the
exchange lies at the root of the repa-
ration problem and is essential to any
practical scheme in obtaining the maxi
mum sums from Germany for the benz
eft of the allies, .s5
THE greater the extent to which
payment may be rendered automatic
and a. matter Of habit, and be indepead.
ent of, fluetaatiig political attitude
toward reparations, the less win be the
friction and the greater will be the
restability of the German budget. In
the last resort the best security is the
interest of the Germany government
and people to accept in good faith a
burden which the world is satisfied
will be within their capacity and to-
liquidate as speedily as possible a bur
den which is and should be onerous."