San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1924-04-01

the mortgage on the railway system,
VIII provide the chief basis of the
proposed series of international loans.
ms feature was decided on because
the experts found that the two classes
who chiefly proflted lat the expense
OF the rest of the German people by
the fall of the mark are manufactur-
ers and peasants, the former having
paid off for a mere trifle their initial
capitalization and the latter, with
equal ease, having paid off farm mort
cages.
Gist Of Plan.
No mere readjustment of taxes by
the experts though. could distribute
the reparations burden equitablv.
hence manufacturers and peasants
were singled out to bear a special
burden In proportion to their excep-
tlonal profits. 1t was felt that any
other solution would have been high
~ unfair TO the German working peo-
pie.
Including these three new features,
the gist OF the experts plan now
stands rs follows:
The German people will be taxed
on scale propOrtionate to citizens
of Allied countries and the Allies will
retain the right 10 assure themselves
Of tax reform really being carried out.
A gold bank as sole bank of issue
will be established under a board If
directors. half German and half for
eign. with the administration in Ber-
lin but the gold deposits abroad. Cap
ital will be obtained partly from the
Renchsbank. partly from German sub
scriptions and partly from an inter-
national loan. This bank will also
be the PREPARATIONS bank. to which all
separations payments will be made.
During the two or three years NOR
atorium from cash payments, Ger
many will be expected TO continue
payments in kind and payment of oc,
cupation costs which will be financed
partly by an international loan and
partly from the German budget. There
will be small international loan fol
aforesaid purposes. but as confidence
is gradually restored. mortgage bond:
on German railways aud German in
dustrial and agricultural properties
will also be placed on the information
al market for reparation purposes.
Certain German taxes. such as Gus
| toms on the salt, tobacco and spirit
monopolies, will be earmarked fol
reparations. During the moratorium
those tax receipts may be returned t.
Germany by the gold bank. but after
the moratorium they will form nu
ceus Of the maximum annuity whicl
| the experts intend TO fix. The an
nual annuity may be increased pc
riodically if the prosperity index war
| rants.
Germany's economic integrity mus
be wholly restored, but nothing will
be said about Franco-Belgian mill
tary occupation, to which the expert:
as a whole see no objection provided
it does not interfere with Germany''
economic life. The proposed loan sys
TEN will. it is considered. enable thu
Allies to receive considerable sums il
reparations within a relatively shor
time. thereby entailing proportiona.'
military evacuation of the Ruhr ant
Rhineland according to the treaty.
The report will be in three parts
the first covering the latter explain
ing the experts aims, motives anc
principals. the second full summary
and main outline of the reports show
ing the results and how the results
were obtained. and the third series
of annexes giving table of figures
and technical information.