Evening star., 1925-08-20
BeIgium's Case Is Not a
Precedent for Funding,
US. Commission Holds.
EACH NATION SEPARATE
CASE, is AMERICAN VIEW
No Set Rules or Program to Gov
ern Dealings on Repayment
of Foreign Loans.

France, sending a delegation to the
United States this month to fund
her debt, will find the American Debt
Commission committed TO no hard
and fast program, but backed sub
stantially by six funding agreements.
which in principle predict what
France may expect The capacity
20 pay will continue as before to be
one of the cardinal principles In
volved.
This prospect rose in view today
following the successful funding or
Belgium's debt. which has left the
participant delegations gratified, and
which has already drawn hopeful re-
action from European capitals.
There is no doubt of the fact, II
Is admitted. that Belgium received
special treatment here. She had peen
accepted by the powers represented
at the peace conference as a little
power apart, and the assurance of
President Wilson at Paris had been
given much weight by the Belgians
in finally agreeing to the treaty.
Each Nation Separate.
Each nation, the American Govern
ment has insisted, is a separate case,
that the commendatory reception so
far accorded all agreements reached
with European debtors confirms the
opinion that the American Debt Com
mission is proceeding along Satisfac-
tory lines.
The feeling in some unofficial cir
cleS here that the generosity OF the
/ Belgian terms may have preSaged un-
4 fortunate developments in the French
diminished today by reassuring dis
patches from Europe, where the Bel
gian terms were greeted with more
warmth than might have been eX-
pected, especially in the case of
France.
American officials would not lay
down today any specific principles
upon which the commission expects to
deal with the French debt. or others,
in the light of the Belgian agree
ment.
1t was intimated, however, that the
commission would probably proceed
upon the basis of a set Of principles
built up in general through the six
| agreements already set up, rather
than upon any one OF the specinc
agreements.
1t was explained that in the negotia-
/ tions with Belgium it developed that
1 the Little Kingdom had strong
1 case, predicted largely upon the
factors of her economic position, and
the Wilson assurances.
United States Morally Obligated.
Belgium had taken the position, It
was revealed today, that she was
1 largely influenced to sign the Yer
. sailles treaty through the promises
made by the powers, especially the
! United States, through Woodrow VII
son. While the American debt COM
mission did not recognize the legal
T ity' of this claim, and in ract, it was
said today, did not make concessions
TO it until later in the negotiations,
this Government felt it was bound by
i the moral obligation to take cog
J niZance of the Wilson promises.
One factor entering into Belgium 8
economic troubles which was recog-
nized during the treaty period. 1t was
explained, was the heavy drain by
i Germany upon Belgium both of money
and physical resources, such as fac
tories, and equipment, not returned.
Secretary Hoover, Il member of the
American commission participated in
! the debt negotiations here during the
past week with a peculiarly close
knowledge of the background involved.
as he had been in Paris with the
ICont{Dued ON page < Column AZ