The Washington times., 1925-08-29
BINDING PACT IS
j. s. AIM ON
DEBT
Funding Commission Will Not
Regard French Negotiations
as Preliminary
BY H. X. REYNOLDS
international News Service

50
Nothing less than a definite set
tlement will be the objective Of the
World War Debt Funding Commits
siona in the negotiations to take
place here next month with the
financial ENJOYS OF FRANCE.
This was the official answer today
to reports from abroad that Joseph
Caillaux, the French finance min
lister and his associates, who are
starting for the United States Sep
TENDER is are not hopeful OF COM
ing to an agreement for the pay
ment OF Frances $4,000, 900, 900 debt
on their first trip, but regard 1t as
preliminary 70 later negotiations.
The first debt commission which
France sent to Washington blew
up and retired when the American
negotiators began to insist upon
the discussion of concrete terms.
and it is the determination of the
Administration not to have 1t
happen again. Secretary Mellon
and other members of the Ameri-
can debt commission feel that Gail
fully empowered to enter into a
funding agreement and they will
exert every effort to see that he
does it.
Believes Time Ripe
Not only does the debt commits
sion believe that the time is ripe
for coming to a final understand
ing with France, but it's program
contemplates the completion OF a
debt agreement with France before
Congress convenes in December.
Members of the commission realize
that failure to conclude negotia-
tions with M. Caillaux IN Sep
tember' probably will mean that a
debt agreement with France will
be impossible before Congress meets
and they want to escape any pos
sfble criticism for their failure TO
accomplish final adjustment of the
biggest remaining European debt.
There is no disposition, however,
to minimize the difficulties con-
fronting the Government in coming
to settlement with France, es-
pecially in view of the new OBJ
stacle raised in the form of the
Caillaux- Churchill debt agreement
between France and England On
the basis of this agreement, Treas
ury experts figure that CaillauX
does not intend to offer more than
$75 .000,0 a year over period OF
sixty-two years to liquidate the
French debt, This amount is re-
2arded here as woefully insult
ficient. the American Debt Com
mission not being prepared to ac-
cept any annual payment of less
than 500, 900, which is regard.
ed as less than the sum which
France would be able to pay.
Pleased BY Italian Action
Treasury officials We're gratffied
by the, announcement that Giacomo
de MARITIME, the Italian ambassador,
would return to Washington short.
ly from Rome, authorized, it was
expected, to reopen negotiations
for the funding of the Italian debt.
These negotiations were broken
off several weeks ago when 1t
developed that the Italian repres-
entatives had not been empowered
by the Mussolini government to
talk concrete terms or to sign a
debt agreement.
While concerning itself in a large
measure to the problems presented
BY the French and italian debt, the
Debt Commission is not losing sight
Of the smaller obligations of other
European nations and is endeavor-
ing to negotiate agreements with
Czechoslovakia, Latvia and Greece
in a drive to getrall the outstanding
debts on a substantial basis before
tho on6 of Novopohor