Evening star., 1925-04-07

Continued from First Page.)
cording to his means or constraint."
was the way NJ. de Monzie put It. IF
the French capitalists understand sthe
system and patriotically respond to the
call OF the government 1T will work
| without the slightest annoyance or in
reference in private affairs. On the
contrary. If they make constraint
necessary il will be resorted to-"
Declarations for the income tax
will be taken as basis for obliga
| tory subscriptions to the forced loan
in cases where the capitalists fail
to come forward voluntarily. Sub
seuuently these declarations viii lie
verified il there are reasons TO sus-
pect their exsctttude.
Contributions to the forced loan
may he spread over period of f:e
years and the contributors will re-
ceive per cent perpetual rentes.
Hopes Force Not needed.
The principles at the bottom Of
the whole scheme" said NJ. de Monte.
are the maximum of option on the
part OF capitalists and a minimum of
constrsint. If capitalist so desires
| he can, previous to his subscription
make declaration of his fortune
which will make any Intervention on
! tain his wealth unnecessary" The
minister made 1t understood that
| pressure would be resorted to only
| in fiagrant cases OF lodging by a
| capitalist of his obligations under
| the new law.
Although the government has
agreed on the measure and on the
plan TO raise the limit of the bank
| bill issue by the Bank Of France
| n
| ing the limit OF the advances by til.
hank to the state by 1000. 900. 900
| fracs. its majority in the Chamber
/ is divided. Most of the radical left
group. presided over by NJ. Loucheur.
| will fight both measures. NJ. Loucheur
| announced this morning.
! The Socialists will ask for consid-
era tion of a Incorporation. pro-
viding for a straight capital levy Of
/ 10 per cent
The Bank of France it was said
| in official circles today. has already
Exceeded the legal limit of its circu-
lation by more than 100000 900
francs, SO that il became imperative
! to regularize the situation by in
| creasing this limit by the law for
| regulating the financial position of
/ the country. which the government
proposed to Parliament this afternoon.
The weekly statement of the Bank
/ of France last Thursday showed
circulation of 100000 francs under
the limit of $1,000. 00o. 900 francs, but
| the portfeuiie tbils and accept
sncesl showed sudden Increase Of
over 1000. .00o. 600 francs, and il is de-
clared this, with other accounts. was
used TO mask the situation.
| @Exactly what are the banks ad-
vances to the state is not said. They
were given last week as 100000. 900
francs under the limit of %, 900. .0oo.-
900 francs. which the government
now proposes shall be raised by
| 1000. 100000 francs.
/ Bank Governor Concerned.
! The situation has given Gov.
| Robinesu OF the Bank of France
| and the bank regents the gravest
concern.
! Although there is no official state
ment on the subject, the continental
/ edition OF i. the Daily Mail of London
/ said today that NJ. Robineau and the
! regents have ~informed the govern
/ ment that they WIZ refuse te- sign
this weeks state Hnent unless the truth
I is told to the country.
Confused" and Uncertain were
| the words used TO describe the POLITICAL
| financial situation in France today.
| Political observers. however, are con-
mier Herriot is doomed TO disappear,
| but when and how they hesitate to say.
NJ. Herriott still seems to retain
certain amount of confidence. Shortly
after midnight. after conference
with the leader of his majority
groups. he said: There is no reason
to exaggerate the difficulties of the
hour. The storm burst simply be-
cause man displayed resolution
to settle the situation without re-
| gard to the interests with which he
might come into conflict. You know
what the remedies are. We are still
hesitating between perpetual loan
and a lottery loan at low interest.
Being extremely anxious to spare the
| state finances. !, am firm partisan OF
the latter form of loan.
Changes Vatican Policy.
The government measures, says a
semi official communication issued
this morning. were completed by NJ
| de Monzie after an all-night session
| with his experts, except for single
detail-whether the capital levy
should bear 31a or per cent in
| terest.
To please some of his supporters
Premier Herriot has again modified
his views on the Vatican embassy.
He agreed last night that the role of
| the French representative a the vat
| ican should be limited to the religions
questions for which France assumed
respon sibility under the Versailles
treaty and which concern Aisace-
Lorraine. Togoland and CAMERON
| The charge would have no authority
to enter into conversation with the
HOLY See regarding French interna-
| tional affairs.
| This change is likely to furnish ma
I terial for lively debate in the Senate
/, Altogether the sitting tomorrow
! ought to be of first importance, for
| NJ Poincare, by arrangement5with M.
Herriot, is expected to make a speech
on Frances foreign policy which he
has been preparing for sons tfpe. 1t
! ia understood that he viii oppose very