The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1925-11-21

The Italian and American commits
sions in the recent debt settlement
declared that the basis of the settle
ment was an inventory of Italy's
ability to pay; that the industrial life
of Italy was at such a low ebb that
a 1870 cancellation on the total prin-
cipal and interest was necessary to
enable Italy to revive. The British
settlement was based upon 249o can
collation.. The United States proposed
to Caillaux, finance minister of Fance,
a settlement of the French debt upon
409o cancellation, but Caillaux in
sisted upon 6O% reduction.
Why these unequal settlements?
To understand the real motive be-
hind these settlement proposals we
must consider the political events of
Europe during the past few weeks.
When, a few days after the Locarno
conference, it became known that
Britain had agreed to grant Germany
a 208o share of Mosul oil, with the
understanding that Germany was to
enter the league and vote for 20
year extension of the British mandate
in Irak, the United States realized that
it had to take strenuous measures to
lefend its own interests in the Oil
egions of the Middle East. To resist
his new hold of the British Royal
Dutch Shell upon Mosul oil, the I'm
Ted States had to gain domination of
strong European debtor nations.
The new political situation in Eu-
'ope accounts for the exceedingly IL
beral terms granted to Italy. While
it was easy for Italy, after Locarno,
to obtain a cancellation Of three
fourths Of her debt to this country, it
is doubtful it Britain's debt we're
still unsettled whether she would now
get even the 2496 cancellation that
she got before Locarno.
Had the facts of Locarno been real
lied during the sessions with the
French mission at Washington it is
probable that the United States would
have granted her demand for 500
cancellation. Now that new negotia-
tions are to be opened, through
new mission, it is certain that strenu-
Gus efforts will be made to reach a
satisfactory agreement, for the reason
that France. must be saved as an
ally of the United States in its
struggle against, England. If France
loses its campaign to crush the Syri-
ans it means that the league mandate
for that country will go to England.
The control Of. Syria would tremen-
dously increase the hold of Britain
over the oil of Turkey and Persia, be-
cause Beirut, is the natural terminal
for a pipe line from the Mosul fields.
Thefspa~es Contradiction.
WHEN othe United States refused
w the French proposals the object
was to bankrupt France so that a
Dawes plan could be imposed upon
that country. Not, however, with the
collaboration of England, as was the
case Of the dawes plan in Germany,
but for the benefit of American bank
capital alofIes f-1a
Incidentally the. Dawes plan for
Germany does not signify harmon
ious relation between England and
the United States. Comrade John
Pepper, in, discussing Anglo-American
relations, wrote Of the Dawes plan in
the Communist. International to prove
that sterilization of capitalism was
noe the outstanding fact of the world
situation. He said:
at is very mechanical concep-
ton Of the Dawes plan to see CO.
operation only and forget to ana
lyze the conflict which is inevitably
brought about by the cooperation it.
self
what interest has America in
the Dawes plan? America wants to
export capital to Germany and has
already invested hundreds Of mil
lions Of dollars in Germany. Where?
In German industry. And what is
England's interest in the Dawes
plan? England's main interest in
the Dawes plan is to fetter Germa-
ny with annual payments and with
increased taxation, so that German
industry shall not be able to COM
pete with British industry by means
of low cost Of production and by
cutting prices"