Evening star., 1925-02-15
FRANCE ALARMED
BY FALL OF FRANC
Herriot Appeals to Country
men to Avert Disaster.
Against Capital Levy.
BY the Associated Press.

By the Associated Press.
PARIS. February 14.-The shadow
of the fall Of the franc across the
darkening financial horizon of France
hung heavily over the budget debate
In the Chamber of Deputies today
M. Vfolette, reporter for the finan-
cial commission OF the chamber
Finance Minister Clementel and Pre-
mier Herriot, however, all spoke
words Of optimism in an effort to
dispel the fast gathering clouds, and
the figures of the unprecedented
amount of 34,20O.o0O.0 900 francs which
must be found to balance the 1925
budget, also were eloquent.
The chamber was stirred when
Premier Herriot said: 81 appeal once
more to the sacred union of all
Frenchmen. regardless of party pol
itics. for the defense Of our nation
al currency"
Says Limit Ii Reached.
In introducing the finance bill, as
the revenue side Of the budget is
called, Deputy Violette served notice
that $4,000. 100000 francs-an increase
of nearly $500. 600, 900 francs over
last years expenditures-was the ex-
treme limit the country could stand.
AS a matter OF fact. he said, instead
OF applying new taxes, Parliament
must decrease. the taxpayers burden.
and great consolidation loan must
be floated.
Under no circumstances" the re-
porter declared. must France look
to imitation as a remedy"
The exodus of capital abroad was
given by NJ. Violette as the cause of
the lack of confidence crisis" and
the consequent depreciation of the
franc.
"Frenchmen who send their capital
abroad" he asserted emphatically,
ARE guilty of theft toward those
countrymen who maintain theirs in
France OF have nothing to send
away. The exodus of capital must
be stopped at all costs"
Against Capital Levy.
Asking the government to pledge
Itself not to resort to imitation, he
continued: The entire world must
know that France Is unwilling to re-
sort to imitation or a capital levy
We must all work for the, redemption
OF the franc on 'the foreign exchange
market
NJ. Clementel explained that for the
past six months the franc. as regards
the dollar. had not changed. He said
1t must be considered that sterling
had nfarly resumed its par value, and
thus the franc had been unfavorably
impressed, but that so far as the
dollar was concerned, it had held it's
own.
NJ Bokanowski, budget reporter
under the Poincare government, in
terjected that If the 1925 budget were
balanced, 1t would be due to the
efforts of the former government in
pushing through additional taxation
amounting to six billion francs.
Appeals to Patriotism,
The remarks of Premier Herriot
took the formaof an appeal
Nothing must be said here" he
urged, which might increase the
grave financial difficulties the coun-
try Is encountering. 1t is bad policy
that the country is suffering from a
lack of confidence crisis. AT the
present hour, when the fate of the
country is at stake, our debate here
must remain above party politics.
Our financial policy has been safe
and sane. 1 ask YOU all to join. me
in a patriotic appeal which I address
to all Frenchmen to save the franc"
The sum of one and a quarter bill
lion francs as proceeds from the
Dawes plan was mentioned in the
estimated revenue column of the
budget, the balance of which must be
raised in taxes. Out of $4,000, 600, ,000
francs expenditures, 1850, 900. .000
francs is interest on the French
public debt, exclusive of war debts
nearly 5000. 900, 900 are for the upkeer
of the army and navy. while the
actual cost of running the, country
| amounts to only about 5000, 100000
francs.