Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-05-22
DR.. SCHACHT GIVEN
VIEWS OF ALLIES
Modified Draft Report, Agreed
on by Creditor Nations,
May Be Rejected.

BY the Associated Press.
PARIS, MAY pa modified draft
report agreed upon by the reparations
experts of the allied nations and a
covering letter making clear the allies
views we're transmitted to DR.. Hjalmar
Schacht, chief of the German delega-
ton, this afternoon.
Chief interest in reparation circles
centered on whether the creditor ra-
tons draft report made any changes
in the total of annuities to be paid by
Germany in addition to the reservations
made on several of the German condi-
tons to acceptance of the figures pro-
posed by Owen D. Young.
Dawes Proposal Rejection Seen.
From all information available, It APP
peared likely that the Germans would
reject the report If there were any such
changes
A talked-of scheme to prolong the
life of the Dawes plan after August FL.
when the fifth annuity year ends. also
would be rejected by DR.. Schacht If in
cluded in the modified report, in the
opinion of responsible circles.
With receipt of the draft report set
ting forth the views of the creditor
experts, the next move again is up to
the Germans, who had been waiting
for more than a week for the allied
delegates to act.
Germans to Study Situation.
The Germans probably will take a
day or two to study the new situation,
although they have been kept informed
In a general way of the progress of
negotiations among the creditor experts.
The creditors. in order to find means
OF satisfying Belgium and other smaller
claimants, hit upon the expedient OF
applying parts of the reparation receipts
under the Dawes plan to the new
reparations annuities under the plan
proposed by Mr.. Young.
1t is understood they assume the
Germans will pay under the Dawes
plan until the end of the year. BY
applying the surplus over the Young
annuitieS 20 the new repartition among
the creditors. they were able to find the
sums lacking to satisfy every one.
The Germans contend, however that
the Young plan should be considered
as applying to all the rest of the year
from April and say that they will
not accept any proposal that would IN
volve any other system which they feel
disadvantageous.
Experts Believe End Near.
The experts believed today the end
of their labors was in sight. Most
thought the conference could be adj
tourned with something like success
after another weeks work.
An ingenious system of bookkeeping,
into which the earnings of the proposed
International Bank Of Settlement would
enter. would enable all of the creditor
nations to squeeze their claims into the
annuities of 2.0500o0,o00 marks pro-
posed by Mr.. Young.
Added Claim Is Reported.
Petit Parisien today said, however,
DR.. Schacht would be asked by the
allies jointly to add to the annuity of
1850 100000 marks another average
annuity of 25 100000 marks to liquidate
Belgium's claim for a forced issue Of
paper marks in that country during
the German occupation Belgium, it was
understood here. has insisted settle
ment of this claim be included in what
ever accord is reached by the experts.
Two German conditions which the
creditor nation delegates were believed
today to have rejected or altered were
demands for possible morotarium on
transfers and payments and for right
to demand another conference when
and If Germany's financial condition
makes the present terms overburden-
some.