Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-01-06
GERMAN WAR DEBT
VIEW INDEPENDENT
Nation Approaching Farley Of
Experts With Air of
Confidence.
BY JOHN ELLIOTT.
ny Radio to The Star.

BY JOHN ELLIOTT.
~ Radio to The Star
BERLIN, January Germany is ap-
preaching the conference of experts
on reparationS in state of mind far
different from that with which she
awaited the decision of the Dawes COM
mittee four years ago. At that time
this country was reduced to poverty and
distress through food Of paper money.
and torn by revolts of Communists and
Fascists at home. Germany then
. looked despairingly to the deliberations
Of the committee of experts at Paris
to save her from what seemed financial
and economic ruin.
Today. having attained degree Of
prosperity, to which S. Parker Gilbert
has abundantly testified in his latest
report, Germany is prepared to enter
the conference with an air of confidence
and in a spirit of independence. If the
experts at the next conference should
take the unlikely step of affiXing this
country'S reparations and liability at
the astronomical figure of 132,000,00O,-
600 marks, as the Allies did at London
in 1921, the German government GER
tainly would reject the proposed solu-
ton.
Stand With StreSemann.
Germany stands on the principle
enunciated by Foreign Minister StreSe-
mann in his speech IN the ReichStag on
November 10, when he said.
1T will be possible to talk Of real
solution of the reparation problem only
R1,n IN 20
pacity of Germany and enables her TO
fulfill her obligations steadily by her
own economic efforts and without en-
Siangering the nations standard OF
living"
II must not be forgotten that Ger
many now enjoys the protection of the
Dawes plan and lives under the kindly
aegis Of the so-called transfer clause,
whereby the reparation agent is in
structed not to convert this countrys
reparation payments into foreign cur
rencies if such a process is deemed
likely to impair the country'S currency
stability.
Now Germany never will agree, as
DR.. StreSemann pointed out, to lose
this protection and permit her liabilities
to be transformed from state debt to
q private commercial obligation unless
she is convinced that the proposed
Total OF TPDdEdJIUIlS anu t1dNAlAIACo 10
we'll within her capacity to pay.
Burden to Be Avoided.
Rather than to assume burden
which she is convinced she cannot pay,
Germany will continue to work under
the present system. even with the dis
advantage of an uncertain reparation
total.
Indeed, a number of distinguished
Nation lictS
but convinced adherentS OF the Locarno
policy, like Theodor Wolff, editor Of the
Rerliner Tageblatt-argue that Ger
many would do better to hold aloof en-
tirely from the conference of experts,
which they are convinced Is doomed to
fail from the beginning. At the very
worst. these observers declare, Ger
rnanys reparation payments must cease
hy 1851, for the treaty OF Versailles
STIMULATES that Germany's entire obll-
cations shall be discharged within the
period OF 80 years from May l, 1921.
An indication of this country's pres
er1t independence of mind and her de-
termination not to submit to mytho-
logical agreements, such as the one i'm
p0sed on her by force at London nearly
eight years ago, Is clearly given by DR..
Stresemann IN his speech referred 10
above.
"Tlle liberty of decision with regard
to the proposition of the experts opVl-
o1,slv remains permitted to the govern
nents," he said "for the decision over
the final regulation of the question,
which will for long time continue TO
determine the economic developments
of the countries concerned, can only pc
taken bv the responsible governments
themselves" Dr. Stresenanns policy
Of keeping open "Germanys line OF re-
treat" meets the approval OF practlcaliy
all politicians and business men In tnls
country.
Bankers Back Him.
For instance. this was the consen-
gus at the German bankers congress
held in Cologne last September, at
which the main subject OF discussion
was reparations. Louis Hagen, prom
inent Cologne banker, declared at that
time that Mr. Gilberts proposal tnat
Germany should assume responsibility
for transfer was worth discussing, OUT
only on condition of limitation OF ner
obligations such as Germany could con-
slider fair and Supportative in all cir
.cumstanceS, and not only under parClc-
ularly favorable circumstances.
Great as was Germany's interest In
a sensible settlement of the reparatlon
problem, Herr Hagen argued, there was
no reason for the precipitate accept
ance of any terms which the allies
might propose Hans FuerStenberg OF
the Berliner Handelsgesellschaft also
argued that Germany should not press
for hasty settlement if it was not favor
able to her.
Foreign observers notice striking
difference between the Dawes commit
tee and the body of experts summoned
TO meet at Geneva in September. Ger
many was not. represented on the
Dawes committee, though DR.. Hjalmar
Schacht, president of the Reichsbank.
who was called before it, contributed
some important ideas to the final plan.
But the next committee on reparations
is called by Germany herself and this
country will be one of six powers repre-
scented thereon.
Furthermore, Germany has carried
through her demand that her represent
atives should sit as equals with the
delegates of other powers. and that the
experts should be unfettered by in
structions from their home govern
mentS.
Copyright, 1929