Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-07-15
GERMANy'S BANKS
TO MEET PAY ROLLS
Reparations Payments Due
Today at Basel Not Ex-
pected to Be Made.
CONTINUED from First Pase1

Two possibilities OF Jranscending I'm
portance for the pacifcation OF Europe
ioomed on the political horizon TO-DAY
One was that on q signal from
Arthur Henderson. British foreign sec
rotary, who Is in Paris, Chancellor
Bruentns might depart hurTiedly 10Y
Paris for q heart-to.heart talk with
Premier Laval and possibly even for
four-cornered conference between Sec
retary StimSon, Laval, Henderson and
himself.
The other was that Prime Minister
Macdonald Of Great Britain and Cham
cellor Bruening might start from Ber-
lin Immediately after their conference
in an attempt to bring about Franco
German understanding, which was con-
sidered indispensable for restoring
peace In Europe.
The chancellor absolutely meant 1t
when, in his radio address OF June %,
he pleaded for q Franco-German rap
prochement, and he is more than willing
to meet Premier Laval on every reason
able basis" a spokesman said.
Can't Make Forecast.
Such a meeting. however, must not
be a humiliation for hint must be a
meeting Of equals do not think this
meeting likely before Prime Minister
Macdonald and Secretary Henderson
visit us. but in these days no forecast
can be made. Mr.. Henderson's visit to
Paris may develop a situation whereby
Chancellor Bruening will feel 1T his
duty to depart quite suddenly,
German Official circles believed they
az an inclination in Paris to forget
about political conditions regarding
credits, and rather to welcome con-
ference Of peers with no advance string
attached The Wilhelmstrasse has let
Paris. as we'll as other important CAPT.
tails, such as London and Washington
know that the present government can
fully command the situation, providing
nothing is done to undermine its pres
ent unquestioned authority.
The working class Is least affected
bv the bank holiday. credit restrictions
and regulations TO be promulgated
against the boarding Of foreign eX-
change said foreign ofice Spokes-
man. Wages and salaries will be paid,
as will also doles and benefits, so that
neither the police nor the ministry OF
the interior nor opposition movements
see any signs of an alarming Com
munist trouble.
Hitler Looks TO France.
ITO conduct a general strike you
need money, and the funds Of the labor
movement are invested In banks just
like the funds of other organizations
There may be minor clashes and riots,
but we have had plenty Of them before
this and they are never an occasion for
worry"
SO far az the Hitlerites are concerned
the oficial feeling is that Adolf Hitler's
{c Hh.N N
NAV give him an opportunity which the
domestic situation fails to give. At the
same time government circles admitted
that they consider the National Social
ist danger greater Rt the moment than
the Communists.
The Hitlerites are better paid and
have more arms, but the ReichS|ehr---
the federal defense arniy-and the pc
lice are depsn6ably nntt-NaZl,' a gov
eminent spokesman said.
Discard "Rentenmark"
In the meantime the cabinet debat-
ing ways Of meeting the situation with
out initiating the currency, definitely
discarded q plan to put the domestic
"rentenmark" back into circulation.
This is the unit of currency. based
on agriculture and industry instead
of gold, which was issued aIter the
mark was stabilized in 1928
It is domestic tender only, and 1t IS
understood the project was discarded
because Of objections not only at nome
but also by bankers abroad.
The project now looked upon with
greatest favor is for reduction OF the
Reichsbank gold coverage from 40 per
cent TO 80 An increase from per
cent TO 10 In the discount rate was
ordered today by the Reiehsbank
Consider Money Car"
Bv, this double measure. 1t is esti-
mated 400 600 900 Reichsma.ks would
become available for circulation, total
large enough TO cover the midnonth
paw roll, which falls due tomorrow.
APPOINTMENT Of money car" with
extraordinary powers over the buying
and selling of foreign currencieS was
likely TO be considered by the cabinet
today Hjalinar Schacht, former presi-
dent Of the Reichsbank, exercised such
authority during the denation period OF
1923
The cabinet issued another emergency
decree last night providing in enect
that a draft falling due during the bank
holiday cannot be collected until one
week after the institutions open. II
stipulated that the present holiday
should have the same legal status as
normal holidays and that the period OF
grace should not end until q week had
elapsed.
The cabinets important session fell
on a day which previously was set for
a nation wide demonstration OF the job
less against the recent reduction in the
unemployment dole In the interests OF
public safety the police have forbidden
such . manifestation in Berlin, and
blanket orders have been issued against
it In most cities OF the Reich.
Forces Kept Ready.
Nevertheless. strong forces OF uni
formed men we're being held in readi-
ness to qucll incipient disorders A
forewarning OF trouble was seen in Q
riot yesterday AZ Dortmund where
thousands OF ton.ess stermed the COM
nunity welfare headquarters and had
to be beaten OF with police batons
The government IS well aware that
the discomfort Of the jobieSS as well as
the genera! tension since the collapse
Of the Darmstaedt urd National Bank
have created q tempting situation for
radical elements Of the extreme left and
right and is prepared resolutely and In
stantly 70 resort TO any measures nee
eSsary TO preserve internal peacs-even
TO the extent OF martial Law.
However, the facs that the Iron
Chancellor" Is preps-ed 10 take ex-
treme action II need be is not believed
10 mean that he actually expects 70
have TO for Germany IL nervous and
gloomy but with all quiet
PAYMENTS CALLED OFF.
G~vranxix Refund N n T. G. n Re