Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-10-26
HOOVER AND LAVAL
SUCCESS IS SEEN
Series of important Agree
mentS Indicates Relief of
World Economies.


the fiat declaration Of the President
and the Prime Minister. IN discussing
their conversations. I'VE canvassed the
economic situation in the world, the
trends In international relations bear
ing upon It,"
The President and M Laval made
1t clear in their statement that the
initiative in bringing about some new
agreement regarding intersovernmental
debts should be taken soon and by the
European powers principally con-
cerned within the framework OF the
agreements existing prior to July /,
1881" Germany, because Of her pres
ent financial situation Is not expected
to be able to resume her reparationS
payments at the close Of the Hoover
moratorium next June. 1t will be up
to Germany and the other European
nations to take cognizance of this Sit
alton without further delay.
1t Is expected that the process OF
resurveying intergovernmental war
debts will be started soon by Germany's
exercising her right to apply for per-
mission to institute a moratorium on
her conditional reparations payments
1t does not appear that 1t is the plan
worked out by the President and the
French prime minister to seek a further
extension Of the Hoover moratorium.
Insists on Present Structure.
The head of the French government
continued to insist upon the retention
Of the present structure set up under
the Young plan. 1t is believed that
under the provisions of this Young plan
the Bank for international Settlements
will organize q committee for the pur-
pose Of examining GermanyS capacity
to pay. If this examination deter
mines the modification Of Germanys
capacity to pay as originally fixed, the
United States may be expected to set
in motion machinery to determine the
capacity to pay of the European nations
owing this country war debts.
Secretary Stimson said today the con-
verSations had fulfilled all his expec-
tationS.
One thing the conferences here be-
tween the President of the United
States and the French prime minister,
and between the prime minister and
Senator Borah, chairman Of the Foreign
Relations Committee, accomplished was
to throw into the discard the old theory
advanced In this country, but denied by
Europe, that there Is no connection be-
tween the payment of German repara-
tons and the payment of the war debts
owed this country by France, Great
Britain, italy and other European ma
tons.
During the conversations between the
President and M. Laval, it was made
clear that the United States intends to
keep aloof from the political side of
European problems. Adjustments of
these problems must be made In Europe
with the responsibility resting largely
upon France as the strongest nation In
Europe today. Emphasis was laid upon
the necessity Of the maintenance of the
gold standard, both in the CONVERSE
tons between the heads Of the two
governments and in the oficial state
ment issued by them last night.
Specifically, the communique listed
the subjects considered by Mr.. Hoover
and NJ Laval as follows:
The problems of the forthcoming con-
ference for limitation and the effect of
the depression on payments under in
tergovernmental debts: the sterilization
of international exchanges and other
financial and economic subjects.
cit has not been the purpose Of
either of us to engage in commitments
binding our governments, but rather,
through development of fact, to enable
each country to act more effectively in
its own field" the statement continued.
The accord reached by the President
and Premier Laval during their con-