Evening star., 1932-12-02
DEBT NOTES MEET
! QUICK OPPOSITION
Congress Leaders Protest
! Pleas for Stay-Cabinet
| Weighs Paris Appeal.
tContinued From First Page.)


the plan suggested" said Smoot, "sht
mas a perfect right to do it, but in my
opinion she will be the sufferer insteac
of the United States"
plea Of a Special Pleader."
Senator Harrison said the British
note "is the plea of a special pleader that
presents every conceivable possibility Of
disaster and naturally exaggerates those
possibilities
Every suggestion and alleged fact OIL
prediction made in the note" the Mis-
sissippian added, has been repeatedly
made to us in other forms and through
other channels.
1T is inconceivable that the states
manship of Great Britain would permit
those things to be done if in their pow
er to prevent it. Such measures would
give greater shock to their economic
and financial structures and carry the
depression to a fuller point than ever
they have heretofore experienced.
I'm this controversy at this time
threats of stringent regulations of ex-
change or increased retaliatory meas
ures will not affect the sober Judgment
and convictions of the American people
against cancellation or postponsment.
Regarding the British statement that
trade between the two countries has
dwindled greatly already, since adoption
of the 1880 American tariff, Senator
Smoot said:
when importation into the United
States compared with the trade of the
world is taken into consideration it Is
just as great in quantity as it was be-
fore the passage of the American tariff
law"
:, Hawley Demands Payment.
Representative Hawley of Oregon,
ranking Republican on the House Ways
and Means Committee, said:
80 far as the British note is con-
cerned. am still of the opinion that
all the nations ought to pay us on the
day the payment is due
"I see no reason for reduction or
cancellation or a moratorium" said
Representative McReynolds. Democrat.
of Tennessee, scheduled to be chairman
of the Foreign Affairs Committee.
"The debtor nations should go on
and pay what they owe. The case OF
each individual nation should be taken
up separately through regular diplo-
matte channels and We might be able
to work out solution that would in
voIve trade benefits for us all"
Representative Cochran Of Missouri,
chairman Of the House Expenditures
Committee, said:
It am still in favcr of collection by
this country of the debts legitimately
Que U.S."
Representative Rainey of Illinois, the
Democratic leader, said:
"The British note amounts to this:
Let us have some more discussion lead
ing toward further reduction and
extenzicn Of payments
ut Is impossible. Only Congress
can grant such an extension and Con-
gress won't do it. There isn't a member
who isn't pledged to his constituents
against further reduction.
There Is nothing for Europe to do
but pay or default, and I think every
enc viii pay"
Golfers View.
Chairman Collier of the House Ways
and Means Committee:
Il haven't changed my position
against reduction. The more you put it
of, the harder it will be to collect. In
It's final analysis it is still a question
Of paying or defaulting.
"I can't conceive of a great country
like Great Britain not paying"
Other comment was:
Representative McFadden of Penn
syivania, ranking Republican on the
House Banking Committee:
There is nothing in the note that
was not known heretofore. The note
does not change the situation"
Representative Bankhead of Alabama,
one of the House Democratic leaders
Il am not in favor of suspension
Of the December is payments.
However, I do not wish to go on
record as irrevocably opposed to any
adjustment which might be to our ad-
vantage, and to that of other nations
rs we'll in the future. I also want
to learn more definitely the attitude
Of Gov. Roosevelt and to support his
debt views, if they do not go against
my convictions"
Ambassador Claudel followed the
same procedure employed by Sir Ronald
Lindsay, the British Ambassador, yes
terday, in taking his government note
TO the American Secretary of State at
his residence. Its delivery was not
made known until this morning.
Next Move Up to Hoover.
Mr.. Hoover, who now must make
the next move in the debt situation
conferred with Secretaries Stimson and
Mills on the British note yesterday, but
he gave no sign of changing the Amer
ican advice that Europe pay up.
When the first London rote was re-
ceived a fortnight ago the President
called in congressional chieftains, but
there was no word today that he woulc
do SO in this instance.
The American answer to that frs
communication-as we'll as similal
notes from France, Belgium and sew
eral smaller countrieS-Said the meet.
ing of the December installment o.
S95, 100000 would create better atmos.
phere for reconsideration and thai
President Hoover would propose to Con.
gress the establishment of an agency
to make such study.
A discussion of the entire debt prob
lem was urged in the latest appeal a.
likely ito bear fruitful issue for reviva
of world prosperity" that the British
government was convinced that tht
prospects of success would be material!
improved by postponement of the De
cember installmentS" and that 1t Il
prepared to consider with the Govern
ment of the United States any man.
ner in which that postponement nigh
be most conveniently arranged"
Despite the outward adamant atti
tude of congressional leaders to eithe
postponement or creation Of nev
Debt Commission, some chieftains OF
Capitol Hill have shown an interest Il
hear the British reasons for relief, ant
there is a feeling that the British case
If not that of all other debtor nations
might still be considered.
The British message did not sa,
Great Britain would default. 1t di'
recite in lengthy detail the argumen
against resumption of payments afte
the conclusion of the one-year mora
torfum and rejected Mr.. Hoover's sug
gestionS for payments in sterling.
Payment in Gold"
THE only remaining alternativ
would be payment in gold.' said tn
note. Such a method of paymen
would involve the sacrifice of consid
Ia Nawt zF IL = - l.