Evening star., 1932-01-09
Bruening Informs AmbaSSa-
dor Reich Unable to Meet
Reparations Obligations for
Indefinite Period.
ANNOUNCEMENT PLANNED
AT PARLEY AT LAUSANNE
Berlin Delegation to Contend That
Economic Recovery for World
Impossible Under Present Policy
of Payments to Allied Govern
ments.

ny the Associated Press.
BERLIN, January 9.-Chancel-
lor Bruening has informed Great
Britain that when the Lausanne
ReparationS Conference conveneS
Germany will tell the world that
her ability to pay reparations Is
at an end.
He told Sir Horace Rumbold,
the British Ambassador, that not
only for the present, but for an
indefinite time to come, Germany
will be unable to pay.
The German delegation to the
Lausanne meeting also will argue,
he said, that so long as the pres
ent reparationS policy continues,
economic recovery for Germany
and the world will be impossible.
This notification was given yester-
day, but the foreign office announced
it only this afternoon after reports had
come from other European capitals that
DIR. Bruening had said Germany would
refuse to accept anything at Lausanne
except complete cancellation OF repa-
xations.
"It would have been sheer madness
for the chancellor to lay down any such
ultimatum," said the foreign ONCE
spokesman. IF he had, there would
be no purpose in going to Lausanne,
Talked Over Situation.
what happened" said the spokes-
man, was that the chancellor and the
British Ambassador had frank talk
on the whole international situation, IN
the course Of which the Lausanne meet
ing was discussed
THE chancellor took occasion to lay
Germany's well known viewpoint before
the Ambassador once more-that obvi-
ously Germany, now and for an indefi-
mite time in the future, is unable to pay
reparations, and that the world would
be better off If it put an end TO the
entire reparations policy"
From a semi-offcial source 1t was
learned that the chancellor sought to
convince the British Ambassador that
reparations are ruinous to the worlds
economy, and that their continuance
would prevent the worlds recovery from
tts economic depression. Germanys S
emergence from the economic slump
also depends upon abrogation OF the
reparations policy by her creditors, he
contended.
While reiterating this German view
point, the chancellor was careful to
avoid anything which might prejudice
the Lausanne meeting, it was said.
On Verge of Collapse.
In authoritative circles it was asserted
that the borrowed money with which
Germany hitherto has paid reparations
has become dead" and cannot be used
for productive purposes.
AS a result, Germany's economic
structure is on the verge of collapse,
which will be unavoidable if an
attempt is made to maintain the
present reparation policy.
If Germany is relieved of reparations,
1t was said, she will be able to pay her
private debts in due course, but she
cannot possibly pay these and repara-
tions, too.
After he had talked with the British
Ambassador, Chancellor Bruening re-
ceived the German Ambassadors to
England, France and Italy, who had
been summoned TO Berlin to confer with
him on the reparations problem.
They are now on the way back to
their posts, fully enlightened as to the
German governments attitude and
ready to eXpcund it TO the foreign min
listers OF the countries to which they
are accredited.
WEEKS DELAY ASKED.