The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-11-28
BRITAIN MAY WIN DEBT relief
BY DODGING EUROPE'S UNITED
'FRONT.' US. OFFICIALS hint.
Legislators at Washington
Frankly Favorable to
England'S Plea.
PLIGHT is RECOGNIZED
Frances Bid for Aid Is Not
Regarded Seriously in
Capital Circles.
BY WILLIAM PHILIP SIMMS
Scrirps- Howard Foreign Editor

BY WILLIAM PHILIP SINIMS
scrirps- Howard Foreign Editor
WASHINGTON, Nov. 28.-
There is every reason to be-
lieve that Great Britain will
be accorded a sympathetic
reception at the hands of con-
gress-provided she comes
alone, and presents a clear
case for war debts revision
based on her own incapacity
to pay.
On the other hand, there still is
more reason to believe that if Great
Britain either heads, or Joins, a
European cancellation coalition, and
helps form a united front" against
this country, her reception will be
quite the contrary She must ex-
pect the treatment accorded Old
Dog Tray.
Widespread sympathy has been
found for Britain among officials
here, on Capitol hill and elsewhere.
Those admitting it do not always
wear it on their sleeves, neverthe-
less it is there.
1t is recognized that Britain
signed the most onerous of all the
funding agreements, and that she
was the first major power to do so.
She was treated with less leniency
than the rest because her capacity
to pay at the time was rated higher.
Tables Have Turned
Since 1923, however, when the
funding agreement was signed, Eng
land steadily has been slipping. The
tables have turned. Her capacity
to pay has shrunk while that of
France and some of the others has
risen.
British unemployment has in
creased. Trade has fallen off. Ex-
ports have declined. Prices have
gone to record lows. Shipping has
decreased. Services which Britain
performed for the world are no
longer required. ----
She has been forced off the gold
standard. The pound sterling, or
dinarily worth $485, now is around
1920, with tendency to go lower.
Obviously BritainS difficulties are
enormous. Payment of even the
Dec Is installment of sos, 100000
entails genuine sacrifice.
Most Prosperous in World
The case of France, the other
chief European debtor, is altogether
different. She was among the very
last to agree to refund her war debt,
and was the last big country to
ratify the agreement.
Whereas Britain was asked to nav
30 cents on the dollar, France was
let off for SO cents, her capacity to
pay then being rated considerably
below Britain's.
But, for her, too, the tables have
turned. Today she is the most pros
porous country in the world and the
most powerful in Europe.
France now has about as much
gold as the United States-one-third
OF the total world supply. On-a per
capita basis, she has three times as
much gold as this country.
"A large part of this gold. il is re-
marked here, was obtained bv a
policy which all but wrecked Austria
ana Germany, and which helped
drive Britain from the gold stand
ard.
Plea Brings Smiles
II also is widely believed here that
Frances drive of last winter ard
spring was with the intent to force
the United States off gold as well
frances bid to be relieved of her
Dec. 10 installment, amounting In \
mere S19,OO0,000, under the circun-
stances, is not considered seriously
here.
AS she Withdrew from this conn
try, during the last year. more than.
twenty times that much gold. She
would not experience even a slight
inconvenience if she returned so
small an amount.
A not inconsiderable part of the
French debt to this country was for.
war stocks sold her after the
Armistice. These stocks were worth
more than $4,000, 900, 900, but were
let go for trif1e more than $500
100000. When the total debt was
refunded at so cents en- the dollar
this item benefited along with the
rest.
Must Play Lone Hand
Yet, it since has been learned
France disposed of a larger part of
these stocks to Poland, Rumania and
her other allies for considerably
more than the whole lot cost her.
And this money. it is said, she coll
lected long ago, and has been using.
Britain's position, therefore, it is
admitted, is far less happy than that
Of France, to mention only one
other debtor nation.
If She approaches this country in
dividually and asks for revision on
the merits of her own case. it is said
she almost certainly viii get some
where.
If she forms united front" with
the others, however, she greatly will
prejudice her chances.