Evening star., 1933-07-02
Monetary Plan
FrownedO by
President.
HULL TO STATE
VIEWS MONDAY
Britain Scouts Talk
of Breakdown in
Conference.
by G. vOSBURGH.

By the Associated Press.
LONDON, July 1.-President
Roosevelt tonight rejected In It's
present form the monetary pro-
posal which was drawn up with a
view to saving the World Economic
Conference from collapse.
The notice of the presidential
hisapproval for the plan which
had been communicated to him
by Raymond Moley, Assistant
Secretary of State, on behalf OF
Great Britain and members OF the
European gold bloc was made pub
aic by the American embassy,
whose spokesman said:
"The President has notified the
Secretary of State that he has re-
5ected the proposal in its present
form.
THE Secretary Of State will on
Monday morning make a state
ment celebrating upon American
policy as it applies to this sub
ject."
France and other European
countries still on the gold STAN
dard had threatened to quit the
conference unless some concerted
measure should be taken to halt
excited fluctuations Of the dollar.
The declaration, drawn up by lead
ers of the conference and Prof. Moley,
included a proposed agreement tnat
stability in the international monetary
field should be obtained as quickly as
practicable"
Meanwhile Dr. Hjalmar Schacht,
head of the Reichbank in Berlin, urged
by implication the formation OF a
united front by gold standard countries
against the United States and Great
Britain.
At American headquarters it was Of
fcially stated that although the Presi-
dent rejected the project 'in its present
FORM" the form would have to be very
different for him to accept 1t.
Exactly what portions are unaccept-
able to Mr.. Roosevelt were not specified.
The American Presidents decision
was Immediately communicated to rep
resentatives here of all governments
concerned, the British and those Of the
gold bloc, the latter having threatened
to quit the conference unless the for
mula was subscribed to by the United
States.
Text Of Proposal.
The text of the proposal cabled to
Tho Drocidapt and raioctPd nv him Was
as follows:
Declaration, in which nations on
the gold standard and those not on
that standard join.
ut is agreed that stability in the in
ternational monetary field should be OBJ
tained as quickly as practicable, and
the common interest of all concerned
is recognized;
THAT re-establishment of gold as
measure of international exchange value
should be accomplished with recogni-
ton that the time at which each of the
countries off gold could undertake sta
bilization and the time at which parity
is established must be determined by
the respective governments.
1T is reasserted by governments the
currencies of which are on the gold
standard that it is their intent to main
tain the free working of that standard
aL CuITeQC SOlQ pdTlClcS anu III COIl-
formity to their respective monetary
laws, believing that maintenance of ex-
isting gold PARTIES Is in the interest OF
world recovery.
Governments subscribing to this dec
iaration whose currencies are not on the
gold standard take note of the above
declaration and recognize its Importance
without in any way prejudicing their
own future ratios to gold, and reiterate
that the ultimate objective of their cur
rency policy is to bring back an inter-
national standard based on gold under
proper conditions.
Each government whose currency is
not on the gold standard agrees to adopt
such measures as it may deem most
effective to limit exchange speculations,
and other signatory governments un-
dertake cooperation to the same end.
Each of the governments signatory
hereto agrees to ask its central bank to
work together with the central banks
of othe- governments which sign this
declaration in limiting speculation and,
at the proper time, reinaugurating an
international gold standard"
Cordell Hull, Secretary Of State, went
to the country for the week end, and 1t
was said on his behalf that he would
answer no questions until Monday, when
Continued on Page 5, Column A.