The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1933-07-03
CREATES SENSATION
BY DIRECT MESSAGE
TO LONDON FARLEY
Pointed Sentences, Aimed At
France, Assert Money
War Is Excuse
DEMANDS BUDGET BALANCE
Indicates U. S. Not Interested IN
Keeping Europe on Gold
Standard
DEMANDS BUDGET BALANCE

London, July 3-P)-President
Roosevelt exploded bombshell at tho
world economic conference Monday
With strong and uncompromising
statement, not only rejecting the
French and other gold country over
lures for temporary currency stabili-
cation most emphatically but sharply
criticising what he described as an at
tempt to divert the conference from
its broad detectives.
The direct expression, couched in
forceful language, created a sensation
at the conference.
1t was interpreted as the death
knel OF efforts Of gold standard coun-
tries to obtain American support for
their monetary position with the
threat OF withdrawing from the par
ley.
PRESIDENT RooSevelt's dramatic re-
fusal to have anything to do with sup
porting the old-fashioned gold stand
ard resulted in the European gold
bloc's taking definite steps to make
good Its threat to desert the parley
unless it sailed under flag Of gold.
In gold bloc quarters it was stated
that some delegations at least expect
ed immediate orders from their gov
ernments to return home, leaving only
a few minor secretaries at London.
Should the entire gold group, con-
sisting Of France. Belgium, Holland,
Italy and Switzerland, abandon the
conference it would virtually be par
alyzed
Mcdonald Calls Meeting
Premier Ramsay Macdonald, as
president Of the conference, decided
after 2 meeting Of British authorities
with representatives Of tho gold bloc.
to summon q meeting Of tho bureau
Tuesday to determine tho future Of
the parley.
The bureau, or steering Committees
Of the conference, Is composed OF II
chief delegates Of tho major stato&
including Cordeu Hull, American -
rotary Of state.
From the highest British auastnr1
came the statement there was nd
question Of the conference having
collapsed.
The British are determined that the
assemblage shall finish its work. but
it was admitted the conference may
nave to hurry and that short cuts
may have to be taken.
All parties agreed that as q result
OF the American presidents state
ment the whole idea Of immediate
Sterilization Of currencies must be
abandoned.
The British insisted, however, that
there still are many points wherein
agreement can be reached apart
from currency.
The first move on behalf Of the gold
countries was made through Switzer-
land.
Walter Stuck, chief Swiss deleRate.
asked TOR and obtained adjournment
until Thursday OF an important draft
ing committee Of the economic COM
mission on the ground that no further
work could be accomplished until gold
nloc delegations should receive fresh
instructions from their governments,
Is Entering Wedge
Well-informed persons close to the
representatives of gold countries said
this adjournment of committees was
merely the entering wedge and antici-
pated activities would not be resumed.
The Swiss delegation was under
stood to be expecting orders Monday
night or Tuesday from Berne direct
Ing 1t to return home, leaving only q
lew secretaries on the job.
Other members of the gold group
are contemplating similar move.
In the meantime, the American
delegation remained discreetly silent.
FEELING that the president had said all
hat was necessary in his statement.
There was some disposition In
American quarters to think that
France and other countries still on tho
gold standard were bluffing, but this
group grimly asserted it meant BUSH
ness.
The gold bloc countries, with tho
addition Of Poland, meeting Monday
framed declaration that
hey intend to maintain themselves
IN the gold standard "at the present
parity and within the framework of
existing monetary laws"
In pointed sentences, plainly aimed
It the French, the president decried
he use OF sterilization demands as
an excuse for continuance of basic
economic errors" underlying the de-
The chief executive pointedly OBJ
erved that when majority of ma
ions balance their budgets and live
within their means it will be time
nough to talk Of monetary reform.
The fate of the conference and the