Imperial Valley press. (El Centro, Calif.) 1907-current, 1933-06-22
STERILIZATION
TURNED DOWN
BY AMERICANS
United States Delegation To
Economic Conference Rejects
Proposed Plan.
VALUE OF DOLLAR DROPS
Matter Not Closed Definitely As
Commission Jockeys For More
Desirable Terms.
BY HARRY FLORY
United Press Staff Correspondent

OuItcu ETcSS Stdtl Correspondent
LONDON, June %. = The United
States turned thumbs down on I'M
mediate currency sterilization at the
world economic conference today,
while the dollar dropped rapidly on
every important European exchange,
making new low records since aban-
donment of the gold standard.
Shortly after the american dele
cation had stirred the conference
by proposing in general terms a
worldwide lowering of tariff and
trade barriers, a real sensation was
caused by statement of its policy
on sterilization.
The statement said the delegation
felt it could make more important
contribution to the conference by
move to raise prices levels than
by temporary sterilization.
The statement was not regarded
as closing the door entirely to
sterilization agreement sometime
later in the conference. With the
dollar dropping rapidly, it was felt
that the United States would soon
he in bargaining position where
sterilization could be attained at
rate which would give President
Roosevelt leeway to avoid any fall
in prices-price raises being one of
the chief points of his program.
The currency statement was given
out at Claridge's hotel, which was
cverrun by international journalists,
awaiting the flash on the state
ment, which had been expected 1t
was given out by an attache of the
delegation. Corden Hull, secretary
of state, was not present.
The delegation had worked until
tar into the night, unable to COM
plete the text. Work was resumed
this morning and the phraseology
completed shortly before its distri-
button.
The statement was obviously cal
culated to shift the focus of the
conference from sterilization to ia
riffs, trade and commodity prices.
Delegates Fume
Sterilization has been eclipsing
all other issues and delegates of
other nations insisted that Presi-
dent Roosevelt's unwillingness to
endorse promptly de facto stabil-
iZing accord with Britain and
France was blocking progress of
other economic reforms.
Today's firm stand left many
delegates tuning but impotent and
they declared the conference would
remain crippled with sterilization
in allegiance.
Before making its move, however,
the United States won the consent
of Britain and France to its policy
of price-raising as an essential pre-
lude to currency Sterilization.
j. Ramsay Macdonald, prime
minister; Neville Chamberlain,
chancellor of the exchequer; Sir
Frederick Leith-Ross, British trea-
sury expert, and Georges Bonnet,
finance minister of France, accom-
panied by French experts, confer
red this morning with James M.
Cox, of the United States delega-
ton. They accepted his draft state
ment of the United States none
tary policy after minor revision Of
the text
1t was understood that during
the morning meeting with the
French and British, at which Cox
privately revealed the draft of the
statement, Bonnet warned that the
declaration in its original form
would drive every country off the
gold standard.
Cox thereupon was reported to
have agreed to add a final para
graph, reaffirming Americas ulti-
mate objective of worldwide sta
bilization.