Evening star., 1934-05-09
DEMAND ON DEBTS
SPURS FRANCE TO
TAKE UP SUBJECT
Envoy ConferS With State
Department After Warn
ing of President.
PAYMENT NEXT MONTH
ASKED BY ROOSEVELT
Important Developments Seen Be.
fore Message to Congress
Is Delivered.
BY the Associated Press.

Vlnclng reasons Tor a reQuctlOn-An-
DIRE de Laboulaye, the French Ambas-
sador, conferred today with State De-
partment officials on that country S
obligation of nearly S4,000,000, 900, on
part of which she is in default.
His visit with William Phillips, Un-
derSecretary of State, added to the
general belief that important develop
mentS on the war debts question may
be expected soon-before the President
sends a message to Congress dealing
with the issue.
Definite Offer Lacking.
sador had visited the State Depart
ment to discuss the debt question, but
said that he had made no definite
communication or Cffer from the
French Government.
The Ambassador. Phillips said. like
ENJOYS of several other debtor nations
who had called within the last 10
days. was interested in learning this
Government official attitude toward
the debts in general and the pay
meatS due next month in particular.
After the conference the AmbaS-
sador told reporters that he had made
no formal debt statement to Phillips.
He said, however, that he knew
there was among some members OF
the new French cabinet a desire to
find some solution to the entire ques
ton if possible and Paris welcomed
all pertinent information.
VIII uoar
The President emphasized today
that while the United States stands
for collection of war debts a hearing
will be granted to nations in distress
who ask for reduced payments.
Whether token payments, which
have been made in the past by Great
Britain and some other debtors, will
be accepted IN June. will be decided
upon the merits of the individual
case, the President said at his press
conference.
Debtor nations which have made
token payments-a part of the obli-
cation owed-have been exempted so
far from the rigid terms of the john
son bill barring financial transactions
with the United States by defaulting
debtors.
The President said that no nego-
tiations have been entered into with
foreign nations for payments due next
June Is.
No Hearing Yet Asked.
No applications have been made for
q hearing for reduced payments. 1t
was made plain that the United
States still insists upon war debts
collections and is offering no terms
Of revision.
Meanwhile, Secretary Hull approved
plans for congressional investigation
of tin. which would study the advisa-
bility of trading debts for new sup
plies of the metal.
Representative Caldwell, Democrat,
of Florida, proposed the inquiry,
which would be made by special
House Committee of seven members.
Testifying before the House Rules
Committee. Caldwell presented let
ter from the Secretary of State say
ing this.
"As you know, this department
would favor any legitimate means
which might be employed to protect
the supply and the price of the very
large amounts of tin required by the
United States each year.
Cites L. S. Needs.
Il believe that the proposed investi-
cation would serve a useful purpose
and I appreciate your initiative in
the matter
Caldwell pointed out to the COM
mittee that the United States needs
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