Evening star., 1937-07-06
SPANISH BLOCKADE.
COMPROMISE SEEN
British May Ask Nations for
Neutral Observers in
All Ports.
b tbs Associated Press.

b. tbs Associated Press.
LONDON, July 6.-Foreign Sec,e-
tary Anthony Eden indicated to the
House Of Commons today a possible
compromise in Europe's Spanish neu-
trality deadlock, saying the British
will consider amy other proposals
which are just and fair
The deadlock finds Britain and
France on one side and Germany and
Italy on the other, unable to agree
on methods for continuing future at
tempts to isolate Spain's year-old civil
war
The newest international repercus-
sion Of that conflict today found Brit
ish warships standing alongside a
British freighter, near Santander
Spain, to protect her from capture by
a Spanish insurgent blockade ship.
Committee to Meet Friday.
Eden, speaking to the house, said
q full session of the 27-member Nom
Intervention Committee was to be held
Friday and that this should allow "a
little time for reflection on the serious
Issues involved" This was taken to
mean that Germany and Italy might
reflect" with view to modifying
their present demands.
At the same time British ministers,
faced with possible rupture of the
whole 'hands-off Spain structure as
result of the present deadlock, were
behaved to have settled on the new
formula at late meeting last night.
Foreign Secretary Anthony Eden re-
viewed the tmpasse for them in Prime
Minister Neville Chamberlain's private
rooms in the House of Commons.
Would Abandon Both Demands.
The new compromise. result of de-
termined British efforts to breathe
life into the moribund 27-nation Nom
Intervention Committee, is based on
abandonment of both the Franco
British demands for continuation of
tho naval patrol and the Italo-G Ger
man proposal to grant belligerent
rights to both Spanish government
and insurgents.
Instead, neutral observers would
be posted in all Spanish ports to in
spect incoming ships and report back
to the committee any violations of
the agreement not to send arms or
troops to aid either side in the strug-
gle which, time and again, has threat
ened to explode into general Euro
pean war.
These observers would carry out
the purpose originally assigned the
four-power naval patrol. This was
wrecked when Italy and Germany
withdrew their warships on the
grounds they had been attacked by
the Valencia government forces.
Britain and France offered to as
sumo the entire patrol, but that was
rejected by Italy and Germany, who
still retained their membership in the
committee. The two Fascist powers
countered with their proposal to con-
fer belligerent rights.
II diplomatic contacts show such
. plan would be looked on with favor
Britain and France may present it to
the Non-intervention Committee when
1t meets, probably Thursday or Fri
day, for q final answer from Germany
and Italy on the Franco British pa
troll plan.
Improved Relations Seen.
CenerallSsimo Francisco Francois |
assurance that British iron ore ship |
ments from insurgent-captured Bilbao |
could be resumed was greeted by dip
lomats as sign of improving rela-
tions between the British government
and Franco and also as q possible in
dication the insurgent leader may not
want to rely exclusively on the eco
nomic support of Germany and Italy.
Britain had feared the output of
the rich Bilbao mining region, one
third OF which formerly went to
England, might be diverted to Italy
and Germany. Franco was said YES
terday, however, to have given verbal
approval to resumption OF iron-ore
shipments to Britain from the Orcon-
era properties, the largest British
owned company in the region.
Weu-tnformed circles here dis
counted repeated rumors Premier Paul
van iceland of Belgium had been
drafted by Britain and France to Law
new non-intervention scheme be-
fore the committee, but French
sources insisted the text of such a
plan was already being drawn up
oy the British foreign Office.