AUSTRIA'S PLIGHT.

Auckland Star, Volume LIII, Issue 161, 10 July 1922, Page 5

AUSTRIA'S PLIGHT.

VERGE OF CATASTROPHE. 100,000 KRONEN TO POUND. SOCIAL UPHEAVAL FEARED I i PLEA FOR MORATORIUM. j { Bt Cable.—Tress Association.— Copjriehtj '.Received D.30 a.m.i ' LONDON.. July 'J. I An alarming story regarding the state i of Austria is contained in a Note addressed by the Austrian Government to •the Reparation Commission seeking re- ; lief from liens on certain revenues possessed by creditor nations. The Note ' states that unless relief is allowed immediately a financial catastrophe will be j inevitable. The crisis was never so | »cute; it is far more menacing than any i' preceding one. I The Austrian crown has shrunk from j 60.000 to the pound to 100,000 to the ! pound, and soon it will be utterly value- j less, and refused by every bauk in the | world. This would lead not only to a ! financial crisis, but to social upheaval end political collapse. If the neighbouring countries send troons to restore order, international jealousies and the possibility of conflict will be aroused. { The Note has greatly impressed the ! French and thrown the Reparations j Commission into a state akin to congternation.— ("Times.") PANIC ON BERLIN BOURSE. MARK ALMOST "WORTHLESS. MAD RUSH TO SELL. BERLIN. July 0. I There is a wild panic on the Bourse. The j mark touched 2.000 to the £ yesterday, reacted to 2,400. and closed at 2,350. The chief selling is by foreign holders. Thenis fearful political turmoil, which official circles in Germany consider is grossly exaggerated. The public made a mad rush to buy goods in order to get rid of the mark at any cost and customers who couldn't get what they wanted took I whatever the shops had. The Government has given up any attempt to steady the mark, which banks are shovelling on to the market at any price. Every German with money is trying to get his capital abroad. There is an impression that the Government is allowing the. mark to reach the- level of Austrian cur- i rency, when they will tell the Allies Germany is bankrupt, and cannot pay reparations. According to information received by Allied circles in aris. the German Government proposes to ask for a total remission of the gold reparation payments due in 1023-4, and offers to give I in exchange for the concession increased payments in kind. The "'Petit Parisien" point? out that instead of receiving 1.400,000,000 gold marks, the Allies would get about "J.<X)0.000,000 in kind in Ihr two years mentioned. Other foreign exchanges arc in &• | chaotic condition to-day. The French franc eharply depreciated to .15.50 cent?, I as compared with 52.!H) on July 8, and i the Belgian fell to 50.70. The Italian lira j was weak at 102, and closed at 100.- (A. and X.Z. Cable.)