AMERICA'S HELP.

Auckland Star, Volume LIII, Issue 300, 19 December 1922, Page 5

AMERICA'S HELP.

• »■■— ■■ INTERVENTION LIKELY.

TERMS OF SETTLEMENT. SUGGESTED TO FRANCE. (By Cable.—rress Association.—Copyright) (Rc-eivcd irr.r.o a.m.) LONDON", December 18. The 'Washinpton correspondent of the Taris edition of the New York "Herald" has cabled that the Department of State deprecates extravagant stories of America's intervention in Europe, and emphatically denies the intention of summoning an international conference of bankers. It is admitted that America Is contemplating active intervention in Europe under certain conditions, and subject to France's consent is ready to propose terms of settlement. America believes that Germany should pay to ler fullest capacity, but deprecates threats of invasion and economic strangulation as harmful to the prosperity of the world. America is willing to arrange a large private credit for Germany, security for which shall be provided by the Allies relinquishing part of their claims under the Versailles Treaty. It is believed that there must be much informal discussion between American and European »tatc?men before a definite project is adopted —t A. and N.Z. Cable.)

SCEPTICISM IN FRANCE.

"IN GERMANY'S INTEREST." (Received 11 a.m.) PARIS, December IS. The proposed American loan to Germanv was received at first with surprise and then scepticism. The "Temps" regards the project as a mere ballon d'ssai. conceived exclusively in Germany's interest. The ''Echo de Paris" says that America, without the loss of a farthing, could powerfully help France to obtain reparations by allowing the Allies to seize German magnates' capital transferred to America, which would probably meet the reparation dues for two years and render a moratorium, unnecessary. (A. and N.Z. Cable.)

ADMINISTRATION'S PLANS.

BUSINESS AND HUMANITT. NEW YORK, December 17. The "Washington correspondent of the Xew York "Times" states that the situation concerning American help for Europe is becoming delicate. Officials deprecate the publicity which has been given recent hints concerning the plans of the Administration, and they now discount speculation as to what the United States is doing. Mr. W. E. Borah, who leads the irreconcilable element in the Senate, has issued a statement to the effect that the patois of diplomacy is insufficient fnr the present situation. A sound business policv onlv. combined with sheer humanity.* can command the necessary confidence, and Europe must put its own fcouse in order along lines combating militarism, imperialism, and various injustices before it can expect American lelp. . . It is pointed out that Congress, without which the Administration can do little, if anything, is an uncertain quantity in the present state of affairs—(A. ind N.Z. Cable.) Col E M. Tlouse, one of America s ■lost noted figures in international ■ffairs, interviewed recently on the question of American intervention m. (Europe's affairs, said:—"l 4o not see the advantage of a small loan to Germany further than that it would postpone an actual crisis. It seems to me that when the question is tackled it should be done fundamentally. An •mount should be fixed fir reparations, •nd the conditions of payment should lie definitely settled—how much Germany can pay. when she can pay and what guarantees she can give for those payments; and it should also include the resuscitation of her financial affairs •nd the stabilisation of the mark. "Before that can be done France has got to have some sort of guarantee •gainst unwarranted German aggression, and the Germans themselves, the far-seeing section of them at least, would like to see this done, because they -know it would be better for Germany ■s well as for France. It would make Germany's rehabilitation more possible, ■nd it would cause less suspicion in France. The only way this can be done, •s far as I can see, is 'by using the League. At the Peace Conference FTancc was asked to forgo the occupation of the left bank of the Rhine, and in lieu of that she was promised an Anglo-French Treaty and a FrenchAmerican Treaty, guaranteeing her •gainst unwarranted aggression by Germany. These Treaties have never been ratified. Therefore, as far as security goes. France has only her Army to depend upon, and she is in not nearly so •dvantageous a position as she was in 1914. 'There is no use harking ;back to the military treaties of 1919, because these ■re impossible. The only instrument i" •ight is the League of Nations. Under One clause of the Covenant it would be quite possible for all the members of the League to give France the guarantee •he feels is necessary. If this were done, ■nd later Germany "was admitted to the League under a pledge to keep the face, the whole European situation would have undergone a marked change for the better." Colonel House uttered some words of Earning against undue optimism as far as American co-operation was concerned. ''The guarantees to France against unwarranted German aggression," he said, "must be made without regard to America—at least for the moment—and Europe should understand this, since we •re not members of the League, and there is no likelihood of our becoming ftiembers at present. I feel certain that America will one day take her part in the association of nations, but there are political obstacles at the present Moment which the existing Government seem to consider sufficient to prevent that step being taken now. When America does come in. it may be that she will come in, not as an ally, but as an associate Power, in the same way • s she came into the world warr in other words, because of the political discussion that has gone on in America cv er the Covenant, she may prefer to take part in the League's proceedings "ithout binding herself to the* Covenant."