ANOTHER LEAGUE SUCCESS.

Auckland Star, Volume 55, Issue 94, 21 April 1924, Page 4

ANOTHER LEAGUE SUCCESS.

I A brief reference in our cable news

to-day to a scheme drawn up by the League of Nations for Hungarian reconstruction points to another success scored by the League. The facts are of great interest and importance. In February the Reparation Commission accepted a scheme drawn up by the League for the financial and economic rehabilitation of Hungary. In Hungary, as hi other parts of the conquered Central Empires, the weight and uncertainty of reparations. have seriously affected finance and industry. The League went to the rescue of Austria, and that country is slowly being pulled .out of the morass. In Austria's case, I however, reparations were simply susI pended, and at any time, if the country became prosperous, the victorious : States could descend on her. Hungary ■ is protected from such a contingency for twenty years. The total amount of . reparations to be paid over the whole j twenty years is only eight millions I sterling, or about a shilling a head per I antrum. Moreover, this average payj.ment of £400,000 is the maximum. Tt is ; in .the power of the. League's Commisi sioner-General in Budapest to reduce 1 the amount if in his judgment payment would injure the finances oif the country. .Further, .after the first two and a half years Hungary, unless she defaults, is to be freed from control. To enable

Hungary to offer proper security for an international loan, the Reparations Commission waived claims on Hungarian revenues under the Trianon Treaty. The League was to send . a committee to Budapest to draft a plan for the Budget for the next two and a half years, and today's cable message reports the passing by the Hungarian Parliament of the Bills necessary for all this reconstruction. The successful issue of these negotiations is another striking proof of the usefulness of the' League of Nations as an arbitrator and court of appeal for countries in distress.