FRANK TALKS.

Auckland Star, Volume LXII, Issue 253, 26 October 1931, Page 7

FRANK TALKS.

FRANCE AND AMERICA

Reported Agreement Between

Laval and Hoover.

SENATOR BORAH UNYIELDING.

(United P.A.-Electric Telegraph-Copyright)

NEW YORK, October 25,

.. The:' Washington correspondent of the "New York Times" says tihe following conclusions- "are.. reported ,to. have been peached between the President,, Mr.. Hoover,, and the. French Prime■ Minister, M. Laval:— . ;

(1) There shall be no further:' withdrawals ' of i gold by France from the' United States without prior consultation between the central banking institutions of both countries. ' . . \ "

' (2) The, Federal Reserve Bank's discount rate in, New York may be raised to .4 per cent. ' . ''

V'(3) No' public action affecting the mutual, interests, of the two Countries \vlll be taken without prior. . consul: tation.' ' ■'■•:...•

(4) Mr. Hoover" will make no proposals for the extension- of the debt moratorium without prior consultation with France.- ■■ . .

(5) No proposals will be made by the United States for revising the Young Plan of; German reparation payments. ;

The aim of the two statesmen was; to' devise ways in ;which to use the .wellstocked banks of the United States and France to create,the, blessings of confidence. ...• ' ; • The tired but smiling. President made it clear that his startling point had been the belief that individuals, and nations suffer more, from frozen'confidence than from frozen securities/ His aim and M. Laval's had been, he said, to.find a, way of spreading confidence, both/ in international relations and. economics, and they felt that they had succeeded.. ;

. M. Laval spoke of being deeply impressed by the-very great frankness and cordiality of the., talks with Mr. Koover ,

.The subject of inter-governmental obligations, especially those arising from the war, was. approached with the realisation that no. final steps could be decided,, as any, conclusion would have to be approved' by the, national Legisla: tures. - ' ' '"■.' .-■■,' ■:■ " >*j •'.

■_ v • No Security Pact. A.statement will be issued later. It; is known that there will be nothing in it in the way of an American guarantee for the security of <, \

From the speech M. Laval made on his.arrival in New York it had-been hinted that he would press for promises of co-operation' with France in ' time _ .of war, if but no such discussion occupied the conference. ' ; .'' *'.", ''. ■ M.'. Laval had also .a conference with Mr. W. E., Borah, chairman of the Foreign Relations Committee of -the Senate, but they failed to reach an understanding on international political relations. At the end. it,was plain that "each held to the views he held at the start. ".,p. ,: ;•;■ .. *'- •■ -...,-■ ' '.-,* " ■'■'■,' The opinion is''expressed* is no .prospect of any agreement between France and the United States on" such questions as disarmament and war debts at. this'time. , 'i' e ,"We , found -"'•'• ourselves no ]■' closer together;": Mr. Borah said, "when we parted than when we started. We talked over everything. It was ,a very pleasant visit, and very frank."'' . 't V ,:,:,: . The. Senate must finally ratify any Franco.-American agreement,.and* in the consideration of any such agreement Mr.. Borah'has a-powerful voice: 1 '}'■'' The" Secretary of State, Mr! Hi, I). Stimson, dropped in occasionally on. the conference, -which was held 4nj,the- study of his home, after a formal dinner given hi honour of;-M. Laval. —; '■■'"-.:■ : ~