FAILURE.

Auckland Star, Volume LXIII, Issue 246, 17 October 1932, Page 7

FAILURE.

IRISH CONFERENCE.

GLOOMY PROSPECT.

* Fantastic Counter-Claim" By Mr. de Valera.

£250,000,000 OVER-TAXATION.

United P.i.-Electric Telegraph—Copyright)

(Received 12.30 p.m.) LONDON, October 16.

The negotiations %bout the land .Unities between the representatives f and Irish Free State Governments which were opened at the office of the Cabinet's Secretariat on Friday have failed.

The B r it' sil Government was repreented by Mr. J. H. Thomas and other Ministers, and 'the Free State's principal detente-was Mr. de Valera. Mr. Thomas . ma ke a statement on the matter ja the House of Commons on Tuesday.

"The Sun" news service says the LreakdoVn of the negotiations was einrttoly lacking in drama. Mr. de Valera advanced no new arguments beyond asserting that the treaty entitled the Free State to a ehare of Britain's assets in spite of the cancellation of liabilities.

Recourse, t° e original proposal for arbitration also failed because Mr. de Valera maintained his previous attitude. He was never optimistic about the outcome of the negotiations and considers that he was . not responsible for their failure in view of what he regards as Mr! Thomas' negative attitude.

The Free Stivte delegates went by taxi ' to their hotel ijfter Mr. Thomas had said eood-bye to them through a window of the vehicle. They booked their return passages for to-day.

Mr. de Valera declined to discuss the breakdown, but will make a statement jn the Dajl.

No Surprise At Breakdown. • It appears that at the conference in London Mr. de Valera advanced a fantastic counter-claim for "over-taxation." The amount is stated by the "Observer" to have been at least f 250,000,000.

The British representatives held that tie Free State was bound, both by law ind honour, whatever Government wae in power, to pay the sums, in dispute.

The breakdown of the negotiations has caused no surprise in political quarters. . : •. •

The "Sunday Express" says that Mr. ie v TWer» was asked after the confer-ence-to define his intentions in regard to the future relations between the Free State arid the Empire. Mr. de Valera eaid his ideal was an independent Republican: State-; if possible within the Empire.

When the Leader of the Free State Opposition, Mr; W. T. Cosgrave, was informed of the failure of the conference, ie'eaid: "It is bad news. I fear it is kid'.for 'Both/ countries."

tjiie(.question is. ibeing asked: What fill, Mr. de ValeraV next move be? . There is "talk both in London and in Diiblin of the possibility of an early election in the Free State, to be fought on' the 'question of secession. There" iwill be no surprise if a senigtional announcement ■is made in the Dailon ;, V7ednesday. ;

The Irish. Labour party at its conference in Dublin passed a resolution calling for the abolition "of the office of Governor-General. *

JMhvde Valera denies that he intends to geek a.mandate to establish a Republic; '. It is stated by the Irish man thai- the discussions hinged on the l§2a financial agreement which Britain declared was valid and represented the filial settlement.

; lbe Frqe, State contended that it was not.: validj because it was never ratified liy both,sides. "I see no possibility of a, compromise oil .a;ny point at present," he laid. >. '