INTERNATIONAL DEBTS.

Press, Volume LVII, Issue 17063, 7 February 1921, Page 7

INTERNATIONAL DEBTS.

»—6 MUTUAL SET-OFF PROPOSED. (By Cable—Press Association —Copyright.) (Australian and N.Z. Cable Association.) (■Received February 6th. 5.5 p.m.) LONDON, February 4. Mr Austen Chamberlain, speaking at Birmingham, said he would have preferred that at the end of the war the whole international debt of tho Allies a,nd the associated Powers had been wiped off, enabling all to commence with a clean slate. There was no proposal for a settlement of international debt among the Allies and associated Powers, whether by total or partial remission, to which Britain as not prepared to be a party. "We made such proposals," he added, "bait they were not acceptable to America. It would be beneath our dignity to malte them again and render our motives liable to _ misconception. We sought no international advantage for ourselves. We proposed a solution by which we should have, forgone larger claims than would have been remitted to us. We proposed it in the interests of good relations among peoples, and for the restoration of international trade. Our great external debt was due to obligations undertaken in behalf of our Allies." STATEMENTS FROM WASHINGTON (Received February 6th. 5.5 p.m.) WASHINGTON, February 5. Mr 3>. F. Houston, secretary of the Treasury, writing to Senator Lodge, said the Treasury had suspended negotiations with a foreign government regarding America's loans to tho Allies, in order not to tie the hands of the incoming Administration. The letter disclosed that arrangements were made with Britain in August, 1920, whereby Britain paid the United States 17,633 million dollars principal and accrued interest •on part of, • obligations totalling 102,017,633 dollars. Both the State Department and the British Embassy practically admit having received such a proposal as Mr Chamberlain intimated was mado, but they did not Imow tho details. The Stuto Department announces it has no reason to suppose or believe the Allies cannot pay their debts to the United States, but the Department counselled moderation in pressing for payment.