DOUBLE CRISIS.

Press, Volume LXI, Issue 18525, 29 October 1925, Page 9

DOUBLE CRISIS.

FRANCE'S MANY | TROUBLES. | i RESIGNATION OF CABINET. i POLITICAL SITUATION UNCERTAIN. \ ij~ CABLE —rSE'S ASSOCIATIOX—COrTmtiHT.) (AUSTRALIAN AND S.L CABLE ASSOCIATION'.) (.Received October 2;t!i. SJ>o p.m.) LONDON. October '>. j The French Cabinet has resigned. France is now in the throes of a double crisis, arising out of the political j situation and the Damascus disclosures. The latter produced a most painful effect here, as well as in France. The "Morning Post" affirms that not only financial diflieulf ies embarrassed the Painlevc regime, but the long and costly war in Morocco tried the patience of the French people and the situation in Syria aroused suspicion and discontent. The "Morning Post," in a editorial, predicts that events in Damascus will have most serious results. The "Daily Herald" says that Socialists in the .Senate and iu the Chamber are sure to insist on the dis- j missal of the guilty persons, no matter how highly placed. It is generally understood that M. Doumergue (President) has commissioned M. Painlevc to form a now Government in which it. is believed that M. Painlevc will become Finance Minister himself. Prospects Uncertain. The opinion is lately stressed in Paris that whoever is tho new Prime Minister, France must be prepared to assume the responsibility of straightening out her financial difficulties. The. prospect is most uncertain in the event of M. Painlevc not succeeding. M. Hci.ijt and M. Briand are both reluctant to quit their present posts. It is considered most likely that the toassembly of the Senate and the Chamber on Thursday will be postponed. Revelations Expected. M. Caillaux is making no secret of his hostility towards M. Painlevc. It is expected that underground warfare between M. Caillaux and a prominent French banker and others will now come to the surface. It is even asserted that M. Caillaux told M. Painlevc that he would wreck tiny new Ministry he succeeded in creating. It is stated that a part of M. Caillaux's programme was an inheritance tax averaging 30 per cent, of tho value of the estates following to the heirs, but he was willing to give the testatorsthe right to pay upon capital during their lifetime a:id transfer the estate to the heirs at death without further diminution. "The Times" says that it was perhaps faulty tactics on M. Caillaux's part continually to postpone the announcement of his completee plans for financial reform. THE PREMIERSHIP. HERRIOT REJECTS SUGGESTION. (Received October 28th, 9.25 p.m.) PARIS, October 27. A communique states that the Painleve Cabinet, which previously favourably examined M. Caillaux's financial proposals, continued its interrupted discussions on tho same subject, which disclosed no essential division among tho members of the Cabinet. In order to deal with the political and Parliamentary situation, as revealed by recent party demonstrations, the Cabinet was convinced that the urgent effort, necessary for national restoration, is only pursuable with the certainty of a stable majority. The Government therefore unanimously decided to tender its resignation to tho President. M. Painlevc, during the morning, had a lengthy conference with M. Herriot, who, as president of tho Chamber and Cabinet Council, expressed the opinion that the Ministry's collectiveresignation wouid bo tho bes£ course M. Painlevc thereupon suggested that M. Herriot take tho premiership. The latter replied: '"My Ministry fell owing to currency inflation, which was then absolutely necessary. .The position is now the same and the new Ministry's first task must be to ask Parliament to sanction the inflation; therefore. I cannot consider the Premier shij)."