LOAN TO BRITAIN DEFENDED

Press, Volume LXXXIV, Issue 25389, 12 January 1948, Page 7

LOAN TO BRITAIN DEFENDED

Senators Hear U.S. Ambassador “NOTHING WASTED’’ (N.Z. Press Association—Copyright) (Rec. 8 p.m.) WASHINGTON. Jan. 10. The American loan to Britain waa strongly, defended by the United States Ambassador to Britain (Mr Lewis Douglas) in an address to-day to tha Senate Foreign Relations Committee which is examining the European recovery programme. He declared that nothing of the loan had been wasted. British expenditure oh tobacco and films had been “a drop in the bucket” Had the loan not been granted, said Mr Douglas, the United States would have suffered very great and adverse effects. Britain’s expenditure in other parts of the world would have been cut off, directly affecting the United States. Mr Douglas also defended the If Western European nations against accusations in the United States Congress of inefficiency and bungling in the handling of their own recovery plans. He told the Senate Foreign Relations Committee: “It is easy for us to view the policies and what appear to be the vacillations and the timidity of some of these countries with distant criticism, but I venture to say that if we had the same troubles we would do little better than they have done.” He repeated the warning which General Marshall gave this week, that rejection or reduction of the American aid programme would bring dictatorships throughout Europe and compel the United States to become “an armed camp.” Mr Douglas has been mentioned as the probable administrator of tha European aid plan.