AGREEMENT WITH GERMANY

Dominion, Volume 22, Issue 288, 31 August 1929, Page 11

AGREEMENT WITH GERMANY

REACHED BY FIVE POWERS AT THE HAGUE

ARRANGEMENTS FOR EVACUATION OF

THE RHINELAND

DIVISION OF COSTS OF OCCUPATION FROM

SEPTEMBER 1

Uniteci Dress Association.—By Electric Telegraph.—Copyright.

Australian Press Association.

The Hague, August 29.

It is announced that the five Powers have reached an agreement with Germany, while the three Powers concerned in the Rhineland have reached' an agreement on political questions entailing the beginning of the evacuation in September, completing the withdrawal of the British and Belgian troops in three months, the French simultaneously evacuating, the second zone. The third zone will be evacuated after ratification by the French and German Parliaments and the implementation of the Young Plan, after which the withdrawal will proceed as rapidly as possible, and will'be completed not later than the end of June, 1930. This agreement depends on the financial settlement by Germany. When the meeting of the six Powers ended, it was announced that a full agreement had been reached regarding the costs of the occupation after September 1, also regarding the surplus accruing in* the' last five months of the Dawes Plan. The actual document embodying the agreement is now being drafted. The first problem is solved by Germany agreeing to pay half and Britain, France, and" Belgium the other half. Britain contributed to the settlement by agreeing to renounce in Germany’s favour a portion of her unconditional annuities.

POINTS AT ISSUE WITH GERMANY LONG DISCUSSION SETTLEMENT OF ALL QUESTIONS (British Official Wireless.) Rugby, August 29. The agreement reached early yesterday morning between Brtiain and the other principal creditor Powers at The Hague to give Britain a fairer share of reparation annuities was conditional upon German consent in certain particulars. The six Powers—Britain, France, Italy, Belgium, Japan, and Germany—discussed the points at issue in this regard throughout the whole of yesterday, and it was nearly 2 o’clock this morning when the deliberations were adjourned. They were resumed at 11 o’clock, and it seems likely that the proposed plenary session fixed for this afternoon will be further postponed. The ultimate successful issue of the conference is, however, now confidently hoped for. Germany’s Claim to Surplus. The details under discussion include a proposal for the abandonment of the German claim to a share in the distribution of a surplus arising under the transition arrangement from the Dawes to the Young Plans. The amount of 79,000,000 marks of the sum of 300,000,000 marks, which is involved, represents the interest on railway bonds and the transport tax contributions for > payment each year during September, although belonging to the'Dawes annuity year ending August 31. It is understood that Germany claims that these 79,000,000 marks should be set off against the costs of the occupation of the Rhineland after September 1. The Germans are also asked to consent to a rearrangement of the Young Plan of annuities, which would not render them liable to a payment of an increased aggregate total, but would place upon them a slightly increased burden in the quality of the security. The newspapers pay warm tributes to Mr. Snowden’s conduct of the negotiations, and his success not merely in securing a definite reduction in the British financial sacrifice, but in stating with determination the British viewpoint, which, on the grounds of pure justice, has never been challenged, and insisting that it should be taken into proper account.! The Rhineland Evacuation. All outstanding political questions between France and Germany relating to the evacuation of the occupied areas were settled at a meeting of the six Powers at The Hague to-day. All three occupying Powers will begin the evacuation next month. The British and Belgian troops will be completely withdrawn within three months, and the French troops will have been withdrawn to the third zone. When the Young Plan of Reparation payments is ratified by the French and German Parliaments, and the scheme outlined in it is put into operation, the French will begin the evacuation of the third zone. Evacuation by the French will therefore be undertaken as. rapidly as possible, and M. Briand formally announced that the last French soldier will have left the occupied territories before June 30 next.

In presenting the report to the Political Commission, in which these deci-

sions were recorded, the British delegate, Mr. Arthur Henderson, chairman of the Commission, said that he believed that it would give satisfaction to all the Governments and peoples concerned. M. Briand and Dr. Stresemann paid warm tributes to the patience and skill displayed by Mr. Henderson as chairman of the Commission.

The acceptance of ne Report is dependent on a settlement being reached by the Financial Commission, to which Mr. Snowden’s agreement of yesterday morning between Britain and the other principal creditor Powers has been referred. Reports state that Dr. Stresemann’s declaration last night that Germany would refuse to pay the full costs of the occupation of the Rhineland after September 1 has since been met by M. Briand’s undertaking that France would pay a quarter of the cost of occupation to June 30 next. A hopeful atmosphere prevailed at the Hague this afternoon, and it was expected that the final plenary session of the Conference would be held tomorrow. DELIVERIES IN KIND RIGHT TO RE-EXPORT CANCELLED Australian Press Assn.—United Service. The Hague, August 29. The financial settlement includes the cancellation of the right to re-export deliveries in kind. Germany reduces the export of reparations coal to Italy in the first year by 14 million tons. Britain thus benefits to the extent of a million tons annually, ITALY’S PURCHASE OF COAL (British Official Wireless.) Rugby, August 29. The announcement that Italy has agreed to purchase one million tons of British coal yearly for three years at the best British market export prices as part of the new reparations settlement has been received with gratifica- ! tion at Cardiff, though it is not anticipated that it will have any very marked effect on the coal export trade of South Wales. Before the war Italy took about five million tons annually of South Wales coal, but last year, owing to the effect of the German reparations coal, this fell approximately to two million tons.