SAVINGS TOO SEVERE

Dominion, Volume 24, Issue 221, 15 June 1931, Page 9

SAVINGS TOO SEVERE

German Crisis Results DECREE IS RESENTED Parties Urge Its Revision GOVERNMENT MAY RESIGN By Telegraph—Press Assu. —Copyright. (Rec.'June 14, 5.5 p.m. Berlin, June 13 A political crisis is threatening as a result of the People’s Party after a long and stormy meeting demanding an early convocation of the Reichstag to revise or even annul the emergency decree. The Nationalists are equally insistent on a revision, and will support the People’s Party. A meeting of the Reichstag House Committee is fixed for June 16. If the proposal is carried the Government is certain to resign. ‘ . It is believed that the Socialists hold the key to the situation, and they, too, are demanding a convocation if Dr. Bruening, the Chancellor, refuses .to alter the provisions of the decree which is regarded as being oppressive to the workers. The People’s Party apparently is aiming at a reorganisation of the Cabi-

net, putting a man more favourable to the industrialists in the place of Dr. Curtius, whose contention is that a convocation would lead to increased economic tension. Dr. Bruening has hurried to consult President Hindenburg, who is spending a holiday in Neudek.

A week ago President Hindenburg signed new financial decrees which are expected to yield £90,000,000 and turn a deficit of £62,000,000 into a surplus of £28,000,000. Practically every German is affected by the decrees. The pensions pf 660,000 war invalids have been reduced 10 per cent., and an even greater number of widows and orphans have been similarly reduced. An addition of 200,000 will be made to the present 500,000 workless who receive no benefit of any description from the Government. All taxpayers will be subject to a new income tax.