GERMANY UNDER FRENCH CONTROL

Evening Post, Volume CI, Issue 18, 21 January 1921, Page 6

GERMANY UNDER FRENCH CONTROL

■ Tho postponed Council of the Allies will shortly be discussing the German disarmament and reparations, which means that the British and French Governments will again be engaged in trying if, carrow the gap between the rigid demand of France and the give-and-take attitude of Britain. Whether the result will be less rigidity or-less give-and-take remains to be seen. In to-day's issue appears the first attempt to outline in detail the new French Government's demand in the matter of reparations, from which it would appear that France is prepared to accept Germany's profession of inability to pay as an admission of bankruptcy, and is prepared to undertake a receivership of German revenue. What is suggested is, indeed, more than a receivership. It is declared that the new French Minister, of Reparations is prepared— v To assume control of Germany's taxing and spending departments; to _ take steps to j^ive the German mark a positive value: to increase the l-ailway and . other public service ehargbs; to control tho German Budget;" to, tax the German taxpayer at least equal to tho French; to collect taxes in the form of an indemnity; to collect , eight milliard marks yearly in coal, two milliards in chemicals, timber, and Customs duties. The above would be almost equivalent to taking over Germany, lock, stock, and barrel. While Mr. Lloyd George proposes to let a German Government carry out the Treaty terms and collect the reparations money, the French Minister says he is prepared, to take that Government's place and to run the risk of German Bolshevism or reaction or other form of German revolution. In support of Mr. Lloyd George's position it 'will be said that any high-spirited, industrialised people, used to freedom, can be better squeezed for revenue by its own Government than by a foreign Government. To this the French Minister will answer, that the German Government is not trying to squeeze; that Germans, while proj fessing poverty and"""sheltering behind a Bolshevistic bogey, are under-taxed 1; and that, allowing for the disabilities of a foreign financial control, more reparation will be secured from the Germans under that system than under the present one. Tho French contention is not impossible of realisation, but its realisation would be immensely difficult, and on the whole would be unlikely. For that reason, we do not think that the taking over of the German financial machinery will be attempted. Without assuming that such a radical step will be actually, taken, a sufficient reason for the publicity,, given to its conception is found in the fact that France evidently desires to scare the Germans into greater financial sacrifices. ' What better means to that end than to talk about a French occupaj' tion of the Treasury and the taxing departments? To give edge to the manoeuvre, M. Briand, the new Premier, has | discovered a new personality to take charge of reparations: M. Loucheur has been given charge of the Ministry of Reparations. He is a strange figure. A few years, E.go he was poverty-stricken, but now ho is one of the wealthiest men in France. He made enormous sums .is a contractor during the war, and attained great political power. Now he is regarded as the " mystery millionaire " whose hand is in everything.. If such a personality is calculated to scare the German financiers, it is also calculated to excite the opposition of all socialistic opinion in Europe," arid to cause a suspicion tßat France is not only the stronghold of conservatism (Mr. Simonds's assertion) but also of " boodling." However, the British Government is not concerned w.ith a French domestic matter like that, but, in the economic treatment of Germany, is concerned to see that nothing rash is done that may kill the goose that lays the golden egg. A' resume of British opinion cabled on Monday points out that " the question is not what the Allies want, but what they can get." Also It is not thought possible that the reparation question can be finally settled, and probably the matter ' will not go beyond a pener.nl exchange of views. France and Britain have to decide how far the question is capable of settlement at. present: but Britain believes thot nothing definite will be attainable until further information from' Germany is available. .< The same message is hopeful that '' disarmament is not likely to need long consideration . before an agreement is reached." To get rid of even one of tho big German questions would be a relief to diplomacy, but it would be as unwise to >rely on any such cabled anticipation as to put faith in the carefully-published designs- of France's "mystery millionaire." Single-handed action offers to France considerable inducements., but is attended by risks that certainly must be visible to M. Briand, however much his newly-dis-covered Minister may affect to ignore them...