GERMAN VIEWPOINT.

Hawke's Bay Tribune, Volume XI, Issue 63, 2 March 1921, Page 5

GERMAN VIEWPOINT.

VON SIMON SPEAKS.

Excuses and Pleas.

“ Annuities Cannot Be Paid.”

[PBBM ASSOCIATION--OOPTBISIV.J

(Received 2, 9.20 a.m.) London, March 1. At the conference Mr. Lloyd George invited von Simons to speak. The latter said he was unable to ac- | cept the Paris proposals in the present form, due to the fundamental difficulty of raising industry effectively to u maximum in order to pay the amount, while on the other hand preventing German competition being a -danger to other nations. The German Government, taking the Paris proposals as a starting point, had arrived at very different conclusions. Paris imposed annuities of six milliards. This must be paid by surplus exports. Experts were agreed that in order to pay the annuities German exports would require to be four times greater than the annuities. This ratio was chiefly due to the necessity of importing raw material and foods. Von Simone, proceeding, said that Germany’s burden had increased through deprivation of territory from which she previously derived these commodities, forcing them up fourfold, and would constitute a menace to the rest of the world. Referring to export duty, he said this must either be paid bv the consumer, if they would accept such a price, or paid by German industry, which would thereby be weakened in power to compete, resulting in a decline in exports. Germany was now able to export owing to favourable exchange and lower cost of production. These conditions, however, would probably not be lasting. Von Simons stated that Germany was not in a position to accept the Paris proposals, which were based on a too transient conception of German industry. Fifty milliard gold marks was all Germanv was able to pay. Germany estimated that she had already paid twenty milliards, and. luggested that the remaining thirty should be provided by an international loan of eight milliards ,the remaining twentytwo to be capitalised, Germany paying interest aiid sinking fund. Mr. Lloyd George intimated that the Allies could not discuss any alternative to the Paris proposals.—(A. and N.ZA CURRENCY SICKNESS. (Received 2, 12.25 p.m.) London, March 1. Von Simons remarked that the present conditions really represented the state of sickness of German industry, caused by the condition of the currency. It was difficult for Germany to make definite proposals, but the German people were willing to make sacrifices and were prepared to submit definite instead of indefinite prop ..sitions. The German Government thought that the payments should not be too heavy or extended over long a period, the German people fearing

to see their children and grandchildren overburdened. The Government thought it best to fix the total capital sum payable, and they could thus pay interest and sinking fund in the usual way. DISPUTE OVER AMOUNT PAID. Von Simons said that if the Pans proposals were discounted at eight cent, on their present value they would be worth fifty milliard gold narks. There was a dispute between th© German and Allied experts over the amount already paid in reparation. The Germans estimated it at twenty milliards, thus reducing the amount to thirty milliards. This, according to her experts, was the utmost Germany could pay. They will agree to a joint inmmismission to value reparations already paid, and suggested that in order to make the German obligations immediately effective, they should issue an international loan as soon as possible, on which Germany would find the interest and sinking fund.—(A. and N.Z.) SIMONS KEPT BUSY. WORKS MOST OF NIGHT. London, Feb. 28. Von Simons and 20 members of the delegation arrived at Victoria station. A large crowd was present, but no demonstration took place. Von Simons was surprised to hear of to-morrow’s engagements. He says he wanted to get to bed early, but will he obliged to work most of the night in order to have his statement ready. Ho thought he had until Wednesday.— (A. and N.Z.) STOLEN MACHINERY. TREMENDOUS QUANTITY RECOVERED. • Received 2. 8.55 a.m.) Paris, March 1. The “Echo de Paris” Berlin, correspondent says the French commission selecting from Germany material carried off from Northern France, found up to date four hundred thousand machines, worth £80,000,000, forming 75 per cent, of stolen machinery.—(A. and N.ZA WAR CRIMINALS. TRIAL AT~LEIPZIG. London, Feb. 28. Sir Gordon Hewart, Attorney-Gene-ral, in the House of Commons, in reply to a question, said he had an interview with the German representatives respecting the trial of seven German officers at Leipzig. He hoped the trial would begin a month hence. He proposed to have a British representative present.—(A. and N.Z.)