REPARATIONS

Hawera & Normanby Star, Volume XLII, Issue XLII, 7 June 1923, Page 5

REPARATIONS

€JSRMANY'S NEW, PROPOSALS

GUARANTEES INCREASED

*r CABLE—PRESS ASSOCIATION—COPYRIGHT LONDON, June 6.

The Daily Chronicle's Berlin correspondent states that recognising a continuance of the controversy is producing political chaos, the German Government has summoned the Reichstag leaders, and submitted to them the test of the reparations proposals, which «3so has been sent to London, Paris, Home and Brussels. The reply was inspired mainly by the suggestions contained in the British and Italian' »otes.

The preamble states that the total payment given in previous notes was arrived at after an exhaustive examination of the country's capacities, "which precluded naming a higher sum, hvtt the German Government was willing to refer the question of the total 4© an international commission of experts, and place all material statistics and documents at its disposal. The -Government pledges itself further to accept the tribunal's decision.

Sine© a great international loan was not a feasible proposition, Germany proposes yearly payments raised from tier own resources. The guarantees include State and private guarantees, inrfuding the income from the Customs -and taxes on tobacco, sugar and alcoliol, which will bring in twenty millions; and the State railways, producing another twenty-five millions.

Among private guarantees, the Government proposes a mortgage upon a -proportion of all fixed property, such «« land, factories, machinery and houses, which will be compulsory on all •owners, snd bring in twenty-five millions sterling.

Altogether the scheme amounts to a ■minimum of £70,000,000 annually, in addition to the property tax.

If accepted, an" international conference, the German Government sug«e*ts} should be called to work out details.