NO SETTLEMENT

Hokitika Guardian, 7 July 1932, Page 5

NO SETTLEMENT

LAUSANNE PARLEY BRITISH HOPES STILL SANGUINE. (United- Press' Association—By Electric Telegraph—Copyright.)., ; ■’ ' - ' LONDON’, Ju'y 6. ' Though Mr ■ MacDonald spent the whole of the day -a? Lau’arine in mediatory interviews and -saw Chancellor Von' Papen and. Premier Herndt three timri each, 'the outlook hopeless when the French delivered their ultimatum ... ■ . 8a cabled. .-.■•L j By midnight, hdw'ever'j" 1 there was some evidence of an advafi.ee towards a Franco-German agreement.’ -Captain Von Papen has l; - announced his willingness to increase , the German payment to 130 millions sterling. ■M. Herriot is l reported to have shown some willingness to reduce; the French demand below two hundred millione.

The biggest stumbling block now is not the amount of the payment, but is the German insistence on the excision of the "war guilt” section, from the Versailles Treaty. If Captain Von Papen insists on the formal annulment: of this section, a ' deadlock seems a .certainty. It i* understood that attempts are being; ;mads to - induce Captain Von Papen *nd M„’ Herriot to recognise that, by'the cancollation'of th# Reparations Treaty, the references to war guiit wouict i automatically' lose their fore®, S, fundamental difficulty is that both M, 'Herriot and Captain Von . Papen fear concessions in negotiation will lose them- their Parliamentary majorities. British circles remain -still hopeful that '.a few hours r 'will see the gulf bridged.. ' i '• 'j,. EFFORTS BEING CONTINUED. , RUGBY, July 5. At Lausann© to-day, Mr MacDonald had protracted conversations with the German Chancellor, Captain Von Papen and M. Herriot,- French Premier, in which it is understood . efforts were continued to /each an agreement upon th e figure of; the. final reconstruction " payment, and the outstanding technical points regarding method.-. , ' - ; i . * TRADE WITH OTBjER COUNTRIES. TO LESSEN, DEPENDENCE. (Receded this day at 10.15 a.m.) 7 . V ; .. , LONDON, July 7. { The Free State -has opened negotia- • ■ lions i with France and Germany to extend trade,, relations.De Valera hopes to become less, dependent of , .Britain and it is believed that he has instructed the 'Ottawa delegation; to seek - agres- ( mentis with, .the Dominions.

Mt 'O’Mara has been sent on. a special trad, mission to the United S-ates,

■e while Patel, e:t-*penker. of the Indian Parliament, is. visiting.-'Dublin to discuss possibilities,;