REPARATIONS ISSUE

Manawatu Standard, Volume LII, Issue 176, 27 June 1932, Page 7

REPARATIONS ISSUE

LAUSANNE NEGOTIATIONS. NEW SUGGESTION MADE. ORDERS INSTEAD OF CASH. (United Press Association—By Electric Telegraph.—Copyright.) Received June 27, 8.45 a.m. LONDON, June 26. The impression is rapidly growing that the era of cash transactions across frontiers has ended. This prospect is regarded as the most hopeful outcome of the Lausanne negotiations up to the present. It is being suggested that the French sacrifice of cash reparations might be compensated by German orders for French commercial commodities ; for instance, Lorraine ore, and Germany to supply France with electrical apparatus on advantageous terms.

FRIENDLY SPIRIT SHOWN. LAUSANNE, June 26. Tho first stage of the conference ended witli the departure of Dr von Papen to Berlin and M. Herriot to Paris. The second stage will open on their return early next week. It is expected the conference will last until July 9, just in time to permit the British delegates to leave for Ottawa. From all accounts the Franco-Ger-man discussions were conducted in a friendly spirit. Dr yon Papen drew a sombre picture of the state of affairs in Germany. When M. Herriot referred to the railway assets Dr von Papen replied that the income from the State railways hardly covered expenses.

DOMINATING IDEA. PARIS, June 25. The Premier, M. Herriot, received journalists after a Cabinet meeting. He declared that France owed the greatest consideration to everything coming from President Hoover. “I read and re-read his message, and I wonder whether it takes into account possible coalitions. The dominating idea of Lausanne is that a European settlement is impossible without a universal agreement.” REPORTS DENIED. WASHINGTON, June 25. Mr H. L. Stimson, United States Secretary of State, in a sharp statement, denied reports from Europe regarding American representatives participating in debts discussions. “I catagorically deny newspaper reports from London that the United States and Great Britain had reached an unwritten ‘gentlemen’s agreement’ that they will follow tho same disarmament policy and that reparation payments must cease,” he said. PARIS, June 25. The British Embassy at Paris denies that Sir John Simon and Mr Andrew Mellon have reached a “gentlemen’s agreement” on the Anglo-Ameri-can attitude toward reparations and disarmament.

SYMPATHETIC DISCUSSION. LONDON, June 25. Mr H. L. Stimson, the United States Secretary of State, has sent the following message to Sir John Simon, the British Foreign Minister: “I earnestly thank you for the sympathetic discussion on President Hoover’s proposals, and trust our two delegations working jointly will be able to contribute to the fulfilment.” Sir John Simon replied that he reciprocated the wish for continued cooperation. Only the co-operation of all States could lift the burden of excessive armaments. Britain deeply appreciates the spirit and purpose of Mr Hoover’s declaration and will do her utmost to promote the acceptance of concrete proposals covering the whole field of disarmament by seeking the largest measure of agreement by all the States represented at Geneva.

RIGHT TO COMPENSATION. ~PARIS, June 25. Dr von Papen, interviewed by the Matin, said he recognised that in the event of a liquidation of reparations, Franco had a right to compensation. ADVANTAGES OF CO-OPERATION. BETTER THAN REPARATIONS. Received June 27 8.45 a.m. BERLIN, June 26. Dr. Von Papen denies that ho declared that he would be the first to admit Franco’s claim to compensation if the reparations were liquidated, and adds that he told the French representatives that better advantages would accrue to France from FrancoGerman co-operation than the continuance of reparation payments. They should not stop at the removal of political tributes, but aim at constructive measures which Germany was prepared to do her utmost to further. If the European Powers set their affairs in order on such a basis it would make the best impression on the United States. “I hope, notwithstanding the French and German divergences concerning tribute, that a way will be found to join in European action,” he added.