INDIGNATION IN CONGRESS

Nelson Evening Mail, Volume LXVI, 15 December 1932, Page 7

INDIGNATION IN CONGRESS

FRANCE BITTERLY CRITICISED

(Received 15lh December,r, 8.40 a.m.) WASHINGTON, 14th December. Disappointed and confused by French insistence on a conference, the United States Government to-day nevertheless held firmly to its attitude towards Europe on war debts —pay or default. But underneath official Washington ran a current of suppressed excitement. Inasmuch as the United States Government considers that it spoke plainly in its replies to every request for a moratorium extension, the indications* were that the White House and the State Department would keep silent until to-morrow, the date when payments are due. Should France, Belgium, and other nations default, the President may propose a new study of the debt question, as he has indicated. Congress alone can alter existing agreements. Expressions of indignation came from members of Congress. Senator McKellar said: “It is clear that Germany is not the only European nation that treats its obligations as scraps ot paper. I think it is the most ungrateful act in the career of any nation in the world.” The chairman, Mr McßeynolJs, of the House Foreign Affairs Committee, said: “France has less excuse not to pay 'ban any other nation. The settlement n ade with her was only 75 per -lent, of vliat she received after the wav I here is no question about France's ability to pay. *- admire very much the strenuous fight made by M. Harriot, but apparently the Opposition ran wild.” Senator McNary, assistant Republican leader, said: “I cannot foresee what we may be up against.” Senator Bingham said he had not supposed that the French, whose business sense was so acute, would default. “They forget that had we been unwilling to loan the money they needed when they needed it, and on reasonable terms, the, result would have been fatal to France.” (Received lEth December, 11.45 a.m.) WASHINGTON ,14th December. ' Senator Harrison, ranking Democrat on the Senate Finance Committee, said: “France’s attitude is incomprehensible to me.”

One prominent Democratic Senator, who refused to permit his name to be used, held the view that the result will bo so embarrassing to France that she will regret having pursued that course. “We cannot afford to ignore it.” Representative Harold Knutson (Republican, .Minnesota) to-day introduced legislation in the House to ■■ forbid the entry into the United States of securities of foreign Governments that have defaulted on debt payments. It would also prohibit advertising them for sale, and the carrying of such obligations through the mail’s.