BERLIN'S REPLY TO PARIS.

New Zealand Herald, Volume LVIII, Issue 17696, 3 February 1921, Page 5

BERLIN'S REPLY TO PARIS.

NEW TEEMS IMPOSSIBLE.

OBSTRUCTIONIST TACTICS. ALL PARTIES IN ACCORD. g3y Telegraph— Press Association—Copyright. (Received 11.5 p.m.) R. and KZ. LONDON. Feb. 2. The German Foreign Minister, Dr. Simons, inaugurated a debate in the Reichstag "ii the decisions of the inter-Allied conference at Paris. He delivered a long explanatoi" speech to a crowded house, many Allied diplomats being present. His declaration of policy amounted to an assertion that !t was impossible to accept the Paris decisions as a basis for farther negotiations, and he stated that the Government was preparing counter-proposals. The debate was adjou-ned.

The Berlin correspondent of the Daily Chronicle .states that th e People's Party, ■which includes representatives of the great industrial magnates under the leadership of F rr Hugo Stinnes. demanded Dr. Simons' resignation because his conciliatory policy had encouraged the demands of the Allies, but the Centre Party issued an ultimatum that if Dr. Simons went they would withdraw and wash their hand; of all responsibility. Other party group? cast blame on the People's Party, saying that if it had not recently put forward foolish counter-claims, the Paris derisions would have been less severe an<? th.it i' should have been contented with peeking a basis for negotiations. The People's "arty then withdrew its demand for Pr. Sinons' resignation, but the Nationalist Parties as a whole demanded that Dr. Simons should clearly indicate that the Paris decisions are unacceptable. Thus the way has been paved for a united front. possibly excluding the Communists and Independent Socialists.

This attitude is alleged to have been encouracred by hints from Allied diplomatic quarters that the Allies do not propose to dictate the Paris scheme at the conference to be held in London on February 28, but are prepared to listen to counter-proposals. The German Government's policy is to ignore the Paris decisions, declaring that they concern the | Allies a'.one, but to accept the invitation to send delegates to the London conference if they are allowed to meet the Allies en an equal footing.

The Berlin correspondent of the Morning Toyt states that the People's Party has taken the initiative to extend the l>asis oi the Ministry by the inclusion of as many 'ilements as possible in order to present a solid national front. It is not dcubuvl that all parties except those of the Extreme Left are already united, though many industrial leaders oppose the trucalence of Herr Hugo Stinr.es and other industrial magnates and desire finality for the sake of industry and Germany 'b future.

German correspondents of the Dutch newspapers state that in consequence ot the Allies adopting a new basis for fixing tfca indemnities they are demanding from (rnrmany, the German Government will claim *be exact execution of the text of the Versailles Treaty, and ask the Allies for a precise statement of their losses. r i hey say that Germany will not pav an arbitrary amount without knowing how it has been arrived at.

1 he party manoeuvres now proceeding in Oennany derive their significance from the iact that the present German Ministry is a coalition of the Centre, People's, and DemoCToiic parties, and that the coalition itself, commanding directly only 175 votes, in a Reichstag of 466 members, is dependent upon the tacit support of the Nationalists, and the Majority Socialists, who are not represented in the Ministry. The strength of the principal parties in the Reichstag is as follows :— Majority Socialists .. '.. 112 Independent Socialists .. 81 Centre Party 68 Nationalists 66 People's Party . . . . 62 Democrats . . ... . . 45 Bavarian People's Party and Christian People's Party 21 Other parties . . . . . . 11

ARE THE TEEMS FINAL?

NEW DOUBT IN FRANCE. THE PENALTIES OF DEFAULT. Australian ana N.Z. Cable Association. (Reed. 12.30 a.m.) LONDON. Feb. 1. The Paris correspondent of the Daily Telegraph states that the general feeling of satisfaction in France regarding the new reparation formula is due to the drastic character of the sanctions which the Allies decided to enforce in case of German default. M. Briand, therefore, may be assured that his policy will be approved by Parliament. Marshal Foch, M. M. Barthou. and M. Loncheur on Saturday favoured the immediate communication of the Allied decisions to Berlin, but Mr. Lloyd George did not share their view. The doubt is now expressed in France whether the London conference on February 28 will simply acquaint the German delegates with the Allied resolutions without giving the conference power to amend the resolutions after discussion with the Germans. Herr Bergmann, head of the German delegation to the Paris conference, has gone to Berlin. He will return to Paris in ten days.

AMERICA'S IMPOTENCE.

INEFFECTUAL DISAPPROVAL.

NO POWER OF VETO.

Australian and N.Z. Cable Association. j (R»cd. 12.30 a.m.) NEW YORK. Feb. L The Washington correspondent of the New York Times states that the opinion j is ez--essed in Administration circles that the failure of the United States to ratify the Versailles treaty is very unfortunate, j since the Allies have not consulted the United States in fixing Germany's repara- I tirni. If (he treaty had been ratified the j United .States would have been able to v «*o *ny plan not meeting with her j approval. Administration circles "dis- ' approve of the reparation total fixed by | ♦lie Allies on the ground that it is too w#& | Although Congressional circles generally i approve of the Paris decisions, it is be- ! iMrmi that the operation of economic laws j ""ill turce a revision of the fcetUensent sooner or later. Officials feel that the I United States cannot continue the policy of intern&timal isolation unless she is prepared to revert to the status of a , second-rate Power.