GERMAN BID FOR LOAN.

New Zealand Herald, Volume LIX, Issue 18278, 20 December 1922, Page 9

GERMAN BID FOR LOAN.

SECURITY FOR AMERICA.

SPECIAL TAXATION OFFERED

Australian and N.Z. Cable Association. ;Recd. 9.5 p.m.) LONDON, Dec. 18.

The Berlin correspondent of the Daily Express learns on good authority that the German Ambassador at Washington has been authorised to offer as security for a loan special taxation and Customs revenue. Industrial magnates have also offered to take over the railways and post office, pledging a proportion of tho receipts for tho same purpose.

AMERICAN REQUIREMENTS.

CO-OPERATION OF ALLIES. A. and N.Z. LONDON, Dec. 18. Tho Washington correspondent of the Paris edition of (he New York Herald has cabled that tho Department of State deprecates extravagant stories of intervention by tho United States in Europo, and emphatically denies the intention of summoning an international conference of bankers. It is admitted that the United States is contemplating active intervention in Europe, under certain conditions, and subject to France's consent is ready to propose terms of settlement. The United States believes that Germany should pay to her fullest capacity, but deprecates threats of invasion and economic strangulation as harmful to the prosperity of the world.

Tho United States is willing to arrange a large private credit for Germany, security for which shall be provided by the Allies relinquishing part of their claims under tho Versailles Treaty. It is believed that there must be much informal discussion between American and European statesmen before a definite project is adopted.

DUBIOUS FRENCH COMMENT.

IN GERMANY'S INTEREST. A. and N.Z. PARIS. Dec. 18. The proposed American loan to Germany was received in Franco at first with surprise and then scepticism. The Temps regards the project as a mere ballon d'essai, conceived exclusively in Germany's interest. The Echo do Paris says that the United States, without the loss of a farthing, could powerfully help France to obtain reparations by allowing the Allies to seize the capital of German magnates transferred to the United States, which would probably meet the reparation dues for two vears and render a moratorium, unnecessary.