GERMAN DEFAULT.

New Zealand Herald, Volume LX, Issue 18295, 11 January 1923, Page 7

GERMAN DEFAULT.

: «_z.—■' ■•*<■ ■ ——;' DECLARATION MADE. FINDING OF caimiissiaN. THREE VOTES AGAINST ONE. ONLY BRITAIN DISSENTS. AMERICAN BACKING. SBT Telepraph—Press —Copyrisfet. ' (Received 4.5 p.m.) Renter. ' PARIS, Jan. 9. The Reparation Commission declared Germany's default in respect of coal deliveries by three votes to one, Sir John Bradbury's being the minority vote. The German experts spoke first, declaring that the German Government did not consider it indispensable to execute the coal deliveries according to the exact percentage established, in_ view of the suggestion by the Reparation Commission last March--that any deficits in the. supplies of timber should be made up by cash payments. The Germans then withdrew. Sir John Bradbury said he did not vote j .in favour of proclaiming Germany in de- j fault for reasons of general policy, and j because he was of opinion that in a prob- i Jem of secondary. importance like this, a decision involving grave consequences should wot be taken. Mr Hoyden, the United States observer , on. the Reparation Commission, supported Sir John* Bradbury in the opinion that, though Germany has not met her obligations, her default in deliveries of coal and wood is not of such' gravity as to warrant the heavy sanctions now being taken. Mr. Boyden urged • that the reparation problem should be dealt with as a whole. A communique has been published in Berlin denying the. accusation of voluntary default in respect of ' deliveries of coal,, timber and paving stones, but it admits that obligations have not been completely fulfilled. The communique , attributes this partly to the fact that the demands from the very outset were excessive, and partly to uncontrollable circumstances, such as strikes and transport difficulties,- due largely to unwarranted conduct alleged " against the French authorities. The communique maintains that only preliminary negotiations .are proceeding as regards deliveries of nitrates, and denies that the German Government in ■this connection has violated the Treaty of " Versailles, because the Reparation Comjffiission made no definite demands. FRENCH ADVANCING. POIiNCARE ISSUES ORDER. ' START AT MIDNIGHT. . (Received 1.15 a.m.) United Service. LONDON, Jan.* 9. . M. Poinc-are has.ordered the advance of French troops into the Ruhr region at " midnight to-morrow. ALL READY TO ADVANCE. FRENCH AWAITING SIGNAL. TANKS TO LEAD THE WAY. , Australian and N.Z. Cable Association. {Reed. 9.5 p.m.)' PARIS, Jan. 9. France is .ready for action. General Degoutte has. moved his headquarters to. Dusseldorf, and is awaiting the signal to advance. It is understood that tanks ■will precede the troops and the cavalry, I artillery and aeroplanes will be extensively used. Thirty-five thousand French troops are ' now in the occupied area. They are divided into three army corps. There are also 4500. British,.'3soo American, and 13,000 Belgian troops. . According to the newspaper L'Oeuvre, Prance will take action on Thursday, ;wheii General Degouette's advance guards •will pass the frontiers of the neutral sone, fronting Dusseldorf, Duisburg, and Ruhrort. The paper says: "When M. Poincare mounts the tribune in the Chamber of Deputies, France will have already piled arms on Essen soil." Belgian soldiers will accompany the. French soldiers and Allied engineers. The Petit Parisien states that the French engineers who have arrived at Dusseldorf cannot proceed to the Ruhr t.-<icause there are no French troops there, and Belgian and Italian engineers will go there instead of the Frenchmen. According to the Journal, another contingent of French engineers has gone to Dusseldorf with detachments of railway workers and five officers. The Matin's correspondent at Coblenz states that the engineers will be accompanied' to Essen by 25,000 soldiers. Violent anti-French tracts are being circulated in the Bhinsland. Messages from German sources report considerable movements of French troops toward the Ruhr region. Thirty-eight trains were signalled from Mainz, and from there they entered intermediate stations. The staffs of several French regiments have arrived at Duisburg, where troops are expected to-day. Heavy artillery and suppers are reported to have arrived from the neighbourhood of Neuss. Large French contingents have arrived at Dusseldorf. The French have advanced as far as Mulheim without informing the authorities at Essen what further progress they propose to make. FRENCH TO SEIZE COAL. AMPLE SUPPLIES ALLEGED. A. and XZ. . PARIS, Jan. 9. The Matin's correspondent at Coblenz says: "Once at Essen France will control the exploitation of German coal, and by means of the present organisation will despatch it to the Allied countries. Franco will also collect the coal tax in the Allies' name." The correspondent says that it is estimated 'that the consumption of coal in Germany'has increased by 101 per cent, since the "war. Factories are working at full pressure, and seven or eight furnaces out of every ten are alight. Owing to the destruction of the French mines during the war the furnaces in Lorraine have been stopped, as the result of the absence of German deliveries. BRITISH ON RHINE. DEMAND FOR WITHDRAWAL. Australian and N.Z. Cable Association. (Reed. 9.30 p.m.) LONDON, Jan. 9. The Daily Express demands that the ' British -Army be withdrawn from the ' Hhine, otherwise it . may be drawn into the.meshes of a policy which the British people consider unwise and dangerous.

GERMANY'S ANSWER. PEACE TREATY BROKEN. PROCLAMATION IN THE RUHfc. EXCITEMENT INCREASING. By Telegraph—Press Association Copyright. (Received 8.5 p.m.) A. and N.Z. BERLIN, Jan. 9. The .German President,' Herr Ebert, has issued a proclamation, which -has been posted on the walls of towns in the Ruhr Valley. It declares that the Treaty of Versailles lias been broken, and force is triumphant over humanity. The population are asked to remain faithful and calm, and Germany will fight for them until they are free. Excitement in Germany is increasing. A general strike is being organised in Essen, where already a day's strike of • protest has been proclaimed. The German Cabinet considers that tho action of the French violates the Versailles Treaty, and is preparing to appeal to the signatories. • It is stated that Germany will refuse to meet her financial obligations on January 18 owing to this breach, and also to the absolute collapse of the mark. Dr. Rosenberg, German Foreign Minister, declares that the Treaty of Ver- : saiiies does not provide for further military occupations, nor does it permit separate French action. DEPRESSED EXCHANGE. FRANC AND LIRA DECLINE. Australian and N.Z. Cable Association. (Reed. 10.5 p.m.) LONDON, Jan. 10. Exchange on Paris is quoted at 69.05 francs to the pound, as against 68.15 wines yesterday. The mark is quoted at 45,500 to the pound against 44,500 yesterday, and the Italian lira at 94£ against 93$ yesterday.