WAR DEBTS

New Zealand Herald, Volume LXX, Issue 21399, 25 January 1933, Page 9

WAR DEBTS

NEW NEGOTIATIONS OTHER POWERS MOVING ITALY SEEKS REVISION BELGIAN INQUIRIES MR. ROOSEVELT'S POLICY By Telegraph—Press Association —Copyright (Received January 24, 5.5 p.m.) WASHINGTON, Jan. 23 While the President-elect, Mr. Franklin Roosevelt, is at Warm Springs, Georgia, preparing to study economic problems, both domestic and foreign, it became apparent in Washington to-day that the incoming Administration will be confronted with war debt negotiations with virtually .all the debtor Governments.

The first reaction to the communique issued by the President, Mr. Hoover, and Mr. Roosevelt, after their conference at White House, came frorrj Italy, whoso Ambassador, Signor Rosso, visited the Secretary of State, Mr. H. L. Stimson, to inquire informally concerning the prospects of debt revision after March 4 and to seek an interpretation of the communique.

Observers express the opinion that Italy probably views herself as in the same category as Britain by virtue of her having met her December instalment. They think that undoubtedly she will seek to have her case reviewed, soon after the British negotiations have started. The Belgian Ambassador, M. May, visited the Under-Secretary of State, Mr. W. R. Castle, and the British Ambassador, Sir Ronald Lindsay, and conferred also with the Assistant-Secretary of State, Mr. H. H. Bundy. Nothing has been disclosed 'as to what transpired.

It is learned on good authority that Mr. Stimson will confer when advisable with Professors R. Moley and Tugwell, Mr. Kooscvelt's advisers, presumably about the economic phase mentioned in the communique.

The President-elect has made it clear to the present Administration that he prefers to have the coming discussions with Britain take an individual rather than a commission form. He has indicated that, he desires to negotiate directly with the chief British delegate or delegates, thereby assuming direct responsibility for any recommendation to Congress. At the same time, in Administration quarters, reports are denied that in the White House discussion Mr. Hoover and Mr. Roosevelt came to such a point of difference that the conference threatened to collapse.

NOTE TO BRITAIN TEXT PUBLISHED WORLD ECONOMIC PROBLEMS (Received January 24. 6.5 p.m.) British Wireless RUGBY, Jan. 23 The following statement was issued from No. 10 Downing Street to-day: "The United States Secretary of State, Mr. H. L. Stimson, informed the British Ambassador at Washington, Sir Ronald Lindsay, on January 20, that Mr. Roosevelt, President-elect, would be glad to receive representatives of the British Government in Washington early in March in order to discuss the British debt to the United States. " Mr. Roosevelt wished it to be understood that this discussion must be concurrent with and conditional upon a discussion of world economic problems and therefore British representatives should also be sent to discuss methods of improving the world situation." The proposal of the United States is at present under consideration by the departments concerned.

NO RETURN TO GOLD LONDON PRESS VIEWS "TOO GREAT A SACRIFICE" LONDON, Jan. 23 Commenting on the Washington invitation to Britain to discuss war debts and economic problems the Daily Mail says there must be no question of Britain going back to gold on the old basis. The Daily Herald says Britain must not accept the invitation if a condition is that she pledge herself to return to the gold standard at the end of two years. That would be too great a sacrifice. "The whole history .of the gold standard is one of booms and slumps," says the paper. "To-day 45 nations have freed themselves from gold, and their trade returns show an enormous advantage over those who have remained on gold."