IN SERIOUS QUANDARY

New Zealand Times, Volume XLIX, Issue 11307, 5 September 1922, Page 5

IN SERIOUS QUANDARY

RESSURCES SHRINKING WHAT LEAGUE OF NATIONS MUST FACE. QUESTION OF FINANCE. By Telegraph—Press Assn.—Copyright. Australian and N.Z. Cable Association. LONDON, September 3. The Australian Press Agency is authoritatively informed that the gravest question facing 1 tdie of Nations during the coming year is that of finance, because its _ resource® are shrinking, while its activities are expanding. Some nations are not paying their contributions, and others are paying on the reduced scale whioh was proposed last year, but which has not yet been validated. The League of Nations authorities are in a serious quandary, but are disinclined to insist on a higher scale. They oannot enforce payments, even in the case of defaulters. Some of the smaller nations have suspended their contributions, pleading national poverty, but tho league shrinks from expelling them, for fear of breaking the league. Nevertheless, unless the finances are strengthened or the expenditure curtailed, some members foresee a gradual disintegration of the league. Sir James Allen (New Zealand), sole British member on the finance committee, has been attending meetings for several days. He admits that the finances require the gravest consideration. CHURCH SERVICE AT GENEVA SERMON BY ARCHBISHOP OF CANTERBURY. LONDON, September 3. At Geneva, the Archbishop of Canterbury (the Rev. Randall Davidson) delivered the League of Nations inaugural sermon in the Cathedral of St. Pierre. Lord Balfour read the lessons. There were many delegates present. Dr Davidson said that he .believed the league might go far to make tho kingdom of God a reality in our lifetime, but it was vain to talk of the righteousness of God while the monstrous arbitrament of war was impending. The foremost thinkers, statesmen,' and rulers of Christendom had thrown their strength into devising plans to make war impossible. Meantime they might surely say that militarism had; fashioned its own coffin and they were there to olinoh the nails. REMEDIES TO RELIEVE AUSTRIA MARKET VALUE OF CURRENCY. (Received September 4, 5.5 p.m.) LONDON, September 4. The “Daily Telegraph’s” Geneva correspondent states that the Austrian Premier has been invited to discuss with the Council the question of remedies necessary to relieve Austria. It is said the entire Austrian currency is purchaseable for £3,500,000. The ques,tion is whether, the League of Nations should advance that sum on the security of the railways in order to reestablish fiduciary circulation. It is also stated that certain banks are prepared to lend Austria £15,000,000 if the League of Nations guarantees the loan. SEATS ON COUNCIL GERMANY WILL NOT APPLY. (Received September 4, 6.5 p.m.) LONDON, September 4. The “Daily News* Geneva correspondent states that Germany will not apply, for membership of the league of Nations, and the Little Entente and Sweden are applying for two of the four vacancies. China will probably drop out.