THE ALLIES’ STAND.

Poverty Bay Herald, Volume XLVII, Issue 15465, 9 March 1921, Page 3

THE ALLIES’ STAND.

STATEMENTS BY' LLOYD GEORGE. FRENCH POPULACE DELIGHTED. UNITED STATES NOT TO COOPERATE IN ADVANCE. (Elec. Tel- Copyright—United Press Assn.) LONDON, March 7. Speaking at the Confernce, Mr Lloyd George said that the German 'offer contained no certainty of payment. There was nothing definite, nothing adequate about it. It did not offer a settlement for five weeks, let alone for five years. There were certain signiiicant sentences used by Von Simons, which showed clearly that Germany had not faced her problem. He talked of the enormous sacrifices Germany would have to make in order to pay the annuities in five years. Germany did not quite realise the essential facts of the situation, and that impressed him more and more each time lie attended the Conference. It was not on account of lack of effort that he had to announce, on behalf of the Allies, their failure to come to anything like an approximate understanding with Germany. R was common ground to all parties concerned that it was essential that the world’s peace should be definitely settled between us and each of us. We wanted to know exactly where we stood, so ns not to build on a rocking foundation, but, on something, however low, that was firm and touched bottom. He would examine Von Simons’ proposals in tho light of what he considered to be the paramount interest of Germany, the Allies and neutrals. It was in the light of such an examination that he thought they had completely failed, and, until we got proposals from Germany which mean a definite, unchallengeable settlement, there can be no peace between ns. . A r on Simons! latest proposals were subject to conditions, otic of which was to take a plebiscite in Silesia. If wo accepted his proposals lie would be perfectly justified in coming here and saying, “Germany lias been deprived of territory on which she depended to pay the annuities. Therefore (he London arrangement Ls at an end.” Tf Silesia re - mained German and all went well with the annuities what would happen afterwards? We would have no proposal, not a figure, or a precise method of arriving at a,figure. There was no minimum. Even while Germany was not anticipating that she would he able to pay annuities out of credit revenue for the first five years, will she mortgage her revenue for the years following?. Even r Germany pays the first year's annuity, she will only find 120 millions- sterling for all the Allies —one fourth of what Britain lias to find with a million unemployed for her war debt charges and pensions and one ninth of what France fins to find. Yet, comparing Germany’s copulation with that of Brjjnin and France', we are‘told Germany is making colossal sacrifices. Another significant part, of Von Simons’ speech was Iho re ‘usal to accept Germany’s responsibility 'or Iho war. When lie saw the pijo posal limited to five years, it left an uneasy feeling in his mind that there was an inclination by Germany to consider the possibility of history beginning live years hence and an appeal for a revision of the sentence. The Allies ould not enter upon a discussion op that basis. Germany’s . responsibility 'or the war was fundamental. Unless Germany—whatever she thought of the verdict —was prepared to act upon it, no arrangement made could give confidence ind restore the neighborly goodwill essential to Europe’s peace. The second noint upon which a settlement must s e insisted was the method of payment* A mere paper agreement, promising payment, was unsatisfactory and insufficient. Von Simons’ proposal did not carry out any of those objects. He was afraid Von Simons really was not in a position to negotiate and was returning to a public opinion which was not ready to pay this debt. Such proposals would not be a settlement, but merely an evasion. The Allies had Regretfully deided that the sanctions must operate immediately. Von Simons, in replying, said that he had taken refuge in a provisional settleunder pressure of the Allies''ultimatum. He regretted he had not a second proposal in his pocket. That was the reason why he had to try and find a new way. lie regretted lie had been denied brief delay to consult the Cabinet. He repudiated tho suggestion that Germany was not ready to fulfil her obligations to lie limit of her. capacity. The fear that Germany would make use of a pronrovisional settlement in order to secure, later, a revision of the treaty, was unfounded. Germany was prepared to fulfil her pbligations to her limits. There was a possibility that they would be ready to furnish the Allies with a part of tiie reparations by paying portion of the purchasing price of German goods delivered into Allied countries to the reparations commission. He bad submitted and recommended this proposal to his Government. He only regretted the proposal should have been discredited in Germany by the Allies having placed it. amongst the sanctions. He agreed with the Allies’ intention to institute examination into the method of fixed and varied payments to different countries. He thought these points should be dealt with by a joint committee of experts and the experts were going to meet in the atmosphere admitted by the sanctions. llq felt obliged to enter, with all stress, a protest against such procedure. Mr Lloyd George, in a statement in tho House of Commons to-nig.ht, announced that the German proposals had been refused. The Conference felt that no proposals were made which would justify the postponing of the putting into operation of the sanctions agreed upon. The German nation did not, in the least, realise that the Allies were determined to enforce the treaty. Pro posals would be submitted to the House of Commons enabling the Allies to compel every purchaser of German goods in Allied countries to pay his proportion of the purchase money in the Exchequer. He said, in answer to a question: “We shall certainly pass the proposals on to tho Dominions, but they must legislate themselves. They are just as interested in the indemnity as we arc, and will probably find this the best way of collecting it. That is all we can do. Wo cannot pledge the Ho explained that the proposal would operate thus: Tho Government proposed to deduct whatever percentage was necessary in order to levy the proportion of annuities which appertain to our country. Fifty per cent, would cover the amount this year. A man who buys £ICOO sterling tvorth of German goods would pay £SOO into tho British Exchequer, secure a receipt, and send the German seller a bill of exchange for tho balance, to whicli ho would pin a Treasury receipt. The German seller would then go to his Government and say: “I want you to cash this receipt.” Tho seller cashes it into a currency which is quito useful to him but is no good' to us, so wo shall get paid in our currency and the Germans in theirs and both are satisfied. (Laughter.) Replying to an interjection; “What would happen if goods are exported to ex neutrals?” Mr Lloyd George said that they would not allow such fraudulent transactions. "What settles a transaction is the origin of the goods. There will he no difficulty in following that.” j Mr Henderson asked for an early op-! portunity for a full debate, to which Mr Lloyd George assented. PARIS, March 7. The populace is delighted with to-day’s news that tho Allies were determined to , stand no more nonsense. Tho news ran through the boulevards like wildfire, There were smiles on every face. Frenchmen all along wore convinced that the measures the Allies have now decided to take were the only possible ones with a poople like the Germans. De Goutte has nominally 36,000 men at bis disposal, including 6000 French, 12,000 Belgians. 6000 Americans and 12,000 British, of whom four battalions are now in Silesia in connection with the plebiscite.

The German delegation has arranged to leave London at 2.30 to-morrow. The War Office has instructed a detachment of the British Rhino army to proceed to'Dussoldorf.

WASHINGTON, March 7. Tho State Department has announced that tho United States army of occupation will not co-operate in the advance into Germany.—A. and N.Z.C.A. DUSSELDORF OCCUPIED. ENTRY WITHOUT INCIDENT. GERMAN DELEGATES RETURN TO BERLIN. (Received March 9, 9.25 a.m.) BERLIN, March 7. Herr Ebert has issued a proclamation protesting against tlie Allied advance, which he declared is contrary to the treaty. PARIS, March 8. The French, British and Belgian troops occupied Dusseldorf at 6 o’clock in the morning without incident. The Petit Parisiene’s Berlin correspondent states that the question of tlie' Cabinet’s resignation in favor of a Coalition will be considered on Wednesday. LONDON, March 8. One of the German delegates stated that, all were sorry tlie negotiations had broken down, but bo believed they would he reopened in a fortnight-. Referring to the occupations, he said ho hoped there would be no more fighting,' but. feared a Communist revolt in the Ruhr district-, which was the home of the Communists. There was no fear of Bolshevism getting hold of Germany. If Silesia were taken from Germany tlie result would lie ruinous. It was like taking Lancashire from England. The German Ambassador leaves for Berlin to-night to discuss with the Cabinet the .situation arising out of the Conference’s decision. The German delegation has returned to Berlin. A large number of German residents in London witnessed their departure. Yon Simons, in an interview, staled that he was disappointed at- tlie lack of definite results of his mission, but perhaps the London Conference ‘would not ultimately prove barren of results.—A. and N.Z.C.A.