RIFT IN GERMANY

Poverty Bay Herald, Volume LXIII, Issue 18961, 11 March 1936, Page 5

RIFT IN GERMANY

OPPOSITION TO HITLER

FINANCIAL DIFFICULTIES

PROTEST BY DR. SCHACHT

MORE LIGHT ON DECISION

iF.let. Tel. Copyright—United Press Assn.) (Reed. March 11, noon) LONDON, March 10. ' The Berlin correspondent of The Times gives an illuminating explanation of what was behind Herr Hitler’s impulsive act.

The Minister of Economy, Dr. Schacht, constantly pointed out to Herr Hitler that there were limits to creating recovery by financing rearmament by a continuous expansion of Government credit. Dr. Schacht kept reminding Herr Hitler that Germany’s financial and economic salvation lay in resumed contact with the western Powers, but the Nazi party insisted that Germany should not capitulate. Dr. Schacht, who is faced with the difficulty of funding the floating debt, was supported in that connection by international bankers. OFFER TO RESIGN It is significant that Dr. Schacht and Baron von Ncurath, the Foreign Minister, were not present at the vital meeting at the Chancellory on March 2, at which, presumably, the Rhineland decision was taken.

It is reported that Dr. Schacht on March 3 protested and offered to resign. Last week’s events abroad, which precipitated Herr Hitler’s decision, included the threat of oil sanctions against Italy, who might leave the League and hack out of the Locarno Pact. Germany also feared the possibility that M. Flandin, in return for France’s support of oil sanctions, might demand additional guarantees from Britain for security against German aggression in the Rhiueland.

Herr Hitler feared that Britain automatically would be committed to sanctions against Germany, whose encirclement would be complete and his foreign policy ruined. He therefore took Saturday’s decisive step, hoping to appease British opinion by an offer to rejoin the League of Nations.

UNREST IN BALKANS

FOUR POWERS TO MEET

FEARS OF BULGARIA

(Reed. March 11, noon) ATHENS, March 10

Representatives of Rumania, Yugoslavia, Greece and Turkey are to meet at Belgrade on March 23 to discuss the attitude of the signatories to the Balkan Pact in the event of a European conflict.

The respective Governments and the respective general staffs are anxious to come to a complete understanding. There have been rumours of hurried, secret military preparations in Bulgaria leading to apprehensions that she intends to denounce the clauses of the Treaty of Neuillv, under which she renounced claims to Macedonia and Thrace. -Greece and Turkey are reported to have promised Yugoslavia assistance in the event of a conflict with Bulgaria or Italy, provided it is limited to the Balkans.

DOMINIONS ADVISED

ATTITUDE AT GENEVA

RESPECT FOR TREATIES

LONDON, March .10.

After the departure of the Foreign Secretary, Mr. Anthony Eden, for Paris all the High Commissioners were received to-night at Downing Street, where Britain’s attitude towards the Rhineland situation was further explained. The Australian. Associated Press understands that the British and Australian standpoint at the League Council meeting will favour the condemnation of Germany’s unilateral denunciation of the Locarno treaty, and will emphasise that respect for freely negotiated treaties must be. a basis of any attempt to rebuild European peace, but will resist the French and Belgian demands for any forms of sanctions against Germany, because, although the treaty is broken, aggression has not been committed.