DEBTS PROBLEM

Taranaki Daily News, 11 June 1932, Page 5

DEBTS PROBLEM

EUROPE MAY COMBINE

TREND OF TH E CONFERENCES

GERMAN inability to pay

IS. FRENCH VIEW CHANGING?

HERRTOT-MACDONALD TALK

By Telegraph—Press Assn.—Copyright.

Rec. 11 p.m. London, June 10. While the meeting of the British Prime Minister (Mr. Ramsay MacDonald) with the French Prime Minister (M. Heriot) en route to Switzerland is everywhere welcomed, there is still little sign of a permanent agreement at the Lausanne reparations conference. According to the Daily Telegraph, official circles in London expect the procedue to be somewhat as follows: •. Germany will declare its inability ever to resume payments. France will not accept this position. The immediate result will be an extension of the moratorium until the end of the yeai, the appointment of committees and an adjournment. Then there will be the world economic conference in London in October. A similar appointment of technical committees will be followed by an adjournment during the American elections in November, the conference leemerging as a plenary conference when the American policy has been re-stated. The London and Lausanne conferences in the light of that policy will enter the final stages at the end of the year in an attempt to reach decisions. It is understood that with the advent of M.. Herriot the French attitude has undergone a modification. It is believed the French Government may even consent to cancellation of allied war debts, or that Britain may agree to join France, Italy Belgium and others concerned by serving notice on America of their inability to pay debts since they themselves are receiving no more payments from Germany. It is reported from Berlin that Herr von Papan (the Chancellor) himself has decided to go to Lausanne and is leaving on Tuesday.

WHY BRITAIN SOUGHT U.S. HELP.

CALLS MADE BY THE ALLIES.

(British Wireless.) Rec. 5.5 p.m. Rugby, June 9. Asked what amount included in Britain’s war debt to the United States was represented by guarantees given by Britain for material supplied direct to France on French account, Major W. E. Elliot, Financial Secretary to the Treasury, replied that the British war debt to the United States contained no specific items of the kind referred to. The position was that if Britain had not had any calls for assistance from her allies it would have been unnecessary for her to have asked for assistance from the United States Government.