CRISIS IN CENTRAL EUROPE

Timaru Herald, Volume CXLIV, Issue 20965, 18 February 1938, Page 9

CRISIS IN CENTRAL EUROPE

CAUTIOUS ATTITUDE OF BRITAIN TOO SOON TO PRONOUNCE JUDGMENT British Official Wireless RUGBY, February 16. Developments in the Austrian situation which followed the Berchtesgaden meeting between Herr Hitler and Dr. Schuschnigg (Chancellor of Austria) are being studied here with close interest. The more authoritative circles feel that it is too soon to express the view that the terms accepted mark the end of Austria’s real independence. Confidence is displayed in Dr. Schuschnigg’s disinterestedness and loyalty. It is recalled that during the years in which he has been Chancellor of Austria he has shown exceptional skill in steering the country through difficult times. The prevailing view is that he can be relied upon, therefore, to do what he thinks best in the present difficult circumstances. Some surprise is. shown that Italy appears to have made no move during the developments which appeared to affect Austria’s independence, the maintenance of which has always been regarded as of special interest and concern to Italy. Foreign Minister’s Statement The Foreign Secretary (Mr R. A. Eden), said in the House of Commons that he believed the agreement between Austria and Germany contained undertakings regarding a variety of subjects, but until the text was available he could not make a further statement. In the meantime he was closely following developments. Great Britain desired peace and good understanding in Central Europe, as elsewhere. The British, French and Italian declaration of 1935 reaffirmed British interest in the integrity and independence of Austria. A Vienna message reports that it is believed that the amnesty for political prisoners affects about 4000, some of the sentences extending to 1941. A radio broadcast gave the information that the amnesty will cover Socialists, and Communists in addition to Nazis. Nazi Ascendency As a result of the Berchtesgaden Agreement half of the 150 Austrian army officers previously dismissed because of Nazi activities will be reinstated. The remainder will receive full pensions and also the 1932 civil servants who were dismissed will receive full pensions but Will not be reinstated. A Berlin message states that Nazi officialdom does not disguise its jubilation at having driven a wedge into the long-resisting Austrian Government and is hailing the Cabinet reshuffle as a victory. Herr Hitler has openly admitted that the Nazis have gained a greater Influence in the Cabinet than was at first apparent. A Decisive Step It is reported from Paris that Prance regards the Austrian Cabinet as one of the most decisive steps in the European situation opening as it does the way to German influence in the Balkans. IS ITALY SATISFIED? SILENCE IN OFFICIAL CIRCLES United Press Association —By Electric Telecraoh—ConvrlEht LONDON, February 17. The Rome correspondent of the “Daily Telegraph’’ reports that there is complete silence in official circles. It is well-known that Signor Mussolini’s policy concerning the independence of Austria has been entirely modified. He knew on Saturday, after the meeting at Berchtesgaden, exactly what the situation was going to be. It is thought that Herr Hitler assured II Duce of the fact that Austria’s independence would be saved and that he would continue to support II Duce in Spain. HAS ITALY BEEN BRIBED? ANGLO-FRENCH QUESTIONS FOR GERMANY United Press Association —By Electric Telegraph—Copyright (Received February 17, 5.5 p.m.) LONDON, February 17. "The Daily Mail” says that England and France, after discussions, asked Germany for Information regarding Austria. “The Daily Herald” states that Dr Schnuschnigg will appeal. to England and France, asking if they can do anything to help him. Official circles are chiefly disturbed at Signor Mussolini's failure to defenn Austria says the Parts correspondent of “The News-Chronicle”. “If II Duce received a price for silence it is feared that the bargain will soon be revealed in Spain or the Mediterranean, but the opinion is expressed that Signor Mussolini may be cowed by Herr Hitler and is unable to assume further responsibility owing to Abyssinia and Spain. PARLIAMENT CALLED FOR NEXT WEEK WHAT IS ITS FUTURE? UuiteO Pres? Association—Bv Electric Telptfrn oh Copvrlgh t (Received February 18, 12.20 a.m.) VIENNA, February 19 The Austrian Parliament is expected to meet on February 24. VUSTRIAN BONDS WEAK HEAVY FALLS IN ENGLAND United Preee Association—By Electric Telegraph —Copyright LONDON, February 16. Austrian bonds are the heaviest sufferers in the markets. America's gold desterilisation move has fallen

flat, as far as the market improvement is concerned, but helped to unsettle the foreign exchanges. Inflation fears are further depressing the dollar. French francs are also weaker, partly owing to the Central European fears, and partly to the threat of labour troubles.