CONFERENCE A CLINIC.

Star (Christchurch), Issue 16738, 20 May 1922, Page 17

CONFERENCE A CLINIC.

A BANKER'S OPINION. Ay Telegraph — Press Association —Cop.vrlcht Reuter's Telear&ms. WASHINGTON, May 18. Mr Frank Vanderlip, the New York banker, who is holding a watching brief at the Genoa Conference for United States financial interests, has tabled to the Chamber of Commerce that the Conference is a clinic rather than a conference- It exposes o variety of social diseases, such as fantastically excessive reparations claims, and excessive military expenditures, thus causing the inevitable unbalanced budgets, and boundary lines that are an outrage on economic and ethical principles. The Government debts are so vast as to destroy any hope of solvency, and part of the disea.se is the economic isolation of Russia. The United States should study a plan for segregating part of its gold reserve to help to stabilise European currencies after the budgets have been balanced, but the Government must avoid involving the United States bank reserves- Discussion at Genoa of the more important subjects is prohibited, and the economic significance of Russia is absurdly emphasised. Un less strong statesmanship can compel a more reasonable attitude on the pprt of France the situation in Germany will he critical. Royalist plots abound there, and increasing prices promise to cause social hardship which may result jn revolutionary outbreaks. Mr Vanderlip reviews the international significance of the actions of the Conference, and concludes: —“ The attitude of the United States Government with respect to Europe is so eminently wise that I feel like trusting the Administration fully. We had better not embarrass it with suggestions. ” The majority of the speakers at the Chamber of Commerce Convention oppose the economic recognition of Russia, and asserted that the settlement of the German reparations would restore world business.

TRUCE NOT TO BE SIGNED.

GENOA, May 19. The truce will not he a signed document. but each delegation, at Friday's plenary session, will make a solemn declaration faithfully to observe it. RUSSIA AND COMMUNISM. WASHINGTON. May 19. President Harding, addressing the United States Chamber of Commerce, declared he had received advices from Russians stating that there could be no reconstruction of the country until the communistic idea had been abolished. He expressed the belief that if America had had a merchant fleet in proportion to the importance of its trade there would not have been any world war.

The Secretary of State, Mr C. E. Hughes, addressing the same body, expressed similar convictions regarding Russia.