GERMANY CANNOT PAY.

Star (Christchurch), Issue 16815, 18 August 1922, Page 5

GERMANY CANNOT PAY.

ALLEGATIONS BY M. POINCARE DENIED. “AT THE DEATH-BED OF A NATION.” By Telegraph—Press Association —Copyright Australian and N.Z. Cable Association. BERLIN, August 16. Dr Wirth. interviewed by foreign journalist*?, said : “ Germany is steering full sail for conditions similar to those prevailing in Austria. It is absolutely impossible to keep Germany together when her currency ie worthless.’’ He denied M. Poincare’s allegations that Germany bad offered a £4.000,000 loan to Czecho-Slovakia. There was not a word of truth in the statement, he said, and the further*’ statement by M. Poincare that Germany had founded banks in Denmark, Roumania and Holland was equally untrue. German fin anoers were interested in banking con. cems in Holland merely to enable German trade to link up again with thfc outside world as all German banks in Allied countries were closed down. If Germany desired to depress the currency by the sale of marks abroad she would scarcely attempt this through specially established banks. Dr Wirth proceeded: “ The present inability to pay the reparations in gold will qiijickly be followed by an inability to pay in kind. Yesterday’s payment of £500,000 was taken from funds required to purchase foreign cereals for the people’s bread. It is like being at the death-bed of a nation when one surveys the situation. Our great task in the next months will be to assure social order in Germany ; already there is a serious threat of unrest everywhere. ’’