SENATORS PROTEST AGAINST TERMS OF DEBT SETTLEMENT.

Star (Christchurch), Issue 17836, 3 May 1926, Page 10

SENATORS PROTEST AGAINST TERMS OF DEBT SETTLEMENT.

BORAH DECLARES FRANCE IS MOST PROSPEROUS. By Telegraph.—Press Assn.—Copyright. Aus. and N.Z. Cable Association. WASHINGTON, April 30. The French war debt settlement transmitted by President Cooh’dge to Congress on Friday last met with immediate opposition in the Senate where a number of Senators made demands that the Finance Committee should make a thorough-going investigation into all the acts of the American Debt Commission. Senator Borah declared: “ France is the most prosperous nation in Europe. She has been prosperous for the last three years. If we cannot collect more thaft fifty cents on the dollar, it is because the French citizens are unwilling to pay taxes commensurate with the obligations placed Upon them.” In transmitting the debt settlement. President Coolidge said: “ A settlement upon the terms set forth in the agreement is fair and just to both nations.”

A message from Washington on April 23 said:—France to-day submitted her new offer for settlement of the war debt to the United States amounting to 4,000,000,000 dollars. There are definite indications that the new French debt offer goes further towards meeting America’s demands than did the unsuccessful Caillaux mission of last summer. The sixty-eight year settlement programme advanced by M. Caillau at that time will, it is understood, be reduced to sixty-two years as the basis of agreement for other d *»tor nations. It is understood France does not insist upon a guarantee clause relieving her of payment in the event of Gefmany failing to meet her reparation payments to France. It is understood, 25,000,000 dollars annually, including this year, and to guarantee payments to 100,000,000 dollars annually so as to meet the full debt.