CANNOT DEFAULT.

Waikato Times, Volume 112, Issue 18807, 1 December 1932, Page 8

CANNOT DEFAULT.

DOUBLE-EDGED WEAPON. MR AMERY SPEAKS PLAINLY. PACTS MUST BE HONOURED. United Press Assn.—Elec. Tel. Copyright. LONDON, Nov. 29. Mr L. C. M. S. Amery, speaking at Birmingham, said: “Britain could not refuse payment of the American debt simply because it was unpleasant or others were defaulting. Repudiation was a doubleeged weapon for 'Britain, which was still the greatest creditor nation in the world, being owed apart from war debts four times more by the rest of the world than she owed America. “The consequences of o'ur default would strike us in the face in every quarter. “We at present are engaged in insisting that the Free State should fulfil her obligations. Must we admit we have been wrong and Mr De Valera right in saying that a nation’s pledges meant nothing if their fulfilment happened to be inconvenient? “A tremendous election in Australia was based on whether she would fulfil her obligations, but she honoured them. Are we now going to tell Australia what she fought for in order to preserve her honour was a piece of foolish quixotism? “What security shall we have if our example shows that pact and pledges mean 'nothing? “We cannot repudiate despite the burden imposed upon us if others refuse do so. Doubtless, we would like the Americans to regard the supplies they sold us at war time at stiff prices not as a business transaction, but as a common effort, but the Americans aro entitled to point to the letter of our signed bond and pact, and Baldwin repeated the bond after the war. “America cannot have it both ways. Sho can have it in debts or trade. If that is made clear to America it will bring us much nearer to a settlement than, any amount of reasoned despatches."