ALLIED ACTION.

Hokitika Guardian, 9 March 1921, Page 2

ALLIED ACTION.

Further Particulars LLOYD C.EORGti OH SITUATION OBJECTIONS TO GERMAN PROPOSALS. MILITARY SANCTIONS -MUST OPERATE. BY TELEGRAPH —PRESS ASSN., COPYRIGHT. AUSTRALIAN it N.Z. CABLE ASSOCIATION] LONDON, March 7. Speaking at the London Conference Air Lloyd George said:—The Germans’ offer contained no certainty of payment. There was nothing definite, nothing adequate about it. It did not offer, a settlement for five weeks, let alone for live years. It was not one on which, in the markets of the world, a single p;*pcr franc could be raised.

There were certain significant sentences used by Dr von Simons, which showed clearly that Germany had not faced her problem. TTe had talked ol the enormous sacrifices Germany would have to make in order to pay the annuities demanded in five years. Germany. said Mr Lloyd George, did not quite realise the essential facts, of the situation, ; nd that had impressed him more and more each time he attended the Conference. It was not on .ocounfc of a lack'of effort that'lie had announced on behalf of the Allies, their failure to come to anything like an appropriate understanding with Germany. It was a common ground to all parties concerned that it was essential for the world’s place that there should lie a definite settlement between us and each .if ns. We wanted to know exactly where we stood, so as not to build on a rocking loundation, bet on something, however low, it was,* that was firm and touched bottom. Ho would examine Dr von Simons’ proposals in the light of what he considered to be the paramount interest of Germany, the Allies and neutrals. It was in the light of such an examination that lie thought they had completely failed and until the Allies got proposals from Germany which meant a definite, unchallengeable settlement there could be no peace between them. Dr Simons latest proposals were subject to conditions one of which was to take a plebiscite in Silesia, If the Allies accepted Dr Simons' proposals lie would be perfectly justified in coming there and saying that Germany had been deprived of the territory on which she depended to pay the annuities, and therefore the London arrangement was at an end. If Silesia remained German and all went well with the annuities, what would happen afterwards? The Allies had no proposal, no figure, or precise method of arriving at a figure. There was no minimum. Even while Germany was not anticipating that she would be able to pay annuities out .of current revenue for the first five years, would she mortgage her revenue for the years fol-lowing:-1 Even if Germany iraid the first year’s annuity, she would have to find £120,000,000 for till the Allies—onefourth of what Britain has to find with her million of unemployed for war debts, charges and pensions, and onenintli of what France has to find with her millions of unemployed for war debts, charges and pensions and oneninth of what France has to find. Yet. comparing Germany’s population with that of Britain and France, they were told Germany was making a colossal sacrifice. Another significant part of Dr Simon's speech was the refusal to accept Germany’s responsibility for the war. When he saw the proposal limited ti live years it loft an uneasy feeling in his mind that there was an inclination by Germany to consider tlq> possibility of history beginning 5 years hence, and to appeal for a revision of the sentence The Allies could not enter upon any iAisijtissioii on that basis. Germany’s responsibility for the war was fundamental. Unless Germany, what she thought of the verdict, was prepared to act upon it, then no arrangement made could give confidence and restore th t . neighbourly goodwill essential to Europe’s peace.

The second point upon which a setimnst be instituted was the method of payment. A mere paper agreement promising payment was unsatisfactory, and insufficient. Dr Simons’s proposal did not carry out any of these objects. He was afraid Dr Simons really was not in a position to negotiate. He represented, and was returning to, a public opinion which was not ready to pay this debt. Such proposals were not a settlement, but mereIv tin evasion.

The Allies had regretfully decided that the Paris sanctions must opera I immediately.

SIMON’S REPLY. HAS NO SECOND PLAN. . LONDON, March 8 The bead German delegate, Dr Von Simons, replying to Alt Lloyd George, said lie had to take refuge in a proposal for a provisional settlement under the pressure of the Allies ultimatum. He regretted, he said, that lie had not a second proposal in his pocket. That was the reason why he had to try and find some new way and he regretted the position. He desired a brief delay to consult bis Cabinet.

Dr Simons repudiated the suggestion that Germany was not ready to fulfil her obligations tef the limits of her capacity. He declared that the fear expressed that Germany would .make use of any• provisional settlement in order to secure later revision of the Treaty was unfounded. Germany was prepared to fulfil all the obligations to her utmost limits.

There was a possibility he said, that they would be ready to furnish the Allies with part of the reparations by paying a portion of the purchasing prices of German goods delivered into

Allied Countries to the reparations Commission. He had submitted, and bad recommended this proposal to his Government and lie only regretted that this proposal should have been discredited in Germany by the Allies action in having placed it amongst the Paris sanctions.

He said lie agreed with the Allies intention to institute an examination into the methods of the fixed and varied payments to different countries.

He thought these points should be dealt with by a Joint Committee of Experts. The experts were going to meet, however, in an atmosphere embittered by the sanctions. He felt obliged to enter, with all his strength, a protest against such procedure.

IN PARLIAMENT. STATEMENT BY LLOYD GEORGE. LONDON, March 8. Mr Lloyd George, in a statement in the House of Commons y to-night, announced that the German proposals had been refused at the Conference. He felt no proposals had been made which would justify postponing the putting into operation of the sanctions agreed on at Paris. The German nation, he said, did not in the least realise that the Allies were determined to enforece their Treaty proposals. He added proposals would be submitted to the House of Commons for enabling the Allies to compel every purchaser of German good s in Allied countries to pay a proportion of the purchase money into the Exchequer.

Referring to the sanction which enabled the Allies to compel purchasers of German goods to hand over a portion of the money to the Exchequer, lie said, in answer to a question: “We shall certainly pass these proposals on to the Dominions, but they must legislate themselves. They are just as interested in the indemnity as we are?) and probably they will find this the best way of collecting it. That is all we can do. AVe cannot pledge the Do-

minions.”

lie "explained that the proposals would operate thus: The Government proposed to deduct whatever percentage was necessary, in order to levy the proportion of annuities which appertain to our country, 50 per cent would cover the amount this year. The man «

who buys £IOOO worth of German goods would pay £SOO into the British Exchequer. He would secure a receipt, and then send the German seller a bill of exchange for the balance, to which lie would pin the Treasury receipt. The German seller would then go to His Government and say: “I want you to cash tin’s receipt.” The seller cashes into the currency which is quite useful to hint; but which is no good to us, so we get paid in our currency, and the Germans in theirs, and both (are satisfied. (Laughter); Here there was an • interjection: “What would happen if the goods were exported to ex-neutrals?” Air Lloyd George in reply, said:— “They would not allow such fraudulent transactions. What would settle the transaction was the origin of the goods. There was no difficulty in following that.”

Air Henderson (Labour) asked for nil early opportunity for a full debate. To this request Mr Lloyd George assented.

BRITISH FORCES. ORDER TO MARCH. LONDON, March 8 The British War Office has instruct- . e;l a detachment of the British Rhine army to proceed to’Dusseldorf in Ger- i many. ALLIED LEADER. HAS OYER 100,000 .MEN. LONDON, March 8 General Degonette has nominally llii thousand men at his disposal. These include 0,000 French, 12,000 Belgians, 0,000 Americans, and 12,0(H) British. (if these latter four battalions are now in Silesia in connection with the plebiscite. GREAT FRENCH ELATION. PARIS, March 8. The Paris populace are delighted with to-day’s news that the Allies had determined to “stand no more nonsense.” News of the advance ran through the boulevards like wildfire and there were smiles on every face. Frenchmen have all along' been convinced that the measures which the Allies have now decided to take were the only possible ones with people like the Germans. german Delegates leave LONDON. LONDON, A larch 8. . The German Delegation has arranged to leave London. It departs at 2.30 tomorrow. A.M ERICA'S ATTITUDE. WASHINGTON, -March 8

The United States Department lias announced that the United States Aimy of occupation will not co-operate in the Allied advance into Germany.

HERR EBERT’S PROTEST. (Received this day, at 9.30 a.m.) BERLIN, March 8. Herr Ebert has issued a proclamation protesting against the Allied advance, which be declares is contrary to the Treaty. DUSSELDORF OCCUPIED. (Received This Day at 9.45 a.m.) PARIS, March 8. French, British and Belgian troops occupied Dusseldorf at six in the morn- * ing, without incident. GERMAN CABINET. (Received This Day at 9.45 a.m.) PARIS, March 8. The “Petit Parisien’s” Berlin correspondent states the question of Cabinet’s resignation in favour of a coalition will be considered on AVednesday. GERMAN DELEGATES VIEWS. (Received This Day at 9.45 a.m.) LONDON, March 8. One of the German delegates stated that, all were sorry that negotiations had broken down, but ho believed they would be re-opened in a fortnight. Referring to occupation be hoped there would lie no more fighting but be feared a, Communist revolt in Ruhr district, which was the home of the Communists. There was no fear of Bolshevism getting a bold of Germany. If Silesia were taken from Germany the result would be ruinous, like talcing Lancashire from England.