HYTHE CONFERENCE

Hokitika Guardian, 26 April 1921, Page 2

HYTHE CONFERENCE

COURSE OF DISCUSSION. AUSTRALIAN AND N.Z. CABLE ASSOCIATION. LONDON, April 24. Later reports as to the conversations at Hythe state they were purely- a diplomatic contest between the two Premiers, the millitnry add support to France’s determination to occupy tli Ruhr district. Britain is faced with a problem as to whether she will lose more in trade than ever received in the indemnity. As one publicist put t, in cases, of international default, it ' is one thing to seize goods, but quite another thing to transmute them into 'ash. Other quarters view the seizure of Ruhr with apprehension, as being a further injury on the British coal industry. with an increased disorganisation of exchange. There were two views presented to the French Government iast week. The first was that suggested by M. Scydoux, a French Economic expert at the Brussels Conference in which there should he Allied control and economic experts of both countries -.mug left at % home. The main question at issue is whether Britain will, give* active support to France’s proposal to occupy ihe Ruhr, or favour trusting to Germany to make satisfactory proposals yet. There are two schemes. One is that of a French economic expert to arrange to take toll of German exports and coal with a threat of military occupation if Germany obstructed. The second scheme was the definite occupation of the Ruhr. The fact that on Friday last the experts consulted Marshal foch and the military leaders has led to the opinion that the second plan has been adopted. Moderate feeling in England does not go all the way with M. Brinnd’s attitude viz. that the time for talking is past. While making due allowance for . France’s great suffering there is a feel- - ing in England that France is creating in Germany a hatred as great as that generated in France over the 18(0 terms. It is reported Mr Asquith, Lord Robert Cecil, and Air Barnes have sent a memorandum to Air Lloyd George appealing to him not to lend assistance for further sanctions if France is fully determined to occupy the Ruhr. Mr Lloyd George may find himself in diplomatic impasse. It is believed he has nourished hopes of an eleventh hour acceptable proposition from Germany. Certain circles view Germany s latest proposals with regard to the devastated areas as a process which would ultimately result in an expansion of Germany’s industrialism. Reconstruction by German workmen with German materials might enormously assist her unemployment problem, without ameliorating similar conditions in France. There is some confusion over Germany’s attitude over the Reich bank’s gold. The report from Brussels that Germany was sending it to Cologne is erroneous through a wrong interpretation of a telephone message between the Reparations Commission at Paris. The fact is that Germany has rejected the Allied demand. Her ground for so doing is that the gold is private money. Germany points out that under the A 7 ersr.illes Treaty, she is prohibited from exporting gold 1 >efore May 1. She is willing to prolong the treaty prohibition until October. MR LLOYD GEORGE’S DECISION. LONDON, April 24. It has been semi-officially announced after Mr Lloyd George received newspaper men at Hythe that Britain greatly sympathises with the French reparation proposals, and will support the occupation of the Ruhr district, unless Germany fulfills the Tioaty obligations. Germany’s last note, it is announced, is quite inadequate as it makes no definite proposal for the payment of the balance of reparation, and still less, in the way of an offer to pay the £600,000,000 due to the Allied on May Ist. It is admitted Germany’s proposals to supply material and labour for the restorations of devastated areas, will he welcome, hut France has been applying to Germany for six months for materials without result.