DEBT PAYMENTS

Hokitika Guardian, 25 June 1931, Page 6

DEBT PAYMENTS

NOT PLAIN SAILING.

[United Press Association—By Electrio Telegraph—Copyright. ]

WASHINGTON, June 23. Germany to-day formally accepted Mr Hoover’s proposal. OTTAWA, June 23. "Mr Hoover’s proposal might be the one .factor that would stabilise business and start it on the road back to recovery,” Sir Henry Thornton told the special Parliamentary Committee dealing with the Canadian National Railways, to-day. "Personally,” he said, “I think it is.”

U.S.A. LOAN TO GERMANY. WASHINGTON, June 23. While President Hoover devoted the day to energetic efforts to speed up the acceptance of his preparations programme, the U.S.A. Federal Reserve Board was credited with considering the granting of a substantial shortterm loan to tlie Rcichbnnk through the New York Reserve Bank. Mr Hoover’s administration appears to be. unwilling to heed the Deinocrtic Party’s appeals for an extra Congressional session, but it nevertheless seems probable that if the suspension of the foreign payments to the United States is to be approved before the next payment on December L9th, the United States Congress will have to assemble some weeks prior to that date.

Senator Harrison, a.Democrat, lias proposed a "Political Armistice,” in order that all the partisan, issues may be abandoned during -the Congressional discussion of the Hoover programme.

DOMINION WAR DEBTS. THE BRITISH VIEWS. LONDON, June 23. The “Daily Telegraph” referring to the positions of the Dominions, says: “British official circles emphasise that this is strictly a domestic affair, which should form the subject of inter-Em-pire, '“and not an inter-National argument. There are highly technical questions yet to be clea'red up.

AUSTRALIA’S POSITION

CANBERRA, June 24

Referring to the debt postponement proposal, Mr Scullin welcomed it. The Prime Miriister pointed out that it Great Britain under the Hoover plan, afforded relief to the debtor nations, Australia . being one, then Australia would be relieved to the extent of £3,920,000, but she would forego her share of the reparations to the extent o£ £830,000. Thus, there would be a net gain to the Commonwealth of £3,090,000.

N.Z. WAR DEBT. ALREADY MADE. WELLINGTON, June 24. In reply to a question the Prime Minister (Mr Forbes), said that it was impossible to indicate whether President Hoover’s debt postponement scheme would have any hearing on this year’s taxation proposals of government, as Mr Hoover’s suggestion was in a tentative form. New Zealand, lie said, had already paid her half-yearly debt instalment for the current year. The whole matter was the subject of correspondence between the Government and the High Commissioner for New Zealand in London.

A FULL YEAR’S REMISSION. LONDON, June 24. The "Morning Post” declares that the British Government is committing a serious error in delaying its declaration concerning the effect of the Hoover offer on the Dominions. The "Morning Post” says:—"There ought not to be on© moment’s doubt regarding onr intention to offer),them the full benefit of the year’s moratorium. We cannofc deny our kith kind kin the relief, which we are conceding to foreigners, especially, when there is no country more desperately in need than Australia.” It adds:—“For the honour of the country, let the Government speak now!” N.Z, MINISTER’S CONJECTURE. NEW PLYMOUTH, June 24. The Minister of Agriculture, speaking at the National Dairy Conference to-day, said that President Hoover’s suggestion to suspend for one year the (international war debts payment should be of immense value in reliev- i ing the present, serious economic posi- ! tion, and it might be that the war debts might soon be wiped out altogether.

INDIAN BUSINESS MEN. CALCUTTA, June 23. Business men in India gjenerajlly have given a warm welcome to President Hoover’s proposal for a moratorium, which has touched the imagination of the public at a moment when the financial and qeonomic situation is at its gloomiest. The press welcomes the proposal a-s a substantial contribution to a restoration of the world’s prosperity. One' comment is: "In a day as dark as this, the proposal is a candle which throws a far beam.”

FRANCE’S NEED

OF UNCONDITIONAL INDEMNITY. PARTS, June 24. The drift of the French Cabinet Ministers’ counter proposals to those

of President Hoover, it is understood, reaffirms the necessity of the maintenance of the Young Plan. It insists on the payment by Germany of the unconditional annuity, but it expresses a willingness to accept the payment in marks, the.payment being made to the Bank of International Settlements and it could then be used for the relief of the countries of Central Europe, which have been severely stricken in the present economic crisis. It will be also pointed out that the French deficit in the budget cannot be made up by additional taxation, which has not reached the limit. The French Government will, therefore be obliged to postpone its plan for national development.

HEARST AGAINST MORATORIUM. 1 LONDON, June 24. The American newspaper ow.ner, Mr Win. Randolph Hearst, who is at present in London, has made a remarkable attack on France, on the front page of the "Daily Express.” Mr Hearst prefaced his article by denouncing President Hoover’s proposal, and by pledging his newspaper to an unending opposition to his plan, which, he says, is one "to plunder the American people.” Continuing, he says:—"France is piling up gold until she has more per capita than any nation in the world. France does not cancel her debts, nor does she pay any. She is using the money she thus has misappropriated for building up a gigantic war machine. There can be no peace in Europe until France is compelled to cease creating wars. France should be hailed before a High Court of the world and bound over to keep the peace, or suffer the violent consequences of those who live by the sword.”