Europe and Reparations

The past week has seen every nation directly interested in the reparations fight stiffening its back: Europe is preparing for a grand diplomatic dogfight.

Impartial reports from the great industrial area show no slackening of German resistance, although the French have now " dug themselves in " and are able to extract coal from the mine heads in paying quantities. The most ghastly act of sabotage by the Germans was the blowing up of a Belgian train on the Hochfeld Bridge. Nine Belgians were killed outright, and 34 Belgians and nine Germans were wounded, many of whom are not expected to live. German towns in the vicinity of the disaster will be held responsible for damages. Families of dead and wounded were given a legal right to damages.

Great Britain, in the absence of a reply to her last note, made it clear that unless France is prepared to meet her in seeking a solution to the reparations problem, she will call a conference of the other Allies on her own account. As foreshadowed in TIME, June 4, Mr. Baldwin's policy is being shaped by economic considerations, not by political exigencies.

The reason for the intractable attitude of the Baldwin Administration is not difficult to see. The British conceive that the Poincare Government as determined to force a change of Government in Germany, which at this time may put the Communist element into power. In such an eventuality it is considered that civil war would break out in Germany and that the Federal Government system would collapse. This would play directly into the hands of France, who would be able to seize the Rhine provinces as a protective measure. This state of affairs would be most unwelcome to Great Britain, who, therefore, is determined to galvanize the French into life and force them to enter into negotiations with Germany as soon as possible.

The great sensation of the week was the letter from Pope Pius XI to the Papal Secretary of State, Cardinal Gasparri, suggesting plans for an early Ruhr peace. The Pope backed the suggestion, emanating from U. S. Secretary of State Hughes, for an international conference to fix Germany's capacity to pay reparations. He also suggested that the Ruhr occupation should be withdrawn progressively as guarantees for payment from the Germans became effective. The Pope expressed some surprise that his suggestions were received unfavorably by the French Government, which considers the Pope's message an attempt to undermine the French position. The note was favorably received in Italy, Britain, Belgium and Germany, as it virtually backed the present plans for forcing an early Ruhr and reparations settlement.

M. Raymond Poincare, who as Premier and Senator is privileged to speak in both Chambers, made a declaration in the Senate on French policy. His oration was kildly greeted by the assembled Senators. M. Poincare had six points:

1) France will neither modify her occupation of the Ruhr nor evacuate except upon payments from Germany.

2) The French Government is ready to resume reparations negotiations with England.

3) M. Theunis, who resumed the Belgian Premiership, stands behind France.

4) France and Belgium desire to meet England's demands, but are not prepared to menace vital French interests.

5) France cannot accept the Pope's anti-occupation suggestions.

6) If France had had political or militaristic motives she could have occupied the entire Mainz Valley.

It is to be noticed that the French Premier was careful to avoid mentioning why the British questionnaire still remained unanswered, although he professes that the Government is ready to negotiate with Britain. The reasons:

1) It is inexpedient to answer the British officially until Premier Theunis of Belgium has succeeded in forming his Cabinet.

2) France is self-admittedly in no hurry to settle the reparations and Ruhr rumpus. (This last point means that the Germans must change their tune and show that they are sincerely anxious to have peace by stopping passive resistance before the French will start negotiating.)

All things taken into consideration, it seems reasonably certain that M. Poincare will join in the proposed reparations conference, but that does not mean that he will budge one inch from his policy of forcing Germany to pay her debts and to guarantee France from acts of aggression.

During the week the French forces in the Ruhr extended the occupation to Langen and Eschborn. Their extension is in the Mayence district, not in the Ruhr, and is toward the great city of Frankfort. In the Ruhr the town of Hohen-Syburg was occupied. Alll these occupations were carried out as penalties for sabotage.

There is a semi-official rumor in circulation that the Belgian Cabinet crisis is being deliberately protracted. It is understood that M. Theunis is anxious to determine the attitude of France to the conference proposed by Britain before announcing the formation of his Cabinet, by which act he will make the future attitude of Belgium clear.

Although M. Theunis has obviously swung round to the British, he is nevertheless anxious to prevent a break with France; but the fact that the Ruhr occupation is hitting Belgian industry very hard makes it imperative for the Premier to seek an early solution of the present tangle.