Bank of International Settlement Organized at Basle Baden, Nov. 13.
The organizing committee of the Bank of International Settlement, provided for by the Young Plan, have signed the agreement for the establishment of the bank, The document will now go to Brussels for signature by the chief Belgian delegates who have already left the conference, Tt has been decided that the International Bank shall be establish-
Jed at Basle because of the excellent railway, telegraph and_ telephone communications.
The statutes of the International Bank are embodied in sixty articles and seven chapters.
During the operation of the Young Plan the Bank will receive and distribute German reparations and assist in the commercialization, annuities. fixed at five hundred million Swiss francs, of which only twenty-five per cent, will be called up. Shares.
not carry voting rights, which will be vested in central banks or their nominee, The central banks directly concerned will be empowered to ban any operation which the Interns al Bank contemplates, if. they dis. agree with it. The International Bank is not entitled to issue currency, accept bills of exchange, make' loans to governments, open current accounts in the name of governments or acquire a predominant interest in any busines. The Bank must be administered with particular regard to maintain- a ing liquidity.
The board will consist of two directors each from the seven organizing countries and nine from others and also of the extra French and one extra German member as long as Germany pays reparations.
The chairman of the board will be president of the Bank, with a three-year term of office, and will have 'Sweeping powers. 'The general manager is to be appointed by the board' on the president's proposal and he is to be responsible to the president.—Reuter.
The following message! is, dated March 9, should conjunction with the Committee of Reissued today, expresses the opinion tha: a final settlement of permanent such as an German Ri requires a
international bank, to act as trustee, This institution would receive the: annuities from Germany and distribute them to her creditors. It would facilitate transfers of finance and deliveries in kind, and would act as an intermediary' between all the interested Governments and the issuing banks in the marketing of the bonds that might be issued for the commercialization of the German annuities. It would also cooperate with banks of issue, pos.
ably. receiving from them clearing and investment deposits, but it must} avoid competing with them, the communique adds, must be non-political, international and free from dominating financial relationships. Tt must be able to all central banks to maintain the of their exchanges and to facilitate for Germany's creditors the uninterrupted flow of the an-unities. The creditors would also the profits of the
Text read from the printed page and cleaned; old type leaves the occasional error.