London, June 8.
'The Chancellor of the Exchequer, Mr," Neville' Chamberlain, to-day made his promised statement on war debts, which was followed by the Issue' of a White Paper containing recent correspondence on subject between the British and United States Governments.
'Mtr. Chamberlain recalled that the British Government, in their note of December 1, 1993, gave a full state ment of the' reasons which had: on-vineed them that the system of inter-Hovernmental war debt obligations, existed before the Hoover moratorium, could not be revived and that a radical revision of existing settlements was essential.
The United States Government, in their note of December 1, 1082, welcomed the suggestion for a close examination of the whole subject between the two countries. The British Government paid the instalment due on December 15, 1992, in fold, explaining that this payment was not to be regarded as a resumption of the annual payments under the existing agreement and that it was made because the United States Government had stated that, in their opinion, such a payment would Greatly' increase the prospect of 9 fatistactory approach to the whole problem. Discussions took place both in the spring and autumn Fast year, but it was not found possible Yo arrive at a settlement acceptable to the two governments.
On June 39 and December 15, 1993, the British Government made token payments in acknowledgement of their obligation and on that occasion the President of the United Stater pressed the personal view that he would not regard British Government Mr. Chamberlain continued:
"The British Government would have been prepared to make a fur ther payment on the Sth Instant in acknowledgement of the debt and without prejudice to their right again to present the case for its readjustment, on the assumption that they would again have received the President's declaration that he would not consider them in default.
But they understand that, in consequence of recent legislation passed the United States, such a deco tion is no longer possible, so that the procedure adopted by common arreement in 1988 cannot be followed on the. present occasion. In fact, our Ambassador was informed by the United States Administration of May 11 that any Government failing to pay in full the instalment due under the existing agreement on June 1 would have to be regarded as im default, and, on May 25, the Treasury of the United States addressed a communication to the British Government setting out details of various ems, including arrears of $196.000.. 000 due last year and amounting altogether to a sum of $262,000,000 or over £80,000,000 due on the 15th Instant.
"Lil. M. Government were, there fore, in these circumstances, faced with the alternative either of pay-Ing. this sum of £50,000,000 in full and of paying a further sum of over £20,000,000 on December 15 next, that is to say over £70,000,000 for the current year, or of suspending all Interim payments pending of final revision, by agreement, of the exist ing war debt settlement.
"The first of these alternatives would' necessitate corresponding and would postpone infinitely the pre h the tail Ta tne poole} igus ote rage momen bememts [Sram Revolver shots were fired into the aman ce met Berees sot were Se, nto the cent by that tie, thet wes paid of uc, a tay tay attended by such disastrous conse- tragedy, several women fainting with horror. Later, the body of the Trans, they have dalveres Tate ciate "Govesnast'a wit Roar ate, Sate one i, Soternpest ete question of the dar debt, they state that, while deeply regretting the cir- NEW SUIT AGAINST WHITE cumstances which have imposed upon
Text read from the printed page and cleaned; old type leaves the occasional error.