462.00 R 29/2265: Telegram

The Ambassador in France (Herrick) to the Secretary of State

540. B–816. First. Commission today decided unanimously Germany has not executed entirety orders placed under annex IV, part VIII, Versailles Treaty for delivery timber to France year 1922.

Second. Commission then by majority decided this failure constituted default by Germany within the meaning of paragraph 17, annex II, part VIII, of the treaty, British delegate voting contrary.

Commission further decided by majority, British delegate abstaining, to remind governments concerned that in Commission’s letter March 21st, which fixed payments to be made by Germany during 1922 Commission stated:

“If the Reparation Commission finds in the course of the year 1922 that deliveries in kind called for by France or her nationals, or by any other power entitled to reparation or its nationals, in accordance with the procedure laid down by the treaty or in virtue of a procedure approved by the Reparation Commission and within the limits of the figures above indicated, have not been effected by reason [Page 199] of obstruction on the part of the German Government or on the part of its organizations, or by reason of a breach of the procedure of the treaty, or of a procedure approved by the Reparation Commission, additional equivalent cash payments shall be exacted from Germany at the end of 1922 in replacement of the deliveries not effected.”

Commission decided interpretation word “default” as used in paragraph 17, annex II, to mean “voluntary default” as in paragraph 18, same annex. Commission in accordance with terms paragraph 17, annex II, is notifying Governments of Great Britain, France, Belgium and Italy. Also decided unofficially to notify the United States Government through this delegation. Boyden.

Herrick