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THE CHINA MAIL, FRIDAY, JUNE 11, 1948.

Marshall Aid Programme Cuts Vigorous Protest In Senate By Vandenberg

Success Of Great Peace Adventure Jeopardised

Washington, Juno.......9.

|Mr. George Marshall, Secretary of State, and Senator Arthur Vandenberg, Republican champion_of_the_Marshall Plan and Chairman of the Senate Foreign Relations Committee, today joined in an urgent call for full restoration of the 26 per cent cut in aid funds for Europe. Senator Vandenberg launched his all-out battle in

the Senate Appropriations Committee against the House of Representatives' decision to slosh $1,000 million from the $5,300 million pro- gramme, as Mr. Marshall declared that America's "reputation and prestige" were in- volved.

| Senator Vandenborg said the cut would undermine confidence and morale abroad, "upon which recovery, freedom and peace so heavily loan," and American foreign policy would be brand- ed before the world as "capricious, unreliable and impotent."

Mr. Marshall insisted that the full amount was needed to fulfil adequately the purposes of the Marshall Plan in its first

year.

would "multiply the terrified confusion of a world in which the forces of aggression and sunver- sien thrive upon confusion"

REPARATIONS TO RUSSIA

zones since mid-1946.

to resume

BENELUX CUSTOMS UNION

Brussels, June 10. Belgluin, Holland and Luxembourg" have decided on measures to create a Bene- lux customs union, it wos announced today at the end of a two-day meeting of the Premiers, Foreign Ministers

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and other members of London, June 10.

three Governments at Omelal British sources dis- | Chateau des Ardennes, in closed today they expect a three-southern Belgium, Power agreement soon opening the way for the United States. The Belgian, Dutch and Luxem-

An official communique Britain and France

locating war reparations to Rus-bourg Governments have decided sia from Western Germany.

upon the mensures which must be taken to permit the creation of an No allocations to Russia of economic union between The dismantled war plants--of which Netherlands and

already she gets 25 per cent under the existing Belgo-Luxembourg econo- Potsdam Agreement-have been mic

e union. made from the three

Western "They believe that provided |

those measures are economic union between the three The French and British have countries could become effective continued deliveries under alloca- tas from Jan 1, 1980. Re made this comment at hlo

tions date before that time, but The three countries Ministera weekly press conference when

"We must not feed the vary the United States has, made none will meet again in January at the asked his views on a suggested

when the latest with a view to examining compromise which would partly

free we would put out," Mc. since Inst December, relieve the cut in the funds vol-

Vandenburg said. He did not big four Foreign Ministers' Lon-the results which will have been

nihave the United States could den conference on Germany and obtained by them as ed by the House of Itepresent- afford to be unrollable in Austria collapsed......... Associated quence of these measures.” atives last week by spreading

world them over 12 months Instead of

which is groping for confidence and faith, an 15

the House had pro- saonitis posed.

basis of security and peace." The

cut had been He declared that "our repute without regard to the carefully proposed tion

prestige" are in-screened figures upon which all volved in the battle over Marald estimates were made. shall Plan funds now raging in

The reactions of any such move Congress and he reilerated that on the House reduction, if confirm-covery and freedom could be as Europe's drive towards re- might

the entire suc- imperil the

grim for America as for the cess of the programme,

others. The time to attempt

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Speaking of emberg had next January, when the second

after Senator launched his

pend.

send

7 short time general overhaul of the plan was

plea to the Senate Appropriations Com-nual appropriations would im- mittee to have the cuts restored, "Until then," Senator Vanden- Marshall stressed that the berg said, "I beg of you-for the Agure of

had been million of $5,300

sake of the hopes by which free "most carefully calculated" and men live-that you give the Eco-

considered was actually

below ncmic Cooperation PAKISTAN the original estimates produced tion a fair chance,"

Administra- by the European countries in The Senator said he was Parls and the Harriman Commit concerned so much with the de- tee and the Government Depart-tailed mathematics of European ments in Washington,

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'Dangerous Docision

not

recovery as upon its impact upon the "terrifically vital foreign, in- terests of the United States

The Committes-was-entitled-to- "I have felt all along the take into accou

account any change in Secretary of State added, "that the basic situation that might when we go into an undertake have occurred-since-European

ing of such vast importance to recovery ald had been approved our reputation and our prestige by Congress.

DE

this it would be dangerous

to limit it to a degree that might imperfi the entire aud- cess of the programma”

Addressing the "Senate` Appro- priations Committee, Mr. Van- denberg called for a complate restoration of the $1,000 million slashed from the $5,800 million 12-months total by the House of Representatives last week.

tion of

Meat Axe Technique

"But I draw a sharp distino- tion-between-changing - the j figures for

rozson A definite and this overall anonymous

assault for which no reason. oble explanation given and may, therefore, be calculated as a retirement from the Unit- ed States first enthusiasm for

Reuter.

Hong Kong's New Airport May Be Speeded Up

conse-

Lonado, June 9. Proposals for the construction of a new airport at Hong Kong are being "urgently considered" by the Colonial Omee, *ther Government departments and the Hong Kong Govern.

ment.

Mr. Arthur Crotch Jones, the Colonial Becretary, sald this In reply to a question in the House of Commons today.

When Mr. Anthony Eden, Conservative, said he hoped that financial considerations would not be final in this matter, Mr. Greech Jones replied: "The House may take it for granted that, for all practical, purposes, the financial matter Bottled."

now

He added that he was “fully aware of the inadequacy, of the present arrangements” at the airport-Reuter.

ECA AGREEMENTS PROVOKING PROTEST

London, Juno 9. European Marshall Plan nations are expected to ob- ject to the "high-handod” tone of the draft agreements sent to them by the United States when they open pact negotiations in Washing- ------ton this week, it was reliably learned here-to-

day.

The

drafts, for bilateral agreements with the United States, were circulated recently to each of the recipient countries by Mr. Paul Hoffman, the ERP Administrator.

Senator Vandenberg called the

European recovery." "dangerous and proposed cut a

It is understood that the part in this week's negotiations. improvident decision which cuts

Senator Vandenberg said ho

aro drafts, which are almost iden- The objections they the enterprise." Falling a restors could understand specifle amend-ical, are considered unaccept to raise are believed to be based expected the originat figure, America's foreign policy would

uldents based upon specific reasonsable' in the present form by on several distinct factors:

being made to the "programme,

1. The tones of the draft, which be branded before the world as provided they were not incom- each of the 16 countries.

capricious, unreliable and im-patible with the pirpose of the

Only three or four of the Maris generally unduly highhanded.

2. The fact that some of the even though original Act,

boshall Plan countries will

commliments into which the not agree with such might

European countries are asked to enter are one-sided In places where they might fairly be reci procal.

Europe's progress towards uni- fleation, he said, was the great- est possible insurance against the need to use the increased arma ments for which Congress

had voted "precautionary" billions.

The Senator told his colleagues- that the cut, if finally passed,

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aizendments.

"I do quarrel with any reduc- tions which prevent the principles. and

purposes of the original Con- gressional commitment."

Senator Vandenberg continued: "I emphatically quarrel with the final overall meat age technique which, in my humble opinion, cuts the enterprise-in one fell awoop this takes away something Uke $1,000 million

without a sointilla of regard for all the carefully screened figures upon which all EGA crlimates

were

made and upon which its pro- gramme must be belit.

take

Political

Warfare

Admitted

London, June, 10.

For Four Years

For example, the recipient countries are expected to bind themselves for four years, whereas the United States' part In the European recovery is subject to a year-by-year deal- alon of the United States Con. gross.

3. The draft appears in places- to go beyond the terms of the

The leading Moscow news- | International Trade Organisation

papers, Pravda and Izvestia, ad- | Charter of Havana, which has not

even the United States.

at the 60 per cent yet been ratifled by a single signa-

"I respectfully submit that {mitted-to-day that t

-the-life-of-the-world-In-any--Rumanio,-Hungary-and-Finland preted clingwith-the-

for our own sakes we dare not reduction in the reprontody The draft might be inter-

deal with this vital problem in ments which Rusi

such cavaller fashion,

Much At Stake

"There is so much at stake.

"I respectfully subralt that any

constituted an act of Soviet politi-terms of

of the "Inter-

cal wariure dirocled against the national Monetary Fund, particu- Anglo-American warmongers and larly in the matter of devaluation the Marshall plan.

of currencies, and as 'giving the United States inacceptable, pow-

European countries without any

According to the Soviet moni-

such action is calculated to tor, the papers said the reductions to force devaluation upon change the character of ECA the reparations amounted to อ

·· Confident.

from recovery to relief thus fresh blow against the intrigues reciprocal provisions. plunging us back into the dreary, of warmongers who were trying hopeless, sterile and utterly.com❤ to create a tenso atmosphere plex routine from which we must among the peoptes and minkei ure

of the situation that arises

Vandenbere contended

that the House of Representatives”

The Importance of the action, Pravda said, went far beyond the would rebounds of Soviet relations with action, controing intent the three states, directly concerna

added

versothe

of Congress, and added ed. The reduction, It seriously jeopardises, the succom

of a great peace adventure which courges strengthening of the friendly relations between the

Bir Oliver Franke, Gritain's new Ambassador in Washington and former Chairman" of the European Committee of Econo mte Co-operation In: Parle, will In conduct the negotiations Washington on behalf of Bri-

Franco

her bilatimal agreements, Franco, it is

has already made

asa basis of

doserves its full chance to suc[Soviet Union and, the other coup, MONARCAN

ceed If It is to be undertaken at tries. It serves the cause

*01

Pointing t to the

a results duch ad una pesce and security of

Co discussion)"

A

action"- would have" on Europe's

* Despite the feeling here that drive towards recovery and free Izvestia; the Soviet monitor re- the draft cannot be accepted- In dom, he added: Such rosellons ported, indicated that the row its prosent form as far be Difitain can be as grim for us as for duction, constituted part-of-ala

tingai succosarul solution Winding up Senator Vandon-anal European nations which will be found in Washington, berg admitted: Those who did hould be contrastwa with the Whom a full discussion at the po not balleve in KCA may be right. Manrahåll aid, ale nimed purely at litical sapecia; bi wlint la at pre- The majority of us may be wrong, forming military and polition: petit regarded as pur

Purely

Blogal At bestat, la calculated Farblers and kindling chatred among tract can be undertaken by the Bukit Arisk to which Congrim nations the-papeter saidina United negotiators of I 11, molema, committed:" =Reuter | Prend: -159

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