§ 8. Mr. A. M. SAMUELasked the President of the Board of Trade whether he is aware that the Hungarian Government and the municipality of Budapest have not yet admitted to the British administrator of Hungarian property liability for War period interest upon securities issued to British subjects before the War by the. Hungarian Government and the municipality of Budapest; and whether he will request His Majesty's representative at Budapest to take the matter up with the Hungarian authorities so as to render unnecessary litigation under the Treaty of Trianon before the Mixed Arbitral Tribunal?
§ Sir P. LLOYD-GREAMEThe answer to this question is rather long, and, with my hon. Friend's permission, I will circulate it in the OFFICIAL REPORT.
§ Following is the answer:
§ The municipality of Budapest have never contested their general liability for interest accrued due to British nationals up to the date of ratification of the Treaty of Trianon on securities issued by the municipality before the War. They have, on the contrary, admitted a large number of claims in respect of such interest and they are being pressed for an early admission of all the outstanding claims. The position is different as regards the interest on securities issued by the former Hungarian Government. The Hungarian Clearing Office contends that, having regard to the provisions of the Treaty relating to the apportionment of the pre-War debt of the old Hungarian Government between Hungary as at present constituted, and the successor States, the Hungarian Government is not responsible for the whole of the interest accrued due on that debt up to the date of ratification of the Treaty. The British Clearing Office has not accepted this contention, and the matter is still the subject of correspondence with the Hungarian Clearing Office. Should the Hungarian Clearing Office persist in its contention, it will be necessary to refer the matter to the Anglo-Hungarian Mixed Arbitral Tribunal.