3. Lieut.-Colonel Sir FREDERICK HALLasked the Secretary of State for Foreign Affairs what action is proposed to be taken in regard to the request made by the German Government for the convocation of a special advisory committee to inquire, under the Young plan, into the economic and financial position of Germany; and if he has ascertained whether Germany is prepared to accept the position that if such a body is set up they shall have power to examine the question of possible economies as regards the naval, military, police, and other items of public expenditure now being incurred by Germany, including the credit arrangements into which she has entered with Russia?
§ Sir J. SIMONAs regards the first part of this question, the necessary action is now, under the provisions of the Young plan, being taken by the Bank of International Settlements; as regards the second part, the German Government in their memorandum of the 20th of November, published in the Press, expressed the view that the committee must consider the problem in its entirety and with regard to all its contributory factors. It will, of course, be for the committee itself to decide as to the range and scope of its inquiries.
Sir F. HALLIs it not a fact that, according to the Treaty of Versailles, Germany was precluded from continuing her military airships, and has the attention of the right hon. Gentleman been drawn to the enormous developments which have taken place especially as regards the Steel Helmets I Will the right hon. Gentleman draw the attention of Germany to these two facts?
§ Sir J. SIMONI do not think that matter arises. Perhaps the hon. and gallant Member will put that question on the Paper.
§ Colonel WEDGWOODCan the right hon. Gentleman say whether this inquiry 373 will in any way damnify our claim for payment of the frozen credits?
§ Sir J. SIMONMost certainly not. This is a step in procedure designed to bring about a general discussion.
Sir F. HALLIf the right hon. Gentleman will look at the second part of the question, he will see that I referred to naval and military preparations. Will he take into consideration the action of the Steel Helmets and the enormous increase in the amount of money spent on aviation?
§ Mr. MORGAN JONESWere there not also other pledges on behalf of other Powers signatory to the Treaty of Versailles concerning general disarmament?