§ 40. Sir N. GRATTAN-DOYLEasked the Financial Secretary to the Treasury if he will request the Government actuary to calculate at this date the approximate losses on issue prices to British subjects in respect of the £39,000,000 of various loans issued in Britain under the supervision of the League of Nations; and if he will issue a statement showing the total sum arrived at by adding the average annual loss over the period covered to the annual official subscription of Britain to the League of Nations?
§ The FINANCIAL SECRETARY to the TREASURY (Major Elliot)I do not think that it would serve any useful purpose to issue a statement of the kind suggested. But I desire to emphasise the fact that His Majesty's Government, as has already been stated, view with the gravest concern the fact that any Government which has raised loans under the auspices of the League of Nations should have failed to carry out its obligations punctually and integrally.
§ 64. Sir N. GRATTAN-DOYLEasked the Secretary of State for Foreign Affairs whether he will arrange that the prospectuses of any future loans issued in Britain under the supervision of the League of Nations shall contain a warning 1266 to the effect that subscriptions to the loan must be made subject to the understanding that the League of Nations has not been in the past, and will not be in the future, able to ensure the fulfilment of the obligations upon the faith in which subscriptions are sought, and that the responsibility of the League of Nations does not extend beyond assisting borrowers to obtain those subscriptions?
§ The SECRETARY of STATE for FOREIGN AFFAIRS (Sir John Simon)The prospectus of these loans contained no undertaking that the League of Nations would be able to ensure the fulfilment of these obligations by the borrowing foreign Governments. At the same time I agree that it is incumbent upon the Council of the League to make all possible efforts to secure that the solemn obligations thus undertaken by the borrowing Governments are faithfully carried out.
§ Mr. KIRKWOODNow that the Secretary of State for Foreign Affairs has had a good deal of contact with the League of Nations, is he definitely satisfied that the League of Nations is able to prevent war between nations?
§ Sir J. SIMONI do not think that by any stretch of imagination that matter arises out of the question.
§ Mr. KIRKWOODIf I put down the question, will the right hon. Gentleman be prepared to give a reply?