§ Mr. BRACKENasked the Chancellor of the Exchequer whether he is aware that the German Government has announced its intention of partially repudiating its obligations in respect of the interest payable on 1st June on the International 5½per cent. Loan; and whether, in view of the fact that that loan is secured on the non-postponable annuities payable by Germany under The Hague Agreement of January, 1930, the Government will take all possible steps to protect the interests of the bondholders?
Mr. CHAMBERLAINThe question of giving effect to the "gold clause" in the case of the sterling issue of the German Government International 5½ per cent. Loan appears to be primarily one of the correct legal interpretation of the General Bond securing the loan, and I do not think that His Majesty's Government is called upon to take any steps in the matter at present.