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A REVISION OF THE TREATY

CHAP.

to the United States ) that their aggregate liabilitymight be assessed. It is probable that, sooner orlater, the C Bonds at any rate will be not only post-poned, but cancelled.

2. The Committee of Guarantees. —This new body,which is to have a permanent ofB.ce in Berlin, is inform and status a sub-commission of the SeparationCommission. Its members consist of representativesof the Allies represented on the Reparation Commis-sion, with a representative of the United States , ifthat country consents to nominate. 1 To it areassigned the various wide and indefinite powersaccorded by the Treaty of Peace to the Repara-tion Commission, for the general control and super-vision of Germany' s financial system. But itsexact functions, in practice and in detail, are stillobscure.

According to the letter of its constitution theCommittee might embark on difficult and dangerousfunctions. Accounts are to be opened in the nameof the Committee, to which will be paid over in goldor foreign currency the proceeds of the German Customs,26 per cent of the value of all exports, and the proceedsof any other taxes which may be assigned as a" guarantee " for the payment of Reparation. Thesereceipts, however, chiefly accrue not in gold or foreigncurrency, but in paper marks. If the Committee

1 The Committee is to co-opt three representatives of neutrals when asufficient proportion of the Bonds to justify their representation has beenmarketed on neutral Stock Exchanges.