GRAVEST ISSUES SINCE WAR !sx Epoch-Making Conference Opens in London To-morrow .sx HIGH HOPES OF SUCCESS .sx ( By the " News of the World " Diplomatic Correspondent .sx ) With the German Republic practically bankrupt , with at least 100,000,000 people in Europe in peril , as a consequence , of more or less serious suffering , with the whole world already plunged in the trough of unprecedented trade depression , it is no exaggeration to say that the International Conference summoned to meet in London to-morrow has to deal with the gravest issues since the war .sx Its task is to find means for putting Germany on her feet , so that the crash of her economic system may not multiply the difficulties against which the industrial nations are struggling .sx Great Britain has invited to the conference America , France , Germany , Italy , Belgium and Japan .sx All have accepted save France .sx But it is practically certain as the sequel to an exchange of views in Paris , to-day , between the French , German , British , American , Belgian , and Japanese Ministers that France also will accept our invitation , and that the Conference will open as arranged to-morrow evening .sx High hopes are entertained of its success .sx The German Chancellor , Dr. Bruening , and Foreign Minister , Herr Curtius , arrived in Paris yesterday on their way to London .sx They immediately had an interview with M. Laval , the French Premier , who had already seen Mr. Henderson , the British Foreign Secretary , and Mr. Stimson , the U.S. Secretary of State .sx FRENCH AND GERMANS CONFER .sx To Dr. Bruening the French Premier , M. Laval , submitted , it is understood , proposals for a loan of 100,000,000 , to be provided by the Central Banks of France , Britain , and America .sx As a condition of the loan , M. Laval proposed a lien on the German Customs , a halt in armaments , and the setting up of an International Board of Control to protect the creditors .sx It is known that Germany will not accept these terms , and that neither Great Britain nor America approves of them .sx An official communique , issued at the close of the conversations , stated that the discussions had been of a " frank and cordial nature .sx " To-day the conversations will be resumed , when , as stated , the representatives of America , Great Britain , Italy , Belgium , and Japan will also be present .sx At the discussion efforts will be made to find a broad principle acceptable to the French .sx All concerned are hopeful that this principle will be found on a basis of mutual guarantee proposed by Mr. Henderson .sx So fair are the prospects that last night the French were making preparations to come to London .sx WHY AMERICA IS INTERESTED .sx America will be represented at the Conference by Mr. Stimson , U.S. Secretary of State , and Mr. Mellon , Secretary of the Treasury .sx No wonder she has sent two of her leading statesmen to watch over her interests , seeing that Germany owed her at the beginning of the present period of crisis 900,000,000 .sx Of that sum about 300,000,000 has been called in , thus precipitating the critical state of affairs which exists to-day .sx Germany's indebtedness to British firms is probably 150,000,000 , and to France , Switzerland , Holland , and other countries she owes about a like amount .sx If foreign countries continue to call in their loans as they fall due , Germany , in default of help , is bound to go under .sx Her collapse , therefore , would involve such world-wide loss that agreement among the Powers is compelled from motives of self-preservation .sx Our Washington correspondent , cabling yesterday , says disarmament is a " passion " with Mr. Hoover , who sees in it the great hope of better times .sx It is therefore likely that , directly or indirectly , disarmament may be broached by Mr. Stimson in London .sx On the close of the conversations in Paris to-day Mr. Henderson will return to London .sx Immediately on reaching town late this evening he will proceed to 10 , Downing-street , where he will report to the Prime Minister and some of his chief colleagues the latest developments of the situation .sx The Cabinet will meet to-morrow morning and , enlightened by Mr. Henderson's information , will prepare an agenda for the Conference which is to meet in the evening .sx Meanwhile the Germans are taking drastic steps to husband their resources .sx A decree issued last night ordains that foreign currency holdings and securities are to be surrendered to the Reichsbank forthwith for sale if required , breaches of the decree being punishable with ten years' penal servitude .sx The banks have formed an amalgamation for mutual support .sx A decree regulates the conditions under which from to-morrow they are to do business .sx MENACE OF UNFIT .sx BILL TO LEGALISE STERILISATION .sx MEASURE REJECTED BY COMMONS .sx VOLUNTARY sterilisation for mental defectives , who are officially estimated to number 300,000 , was proposed in a Bill submitted to the House of Commons by Major Church , the Labour member for Central Wandsworth , and well known for his services in connection with various scientific organisations .sx The Bill was rejected by 167 votes to 89 , a majority of 78 .sx The governing clause of the Bill was as follows :sx - It shall be lawful for a registered medical practitioner to perform a sterilising operation as defined by this Act upon a defective not under the age of 16 , provided the following persons and bodies , namely :sx ( a ) the defective , if he is capable of expressing himself as willing or unwilling to undergo the operation ; .sx ( b ) the spouse , if any , of the defective ; .sx ( c ) if the defective is unmarried , his parent or guardian ( if any ) , and .sx ( d ) the Board of Control , .sx respectively consent to the operation being performed and the operation has been sanctioned by an order of a judicial authority for the purposes of this Act , made upon the application of the defective or his spouse ( if any ) or his parent or guardian ( if any) .sx Major Church explained to the House that the Bill was in the nature of an experiment .sx It was based on the willingness of those suffering from mental defects to undergo a voluntary operation which would prevent them bringing children into the world .sx Reasonable safeguards were provided .sx The operation was not the mutilation usually associated with sterilisation .sx It was devised so that the emotional life of the patient should not be affected in the slightest degree , but that the patient should be effectively cut off from parenthood .sx The operation should be done in five minutes without any danger .sx In California 5,000 operations of the kind had been performed with only one death , and that under an anaesthetic .sx The operation on women was a little more dangerous , but no more so than an operation for appendicitis .sx Dr. H. B. Morgan , also a Labour member , opposed the Bill , which he described as directed against the working classes .sx Dealing with the causes of mental deficiency , Dr. Morgan said that one source was a defective germ plasm .sx There was a defective germ plasm in every family , and it was computed that the chances of a defective maternal and paternal plasm uniting was one in five millions .sx He suggested that they should adopt the method of segregation , training , and care .sx He asked the House not to give a first reading to " this rat of a Bill - this anti-democratic , pagan , and anti-Christian Bill .sx " The House then divided , with the result stated .sx ALARMING OUTLOOK .sx 300,000 MENTAL DEFECTIVES IN COUNTRY .sx The report of the Board of Control reveals the alarming nature of the problem dealt with in the House of Commons debate .sx It appears that in England and Wales there are 138,293 notified insane persons and 61,522 mental defectives .sx In three years , in the London area - which may be regarded as typical of the whole country - 33,020 patients were discharged as " recovered " but no fewer than 10,080 had been readmitted , 3,626 within 12 months of their discharge .sx Mental defectives are increasing at the rate of 2,500 per annum , and the Board of Control believe that when Inspection becomes more rigid , even more of these unfortunate creatures will be disclosed each year .sx The total number of defectives of all ages is estimated at approximately 300,000 .sx It appears that institutional accommodation is required for 64,000 , together with accommodation for 23,080 feeble-minded children in residential special schools .sx As an example of the GRIM CONSEQUENCES TO THE COUNTRY of the existing state of things , the Board cite three family historians , and draw the conclusion that had six mentally defective persons been dealt with under the Mental Deficiency Act and segregated , the community would not have had to support 29 other mentally defective persons .sx The question of cost invites startling considerations .sx The institutional cost per bed may be put at 450 .sx If so , the cost of finding accommodation for 44,000 persons in addition to those already cared for , would be about 200,000,000 .sx Annual interest and sinking fund on this sum would probably cost 1,500,000 .sx In addition the 44,000 would have to be maintained at a cost of , say , 1 5s .sx per week .sx This would give a further charge of nearly 3,000,000 .sx If , furthermore , we take into account the proposal to build residential special schools for 23,000 children , presumably the cost would be not less than 400 per head , or a total of 9,000,000 , involving a sinking fund of about three-quarters of a million .sx Maintenance at , say , 1 5s .sx a week would amount to 1,500,000 .sx Lunatics already cost us 8,000,000 , and the mental defectives already incarcerated , probably a million and a quarter .sx These proposals mean , therefore , fresh capital expenditure on mental defectives amounting to 29,000,000 , and an annual outlay , if we include lunatics , of 16,000,000 .sx But all this expenditure , even if the country could afford it , would still leave the problem largely unsolved , since a vast army of mental defectives would still be at large , leading the life of ordinary citizens .sx OUTSIDE HOSPITAL GATES .sx A woman visiting her husband at East Ham Memorial Hospital , where he had undergone an operation , was herself severely injured outside the gates yesterday , and was carried in as a patient .sx She was Mrs. Jane Abram , aged 50 , of Boston-road , East Ham .sx She was knocked down by a lorry and sustained a compound fracture of her left arm and injuries to her left leg .sx PLAN TO SAVE GERMANY .sx SHORT-TERM CREDITS TO AVOID DISASTER .sx Premier Going to Berlin .sx ( By the " News of the World " Diplomatic Correspondent .sx ) The Seven-Power Conference called by the Government to devise measures which would save Germany from bankruptcy has brought its deliberations to a close with important decisions .sx The plan adopted by the Conference provides for a renewal of short-term credits to Germany .sx The Seven Powers represented at the Conference were Britain , France , Germany , Italy , Belgium , Japan , and U.S.A. .sx The burden of carrying out the measures agreed upon will fall mainly upon Great Britain and America .sx It is recognised that a permanent solution of a many-sided problem requires , as a foundation , a better understanding between France and Germany .sx Efforts in this direction are in progress .sx Mr. Henderson is leaving this morning for Berlin .sx To-morrow he will be joined there by the Premier , who is going by air .sx Mr. Stimson , U.S. Secretary of State , arrived in Berlin from London yesterday .sx GERMANY'S CRISIS .sx EMERGENCY MEASURES AGREED UPON .sx PERMANENT PLAN YET TO BE DEVISED .sx The emergency which necessitated the calling of the Conference has arisen as a result of the withdrawal of short-term credits from Germany and the flight of her own people from the mark .sx Great Britain was represented at the Conference by Mr. MacDonald , Prime Minister , Mr. Snowden , Chancellor of the Exchequer , and Mr. Arthur Henderson , Foreign Secretary .sx At the head of the German delegation was Dr. Bruening , the Chancellor .sx France sent her Premier , M. Laval , and M. Briand ; Italy , Signor Grandi ; and America two of her leading statesmen , Mr. Stimson , Secretary of State , and Mr. Mellon , Secretary of the Treasury .sx Opening the Conference in his room at the House of Commons , the Prime Minister spoke in terms of extraordinary gravity .sx " The present moment , " said Mr. MacDonald , " may be one of the turning-points in the history of the world , for good or ill .sx " If we cannot find a solution of the present crisis no one can foretell the political and financial dangers which will ensue .sx " A general discussion made it clear that the Conference could not hope to frame a permanent plan for THE RESTORATION OF STABILITY to Germany , for the reason that any scheme of the kind would have to deal with reparations and war debts , both thorny issues , more particularly for America and France .sx