Reich Again Defaults On United States Debt (10-2-40)

Reading Eagle (October 2, 1940)

Washington, Oct. 2 (UP) –
Germany has defaulted again on her $271,000,000 debt to the United States.

A routine, formal reminder of a semi-annual installment due on September 30, was sent to the German embassy here on Sept. 12. The note, transmitted by the State Department for the Treasury, brought no results.

The amount of the semi-annual installment due was $16,254,000. The $271,000,000 total debt covered costs for the American Army of Occupation in Germany during the period following the Armistice which ended the World War. Germany has defaulted regularly since Hitler’s regime took office in 1933.