ABOUT THOSE WHO ARE AGAINST PEACE

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• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP65-00756R000300270001-9
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 427
• Document Creation Date: December 9, 2016
• Document Release Date: August 24, 1998
• Sequence Number: 1
• Publication Date: December 16, 1959
• Content Type: REPORT

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ABOUT THOSE WHO ARE AGAINST PEACE
Translation No 732 16 December 1959
WARNING
LAWS RELATING TO LIBEL, SLANDER AND COMMUNICATIONS
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Prepared by
Foreign Documents Division
CENTRAL INTELLIGENCE AGENCY
2430 E. St., N. .W., Washington 25, D.C.
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ABOUT THOSE WHO AB E AGAINST PEACE
(0 Tekh, Kto Protiv Mira)
(Articles, Sketches, Pamphlets,
TRANSLATION NOTE
[READILY IDENTIFIABLE :PERSONAL. AND PLACE NAMES
AND ORGANIZATIONAL TITLES '?AREAIENDERED HERE IN
STANDARD ENGLISH FORM. HOWEVER, TIME LIMITATIONS
MADE IT NECESSARY TO APPROXIMATE FROM THE RUSSIAN
LESSER KNOWN NAMES AND TITLES.)
State Publishing Haase for Political Literature,
Moscow, 1957
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V. KUJORTAVCHIKOVA, Editor
V. MCA:EVA, General Editor
B. UPIMOVA, Artist
Cover and Caricatures
E. KROTOV,
Caricature Captions
The articles, sketches, and. pamphlets, as well as the caricatures
of B. Yefimova and the epigrams of E. Krotov are being published for the
first time in this book.
* * *
It is requested that comments on the book be forwarded to the Pub-
lishing Rouse for Political Literature at the following address: Room 417,
15 B. Ealuzhskaya Ulitsa, Moscow.
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ABOUT THOSE WHO ARE AGAINST PEACE
(0 Tekh, Kto Protiv Mira)
TABLE OF CONTENTS
Article Author
Unmask the Forces of War -- Aid the Cause
of Peace
Page
1
USA
The Staffs of the American Plutocracy D, Asanov 2
Uncrowned Kings of America V. Moray 24
Oil, B1oo6, and Dollars O. Feofanov 41
herchants of Death C. Dad' yenta 52
Plunderer First Class M. Andreyev 58
The iinEncivl "Empire" of the Mellons I. L-Titskiy 73
Hell's Kitchen of Charles 1] Wilson V. Voloan 83
The Bank of the Dillons and Its
International Ventures V. Morey 93
American Atom-Mongers N. Novosellskiy 102
The Dirty Work of Allen Dulles V. Mrkhov 114
The Atom-Monger Senator and His Sermons 7. Leontlyev 125
"The Police -- Above All" O. l'ruelkov 132
"SACEUR III" M. Vilcnskiy 143
The Legion of American Reaction Yur. Chaplyi;in 153
Behind the Labor-Union Screen G. Kulikova 166
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Article
Author Page
Great Britain
Captains of British Industry P. Snegov 182
The Intelligence Service Man A. Leonidov 195
Agent of the International of Death A. Leonidov 206
Field Marshal Montgomery ?s Obsession A. Leonidov 217
The Bonn Ropublic
The Smithy of War M. Sturua 226
The War-Criminal Company A. Galkin 241
The Generals Return .. O. Nakropin and 247
D. Mellnikov
Leader of the German Revenge-Seekers A. Galkin 260
Master of Black Deeds A. Galkin 266
Shadow Over Europe N. Gribachev 272
Prance
Politics and Profits N. Molchanov 277
' The Bank of War A. Alekseyev 291
The Tral4br Bank A. Alekseyev 304
The. DolIarloTraVelling SalesMan A. Khazanov 313
Belgium
The "Common Denominator" of Mr. Speak M. Sturua 323
Asia and Africa
The Last Comprador of China
Puppet of American Monopolies
D. Zaslavskly 334
D. Zaslavskiy 356
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Article Author Page
Betrayer of the Vietnamese People S. Ivanov 368
The Suez Canal and the Imperialists D. Danis 379
Enemy of the Freedom of the Arab Countries D. Danis 393
Appendix 4o6
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1Laws relating to libel, slander and communications
require that the dissemination of this text be
limited to "Official Use Only." Exception can be
granted_ only by the issuing agency. Users are
warned that noncompliance may subject violators to
personal liability.]
Unmask the Forces of War -- Aid the Cause of Peace
Millions of people all over the world are asking: Is it possible
to avert war, to avoid the spilling of blood, the destruction of enormous
material, spiritual and cultural values accumulated by the labor of many
generations:
The Soviet Union gives a direct answer to this question: Yes, there
is sucli a possibility. It is based on the Leninist principle of the
peaceful coexistence of states with different social and political systems,
which is the foundation of the foreign policy of the Soviet state.
The Leninist idea of peaceful coexistence and cooperation between
states is winning more and more supporters. In the capitalist world it
is supported not only by the toilers, on whom is laid all the burden of
war, but also the most sober circles of the national bourgeoisie who
understand what a mortal danger a new war offers for them.
The idea of peaceful coexistence is rejected only by the monopo-
listic circles of the U. S. and their allies. In the chase after profit
which presages new bloody conflicts, these monopolistic circles strive to
hinder the development of cooperation between peoples, to hinder reduc-
tionpf tension in international relations. Enriching themselves in the
arms race', they do not even want to hear about banning atomic and other
types of weapons of mass destruction, about the reduction of armed forces.
Hatching aggressive plans, the imperialist organizers of bloody
wars and conflicts count on the peoples not rendering serious resistance
to. them. But the times when the peoples looked upon war as an inevitable
evil have vanished eternally. The peoples have acquired enormous politi-
cal experience. They no longer want to make sacrifices for the sake of
the enrichment of a clique of magnates of capital.
The movement offighters for peace is placing a mighty obstacle in
the path of the warmongers. This movement is achieving newer and. newer
'Victories, is drawing into its ranks millions of peace partisans in all
countries.
The unmasking of the aggressive policy of the imperialist powers,
and above all, the American imperialism, has great significance in this
struggle. To show the roots of this policy, to reveal its moving forces,
to show those to whom a war is necessary and who are preparing it -- this
is the goal which the publishing house placed before itself in publishing
the present collection.
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The facts cited in the book are taken from varied international
life. All of them were cited in the foreign press. These facts confirm
the depth of the danger which the aggressive policy of the imperialists
of the U. S., England, France, and other assistants of American imperial-
ism reprents. The articles, essays, and pamphlets cited show the power
of the monopolies and their responsibility for the policy of unleashing
war.
A number of articles, essays, and pamphlets depict the antipopular
activity of the most notorious, most typical eervants of monopolistic
capital.
The striving of US monopolies to hide their activity from the
masses, the severe, if unseen, censorship, limits the factual material
at the disposal of the authors. Many facts are still unknown. But even
those materials which are cited in the collection make it possible for
the reader to obtain an answer to the question of Who is against peace,
Who is preparing a new imperialist war.
ILM
"They speak pompous words about a
'sacred struggle for independence of the
peoples, and they themselves, in a cold-
blooded way, play with the lives of millions,
puahing the peoples into war for the sake of
profits of a clique of merchants and indus-
trialists." -- V. I. Lenin
"Capitalists of all countries are an
identically repulsive and inhuman tribe,
but Yours are the worst." -- M. GorkiY,
"Answer to an Inquiry of an American Journal"
The ptafte of the American Plutocracy D. Aaanov
...December 1952. In one of the most fashionable hotels in New York
there is being held a regular annual congress of the association of American
factory and plant owners -- the National Association of Manufacturers (NAM).
While the delegates of the congress -- solid businessmen -- listen to the
speeches of the mighty representatives of large-scale monopoly capital of
the US, or of their proteges, an editorial commission is working out the
draft of 'orders to the new government Which is to take into its hands the
reins of state rule in Washington.
The government of the Republican Party, Which received a majority
in the eleptions of November 1952, had not yet been formed -- the change
of. authority did not take place officially until two months after the
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presidential elections, but the representatives of the largest groupings
of monopolistic capital of the United States of America had already been
placed at the head of the various departments (ministries).
Neither had American businessmen been at a disadvantage under the
government of the Democratic Party headed by President Truman. However,
_
in the Truman cabinet, if one does not count Harriman, monopolistic
capital was represented only through secondary lackies. But now, the
most .powerful representatives of the American "billionaires' club" had
come to power.
At the congress of the National Association of Manufacturers, the
new cabinet officers made speeches presenting their programs. The congress
approved the program set forth by them of an arms race, an aggressive
foreign policy "from positions of strength," of a further attack on the
working class, and of an intensification of reaction within the country.
...Opposite the iron fence of the White House in Washington, behind
narrow Lafayette Square stands a four-story building. A fantastic mixture
of the ancient Greek style with the modern, a massive balustrade, and
marble columns give the building a solid appearance. Here is located the
American Chamber of Commerce (ACC).
The internal adornment of the building resembles its external appear-
anceg oak panels, marble staircases, broad corridors. On one of the
upper floors is located a hall with a queer concave ceiling and an in-
genious cornice. At a table resembling two horseshoes meets the Council
of the Chamber -- representatives of the largest financial, industrial
and trade. monopolies. Here are decided the important questions of the
state policy of the US.
The residence of the Chamber of Commerce is located in the political
capital of the country, Washington; the headquarters of the National
Association of Manufacturers is placed in the financial and business capi-
tal of the US, New York. This symbolizes and confirms the fact that the
NAM and the ACC, these staffs of the imperialist monopolies, occupy ruling
positions both in the political and in the economic life of the American
state. The declaration of the NAM that "the Association supports close
contact with the government in the execution of its measures" ts a reflec-
tion, even if not afull one, of that role Which the National Association
of Manufacturers plays in the administration of the country.
The Chamber of Commerce describes its role more openly. "The special
staff of the Chamber of Commerce In Washington," it says in the report of
the 001321,94W thq.,9410er to its annual congress, "follows the work of
Congress closely... The workers of this staff continually keep on the alert
not only with regard to what is taking place in Congress at the given mo-
ment, but also in regard to everything that can testify to possible Changes..."
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* * *
The National Association of Manufacturers was created in the period
when capitalism in the US, as in a number of other countries, was entering
its higher and final phase, imperialism. The American state, being an
instrument of the dictatorship of finance capital, began to carry out the
broad plans of the imperialistic plunderers beyond the borders of the
country. Powerful monopolistic associations grew up on the basis of un-
restrained exploitation. The lack of rights of the workers spread the
doctrine of revolution among the proletarian masses, broadened the workers'
movement. The year preceding the creation of the NAM went down in the
history of the American labor movement as a period of the high upsurge of
the class struggle in the United States of America of the nineteenth
century.
:In this period of the stormy rise of American imperialism and of the
growth of the labor movement, 600 of the largest industrialists of the US
gathered on 22 January 1895 at a conference in the capital of the state
of OhioxtbeelAy ofCancimati[siel. It was at this conference that the
National Association of Manufacturers was created. In 1912 the NAM
organized the American Chamber of Commerce.
The propaganda of the American monopolies loves to preach about the
"representative" nature of these two staffs of large capital. Thereby,
allusion is made to the tact that there are 21,000 concerns, trusts', and
corporations in the NAM, from the very largest to the very smallest.
Seventy-five percent of all the workers of the country are employed in
corporations belonging to the NAM, Which put out up to 80% of industrial
production. Advertising brochures invariably mention the fact that the
American_Chamber of Commerce unites 500 trade associations and 2,600
local Chambers of Commerce, that in it, together with the most important
executives, there are thousands of small businessmen.
However, the decisive voice in these two organizations belongs to a
small clique of the largest magnates of capital. In the NAM and the '
American Chamber of Commerce there is the undivided rule of the "billion-
aires1 c1ab" -- the largest concerns and banks of the country, Whose
capital exceeds billions of'dollars.
The_organization of the American economists -- the Aosociation for
Research in. Problems of Labor in the United States -- reckons there to
be 127 of the largest monopolists within the narrow circle of the ruling
upper clique of the present day United States of America. People of the
"billionaires' club" hold directors? posts on the boards of powerful con-
cerns, banks, and insurance companies. To them, indeed, belong the
ruling posts on the staffs of large capital -- the National Association
of Manufacturers and the Chamber of Commerce.
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The most important executives of American business are represented
on eighteen committees of the NAM, and in twenty-one "'specialized depart-
ments" and other organs of the Chamber of Commerce. These committees and
departments were created in accordance with the image and likeness of
the government and Congress of the US. Among these are committees and
departments on foreign policy, international political and social prob-
lems, foreign trade, national defense, finances, legislative proposals,
labor policy, government contracts, budget, taxes, and so forth. There
are even organs called on to watch over the activity of the go ernment..
In the Chamber of Commerce, for example, there is a department for govern.
ment affairs and for the organization and structure of the government
apparatus. In the NAM, there exists a special committee on governmental
expenditures.
In all these committees and departments, the decisive voice belongs
to the representatives of the largest monopolies.
In the Council of Directors of the Association and the Chamber there
are represented -- through their presidents or vice-presidents -- such
gigantic concerns, which are the largest in the world, as the military-
industrial and electrotechnical General Electric concern (the Morgans);
the automobile and military-industrial corporation, General Motors (the
DuPazts); the oil trust, Standard Oil of New Jersey (the Rockefellers);
the aluminum monopoly, the Aluminum Company of America (the Mellons)3
the international atomic-dynamite and chemical trust,Du Pont de Nemours
(theDuPonts ); the agricultural machinery company, International Har-
vester (a Chicago monopolistic group), and so forth.
If one takes the NAM committee on foreign policy, then it tarns
out that, active in it are the representatives of almost all the monopo-
listic plunderers in the category of billionaire corporationsg the Chase
Manhattan Company Bank (the Rockefellers);Du Pont de Nemours, Standard
Oil Company of New Jersey, General Motors, that giant of the steel indus-
try, the United States Steel Corporation (the Morgans), the Morgan bank,
Guaranty Trust Company, the Boston bank, First National Bank Of Boston,
the Chicago bank, First National Bank of Chicago, and others.
Only rarely do scant data penetrate into the American press about
the still narrower circle of financial bigwigs Who are in control behind
the scenes of the NAM and the Chamber of Commerce. We have in mind the
so-oallekspecial consultative committee, to which belongs a small group
of concerns tied in with the most powerful monopolistic groupings of
the US. Even in the report of one of the Senate committees (on the activ-
itre this special consultative committee, it was noted that the repre-
sentatives of the corporations belonging to it met to "select a common
line of conduct... The majority of the concerns that are members of the
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special consultative committee are simultaneously members of the inner
leading group of the National Association of Manufacturers. They play a
,guiding role among American industrial giants in the appropriate fields,
uniting in secret coalition..."
Robert A. Brady, a Columbia University professor, noted in one of
his research works that "nowhere is displayed more clearly the ruling
position of these concerns, the members of the special consultative com-
mittee, than in the National Association of Manufacturers."
* * *
The chief managers of business who figure in the capacity of direc-
tors, vice-presidents, and also as members of the majority of the corn
mittees and departments of both staffs of monopolistic capital of the US,
also occupy the most important posts in the government and in government
institutions, ruling the roost in the Senate and in the House of Rep-
resentatives of the Congress.
Secretary of State John Foster Dulles is an extremely important
jurist of the monopolies and partner in the legal firm of Sullivan and
Cromwell, vihich serves many of the magnates of American capital and in
particular, the oil empire of the Rockefeller and the Morgan corpora-
tions. He, indeed, was a director of the International Nickel Company
and was chairman of the board of the Rockefeller Fund. Representatives
of the Rockefeller trusts and the Morgan companies are distributed in a
powerful flock in the Council of Directors and in the majority of the
other organs of the NAM and the Chamber of Commerce.
,pie American foreign political US Department of Stataicssomichofoftth?
Dulles had to admit this openly, when, in January 1957, he explained to
the members of the Congress why the US was burning with desire to proclaim
the "Eisenhower Doctrine," that immediate plan of foreign political ex-
pansion intended to hold the countries of the Near and Middle East within
the system of colonial rale of the imperialist powers. Senator Langer
permitted himself to ask Dulles about the capital investments of Sullivan
and Cromwell in the oil industry, about the foreign states where that
firm has capital, about the concerns which took part in forming the inter-
national oil consortium, and about the role of Dulles?_ deputy, Hoover, in
this matter. There was nothing left for Dulles to do but acknowledge that
his "offspring," Sullivan and Cromwell, "perhaps indeed has capital in-
vested in oil."
The former Secretaryof Defense Charles Wilson came to the Pentagon
from the post of president of the General Motors concern, representatives
of which sit in thecommittees and departments of the Association and the
Chamber; to the family of the Du Ponts and to General Motors belongs the
most influential voice in the rale of these two organizations.
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The P4per Secretary cf the Treasury? George Humphrey, in the past was a
director of more than thirty Companies and chairman of the Board of
Directors of the Pittsburgh Consolidated Coal Company. Humphrey con-
trolled the large iron ore and steel monopoly, M. A. Hanna and Company,
the vice-president of which controls the NAM committee on taxes.
;The retired Secretary of the Army Robert Stevens unites with the NAM and the
Chamber of Commerce his directoral posts in the Morgan concerns of General
Electric and General Foods, the managers of which figure in the capacity
of directors, nvice-presidents, and also members of the majority of the
committees and departments of the Association and the Chamber of Commerce."
The SecretarT:of_Commerde,Weeks, a former director of one of the largest
barks,of the US, the First National Bank of Boston, before entering the
government held the post of regional vicepresident of the NAM, heading
the activity of the Association in the northeastern states .of the country.
Weeks belonged also to the NAM committee on governmental expenditures.
The Former Under-Secretary of the Treasury and now Secretary of Edu7
cation of EeE)Itn, Edu,cation, aid.W:l.fare? Marion Folsom previcusly was a director and Treas-
urar of the bug? :monopoly Eastman Kodak and of a number of other companies.
, Simultaneously, he was a member of One of the committees of the NAM. The
monopoly Eastman Kodak is represented in an extremely fundamental way
both in the Association and in the Chamber of Commerce.
.Many deputy secretaries, ambassadors, and high ranking Persons in the
Ministries and the various governmental institutions are connected in one
degree or another with the National Association of Manufacturers, and the
Chamber of Commerce.
Thus, Nelson Rockefeller, son of the oil magnate John Rockefeller --
the actual owner of Standard Oil -- from time to time occupies different
governmental posts, including such posts as, that of special adviser to
the White House on questions of foreign policy, and of head of the
"psychological warfare" department. Winthrop Aldrich, son-in-law of
-John D. Rockefeller, former Chairman of Rockefeller? s Chase Manhattan
'Bank, for a long time occupied the post of ambassador to England. Douglas
Dillon, one of the directors of the bankers? house of Dillon, Reed and
Company, was US ambassador to France. Thomas Gates, a partner of the
Morgan banking firm Drexel and Company (Philadelphia) was appointed Secre-
tary of the Navy.
The NAM and the Chamber of Commerce actively exercise control in many
International organizations, including some where the American government
has official representatives. Both organizations are represented in the
International Chamber of Commerce, in the Inter-American Council of Trade
and Production, in the International Organization of Employers, in the
International Labor Organization, and so on. They maintain their open
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and covert observers at the United' Nations Organization. Representatives
of the NAM and the Chamber of Commerce were invited by the State Depart-
ment to the conference in San Francisco convened in 1945 to complete the
preparations for and to sign the charter of the UN.
The "brain centers" of the American monopolists attentively follow
the activity of this organization, persistently striving to tarn it into
a branch of the American State Department. It is they Who, with all their
strength, are striving to revise the UN charter, trying to undermine its
most fundamental basis -- the principle of the unanimity of the great
powers in deciding the most important questions of maintaining peace and
security throughout the world. In its annual report for 1953, the Chamber
even emphasized that it was the Chamber which had "laid the basis for a
study of the problems connected with the UN, for the preparation of American
proposals for a revision of the charter."
Control of the monopolies of the NAM and the Chamber of Commerce
over the legislative organs of the country -- the Senate and the Rouse of
Representatives -- is no less firm than that over the government.
This is testified to, above all, by the social makeup of the Congress.
Thus, according to the estimates of the American press, in the 83rd Congress
(1952-1954) there were 279 lawyers closely connected with capitalist monopo-
lies (they represent their bosses in courts, and they also represent them
in Congress), 138 businessmen, 37 professional politicians, 18 journalists,
18 landowners, 8 military men, and 33 other persons. In the last two
Congresses, as before, businessmen and lawyers of large-scale business
predominate. In them there has not been and there is not a single worker
or a single toiling farmer.
It is such a makeup of Congress which permits the Chamber of Commerce
to declare, like something self-evident, that "for the adoption of laws...
Congress needs the arrangements and recommendations of business.... The
Chamber of Commerce informs Congress of its point of view by two means;
by sending directly to Congress the recommendations of business about bills;
and by advising business people in localities to influence, with their ideas,
Congressmen representing their election districts."
Besides the open henchmen of the Association and the Chamber, numerous
"lobbyists" act in Congress -- special agents of capitalist monopolies
striving for the adoption or defeat in Congress of one bill or another by
means of Corridor deals and bribes, and by winning over those Congressmen
who are not directly in the service of the monopolies or Who, indeed, per-
mit themselves to play at democracy. The American journalists Allen and
Shannon write that "the scope of the lobbies, their influence, capacity
to do evil, greed, machinations, deceit, and falsification have reached
such a scale...that they threaten the government itself." The Most power-
ful, naturally, are the "lobbies" of the National Association of Manufac-
turers and the Chamber of Commerce.
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,A certain colonel, Martin M. Mulhill, who for a long time was one of
the paid lobbyists of the NAM and the organization connected with it,
the National Council for the Defense of IndustrY, had a disagreement with
his bosses. The latter simply fired him. The furious Muihill wrote
revealing articles in the newspaper Ite_gitgaggLREillmne. He described
in 4041 the methods by which large capital, and above all the Associa-
tion, hold Congress in their.hands. Mulhill handed over to the newspaper
65 dossiers Showing how the NAM exercises influence on presidents, vice-
presidents, and many senators and members, of the House of Representatives
of the American Congress. The colonel?8 articles told how the NAM organizes
the promotion in Congress of people advantageous to it, their being named
to committees of Congress, and so forth.
.A..0ongress of businessmen," declared one far from progressive US
,
political leader, "has sold millions of American voters to a small clique
of people Who have paid with ready cash." When a well-known American
servant of the Church was asked Whether he prays for the members of
Congress, the answer followed. g "No, I look at the members of Congress and
I pray for the country," ,
* * *
The existence and activity_of the National Association of Manufac-
turersand the Chamber of Commerce -- the staffs of US, large finance
capital -- does not mean, of course, a weakening of the extremely sharp
etruggle among the monopolists. On the contrary, the struggle among them
for sources of raw materials and markets, for spheres of influence, for
power in the country, for pr fitable governmental orders -- above all,
military orders for .in and profit, is becoming ever more persistent
and merciless, In all this, in these conflicts, robbers take part, Whose
loot is.reckoned-not by the hundreds of thousands and millions, but by the
hundreds of millions and billions of dollars.
Anexa4ple of each a struggle is the fight for the largest trans-
portation arteries of the country, which has developed in recent years
between, the magnates of the Middle West (Chicago and Cleveland monopolistic
groups) and an association of financiers representing the power and in-
fluence of Wall Street. As a result of this struggle, the Cleveland rail-
road king Robert Young, having formed an alliance with a number of monopo-
lists.of the 1444le West and "nouveau riche" millionaires from the state
of Texas in 1954, tore away from the Morgans the New York Central System,
the, second railroad in size in the 7L whose assets exceed 2.5 billion
dollars, and established his control over it.
Discussing the ins and outs of this struggle, one of the most well
informed.US press organs, the newspaper The New York Times, wrote that
"a_financia1 wax has broken out on a scale such as has rarely been observed
in this century.... On the horizon, conflicts are drawing near, in comparison
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with Which the fight for the New York Central system possibly will seem
only a duel with pistols. The financial and industrial capital of the
Middle West..., apparently, is testing its strength for a decisive con-
flict with the eastern groups..."
In the bitter struggle with the other groupings of Wall Street, the
Rockefeller Masse National Bank in January 1955 &allowed up the Bank of
Manhattan Company, which had been controlled by the Kuhn-Loeb family.
Having gained Control of the assets of this bank, the Rockefellers turned
their bank, now under the name of the Chase Manhattan Company, into one
of the largest banks of the capitalist world.
Throughout the period 1954-1957, even experienced American observers
were perplexed by a series of "mergers", "absorptions", and failures in
the competitive struggle of the largest enterprises of the country in all
branches of industry and spheres of economic and financial activity. In
January 1957, the magazines kVA and Look destroyed their long-standing
competitor, the magazine Colliers. They thus compelled one of the oldest
American magazines, with a circulation of 4.5 million copies, to cease
existence. The magazine IAA inherited all of Colliers business, and,
of course, its subscribers.
The unrestrained struggle of the magnates of large capital for power
in the country finds its reflection also in their striving to strengthen
their influence in the two main coordinating centers of the monopolies
the National Association of Manufacturers and the Chamber of Commerce.
The distribution of forces of the monopolies within these organizations
and the influence in them dependi on those positions which the monopolies
occupy in the economy of the country. The Association and the Chamber of
Commerce are cartels of a certain type, roles in which are distributed
In conformity with the real balance of forces. inasmuch as all the monopo-
lies are striving to change this balance to their own advantage, the role
of one monopolistic group or another in the HAM and the Chamber of Commerce
does not remain. unchanged.
With every year, imperialist contradictions become more and more pro-
found, and intensify the competitive battle for the expansion of the sphere
of monopolistic rule, for the conquest of ruling positions in the economic
and political life of the country. But in such questions of foreign and
domestic policy as the militarization of the economy, preparation for war,
opposition to peace-loving forces and to democracy throughout the world,
as well as to the labor movement within the US -- in all these extremely
important questions the various groupings of monopolistic capital act
with closed ranks. They dictate their reactionary, aggressive policy
to the upper Cliques of both main bourgeois parties of the US -- the
Republican and Democratic parties. Congress acts according to their in-
structions. Satisfaction of their interests is the law for the apparatus
of state administration of the country.
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* * *
If 0.210u takes the constitution (by-laws) of the National Association
offrianufacturers, which is often dhanged and amended in conformity with
the demands of the moment, we see that in one of its variants, adopted in
1950, there Is inscribed the following official goale of this organiza-
tion; "Securing the indaetrial apd financial interests of the USA";
joint action for the development of foreign trade"; "securing the interests
of capital in its struggle against the labor movement"; the struggle. for
the preservation of the foundations of private property"; "propaganda of
ideasTAnd,dissemination of information" having as their purpose the
defense of the interests of American imperialism; "support of legislative
acts" aimed at carrying out these purposes, and "checking upon. their im
plementation by the state apparatus."
However, the activity of the NAM and the Chamber of Commerce goes
far beyond the bounds of even these officially proclaimed-programmatic
provisions... Both staffs of American monopolistic capital keep under their
unsleckening observation all sides of the activity of the present-day Amer-
ican state.
From the 'very first days of the existence of the NAM and the Chamber
of Commerce, their activity had an imperialist character. They displayed
exceptional activity in working out and executing numerous expansionist
"programs" and "plans" which so persistently bind the United States of
America to. the other countries of the capitalist world.
Yithin_thehsart of the Association and the Chamber were worked out
_ .
the "Truman Doctrine," the "Marshall Plan," the program for rendering
"aid" to the so-called underdeveloped countries, and the "Eisenhower
Doctrine". ,For example, it is. pointed. out, in the programmatic document
of the Chamber of Commerce devoted to setting forth its "position in
questions of world policy," that the Chamber had Approved the "Truman
Doctrine", 7- that plan for military and economic seizure of new territories
and colonies in the eastern portion of the Mediterranean Sea -- even before
it "became an object of examination by both houses of Congress."
As far as the "Marshall Plan" is concerned, the NAM has boasted that
it was the "first organization in the US which Wholly supported the crea-
tion and principles of action of the Economic Cooperation Administration:
many recommendations advanced by the NAM were made the basis of the activity
of this Administration; and people were supplied by the Association for
leading posts." The Chamber of Commerce published a statement which set
forth the goals and tasks?. methods and means of carrying out this "aid."
In 1952, the Chamber noted that "Congress has used many of its principles
in legislative activity on the given question."
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The "Eisenhower Doctrine," that child, of the imperialist policy of
the US, is just such a product of the activity of the Chamber and the
Association as the rest of the "doctrines," "plans" and "programs" kindred
to it. Eisenhower, the President'of the country, presented his doctrine
to the Congress on 5 January 1957. But prior to him-, clear demands on
this question had been noisily formulated by two other presidents who
were no less influential: Henry Alexander, president of the J. P. Morgan
and Company, and. Rathbone, the president of the Standard Oil Company of
New Jersey. These are the heads of two concerns playing "first fiddle"
in the NAM and the Chamber. On 7 December 1956, that is, almost a month
before the official proclamation of the "Eisenhower Doctrine," Alexander,
speaking in Chicago at a meeting of businessmen who were leaders of enter-
prises, demanded that the government carry out a more decisive policy
in the Near and Middle East, and defined the bases of this "doctrine."
"We cannot," he declared, "disavow what is our own...An American doctrine
Is necessary for the Near and Middle East, precisely in the same way that
there exists an American doctrine for Greece and Turkey and an American
doctrine for Formosa (that is Taiwan -- D. A.), Quemoy and Matsu." Within
a short time, Rathbone spoke before the Chamber of Commerce of the state
of Oklahoma, giving advice -- sounding like an order -- to carry out a
"firm policy" in the Arab East: "The United States should exercise
leadership for the restoration of peace and stability in this region...
This, without doubt, is a problem from which we shall not be able to
separate ourselves easily... We shall go forWard prudently and decisively..."
The activity of the NAM and the Chamber of Commerce, the speeches of these
two presidents, the adoption by the government and the Congress of the
course proposed by the monopolies, pre-determined the adoption of the
"Eisenhower Doctrine." The USA took one more adventuristic step in its
irrational and dangerous game directed at establishing its world rule.
One day the ruling circles of the US felt the need of carrying out
a special check on the states receiving American "aid." The goal of the
check was to establish whether the "aid" rendered these countries answers
the interests of American capital sufficiently. A group of 55 employers
and financiers -- in essence fully controlled by the NAM and the Chamber
of Commerce -- was designated to carry out the check. At the head Of the
group of investigators was placed the chairman of the board of directors
of Morgan's General Foods Corporation. As it turned out, the represents,
tive of this "General Foods," C. M. Chester, is honorary vice-president
of the Association. The sub-group for checking England was headed by
Henning Prentis, honorary vice-president of the NAM and head of a number
of departments of the Chamber of Commerce. The sub-group for checking
France was led by Joseph Spang, vice-president of the NAM. At the head of
the group of investigators in Italy was placed Frederick Crawford, an hon-
orary vice-president of the National Association of Manufacturers.
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In recent years, a number of conferences of magnates of large capital
have been held by the association and the chamber for the purpose of
strengthening the positions of American capital in the world market. One
of these meetings was the attentively prepared conference of industrialists
of the USA and the countries of Western Europe, held in Paris in 1954. The
decisions of this conference were not published. But even the reactionary
press admitted that the basic purpose of this gathering of imperialists
was "the strengthening of the struggle against the USSR."
In February 1955, in New Orleans, at the initiative of the associa-
tion and chamber, and with the assistance of the American ruling circles,
a convocation of industrialists of Western hemisphere countries was held.
Four hundred. representatives of the comprador bourgeoisie of the Latin
American countries met with .400 of the largest American businessmen. The
tasks of this convocation included the creation, for the monopolists of
the USA, of still more favorable conditions for the investment of their
capital in the countries of Latin America.
In 1957, the second such convocation of leaders of industrial and
financial capital of the countries of the American continent was held
in Caracas.
* * *
The Second World Wer was a genuine orgy of profit for the American
monopolists. From June 1940 through September 1944 the value of the
fundamental military orders issued by the American government to the
monopolists amounted to 175 billion dollars. One hundred of the largest
concerns received 117 billion dollars in military orders. The profits of
these concerns rose 370 percent by 1944, in comparison with 1939.
During the period of the war, the businessmen of the monopolies, the
NAM, and. the Chamber of Commerce seized all the key positions in the state
apparatus, They dictated conditions.
In the fall of 1942, representatives of one of the leading organs
of the National Association of Manufacturers gathered at the Pennsylvania
Rotel in New York to work out their program. Lammot Du Pontl,a vice-
president of the NAM, made a speech. "Toward the government and toward
all squawkers," he said, we must conduct ourselves as we do toward buyers
of goods in short supply. We dictate the prices. They need our goods.
Fine; Let them pay in flail"
The well-known liberal American journalist William Allen White
ironically noted that the representatives of the monopolies, having im-
planted themselves in the state apparatus of the USA, had the firm inten-
tion of "profiting by this war for their own benefit," at any price.
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The arms were stacked. The peoples who had borne upon their Shoulders
all the misfortunes of war demanded the establishment of a firm, lasting
peace. But how did the Imperialist monopolies, the NAM, the Chamber of
Commerce behave toward this great and important task?
As early as November 1945, the Association and the Chamber convened
a meeting of pe, magnates of American finance capital, in order to work
out a common line among the US monopolies on opestions of foreign and
domestic policy. Among those who took part in the conference, which was
held in strict secrecy in the small town of Absecon, were W. Aldrich,
president of Rockefeller?s Chase National Bank, LammottuIbnt and J.
Dupont from the Eurbnt do Nemours concern, the leaders of such monopolies
as General Motors, General Electric, and others. The result of the con-
ference was the proclamation of a "tough policy" and the beginning of the
"cold war" against the USSR.
This directive of the meeting was carried out precisely by the Truman
government. At the annual congress of the NAM in 1945, [RobertR.1 Was on,
its president at that time, proclaimed the imperialist doctrine of the
"American era": "The United States has become a leading world power," he
declared. "The 20th century is the century of America." Right after this,
Truman, the President of the country, officially declared the US's pre-
tension to "leadership of the world."
The entire postwar policy of the ruling circles of the US has con-
slated of attempts to put this aggressive doctrine into effect. In the
execution of the course laid down by the EAR and the Chamber of Commerce,
laws were approved and principles of policy were declared which placed
the peoples of the entire world under a threat to their peace and security;
the forces of international imperialist reaction were consolidated against
the countries of the socialist camp.
400n after the start of the war in Korea, the NAM and. the Chamber
of Commerce proposed to the government to demand of its allies in the
Atlantic Bloc an intensification of the arms race, a reorganization of
their armed forces. This course was planned in documents of the Associa-
tion and the Chamber adopted as early as July 1950. The official organ
of the Association, The 1AM News, emphasized that "as a result of the
events in the Par East, the basic buttress to the foreign policy of the
US has been transferred from economic pressure to the use of armed force.
We should decisively re-examine our plan, and hasten to the maximum the
rearming of the countries of the Atlantic Bloc ... Now the buttress is
being formed in the creation of armed forces..."
Soon afterward, resolutions of the Council of Directors of the NAM
and the Chamber of Commerce appeared, in which it was cynically pointed
out; "The West European countries should make heavy sacrifices in the
interest of the creation of armed forces... The American government
should receive firm assurances from these countries with regard to the
effective mobilization by them of popular and materiel resources."
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'This was the policy of the unleashing of local wars and the prepara-
tion of a "large" third world War.
The enthusiasm with Which the executives of the NAM and the Chamber
of Commerce welcomed the war in Korea is understandable. The total sum
of allocations for the production of arms and for military construction
during the two and one-half years of the war in Korea reached, according
to the official data of theDepartammtof Defense, 169.7 billion dollars.
This was almost equal to the cost of the basic military orders in the US
daring the Second World War. As a result, the profits of the cannon
kings and, concerns working for the war rose sharply. The profits of the
US monopolies daring the war reached 118 billion dollars.
The NAM, together with the D6p9drtniembof Defense, informed the monopo-
lies in detail how and by what means government orders would be granted.
"In order not to create chaos in Washington," the NAM prepared special
drafts regulating the order and sequence of the issuance of contracts.
Immediately after the beginning of military operations a meeting was
held between the leaders of the Association and members of the government.
Putnam, president of the Association, sent President Truman a telegram
which revealed with cynical frankness the NAM9s readiness to work even
further together with the government toward the unleashing of a general
armed cOnflicts "American industry with its productive might publicly
assumes the obligation of fully satisfying the needs of the United States
and its allies"... If Korea leads to a general war...American industry is
ready for this, too."
Making ,profit out of the war in Korea, the American monopolies
hindered its ending in every way. In a special memorandum of the NAM
sent to the government, it was pointed out that the war in Korea had
deferred .a sharp economic crisis on whose threshold the US had been in
1950. The cessation of military operations and removal of American
troops from Korea, it was pointed out in this memorandum, would have "a
pernicious influence" on the economy of the USA. In December 1950, Putnam,
the president of the NAM, declared in the name of the NAM8s members that
the condition of the US economy depended on how long military operations
would continue in Korea and Viet Nam, and how much longer government
military expenditures would be made.
The magnates of American finance capital, the NAM and the Chamber
of Commerce, used the Korea War as a pretext to shunt the economy of the
US onto military rails. A military economy became the source of further
enrichment for the directors of monopolistic capital, and a necessary
condition for the receipt of the maximum possible profits. The arms race
in the US took on a scope unprecedented in history. In the ten years
following the completion of the. Second World War (from 1946 - 1955), direct
military expenditures of the US reached astronomical figures -- 303 billion
dollars. This exceeds the entire "gross national product" of the country
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for 1954. The state apparatus of the USA was converted into a gigantic
press, squeezing enormous taxes out of the workers. These funds were
sent into the safes of the largest monopolies In the form of payments
for military orders and as various sorts of subsidies. At the present
time military production constitutes about 20 percent of the entire value
of US industrial production. That is why the National Association of
Manufacturers and the hamber of Commerce are trying to tarn the arms
race and the "cold war" policy into a permanent factor.
In the declaration "on the policy of the Chamber of Commerce,"
adopted at its congress in 1954, it is said that, in planning their
policy and their expenditures, the ruling circles dhould base themselves
on the fact that "the existing state of tension throughout the world will
continue indefinitely." In this same declaration, the Chamber approvingly
pats the government circles on the back for the policy conducted by them
of "creating strong offensive and defensive armed forces, calculated for
undetermined periods of time." In the interests of the execution of this
policy the congress of the Chamber adopted a series of resolutions -- on
the principles of mobilization of the economy, on the number of men in
the armed forces, and so forth.
The decisions of the congress on questions of foreign policy touch
on all aspects of the official political course maintained by the American
ruling circles. Here are "the merciless struggle against communism,"
the blockade of the People's Republic of China, the organization of sub-
versive activity in the countries of the democratic camp, the embargo on
trade with the USSR and the plans of rearming West Germany. It is in-
structive that US Vice,President Nixon, the earrentSecretauof Defense
Wilson, and other state leaders made speeches at the congress. Wilson
devoted hiss?peeCh to a description of the "new military policy of the US."
He assured the Chamber that; the ruling circles were ready to give that
policy an even more bellicose character in. .the event of "critical" events
in Europe and Asia.
* * *
While working out and dictating a policy to the American state --
a policy completely alien to the interests of the common people of America
the National Association of Manufacturers and the Chamber of Commerce
simultaneously carry out furious propaganda, striving to exercise the in-
fluence necessary to them on public opinion in the country. Hundreds of
transmitters broadcast and televise special programs prepared by the NAM
and the Chamber. They distribute millions of books, brochures, pamphlets,
and informational materials; they create special films, and organize
numerous conferences, meetings, and gatherings. The NAM alone supplies
"guidance information to 20700 leading journalists, Washington capitol
correspondents, and columnists. News, cartoons and other materials are
sent out free to 5,540 newspapers and journals. The NAM daily spends one
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million dollars in order to Compel tbe American people to believe a direct
lie -- to believe that the imperialist monopolies are the "benefactors'
of the US. A significant portion:otthe funds allocated by the EAM to
educational institutions is designed to form the consciousness of youth
in a spirit beneficial to the forces of reaction.
The Chamber of Commerce also conducts advertising and. propaganda
activity on the same enormous scale. It publishes about 20 press organs,
including the monthly journal N? whOse circulation is
800,000 copies. The press service of the Chamber serves 1,400 daily said.
more than a thousand weekly US newspapers. Just as the NAM does, the
Chamber of Commerce provides journalists .and radio commentators with
"guidance" information.
.111ekindling of enmity for the Soviet Union and for the people's
democracies is a common note in all the propaganda of the association and
the Chamber. Day after day, the thought is instilled in readers that the
arms race ts "neceseary," that war is supposedly inevitable, and peaceful
coexistence 0 countries and peoples allegedly impossible. "There ,can
be to compromise Whatever between the USSR and the USA," asserts the NAM
in one of J4e144meraus brochures. "We stand for a pitiless struggle,
against communism," ,reads a declaration of a recent congress of the
Chamber of Commerce, And in his report to the 61st Congress of the NAM
held iniPecember 1956, -- Parker, a former president of the Association,.
called. for re-examination of the question of breaking off diplomatic rela-
tions between the USA and the USSR. The striving to_blacken:the Soviet
Union drives the leaders of the EAR and the Chamber of Commerce to the
wildest fabrications and slanders.
T..
A Senate Committee which carried out an investigation of the
activity of the Association in 1940 was obliged literally, tO declare
the following:- "The National Association of Manufacturers has deluged:
the country with anonymous propaganda for the purpose of disorienting and
deceiving public opinion.... That propaganda, Whose origin Within tho-EIM
is almost completely hidden from public opinion, is persistently displayed
from day to day with the aid of all means of press, radio, schools,
lectures, and so forth... The NAM contrives to carry on its propaganda
through subsidiary organizations, in order to disorient public opinion
and to :convince it that this propaganda eminates from independent sources.:
The leaders of the Association boast that their propagandaAnfluences the -
political views of millions of citizens and their choice of candidates
for etateposts."
The. unbridled, aad open, or subtle and hidden -- depending On circiat-
stancea propaganda carried on by the EAM and the Chamber of Commerce
represents a complex of ideas and principles, the operative goal of which
is to corrupt the consciousness of the ordinary American, to subordinate
him to the interests of the riling groups, to poison him with the preaching
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of "class harmony," with the chauvinistic venom of "Americanism," with
hatred, for the ideas of socialism and. toward the countries which are
putting these ideas into effect. All actual class relations are made con-
fused, Profit is proclaimed the highest meaning of human existence. The
close ties between the Association and the Chamber with the press, radio,
information agencies, and publishing concerns make the scope of this propa-
ganda flooding the American people indeed ominous.
Many of the executives of the leading organs of press and radio and
publishing concerns are members of committees of the Association and of
departments of the Chamber. Some of them have fought their way up to the
higher leading posts. Walter Fuller, chairman of the board of directors
of the Curtis Publishing Company, which issues the magazine Saturday
Evening Post, known for its extremely reactionary nature, has been a
president of the NAM. Fuller is now an honorary vice president of the
Association. One of the directors of the Chamber of Commerce and leader
of its department of foreign trade is Arthur Motley, vice president of the
Crowell-Collier Publishing Company, a large publishing concern. A vice
president of the NAM committee for foreign policy questions is James
McGraw, one of the owners of the McGraw-Hill Publishing Company, and of
the journal Business Week. [Charles] Douglas, publisher of the journal
Fortune, who for a long time was President Eisenhower's assistance for
the planning of the "cold war," also is a member of this committee. In
the various departments of the Chamber of Commerce one can find the pub-
lishers of each journals and newspapers as Look, Readers Digest, The
Christian_n_vloitor, and many others.
At the NAM Congress in December 1956, together with other plans of
political activity of the monopolies, there was approved the new, grandiose
program for the intensification of propaganda set forth in the report of
the Managing Director of the NAM, Kenneth Miller. Addressing the delegates
of the congress, he stated literally the following: "Our task consists in
obtaining the loyalty and good-will of the American people, their faith
in the leadership of manufacturers... In conformity with our program
of influencing the public, we constantly maintain working contact with
the press, radio, and. television, with magazines distributed throughout
the country, with economic newspapers, and with all the other organs of
the printed word. Week after week and month after month the number of
pages depicting the goals and intentions of industry is becoming more and
more imposing... We penetrate clubs and military organizations. With
the aid of our educational and training programs, we act in closer and
closer cooperation with schools and colleges. Our departments for work
among women not only maintain close ties with women's organizations and
groups, but also cover women in everyday life through the publication of
materials which interest them in magazines and newspapers, as well as in
radio and television broadcasts.
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"By making use of our program for ties between industry and the church,
we bring acquaintance with the affairs of industry to the dhurdh -goers,
whose interest in economic matters and in the factors leading to economic
progress has been rapidly growing in recent years.
?Thanks to all our chosen activity, we are achieving a great deal
of 'success in our work of influencing the Ameriean People, using for this
purpose every channel and every Means leading to the masses. However,
the only way that all this expanded activity can be successful Is for
businessmen to take part in the battle for the Minds of people everywhere
they live and act. That battle must be carried on constantly, not only
with the aid of money, but also on a still greater scale devoting
personal time and attention to It.
*
What the NAM and the Chamber of Commerce are striving for within
their, country, what policy they are following with regard to the American
workers, can be 80031 especially vividly from the activity of these organiza,
tions_d4ring the economic crises of the 1930s, daring the Second World
Wax, and especially in the postwar period.
When:the 000nomic crisis was raging in the USA in 1929 to 1933 and
the revolutionary movement was expanding, plans were being prepared within
thejte4r:cf, tbe NAM and the Chamber for establishing a fascist dictator...
ship within the USA in the image and likeness of Nazi Germany.
The fact that such plans were seriously being prepared is testified
to by the evidence Which General Smedley Butler gave at one time to the
committeeothe US Congress known under the name of the MacCormack,
Dickstetn Committee. The GeneralreIatadthat Gerald JeretulahDe suet?] Maguire, 6.
certain banker ar theMprgaa grpuRtriedto persuade him to become the head of
a military plat having as its purpose establishment of a fascist-military
dictatorship in the US. The organizers of this black adventure proposed
to create a fascist army of 500,000 soldiers. It was planned to obtain
arms for the army from the Du Font armaments firm, the Remington Arms
Company. Mavire spoke in the name of the fascist organization "The
League of Preedom, enjoying the support of the largest magnates of
capital.
1938, that is, in the period When the USA was falling intt a new
econozto crisis, and into the period of intensive preparation by the im-
perialist powers for the unleashing of the Second World War, the Chamber
of :Commerce convened a meeting of 200 of the largest industrialists. At
this meeting, H. Prentis, head of the Armstrong Cork Company Who was
one of the directors of the NAM and the Chamber of Commerce, and Who was
subsequently president and honorary vide-president of the NAM, declared
to those gathered that the necessity of resorting to "some form of hidden
dictatorship..." was rising before the employers.
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About a year before Munich, on 23 November 1937 -- that is, soon
after the meeting at which Hitler acquainted his military chiefs with the
plans for aggression against Austria and Czechoslovakia (the genuine
record of this meeting was furnished to the Nurenburg tribunal which tried
the chief Nazi criminals) -- there took place in the USA a secret meeting
of representatives of American "big business" and German fascism. "Big
business" was represented by several eminent leaders of the NAM, including
Lammot DuPont, former president of General Motors and one of the chief
executives of the Association. At this meeting, which was described in
detail in the $0 August 1942 reports of Congress, representatives of the
American monopolists and the German fascists Von Killinger, German
Gonsul,General in San Francisco, and Tlppelkitch,, Consul General in
Boston, disaassed the question of joint activity directed against the
USSR, the question of the division of spheres of influence in the world,
and of the possibility of applying German-fascist methods in the internal
affairs of the USA.
In 1939, the Second World War, fostered by international imperialist
reaction, broke out, Within two years, the USA was obliged to become
one of its direct participants. And immediately, the groups of maganates
of capital ruling within the USA, fearing the consequences of the war on
internal political life, and recalling with fright the sharp strengthening
of the labor movement within the country after the end of World War I,
planned an unbridled program for curbing the labor movement. That program
was worked out by Lammot DuPont, vice president of the National Associa-
tion of Manufacturers, and adopted in 1942 at a closed session of the
committee on resolutions.
.As soon as the war ended, the program of struggle against the labor
movement was developed further. Broad measures began to be carried out
toubring order" into the state apparatus, Congress, the trade unions, and
into the personal and public life of the common American people.
Within the very shortest period, all those who had more or less
soberly Judged existing international conditions, and the paths of
development of Soviet-American relations in particular, all those who
appealed for caution in the execution of foreign policy, were expelled
from the government of President Truman, that "provincial politician .
from the state of Missouri," as American journalists christened him.
Assiduous preparation was began for the elections to the 80th Congress,
as a result of 14hich a legislative organ was elected in 1946, which was
called "a Congress of Businessmen." This congress was literally flooded
with bills directed. against the workers. Hundreds of anti-labor bills,
one after another, were advanced for its examination. There began in the
country the still-continuing "witch-hunt" -- the campaign of destruction
of the progressive and democratic forces of the American people, with the
purpose of consolidating the control of the monopolists over the labor
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movement. And it was not seldom that textual similarities were observed
between decisions issued by American state organs and the recommendations
worked out by the lAM and the Chamber of Commerce for a struggle against
the "red danger."
When the Association and the Chamber obtained the adoption in 1947
of the draconic Taft-Hartley law, Congressman O'Toole of the House of
Representatives openly testified that this law "was phrase for phrase,
point for point, page for page, written by the National Association of
Manufacturers." The anti-democratic program of the Chamber of Commerce
and the NAM found its refleotion also in the extraordinary order of
President Truman on testing loyalty; in the "internal security" law
(McCatran-Pyrd Act adopted in 1950); in the law on immigration and
naturalization (McCarran-Walter Act, adopted in 1952); and in the decision
placing the American Communist Party outside the law (the BrownellBUtler
Act, adopted in 1954). These laws, together with the Taft-Hartley law,
become ominous landmarks of the era of police terror and political oppres-
sion in present-day America.
Por the struggle against the labor movement, the rulers of the
Association and the Chamber made wide use not only Of a number of terroris-
tic organizations of monopolistic capital, but also of the reactionary
upper clique of the largest association of American trade unions, the
American Federation of Labor-Congress of Industrial Organizations: Mieny,
Carey, and the other servants of the magnates of Wall Street like them.
The reformists within the labor movements, as well as the broad network
of spies, informers, and provocateurs spread by the monopolists throughout
the country, helped the monopolists to a considerable degree in carrying
out their plans for the still greater economic and political enslavement
of the people.
The NAM and the Chamber of Commerce finance such organizations as
the American Legion, the black-hundred band of the Ku Klux Klan, and
many other fascist organizations. In the year 1951 alone, a group of
the largest monopolies which held command in the NAM and the Chamber of
Commerce allocated 350 million dollars to various reactionary organiza-
tions occupied in provocatory activity among the American workers and
conducting subversive work in.foreign states.
- The ChaMber and the Association, in trying to hinder the growth of
the labor movement and seeking to place it under the complete, control of
the monopolies, makes use of numerous detachments of professional spies,
informers, and provocateurs. According to the evidence of the bourgeois
journalist Gunther, the worker "never knows Who his neighbor on the con-
veyor belt is -- a spy or an honest man."
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:In 1954 a new monstrous plot of the NAM and the Chamber of Commerce
against the workers became known. One American trade union journal
succeeded in obtaining and publishing the secret "Report No. 60,"
en-
titled "On Security in Indastry" prepared by the NAM and distributed only
to "cooperating companies" and "for the information" of a small circle of
reactionary journalists. This was .a carefully worked out plan for the
further development of the. capitalist_incraisition in the country, for the
creation_ef, a still wider netwerk of detectives and professional informers
to spy on the ordinary American. In "Report No, 60" the companies are in-
structed how to create_ special "committees of security" and how to direct
their activity. Among the tasks of these committees, "Which are under
the supervision of the higher admiaistratiqn-g the enterprise," is
included the denouncing of all "nnfnitl4nr. Workers with, the purpose of
isolat.ing them and persecuting then further. In this connection, it is
recommended, :or example, that the fingerprints of all workers be taken,
that a, "loyalty oath" be extracted from them, and that a "system of
obeel7Vatien of ,Werkere W.Oreated. That '!system" provided for the
organilation? in each shop, of secret groups to which persons should be
drawn "who enjoy trust" among the workers and who would, therefore, have
more opportunity "to carry on observations of the actions and.conduct"
of.the4x comrades. At the aame_time? it is suggested that the companies
compile "files" on each worker, bringing into them all materials "com-
promising" him; to record what a worker has said in a locker room or at
a,trade-union meeting, Whom he has met, to what organizations he belongs,
and so_forth,
A =Aber of_oonoerns, including the billionaire corporation General
Electric, have already announced that any worker accused of being a "Red,"
or refusing to betray anyone at all to investigating committees oeaupied
with hunting down democratically-minded persons, will be fired.
In the spring of 1954, the Chamber of Commerce adopted, at its
annual congress, a 27-page program on the trade union and labor movement,
in which it openly demanded the banning of "solidarity strikes" and
"picketing with the purpose of gaining recognition of the rights of trade
unions," and also:the adoption by the American Congress of other measures
aimed at depriving the workers of the most elementary rights in defense
of their interests. George Armstrong, a representative of the National
Association of Manufacturers, spoke before Congress -- the Committee
on Labor Affairecf the. 'louse of Representatives -- with analogous demands.
At the am time in, their press organs Washington Revort and Washington
Bulletin, the NAA and the Chamber deman4ads4',Congress the adoption of
"tougher" anti-lator legislation than:the Taft-Hartley Law.
The U. S. Congress did not delay in satisfying these demands. A
number of bills were presented in the House of Representatives and Senate
during both sessions of the 83rd Congress, including those of Butler,
Miller, Goldwater-Rhodes, Veldte, Benson and Brownell. These bills found
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their fulfillment in the :Brownell-putler Law, adopted by the Congressmen.
In appraising this activity of Congress, the trade-union press emphasized
that the adoption of anti-labor laws by Congress "is exactly what the
National Association of Manufacturers and the American Chamber of Commerce
had demanded."
Industry is ceasing rear guard battles and is Shifting to mass
attack" thus did NAM director Miller describe yet another program of
the rulers of American capital advanced by the 61st congress of the in-
dustrialists in 1956. The congress announced a new campaign against the
workers and ,toilers to secure the interests of the monopolies. At the
congress a five-year plan was advanced for the reduction of taxes on
corporations; the execution of this plan would permit such taxes to be
lowered about one-half. Inasmuch as no reduction in expenditures by the
government was simultaneously envisaged, it becomes clear that the working
people were supposed to compensate to the state treasury for this half.
At the same time, social legislation was subjected to ferocious attacks
by the industrialists. Parker, the president of the Association, called
social security, pensions, unemployment aid, trade-union rights secured
by law, and even.., hot breakfasts for school children "an alien body in
the social svstem of America" Which Should be eliminated in order "to
save the USA from creeping socialiSm." A demand was put forward for the
adoption of "the toughest measures" and for the use of "police clubs" to
curb the workers and the trade unions, for the application of the Taft-
Hartley law against strikers on a still wider scale, for the use of the
"anti-trust" laws against trade unions (although those laws are intended
to battle the arbitrary rale of the monopolies), for the mass applica-
tion of so-called "labor laws" setting forth the "right" of strike-
breakers to work, and for a number of other draconic measures. In dis-
cussing ways of putting the planned anti-popular measures into effect,
the orators at the congress unanimously noted that the climate for this
His now more favorable in Washington than at any other time", and that
the voice of the industrialists would be listened to there with great
attention.
One day one of the aUxilliary organs of the NAM, the so-called
National Council of Industrial Conferences, held a special convocation to
discuss .ways and means to fight the trade unions.
There spoke the convocation Colonel John F. Moran, the head of the
division for questions of security in industry under the main chief of
military police. "Industrialists," he declared, "should be ready to
adept police measures -- to surround plants with dual barbed wire fences,
electrically charged, to set up steel towers. with guards possessing fire-
arms, to take Use fingerprints of all workers." One of the industrialists
attending the meeting displayed vivid interest in the experience of the
Hitlerites; "What did the Germans do under Hitler to prevent the
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interference of the communists?" he asked.. "They put them in concentra-
tion camps. They uncovered them with the aid of the secret policy. They
did precisely what I have advised you to do this morning," answered
Moran.
This is the fate which is being prepared for the American workers
by the magnates of large capital in the US -- the Morgans, the Rocke-
fellers, the Du,Ponts? the Fords, and the like. Into concentration camps!
Behind bars: Behind electrified barbed wire!
Against this the best of the American people are fighting now. The
toilers are rebuffing the all-powerful monopolies. This is testified to
by the growth of the strike movement, by the stubborn character of the
strike battle of the workers.
The American plutocracy is striving to suppress this valiant struggle.
It ts,persecuting the militant organizations of the American working class.
It whips itself into a fury, lies, slanders, deceives, undertakes desperate
adventures, trying, with the help of a terroristic dictatorship, to support
the foundations of capitalism.
But there are no forces in the world that can halt the forward de-
velopment_ of mankind, or prevent the common people of all countries, in,-
eluding the American people as well, from taking the path of freedom,
progress, universal happiness and prosperity.
Uncrowned Kings of America V. Morev
A gloomy, narrow stone canyon. Along both sides rise the somber
facades of multi-storied buildings. The windows of the floors are
barred with heavy grates behind Which thick dusty window panes are
glimpsed. Massive metal doors, copper signs with embossed letters.
This is Wall Street in New York.
Here, in Wall Street is the center of American finance capital, the
lair of the largest monopolistic associations. Here are found the real
rulers of present-day America -- the largest industrial monopolies, banks,
and financial concerns.
A, few decades ago, this was the only center of power in the USA.
But later, other groupings of American finance capital also became stronger.
La _Salle Street in the business district of Chicago has long become a cen-
ter of capital rivaling and competing with Wall Street and conducting a
bitter struggle against it. In America, eight groups of finance capital
can be counted. One of the mightiest of them is the oligarchy of the
Morgans.
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* * *
In the editorial office of one of the "respectable" American bourgeois
newspapers, they stowed a visiting Soviet journalist the research section.
In high iron cabinets stood meticulous files supplied with dividers and
indices. In them was gathered everything which had been printed at any
time about the heroes of the day of America -- financiers, politicians,
gangeiters. A special "file" was devoted to each. From the number of
newspaper and magazine clippings existing in them one can judge how
famous is one or another "hero" of contemporary America. The "files" of
the most well-known figures, who are now in their declining years, contain
prepared obituaries to which there only remains to add two or three lines
in case of need.
The journalist asked them to dhow him the "files" of the most well-
known. people in the USA. They brought him dozens of swollen files. A
renowned baseball player, half a dozen motion picture actors, two or
three boxers.
nut is it impossible to see what you have about the Morgan financiers?"
the journalist asked the workers in the editorial office. Within a minute,
there lay on the table a thin cardboard file. In it there turned out to
be no more than, two or three dozen yellowing newspaper clippings. These
were notes of the most innocent, chronicle-type nature.
Attempts to clarify the causes of such "modesty" by the American press
in depicting the activity of the uncrowned kings of America did not lead .
to anything -- the workers of the editorial office did not desire to reveal
their secrete.
Everything that concerns the magnates of American monopolistic capital
is sUbjected to the strictest invisible censorship in the largest American
newspapers and magazines. There is nothing surprising here -- it is rare
for one of these organs of the American press not to be dependent on
finanCe capital. Burning incense of the most delicate flattery to them,
depicting them in the role of "philanthropists" and "benefactors," the
bourgeois press at the same time carefully masks and hides their real
business. And only in a few progressive newspapers, which experience
continual financial difficulties and which are baited by the "large" capi-
talist press and by the entire apparatus of subtle, dangerous and pernicious
propaganda, is it possible to find unmasking words of truth about the dic-
tatorship of financial monopolistic capital of the US and about its most
influential representatives, the Morgans.
The dynasty of the Morgans is represented now by two brothers. On
the board of the bank of J. P. Morgan and Company in Wall Street sits the
vice president of this bank, Junius Spencer Morgan. His brother Henry
Sturgis has, since 1928, been a partner in another Morgan bank, Morgan,
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Stanley and Company, and a director in the huge concern of General Electric.
The present-day sprouts of the oligarchic empire of Morgan, evidently,
:do not shine with talents ,- they strive to keep themselves in the shadow
and occupy secondary posts in their banks. The posts of presidents and
chairmen of the board of the Morgan banks are held by more experienced
executives of Wall Street0 each as Whitney, Leffingwell, Alexander, and
others.
For the purposes of advertising, the press agents of the Morgans have
spread_ a_nromantic," legend about their origin. They assert that these
magnates of Wall Street trace their ancestry to the pirate Henry Morgan,
who a,century and a half ago plundered English and Spanish Ships in the
Gulf of Mexico and. the Carribbean Sea. One of the Morgans, John Pierpoint
the younger, even named his steam yacht -- to all appearance recalling a
miniature ormiser -- "The Corsair" (The Pirate).
More objective research has dispelled this legend. It has turned
out that the founder of the banking dynasty, Joseph Morgan, was only an
owner of taverns, inns, and stagecoach lines in Hartford (state of
Connecticut). The first insurance company in the USA was created by this
Morgan. His son, Junius Spencer Morgan, entered trade; the stores and
factories of his firm were located in New York and. Boston. In 1853, the
young Junius Morgan took all of his capital with him to London. There,
he soon became a partner in the banking house of Peabody and Company.
Within ten years the American newcomer had forced out his English patron;
the banking firm began to be called "J. P. Morgan." It exists to this
day as a branch of the New York beak of the Morgans and is called Morgan,
Greenfell and Company.
The first executive of the basic American branch of the dynasty of
the Morgans was John Pierpont Morgan I. His father, Junius Spencer, sent
John Pierpont to New 'York not long before the start of the civil war in
the USA..
The bank of tbe Morgans in New York was created in 1863. Wars sup-
plied this bank with "primary accumulation." During the period of the
civil war between North and South the Morgan bank, through corrupt persons,
purchased from the government rifles rejected by the war department, and
then sold them to the very same government. This led to a noisy scandal,
but it did not touch the Morgan profits. One of Morgan?s biographers
wrote about this activity of his daring a difficult time for the American
people: "During the trying days of the civil war, the young Morgan, con-
centrating strictly on his own affairs, advanced himself slowly but surely.
In 1863 he speculated in gold in an extremely unpatriotic way."
* * *
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The young banker's complete lack of patriotism was felt not only in
this. In 1863, after a number of heavy defeats of the Northern troops,
the US Congress passed a law on military conscription. The businessmen
and their lackeys seated in Congress introduced into this law a special
article permitting rich men of conscription age to supply other recruits
in place of themselves. Enterprising businessmen immediately created
special offices to seek out young Americans whom need or other misfortunes
compelled to undergo the fire of the southern racists for a comparatively
small aim, John Pierpont Morgan was also released from military service --
for 300 dollars one of these offices found A lad who was Sent into the
army in place of the young banker.
. :More than one young employer who bought himself off in this way --
wrote R. Boyer and G. Moreys, historians of the American labor movement --
discovered that he was fully reimbursed. Looking through the lists pub-
lished in the newspapers, many of them learned that the poor lads who
had gone into the army in their place had laid down their lives on the
fields of battle. Three hundred dollars was not high payment for preserving
one's life, particularly under conditions when life brought greater and
greater profits with every day, to the extent that millions of dollars were
spent in the form of military orders.
In. 1890, the center of the Morgan financial empire was finally trans-
ferred from London to New York, to 23 Wall Street. The crude, powerful,
and aggressive John Pierpont Morgan, with a massive head, an enormous
mastache, and deeply inset eyes, behaved scornfully toward people. He had
almost no friends. Even the paid biographers of Morgan said that he had
a "feudal tarn of mind."
Expanding his financial empire, Morgan pitilessly destroyed his rivals
and competitors. "He fought with the financial pirates of his time, using
their own weapons, and, sustaining a victory over them, acquired great
influence," one of his biographers wrote about Morgan. Morgan seized the
Albany and. Susquehanna Railroad from D. Gould and James Fish, great mag-
nates of that time. Making use of a normal economic crisis, he ruined
another magnate of Wall Street, a certain Jay Cooke.
By the end of the last century, Morgan had already become a force
which was far from small. Granting the American government a private
loan of 50 million dollars, he helped it to stabilize state finances.
The government has come under the power of private financiers," American
newspapers wrote at that time. Morgan. refused to inform the press how
madh he profited by this operation.
More dollars, more might, more power. Morgan ruins Carnegie, Moore,
Gates -- among the largest capitalists of that time. He tears the Northern
Pacific Railroad away from Edward Harriman. When, in 1907, a cruel crisis
broke out, Morgan, with the aid of complex operations, saved the state
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finances which were invested in private banks. In gratitude for this, the
government silently consented to his seizure of his recent competitor,
the Tennessee Coal and Iron Company. Theodore Roosevelt, the President
at the time, approved this transaction, although it represented a clear
violation of the so-called "antitrust laws.!'
*eying seized the?OOmmanAing heights of the American economy, Morgangs
banking house was the first of the American banks to begin to invest capi-
tal outside the USA, As early as 1870, when the workers of Paris were
raising the ideals of the commune in France in a straggle for their rights,
and the government fled from Paris to Tours, Junius Spencer Morgan I or-
ganized a loan to the French government. After the end of the Franco-
Prassian. war the bank of J. P. Morgan took part in an international syn-
dicate which profited from the payment of many millions in war indemnities
by Prance,
Since the turn of the century, Morgan?s dollars have poured in a
broad stream abroad -- into Argentina, Honduras, Bolivia, and Peru. They
have penetrated into Europe and. Asia. The labor of thousands of people
and t4e. natural riches of these countries have become sources of um.-
precedented enrichment for the American magnates of finance capital.
Not organizational talents, not capacity for invention, not great
scientific discoveries, but money, the power of the dollar placed the
Morgans at the helm of the administration of entire branches of industry.
American economists calculated in 1957 that the three Chief Morgan
financial concerns alone -- J. P. Morgan and Co., Oaarantee Trust, and
Bankers Trust -- now control hundreds of industrial concerns, trusts and
companies with a total capital of 106 billion dollars -- about one-tenth
of the: entire national wealth of the USA. The financial "empire" was
created by the Morgans in a bitter struggle for sources of new profits,
for new means of exploitation of the toilers. In this struggle their
rivals and competitors are inflicting painful blows on them. The Hooke-
feller, bank, Chase Manhattan, through unknown means has acquired part
ownership in Morganos General Electric, and Rockefellerus capital is
oozing into the holy of holies of the Morgans -- the 14 billion dollar
concern, American Telephone and Telegraph (ATT).
Bat the Morgans, too, are not behindhand. Their capital is oozing
into the Mellon machine-building trust, Westinghouse Electric, into
DuPont's General Motors, and even...into the patrimony of the Rockefellers,
Standard Oil of New Jersey.
A brawl has not ceased, either, for rule within the apparatus of the
state administration of the USA. Representatives of the Rockefeller oil
monopolies have expelled Morgan representatives from many government posts
in Washington.
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But the last decisive word in this struggle has not yet been said.
The Morgans in essence have engulfed the Boston financial grouping, they
are approatbing the Giannini banking system (Bank of America, on the West
Coast), and they have no intention of yielding the reins of state rule
to their competitors.
The financial empire of the Morgans 'contains industrial concerns,
and railroads, municipal trusts (mainly electric power and gas), banks
and insurance companies. Three-quarter of them belong to the 250 largest
concerns of the US. The banking oligarchy of the Morgans uses its con-
trol for the brutal exploitation of millions of Americans, which bringb
it fabulous profits.
The Morgan trusts and concerns, in a number of cases-, almost wholly
embrace entire branches of industry, United States Steel, the steel
trust of the Morgans, produce more than 35 percent of all the steel in
the USA. At the disposal of the trust are two shipping companies and
107 ships. The steel trust possesses four railroads and the largest
COmpany for cement production in the USA. To it belong the largest iron
ore beds in the US. -- Mesabi (state of Minnesota). Nowadays this Morgan
trust is closing in on the reserves of iron Ore in Venezuela (Cerro-
Bolivar Mountain), and the ore of Canadian Labrador.
The first president of United States Steel was a judge by the name
of E. Gary. The workers hated him; they said of him that he "saw a blast
furnace for the first time only after his death -- in hell." Gary was
replaced by Myron Taylor who was subsequently the personal envoy of the
President of the US to the Vatican; Taylor was replaced by Edward
Stettinius, Jr., who at one time held the post of US Secretary of State.
At the time of the creation of the steel trust in 1901, its capital
amounted to over one billion dollars. Nowadays that capital exceeds 3.5
billion dollars. This was the first billionaire concern, which laid the
foundation of the "billionaire& club" to which 77 of the largest banks
and industrial concerns now belong.
. -Savage terror has always reined in the plants of United States Steel.
Company epic's and hired criminals have expelled progressive workers and
trade-union organizers, have expelled all those who have tried to unite
the workers to rally them for a straggle against savage exploitation.
But as early as 1919 American metallurgical workers began to organize
themselves into trade unions. In that year, under the leadership of
William Z. Poster (subsequently the eminent leader of the Communist Party
of the UV) the first general metallurgists strike unfolded, laying the
basis for the unification of the workers into a trade union of steel
workers.
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To this day they remember that strike in America; it has gone down
in the history of the US labor movement as the "great strike." Three
hundred and sixty-five thousand workers struck in 50 cities; 1,5 million
Americans, together with their families, entered into a difficult, tense
struggle against the capitalist exploiters. In all, 4,0000000 workers
struck in the USA during that year.
For the suppression of the strike, the Morgans threw against the
workers troops willingly furnished them by the authorities of the states
and, the government. At the center of the strike -- the city of Gary in
the state a Indiana, which has almost merged now with the suburbs of
Chicago -- government troops sent to suppress the strike were commanded
by Major General Wood. Hundreds of strikers were beaten and wounded,
thousands arrested, and 22 American workers gave their lives in this
struggle.
* Gary, president of, United States Steel, frightened by the events
of the Great October Socialist Revolution in Russia, asserted that the
goal of the strike was. allegedly "the Sovietization of the US metallurgical
industry." In. answer, the workers cited facts: the unbearable 12-hour
working day, and the high prices for objects of primary necessity, prices
which had leaped by two times on the average during the participation of
the US in the first world war.
Three months of bitter strike straggle brought the workers the main
and most valuable thing -- organization, the ability to fight the class
enemy in strike battles. The present-day strikes of the steel workers
are the most. decisive class battles, of labor against capital in America.
The present president of the company, Benjamin Fairless, is famous
for his savage violence against the workers. During one of the strikes
at the, plant in Massillon, Fairless drove 500 strike-breakers to the plant,
and led. them himself in an attack on the strikers. His name is hateful
to every worker in the plants of the steel trust of the Morgans.
The electric machine-building trust General Electric, and the grain..
milling plants of Genera]. Mills, the enterprises of the food industry
(General Foods), and the enormous system of electrical communications
(American Telephone and Telegraph) have plants in Japan, Germany, France,
Italy, Morocco, England, Austria, Belgium, Chili, Spain, Turkey, Sweden,
Rolland, Argentina, Mexico, Brazil, and Uruguay. Maxy hundreds of thou-
sands of persons labor in these plants, multiplying the wealth of the
Morgans,
The Morgans have long invested their capital in the production of
military and strategic raw materials. Their company Kennecott Copper,
together with Phelps Dodge and Anaconda Copper Mining, hold in their
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hands one third of the copper extracted in the capitalist countries. To
the bank of J, P. Morgan and Co. belongs 16 director's posts in trusts
of the copper industry. And this is no accident. It is evident that
copper has long had enormous significance for military production.
The appearance of a new type of weapon -- atomic -- has opened a
new source of enrichment for the Morgans.
The oligarchic group of the Morgans, from the very beginning occupied
a ruling position in the development of the atomic armament industry.
Together with the concerns of the Du Pots and the Rockefellers, the Morgans
"administer" the enterprises of the atomic industry of the USA.
The system of this "administration" represents a cunning device of
the American monopolies, with the aid of Which they kill at least three
birds with one stone. Understanding what enormous responsibility they
would bear in unleashing the armament race, the rulers of the American
monopolies managed to have the enterprises of the atomic industry (in
which more than 12 billion dollars are already invested) declared the
"property of the state." The private capitalist monopolies took on them-
selves only the "administration" of them. Thus, the atomic armament indus-
try has been built with funds of the American taxpayers, and the monopolies
have not had to risk their own capital. The concerns "administering" these
plants nominally receive, in all, only one symbolic dollar a-Year. However,
enormous profits fall to them in the guise of payment of expenses of
"administration.," through the transfer to them of rights to patents to
individual processes of atomic production, patents to apparatus, equipment,
and so forth. Responsibility for the production of atomic weapons and for
the consequences connected with its application is borne by the government,
but only formally.
In the field of US atomic armament, the Morgans act not only as
suppliers, but also as bosses. The recommendation to use atomic weapons
against Japan was adopted by a special committee created under the US War
DepartmentinMarch 1945. The leading role in this committee was played
by George Harrison and James Byrnes, Who later held the post alas Secre-
tary of State. Harrison at that time was president of the Morgan insurance
company, New York Life Insurance. Byrnes, both then and now, is closely
connected with the Morgan Newmont Mining Company, occupied in prospecting
for uranium and the exploitation of uranium beds. Sedrettry of War Stimson,
who headed that special committee, was closely connected with firms in
which Morganis capital was invested -- the legal firm headed by him had
fulfilled important tasks for this banking house and received large fees
from it. This is on Whom lies the genuine, and not the formal responsi-
bility, for the fate of the victims of Nagasaki and Hiroshima%
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A strong chain of Morgan financial ties binds the companies extracting
uranium. nn4 the government organs for control over atomic raw materials
with the banking house of J. P. Morgan and Company. These ties have been
partially shown by James Allen, a well-known specialist on American monopo-
listic associations.
When, in the United States, there was created a government organ --
the Commission on Atomic Energy -- to Which the "state" atomic enterprises
were subordinated, then a certain John Gustafson, a representative of the
Morgan company Newmont Mining, was named director of the atomic raw mate-
rials division in this commission. Six out of the eight members of a
consultative committee created somewhat later by the government to handle
questions of prospecting and extracting atomic raw materials were employees
of the Morgans. These were a certain Fred. Searles (president of Newmont
Mining). A. Gray (the Morgan copper mining company Kennecott Copper),
T. Brtdgeman (the firm Guggenheim Brothers, closely connected with the
Morgan banks), R. McConnell .(with ties with Morgan capital through the
firm RoxanpaGarporation), W. Judson (director of the company Texas Gulf
Sulphur, belonging to Newmont Mining and to the Mellons jointly), and
also german garnPho.diPectOr of one of the Morgan mining companies and
brotlieT_CI the well-known Morgan financier Bernard Baruch.
Within the very shortest period the Morgan monopolies have grasped
within their.han40 the riChest,sources of atomic raw material. Now they
are striving for control over uraniUM ore beds throughout the entire capi-
talist A.main weapon of theirs in this straggle is the interna-
tional concern International Nickel Company, in which the Morgans rule
jointly with the financial groups of the DaPonts, the Rockefellers, the
Mellons, and the British Imperial Chemical Trust. The interests of the
Morgans 4n1it1is concern are defenfed auth leadersas R. [Isaac CubittRaymbM?J Atkin, yine
president of the banking house of J. P. Morgan and Company as well as
Lewis Doug].as, a representative of the concern Phelps Dodge-Morgan, who
for a long time held the post of U. S. ambassador to London. In addition,
on the board of International Nickel Company, Bell Telephone System. The
head of, the nickel-uranium concern International Nickel, R. Stanley, is
simultaneously a director of Morgan?0 United States Steel and General
Electric,
The greedy hands of the Morgans stretch out Also toward the mineral
riches of Africa. The "Anglo-American Corporation of South Africa," in
which a prominent role belongs to the capital of the Morgans, through
dozens of smaller mining companies Which are subordinate to it financially,
holds in its hands a considerable part of the mineral riches of the Congo,
including uranium deposits. Moreover, the raw materials division of the
government commission on atomic energy, in which, as has been shown above,
the representatives of the Morgan monopolies rule, has concluded an agree-
ment with the government of the South African Union granting the monopolies
of the US., and above all the Morgans, a considerable portion of control
over South African uranium deposits.
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The monopolistic position of the Morgans in the field of atomic prodne-
tion, a position Which they Share with only a small number of the other of
the largest monopolistic groupings of the US, has permitted them to
seize the commanding heights in other fields of atomic energy as well.
The chief representative of the Morgans in this field is their electro-
machine-building company, General Electric, Which "manages" a plant for
the production of plutonium in Hanford with 'a value of 350 million dollars.
General Electric has spent another 400 million dollars on additional con-
struction and expansion of this plant. George kraut, vice-president of
General Electric and manager of the atomic plant in Hanford, his set forth
the Morgan program in the field of atomic armament as follows; to put
an end to handicraft methods in the production of atomic weapons, and to
place that production on a modern industrial basis.
To the Morgans there belongs also the renowned Knowle Laboratory,
which is concerned with experiments in the field of adapting atomic
engines for military purposes (for submarines, military airplanes, and
so forth). The Morgans are also using their ruling position in this
field to establish their monopoly in the field of peaceful ayplication of
atomic energy, Which they are hindering, inasmuch as the electric power
companies are in their hands.
It is therefore not surprising that the representatives of the Morgans
have a place on all the committees named by the government Of the USA to
work out Plans of "international control" (in essence, the rule of the
American monopolies) in the field of atomic weapons and atomic energy.
-Included on the consultative committee which at one time prepared
the Acheson,Lilienthal report that laid the basis of the well-known "Baruch
plan"were.azoldWilm%vio??TatbditarGener9.1.Eledtria, G. [amrster,IndngnBai'Aard,
president of Morgan's New York Bell'Te1ephone, and other representatives
of companies tied with the banking house of Morgan Fred Searles, presi-
dent of Newmont Mining, was on the US delegation in the UN for negotia,
tions on questions of atomic energy. Bernard Baruch who headed the
delegation, had long been connected with the Morgan mining companies.
That delegation tried to drag through the UN plans for the creation
of an "international organ" possessing all the atomic enterprises in the
world, an organ in which American -- above all Morgan ?.monopolies would
rale. Such plans are still being advanced in order to torpedo the estab-
lishment of genuine international control over atomic energy, and to
obstruct the banning of the use of atomic weapons; the American monopolies
categorically object to such banning.
* * *
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Like other magnates of finance capital of the US, the Morgans are
not content with their role Of Manufacturers, industrialists, and bankers,
In order to secure the greatest possible profits for themselves, they
seize the apparatus of state administration of the country, they dictate
theirWill to the political ,leaders and legislators.
!'We (that, is, above all the Morgans -- V. M.) are no longer only
industrialists. and merchants of electrical equilment"boasted ChariesE. Vidlard?1
Wilson, president of the Morgan concern General Electric in September 1949.
We play a significant role in science, in education, in the government,
_ ,
and *# social progress."
Both parties of the American bourgeoisie -- the Republican and the
Democratic parties -- secure the political power of the monopolistic
capital of the USA. The leading hierarchy of these parties is in the
service of he largest financial oligarchies of the USA. It is precisely
they Who rule in these parties, Who determine their policy, and who
advance their own henchmen. to the highest posts in the state.
Morgan's capital has brought more than one politician into the White
_ _
Rause, to the post of president of the US. Theodore Roosevelt -- who was
virtually the most aggressive representative of the American monopolies
to occupy the White Rouse,7-_was a henchman of the Morgans. To him be.-
longs the swing; "Speak softly and carry a big stick.." These catchwords
have long become the motto_of the foreign policy of American imperialism.
The well-known American journalist Landberg wrote; "Theodore Roosevelt
was raised by the Morgan clique from the first stages to the very height
of .,140 political career... When one studies Theodore Roosevelt's two terms
at president it becomes obvious that, thanks to his assistance, this period
was*periOd of the greatest flourishing of the firm J. P. Morgan and Co.,
and of As clients.., The evidence of this is irrefutable."
,
To deceive the voters, Theodore Roosevelt made demagogic speeches
in which he "destroyed" the magnates of Wall Street. But to strengthen
his tied with finance capital, he gave secret dinners for Morgan in the
White Rouse,
President Coolidge was, according to the testimony of the American
journalist Landberg, "simply a marionette," a "henchman of John Pierpont
Morgan." In 1933, one of the committees of the American Senate estab-
lished. that Coo1idge enjoyed great privileges in the bank of J. P. Morgan
and Co. With the aid of that bank, the man who was then President bought
stock of different companies at large discounts, Thus was bought the
influence of the banks of Wall Street over the entire policy of the coun-
try, foreign and domestic.
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The Republican President Herbert Hoover was also a henchman of Morgan
in the White House, Hoover was placed in the government apparatus of the
USA after the first world war on the recommendation of one of Morgan's
partners, a oertainThompson. In the government headed by Hoover were
representatives of the banking house of J. P. Morgan and Co, Among them
wereHenry_Stimson,,Secretary of State, and S. Adams, Secretary of the
Navy. Hooyees chief advisers on questions of foreign policy were
Morgan's associates in his bank, D. Morrow and T. Lamont,
The White House in Washington was linked with Morgan's office at
23 Wall Street in New York by a direct telephone connection. Through
this telephone line there came to the White House "advice" which eounded
like orders.
Sherman Adams, a very cloie relative of Henry Sturgis Morgan, director
of many trusts and concerns connected through the Boston group with the
Morgans, is presently one of the Chief political advisers of the White
House.
Many direct representatives of the banking house of the Morgans
occupy leading posts in the apparatus administering the machine of American
diplomacy. US Assistant Secretary of State John Perkins is the son of a
Morn partner. For a long time the post of US Ambassador to England was
held by Gifford, a Morgan partner. The textile manufacturer Robert
Stevens, fOnnerSeczetarythe ArraY,,. is connected with the Morgan concerns,
and ep on4. Carrying out the will of the largest oligarchic groups of
US finance capital, these people lead the country Along the path of reac-
tion, the path of an armament race and preparation of a new war.
In order to plunge the people into the abyss of military adventures,
it is, necessary to deceive them, to make them senseless through malicious
propaganda. For this, the Morgans need not only police, courts, prisOns
and soldiers. They need skilful demagogues and deceivers, people propa-
gandizing their "ideas," people capable of creating in Americans the
nOtions, ideas, tastes and aspirations necessary to Wall Street. ,A wide-
spread system of hired propaganda serves this purpose, existing on the
money of the monopolies and acting according to its order.
In the USA there are no large radio companies, publishing houses, or
newspapers which are not tied in with the monopolies of Wall Street or
wiliCh could be independent.of them. Here are a few facts. Within the
sphere of Morgan capital is the publishing house, Curtis Publishing
Company,, and the publishing company, McCall Corporation. John Cowles,
the publisher of the magazine Look, is a director of the Morgan concern
General Eleotric., H. Luce's publishing concern, which puts out the
ardhreactionary magazines Time, Life, and Fortune, was created with the
money of the Morgans and is Closely coinected with them.
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The largest American companies in radio broadcasting (Radio Corpora-
tion Of America) and in motion pictures (RK0 -- "Radio Keith-Orpheum",
Warner Brothers, and others) are controlled by the Morgan and Rocke-
feller banks and are financially dependent on them.
Row Wall Streets conducts propaganda for reaction, fascism, and war
is clearly visible, from the example of, say, the magazine Colliers.
This magazine in a "special issue", in October 1951, depicted the
fantastic details of an armed occupation of the Soviet Union by American
neo4(albruckians; they dream about such an occupation both asleep and
awake in Wall Street.
The filthy dish of the editors of Colliers aroused enormous indigna-
tion throughout the entire world. It compelled even those who at times
have silently listened to the militaristic propaganda of the Morgan
literary day laborers to say a word of protest.
* * *
The great American satirist Mark Twain, who hated American imperialism
with all the strength of his great soul, and Who boldly unmasked its
monstrouverimes, ironically wrote, unmasking the wretched ideology of
capital, an ideology of bloody profit:
";Let us pray. Oh God, help us tear their soldiers to pieces with
our shells, help um sow their flowering fields with the bodies of their
patriots, help us destroy their peaceful homes with a hurricane of fire:
help us break with inconsolable grief the hearts of widows who are not
guilty of anything; help us deprive them of shelter and compel them to
wander With their children in rags, without refuge, across the ravaged
land, suffering from hunger and thirst."
And this is what Thomas W. Lamont, Morgan's chief partner, said in
his speech at the American Academy of Political and Social Sciences in
Philadelphia in 1915:
"If the war continues so long that we Shall come to occupy such a
position," (under which the USA "would be turned into a creditor of the
entire world" -- V. M.), "and if we have safficient resources to cope
with this task, then we inevitably would be turned from a debtor country
into a creditor country, aad such growth will sooner or later result in
the fact that the dollar, insteadofthepoundstlitgoallbpatmejnterriaticrial
exchange unit." Lamont cynically declared that protraction of the war
has "the most important financial significance for the country."
War and imperialist aggression have always served as a source of
enormous gain, of monstrous enrichment for the mOnopolies of Wall Street.
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When,one of the most bloody pages in the history of imperialism
opened, and the deadly thunder of weapons of the first world war resounded
in the fields of Europe, an atmosphere Of joyful excitement ruled in Wall
Street. A time of military business had arrived -- the most profitable
business for the Morgans and their colleagues -- bankers, industrialists,
landowners.
As early as the first few months after the start of the war, the
banking house,of J. P. Morgan and Co. sent to Europe Morgan's partner,
Henry Davison, 'bo negotiate the financing of military orders. .
The banking house of Morgan became the main trade representative of the
Entente countries in America. Morgan's agents bought up everything that
could be needed by the warring powers -- from munitions and ammunition
to provisions and canned meat -- thus gaining enormous commissions.
Sixty. Wall Street banks took part in these operations of the Morgans.
During the period. preceding the entry of the US into the first world war,
the banking house of Morgan granted loans of 1.5 billion dollars to
England and France alone.
In America they say: the heart of a banker is where his money is.
The magnates of Wall Street, their henchmen and their agents attentively
followed the fate of their loans, percentages, and dividends. When con-
ditions on the fronts were not going well for England and Prance -- the
main debtors to Wall Street -- and the billions of dollars invested by
the American financiers in the war appeared to be threatened. Wall
Street decided to intervene. All the more, since direct participation
in the war opened perspectives for still greater profit.
Walter Haynes Page the US Ambassador to England, telegraphed
President. Wilson on 5 March 1917z "The international financial situation
is threatening for the financial and industrial prospects of the United
States. The danger of a complete breach of Prance-American exchange is
approaching. An inevitable consequence would be the sharp reduction of
orders by all the allied governments and the practically complete Cessa-
tion of transatlantic trade. As a result, a crisis would begin in the
USA... If the United States declares war on Germany, then...the USA
waaldcontinue to receive profit continuously, and would expand its trade
for a number of years..." "The only way of preserving the present
advantageous position of the US in trade, and of averting a crisis, is in
, declaring war on GerMany," Page concluded. The ambassador was connected
with the Morgan banks in the closest way.
To make the dollar the master of the world -- this is the task which
Wall Street posed for itself even then. Under the roofs of the Wall
Street skyscrapers they dreamed not of peace, but of a long, profitable
war, calculated to establish the world rule of the American bankers.
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"We are entering the war at the order of the 'golden calf',"
declared. Senator Norris. "Soon, we shall place the dollar sign on the
American flag."
To Washington streamed bankers, industrialists, factory-owners,
speculators and. camp followers in. frock coats and dress shirts. Govern-
ment posts were seized. by bankers from Wall Street, captains of industry,
and. enterprising businessmen. They were helped by ties with leaders of
the political parties, who well understood from whom and. in what sums the
checks came to them to carry on election campaigns.
The leadership of the war industry apparatus was in the hands of
the Morgan henchman Bernard Baruch. Leading posts in the system of the
administration of war industry were occupied by Walter Gifford, vice-
president of Morgan's American Telephone and Telegraph Company, D. A.
Pixel', president of Morgan's United States Steel, John Ryan, president
of Anaconda Copper Corporation, and others. Edward Stetinius Sr., a
partner of J. P. Morgan, was Assistant Secretary of War. Another Morgan
associate ? Russell Leffingwell ? was until very recently president of
the bank of J. P. Morgan and Co., and. during the first world war was
named Assistant Secretary of the Treasury. Dozens of other representa-
tives of the greatest financial oligarchies of the US have held. the most
important posts in the governmental apparatus.
These merchants from Wall Street controlled the entire war industry
of the United States. They distributed profitable war orders. On them
depended the distribution of short-supply raw materials, fuel, and. labor.
Wall Street threw ten billion dollars of the taxpayers' money annually
into the cauldron of war.
Wall Street profited from the first world. war as from no other war
before that time. Direct military expenditures of the US from April
_
1917 through November 1919 amounted to 35.5 billion dollars. Prom January
1916, when Wall Street began to prepare itself for entry into the war,
through July 1921, when military production was stopped in the US, the
profits of the corporations amounted. to 38 billion dollars.
Enormous sums accrued to the largest imperialist plunderers. The
government o:f the USA paid out 400 million dollars to Morgan's bank to
cover loans issued by Morgan to the English government. The Morgan con-
cern United States Steel increased its profits by twelve times in the first
two years of the war. The blood profits of other monopolies of Wall
Street also grew sharply.
Hundreds of millionaires appeared in the USA during the first world
war. ?n America they called them the "war millionaires."
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The United States, Which at one time had owed money to Europe, now
became a?warld creditors by 19210 European countries owed it 15 billion
dollars. America alone gained from the war. It turned from -a country
having a mass of debts to a country to Whom all were indebted. The
billionaires of Wall Street profited from the war more than anybodY.
The arms were stacked, the first world war had ended. Included in ,
the American delegation, emissaries of Morgan were sent to the Versailles
Conference. Baruch and Thomas Lamont took active part in working out the
Versailles treaty. The American press blundered one day, revealing that
the text of the peace treaty had came to the bank of J. P. Morgan and Co.
for approval before it was presented for ratification to the US Senate.
The ink had not winpiced to dry on this treaty when American banks,
and eajp? all 11)e. bank of J. P. Morgan, undertook the restoration of the
military and Industrial potential of Germany.
J. P. Morgan himself took part in the working out the "Young plan,"
as a member of the international committee of experts. This plan, which
received. its tit1e from the name of its authar.-- Owen D. 'Twang, chairman
of the board of Margan?s General Electric -, provided for the financing
of the rebirth of the German military machine. Prom 1924 through 1929,
Wall Street granted Germany loans and credits of four billion dollars
for these purposes. A. considerable part of these funds was granted by
the Mprgan banks. The preparation of war, of new profit on mass killings,
death.and,destraction, went an at full speed.
The second. world war brought the Morgans and the other financial
oligarchs of the USA new profits. At once, into Washington there streamed
representatives of the largest monopolies; at once, they seized the
apparatus of administration of the war industry; at once, a bitter struggle
began for war orders, for profit. The profit carve at once began to creep
upward sharply.
It is not surprising therefore that the end of the second world
war was greeted in Wall Street as a deadly threat to the profits of the
monopolies. Large capital decreed a "cold war" an armaments race, and
preparation for a now slaughter.
* * *
The American working class does not calmly put up with the policy
which Wall Street dictates. It fights against this policy.
_ .
T4eiwave of the strike. movement reached its greatest height (two
million strikers) precisely in 1952, when the drawn,-out war in Korea had
sharply. worsened tension in international relations and had increased the
danger of war.
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The rulers of Wall Street know of these sentiments of the American
people and fear them. They strengthen reactionary terror. The Morgans
and their agents and representatives play a considerable role in this.
At the beginning of the 1930s, there had been created in the House
of Representatives of the American Congress a committee for the investiga-
tion of so-called "Un-American activities." The committee paid almost
no attention at all to investigating the truly un-American activity of the
Hitlerite fascist underground in the USA during the war.' But it became
the center of bitter persecution of all organizations that were in any
way progressive, and of individual social and political leaders. When,
after the War, Karl Mundt, a member of the House of Representatives from
the state of South Dakota, entered this committee, he turned for instruc-
tions -- according to the words of the American journal The New Republic --
to John W. Davis. In a special letter Mundt asked that he be given
precise instructions as to what the committee dhould concern itself with.
The instructions Which Mundt received from Davis formed the basis of the
work of the committee.
Who is this John W. Davis, and why is it precisely to him that the
American gaper-reactionaries tarn for advice and schooling?
He is the chief legal consultant of Morgan's bank. By the grace of
the Morgans, he waa at one time placed in the post of Assistant Attorney
General, and then was US Ambassador to Great Britain. This is what Davis
said of himself: "Vire have an excellent clientele. What lawyer does not
envy me? In the list of py clients are included J. P. Morgan and Co.,
(the Erie Railroad, the Guaranty Trust Company, Standard Oil Company,
and others of the most eminent American concerns. These are the greatest
organizations, and I am happy to work for them... We are for large capi-
tal." Davis is one of the chief authors of the anti-labor Taft-Hartley
law.
The assistants of the American monopolies are trying -- not for the
first time -- to inflict a regime of black reaction on the American
people. They have always supported pro-fascist organizations in the USA.
On the eve of the second world war there were 109 of these in the US, and
five million Americans were connected with them. H. V. Prentis, then
president of the National Association of Manufacturers, indeed admitted --
revealing the plans of the large monopolies -- that American capital
possibly "would tarn to some variety of disguised fascist dictatorship."
The henchmen of the Morgan monopolies take active part in subversive
diversionary activity directed against the countries of the camp of peace,
democracy and socialism. One of the organizers of the notorious com-
mittee "Crusade for Freedom," on which the radio transmitters of the
"Voice of Free Europe" relies for support, was the not-unknown General
Lucius Clay, president of Morgan's Continental Can Company. These
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organizers led the "crusade" of the monopolies for the restoration of
the power of the capitalists and landowners in the socialist countries;
together with other. emissaries and agents of American intelligence, they
provoked the fascist putsch against the people's authority in Hungary.
On then: fell the blood of the patriots of new, free Hungary, spilled, by
the Hungarian fascists who were agents of the American espionage services.
* * *
The hired propagandists of the imperialist monopolies of the US
knock themselves out to disguise the true reactionary role of large
monopolistic capital, to hide the rags of the bourgeois democratic dicta-
torehip of this capital ruling in the USA. But life and daily reality do
not leave one Stone of these false assertions standing. Facts -- stubborn,
unalterable facts -- unmask the rule of the uncrowned kings of America
and. their responsibility for that path, dangerous for the American people
and. for the cause of peace, along Which the lords of capital are leading
the TJSA.
Oil. Rlookand Dollars O. Peofanov
When American bombers rise into the heaven and American tanks creep
along foreign soil, dollars pour into the safes of the Rockefellers.
When in the oil-refining plants of Arabia workers perish under the
weight of hard labor, in another hemisphere, it New York, in the office
of the Rockefellers, they count up the dividends without any emotion.
When the American fleet ploughs the waters of the Taiwan Straits,
insolently trampling on the rights of the Chinese people to the territory
which has been theirs since time immemorial -- the island of Taiwan --
into the current account of the Rockefellers are entered new profits.
Oil and war are business for the Rockefellers.
* * *
In the center of New York, in a narrow strip of Manhattan between
West 48th and West 51st Streets and Fifth and Sixth Avenues, there rises
a group of skyscrapers erected with the money of John D. Rockefeller Jr.
Itis no accident that these skyscrapers are called "Rockefeller Center":
here is the residence of the American "oil king." The black shadow of
the Rockefeller palaces extends far beyond the bounds of the United States
of Americas
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gere, at 30 Rockefeller Plaza, is located the center of administra-
tion,Of the six largest companies, controlling more than half the oil
industry, headed by the renowned Standard Oil of New Jersey. Prom here
the greedy hands of the Rodkefellers stretch out to Arabia and Venezuela,
to Iran and Canada,
Here too, in the center of New. York, the transactions of the family
banking house of the Rockefellers, the Chase Manhattan Bank, are carried
out in quiet offices. This beak, with a capital of almost 8 billion
dollars, is one of the largest in the capitalist world.
Included in the financial empire of the "oil kings," besides the
Chase Manhattan Bank, are also the insurance companies Metropolitan Life
Insurance and Equitable Life Insurance. The operations of these companies
are extremely varied -- from the renting of railroad cars, to machinations
ruining farmers of the South Who have been obliged to mortgage their lands.
The Rockefellers make profit also on the daily needs of Americans.
If an American smokes a cigarette, bays a sandwich or a package of meat,
or drinks a glass of Coca-Cola, he increases the wealth of the "oil king"
of America. Many other trusts and concerns in the USA are linked to the
throne of the "oil king" with a dollar chain. They all serve one and the
same goal of the uncrowned autocrats of America -- unrestrained profit
through the exploitation, robbery, and deceit of the workers.
1
Bow did the dynasty of the "oil kings" arise? What does it represent?
Where did its infinite wealth dome from? Why does it -- together with a
little group of other oligarchs of Wall Street -- rale America, and propel
the affiars of the capitalist world?
The founder of the dynasty, John Davison Rockefeller I, at one time
a government clerk, and later a cashier in a private firm, always --
accordineto his own admission -- thirsted "to make money." Much later
When the income of this oil magnate exceeded the fortune of the English
royal family, he said to reporters, "I believe that the capacity to make
money is a gift from above, like a capability in art, music, or litera-
ture... Being gifted with this capacity, I consider it my duty to make
more and more money..."
* * *
In 1859, the first oil. well was drilled in the USA. Soon after this,
Rockefeller organized the Standard Oil Company in the state of Ohio. A
monopolistic position in the oil business, securing for him the title of
"oil king," did not come at once. It was brought about by the cold-
blooded ruining of rivals and competitors, by money-grabbing which had
become the purpose of life, by the ability to profit from the labor of
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others. By the time Rockefeller had become the first billionaire in the
world, an entire clique of "robber barons" had become firmly consolidated
behind him. That clique follows the Rockefellers from generation to
generation,
John Davison Rockefeller Jr. resembles his father not only in name,
but also in habit. Be persistently continnes to multiply the Rockefeller
capital.
In the bitter struggle for profitable economic positions, the un-
crowned autocrats of America are guided by the laws of the jangles the
victor devours the vanquished.. In Wall Street such means of destroying
competitors is diffidently called "merger." The bloodless but cruel
struggle among the monopolies of the US does not cease for an instant.
The journal Fortune, organ of American large capital, wrote in November
1954 that there takes place in the USA on the average of 45 mergers of
American industrial concerns per month, and that annually dozens of small
companies are engulfed by larger competitors in the country.
In recent years, the Rodkefellers and the groups connected with them
have considerably expanded their positions at the expense of Morgan,
their most da.ngerous rival and competitor.
In economics -- writes V. Perlo, an expert on the American monopolies,
in his new book The Empire of Large Finance Capital, published. in Naw York
in August 1957 -- this displacement is related to the flourishing of the
oil oartel, and its conversion into the largest, ruling source of profits
in the world. In politics, this displacement is associated with the con-
version of the government of the USA into the most militarized aad geo-
graphically expansionist force, as a new, disguised form of colonial
empire.
While half a century ago the steel trusts (Morgan) possessed 30.8
percent of all the capital of the 100 largest trusts aad concerns of the
US, and the oil trusts (Rockefeller) only 7.4 percent, forty years later
28 percent of the capital has already become the share of the oil com-
panies, and 11.9 percent that of steel. In 1954, reckoned among the
largest concerns of the US were 14 oil concerns with a total capital of
23 billion dollars, 8 steel-processing concerns (capital of 9 billion
dollars), three automobile (8 billion) and six chemical (5.5 billion
dollars).
The growth of the capital of the Rockefeller group is accompanied by
a strengthening of its political influence. Its henchmen and emissaries
now rale in the high governmental apparatus of the US. But the Morgans
do not intend to yield their positions without a battle. Experts on the
American monopolies predict new, bitter encounters between these largest
monopolistic oligarchies of the US,
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In 1967, the Rockefeller oligarchy of American oil industrialists
controlled a capital of 61.4 billion dollars. The precise size of the
Rockefeller fortune is a state secret of America; the American press .
noted at one time that special measures are taken so that data concerning
the largest fortunes of the US are not published.
; The,Rockefellers do not buy yachts worth many millions, like the
Vanderbilt magnates; they do not install doorknobs and water faucets of
pure gold in their palaces. But love for luxury is not alien to them.
The play house where the Children of the Rodkefellers frolic cost a half
million dollars. Bourgeois newspapers, willingly "forgetting" about such
"trifles," relate with tears of sympathy how the children of the billionaire
earn pocket money by raising rabbits, cleaning boots, and even by destroying
flies at ten cents per hundred.
The Rodkefellers do not like to speak of their capital. But no one
hap long since believed the words of Rockefeller the elder, "God gave
me money." The people want to know the truth. And the truth about the
wealth of the Rockefellers consists of dark deeds, thousands of rained
families, hundreds of thousands of workers in many countries of the world
tormented by work beyond their strength. The truth is the concealed history
of many wars -- it is oil stained with blood.
John Do Rockefeller II does not direct his wide empire along. He has
five sons -- John D. III, Lawrence, David, Winthrop, and Nelson. They
are all large capitalists. Each has his role, his department. Only
Winthrop has not become famous for anything, unless one counts a scandalous
divorce case.
The task of John III is to personify the imaginery "philanthropists"
of the family. Bourgeois newspapers paint him as the embodiment of
"modesty" and even "shyness." So that he may consolidate his reputation
for "philanthropy," John III heads a council of guardians of a Rockefeller
philanthropic fund- From time to time he is entrusted with more responsible
missions.
Not as a tourist, bat as a very large creditor, John D. III was
present in the American delegation at the signing of the San Francisco
treaty with Japan; it is evident that this country is enveloped by a net-
work of branches of the Chase Manhattan Bank.
Lawrence Rockefeller, a middle-aged gentleman with a square beard,
is well-known at the. New York Stock Exchange. He is one of the directors
of the Chase Manhattan Bank.
In this same bank, in the capacity of a vice president, the fourth
offspring, David is striving. Behind the concrete walls of the bank the
Rockefeller brothers jealously guard the interests of their oil dynasty.
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David Rockefeller directs the international operations of this bank,
The bourgeois press advertises him as the owner of the best collection
of insects in the world, and as possessing extremely gentlemanlymanners.
But When he enters the office of the bank and the steel doors close behind
his back, the lover of butterflies turns into a greedy seeker after dollars.
The hired biographers have every basis for calling him "the personifica-
tion of the virtues of Wall Street."
The American press advertises Nelson, the fifth and most active of
the young Rockefellers, as an "entrepreneur of aalture" and a "patron of
the muses". He is one of the directors of the Museum of Modern Art in
New York. But considerably better known is his activity in the diplomatic
field. Included in the American delegation to the conference organizing
the UN in San Francisco in 1945, he did everything, even then, to worsen
relations between the USA and the USSR. When former US President Traman
proclaimed the notorious "four point" program, with its purpose of
strengthening the penetration of American capital into the colonial and
dependent countries, Nelson Rockefeller became a leader of the government
organ to carry out this program. Should one be surprised at the fact
that the Rockefeller bank held first place on the list of 54 American
banks which received financial jobs from the government for US operations
abroad?
Half of all private foreign capital investments made after the Second
Wbrld,Wkr have long been those of the American oil companies. In 1953,
more than half of all foreign profits received by American private? in-
vestors entered the safes of the oil companies. This, of course, to a
considerable degree has been the1 doing of that same Nelson Rockefeller.
The Rockefellers have long nourished an irresistible attraction for
the countries of Latin America: the provocatory smell of oil reaches
them from the South American continent. Therefore, Nelson Rockefeller,
who had long been trying to turn South America into his family estate,
was at one time placed at the head of the so-called "Bureau of Inter-
American Affairs."
For a long time Nelson Rockefeller held the post of special assistant
to the President for foreign policy matters. He took part in cabinet
meetings and meetings of the most important US government organ, the
National Security Council. This council works out and directs the entire
policy of the United States.
,Nelson is not the only "arm" of the oil magnates in the American
government.
Attorney General [minister of Justice] Herbert Brownell Jr. is a
henchman of the "oil king." At his order, a court suit against the oil
monopolies of the US, accused of violating the Sherman Antitrust Act, was
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discontinued., Brownell has labored much to unleash, in the Gauntry,
baiting of the Communist Party and of many progressive and liberal or-
ganizations in the USA.
Lewis D. Straus,the head of the Atomic Energy Commission, is a
financial adviser and director of tbe "Rockefeller Brothers" firm,
John Foster Dulles, who holds the post of U. S. Secretary of State,
is a co-partner in the law firm of Sullivan and Cromwell. That firm has
long upecialized in defending the interests of the largest monopolies of
WaIl Street in general, and of the "oil king" of America in particular.
And can it be otherwise? It is evident that John Poster Dulles was at
one time, 4 member of the board of Rockefeller's Standard Oil of New
Jersey,. The attractionof.the post of Secretary of State (Minister of
Foreign Affairs) for the Rockefellers is understandable. This post makes
it possible for them to interfere in the foreign policy of the USA, to
give it the direction necessary for them. Edwin Johnson, a senator from
the state of Colorado, indeed declared in 1947 in Congress that the
' oil companies of the US are making broad use of the State Department to
obtain oil concessions in the Middle East.
"The policy of the State Department," the newspaper Daily Compass
wrote in this regard several years ago, "is born in the offices of
Standard,Oil. Prom .there it Is transmitted to the Department of Defense,
Where the_heads of the Army and Navy approve it. When this policy gets
to the State Department, it becomes the policy of the government and is
supposed to be confirmed by Congress quickly and without any changes what-
ever. When an order for laws designed to protect the interests of the
oil kings comes from the Rockefeller dynasty itself, the entire Congresss
from the small to the great -- comes to "attention" and does what the
bosses order it to do."
Recently Senator 0?Mahoney confirmed this impartial truth about
America. With the purpose of placing his rivals -- the Republicans --
in an unfavorable light, 0?Mahoney, a representative of the Democratic
Party in Congress, undertook an investigation of the influence of the US
monopolies on the foreign policy of the country. On 22 February 1957
he made an extremely eloquent statement to a correspondent of one of the
newspaper trusts of America, the essence of which amounted to an admis-
siOn,Of 0,0 40,0 that the: large oil companies of the USA determineUS
policy in the Near East.
The Senator related, for example, that on 13 August 1956, that is,
three days before the start of the London meeting on the Suez question,
Secretary of State Dulles and his assistant at that time, R. Hoover Jr,
consulted in the State Department in Washington with representatives of
the large, American oil companies on the position of the USA at the meeting
in London, _Dulles gave, at this consultation, firm guarantees that the
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interests of these companies would determine the policy of the State
Department in the Suez question. Present at the consultation were
representatives of Rockefeller 's Standard Oil of New Jersey, ARAMOO,
Standard Oil of California,, and others. In his conversation with the
correspondent, 00Mahoney was obliged to admit the existence of "a close
alliance between the leaders of the oil corporations that operate in the
Middle East and the State Department in carrying out foreign policy in
this region."
*5*
- In recent years the Rockefellers have been taking hold of ever newer
sources of oil. Rockefeller's oil companies are unceremoniously crowding
out their English colleagaes in the Near East. They have already deprived
them of domination in the extraction of Near Eastern oil.
The heavy hand of the "oil king" of America is also stretched over
the French possessions in Africa. When, in; 1949, representatives of the
largest American banks created a special committee for the "stimulation
and facilitation of the development of the overseas territories of France,"
Winthrop Aldrich, a close relative of John D. Rockefeller Jr., was at
the head of the committee. In subsequent years the Rockefellers have
taken over one more important post -- that of Ambassador to England, rep-
resented by that same Aldrich, Who was replaced in this post by another
henchman of the Rodkefellers, D. H. Whitney. Before Aldrich, this post
was held by 7,Leis - Douglas,, a representative of Morgan.
,The "oil king" is consolidating his rale in Latin America, from
whence the USA receives up to ninety percent of its oil imports. In
Venezuela alone, almost three-fourths of the extracted oil belongs to
Americans, Who have obtained almost a billion dollars in profit there
in six years. The Rodkefellers are strengthening their penetration into
West Germany. The share of American capital in the extraction of oil
in that country reached 62 percent in 1950. In the year 1951 alone,
American capital in the oil industry of West Germany amounted to 172
million marks. The capital of the Rockefeller companies also plays a
significant tole in the oil industry of Japan.
One of the basic methods of knocking out profits used by the Rodke-
fellers is that of openly predatory speculation. Here is an examples
the net cost of one barrel of oil in the countries of the Near East does
not exceed ten cents; in the USA it amounts to about 80 cents. The oil
is sold, however, at a price of $1.75 per barrel. This makes it possible
for the oil profiteers to put hundreds of millions of dollars into their
'pockets annually. The one oil company of ARAMCO alone, in Arabia,
received about 425 million dollars of profit in 1952, or about 1.4 dollars
of profit from each barrel of oil. This is undisguised robbery, not only
of the countries of the Near and Middle East, Where the Rockefellers obtain
the free oil, bat also of the European countries, where the oil monopolists
supply oil at fabulous prices.
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The oligarchy of oil industrialists is continually perfecting the
process of squeezing out profits. In enterprises of Rockefeller's
ARAMCO, less than two percent of the amount received from the sale of
oil goes for the wages of the workers. In Venezuela, Standard Oil pays
the oil workers five times less than workers in the USA. Therefore its
profits per company worker in Venezuela are over four times greater
than those in the USA.
At one time, when seeking a confidential assistant for himself,
John D. Rockefeller I cynically declared that he needed a man capable
of "ruining thousands of families." "In one word," he boastfully added,
"I am seeking a second Rockefeller." It is difficult to define the
predatory essence of capitalism more precisely and more cynically.
The American people hate the plunderer billionaires. The Rocke-
fellers know this and fear the people's anger. Therefore, they spend
enormOus sums on special advertising agents- The capitalist press
assidnously spreads the myth of the Rockefellers as benefactors. The
bourgeois press depicts with tears of compassion the sacrifices of the
"oil king" for philanthropic purposes. They speak, write, and all bit
sing songs in the US about the Rockefeller "philanthropic funds." Bat
the motives of the ostentatious Rockefeller "unselfiShness" are extremely
selfieh The dynasties of the "oil kings" are annoyed by taxes on their
doldasal profits. Moreover, in the USA, inheritance taxes also exist.
And lo, the inventive lawyers of the monopolies found a way out for their
bosses. They proposed to create a philanthropic fund, free of taxes.
This hypocritical artifice of the "oil king" has evoked a storm of praise
in the corrupt press.
The Rockefeller "philanthropic fund" is nothing other than his own
purse, in Which the "oil king" can keep part of his capital without paying
taxes.
The money in the fund is managed by a "council of trustees" con,
slating of representatives of the largest monopolies -- mainly Rocke-
feller's. Among them are John McCloy, former American High Commissioner
in West Germany, Robert Lovett, former Secretary of Defense, and others.
In 1950 John Foster. Dulles, Who had been a member of this council since
1926, became chairman of the "council of trustees". Row heading the fund
is the oldest son of the "oil king" of America.
Out of the Rookefellers' philanthropic fund are financed jobs involving
the creation of new types of armament. The "oil, kings" display special
interest in the atomic bomb. "Without the aid of Rockefeller," the magazine
Colliers wrote in 1951, "the United States would have been without the
atomic bomb daring the second world war or even now." As the American
press has stated, the most important research connected with the creation
of the atomic weapon was conducted at Columbia, Princeton, and other
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American universities, financed by Rockefeller. At California University,
work on the splitting of the atom was conducted with Rockefelleris money.
According to the-testimony of Colliers, an important discovery in the
field of the atomic weapon was made at Chicago University, which was
founded by Rockefeller and which received considerable swine from him
for work in the field Of atomic weapons.
In 1950, John D. Rockefeller II travelled to West Germany for negotia-
tions with the German concern I. G. Farben Industrie on drawing up a con-
tract; for research in the field of atomic energy. In 1953, the Rockefellers
bought up the stock of the largest uranium mines in the Belgian Congo.
Hidden behind the payments from the philanthropic Rockefeller fund
into the tills of the universities, are avaricious calculations. With
the aid of these payments, the system of higher education is subordinated
to the interests of large capital.
The Rockefellers display considerable interest in higher educational
institutions. Within their walls, the Wall Street moneybags Want to train
for themselves servants of monopolistic capital. For this, they name
their own representatives as "trustees" of the universities.
"The trustees," it is said in the Charter of Columbia University,
"always keep complete authority in the field of the direction and guidance
of the entire educational process.. They choose the president of the
university...they name the professors and teachers..."
Columbia University in New York has long enjoyed donations from the
Rockefellers. Its "trustees" are henchmen of the "oil king": Thomas
Parkinson, the president of the Rockefeller insurance firm EquitabI&Life
Insurance, and Marcellus Hartley Dodge, son-in-law of the "oil king" and
the chairman of the board of directors of the military concern, Remington
Arms Company.
An object of special concern for the Rockefellers is the 86-Called
Russian Institute of Columbia University, created in 1946. This "educe,
tional institution" has an extremely distant relation with science and
education. It is characterizedby the closest ties with the intelligence
organs of the State Department, for which the "institute" prepares cadres
of "specialists on Russia." The overwhelming majority of the students
of the "Russian Institute" are officials of the State Department, cadets
of the military school at West Point, and students of the naval academy.
Since the "institute" was created, its director has been Gerold
Robinson, a "specialist on Russian affairs". During the war, Robinson
was chief of the "Russian section" of strategic intelligence of the
American Army. Under his direction, there worked: in: the "Ruesian Institute"
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sUPh,double-dyed reactionaries as Professors Mosley and Simmons and the
pseudo-expert Harry Schwartz; one of the violent propagandists of
hatred toward the USSR in the pages of the newspaper The New York Times.
The "oil king" trains cadres not only for anti-Soviet diversion.
Through AHAMOO in Arabia he supplies the so-called "school of eastern
studies" in Jerusalem with money. In this "school" American officers are
tatiOat_eslaiotage in the Near East. Thus the links are forged in one
and the same chain -- the preparation of a new war of the monopolies
against the camp of peace, democracy, and socialism,
?
*-* *
The first fortune of.Rodkefeller, the "oil king," was occasioned by
the war ,boom evoked by the civil war in UK, USA.
The first world war brought Standard Oil unheard-of profits.
After the end of this bloody slaughter, the dollars of the "oil
king," like those of other American monopolies, facilitated the revival
of the Germany war machine and its preparation of the second world war,
Rockefeller's Standard Oil had long been connected with the German con,-
cernj, G. Farben Industrie', which reared Eitlerism, that monstrous
offspring of German imperialism. Without this industry of the weapons
of war, faec145.74. aggression Wad have been impossible. I. G. Farben
Iu-
dustrie filled Eitler's shells with TNT, supplied mechanized and air
force units with rubber and fuel, and finally, supplied the poison gases
for the mass .murders of people in the camps of death ?Auschwitz and
Majdanek. This concern was the only producer of synthetic rubber and
gasoline in the country; in its factories 95 percent of the German
poison gas and 84 percent of the explosives were produced.
The Standard Oil Company was an ally and partner of I. G. Farben
Industrie._ The cartel agreement of 1938 concluded between them granted
I. G. Farb= Industrie the opportunity to create enormous reserves of
aviation gasoline for, the war being prepared by German imperialism. In
addition, this agreement granted I. G. Farben Industrie a share in the
profits from the production of aviation gasoline in the USA.
T#0 Second World War did not break these cartel ties, it only
temporarily weakened them, drove them underground. Thanks to them, the
Hitlerites received secret technical information from the USA even during
the war, and with the aid of their agents in South America, they bought
aviation gasoline from Standard Oil.
It is not surprising that only two out of the 55 enterprises of
I. G. Farben Industrie ouffere4 from the Anglo-.American bombings.
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? While the people's of the world were celebrating the victory over '
fascism, alarm was ruling in Wall Street; a threat to the enormous profits
of wartime had arisen.
But the New York stock profiteers did not intend to give Up their
fabulaue profits. The "cold war" was one of the main factors of profit.
The AmeriCan oil co4anies received over four and a half billion dollars
in'profits in the very first years of the cold war. :Half of these profits
were the share of the Rockefeller concerns. Dollars flowed in a still
broader stream into the safes of the "oil king" after the start of the
war in Korea.
By as early as the first quarter of 1951, the profits of 23 oil
companies of the US had risen one and a half times. The cessation of the
Korean War did not stop the stream of profits -- it was evident that the
arMs rade continued With unrelenting force. And while, during the last
year of the iar in Korea, the profits of Rockefeller ?9 Standard Oil
reached a hitherto unprecedented level -- 553 million dollars, in 1955
the profits topped 700 million dollars, and they continue to grow.
HThe EoCketellers are once again profiting from the arms race from
war 'preparations.
-The bloody events in the Near East in the fall of 1956, the war
against Egypt begun by England,' France and Israel with the silent protec-
tion and secret instigation of the US monopolies, brought new profits
to the American oil monopolies. In February 1957, Rathbone, president of
RoCkefelleres Standard. Oil of New Jersey, told a committee of Congress
that the increase in oil prices evoked by the Suez crisis Would increase
the profits of the American oil companies by 100 million dollars in 1957,
would bring those profits up to a fabulous gam -- 900 million dollars
This, it appears, was Why the houses of Port Said burned, why the blood
of Arab women and children was spi1led1
* * *
,Now much ink has been spilled by the propagandists of the American
monopolies in attempts to assure the entire world that American "aid" is
rendered "unselfishly" to the countries receiving it, with the only purpose
being that of facilitating a raise in the standard of living of their
peoples. But then in February 1957 a secret letter of Nelson Rockefeller,
one of the representatives of the dynasty of the "oil kings" of the US,
became the property of world public opinion; Rockefeller, to this day,
enjoys great influence in the White Nouse. In this letter, 4 broad program
is set forth for the use of the so-called economic "aid" of the USA for
the political and military enslavement of underdeveloped countries by
American imperialism.
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With the ultimate in cynicism, the "oil king" of the US proposes a
"total" foreign policy Which would unite political, psychological, economic,
military, and special methods into one Whole. The author cites Iran as an
example of the application of such methods. "By rendering economic aid,"
he writes, "we have succeeded in obtaining access to Iranian oil, and
now we have already firmly consolidated ourselves in the economy of this
country. Consolidation of our economic positions in Iran has made it
possible for us to place its entire foreign policy under control, and, in
particular, to persuade Iran to enter the Bagdad Pact."
Nelson Rockefeller calls for a strengthening of American military
alliances with the help of a "large program of economic development."...
basic _part of our (that is, US -- 0. F.) economic aid," he declares,
X5110113,d oOMO.to underdeveloped countries through channels which should
serve thaeagse_of our military alliances." The Rockefeller program sets
forth a plan .for. the utilization of private capital investments with the
purpose of securing the political rale of the USA in the countries
receiving aid.. For what ;reason?
In order, it is said in Rockefeller' s letter, that "the development
of economic, relations with these countries" may give the USA "the oppor-
tunity to take into its own hands the key positions in the economies of
these countries." This is where the plans for imperialist enslavement
of the !landerdeVeloped" states, for their subordination to the mercenary
Interests of the ,monopolies of the. US, for their plundering by the in-
satiable 04 trgets and other trusts of the United States of America
originate. .The,etruggle against these plans of the imperialist monopo-
lies is an important part of the straggle against a new world war, which
is being prepared by the American magnates of capital.
Merchants of Death G. Dad'yants
When the advertising agents of theDul'ont family of billionaires
want to demonstrate the might of this dynasty, they relate how once
US President F. Roosevelt, in one of his personal meetings with Irenee
Du Paot, invited him to visit the White House. "This invitation was never
accepted," the magazine The Saturday Evening Post, an organ of large US
capital, wrote subsequently, not without self-satisfaction.
The American press breathlessly describes the luxurious estates of
the DuPont, scattered throughout the territory of the state of Delaware,
which has _long been nicknamed in the US as the_"dukedom of the Du Pont."
More than a, few newspaper and magazine pages have been devoted to a
description of the fabulous estate of the Du Pouts, "Longwood," located
on the ,outskirts of Wilmington.
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This, as the biographers of theDU.Ponts testify, in a medieval
castle, surrounded by a thousand acres of attentively cultivated land.
In the greenhouses of"Longwooduare grown all year round oranges, lemons,
peaches, and also all possible sorts of exotic fruits. The owner of the
estate dare?or his greenhouses: during the 1930s he spent $25,000 for
one cultivated bash alone, which was supplied teLongwooe..
Besidestongwoog Which, according to careful estimates of investi-
gators of the American way of life, is valued at about fifteen million
dollars, another 23 suburban castles of theDu Ponts are located near
Wilmington.
? Each 9f them is famous for its sights. At "Nemur," the residence
of Henry I. [llenryFianpia?] DuPont, fo,r example, there esepld at taken at one time
from the. medieval English estate of Wimbleton. Here, too, there are
luxurious gardens, located. below the level of the sea...
The state of Delaware is called the "dukedom of theDu Pants" pot
only because the estates of theDu.Ponts exceed, in their magnificence,
the castles of medieval feudal lords. This state is in essence their
feudal dominion. TheDu Pontshere own everything: schools, hospitals,
bridges and roads. The local newspapers belong to them, the courts and
the authorities of the state serve them. They establish the rules that
are suitable to them. TheDu Pontshere are masters in the full meaning
of this word. Their luxurious palaces, valued at 150 million dollars,
are only insignificant grains of sand in the sea of their wealth. The
capital controlled by theDu Pont oligarchy now amounts to 16 billion
dollars.
Their power -- the power of the dollar -- extends far beyond the
boundaries of the state of Delaware, and even beyond the boundaries of
America.
Back in 1934, John Jacob Rascob, the chief assistant of Pierre S.
Du Por4Ithe owner oftongwood: boasted: "TheDra Pont group, with the aid
of joint-stock capital, controls a larger share of industry than any
other group in the US. Not one of the groups, including those of Rocke-
feller, Morgan, Mellon, or any other, controls industry on such a scale
or bears such responsibility for it as does theDu Pont company."
Since that time, more than twenty years have passed. Daring those
years the might of theDu.Pont group has grown still farther. They can
rightfully be called the kings of American Chemistry and automobile
,building.
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At the present time, three enormous monopolistic associations of the
US are under the control of the Du Fonts; the gigantic chemical concern
Du.P.0.3b, de Nemours, the United States Rubber Company, and the largest
military-industrial enterprise of the capitalist world, General Motors
Corporation. In order to disguise their control over these associations,
the Du yonts have created the holding companies, Christiana Securities and
Delaware Trust. All the stock in them belong to the Du Potts themselves
or to members of their enormous family.
Formally, the concerns Du Pont de Nemours, United States Rubber, and
General Motors are also joint stock enterprises, that is, any businessman
can participate in them with his capital. However, in fact all power in
the boards of these companies belongs to the Du Ponts. It is sufficient
for these gentlemen, for example, to own 17 percent of the stock of
United States Rubber Company, in order to dictate their will within the
company, since all the other stock is distributed -- more accurately,
atomized -- among 14,000 small stock-traders and other lovers of profit...
The Du.Pontos have turned the companies controlled by them into markets
for the sale of their own products. They compel United States Rubber, for
example, to buy raw material from the concern E. I. Du Pont de Nemours.
It stands to reason that the prices for that raw material are established
by the Du pOnts themselves. Part of the production of United States Rubber
is sold to General Motors, and the Du Polite again dictate the prices in
just #10.same way. And those who acquire the products -- the consumers --
pay for these prices. Thus enormous profits grow, permitting the Du Pouts
as they admitted in the advertising brochure This isDu Pont, which they
published for the stockholders -- to subsidize its own expansion."
For the sake of what is this unending expansion carried out? For
the sake of what is the artful mechanism of the stocks established, the
complex, disguised control of the holding and stock companies, the
lowered and increased prices, the hidden monopolistic market? What is
the moving force of the growth of the industrial empire of theDu Ponts?
In the. same brochure, This isDu Pont, they themselves answer this question;
"The impelling motive..., without doubt, is the attractive force of profits."
The force of profits. TheDu Pants do not exist in order to grow
peaches in the state of Delaware. The meaning of their existence is in
the incessant chase after profits.
With the Du Ponta, everything is subordinated to an increase in
profits. In the enterprises of Du Pont de Nemours and United States Rubber,
a bestial speed-up system is established. This is that scientific system
of "squeezing out the sweat" from the worker about which V. I. Lenin wrote
with such anger; but a system still more highly perfected, carried to
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genuine fanaticism. While in 1929 the worker in the DU,Tont concern
produced, in a nine-hour working day, 250 pounds of zinc Paint, now,
a shorter time," his production -- 3,000 pounds -- is twelve times
greater. And at enterprises of General Motors, according to the testimony
of the American trade-union press, the conveyors are moved at such speed
that people often faint away and die at the conveyor. But what is a man
to theDu, Ponts They count profits... And the profits of General Motors.
grow with every passing year, with every day. While, for example, in
1954 profits had grown to the fabulous sum of 806 million dollars, in
1955 they reached figures never been seen in the hist ry of the American
monopolies -- more than one billion dollars. The Du. Ponts had. exceeded
themselves.
r
In. their unquenchable thirst for profits, theDu Ponts do not content
themselves with the exploitation of the American workers chained by need
to the conveyor belts. People work for them also in Canada, where their
firm. E., I.Du Pont de Eemaurs owns enterprises that extract pyrites; in
Mexico; and. in Chili, where enterprises of the processing industry belong
to theR9' The. . Ponts have plants in. Argentina and Brazil. Du Pontls
General Motors directly or indirectly controls 36 branch companies abroad.
Among them are the plants of the "Opel-Werke" company in West Germany,
and the "Velox," rTalden," and "Wevern" automobile plants in England.
Du 1,9TA! )!Futt 04 ,States Rubber Company has branches in. Argentina, Columbia,
Vener1,44 Scotland, Cuba, and Mexico. Rubber plantations on Sumatra
and in Naive belong to it. The press calculated one day that about one
million !/91*Prs in various parts of the world work for the enrichment
of the Du Ponts.
* * *
In America they call the Du Ponts the "hereditary merchants of
death." And indeed, the greatest profits are brought to them by death,
destruction, and wars. It was precisely due to war orders during the
period of the First World War that the compankyDu. Pont de Nemours was
turned from. a comparatively small dynamite and gunpowder firm into one
of the gigantic world trusts. The enormous profits realized by the
DpPontedurizig the First World War permitted them to own General Motors
from the beginning, and then, also, the United States Rubber Company.
If the income of the Du T'onts during the period of the First World
Wax was enormous, then the profits they acquired during the Second World
War,were fabulous.. DuFing the years of. the First World War the entire
turnover of theDu,.Pont dynamite and gunpowder concern amounted to a
billion,dollars. During:the years of the Second %rid. War, just one of
theDu I3.ont concerns General Motors -- received war orders of 14.6
billion dollars from the US government.
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Reared by war, the Du Pontsfear peace. If several years of the
postwar peace were "lost years" for the kings of dynamite and gunpowder,
they cheered up in 1950, when the war began in Korea. Orders worth
billions at once flowed into the bulky safes of the owners of General
Motors; during the years of the Korean war that concern received some
seven billion dollars in war orders. Behind these dry figures was the
roar of the motors of American bombers over peaceful Korean cities, and
the thousands of tons of deadly load thrown down by them upon the heads
of women, old men, and children.
The name of the Du Pouts is inseparably connected with the most
sinister activity of4.merican monopolistic capital -- with the produc-
tion of American atomic and hydrogen weapons. The Du Pont gentlemen with
light hearts profit by many millions of dollars from this black business.
No one but the Du Fonts was given the task of building the first
complex American atomic enterprises for the production of plutonium in
Hanford (state of Washington), enterprises Which were subsequently
transferred to the Morgans. The main atomic plant at Oak Ridge (state
of Tennessee), where the atomic bombs are produced, was also built
precisely by theDu Pouts' concern. When Truman gave an order to the
Atomic Energy Commission in 1950 to begin creating hydrogen bombs, the
Du Pomba once again were right on the spot. The commission immediately
concluded a contract with them entrusting them with the construction of
a plant for the production of deutertum (a constituent part of the hydro-
gen bomb) at the Savannah River (state of South Carolina). The rulers
of the US knew to Whom to entrust this black business.
* * *
In order to direct the policy of the government along paths
profitable to themselves, the monopolies need state power. Together
with the other oligarchic groups of US finance capital, the Du Ponts
guarantee themselves ruling positions in the apparatus of state adminis-
tration of the USA. They maintain close ties with the ruling hierarchy
of the Republican party, making large contributions to its treasury during
the period of election campaigns. Thus securing for themselves decisive
influence in the leadership of this party, the Du Ponts send their direct
agents and henchmen into the apparatus of state administration of the US.
Representatives of the Du Pont concerns hold cabinet posts in the
government of the US. The policy of the Du Pont henchmen in the government
is fully subordinated to the interests of the industrial and financial
oligarchy, as well as to the interests of US monopolistic capital as a
whole.
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It is therefore not difficult to understand why the USA so per-
sistently, opposes the redaction of armaments and armed forces, the
banning of the production, testing and use of weapons of mass destruction.
It is evident that tanks, planes, and nuclear weapons are business for
the American monopolies. The Du Fonts are assigned an honored place in
the general staff of the American monopolies -- the National Association
of Manufacturers. LammotDu Pont has long been a vice-president of this
association. The representatives of theDu.Ponts belong to many of the
secret organizations of large capital, rendering determining influence
on the course of state administration in the country.
At one time, one of the committees of the Senate, under the pressure
of the indignant public opinion of America, published data on the secret
forces of Wall Street that finance the most reactionary organizations
of the US -- the "League of Freedom," the "Crusaders," the "Defenders
of the Eepublic," the "Economic Council of the State of New York," and
others. /t appeared that out of about one million dollars paid into the
funds of these organizations by the largest industrialists and bankers
of America, 356,000 was the contribution of theDu.Ponts and their agents.
TheDulponts rale in the so-called "National Economic Council," Which is
occupied with reactionary propaganda and with active secret activity in
circles of the US Congress. It is precisely that organization Which
strives for the adoption of the arch-reactionary bills aimed at under-
mining and destroying the trade unions and the organized labor movement
in the United States of America.
TheDu Ponts. finance the American Legion, out of Whose.ranks the
monopolies of Wall Street prepare American storm troopers to make Short
shrift of progressive workers organizations and trade unions. The
kings of the dynamite and atom business do not stint their dollars
it is evident that in these detachments of American reaction they see
one of the chief means of suppressing the democratic forces of the
American people.
Like the other magnates of large US capital, theDu.Ponts fear that
the truth about the activity of their concerns will reach the common
people, arousing anger and indignation in them. Therefore, they hire
dozens of paid journalists, commentators and writers to spread myths
and legends about their "philanthropy," "kindness," and "sympathy,"
At one time a tearful legend made the rounds of the American press
about how a certain feeble old woman hobbled up totongwoodt the estate
of the Du, Ponts, and, turning, at the entrance of the park, to an old man
whom she. took for a gardener, asked him to dhow her the strange plants.
This little old man supposedly seated the old woman in a mobile armchair
and wheeled her for several hours around the lanes of the park, telling
her all sorts of facts and fables about the Du_Pottorchids, rhododendrons,
palms and cacti. The legend had it that the inquisitive old woman thus
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did not recognize that the master of the castle, Pierre S. Du Pont, was
wheeling her around the lanes. If the old woman had come to the gates
of the hydrogen weapon plant at the Savannah River, a few minutes would
have been enough for her to understand who and what the Du Portgentlemen
are.
Plunderer First Class
:A Gigantic Octopus
M. Andreyev
A swift elevator noiselessly lifted the correspondent of Time
magazine to the fourteenth floor of a large, glass and metal building
located on the Great West Boulevard of Detroit. On the massive front
supported by marble columns glittered the name "General Motors." The
.correspondent enteTed a large, carpeted room finished in oak paneling.
On a wall beside a writing table hangs the photograph of the President
of the United States, animatedly conversing with Curtis, the president
of General Motors. Alongside it hangs a comical drawing in which a
father, seated in a chair, is telling a seven-year-old tomboy-son of
"the great and free country of America" Where "anyone can become
president." "I do not want to be.president of the United States"
answers the,boy. "I want to become president of General Motors."
Viewing this room, the correspondent experienced mixed feelings
of usual respect, apprehension, and pride. Apprehension would not
please the man who heads the largest concern in the world, nor would
pride of one's missions. The correspondent was sent to interview
Curtis, whom Time selected as "the most outstanding man of 19550 from
among hundreds of other honorable buslnessmen.
The interview was Short. The president of General Motors or GM,
as this concern is familiarly and at the same time respectfully called
in the United States, was Short-spoken. It was not necessary for him to
persuade Or convince the representative of the press. Henry Luce, pub-
lisher,ofliat and other journals, himself a great businessman, not only
does not tolerate that his brother in business and class be spoken of
disrespectfully in the press, but even takes steps in order that all
Which Curtis says and has in mind to pay is published on the pages of
his magazine in a most favorable light. In addition, and this is
paramount, both Curtis and the correspondent know well that profite of
American newspapers and magazines from advertisements are significantly
greater than from subscriptions. More than $30 million is received each
year from General Motors alone for this purpose. Advertising is the
motive, power of trade, the straitjacket and means of bribery of the
American "free press," which serves as a slave to monopolies including
the richest Detroit, client, General Motors.
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,A)12.2 Janaary 1956, Time declared that "the most outstanding man of
19p is .62-year-old Harlow HerbertCurtice, president of General Motors,
the largest monopoly in the world, and recipient of the highest salary in
the United_ltates -more than $800,0.00 a year. The best journalists,
photographers, and artists of the Luce newspaper empire were coMmissioned
j(p: demonstrate the greatness, dignity, and vast importance for America
4.4dAgaMA4k1Ad. of the president of GM and the concern which he heads.
Noweverinot only.Time, but even all organs of the capitalist press of
the UnAted:States have attempted to whitewash and ennoble the activities
of American, monopolies in recent years. Not only the press is involved
in this effort, but also those people who are paid by monopolies to di-
rectly or indirectly represent their interests; government and political
figures, members of Congress, economists, historians, jurists, and even
,
somp,ofthe leader! of American trade unions, Which is not strange. This
whitewashing is done to conceal from the workers the conversion of American
monopolies into a gigantic amalgamation and to veil their anti,national
activities which are becoming even more criminal in nature.
The blood and deprivation of the nation's masses, the suffering and
tears cf millions of workers have created these vast monopolistic amalgams,
tionsand,that invisible slicysoraper in which the "multi-millionaire club"
is qaartered! Invisible because such an organization does not formally
exist in the United States. American industrialists, with envy, and the
people, with Abhorrence, attached the nickname "multi-millionaire club"
to those,carporations and concerns Which amassed capital exceeding the
vast plmcf_one billion dollars.
. ,?., ,
, 40,991 the first malti-millionaire corporation appeared in the
United States --.Korgan?0 "United States Steel,." which absorbed its com-
petitors including "Carnegie Steel," one of the oldest steel companies.
Soon after the first world war six malti-millionaire corporations appeared
.1,mthe United States.
The second world war and the course of preparing for a new war and
the militarization of the economy, accompanied by the impudent robbery
of the AmeriCan,people and the peoples of other countries, gave rise to
newl,large-scale plunderers. In January 1953, the number of maiti-
milli9naire:concerns rose to 66, and their capital -- to $173.4.billion.
In 1955 there were 77 multi-millionaire concerns with a capital of $224
billion.
P.941,Prel Motors, the largest military-industrial corporation in the
world entered this "multi-millionaire club." Its capital at the beginning
of 196.3 was estimated at the astronomical figure of $4 billion. Toward the
middle of 1956 this had increased to $6.3 billion.
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The corporation has 157 plants, of Which more than 30 are abroad.
The tentacles of this gigantic octopus extend into 20 countries of Europe,
Latin America, Asia, Africa, including England, West Germany, France,
Pakistan, Australia, and other countries. In 1955, 624,000 blue and white
collar workers were employed in its enterprises. In 1941, when the United
States entered the war, the value of all products sold by this corporation
was $2.4 billion. In 1955 it reached $12.4 billion and its gross profits
before deducting taxes were $2.6 billion. For the first time in the
entire history of the United States this concern earned a pure profit of
more than one billion dollars, occupying first place among all other
industrial concerns.
The largest mechanized transportation concern in the capitalist world,
General Motors manufactures not only automobiles, but airplanes, powerful
tractors, airplane engines (including jet engines), railroad diesel
locomotives, diesel engines for heavy machinery, mechanisms, and naval
craft, road-building machines (power shovels, scrapers, etc.), mobile
electric-power stations, refrigerating plants, and refrigerators, etc.
. ,
The company organized a research group for work in the field of
atomic energy to Which until recently, only the elect, the largest
corporations -- plunderers Who jealously guard this golden source of
enormOUs profits -- were admitted.
Military orders or "defense" work played and are playing a special
role in enriching General Motors as well as other large monopolistic
amalgamations. In the United States this practice is hypocritically
termed criminal use of the government treasury by monopolies, which is
made up of the hard-earned pennies of the American people. General
Motors' d4arg in government military orders during the second world war,
the Sprean aggression, and the militarization imposed on the American
people has varied between ten and twenty percent, depending on the proddings
of its representatives in Washington and the market conditions of its civil-
ian production.
How did this, concern achieve its wealth and power? Perhaps the
Curtices andtheir brothers in business actively achieved power and glory
by persistent, honorable labor and legal means, as corrupt scribblers
and bourgeois scientific and political figures reiterate? Bourgeois his-
torians and economists, and especially the Curtices themselves have
reluctantly revealed the secrets of their profit. The entire origin,
development, and activities of General Motors demonstrate convincingly
enough that the history of American monopolies is a disgrace and an Un?
broken chain of crimes against the people of the United States and other
countries.
* * *
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Spiders in the Bank
4ung1es, dark jungles, where the strong devour the weak, Where no
lawaxiits but force -- such is the kingdom of capital. At the end of
the 19th and the beginning Of the 20th century., imperialism -- monopolistic
capitalism -- finally matured and the struggle for profit acquired gigantic
proportions. It became more violent and universal; methods of this struggle
became more refined. Gigantic monopolies, whose supremacy is the main
distinguishing feature of the monopolistic stage of capitalism, entered
the melee. This struggle was led by well-educated but calculating, well-
mannered .but unfeeling, cleanly dressed but with corrupt conscience,
handsome and at the same time criminal and brutal gentlemen Who comprised
the aggressive circles of imperialistic countries.
In the first decade of the 20th century the industrialist William
Durant waewell-known not only in the closely neighboring cities of
Detroit and Flint, bat in the district as well. Carriages, vans, coaches,
and bicycles manufactured in his plants were known far beyond the borders
of the state of Michigan. The production of railroad cars was an espe-
cially profitable undertaking. During one of the difficult crises Durant
bought enterprises and shares of his rained competitors cheaply. Unsm,
ployed European immigrants and negroes from the South consented to work
for any beggarly wage, Which created very favorable conditions for the
profit which Durant and his friends were seeking.
In 1905, exploiting the grievous situation of the Buick Company
Which, not long before had began to produce automobiles, Durant bought
its plant in the city of Flint for $10 million. By this time the experi-
enced plunderer began the merciless struggle, typical of monopolies, for
supremacy in the automobile industry which, though young, still promised
large profits. The Ford Company barely escaped falling into the traps
arranged by Durant. Henry Ford was already on the verge of aggressing to
sell his plant to him for $8 million, but the more cautious bankers, Whose
capital he controlled, did not support Durant. Together with Ford, Durant
utterly ruined four other automobile companies; Oldsmobile, Cadillac,
Norsway, and Oakland. Almagamating them with the Buick company, he
founded a new concern in 1908 -- General Motors. But When the concernos
profits achieved considerable proportions, big-shot Detroit bankers came
to replace the comparatively small plunderer. They acquired his concern
by unceremoniously chucking out -blirill-starred competitor.
Many crimes were committed by American businessmen in pursuit of
profit. But their most terrible crime against mankind was war. During
this-first world war, Durant became rich. His striving to regain General
Motors increased proportionately as the profits of this concern grew.
Durant founded a new automobile company -- Chevrolet, Whose capital before
the, war reached $94 million, an enormous gam for those times. The straggle
for General Motors entered a new phase. By enlisting the support of banks
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associated at this point with the Du Pontplunderers, Durant again acquired
a portion of the GM Shares by means of various intrigues. Joining to
these Shares the capital and plants of the Chevrolet company, he stood
at the head of a mach larger concern, whose capital and profits galloped
-Sharply upwards during the First World War. However, attracted by the
prospect of unprecedented profit, still greater plunderers of the dynamite-
powder clan of Du Pontfollowed Durant and General Motors. They lay in
wait for Darant during one of his shady operations in the jungles of
big business. Making use of the crisis of 1920, they forced him to sell
his shares to ,the businessmen of Du Po/Ade Nemours. Owning 23 percent
of the General Motors shares, they began to dominate this concern. The
remaining Shares were diaper sed among a great-number of companies and
individuals.
Thus did the General Motors monopoly grow fat in the brutal struggle
with its competitors, swindling, profiteering, resorting to unlawful
actions, and cruelly exploiting the workers.
In 1927 its capital was $1,227 million, and in 1956 constituted
$6.6 billion ($10 billion including branch enterprises). The profits of
General Motors rose from $154 million to $2.6 billion in 1955.
With, the growth of the GM coneern?s financial power, the scale of
its intrigues in the United States and abroad and its impudent inter-
ference in the economic and political life of countries increased. The
number of companies absorbed and forcibly annexed by General Motors began
to increase by tens.
In 1890 the United States Congress passed the so-called Sherman Law,
supplemented later by "antitrust" laws. But capitalism would cease to
be capitalism were these laws not constantly violated. Since 1952 the
large monopolistic sharks swallowed on the average of 800 small companies
a-P.011.year, ensuring them a dominant position in related industrial fields.
By ruining, ousting, or subduing other competitors, General Motors now
became a monopolist in the manufacture of motorized transportation.
TA 1921, General Motors manufactured 12 percent of all motor vehicles
produced in the United States. More than 50 percent of this production
was manufactured by Ford Motors. In addition, there were another 86
small companies engaged in the manufacture of automobiles. Their share
[of the total 1921 motor vehicle production] comprised 33 percent. In the
first half of 1956 General Motors delivered 54 percent of tall] motor
vehicles. After a desperate fight, Ford was compelled to be satisfied
with 27 percent, while the small automobile manufacturers ceased to exist.
General Motors graciously conceded to the activities of three other com-
panies. Nineteen percent of the motor vehicles manufactured in the United
States remained their Share. They were left only in order that lawyers
and legal advisers of GM could Jesuitically repudiate the charge of its
ruined competitors that this octopus-.concern was a monopolist.
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The patter of legitimate plundering and destruction of concerns was
handled in General Motors= one, "scientific basis." A special section
eiisted in. its Management Whose sole purpose was to study the Yields of
profitable application of capital and to discover ways and means of
invading these areas. Highly-Paid economists, engineers, and. lawyers
from this' section developed new methods of usurpation. ,The morale and
lawfulness of these experts was unquestioned: every means is suitable
in the Struggle for profit. It is_interesting that in the course Of
ten years (from 1928 to 1939). the then-vice-president of GM, Charles
Wilson', directly supervised this section. His activities in this field
Vital to the concern were so fruitful that he later became president of
General- Motors, 0, E. Wilson was Secretary of Defense for five years
Row did Charles Wilson and his section operate? They Somehow directed
the attention of the boss 'of General Motors to the-advantageof the diesel
locomotive over the steam engine. Thus', when technical progress. premised
great profits to busineasmen," they Were for technical pregreil, 4hi1e
such "trifles" as ruining plants Which competed with them did not worry
them. What were laws of ethics and simple human conscience to them:
They paid no attention to this. This is how Wilson and his section
operated. In accordance with a plan of sabotage painstakingly conceived
by them in 1929 and 1930, 'two petty companies which manufactured a small
number of diesel locomotives ceased to exist. In 1941 General Motors
turned Out 13 percent Of all diesels. In 1956 the trade-mark of CM
Shown on 76 percent of all diesels manufactured in the United States.
,Oho-hoW. the General MotOre Stockholders thanked fortune that they
lived in this "free" capitalistic country where -workers' toil, technical
progress, initiative, and war are converted into profits for those Who
Own capital. Is it not the "great" mission of the no less "great" -
America to chastise those atheists outside the United States who term
these Miraculous conversions crimes?
If these lines ever catch the eye of some well-educated gentleman
Of General Motors, that is, our commentary on the feelings of stockholders
of this corporation who dream of a:"great mission," he will respond with
a curt, angry "That's ridiculous!" Curtic,preeident of GM, replied
in just such a manner to demeiderably more inoffensive statements of
American Congressmen and associates of the Department Of Justice in
WaShington,:when they eautiously questioned him concerning' certain shady
aspects of the corporation's activities and asked, surprisingly enough,
"Doesn't this disturb you?" It is very likely his answer would be "Red
propaganda:" In this ease the gentleman from Well Street might be reminded
of the Statement of that "famous pilot and businessman" Rickenbacker Who
was quite popular in the United States, On 19 December 1955, in glorifying
the greatness of General Motors at a press Conference, he came to the
-following "profound" conclusion: "Christianity inspired in mankind a hope
and faith in freedom. Without Christ America could not be, Our country
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is founded on a belief in It was predestined that we, Who possess
the God-given advantage -of freedcm_anci the ability to: produce practical
miraclOR With the Ata of the, free enterprise system, must be. the,hope of
mankind, When the time comes, we must have the moral and physical strength
to point the Wel' to freedom and peace for all peoples of the universe.
This is the mission Of America 444 .her_leaderW_
Monopolists and their apologists have carried,into politics the
principle of "he who does not deceive does not sell," 'which is broadly
accepted in trade, For this reason, when speaking about freedom,' they
always have in mind the freedom of capitalists to plunder the workers.
They term free enterprise that system under Which, the large monopolistic
plunderers make short work of the smaller companies with impunity. As
tar as the,AmeriCan way_ of ti.freedom" is concerned, all the people of the
world know th.044 translated into the language of facts, this means cruel
a44,elrer7innreasing exploitation of workers, a policy of militarism and
imposition. Of fascistMethede, saversiyQ activities against peoples of:
other countries, and preparation for war.
".11. Government of Bankers for Bankers",
the hills near the small peaceful town of Gettysburg, in the
southern part of the state of Pennsylvania, still remain those remnants
which are guarded as relics of the glorious past of the United States,
remnants of the decisive battle in July 1863 between forces of the Northern
states and the armies of the Southern slaveowners. The battle ended in
the defeat of the Southerners and the victory, according to Marxts
determination, of the system of hired labor over the system of slavery.
On the site of the tattles, on a large stone slab, is hewn the famous
speech of the then President Lincoln in which he solemnly declared that
a government of the people, elected by the people, for the people, Shall
not ,Perish from the face of the earth.
!rasa progressive political figure of his time. In 1865,
through the initiative of Marx and ngels, the General Council of the
First International sent salutations to Lill.0O3.11 in connection With his
re-e100.4.0,4-ge.13resident of the United States. However, the_peopleos
government of Which Li.ncoln_Spoka or, what is truer, dreamed about, did
not exist in theUnited States...,
The American poet Walt Whitman, who lived around the time of Lincoln,
depicted the political figures Of his tiswand their relations with rep-
resentatives of business; "People who secured government poste, robbers,
rich men, malefactors, creatures of the president,.gossips, organizers of
Pre-electioncaMpaigns, bowlers, grafters, lobbyists, parasites, politicians,
motley dressed, with gold chains forged from the peoplels money, innate
tradesmen of freedom..."
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Thls was' in the 19th century; but in the 20th the Unsightly pictare
of political dispositions painted by this great poet bedame-still gloomier*
In the report of the Central Committee of the OPSU to the 20th Party
Congress, N. S. IhradhChev stated that "monopolistic capital directly Sab-
ordinates government organs to it by sending its representatives into it
and by forcing the government Ito regulate' the economy of the country
in the interests of monopolies."
' Even before the first world. war, on 13 Pebraary 1913 at article by
Woodrow Wilson was published in the Forttightly Review on the eve of his
-assumption of the post of President of the United States, At the height
of a bitter controversy, Wilson made the following interesting admission:
"The real masters of the United States government are the amalgamated
bankers and industrialists. This is apparent from every page of Congress'
decisions and from all meetings in the White Rouse._ the people from Whom
the government seeks advice concerning its policy are the large bankers,
industrialists, and leaders of the trade, railroad, and steamship com,
panies. The United States government at the present time is the off-
spring of monopolies.
Senator Morse recently expressed this opinion concisely bat no less
eloquently. Paraphrasing the words of Lincoln, he said that the Eisen,
:hower government is a government of bankers, selected by bankers for
bankers*
In November 19559 senators in one of the commissions of the American
Congress demonstrated unusual spirit. They set about the "study" of
General Motorst,as Senator O'Mahoney announced, not without bragging.
The reasons for this Zeal will be explained. below0 At this point it is
teceisarY to cite one of the statements which Characterize the relation-
ship be#Teen te.:government and. Imm0es. 'A cOrtaita Kuirich Etheodore KinggtQuirm? presi-
dehtteAtelislaitAk equipment Corporation, voicing the apprehension Of small
companies for their profits, on which large monopolies were encroaching,
angrily declared that the decisions of owners of sach concerns as General
Motors and United States Steel "could determine the complete policy of
the country in defiance of the people and their representatives."
Thi.s9 of course, is an open secret. One can only be astoniehed at
the shamelessness of the American press and the government and political
figurei who dare to 'dispute the generally known facts which dhow that
financial and. industrial magnates, not satisfied with using dummies and
professional politicians, themselves enter all organs of government
administraUon.
Lists of members of the last three governments serve as peculiar
_
gaidee-to AMerican monopolies. The affiliatiOt of the President 'Ifidth one
or another party plays no, role whatsoever.- Presidents come and go, bat
the monopolies remain in power. As a rule, the composition of the
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United States government only reflects the existing correlation of forces
between different groups of financial capital. In 1956 members of the
American government occupied posts as directors and had financial connec-
tiona,WiW85 corporations. which had A total capital of more than .20
billion dollars* The "new" government of.Bieenhower, established in
Jatnary 1957, hardly differs from its predecessor.- ,According to the
latestdata of the, eminent American economist V. Perlo, as cited in his
new book, 150 of the highest posts in the present apparatus of the United
States, government are occupied by capitalists, 14 by higher military men,
and .0B by lawyers and professional politicians Who have proven them-
84*(313, in the service of capital.
?
At the Service, of Business
Every four years9 in connection with the election of the President
and the Congress, the leadership of the Democratic and Republican parties
arrange noisy spectacles -4 electoral campaigns. The foreign and internal
policies of,both_partieeis practically identical* The leaders of both
parties represent the American monopolies. During electoral-campaigns the
struggle between them for posts in the government, for, the right to make
advantageous use of the government apparatus and the Congress in their
coin intePeete* is in,tenaifi!04,
-
'Baying become politicians, businesemen.convert the various departme
,
into branches of their corporations and the government into a business:,
club, or rather into a board of directors of a large company, and the
American .taxpayers, into providers of the capital for their companies.
This concept is quite openly expressed by the millionaire Sloan, who
occupied,thepost of chairman of the board of General Motors continuously
for 20.yeare until April l956! Sloan defined_the tasks of the _"peoples"
government of UPA.44- States in the following statement. "Our country*"
4Sdeolared,_llisprimariiy a business society g as go the affairs of the,
businese 1,7911,04 s9 -go the,effiars of us all. Our government is partly
the general staff ,of Aur society and thus for business also*" In order
te,enrge,themeelves profits, the bosses of General Motors took steps to
place this,general staff in tizeir hands.
ts
In 1940 when the smell of gunpowder and unprecedented profits was
in the, air? the_Geperal,Motorscorporation was so powerful and influential
that .1 demanded 1,no1ilsion of t A. representative on the government
commissioli,on defense, :upon which the dietribution of military contracts
ando_consequently, profits depends The president of the corporation,.
Knudsen, went to Washington. As a result of its "patriotic" activities
during World War II, General Motors received government orders for the
vast els of $15.6 billion.
,
Attertheyar, theDujpqnts and General Motors began to take over the
most important elements of the United States government apparatus. In.
1952 Arthur Summerfield, head of the Summerfield-Chevrolet firmyhih was,
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the, largest division of General Motors in the sale of automobiles, was
promoted to chairman of the National CoMmittee of the Republican
Party. Of the two aspirants to the post of president at the 1952 conven-
tion of the 'Republican Party, Taft and General Eisenhower, the Du Pohts
and General Motors preferred the latter. The son of the president of
GM, Wilson, headed one of the committees for the election of Eisenhower.
He was supported by the vast empire of General Motors with its divisions
situated :in a majority of the United States. Wilson, the president of
GM, and. his assistants played an important role in promoting Eisenhower's
nomination for the post of president daring the Republican Party Convention.
It is quite astonishing then that in January 1953 Wilson was appeinted
Secretary of Defense and SuMmerfield -- Postmaster General? Douglas McKay,
director of a division of General Motors in Oregon, was confirmed as
Secretary of the Interior, and Robert Stevens, former director of this
and other CorpOrationb L.- the Secretary Of the Army. Roger Keyes, a
former vice-president of General Motors, became Assistant Secretary of
Defense. When GM was assured of profitable government contracts, Keyes,
who retired in May 1954, returned to his office in General Motors, for
the government really had began to resemble a Washington division of
General Motors,
What Is Good for the United States
The Department of Defense and other commanding heights of the'govern-
ment-apparatus of the United States were controlled by the General' Motors
concern; but not without difficulties.' It was not because this operation
was illegal, but because it was oondudted in the interests of this
monopoly and not the masses of people. The difficulties were engendered
by the fact that many other concerns besides General Motors reached for
,..the government treasury and power. This was demonstrated with great
clarity when the United States Senate appointed Wilson secretary.
This appointment was a simple formality for Wilson. The enormous
capital of General Motors was quite a sufficient recommendation for this
important post. However, senators connected with those firms who had
been dealt with unfairly in the distribution of military contracts timidly
and respectfully raised the question concerning the legality of Wilson"s
appointment. Back in the good. old days when monopolies were still not so
all-powerfal, a law was passed which forbade Persons in government service
from doing business with those companies in which these government offi-
cials had capital invested.
The question posed to Wilson was quite timely. Everyone knew that
General Motors had long used the Department of Defense for indrea6ing
its own capital. Prom the moment of Wilson's appointMent'it waS Clear-
that-he Owned aock in General Motors valued at-least $2.5 million.
In addition, he had invested money in theDu,PontNational Bank of Detroit
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and also in a company exploiting oil-bearing land in Texas and Colorado.
It also became,well-known that his wife's capital was invested in a
number of companies, including General Motors. This woman also acquired
"In all only" 7,500 shares of the Greyhound Bus Company whose lines cover
a major portion of the United States.
- The question of Wilson's appointment was a polite hint that General
Motors and Wilson :himself were using the government treasure in their own
self-interest. Nonetheless, the punctilious senators were still able to
e moderately reconciled, with this factq quite recently former Attorney
General Biddle lamented the fact that Americans "forget what public dis-
lionesty always creates." The senators Were more indignant over the fact
?that GeneralMotorvwas 'W) high-handed in driving its competitors away
from the government feed box. Voicing their interests, Johnson, leader
of the ,Democrats in the .Senate? declared that "no one privately owned
enterprise is more important to the Department of Defense than General
Motors. On the,other.han4 no One government institution is more im-
portant to General Motors than the Department of Defense,"
Wilson decided that the senators' hints were improper ahd that the
parliamentarians must be put in their place. In the beginning he
menacingly declared that he intended to retain his stock. It was implied
that he reserved the post of Secretary of Defense for himself. The
senators stood their ground. The incensed Wilson hurled a catch-phrase
at_a?meeting of the commission: "What is good for General Motors is also
good for the United States." Who knows how this Whole affair would. have.
ended had.19.1son not announced that he_would sacrifice and sell all his
ahares. It remains only to point out that he recovered his share holdings
with interest as soon as he left the Pentagon.
The satisfied senators approved Wilson as secretary. The appreciative
Du Pont3estalaiShed a.life "pension" of $40,000 a year for him as com-
pensation for his "sacrifices" and "distressing experiences." In addition,
by agreement with General Motors, he retained the right to a bonus of the
vast pam of $800,000 for three years.
Wilson did not remain under obligation to the bosses of the concern.
By September 1953 General Motors had sliced off a thick piece of govern-
ment pie. The Department of Defense (Wilson) signed a contract with G14
(friends and colleagneeof Wilson) for $204 million for the delivery of
medium tankg, to the American Army. Following this, the government en-
trusted General Motors with the production and delivery of army trucks.
The concern received $85 million more. And the contracts kept growing,
4 one point General Motors declared, not without self-satisfaction,
that 4.19q (4e, firSt,year'of Wilson's "selfless" activities in govern-
ment) its gross profits (before paying taxes) amounted to $1,716,341,000.
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In that same year 557,260 white and blue collar workers were employed
at enterprises of this concern. Prom each worker the company received a
gross PrOfit of $3,080.
A Kowtowing Revolt
An unusual event took place on 8'November 1955 in the building of the
United States Congress. Many correspondents of American and foreign news-
papers, photographers, cameramen, associates of radio and TV broadcasting
stations, government figures, members of Congress, and representatives of
the largest industrial Companies and banks crowded the halls. This day
marked the first meeting of the long-threatened commission for "examining
the activities of monopolies." Some people expected a sensational expose.
At last, they said triumphantly, a commission is engaged in the study of
the activities of that gigantic monopoly, General Motors, the largest
military-indUstrial concern in the world. Ctrtice, president of the con-
dern the 80-Year-old Sloan, chairman of its board and one of America's
richest businessmen, two first vice-presidents, 14 "ordinary" vice-presi-
dents, and experienced lawyers and economists of this monopoly were invited
to appear before the commission.
-.People uninformed of the secret interrelationships of this monopoly
with the government and Congress, naively believed that the day of reckon-
ing had come. There was no end to the intrigues and crimes of General
Motors. The concern's guilt could easily have been proven on every point
of the charge: the seizure of government posts and their use for personal
enrichment; unlawful establishment of a monopoly in a number of fields
of industry, displacement from these fields of other companies, and their
ruin; exploitation of the difficulties of other countries to penetrate
their markets and force out local companies; criminal connections with
Ritlerite Germany; use of the second world war and the war in Korea for
personal enrichment; complicity in formulating a policy of militarization
and imposition of fascist methods upon the United States and use of this
policy for purposes of profit; bribery of the American press by means of
advertisements, etc. A special charge could have been made that the con-
cern had Used a significant portion Of the value produced by the workers
of its enterprises for purposes of personal enrichment, and that the con-
cern was waging a systematic attack on the elementary rights of workers
through its use of the government apparatus.
The Congressional =mission began its work. Senators 00Mahoney,
Wiley, and Langer made their opening speeches before the objective
scrutiny of the movie and TV cameras and photographers. Their statements,
however, immediately Showed that the long-planned "investigation" of the
activities of General Motors was a Shameful farce. The address of Senator
OlMahoney, acting chairman of the commission, had a strange effect. One
would have thought that the charge was being impuned against the commission
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and not against General Motors. The senator began by refuting reports in
newspapers that the concern would be made to answer. He assured its
directors that the commission was convened merely to study and not to
hold an inquiry. He declared that there would be neither defendants nor
accusers at meetings of the commission. The remainder of his speech was
reminiscent of a report of the chairman of the board of UM on the successes
of the concern. At the end of his Address 01Mahoney rebUked the company
for its monopolistic position in several fields of industry and for dis-
lodging its competitors.
The commission met for more than a month. Specially selected
IIwitnesses" appeared. They spoke on Whatever they liked, but not about
the lawlessness of General Motors. ,Representatives of trade unions were
not invite0o appear before the commission.
A report on the results of the "study" was published in April 1956.
The mountain bad. brought forth a mouse. The suggestions of the commission
represented no danger whatsoever to the concern. It recommended that the
question of restricting the expansion of activities of this monopoly
be again studied and examined anew.
The American press maliciously noted that the kowtowing revolt was
undertaken by members of Congress manifestly for pre-election purposes,
to fool voters, and we add, to create the appearance of contending with
a big monopoly.
For these same purposes the government joined in "battle" with
General Motors. The speech of Brownell, Attorney General of the United
States, Which loudly proclaimed that the General Motors monopoly had
been made to answer was advertised in every possible way before the 1956
elections. "At last:" Americans exclaimed. But this time also dis-
appointment befell them. Proceedings were actively begun against the
corporationc but only for the fraudulent seizure of motor bus manufac-
turing, for one-thousandth part of all the lawlessness Which this monopoly
had perpetrated. It would also seem that the demands of Attorney General
Brownell Were ridiculously modest. He wanted neither the return of capital
to ,ruined companies, nor the imposition of a fine, nor any other punish-
ment,. Outwardly currying the favor of the monopolistic plunderers, Brownell
turned to the corporation with the loyal appeal that it reduce its Share
in the manufacture of motor buses from 85 to 50 percent.
The shyness which the Attorney General displayed with regard to
General Motors, is completely understandable. He well remembered the
history of his assistant who, whether as a result of remorse ox' because
hehadulot unravelled the simple question of Who his boss was, came out,
nevertheless, with a number of quite reserved "friendly warnings"
addressed to General Motors in connection with its violations of laws on
monopolies, In answer to these statements it was sufficient for GM
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president Ourticeto hurl bitterly a single word, "Bidiculoust" The
44eietant Attorney General vas relieved of his responsibilities and sent
far away to the West as a judge. Let us keep in mind that the Chief
activity of the Attorney General of the American government is reprisal
against and. the persecution of workers and progressive organizations and
figures and not monopolies and the reverend gentlemen of corporations.
In its almost 50 years of existence General Motors was brought to court
only five times for violation of anti-trust laws; in three of these
eases, proCeedings against it were discontinued. In capitalistic America
GM can calmly continue its activities with fear that its crimes will be
discovered.
A Conspiracy Against the People
Dhr1.n4;the second world war Downey, a representative of General
Motors, cynically declared that mwar is a struggle for control over the
world. It undoubtedly represents one of a series of wars, the first of
which occurred 1311914.1918. The Anglo-Saxons must rale the world."
,Along with the directors of other monopolies the businessmen of
General Motors bear a portion of the responsibility for unleashing the
second "mad war.
The criminal ties between the Hitlerites and the directors of this
concern were uninterrupted right up to the beginning of this war. In
1937, Sloan, representing the board of directors of the concern, together
With Senator Vandenburg. of Michigan, Who in the United States is called
the Senator -.roln General Motors, and other figures conferred with the
Hitlerites concerning important economic and political questions. A year
later, after Musaich,Knudsen, former president of the concern, sent Hitler
a congratulatory telegram. In 1938 Hitler awarded a medal to Mooney,
vice-president of General Motors. As for back as 1929 the concern estab-
lished its control over the German automobile company Adam Opel. Thus,
it happened that the production of half of all automobiles manufactured
by fascist Germany before the war was in the hands of GM. Apparently,
considering this the American government in 1949 invited Charles D.
Wilson, president of the corporation, to take part in the work of the
commission on reparations. With suspicious unanimity the commission
came to the conclusion that it was 5inexpedient" to dismantle German
military plants in which not only Wilson and his concern, but also his
partners in big business were interested.
After the second world war the monopolies dictated to the American
government an aggressive course of preparation for a new war, for artifi.
eta]. aggravation of international relations. This was done to insure
vast Profits from military contracts by again militarizing the economy.
or these very purposes the American monopolies prepared and unleashed
the war in Korea with the appearance of the first signs of economic
crisis in 1948-1949.
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Rahn Tucker, the chief economist of General Motors declared,
fliere-it,not for the Korean war, we would already have ;altered difficult
The 19 May 1953 issue of United States News and World Reoort
etatedirankly, 'Business activity will not weaken because each warning
lignal can be used to increase expenditure of defense appropriations
within tbe country and on foreign aid abroad...Bit in the end shooting
is the result of foreign policy."
IG
, adh time =American or Korean boy dies in Korea the cash box
ring* on Well Street." Thus did the American film actress Karen Morley,
Whose name was entered on the blacklist because she dared to speak the
troth, express the opinion of the progressive people of America toward
the war in Korea.
Alie_cash box in the office of Charles Wilson's concern rang more
often than.the others. Of the companies working for the war, General
itOorg Again captured most of the contracts. During a three-year period
(19504953) it received contracts for more than WM= billion dollars.
1110= and. the concern which he represents became quite familiar
wit4-0;Uacting profits by such a method. To receive greater profits,
it was necessary to obtain more military contracts from the government
treasury. For this it was necessary to juggle the military budget
throats* Congress, and if there was no war, then a budget for "defense.'
Members of Congress would not object. If the taxpayers Objected, it would
b. neceseary to intimidate them with a fictitious 'threat of aggression'
on_the part of the USSR and China. And if words were not effective, the
monopolies of the United States, through their servitors in American
Amtelligence, would arrange provocations not unlike the Hungarian situa-
'tion.-
-And Wilson is doing his best. In 1954 he declared that "militant
Communism is a military, political, social, and economic threat.". In
1955 he threatened the American man in the street with the statement that
the Soviet Union, in his words, represented "the main threat to peace
throughout the entire world." In 1956 Wilson, =confused by the complete
lack of logic, declared, "The United States in the next years intends
to retain the present size of its Armed Forces and provide them with the
best weapons, in spite of talk about lessening international tensions.'
Incidentally, the, number of United States troops in the middle of 1956
was 2,285,000 soldiers and officers. This is the largest Army the United
States has maintained at any period in peace time. Wilson achieved new
heights of hypocrisy and dissimulation in 1957. Trying to convince the
American taxpayer of the "necessity" of voluntary sacrifices in connec-
tion.with Congress? examination of the military budget, and the approach
of actual military expenditures to $43.5 billion, he declared that 'events
in Hungary and the Middle East show the correctness of the decision to
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maintain large armed forces over a long period." Preparing provocations
in Hungary and shutting their eyes to the aggression of their partners
in the Middle East, American ruling circles are forcing Americans to pay
for the profits of monopolies.
Such is the role which the General Motors corporation and its
representatives in the government of today's America play in the United
States.,
The Financipl "Empire" of the Mellons I. Lapitekiy
On that very cold wintry day in the beginning of 1953 when the
Republican Party again returned to power in Washington after a twenty-year
interruption, a little-noticed but quite Significant event took place in
the separate, massive, granite building of the Treasury Department on the
corner of 15th Street and Pennsylvania Avenue in Washington. The portrait
of Andrew Mellon, which had hung for 20 years in a reception room, had
been moved over to a more prominent spot. Hy instructions of the new
Secretary of the Treasury, George Humphrey, it was displayed in the
office of the Secretary.
The new Secretary knew What he was doing. He was director of more
than 30 industrial companies and chairman of the board of directors of
the Mellon coal concern,Pittsburg Consolidated -- one of the largest
coal companies in America. The re-positioning of the portrait was sym-
bolic. It bore witness to the firm resolve of millionaires of the new
government to follow the methods of the head of one of the largest finan-
cial-industrial empires of the United States, Who ran the American
treasury under three presidents: Harding, Coolidge, and Hoover.
Andrew Mellon, who held the post of Secretary of Treasury for ten
years at a stretch, admittedly created "standards" -- until recently con-
sidered. classics -- of manipulating the financial and taxation policies
in the interests of the largest monopolies of the United States. The
American publisher F. Landberg wrote this about Mellon in his hook,
Sixty American Families: "Immediately after the inauguration of the
President (Harding), the piratic team of poker players, seizing the ship
of state, began a struggle for the strong-box with the faultless instinct
of burglars searching for family jewels."
Historians have calculated that during Mellon's tenure as Secretary
of the Treasury, income tax collected from millionaires and billionaires
was reduced by $6 billion. Mellon perfected the art of shady intrigues
which the Treasury Departments Skillfully developed during his tenure in
office.
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, Bow did the Melons enter the tight circle of rulers of modern
An04.00, and. how was the dynasty of aluminum kings of the United States
created?
The Melons laid the basis for their fortune by speculating in real
estate ii Pittsburg and its environs. Then their capital entered banks
and subsequently the coal, metallurgical, oil, aluminum, electrotechnical,
and glass industries of this rapidly developing industrial region.
Merciless exploitation of American laborers and of the Cheap labor of
immigrants, especially from countries of Eastern Europe, wars, and crises
enriched the Mellon family.
Dozens of banks and vast land tracts still comprise a significant
part of the Mellon wealth. it the largest profits are made in the large
scale monopolies controlled by the Mellons, such as Aluminum Company of
America (ALMA), Gulf Oil Corporation, Westinghoase Electric Corpora,
tion, Koppers and Company, Jones and Laflin, and dozens of other concerns,
truets and corporations in the coal, electric, gas, copper, chemical, and
aircraft indastries, and also railroad transportation, municipal services,
the insurance business, etc. By the beginning of 1957 the financial
group of Mellons had amassed capital amounting to $10.5 billion.
A. progressive American newspaper once carried a caricature: a fat
gentlemen calming a crying woman:
"Someone mast bear the sacrifice, madam," he said. "In time of war
we lose song, in time of peace -- profits."
War and its preparation always brou&t enormous profits to the
Mellons. /t was not accident that the capital of the Mellons was invested
in fields of industry tied with the production of weapons of war -- in
the manufacture of aluminum and steel, in the production of oil, electri-
cal machinery building, atomic production.
The basic modern industrial empire of the Mellons is ALCOA, a
monopoly in the strict meaning of the word. It was able to seize control
of the sources of raw material (bauxite) and the patents to the basic
production process of this important field of industry. For 50 years
ALCOA was the sole supplier of aluminum in the United States. The first
world war led to a vast increase in the demand for aluminum. ALCOA. did
not sail to exploit this demand. In the period of 1914-1916 it tripled
the price of aluminum. The war gilded Aura, that is, the Mellons with
gold. After the war ALCOA paid out as a dividend one thousand percent
of:its initial capital. Thin company, which held controlling shares in
many large electric power companies, provided itself with cheap sources
of electrical energy needed for production of aluminum.
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The sphere of ALCOLIs influence extended far beyond the limits of
the United States. It enveloped Canada (the entire aluminum industry)
and the bauxite mines of countries of Latin America, Britain, Dutch
Guinea, and the Gold Coast. In addition, ALCOA controls many trusts and
enterprises in. France, Italy, England, Germany, Switzerland, India, and
other countries.
Autu rules in world aluminum market. It closes cartel agreements
with all large producers of aluminum in other capitalistic countries.
At one time it signed such an agreement with the German concern I. G.
Farben. This gave the Mellon monopoly the opportunity of seizing the
patents for the production of magnesium and its alloys. nou gained con-
trol over the Dow Chemical Company -- the sole producer of magnesium in
the United States.
The second world war, the postwar arms race, and the war in Korea
brought now riches to the Mellon aluminum monopoly, which is closely
connected with the aircraft industry and the production of radar equip-
ment in the United States. These fields of military production now yield
the greatest profits.
James Kindalberger, representative of the aircraft company North
American Aviation philosophized several years ago, "One can compare an
airplane to an egg. It is necessary to sell it while it is fresh..."
So reason the owners of ALCOA, which sells more than three-fourths
of its production to the aviation industry.
The profits of the aircraft industry monopolies in the past years
acquired such incredible proportions that in 1956, in the United States,
demands were heard to investigate the sources of these superprofits as
well as the suspicious activities of a large number of retired generals
and admirals Who migrated from different military departments into
offices Of aircraft corporations.
Speaking before one of the Congressional subcommittees, William
Allen, president of Boeing, the largest aircraft monopoly, declared
plainly, "Congress must not ponder whether we are earning too much; it
must be concerned whether we are earning enough..."
And the subcommittee agreed with him.
Despite lessening of international tension, appropriations for
military needs in the United States were again increased in the 1956/1957
budgetary year. United States News and World Report again declared tri-
umphantly, "The Armed Forces are the largest business of America." The
enemies of disarmament and the advocates of maintaining international
tension again won the upper hand.
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One can judge that cOnclasion the directors of Mellon's ALCOA drew
from all this, from the statement of its president Wilson, Who reported
in the summer of 1956 that his company intended to Spend $600,000,000 in
expanding its production during the next five years. Of course, nom
is basing its plans on continued vast military appropriations and very
profitable military contracts. Exploiting its monopolistic position,
ALCOA continues to inflate its production prices. It instituted a
regular price increase on aluminum in March 1956; two months later its
president spoke of a new price increase.
'"But in the United States a special law against monopolies exists --
the so-called Sherman Antitrust Law," says a reader. "In such a case how
can ODA -a tYpical monopoly as ALCOA continue to operate with impunity?"'
Actually, the monopolistic practices of ALCOA have acquired ea& a
scandalous nature and caused so mach harm to the national interests of
the country, that in 1937, under public pressure, the United States
goVertkett undertook "antitrust" judicial action against the aluminum
nempany. But this "action" is dragging out up to the present day. In
1954 the court affirmed that ALGOL is a monopoly; in 1956 the government
confirmed that despite the appearance of several small, new companies,
ALCOA as before rules the aluminum market. The Wall Street Journal
Trete in 1956, "The officials conducting the antitrust action for Uncle
Sam (i.e., the United States government) decided that they needed five
more years to. determine how to deal with the Aluminum Company of
America. The investigation of the ALCOA action was again postponed,
this time until 1961.
This is the way the "antitrust" law "operates" in the United States.
The Melons began to demonstrate an interest in oil at the end of
the last century. The Mellon oil company, Gulf Oil Corporation, was
born and raised in the bitter competitive struggle against Rockefeller's
Standard Oil.
Golf Oil acquired oil deposits in Latin America, Canada, the Near
Bast and the Philippines. It penetrated into Italy, Spain and Denmark.
Gulf Oil actively interferes in the internal affairs of other coun-
tries. One of the greatest scandals of its time was the gross inter-
ference of American ruling circles in the affairs of Columbia for the
purpose of ensuring the transfer of rich oil concessions in this country
to the Mellon Oil trust. Ear obvious .purposes of extortion, Ameridan
bankers introduced a, financial embargo against Columbia which provoke a
political and economic crisis in this country. They forced Columbia to
adopt a new law on exploitation of oil deposits Which allowed the Mellon
condom: to obtain the right to work the largest oil deposits in the world
for 50 years.
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The activity of Gulf Oil outside the United States was especially
intensified after the second world war. It demanded a re-examination of
Brazilian laws to facilitate seizure of Brazilis oil industry. In this
period Gulf Oil obtained a concession in Portugese East Africa involving
an over-all acreage of 45,000 square miles, and in 1956 -- a concession
for prospecting and extracting oil in Bolivia covering a territory of
1.6 million hectares for a period of 40 years. Gulf Oil cruelly exploits
the workers of many countries at its numerous enterprises situated through-
out the entire world, especially in the Near and Middle last and In Latin
America. It invariably encourages feudal-serf relations and the most
reactionary forces. These serve to support it and help to extort profits.
The Gulf Oil Corporation is an active participant in the interna-
tional oil cartel in which American monopolies run the show. Joined with
four other American and two English corporations, the cartel actually
controls all extraction of oil in the capitalist world outside the United.
States. According to data in Busin_x_i_al_kiee, daring the six:postwar
years these seven corporations received $12 billion in super-profits from
their foreign operations. (Super-profits, as interpreted by the magazine,
is that surplus over the profit the corporations would have received had
they invested capital in their own countries.)
It is difficult to find a field of defense industry in which Mellon
capital has not been invested. The atomic arms race and the prodaction
of mass destructive weapons have brought it even greater profits. ,The
Mellon-Rockefeller Westinghouse Electric Company wages a persistent
struggle against Morgan's General Electric for control over the atomic
industry. This large-scale (second to Morgan's General Electric)
American electrical concern manufactures more than 8,000 different types
of articles, valued generally at one and one-half billion dollars a year,
in its 87 plants throughout the United States. Among these products are
equipment for atomic plants, jet engines for the air force and the Navy,
and many other military products.
"We place the highest priority on atomic production now," says
president Price of Westinghouse Electric.
In this connection, the magazine Time remarked that "atomic produc-
tion is_the favorite child of Price. It grows not by days but by the
hour..)
The owners of Westinghouse, as well as other monopolies who profit
from atomic and hydrogen weapons, impede the use of atomic energy for
peaceful purposes not only in their own country but in other capitalist
states. They are successful in this in particular, because over the past
decade concerns controlled by Morgan, the Mellons, the Bockefellers, and
Du Pont, lad their hands on the most important deposits of uranium in
the capitalist world.
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rae.Mellons are seizing the command positions in the industry of many
countries. The Westinghouse concern owns shares of the West German
electrical mamhine7b4ilding trust of Siemens. After the war it bought
Many Shares cheaply of the Japanese concern of Mitsubishi and encroached
on the4ndastry of Italy and other West Nuropean countries.
The Westinghouse _concern has become interested in a most direct way
in maintaining the American occupation of the Chinese island of Taiwan.
Westinghouse contraeover thirty electric power stations there. In
order to make sure that the flow of military contracts does not cease,
American monopolies need tension .in international relations. Per many
years the Mellons have liberally financed a number of newspapers in
Pittsburg and other cities of Pennsylvania, dictating a propaganda line
to them. They seized control over a whole series of newspapers, magazines,
radio stations, and television centers outside of Pennsylvania.
Pahl Mellon, one of the representatives of this dynasty, acquired
Aa large number of shares of the magazine Newsweek, which occupies itself
with systematic propaganda for war and malicious slandering of countries
of the camp of peace and democracy, Many Mellon monopolies directly own
means of propaganda. The Westinghouse concern alone owns six large radio
stations and two television stations.
The financial empire of the Melions is powerful. But the workers'
movement, which is growing and becoming stronger in the bitter skirmishes
with its, mortal enemy -- monopolistic capital, is shaking the Mellon
empire and other oligarchies of big capital to their foundation.
5* *
A dismal court building in Pittsburg. Judges, lawyers, the prosecutor.
The accused speaks. The speaker is a courageous man, deeply convinced in
the right of his action. He does not defend himself. He is on the offen-
sive, exposes, and accuses.
III am a member of the Communist Party," he save, "the party of the
working class, because I believe in it with all ay heart."
These are the words of Steve Nelson, leader of the steel workers
and miners of Pennsylvania. Nelson has spent many years of his life
struggling against the yoke of monopolies. His childhood was spent in
need and deprivation. As a youth, he worked as a carpenter and Later ,
as steel worker in a plant of the Jones and Laflin company in Pittsburg,
where he fought for the creation of a trade union with other comrades,
mmarter of a century ago, Nelson, together with a group of young unem-
ployed workers, was arrested by police for demanding work and bread.
Five days later he again marched in a number of demonstrations staged by
the unemployed. These were black years of crisis, mass unemployment,
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bleek: hunger, and. misery. But they were also the years of the rise of the
workers 1 movement. Nilson organized the then unemployed in a struggle
for their rights, for grants-in-aid, an for work. The police beat him
mercilessly and threw him in jail. But again he joined the ranks of the
fighters for the cause of the working class.
The course of the struggle against the oppressors of the people
brought Nelson into the glorious ranks of the International Brigade which
fought against German-Italian fascism on the battlefields of Spain. A
determined, selfless fighter, he enjoyed the general confidence and love
of his comrades. Nilson was a lieutenant colonel in the Abrabant Lincoln
(15th) Brigade. There were 3,000 American compatriots in that brigade;
1,800 of them died bravely in battles with fascism. Nilson modestly
tells of this heroic period in his life in the book Volunteers. He returned
from Spalswith a deep scar; a fascist bullet had passe& several inches
from the spot where, all his life, he retained reminders of the bludgeons
of the Chicago police.
But let us return to the Pittsburg court building. Nilson is on
crutches: he had received serious injuries in an automobile accident.
They dragged him directly into court from a hospital, where they attempted
to "take care" of him by sending in a hired killer. But presence of mind
and courage did not fail Nelson. He had disarmed the bandit....
Agents of monopolies judged Nelson. Edward Boyle spike as the chief
accuser. He was charged to let Nilson and. his comrades rot in prison.
The purpose was to terrorize workers and their organizations in the largest
center of the defense industry, the state of Pennsylvania.
This happened at the height of the wax in Korea. Plants in Pittsburg
labored over fulfillment of large military contracts. Into the safes of
the Hellons and other manufacturers flowed many billions in profits.
With violent malice the cannon kings of America pounced on those who
demanded a termination of the war and a renunciation of the arms race.
In search of means to mete out punishment to active proponents of peace,
they._grasped the so-called law on "incitement to revolt," adopted in
Pennsylvania in 1919 daring the period of the powerful rise of the strike
movement., The Stockholm Appeal for banning atomic weapons, and brochures
calling for a struggle for peace against the unleashing of a third world
war figures as "material evidence" at the trial, together with the classical
works of Marxism-Leninism.
.Net. one of the 700 lawyers in Pittsburg and neighboring cities decided
to undertake the defense of Nelson. They feared persecution and repres-
sion. The experienced anti-fascist was forced to defend himself.
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OM the head. of his judges Belson appealed to the people. He
related_how_Mellon and -other monopolists profited from war, how they were
attempting to undermine and crush the growing movement of the advocates
of4sace -- the insuperable movement of our time. They repeatedly inter-
rupted him and tried to silence him. But Nelson, a Communist-revolu-
tionary, angrily unmasked the enemies of peace and democracy, those who
want to fling mankind into the gulf of a new world war.
"We are,victims of legal frame up organized by large monopolies
profiting from U28 war in Urea," said Nelson. "Look out the window of
the. courtroom. No matter Where you look, you. will see the buildings of
large Monopolies. You will see the building of the Mellon oil company --
GulLOil, the building of the Mellon aluminum company, the building of an
Aslectrical-company which belongs to the latter, the Mellon bank.
F:sv,oqhey arrested um," said Nelson, "when we disseminated the Stockholm
Appeal aimed at banning atomic weapons, mending cooperation between all
peoples of the world, and ensuring peace. Behind these arrests was also
concealed the ttempt to check the huge M8V88 of the strike movement
whiCh are sweeping over the coal and metallurgical industries."
,
-11The chief criminals in this judicial farce," said Nelson, "are
Mellon and Morgan, and the rich men of Pittsburg.... They are making
millions from the war..-. They say: 'If you interfere in our plans, you
land behind bars.' They bear the responsibility for high prices and
(maraud taxes."
"They judge me," continued Nelson, "because I fought against war
and fascism here in Pittsburg. I uphold the right here in this court,
L.:to.defend_peace no matter what the personal consequences ...n
,The. sentence resounded -- twenty years in prison. They threw Nelson
into a dark, damp basement, denied him the right to visitors, the receipt
of mail, refused him medical aid, and denied him the right to consult
lawyers.
broad campaign developed throughout the entire country to repeal
this. brutal sentence, to liberate this courageous fighter for peace.
.Angry protests came from every corner of the earth. Judge Montgomery,
who passed the sentence, was compelled to admit that "so many telegrams
and. letters had been received that Nelson's prison cell could be filled
with them." According to information of the Congress of the Struggle
for Defense of Civil Rights, 10,000 letters and telegrams demanding Nelson's
liberation on bond were sent to Pittsburg. Under public pressure, the
state supreme court was compelled to satisfy the petition to set a bond
and to liberate Nelson temporarily after 239 days of imprisonment. Four
days later, he was again dragged into court, this time accused of violating
the reactionary Smith Law. Nelson was sentenced, in all, to 25 years'
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imprisonment. The campaign for Nelson's release broke out with new force.
Reaction was forced to recede. The Pennsylvania State Supreme Court
admitted that Nelson's conviction for 20 years on the basis of the local
law of 1919 on "incitement to revolt" was improper, tut the sentence for
violation of the Smith Law remained in force. In the spring of 1956
a federal court was obliged to set aside the execution of this sentence
also.
The State of Pennsylvania has long been the arena of the most bitter
battles of the United States proletariat against its oppressors. An old
man grey with age sat among the spectators in that Pittsburg court room.
A wrinkled face, a firm jaw, eyes that shown angrily beneath busby eye-
brows. The old man intently followed the trial of Nelson and his comrades
James Dolson, the 68-year-old correspondent for the Daily Worker in Western
Pennsylvania, and Walter Lowenfels -- a correspondent for the same news-
paper in Eastern Pennsylvania.
Pat Cash is 85 years old, bat he has a lucid mind and perfect
memory. Cast is one of the veterans of the straggle of the American
working class. He took part in the famous strike of steel workers of
Homestead (near Pittsburg) in 1892 And since that time tad not ceased
the straggle in behalf of the working-people. He began working at the
age of ten after his father was cradhed to death by a ranaway freight ear.
Pat was proud that his father -- an immigrant-worker Who fled from Ireland
during the potato famine -- was one of the pioneers of the Sons of the
Vulcan, the first trade union of workers of the metallurgical industry
of the United States. Pat recalled how, on 21 June 1877, ten Miners in
Pottsville and Mauch Chunk: were hanged because they refused to tolerate
unbearable working conditions. Later, When the indignation of workers
had become still more intensified, Mellon agents hanged ten more miners.
The fortune of the Mellons is founded on the blood of workers,
monstrous exploitation, and bloody terror.
"It is impossible to control coal miners without machine-gans,"
asserted. Richard Mellon.
Brutal exploitation and violent terror was the Mellon policy toward
workers. If reprisals against workers acquired an especially scandalous
nature which provoked public indignation, the Mellons took steps to con-
ceal evidence of their crimes. When the Senate was compelled to set up
an investigatory commission to pacify the public daring the 1927-1928
strike of Pennsylvania miners, the Mellon Pittsburg Coal Company sent
the following instructions to its manaeerss
"The United States Senate investigatory commission is now travelling
in the Pittsburg area. Cover up eterytbing that is unsightly. Restrain
the police somewhat; try not to resort to arrests; instruct everyone to
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avoid disorders. If the commission desires to interrogate our employees,
present to them those Who will give proper answers to their questions.
It the commission interrogates you personally, do not answer questions
which In your opinion could damage our interests. The company will
protect You..."
The militant speeches of the workers and their craving for organiza-
tion did not cease. The strike movement in the United States assumed
peat proportions after the first world var and the Great October Socialist
Revolution in Rassia. In 1918-1919, more than a qaarter of a million
steel votkers and nearly half a million coal miners, railroad and other
workers -- in all, over a million people -- went on strike. The Pittsburg
steel workers were among the first ranks of the working class. They
were led by William roster, a prominent figure of the left-wing socialist
movement who later became one of the organizers and leaders of the Communist
Party of the United States.
The difficult coarse of the straggle brought Pat Cash into the ranks
of the Communist Party. He joined it When he was 60 years old. "I could
not do otherwisei" he said. "I was born into the straggle..." Cash
was not alone. Sons of the working class of America enter their Communist
Party to fight among its tanks for their rights, for peace, and against
Wit and. Capitalistic oppression.
,
* * *
The steel workers and miners of Pennsylvania are keenly aware of the
attack on living conditions and rights of American workers Which became
intensified after the second world war. In pursuit of maximum profits,
the Morgans, Mellons, and other uncrowned kings of America converted the
country into a military economy. They increased taxes, inflated prices,
and engineered a reduction in wages. The sweatshop system of labor was
becoming stronger. The number of workers killed from year to year in
industry is figured in five-digit numbers and those maimed -- in seven,-
digits.
kkeime,j...teek wrote, "Workers must labor for longer periods and with
greater intensity. But instead of better pay they must be satisfied
with lese...The die is cast. This time nothing remains but the Whip."
The latter, phrase was underlined by the magazine.
'Life completely corroborated the sinister prophecy of this organ of
big capital. A worker of a Pittsburg metallurgical plant declared to a
correspondent of the Daily Worker, "The owners have set a killing pace of
work. Many workers cannot bear it. Pensions and social security are as
:available to workers as a lark in the Sky. Workers are dying before they
can deant on receiving a pension."
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But the workers refused. to tolerate such a situation. They launched
a counterattack. The strike movement in the years after the Second World
War assumed. unprecedented proportions in the United States. Statistics
bear witness to this fact. In the prewar decade (1931-1940), no more
than 22,000 strikes were registered. in the United. States; 9.5 million
workers took part and 145 million man-hours were lost. In the postwar
years (1946-1955), the number of strikes increased to 43,000. More than
26.5 million people took part and. more than 434 million man-hours were
lost.
4 keen class struggle has been developing in the United States
during these years. The New York World Telegram and Sun wrote in 1955
that the United States had. entered. a new "period of war on the labor
front." The great heat of the strike struggle gloved. brightly in 1956
when. the strike of 54,000 workers of the Westinghouse company, begun
the year before, continued and 650,000 metallurgical workers, 60,000
dock workers, 27,000 workers of aluminum plants, and many others went on
strike in. the first national strike in the history of the United States.
1957 was marked by a great number of strikes. In the first half of that
year alone, 2,075 strikes occurred, many of them of considerable size.
The workers of America., struggling for their daily economic demands,
come out more often against the oppression of monopolies, against the
aggressive foreign and reactionary internal policy of the ruling circles
of the country, and for peace and. lasting democracy.
'W_Asken,:pf ,C.harlea. E/Nilsc_a _ V. Volodin
A swearing-in ceremony was taking place in one of the offices of
the White House in Washington. Placing his left hand. on the Bible and
raising his right, Charles E. Wilson -- former head of the Morgan General
Electric concern -- in a resounding voice repeated the words of an oath
which Truman, then President of the United States, read from a paper.
Undersized and unobtrusive in appearance and dressed with the refinement
of a commercial traveller, the latter kept in the background beside the
stalwart Wilson.
Photographers, admitted by the secretaries, rushed into the office.
They had. to memorialize that moment when Truman presented Wilson with the
scroll of office, which contained unprecedented, indeed dictatorial powers
in the field. of "industrial mobilization." The reporters were not success-
fu.1 in taking pictures.
A triumphant smile broke on Wilson? s face with its short, narrow
nose and. broad, oaken jaw. Now he held power in his hands the like of
which his predecessors in the leadership of the United. States war industry
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did, not have, even in the years of the second world. war. The director of
,the Office of Defense_Mobilization, just created, had had. concentrated.
In his hands the control levers of the American indusrtry for the purpose
of controlling the growing armaments rice.
Wilson's appointment did not surprise anyone. 1950 was coming to
an end.. On Wall Street, there were expressions of dissatisfaction over
the "sluggishness" with which the American economy was converting itself
into a military one daring the military ventury in Korea. Banks and.
monopolies tried. to step up the armaments race sharply, to speed. the
militarization of the United. States economy. The first steps in this
direction had. already been taken. On _orders from Wall Street, Truman
declared. a "state of emergency" in the country. In the salons of
luxurious clubs, to which access was denied even for many "beginning"
millionaires* it was decided. that leadership of the armaments race _should
be entrupted._to a re1iab3.e man. It was considered on Wall Street that
an iron band, an economic dictator was.. needed. Who could. fit this post
better than Wilson of the Morgan General Electric, whom American news-
papers with respectful familiarity call "Electric Charlie"?
It was for this very reason that the telephone rang on a December
&Ander of 1950 in the, leJakrious, twelve-room private residence of Wilson.
The Whit.e,goupe was
Truman was on the phone. Respectfully inquiring after the health
of the president of General Electric, the President of the United. States
declared. that he needed Wilson for a very important and urgent business.
He asked him to fly to Washington quickly.
On Monday the massive figure of Wilson appeared in the White House.
As the Washington newspapers reported, Wilson confronted. Truman with stiff
conditions, --- ,completa freedom of action. subordination (in essence only
ormal) on,1,7 to the President, complete power in economic questions, and
the right to give orders directly to the secretaries and members of the
Cabinet.. Truman asked. bim to grant one day for consideration. The next
d,ay all, of Wilson? s conditions were accepted.
When the President' aI'lexecutive order" granting dictatorial powers
to Wilson in the military mobilization of the United States economy was
published in the o.ewspapers, even the worldly-wise Washingtonians gasped.
:It was stated in the order. _that Wilson would "manage, control, and coordi-
nate all activities of the government in the field. of mobilization...
Ze can realize such functions through such officials and such organs and
in such a manner as he sees fit..." Any previous order or directive of
the President which conflicted with this order, was superceded.
? 1 ,
The Wall Street press, choking, publicized the newly-made economic
dictator. , Business Week, an organ of big capital, condescendingly patting
Truman? s shoulder, wrote that there was no need. to persuade him and prove
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to him that it was proper in this manner "to lash the country With a whip
In order to place it in a position Where it could wage war." "The powers
conceded to Wilson," wrote the magazine, "permit him to interfere in
qmestions of taxation, foreign policy, an even leadership of military
operations (in Korea V.), so far as questions of military supply
are Concerned."
The Morgan press did not conceal its jubilation. Morgan's com-
petitors were passed over; the distribution of military contracts fell
into the hands of "his own man." The Morgan magazine Life was delighted.
It wrote that Wilson received "the broadest powers ever conceded a United
States civilian, outside of the President himself." "The Office of
Defense Mobilization," the magazine observed, "Is a super-secretariat
whose task is to expand sharply industrial production for war. It will
operate as a council which develops policy and issues orders to all other
organs connected with defense."
In blurting out the innermost secrets of the American governmental
machine, which consists of serving the monopolies, the Morgan magazine
revealed the secret of government leadership in America. "Members of
government over Whom Wilson has certain power" it wrote, "will act as
directors of corporations with Wilson as head of the board. Directors
of governmental organs will represent vice-presidents of companies, each
of Whom answers for his particular department and all of Whom are
accountable to Wilson. Thus, the Morgan magazine compared the United
States government to a concern at the complete disposal of the magnates
of financial capital. The comparison is a fully legitimate one.
Armaments production, which was not curtailed by Wall Street after
the war, was now sharply increased. From now on, everything in the country
was subordinate to the general plan of monopolistic capital of the United
States; gnus, guns, and more guns. This program left its mark on every
field of public and political life in the country. One of the Washington
magazines declared in plain terms that Wilson headed a machine, "which
will control the daily life of every person" in the United States.
* * *
Opposite the left wing of the White House is an old-fashioned building
ornamented with pretentious flourishes. In former days there was located
here the State Department, in Whose many offices sat the diplomatic hench-
men of Wall Street. Here Wilson resided with his numerous bureaus and
committees. The empty corridors and vestibules were filled with hundreds
of officials. Many did not have sufficient room, so anterooms and hall-
ways were subdivided by numerous partitions.
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Over the,bastling, noisy crowd reigned the voice of Wilson, Who
spoke by telephone to one or another office. Gruff, unrestrained in his
expressions, Wilson often used words which even the impertinent American'
press could not repeat. He issued orders, demanded, threatened, and
berated: The machine of military production, Whose tentacles covered the
entire United States economy, was turned upside down and gathered momentum.
Newspapers published diagrams of the new system of administration
of the United States war industry. From a portrait of the new "economic
dictator" in the center of the diagram stretched thick, black threads
of control, like a spider's web, to countless circles, squares, and
rectamees depleting the different fields of the American economy.
Morgan's deputy seised machins-tools, ray materials, and the labor force
and Concentrated them in his mina greedy, tenacious hands.
The administrative apparatus of the "industrial mobilization" became
known in Washington as "the second Cabinet." Wilson appointed more than
100 representatives of the largest monopolies on Wall Street to the most
important posts in this cabinet. Twenty of them formed a tight, internal
circle representing the Morgan "government within a government" and
directing affairs in Washington.
,Allhot were these people? Whom did they represent? Whose interests
did they uphold? Whose business did they promote? For Whose sake did
they come to Washington, forsaking profitable, plush jobs on the boards
of banks and.. industrial concerns?
Wilson entrusted the selection of "his people" for the most important
posts in his off100 to banker Sidney Weinberg. It was said in Washington
.abeut_thisamall:Hactive, lively man with bustling mannerisms and hurried
speech, that he is not only a symbol throughout all large businesses of
the,mutry, but is also excellently informed on the actual state of their
affe4s.
WW,Aberg is a partner in the well-known Morgan bank of Goldman-Sachs.
Re is a member of the board of 13 large Morgan companies. _Weinberg
appointed representatives of large Morgan companies to magiAiportant
posts in the system of the Office of Industrial Mobilization. When the
:American press, prompted by Morgan's resentful competitors, raised a
fuss over this question and Weinberg was forced to retire, all the chief
pests of Wilson's office were filled by direct representatives of the
Morgans. The Morgan Moor had done his duty.
liesUltswere not long in coming; the profits curve began to rise
abruptly.
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. During this year following Wilson's appointment as "economic dictator"
profits of the Morgan General Electric increased 81.9 percent; profits
of Morgan's Continental Can rose 35 percent; and Morgan's Kennecot
Copper increased its profits by 102.9 percent. Yearly profits of monopolies
in:theiJnited States reached an incredible level, exceeding $50 billion.
Here is where the genuine roots of the frenzied arms race lay, and where
the initial causes of the aggressive ventures of the United States beyond
its borders profits -- are found.
*5*
What does Wilson, this former powerful boss in Washington, represent?
According to Time, his father died When Wilson was three years old. The
family lived in the western port area of Lower Manhattan in New York --
in wretChed slums which recetwed the curt nickname among the people of
Kitchen." Great physical strength and a gruff, aggressive nature
helped young Wilson to become ringleader in one of the many gangs which
prepared neighborhood youths, transformed into inveterate criminals by
capitalist conditions, for gangster "business." According to Time, many
childhood friends of "the second. President" of Ulf:United States, as the
press subserviently called Wilson, are now serving lengthy prison
sentences in famous Sing Sing Prison.
Wilson never made a secret of the fact that striving to get rich and
make a fortune was the basis of his living philosophy.
"I always wanted to make more money," he later related cynically in
his biography. "And as quickly as possible."
possessing great practical gumption, Wilson decided that the
gangster business can bring only temporary profits. Either land in
prison or, what is truer, be destroyed by a competitor in overt robbery.
Wilson decided to undertake completely "legal" robbery, and where more
profitable than Wall Street, located next to "Hell's Kitchen."
At the beginning of the century, When Wilson went to work at the
Sprague plant, later turned over to Morgan's General Electric, the
workers sought to stick together to repulse their bosses and their
watchdogs -- the foremen. This did not sait Wilson. He decided to deal
with the boss by, himself.
In plants, shops, and mines of America, workers waged a tense
straggle to Organize trade unions. Plant and factory-owners replied to
this struggle with cruel repressions and secret murders of trade-union
organizers. Shots often rang out in narrow alleys at night. Leaders of
workers engaged in the one-sided battle with monopolists were felled by
police bullets.
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-120it Wilson advanced steadily forward. In 1923 GerardSwop; president
of GeneraIElectric, Who had long noticed Wilson, appointed him chief
engineir'et'a plant of thisMorgan company in. Bridgeport (Connecticut).
AioOnifiXson_became assistant vice-president of this company and in 1930 --
its Vicepresideni, When Swope retired, Wilson was appointed to the post
Or President of Genera]. Electric, At the same time, he became a member
Ofte board's of the Morgan rubber company Goodyear Tire and Rabber and
the Morgan bank Guaranty Trust. He became owner of 2,698 shares of
General Electric. His galaxy reached $200,000 a year, not counting
different gratuities. The young assistant boss of the Sprague plant had
become a partner to the largest imperialist plunderers in profits and
exploitation of workers.
Profit was the chief motive for all Wilson's actions in the service
of the 'Mar:genii.
Th intrusive businessman had only approached the top of the hierarchy
in GeneralXeCtrio When be developed an increasing interest in government
polite in Washington ,This matter, of course, was not his sole personal,
interest. '71heritorgans needed mailed fists similar to Wilson in government
posts. Even in 1933 Wilson held the post of deputy director of the National
Recovery Administration, created by Roosevelt. .
-Wilson was ordered to Washington for the second time in 1942. His
secret task was to provide his firm and other Morgan companies with the
largest possible number of military contracts and scarce raw materials.
Being in ..the War Production Board, he .quickly started a noigy-'
squabble with the deputy director of the Board, ,Eberstadta
banker, who managed the distribution of raw materials and who represented
the interests of the banking house of Dillon, Read, and Company. When
the skirmish had ended, Eberstadt had been driven into retirement and
WilioilladHbeen appointed in his place.
,
Relating this commonplace episode from the point of view of the Wall
Street morals, Wilson's biography states that while occupying Eberstadt's
position,.. the Morgan henchman "directed materials where they were most
needed." One can imagine that they were "most needed" by Morgan companies.
In Washington the Morgan henchman behaved like an all-powerful boss.
At one of the meetings of the Aircraft Industry Committee, the chief of
the Servicesof Material Supply of the United States Army, General Brehon
Somery,41 (now president of the Mellon Koppers Company), forgetting
that 4t was the chief of American militarists and ,not their servant Who
sat before him4 attempted to raise his voice to Wilson. Wilson jumped up
from his place, rem over to the general, and seizing his collar, began
shaking wish such force that the medals and badges of excellence on his
breast began to jingle. Growling something and reddening, Somervell
humbly remained in his place. Since that time the general has displayed
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the greatest respect in dealing with the deputy of Well Street. But,
In the words of the newspapers, "Of the many nicknames conferred on Wilson
In Washington, there were many Which were unprintable.!
The ambitious efforts of Wilson were not hampered by the War Produc-
tion Brd. e waved inupu J.ntruesegel4et'Aild .-numercua
rivals and competitors. Washington newspapers reported at this time that
Wilson had. arranged for the wire-tapping of telephone conversations in
the office of his chief rival and competitor, the then Secretary of the
Navy, James Forrestal of the bank of Dillon, Bead, and Company.
A noisy scandal broke out. Nothing remained for Wilson it to
deny the accusation. The newspapers published a refutation conveying
their spologies to Wilson. There were few-people in Washington Who
doubted that Wilson simply compelled the newspapers to "eat their words"
in order to shield himself from the unpleasant incident in Which he had
become involved.
While in Washington, Wilson energetically increased the profits of
the Morgan General Electric or GE, as the American press sometimes called
it for short. During Wilson's tenure in the post of director of aircraft
production, the industrial empire of the Morgans increased by 35 plants
and the number of workers rose to 94,000. Physical output of the indus-
trial production of GE increased five times. Does not this testify to
how the imperialist monopolies of the United States grew rich and profited
from war?
The second world war was nearing an end. Wilson's task was completed --
GE had picked up many billions of dollars of military contracts and had
been transformed into one of the largest "dealers in death." Wilson
retired from government affairs. In 1944 he was again "elected" president
of General Electric.
* * *
If Charles E. Wilson had been inclined to reminisce While sitting
once again on the board of the Morgan concern of General Electric in
Schenectady, New York, he could have recalled several incidents of great
value to the concern. During the first 50 years of its existence, this
Morgan concern (four representatives of Morgan banks sat on its board)
achieved a monopolistic position in the capitalistic world. Sixty per-
cent of all American electrical machine-building production belong to it.
Even at the beginning of the century General Electric, together with the
German :Universal Electrical Company (AEG) exercised almost complete rale
of electronic equipment in the world market. Toward the end of the second
world war, the Morgan giant of the electrotechnical industry proceeded
to seize the productive might of all its rivals and competitors. After
the war General Electric gained large amounts of stook (from 15 to 49
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percent) in electrotechnical firms in Japan, West GermanYi Frances inglando
italyi Morocco, Austria, Belgium, Chile, Holland, Spain,-Sweden,:and
Turkey. The GB trademark was stamped on articles mamnfactured In plants
in Argentina, Brasil, Mexico, Uruguay, and South Africa. According to
James Allen, an eminent American economist and expert on monopolies in
the United States, almost one quarter of a million workers are employed
in. firms under the control of the General Electric concern or connected
with it outeide of the_Dnited States. Within the United States, While the
incalallable profits of the Morgans multiply, more than a quarter of a
million workers toil in 153 plants of the concern. The production of
the General Electric concern is worth mom than $3 billion.
An analysis of the profits received by this Morgan concern showed
that its yearly profits were approximately 19 percent of the capital
invested within the United States and 94 percent of the capital invested
abroad.
The arms race and production of weapons for the destruction of
people has always been a source of enormous profits for General Electric.
After the second world war the bosses of GE, the Morgans, displayed no
intention of abandoning profits in the war business.
or this reason,' it January 1944, speaking to the so-calledAnnyArma-
Meattp,Asp904#944fricanOrdpancVissodatian?]WilsoncalledfartteimpleMtntation.
fte them,.ef a broad program Which would enable the United States
"to be constantly prepared for war, industrially and technically.?
The.Morzan General Electric concern is now fulfilling this program.
MiliaryProduction of this concern constitutes nearly 45 percent of its
total, Jet engines for bombers and fighters, atomic engines for wol-
Wlnes, rocket weapons, military communications equipment, including the
newest and most highly specialized types -- these are only a part of the
list of articles for whose manufacture GE receives enormous contracts
from the United States Armed Forces.
fl..AeOret_A.entracta for research. and design in the field of radar,
sonarlsound-locater equipment), guided missiles, and aviation devices
are. aligmentipg.an. already large volume of contractsPwrotetheMagmdmeafUall
15t1 gad 1),:s.inemAn3jai 29 September,1956. Tais verymagazine announced that
the GE concern is"guaranteed leadership" in the field of military con-
tracts, whiCh it accepted in 1955 for no more and no less than $570,200,000.
The main objective of profits for this concern now is the produc-
tion of atomic and hydrogen weapons and the scientific-research work
connected with this production.
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After 1946 when the Morgan General 'Electric won out after a lengthy
competitive struggle with theDaPon-Wover the production of plutonium
in Hanford, Gil became a monopolist in the manufacture of the main integral
component of atomic and hydrogen weapons. In truth, the Hanford plant
formally belongs to the American government. GB only "manages" it.
This, however, does not prevent it frti obtaining solid profits disguised
as expenses in the management of thieplant. In 1949 this concern
received from the government commission on atomic energy Which directs
all atomic enterprises in the United States. $120 million to defray its
empenses in producing plutonium.
Naturally, the Horgan monopoly has not lost sight of the vast
opportunities Which the use of atomic energy for peaceful purposes creates
in the way of profits for capitalist concerns. In his thorough study,
Atomic Imperialism, James Allen presents a rather indicative statement
by the vice-president of General Electric, Winne., to the Joint Commission
of t4e, Congress on Atomic Energy.
Chairman: Doctor Winner, General Electric will naturally enjoy great
advantages in comparison to any other firm which is active in the produc-
tion of electronic equipment when it becomes possible to use atomic
energy for peaceful purposes.
Winne: In My opinion the basic consideration Which we are guided
by generally in this matter (Atomic energy), is the fact that atomic
energy to a lesser degree is fully capable of becoming a contributing
factor in the production of electrical power in the future with greater
ease, its dissemination over much wider areas, and at much lower prices
than at the present. Any work of such a nature is of interest to General
Electric...
But let us return to Wilson. This sworn enemy of the organized
labor movement in the United States went at one time, on behalf of the
employers-of the staff of the so-called National 3LabOr RelatiOnsI
Board?) a strikeb?eaking,governMentotganizatiorC.rereated tO
stifle the strike movement in the United States.. Be made every effort
to unwrap the American military machine, to prepare for a now arms race
and a new war.
Together with his numerous partners, Wilson increased reactionary
terror against all progressive organizations, against the American people
who abhor monopolies and their policy of the arms race, aggression, and
war. In different committees of the National Association of Manufacturers,
in which large monopolies of the United States rule, directives were
worked out in the struggle not only against Communism, but against all
progressive, anti-military sentiments of workers. In August 1954, a law
went into effect which banned the Communist Party of the United States.
Another step was taken by the will of big capital on the road to reaction
and fascism.
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.40* WaShIngtenzestapo -- the Federal Bureau of Investigation (FBI)
and.",imestigatory" commissions in the Roast, of Representatives and the
Senate --spies on American citizens day and night. The Wilson apprentices
and.their partners in profits from military business -- the lastlands,
Jenners, Faith's, and others -- are frantically raving.
,
Several years ago the Morgan General Electric stepped up its attack
on the progressive trade-union of workers of the electronic and radio
industries, attempting to disrupt and destroy it. The notorious Senate
Subcommittee on investigations was summoned to Schenectady, New York
where large General Electric plants are located and to Albany, New York.
,:li:717:9'The commission immediately got down to work: it summoned the trade-
union bosses and the rank-andr-file workers and subjected them to an
inquisitorial cross-examination. To each was posed the same question.:
"Are you not a mentor of the Communist Party of the United States?'
Even before the meeting began, the General Electric concern announced
that everyone Who refused to answer the questions of the commission would
be fired.
:71.7rit
But workers gave the inquisitors a fitting rebuff at the meeting in
Albany. Amid the storm of applause of workers in the audience, A. L.
Owens, a welder, angrily retorted to the notorious obscurantist Joe
McCarthy, the chairman of the subcommittee:
1.Lhave no rights before this fascist commission. Your Ku--Klux---
Klan commission intends to deprive me of work. Why dont you, you fascist
loafer, undertake an investigation of the activities of General Electric
and-the-profits which it extorts from my people?"
The commission was compelled to break off the meeting. Followed
by the, contemptuous hooting of the workers, it ran back to Washington
under ?..a. heavy policy escort.
'
0harleigOwardlitIvOuianot formally in power now; he does not hold
an ogicial,post in the government apparatus of the United States. Ke
is tin,..0M-X9Serves of. Wall Street. Charles Edward Wilson, whom the
American press calls "Electric Charlie" was replaced as president of
the Morgan concern of General Electric by Charles Erwin Wilson, whom the
newspapers nicknamed "Motor Charlie," a deputy of big capital and the
president of the 1)u Pont-Morgan concern General Motors. The far from
accidental succession was reflected in the accidental circumstance of the
almost complete coincidence of names. No matter who predominates in
Washington, the Republicans or the Democrats, the real power lies in the
hands of large monopolies Which reign within the government apparatus
of,the Urdted States.
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Just as before, henchmen of monopolies grab military contracts from
each other; just as before, they create international conflicts and
strengthen tension in international relations. And the straggle against
their criminal activities is, as before, the chief task of the people and,
above all, of the people of America.
The Bank of the Dillons and Its International Ventures- V. Morey
Once, in one of the buildings of the French Council of the Republic
in Luxembourg Palace in Paris, a verbal inquiry was made to then Prime
Minister of France, Mendes-France. The prime minister was asked whether
he deemed it necessary to protest immediately "against announcements and
speeches of government figures and ambassadors with whose aid leaders
and representatives of the allied governments -- England and America --
in defiance of international law and customs, unhesitatingly and openly
exert pressure on the government, the parliament, and public opinion of
our country by recommending to the parliament that it approve a treaty
which it did not sign itself and Which is so poorly conceived and composed
that no one at the present time can doubt its ruinous effect on all of
Europe."
Let us elucidate. The speech concerned the usual American maneuver
designed to compel France to ratify a treaty for the creation of a so-
called "European army." Unprecedented pressure was exerted by Douglas
Dillon, then American ambassador in Paris, speaking before the Associa-
tion of the American Press in Paris on 29 Jane 1954. Recalling quite
unceremoniously the dollars Prance received through the Marshall Plan,
the American diplomat intimidated the French, threatening them with un-
restrained arming of West Germany. Arming for What? In France this was
well understood, too well.
Those who knew the hidden circumstances of the matter were not ear-
prised at the statement. Douglas Dillon represented in France not only,
or perhaps, not so mach the United States as the famous investment bank
of Dillon, Reed, and Company which has long been connected with the
German military-industrial machine, financing it and pushing mobilization
for its OVA capital. Douglas Dillon has given long service to this bank.
As early as the age of 22 he was a member of the New York Stock Exchange
and at 29 -- vice-president and member of the board of Dillon, Read, and
Company, From January 1946 until January 1953, he was its president.
Receiving the appointment of ambassador to France, he left the bank,
but maintained close ties with it. In all his activities Dillon was
governed by its interests.
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this was no accident.lio:diebutClarencerdUo;tbe Dallerofthe present,-
da y banker ,diplomat, transformed the -banking .house of William Read -
into What it is today -- a bank which exerts influence on the foreign
policy of the United States and engages in large-scale internatiOnal
ventures directed toward the preparation and launching of new world wars.
According to an American magazine Avert World War III the William
Reed banking house, located. on Wall Street in New York, quite recently
wai-eaected from among ten other banks for its significant capital and
influence on the large financial hierarchies of the United States. Its
coiveriiOnlnto a plunderer of the first magnitude reverts to that time
which Clarence Dillon was in the bank. Read entrusted to Dillon the sale
of Stook at the largest industrial center of the country -- Chicago.
Dillon zealously undertook thisbrokerage job. A cunning dealer and
expert 1n the psychology of the American wealthy Who are prepared to go
to any length for profit, be engaged in several speculations which netted
large profits not only for, the bank but for himself. Resourcefulness
and the ability to make a profit under any circumstances were Clarence
,D1I1onts:best recommendations. In 1919 be worked in the office of the
.
lead -bank in New York as its vice-president. The profits of the William
Readiminking house grew. And Dillon grew. Soon he gained such great
influence in the bank's affairs that he became its president.
On the eve of the 1929-1933 crisis the banking house -- now called
Dillon, Read, and Company -- took the first step on Wall Street in
spreading out its brokerage operations, whose volume was $3 billion a
year;
The Dillon bank quickly found the most profitable field for its
activities -- it reinvested practically all of its capital abroad. This
was the bestmethod to penetrate the economies of foreign states, to place
them at the service of its own mercenary interests, and to assure itself
fabulous profits. The bank offered loans to Brazil, Holland, and Japan.
For a Short period it became enmeshed in promissory notes of nearly a
dozen Latin. AseriCan countries.
The Dillon, Read, and Company banking house was one of those which
financed the German military machine revitalized after World War I. On
5 January 1932 Dillon boastfully declared, "During the postwar period
the slim total of loans executed through us -- I do not include loans
executed by other banking houses or in Which we placed small sums -- was
equal to $1,491,228,549." The statement concerned loans and credit for
revitalizing the military-industrial potential of Germany.
The Dillon, Read, and Company bank, together with the National City
Bank Which belonged to the group of big bosses on Wall Street, served as
the basic channels through which American financial magnates were in-
vesting in German industry profits made during World War I. Prior to
1932, these two banks floated 20 German loans in the United States.
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HPenetrating into the German economy, whose conversion to a military
economy had been prepared by Krupp, Stinnes, Thyssen, andSChaeh, the
banking house of Dillon, Read, and Company together with the Morgans,
Rockefellers, and other American magnates exerted decisive influence on
thaTolicy of German monopolies. It is no accident that the head of
Ferman metallurgical concern, Fritz Thyssen, once declared in answer to
a question concerning his attitude toward the notorious Dawes Plan kl);
"My position was determined Chiefly by What an American banker told me.
I have in mind Clarence Dillon, Who represents the banking house of
Dillon, Reed, and Company, with which we had quite friendly relations."
Some time later the same Thyssen published a book in which he related
with cynical frankness how German monopolies cultivated Hitlerism and
brought Hitler into power. The book was boastfully entitled "I Paid
Hitler."
Not only did Thyssen and Krupp pay Hitler, but also his followers.
Wall Street monopolists reared fascism and aggression. The financial
suppOrt of the ruling circles of the United States, by rehabilitating and
renewing the heavy and military industries of Germany, was the most im-
portant prerequisite to fascist aggression. The Morgans, Rockefellers,
and Dillons paid Thyssen. Thyssen paid Hitler. Hitler prepared for a
bloody war of nations.
* * *
Several days after the end of World War II two gentlemen appeared
on the board of directors of the German ferrous metal concern, Pereinigte
Stalverke in Dusseldorf. One of them with a short, passerine nose and a
crude haircut with a part, was Paul 1Rite, vice-president of Dillon,
Read, and Company banking house. The gentlemen represented a special
Americaa organization, officially created to determine the extent of
damages inflicted on German and Japanese industry by Anglo-American
"strategic" bombers and, essentially, to establish to What degree the
capital investments of American bankers in these countries suffered..
Nitze was vice-chairman of this organization, which was called the
"Strategic Bombing Survey" (Study of Results of Strategic Bombing). It
is opportune to point out that this organization affirmed that only 15
percent of the industrial power of the Fereinigte Stalverke was destroyed
by bombers. American generals knew where not to drop bombs:
(1). The Dawes Plan was formulated by the American banker Dawes and
instituted in 1924 at the London Convention of Victor States #. the first
world wir. The Chief purpose of this plan was to strengthen German im-
'pail:a/ism and revive German militarism, with whose aid imperialists of
all 'countries intended to destroy the USSR.
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JI,114,?V - and his companion demanded that they be directed to Walter
Bochlandt,Noecainelthedtectorarttecoodernwho was appointed to this post by
HitlerJiS4S. The American spent ten pleasant days in discussions With
Rochland; the old partners in commercial death net and they had much to
talk about. The, content of the conversation between Nitza and Rochland
woad have remained unknown had, not officials of the section of decarteliaa-
tion if tlelimertoanMilitary Government in Germany examined the archives
of EerePligte Stalverke shortly afterwards. They found a copy of a
letter 1,0404.4414.44,Wrote to one of his friends after this visit.
The letter reported that during their ten-day stay "as guests" of
Rochland, Bitzt and his companion discussed with him the problem of the
German,milttary industry!s rehabilitation. Eitze then assured Rochland --
an old,SAW Of,bilitQwW.Va0k.-- that he and. his colleagues had nothing
to fear and that "nothing would happen" to their shops, mines, and plants.
Bochland enthusiastically corresponded with monopolies in Germany, the
United,States, and Eggland and the "bridge of friends" was reconstructed.
? ReetgratiOP,of tbe,"bridge of friends" was entrusted to William per.
This_talls young banker with a drawn face and short delicate ears, served
eacceeeful.l.y..in the rear services during the first world war and thus
heax4 nOt gunshot throughout the war. When the war was ended,
Draper, who had time after all to acquire the rank of major, joined the
Dillon, Bead, and Company bank.
?tting behind his desk in the bank and correcting profits summaries,
the young banker nonetheless advanced within the military ranks. Soon
he was promoted. to lieutenant colonel and later to colonel. Simultaneouar
his advanoement,in his banking career continued. He became vice-president
of the, Dillon, Read, and Company bank.
When_the_second world war broke out in Europe, Draper in 1940, trans-
ferred his_servicev to the War Department located in Washington. The
resouroefal)ankor found a safe place for himself here. He was appointed
chief of_the !gurlough:Group, Morale in the Army Section".
';t Was 1941. The United Staten had entered the war. But the Dillon,
Rea4, and Company bank had no intention whatsoever of subjecting its vice-
president to the dangers of war. In March 1944 banker Draper, who by now
had reached the rank of general, was transferred to the headquarters of
the American army, to the section on military contracts. He served there
until the end of the war.
entions of Draper began to appear in the American press as the war
neared to an end and Soviet guns pounded the den of the fascist aggressors.
quickly liquidating his supply affairs in Washington, Draper, in May 1945,
was sent to Germany literally days before the end of the war. Concealed
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as a harmless economic advisor to the American military command, "Oeneral"
Diaper, vice-president of the Dillon, Read, and Company banking house,
went to MVO the German clientele of his bank from destruction -- the
Hitler cartels, to revive old ties with them, and establish new ones.
Draper was not sent to Germany alone. He accompanied a group of
representatives of large Wall Street monopolies deeply interested in
preserving the German monopolies in which they had large capital invest-
ments. Among them was Phillip Reed, chairman of the board of the Morgan
General Electric; Rafts Wiser(?)director of Republic Steel Corporation;
appointed later to head the department of ferrous metals of the economic
administration of the American Military Government in Germany; and a
certainrrederickDevereu4, former president of one of the many affiliates
of Morgan's International Telephone and Telegraph Company.
Arriving in Germany, Draper quickly surrounded himself with repre-
sentatives of German banks and monopolies with Which the Dillon, Reed,
and Company bank had close business connections before the war. As
his closest advisor he appointed the German financier A. Kreiter, who for
many years headed the German Credit and Investment Corporation, estab-
lished in 1920 through American loans and Whose obligations were held in
the United States by the Dillon, Read, and Company bank.
It is quite interesting that the Kreiter corporation, which was
closely connected with the Dillon, Read, and Company bank, organized a
special banking syndicate in 1942 to plunder European countries occupied
by German Hitlerite armies. Although the snydicate-maraader, which was
called Societe. du Credit Internationale, was located in Vichy, banks of
Hitlerite Germany were active in it.
But let us return to the postwar period. . With the aid of a group
of people selected by him, Draper entered upon the realization of a Wall
Street program aimed at disrupting decisions of the Berlin Three-Power
Conference, which was committed to liquidate Nazi cartels and the German
military-industrial potential.
The story of all the intrigues of Draper, Wall Street's deputy,
would take mach space. We shall limit ourselves to merely a few, of them.
Omm_of Draper's first moves was the rescue of German war criminals --
leaders of large German financial and industrial monopolies. .How was
jaie 4onP3 First of all, Draper saw to it that Judges were chosen Who
:were obedient to Wall Street. Robert Jackson served as chief prosecutor
At the trials of_ war criminals at Nuremburg. He was a member of the
United, States?Suprene Court, the same man about whom the famous American
journalist George Marion wrote: he advised former President of the United
States Truman ''not to conduct trials of war criminals Who were industrial-
ists in common with Russians, Englishmen, and Frenchmen," because "the
Russians are unmasking the role of big capital in war and aggression."
On Jackson's advice, the President announced that the United States would
conduct this trial separately.
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13y that time the selection of judges had. been undertaken by the then
Assietant Secretary of War, Patterson, who had direct connections with the
occupation government of West Germany. He was closely connected with the
ksifilmlafennadildeGaisdadr,[8wEdnel and Wood, which represented., at that
time in the United States, the interests of the omnipresent German monopoly
of I. G. Parben and. received large fees for services rendered to it.
4!,
Is it no wonder that the American judges selected in such a way
attempted to relieve their German Wall Street partners of responsibility
for profiting from wars and imperialistic usarpationl
In the spring of 1948 the trial of 1RqmaxISchmidt, George von
Schnitzler, Karl Krauch, Max Ilgner, and others, directors of the I. G.
Farb= monopoly-octopus, ended.
The people who headed IGF completely admitted their responsibility
for the policy of war and aggression conducted by the Hitlerites. Never-
theless, they were adjudged innocent "of crimes against peace and criminal
conspiracy to wage aggressive war." Merely to calm public opinion, 13 of
the 22 accused were sentenced to short prison terms.
How did Draper and his apprentices from Wall Street disrupt the
program established at Potsdam to liquidate Nazi cartels?
4
In September 1947 Martin, former director of the department of so-
called decartelization of the American Military Government in Germany,
published a series of articles in the New York Post in which he presented
interesting information on Draper's activities. Martin asserted that
"reorganisation ?cartels in Germany has been cancelled and an opporta
nity has been given to Basis to resume their old posts." /t is hard to
believe, reported the Hay York Post on 8 December 1950, that 20 large
German steel concerns have become "stronger than ever before."
Here, for example, is how American monopolists have "revived" the
German cartel of Robert Bosch, which produces electrical equipment for
automobiles and aircraft engines. The Daily Compass gave an account of
this history on I March 1950,
The Hertsos brothers, who representedBosch's concern in Athena before
the war, opened the Industrial Products Trading Company in Switzerland.
Although the Hertsos brothers maintained that they had founded the company
on their own capital, it was clear that they were dummies.Bdaehv had loaned
them the basic capital. Thelfosch commercial traTelers permitted Americans
to take part in this company. Upon the recommendation of one of the offi-
cials of the American, Military Government in Germany, whose name the news-
paper did not give, they enlisted Major General Wilson into the company.
One-,third of all the company's stock was transferred to him without
charge. Actually, this was a poorly disguised bribe.
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One of the numerous Washington commissions Which investigated the
activities of the American Military Government in the United States
summed Wilson for qaestioning in connection with this affair. "How-
ever," wrote the Daily Compass, "the fact was that the general was very
intimate with Clay (then American deputy in West Germany) and his deputy
General Hayes." Moreover, Wilson was also intimate with another general,
Vaughn, aide to former President Truman. His shady transaction was left
unpunished.
With the loyal collaboration of German monopolies, who were prepared
to betray the national interests of the Germany people, American capital
rushed into the West German economy, capturing its most important sectors.
The New York Times in November 1949 wrote that the foreign affairs ministers
of the United States, England, and France received a memorandum from West
German circles appealing for strengthening of foreign (i.e., American)
capital in the German steel trust of Fereinigte Stalverke.
Negotiations were quickly began concerning the transfer to American
companies ?Du.Pont's General Motors, Morgan's General Electric, and the
Ford company -- of stock in the Fereinigte Stalverke steel trust in
Dusseldorf, essential plants of Knapp, the machine building concern of
Mannesmang,the Otto Wolf concern, and others.
While Draper and ..Nitze- operated "locally" in the name of profit
for the Dillon, Read, and Company bank, James Forrestal, former president
of this bank, ruled in Washington.
Forrestal obtained viick promotions in the bank. In 1923, seven
years after his joining this bank, he was joint owner of it. Forrestal
played a prominent role in credit operations for German heavy industry,
the basis of the German military.-industrial potential.
In 1937, he became president of the bank, replacing Clarence Dillon,
who had temporarily retired from this post. Forrestal used transactions
with German monopolies to take part in the direction of these monopolies
and share in their profits.
In 1941 and 1942 Forrestal, being Assistant Secretary of the Envy
of the United States, was a member of the board of an American affiliate
of I. G. Farben -- a company called General Aniline and Film Corporation.
Before the end of the war Forrestal became one of the chief repre-
sentatives ofAinll Street in Washington who directed the United States
policy of renouncing international collaborations. In May 1944 he
decieively opposed ideas for establishing an international organization
of peace and security, about which negotiations were then being conducted
which would lead subsequently to the founding of the UN. Forrestal
declared plainly that "the basis of any new international system ...
must be the naval and air power of the United States Navy."
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Attempting to provide a "theoretical" basis for his aggressive
activities, Forrestal openly advocated the Hitler "theory" that war
supposedly represents "the normal state of mankind."
Such statements were mere hollow declarations. Attempting to
realize quickly the general plans of Wall Street for militarizing the
country, Forrestal promoted feverish activity aimed at reorganizing the
armed forces. Hie efforts to a significant degree made possible the
creation of the so-called Department of Defense -- the unified center
which directs the aggressive military machine of the United States.
James Forrestal was appointed Secretary of 'Defense." In. March 1947,
urging the Senate Armed Services Committee's swift adoption of a. project
to combine the armed forces, Forrestal declared that this project "will
enable the United States to use its entire defensive force against any
future enemy.. .to insure the agreement of foreign and internal policy,
the civilian economy, and military demands, and will foresee the cease-
less fulfillment of United States needs for raw materials."
The international public estimated the true worth of Forrestal's
feverish activity, which was aimed at militarizing the country, When it
nicknamed it the "Forrestal war."
The Dillon, lead, and Company investment bank, with which Forrestal
Constantly maintained close ties throughout his stay in the Pentagon,
had long since fulfilled numerous missions for the Rockefellers, the
American "oil kings." When the Rockefellers organized the Arabian
American Oil Company (ARMCO) to steal oil riches from Saudi Arabia, a
company in which there was only one Arabian name, the Dillon, Read, and
Company bank floated several loans for the Rockefeller oil companies on
the New York Stock Exchange for $185 million. In one year alone (by
far not the most profitable) ARANO paid the two Rockefeller companies
$22 million in profits. At this time a large sum found its may to the
Forrestal bank of Dillon, Read, and Company. It is not surprising then
that all of Forrestal's activities smelled strongly of oil.
While still Amsistant Secretary of the Navy, and later as Secretary
Forrestal bought oil for the United States Navy from Rockefeller's ARMCO
at $1.05 a barrel, When it could have been purchased at $0.40 a barrel.
How mama of this money found its way to the personal account of Forrestal
remains a secret.
Forrestalls shady oil transactions caused quite a sensation. Com-
petitors of Rockefeller oil companies opened a campaign arOand these trans-
actions. But, as the New York Post reported on 22 May 1948, Forrestal
hushed up the affair in the end. It is quite characteristic that statements,
as a decisive argument against such investigations, were expressed to the
effect that an investigation leads to the secret sources of American policy
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and enables the democratic foreign press to "compromise," that is, unmask
and dhow in an authentic, unfavorable light one of the inspirers of the
aggressive American policy of the arms race. "the cold war." and the
policy of force.
* * *
In Bethesda, one of Washington's suburbs, not far from aibreadlhighmay
rises the sombre, tall, narrow, like an elevator, building of the Naval
Hospital., Here on a Kay morning in 1949 on the veranda of the third floor
was' found the body of James Vincent Forrestal. Be had jumped at night
from an eleventh-story window. Thus did the former president of the
Dillon, Bead, and Company bank, the great leader of Wall Street, the
inveterate enemy of peace, the initiator of numerous imperialistic
ventures of American monopolies end his life. But Forrestalti colleagues
in the Dillon, Read, and Company bank are continuing his activities, which
were inimical to the interests of the people.
The diplomatic office-: of Douglas Dillon in Paris bearing the sign
"United States Embassy in Paris" is operated in grand style. According
to an August 1956 issue of United States News and World Revort, the
staff of this embassy consists of 2,465 people (It). It is located in
seven buildings and $11.5 million are expended each year for its mainte-
nance. Special telegraph lines connect it directly with American
0,311;0413stef4 in London, Rome, Brussels1, The Hague, the Scandinavian coun-
tries, Bonn, Tunis, and even Karachi. "The communications system," the
magazine wrote, "testifies to the scale and complexity of the functions
of the United States embassy in Paris, which are partially dictated by
its geographical location in the center of Western Europe. This network
was created ata time When Paris was the regional headquarters for ful-
fillment of the Marshall Plan, When the United States was expending up
to $5 billion a year in aid to many European countries. This network
was expanded when D. Eisenhower directed his activities from Paris While
creating the KATO army with the aid of billions of American dollars and
weapons." The magazine noted that many small American missions are also
found. in Paris, representing 15 US government establishments and organiza-
tions, which fulfill obligations abroad Which the development of events
demands as, for instance, strengthening American military power in the
world. "Ambassador Dillon," the magazine concluded, "coordinates the
activities of all American representatives in Paris."
The Dillon, Read, and Company bank and its agents weave their in-
trigues throughout the entire world. But the democratic people of the
entire world keep a vigilant watch over this mischievous activity.
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Llat4311714""3-7; N. Hovosel'skiy
on the -morning of 6 Angust 1945 an American heavy bomber dropped an
atom bomb on the Japanese city of Hiroshima. Later a second atom bomb
was exploded, this time over the city of Nagasaki. Tens of thousands of
peaceal citizens were killed and maimed. Harry Tram, then President
of the United States, gave the order for the atom bombing of these
lapfanfs'i
course, the barbaric maps killings in, Nagasaki and Hiroshima were
not provoked. by any military necessity. The bombs were not dropped for
the purpose of speeding the war's end. There was another purpose here --
to set the stage for atomic blackmail and to intimidate those who opposed
American plans- to establish the world sapremacy of Wall Street imperialists,
monbpoly in the field of atomic weapons was viewed by ruling circles
in the United States as a reliable guarantee that these plans would be
crowned.with success. But this monopoly had been in existence for only
a short time, In 1949 the whole world learned that the Soviet Union had
atomic weapons at its disposal. Soon everyone was convinced that the
USSR was not only not lagging behind the United States in the production
of new types of weapons -- atomic and hydrogen -- bat in some respects
had'OaiStriPped it.
'-However, this indisputable fact did not sober the American imperial-
ists. They, stubbornly pursued the hazardous "policy of force," the
strategy of lightning atomic war. Aircraft and weapons of mass annihila-
tion are assigned the role of the striking force. The "air doctrine" of
war has now become the official doctrine in the United States. "The
doctrine of the future has been created," wrote Brigadier General D. 0.
Smith of the United States Air Force in his book Mllitarv Doctrine of the
Un.t.ted States. '"For the first time in our history the decisive role of
the Air force has received official acknowledgement." Admiral Bedford,
former chairman of the American Joint Chiefs of Staff, says that at the
present iiie-inpdamental emphasis has been placed on the maintenance and
Ute-Oi6dern aircraft Which is needed above all to perform offensive
and 6feigive-operations and to sapport other forces.
,
Adoption of this doctrine by American imperialism is no accident;
on the contrary, it reflects the current stage of its development, when,
for the sake of its own excess profits, American monopolies are prepared
-
to commit serious crimes against all mankind.
"The transition to a strategy of atomic air war," Herschel Meyer,
a progressive American publisher, wrote in this connection, "completely
agrees by accident' with efforts of large monopolies to obtain still
higher profits. Monopolists have discovered that production of ordinary
munitions provides, a mach lower rate of profit than experimentation,
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research, and production of superpower weapons...High military authorities
in Washington recognize that the Soviet Union cannot be cowered, and
that it is impossible to hamper four-fifths of mankind living in. Europe
and Asia and alter their social systems, with guns alone. For this reason
their aim ts to bring life itself to a standstill by calling forth vast
destruction by means of hydrogen bombs which can destroy Whole cities in
an instant.
? "They hope that war, resulting in vast destruction, will not only
retard the material growth of socialist countries, but will halt the
advance of other countries toward socialism; it will secure the preserva-
tion of a status quo; and it will 'convince' mankind that henceforth
those governments which follow the road to socialism will be plunged
into war to their. destruction.
Wall Street's plans for World War III and its decision not to
par-
ticipate_in land wars and 'not to place great emphasis on infantry,'
reflect the historical fact that imperialism is losing power on land
and. therefore entrusts its last hopes to ruling the world from the air."
The essence of the modern military doctrine of the United States
443 absolutely clear. In the system of military blocs of modern im-
perialism, the United States has concentrated.in its hands the producT-
tion of powerful strategic aviation and aircraft for delivering atom
bombs. They plan to use them chiefly from air bases situated around the
Soviet Union. To their partners in the military blocs the United States
has entrusted the creation of ground troops, combat or front aviation,
auxiliary troops, placing greatest emphasis upon the development of
West German .armed forces.
.-:Often. repeated in statements of American political and military
leaders there Is the opinion that American strategy must be based on the
use of. atomic weapons, as they say, "for tactical purposes," that is,
wtthin_the limits of battle fields and theaters of military operations.
What is concealed behind such arguments? Considering the geographic
remoteness of America, these rulers have considered the fact that atomic
weapons would find their chief use above all on the territory of Europe
and certainly far from the industrial centers of America.
Mexican monopolists seemingly understand the reality of atomic
counterattacka. and do not object if, in the course of armed conflict,
millions of people and much that is valuable in countries to Which they
are allied -- West Germany, Italy, France, England, and others -- are
destroyed by these death-dealing weapons.
Can these schemes oft "cunning strategists" be realized? EC, they
cannot, It is now impossible to wage war without exposing oneself to
counter blows, If one wants to strike atomic blows on an enemy, then he
should be prepared to receive the same and perhaps more powerful blows.
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The chief threat to peace now comes from the United States. Aggres-
sive circles in the United States do not want peaceful coexistence and
collaboration among nations, They foster the reckless dream of world
domination and therefore oppose any disarmament and feverishly prepare
for var. Their chief stake now lies in building up atomic-aviation arms
with which they hope to win in a fature war.
But this stake of aggressive American imperialism can be considered
nullified, for the Soviet Union, apart from all its other advantages, is
not only not lagging behind in the field of armaments of this type, but,
in many respects, has outstripped the United States. The decisive in-
nuance of air forces and antiair defense troops has increased signifi-
cantly with the Soviet Armed Forces. The Soviet Armed Forces now possess
a sufficiency of different types of atomic and thermonuclear weapons,
powerful rocket and jet arms of different types, and also long-range
rockets. The party and government are directing special attention to the
development of the armed forces as the most important means of ensuring
the security of our motherland. The first-rate jet aircraft of the USSR
is capable of solving any tasks which would confront it in the event of
an, aggressor's attack.
In spite of everything, however, American monopolists and the military
clique in the Pentagon by no means want to part with their impossible
dream of achieving "air superiority." As usual, Senator Richard Russell
demanded of the United States Congress the creation in the coming years
of "the strongest air force in the world." With each year, the United
States government and Congress assign greater appropriations to military
aviation and different atomic weapons, including intercontinental ballastic
missiles with atomic warheads. Through the demands of atomic maniacs in
the Pentagon and the Congress, the post of Assistant Secretary to the
Secretary of Defense for Guided Missiles was even established, to which
Edgar Murphy, president of the Esso Research and Engineering Company, was
appointed. Atomic aviation generals now occupy dominating positions in
the Pentagon. They cooly formulate plans of atomic war which threatens
the mass annihilation of people and vast destruction in all countries of
the world. These generals, closely connected with military-industrial
monopolies, have gained mach greater influence in the policy of the United
States.
Who are these leaders of this "assault" atomic-aviation force which
is preparing to repeat the crimes committed at Hiroshima and Nagasaki
for the sake of profits of American monopolistic capital?
General Twining. General LeMay? General Worsted.
* * *
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The Pentagon in Washington, Room No 0-929. Behind a desk sits a
"mem with four gold stars on his Shoulders, with greying hair, but dark-
browed, with a square nose and a large jaw." Such, according to Time,
is the appearance of General Nathan Twining, chief of staff of the American
Air Forces. Be did not achieve this high post without reflection: the
60-year-old professional militarist enjoys the special confidence of Ameri-
can monopolies. The son of a rich banker from the city of Monroe, Wisconsing
Twining is committed to his class body and soul. A graduate of the United
States Military Academy at West Point, Twining devoted almost 40 years
of his life to a military career, of Which 30 were in the air force.
It is said that the American pilot who dropped the atomic bomb decided
to end his days at a monastery. But Twining, commander of this operation,
has seemingly experienced no such pangs of conscience. Arguing furiously,
he propagandizes atomic war as usual.
In his first public address (in Dallas, Texas) after his appointment
as chief of the Air Force, Twining stated that "strategic aviation bombard-
ment of Soviet Russia is more expedient than operations against it from
the East."
Like other leaders of the Pentagon, Twining is an ardent proponent
of the strategy of surprise attack andtka"strike't6tfirst.bldw"With nuclear
weapons. "Striking-atAlintblole now promises much greater advantages to
the attacker than ever before," declared Twining in his speech atthe
congress of the Association for the Air Force in the city of Omaha,
Nebraska.
Neither the Soviet Union, nor China, nor other countries of the
socialist camp have any intention, as is well-known, of attacking the
United States. They have not built military bases around. America. HY
talking about the "defensive" mission of American bases on foreign
territory and about the readiness of the United States to "counterattack,"
American ideologists of atomic aggression want to delude the American
people and other nations of the capitalist world.
Twining considers American air bases on foreign soil an important
weapon for realizing the aggressive plans of the United States. Here is
what he said in an interview published in United States News and World
Report:
"Question: Do you consider it absolutely necessary to have bases
situated quite close to the territory of the enemy for the purpose of
performing frequent raids?
Answer: I consider this highly advisable.
Question: Does this mean that long-range bombers cannot cope with
their missions?
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Answer; Jaw m,iesion will be more difficult and demand. more time
for fulgUlientif,we are compelled to operate only from bases locatai
within aur own, hemisphere."
The growing defensive might of the Soviet Dili= and the entire camp
Of democracy will not let the bellicose chief of the American Air Forces
sleep placidly. Be is compelled to consider this power. His statements
on this Consideration are quite typical.
"We, of course, do not know everything about the Soviets," he said
in the above interview, "but we do know that they are not lagging. If
they want something and know firmly that they want, in ey opinion, they
are prepared to go to any length to get it... We of course moist not
assxne that they are not progressing in the field of long-range aviation,
too.0
It amid seem that there is present here a telling, Persuasive
argument in favor of giving up a "policy of force" and the arms race which
is ruinous for nations. But no, for Twining and his chiefs this is only
grounds for farther, more intensive military preparations and continua-
tion of a feverish pursuit after a spectral "military superiority."
Attempting to convince the peoples of countries in the North Atlantic
bloc that 4 superior military force ostensibly remains, nevertheless,
on the side of the United States, atomic-aviation strategists advertise
such "new" means as gnided atomic missiles. In Twiningls words, work is
underway in the United States to create an "intercontinental ballistic
missile" capable of travelling at 10,000 miles an hour. "We must achieve
the creation of suCh a missile before the Communists." But on 27 August
1957 4 T464 announcement published in the Soviet press told of the success-
ful testing in the usa of an intercontinental ballistic rocket as well as
the explosion of nuclear and thermonuclear weapons.
' Theglight of the rocket," said the announcement, "occurred at a
very great altitude which, until recently, had not been reached. Traveling
a tremendous distance in a short time, the rocket fell in an appointed
area.,
T
received allowed. :that it is possible to send rockets to any
region on the earth. The solution of problems in the creation of inter-
continental ballistic rockets makes it possible to reach remote regions
without resorting to strategic aviation..."
Atomic war is extremely dangerous for western countries with their
heavily populated industrial centers concentrated in comparatively limited
areas. This is fully relevant to the United States, General Twining knows
this. But he does not care for the people or their interests. The atomic
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maniac who dreams of a "push-button war" which he could wage sitting in
his office, is prepared to sacrifice millions of lives of his compatriots
to his greedy bosses on Wall Street, who consider war as a means of
escaping from ruinous economic crises.
"Even an attack on our large cities," declared Twining, NW matter
bow terrible, cannot break us. We plan to win the war no matter how
many Americans might be killed..."
"This gives little consolation to people living and working in Boston,
Chicago, Detroit, Washington, and other large American cities," dolefully
observed the American journalist Shriner, to whom Twining expounded these
delirious ideas in an interview.
But these ideas provided General Twining new advancement. On 15
August 1957, he assumed the post of chairman of the Joint Chiefs of Staff
of tbe United States, that is, the actual leader of all three branches of
American armed forces.
*
May and Jane of each year, when the American Congress discusses and
adopts a budget for the new fiscal year, is a period of especially
frenzied military hullabaloo in the United States. Especially loud calls
for strengthening the arms race are raised from the rostrums of both houses
of Congress and their commissions, and from the pages of newspapers and
magazines. Air force and other generals, Who distribute government con-
tracts to industrial monopolies for military aircraft, atomic weapons,
etc., have played a most active role in this propaganda in recent years.
A significant number of American generals have been transformed over
recent_years into direct agents of monopolies and their "lobbyists",
with Whose aid Wall Street receives large military appropriations from
year to year. Monopolies pay generously for these services. They appoint
retiring generals to high-paying positions in industrial concerns.
Examples are not hard to find. All top military leaders of the United
States Who retired in recent years -- G. Marshall, Douglas MacArthur,
Bradley, Ridgway,, Van Fleet, Clay, and many others -- now hold "cushy"
jobs on the boards of the largest industrial monopolies in the United
States. The incredible salaries Which the monopolies pay them is compen-
sation for valuable services rendered.
"A?,pew phenomenon after the second world war," wrote the liberal
Aperican_weekly Nation, "was the mass movement of high-ranking military
figures, even four-and five-star generals, to private industry, where
high-paying administrative posts have been prepared for them. Companies
have done this to hire their influence in military circles.... Thus, such
a case is possible: an officer on the General Staff of the Air Force
urgently recommends the purchase of aircraft from a certain aviation
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concern, although the airplane, perhaps, has provoked many arguments among
the experts. Then, two years later, you find that same four-star general,
now retired, in the post of a hieji-payed president of the corporation
which manufactures this airplane..." This is one of the examples reported
in the American press in October 1955.
Thel4walldr(Xne concluded a contract for delivery of Fai jet
fighters from the McDonnell Aircraft Corporation and Westinghouse. Al-
though 11 of these airplanes crashed, killing several fighter pilots,
the contract was continued for some time. An official investigation
showed. that Rear Admiral Lloyd Inc son, former deputy chief of the Aero-
tantics Administration of the Navy, (now retired) had been opposed to
revoking the contract, despite the accidents involving the airplanes.
Re explained that the opinions concerning the production of the companies
involved were !mad. Bat then, one pleasant day in September 1955, Lloyd
Nricaon went into retirement and assumed the position of vice-president
of the McDonnell Aircraft Company. Before a Congressional committee he
admitted that this position had been offered to him in. March 1955,
approximately five months before his retirement.
Just as the now retired generals once strove for monopolies, so
generals now holding leading positions in the Pentagon are striving,
with the Air Force generals headed by Twining taking first place. Congress
appropriated $16.9 billion for the United States Air Force in 1956-1957.
But for General Twining this was a small mnount. He called this budget
gstingy." Outfitting 137 regiments of the Air Forces with modern equip-
ment, he declared, requires a significant increase in appropriations for
aviation,
Of course, atom-monger-generals who fight for continuation of the
arms VACS by order of the monopolies are not along. Senators, members
of the House of Representatives, and also numerous press organs assist
them.
Take, for example, such a magazine as United States News and World
Report. The inveterate wax-monger, D. Lawrence, owns it and is its
editor. The magazine is closely associated with both the leaders in
Washington and military-industrial companies, in particular, aircraft
firms. Tbe latter generously finance this magazine, by publishing adver-
tisements of their own products in it. Being at the same time a foreign
political reviewer for the New 'York Herald Tribune, Lawrence, like many
other journalists such as the Alsop brothers and Talbert, who is the
special military reviewer for that newspaper, eystematically intimidates
Americans with the threat, fabricated by himself, of a "Soviet air attack"
and demands greater and greater increases in government expenditures for
military aviation, atomic weapons, and "intercontinental missiles."
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General Curtis LeMay has served in American military aviation for
over a qmarter of a century. The first seven years he flew in fighters
and in 1937 selected bombers as his specialty. LeMay commanded a bomber
squadron of the 8th Air Regiment of the United States in England and
later was transferred to the Far East theater. It the age of 38 be
became a major general (this rank correspond to lieutenant general in
European armies). With the end of the war be commanded the Air Forces
of the United States in Western Europe. From the end of 1948 until 1957
LeMay commanded the strategic air force of the United States. Now he is
deputy Chief of the American Air Forces.
'rl'he headquarters of the Strategic Air Command is located at Offut
_Air Base near the city of Omaha. From here the headquarters directs a
bread network of American bomber bases situated on United. States territory
aid. abroad, on the territory of countries dependent on the United States.
American pilots and crews of medium and heavy bombers are trained on
these bases.
:Time stated that the American air force is preparing for bombing
raids.
? It turns oat that crews of airplanes of the Strategic Air Command
"describe. arcs of greater circles around the earth every day, in any
weather, at altitudes of 12 kilometers and more, training and increasing
tbeir
"Once every three months," wrote Time, "the crew of each airplane
performs a fatiguing training flight over a distance equal to that between
the United States and Russia, and back. This is a realistic exercise to
test the condition of flight personnel.... Each of the crews now has a
definite objective assigned to him in Russia or in other countries. The
pilots mast know by heart and to the smallest detail everything which con-
cerns the fulfillment of their future mission in bombing these objectives
and in returning the airplane to one of the American bases. Like his
chief, Twining, LeMay is an advocate of the theory of the "strike the
first blow."
.A correspondent of the British newspaper Daily Mirror, who visited
the Offut Air Base in February 1955 told about the atmosphere of war
hysteria rihich reigns in the headquarters of the Strategic Air Command.
and about the frantic war propaganda which is spread among pilots. He
wrote, "The headquarters of the Strategic Air Command is located in
Omaha in the very center of America.... Here doctrines supporting world
superiority by means of aviation are studied, developed, and boldly
enunciated... The first and most important responsibility of the
Strategic Air Command is that it be in a state of readiness at any moment
to begin a full atomic war. It could begin operations against Russia with-
in two hours....
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?."1,1t has never ,occurred to American pilots to doubt who their enemy
might be in time of war. It is Communiet Russia, Communist Russia, and
0ACtleOre ComMUnist Russia. They are absolutely concentrating their
attention_q4 the SovittJanion and speak out against the Soviet Union."
,The Britt& correspondent might easily be convinced that in General
LeMay he is dealing with one of the most zealous advocates of "preventive"
war.
LeMayls blunt calls for unleashing atomic aggression jarred even
this worldly-wise journalist of a bourgeois British newspaper. "I told
him," wrote the correspondent later. "that many of us in England consider
that 10 hydrogen bombs dropped on 10 of our largest cities will undoubtedly
destroy us, and we will be out of the war for good. I further said that,
in our opinion, as soon as nuclear weapons are used we will be drawn into
the war and that such a prospect is hardly attractive."
"
The uneasiness expressed by this British journalist, and shared by
the wide masses of British people, is completely valid. England is now
one of the chief centers of concentration of Strategic Air Command bases.
More than 24 air bases, on which are deployed two Air Force divisions and
other similar units totaling 45,000 soldiers and officers, are located
in the British Isles. Brigadier General Stevenson, commander of one of
these divisions (the 49th), declared in 1954 that his division was
equipped with bombers designated for atomic strikes on the Soviet Union
and that this mission was assigned to the division two and one-half years
before.
Otevensonts admission attracted the attention of the British public
to the throat lihich .the presence of the Mr Force bases of the American
aggressors Om their soil represented to the security of England. The
BritiehMilitary writer, Liddell Hart, who has no special sympathy for
the Soviet Pailla, gave this wise advice: "If American leaders want to
start hurling atom bombs, our leaders must demonstrate greater wisdom
in order to-Xeetraim them from this ... He who lives in a glass house
should not throw stones."
The network of American Air Force bases is expanding each year not
only in England but in other countries of Western Europe. While the
impudent frankness of the ZeMays, Stevensons, and other American militarists
have 40.tunmasIced it, American propaganda is prone to depict these bases as
a harmless means of 4ofonoo", against mythical threats.
Thispropaanda is spread for purposes of deceiving the people. Every
sensible person understands that United States Military bases situated
around the USSR, China, and countries of the people?s democracy were not
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created, for defense because they are situated for mew from the Objectives
which they must defend. These bases were created., of course, for purposes
of aggressive strategy and for delivering blows with atomic aviation.
According to information which is far from complete, the United
States has no less than 100 air bases on foreign soil. There are espe-
-dially.mamy bases in Western Europe. Within the blessing of the council
-6f the aggressive North Atlantic Bloc (NATO), which adopted a decision
in December 1954 on preparing for atomic operations in a future war, all
these bases and the air units stationed on them have now been rebuilt
in conformity with "atomic," that is aggressive, offensive strategy
founded on the use of mass annihilation weapons. These American bases
and; their airplanes were aimed at preparing for atomic war long before
the NATO council's decision was made. It was no accident that the ruling
circles in Washington entrusted the command of all these bases to a third --
after Twining and LaKay -- inveterate atom-monger from among the Air Force
generals -- Lauris Norstad.
* * *
The bloody atomic slaughter, Which cost the lives of thousands of
peaceful Japanese citizens, brought satisfaction to the ambitious efforts
of 50-year-old General Norstad. "Tall, lean, with the appearance of a
Hollywood film actor, Norstad was a first lieutenant when the Basis in-
vaded. Poland. By the end of the war he was a major general," wrote
Newsweek. Now Norstad wears the four stars of a full general. Until
recently he occupied the position of deputy supreme commander-in-chief
of the Air Forces, and now he is supreme commander-in-chief of NATO armed
forces in Europe.
Located at his headquarters in Wiesbaden, West Germany, Earstad
took an active part in putting together an aggressive military bloc in
Western Europe, and in. preparing West Germany's involvement in it. Each
year he conducted large-scale maneuvers of air units of the United States
and its West European satellites, achieving coordination of operations
among them and their eventual consolidation into one air army under the
American command. His chief demand was "More basest" "The construction
of new bases and the modernization of those now in existence is the chief
task which stands before me," Norstad declared in 1951. The general
lamented that the creation of a network of bases was still proceeding
"very slowly." "He considers that the chief fault lies in politics,"
wrote Newsweek in a feature story devoted to Norstad's activities, meaning
by "politics" the resentment of social circles in Western European coun-
tries against American occupation. Narstad admits, the magazine dis-
closed, .that there is a very strong sentiment in Prance against any type
of system of "European command."
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For this Peas= orstad demanded that American diplomacy exert greater
pressure on the governments of Western European countries in order to
break the resigtauce of their peoples to the building of American bases.
Washington pressured, and more circles with symbolic images of airplanes
appeared on the map of Western Europe. The French, West German, and
Belgian peasants left their homes of many years, tore down their villages,
and conxerted their fields and pastures into airfields to which the newest
American planes, together with maintenance personnel, soldiers, and officers,
came from the United States.
The replacement of General Gruenther in the post of supreme commander-
in-chief of NATO armed forces in Europe by General Norstad is new evidence
that American strategists are shifting their chief emphasis to an atomic-
hrdrogen war.
Norstad. had hardly received his new appointment when he demanded
"further strengthening of NATO's military might." Speaking at a press
conference in Key 1956, he welcomed the decision of the United States
to *apply armed forces of the North Atlantic bloc with new atomic weapons
and emphasized that he considers the accelerated rearmament of West
Germany one of NATO's Chief tasks. "It is vitally important," he declared,
"that Germany fulfill her military obligations as soon as possible. The
slow rate of rearming Germany is one of the weak points in the military
might of NATO." Norstad belittled in every possible way the new peaceful
act of the US54 -- the reduction of the Soviet Union's armed forces by
1,840,000 men.
In contract to tbe coerce martinet LeMay, General Norstad at times
loves to discuss his "ideological principles." He once said that "modern
wars are waged not over boundary lines or economies, but over philosophical
principles." Victories, he declared, are gained not by armed forces alone
and, although economic aud military power "can be a basic ideological knock-
out, the only weapon against any idea is a better idea." Norstad, never-
thelessuissilept about what kind.of "philosophical principles" or ideas
he holds
TheAdeas,which inspire the people of our times are well-known:
ideas of peace, cessation of the "cold war," and revival of international
confidenceiy ending the arms race, liquidating foreign military bases
on foreign salt and banning atomic and thermonuclear weapons. The realiza-
tion of these 'ideas is now being achieved by the governments of the Soviet
Union, China, and other countries of the democratic camp.
The "ideas" of Norstad and other American militarists, together
with ruling circles in the United States, are unremitting international
tension, a "policy of force," brandishing an atomic bludgeon, inter-
ference in the internal affairs of other countries, and subordinating them
to American. monopolies. American generals are trying to educate American
soldiers and officers in the spirit of these "philosophical principles" of
international robbery.
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The American command is more afraid of ideas which reign Over the
minds of modern mankind, ideas in the true sense of the word, than it is
of fire. It tries in every possible Manner to prevent their penetration
into the aril*, to remove them from the consciousness of American soldiers
and officers, and to instill savage instincts in their place. Before'
Us is a photograph published in Time together With an article about the
American air force. An emblem is painted on a:fighter plane -- a circle
with a figure of a tiger and an inscription on the border -- "School of
Fighters. Every pilot is a tiger." "A tiger," the article explains,
"is the simultaneous state of mind and precious qualities which Nat
Twining tries with all his might to develop in pilots. A good pilot is
a tiger; a very good pilot -- a hungry tiger. At one of the flying
schools located at an airbase in Nellie, Nevada,the walls of the lodgings
are covered with posters bearing the figure of a tiger. The striped
beast- is arching its spine, preparing to spring on itsprey At
several bases cadets, running out of barracks for morning roll-call,
growl like tigers...." Such is the "ideological education" of American
But the habit of American "aces", as Time irreverently calls them,
is still not an indication of a high fighting capacity, 'Which is ineon,
04iyabli without deep ideological conviction, Without unshakable trust
in the righteousness of onels cause. And thisis the very thing:Which
American pilots or the American Armed Forces as a whole, do not and can-
not have. American pilots committed unprecedented atrocities in Korea,
but this did not save them from defeat. For this reason even the American
press, in all its attempts to provide a strong advertisement for the
American Armed Forces and above all the Air Force, was compelled time
after time to admit that the "morale" of American troops is very low.
Baldwin-, Military reviewer of the New York Times, acknowledged that ."there
is not enough enthusiasm" even among military cadres. Luring the war
in Korea, he dolefully narrated, it was revealed that 200 officers of
the American Air Force, rebelling, refused to take part in combat
sorties. Military service in the United States, Baldwin admitted, "is
ideal for only a very small number of young men." In this regard, Time
bitterly lamented the shortage of cadres in the Air Force. It cited
the follOWing comment of General LeMay concerning the Strategic Air
Command; "This entire machine can fall to pieces and fly off in every
direotion in two Weeks." The reason? "People," the general answered
bluntly.
The policy pursued by the rUling circles of the United States of
preparing for a new atomic war is unpopular among the American people.
Like other peoples, American Workers Want peace; they know that atomic
war Wthild bring them incredible disaster. Millions of Simple People
around the world, including America, are firmly resolved to snare insti-
gators of a new war and prevent them from putting their bloody projects
into effect.
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More. Americans Are now. sharing the opinions advanced by the American
publisher?ILDIetldwilbkoerinhisbockThe Last Illusion. "The United States,"
he,wrote,,,"cannot win, no matter what type of war it wages against the
socialist pimntriesc" for the basic calcnlations ofArneric44,4trAtegists
are fomnded not ox the real situation, but on illusions. Illusion is a
dangerous thing for those American strategists who dream of a "lightning"
atomic strike,p4ainst the Soviet Union,
Now there is no corner of the world where an aggressor can hide.
Soviet Armed Force's are capable of delivering, destructive blows, on Any
enemy no matter where he is or wherever he conceals himself.
-
,w Soviet Union is steadfastly achieving agreement "on cessation
of testiKAnd_the banning of atomic weapons, on the problem of die-
armament 44 ,4 Whole, in whose positive solution every nation in the world
is interested," stated 4 TASS announcement of 2? Amgast 1957,
This announcement was respectfully assessed by the most sober,
responsible circles of the United States.
"Emssian military power has made a great leap forward since the
explosion o1 the first Soviet hydrogen bomb in Aagmst 1953," the New York,
Herald,Tribmne was compelled to admit. "IA the present time there is no
defense against an intercontinental ballistic rocket carrying a hydrogen
bomb."
The TA,S,S announcement, said Senator Long, is a very serious affair."
,Tee, gentlemen American senators. This, truly, is a serious affair.
-414dit.411 h4,.:04V00X,IorAmerican.atom-mongers themselves, if their
bosses,and,inspirers gave some Serious thought to this serious affair,
and if thy stop sabotaging the ban on nuclear weapons and disarmament,
which the people demand.
The Dirty Itork_of Allen Dulles V. Makhov
,
SP7,44 howl uneasily over the capital of a peaceful country which,
though small, is proud of its independence from US imperialism. Foreign
mercenaries burrow into this country in order to foist on it reactionary
rulers andthe_henchmen of US monopolies. A. faction composed of military
conspirators overthrows the legal government, hangs hundreds of democrats,
and shoots representatives of any opposition, including even the bour-
geois element. All this is done to: transfer the riches of the country to
US magnates. In the dark of night a US plane stealthily threads its way
toward the border of one of the countries of peace and democracy, and
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saboteurs, armed with poisons, demolition explosives, and addresses of
contacts, parachute into a remote area. Behind all this dirty, mibsersiVe
activity hides the hand of Allen Dalles. This is the business of his
accomplices from the Central Intelligence Agency which he heads in
Washington.
An enormous staff of spies of the most varied specialties and masters
of diversion and sabotage are active within the system of CIA.
The activities of this headquarters of the American intelligence are
Shrouded in deep secrecy. For purposes of conspiracy, the agency is
located in 34 small, isolated buildings in Washington and 22 email
buildings in New 'fork. As evidenced in Ameridan newspapers, the names
of not only supervisors of separate services and Dulles' deputies, bit
even the rank and file employees of the Central Intelligence Agency, are
kept secret.
Row many agents, large and small, work in CIA is not known. In the
opinion of the more informed US newspapers this agency has 15,000 people
at its disposal, including employees at headquarters and agents in the
foreign network -- an entire division of spied. Information concerning
the budget of this sinister agency is not published. But several US news-
papers have reported that secret appropriations for its operations reach
one billion dollars a year. Hundreds of millions of dollars Are officially
and specifically earmarked for financing espionage, sabotage, and subversive
activities in countries of the aapp of peace, democracy, and socialism.
A. the US press has reported, for purposes of concealment, appropriations
for "activities" of CIA are allocated by Congress within the badgets of
various government departments and later transferred by them to the current
account of the agency.
Vat does the notorious CIA do and on what does it spend these extremely
sizeable mime Let us hear the testimony of authoritative organs of the
US press, Shich are informed on the activities of Washington's masters of
espionage and sabotage.
In January 1953 the Washington Post, disturbed by comments unfavorable
to US policy which were stirred by provocative activities of CIA abroad,
published an article which sharply criticized its methods. The newspaper
declared in plain terms that CIA was engaged in "black," that is, false
provocative propaganda. "CIA serves as a refuge for dare-devel cutthroats...
Through their activities these masters of their trade," the Washington Post,
pointed out, "are able to start the ball rolling in the field. of foreign
policy -- to cause trouble and even involve a country in war." These are
the affairs of Allen Dulles' agency.
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,IThe newspapwr cited several examples of US intelligence (by far not
the Most indicative) in Which it mentioned the financing (and undoubtedly
"ideolOgiCal and practical" leadership) of neo-Nazi organizations in West
Germany. The, Burmese and Siamese, declared the Washington Post, suspected
that CIA incited the defeatedChiangKai-shek remnants to make raids on
China through Burmese territory.
* * *
;numerating by dint of broad publicity all these facts which occurred
at different times and Which were far from comprehensive of the entire
subver471,40,ivitiee of the agency headed by Allen Dulles, the newspaper
grigy concluded that the Central Intelligence Agency "can bring trouble"
to the United, Atates!
After a short time Representative Mansfield (Democrat, from Montana)
spoke to the House of Representatives on the very same subject -- the
provoCative? incendiary activities of US intelligence.
pie .US legislature declared that from the very beginning CIA engaged
itself in: very secret activities -- espionage -- and rendered assistance
WsUOversive elementsincountries of the people's democracy.
This pronouncement, Whose purpose was undoubtedly to prevail upon
US. agents for greater secrecy, contained a warning that the activities of
CU and its inIerference in, the affairs of other countries was provoking
-"many private complaints" in countries of the capitalist world which are
also be object of the fixed attention and secret activities of Allen
Dulles' agents,
Neither the Congressman's hypocritical speech nor the feigned lamenta-
tions of "liberal" newspapers concealed even the slightest part of those
dirty affairs on which Washington leaders waste hundreds of millions of
dollars.
* * *
4411X04 41 Washington, at the White Haase, the military cabinet of
the United States, the so-called National Security Council, convenes at
a long, narrow table resembling a diamond, truncated with sharp corners.
The President of.,the United,States presides at these meetings. The Vice-
President, .the Secretary of Defense, the Secretary of State, the Secretary
of the Treasury, and the director of the "Defense" Mobilization Administra-
tion AP,ke part in the discussions.
A group of "consultants" lies under the National Security Council.
General Twining, representative of the Joint Chiefs of Staff, Allen Dulles,
Chief of the Central Intelligence Agency, and others make up this group.
There is a small staff of experts and technical workers under the control
of the Council.
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Intensifying preparations of the US military machine for a new world
war, .of Which banks and military-industrial concerns are dreaming, the
US Congress is 1947 passed the so-called law on national security. Then
:and there the narrow-minded military cabinet, the Rational Security Coun-
cil. Was created.
What does this cabinet do? What state matters does it settle? In
October 1950 the Council examined the general problem of the five-Tear
program of the "Cold War" against the Soviet Union and Countries of the
people's democracy. As newspapers then reported, it was decided that the
US would spend 200-250 billion dollars over a five-year period on armaments,
assist in the creation of a "European argryn of 75 divisions, and supply
arms to countries located on the borders of the "Soviet zone."
? Here, based on the information from the US press, is snot of prob-
lems on Which the Council labored during 1953: an embargo on maritime
shipments to the Chinese People's Republic; a complete ban on trade with
"Communist countries"; plans to interfere in the war in Indonesia; And the
military budget. According to reports by the American press, the decision
concerning the anti-national revolution in Guatemala was made at a meeting
Of the National Security Council on 17 June 1954. The Council ratified
a program for sharply expanding the US armed forces.
Many aggressive plans have been approved at meetings of the National
Security Council. In May 1954 the New York Post told of a meeting of the
Council at Which the plan for US operations in Indochina was discussed.
At this very meeting the decision was made to create an aggressive military
coalition of colonial powers (the so-called "South-east Asia Pact -- SEATO").
In the beginning of June of that year plans for expending and continuing
the. war in Indochina were examined here.
Thus, the Council determines the foreign and military policies of
:the, US and coordinates the activities of US diplomacy and the military
machine.
How does one explain the narrow-mindedness of its members? Why are
the leaders of the US government, with the exception of the secretaries
of State, Defense, and the Treasury, not always permitted to take part
in its discussions? Because matters dealt with at the meetings of the
Council are top secret. The National Security Council long age became
-a hotbed of plans for subversive, sabotage activities. For this reason
the Central Intelligence Agency and its leader, Allen Dulles, play s)
important a role in the affairs of thii Council.
The journal United States News and World Report acknowledged that the
reactionary revolution in Guatemala was brought about through the efforts
of CIA. Other organs of the US press announced that the intervention in
Guatemala -- inspired, organized, and supported by the US -- was for a
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long time beaded by US intelligence agencies. The New York Tines reported
then that, "Allen Dulles -- head of the Central Intelligence Agency....
has kept watch over the situation in Guatemala for a long time." The
newspaper told of the "active operations" of his associates in this country.
Peurifoy, former US Ambassador to Guatemala at the time of the revo-
lution, is known for his close association with CIA. As the journal
Newsweek wrote. "He was not sarprised by the events resulting in the
collapse of the Arbens government." When it appeared that the situation
of the Guatemalan government was completely stable, Peurifoy asked if
disorders would. soon break out. "I will not indulge in predictions," be
said, "but I will tell you one thing. We are now preparing invitations
to our Fourth of july reception and we will not include one iember of
the present government on that list." In plain terms the London Times
declared that Peurifoy "operating behind the scenes, contributed math,.
to the ,overthrow of the Arbens government."
,
Adapting to a new situation, the National Security Council in the
fall W 2.9,56 approved, in the words of the US press, the idea of expanding
contacts with the Soviet,Vni.on in the field of culture and art, with the
obvious, openly stated purpose of using these contacts in the interests
of US intelligence agencies.
?Ihrw.gh the active participation and incitement of US intelligence
agencies the anti-national mutiny of the Hungarian counterrevolution was
organized,. To _a great degree it resulted from rabid, malicious urgings
on t,440 part of _such US propaganda organs as the Voice of America and
-114410 Pree_Europe, which are financed, according to the US press, by the
US, espionage and sabotage agency. .Such authoritative press organs as the
Chicago Daily News and others were compelled to acknowledge the subversive
role of these radio services and their connection with US intelligence.
-J1
With the first shots of the fascist putschists resounding in Budapest,
CIA in Washington began working at full speed. General Donovan, former
head of US intelligence during World War II, was quickly sent to Vienna.
His task consisted of supplying arms to the fascist putschists and organ-
izing assistance and support for them. Acting under the guise of leader
of the se-called International Rescue Committee, Which coordinated and
directed the activities of the emigrant, fascist remnants, Donovan roamed
along the Hungarian borders looking for less protected points through
which it would be possible to supply the poorly armed counterrevolutionary
bands whiol; were stirring up revolt against the national power. They
attempted to. impose on the Hungarian people the power of Hungarian and
foreign capitalists and landowners, the power of Horthy, listerhazy, and
the obscurantist Mindszenty.
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Ile counterrevolution collapsed. It was blocked by the Hungarian
people with the brotherly support of the Soviet Union. Donovan returned
to Washington with nothing for his pains. But in an interview with press
correspondents he again urged that arms be supplied the fascists. As
evidenced in the Washinaton Daily News, in answering the questions of
correspondents, Donavan declared that the best means of assisting the
Hungarian revolutionaries was "to supply arms to those who are still
fighting." In answer to a similar question he urged the US to do every-
thing in order that "the battles in Hungary would continue."
In all these operations of the Central Intelligence Agency a dominant
role was played by Allen Dulles -- banker, diplomat, and leader of the
agency Which united and coordinates all types of American military, politi-
cal, diplomatic, and)aconomic espionage. The activities of this sinister
agency of espionage, sabotage, and terrorism are directed not only againet
countries of the camp of peace and democracy, bat against the satellites
and "allies" of the US.
As the United States press has reported, the espionage-sabotage
"service" of the Ritlerite intelligence officer; General Reinhard Gehlen-
lives on in West Germany on American dollars -ander the guardianship of
By a military agreement concluded between the US and Thailand in
October 1950, a large center of US espionage was created there. Sheldon,
the US Military Attache, supervised it. Special courses for training
US agents are given in Chiang Mai in the northwestern part of Thailand.
All espionage work in Thailand was headed by the hardened intelligence
officer, Genera1U-rsicthaaman,who served there until recently as ambassador.
Agents of the US espionage service operate everywhere including the
territories of US allies -- Britain, Prance, Italy, and other countries --
to the detriment of their national interests.
It is no accident that Allen Dulles, a specialist in international
ties of American monopolies, heads this ramified system of espionage,
proVecation, and sabotage. Wall Street has always given great attention
to international espionage. As regards Allen Dulles, being in the service
of American banks, he long ago became famous as a scout of monopolistic
US capital.
* * *
"Allen Dulles," the New York Times Magazine once announced, "began
his activities in the field of espionage almost immediately after his
graduation from Princeton University. This was in 1916 when, as a 23-
year-old employee of the US Embassy in Vienna, he was commissioned to
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to swim contact with dissident forces (i.e., dissenters) in Austria."
The fasten Post reported that Allen Danes brought with him into
CIA imagination and. zeal plus a bent for adventure.*
Biographies of Allen Dulles assert that from his birth he was pre-
pared. for diploiatic pursuits. Dulles? grandfather, John Watson Foster,
served. as Secretary of State under President Harrison and. earlier was US
emissary to Mexico and Tsarist Russia. Allen Dulles' uncle, Robert
Lansing, a great advocate and. attorney of Wall Street monopolies, served.
as Secretary of State under President Woodrow Wilson.
In 1910 Allen D.t11es was admitted into the US diplomatic service.
Secretary of Hmbassy in Vienna, Bern and Berlin, and finally chief of
the Near last Section of the State Department -- such was the impetuous
ascent of Dulles up the ladder of the US diplomatic service.
In. 1926, appointed adviser of the US Embassy in Peking, Dulles
resigned and. entered the law firm of Sullivan and Cromwell, one of whose
owners was his older brother, John Foster Dulles.
J.
Ap firm of Sullivan and Cromwell established a reputation as legal
steward of many US monopolies and banks. La_ r, the US trade union news-
paper, reported that a fee of millions of dollars was nothing remarkable
for this firm. Lawyers of Sullivan and Cromwell formed cartel agreements,
loan. operations, mergers, and. reorganizations of large monopolies. Before
the almond %rid Mar, the firm of Sullivan and Cromwell actively assisted
the Bri,tish affiliate of the German banking house of Schroeder in inten-
sifiring its financial operations in the United States and. expanding its
Hex ToFk`akfiliate, the John Henry Schroder and Company Bank. John
Poitir. and. Allen Dulles, Partners and. co-owners of this firm, became
board. members of the New York Schroder Bank.
Sitting solemnly in an office of the firm? s bailding on Wall Street,
Allen Dulles did not lose touch with the diplomatic machinery of the US.
In. 1,927 he WEI legal adviser to the US delegation at the three-power
maritime conference. His duties included preventing anyone from limiting
the siale and ,sphere of operations of the US Navy to which the oil empire
of lioc,ksfe3.1er supplied many millions of barrels of oil. Dulles also
serves). ALdAr 1,tier to US delegations at disarmament conferences in 1932
and. 1933. If one is to judge by the results of these conferences, which
prometed not one iota of armaments reduction, Dulles and. his colleagu.es
on the delegations fulfilled. the order of American monopolistic capital
which attempted, thereafter to make a fortune in arms production.
The exploed.on of imperialistic contradictions, which kindled the
flame s;tf the World War II, aroused. great uneasiness on Wall Street.
Monopolies wanted. to conceal from the public their Secret ties with the
criminal German concerns which fostered. and unleashed the war, and at the
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sometime maintain these ties in order to divide the profits with German
monopolies after the war. Not only US banks were concerned with this
problem, but German monopolies as well. At this time, in October 1942,
Allen Dulles was sent by DB monopolies to serve in the US intelligence
orgaditation, OSS -- Office of Strategic Services. He was swat to one
of the most important areas, to head the OSS section in Basel.
This selection was no accident. Located in. Basel was the so-called
International Savings Bank, created in. 1926 in connection with the 'Young
Plan" for effecting operations between German military industrialists
and the US and British banks Which financed them. Three German bankers
sat on the board of this bank daring the war: Baron Kurt Von Schroeder,
president of Hitler's Reichebank; Walter Funk, minister of the German
econoty;-andHermaniSchmidt, president of I. G. larbenindmetrie. The
US bank we represented by three members of its board. The Well Street
deputy in this bank was its president and chief director, ThomotMaittrick
representing the Morgan. First National Bank of New York.
Q. D. White, then special consultant to the secretary of the US
treasury, gore an evaluation of the activities of this bank. "Germans
control it," he declared on 23 November 1943. "The American president of
the bank conducts business with Germans, While at the same time our
soldiers struggle with Germans on the fields of battle." In the yammer
of 1944Aolittrick himself told a United Press correspondent the following:
"We will not permit the machine to stop. You know that when the armistice
comes, former enemy powers may be in great need of such a powerful tool as
the International Savings Bank."
To this one could add that "enemy powers" also needed the bank during
the war. It was mainly throne* this bank that German monopolists estab-
lished contact with Allen Dulles during the period when the inevitable
destruction of Germany on the Soviet-German front became evident.
In February 1943 (after the defeat of the Germans at Stalingrad)
none other than Allen Dulles, going under the less attractive nickname
"Bull," conducted on behalf of the US government negotiations with Prince
M. Mohonlohe, Who was close to the ruling circles of Hitler's Germany
and acted as Hitler's representative under the nickname "Peals."
Dulles, wielding great power, assured him that "the German state
must continue to exist as a factor of order and rehabilitation." Re-
peating Hitler's nonsense, Dulles declared that "the expansion of Poland
to the east and the preservation of Rumania and a strong Hungary would
serve_to,aupport the creation of a cardon sanitaire against Bolshevism
and Panalavism." Thus Dulles acknowledged the claim of German industrial-
ists to. supremacy in Europe. Notes of a conversation discovered among
documents of the Gorman Ministry of Foreign Affairs state that "Bull is
more or less agreeable to the state and industrial organization of Europe
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onj4ebasis ofjarge areas, suggesting that a federated Greater Germany
(like_the,US) with a Danabe confederation joined to it will be the best
guarantee of order and rehabilitation of Central and Eastern Europe."
HeieLzihen is recognition of Hitlerss fundamental plans for "organizing"
Europe.. 44s, daring the war Mr. Allen Dulles labored over the realiza-
tion of such adventurtstic_plans in Basel.
e _purpose of these plans was to reach agreement with the Hitlerites
_gond:440 a_separate peace with them in order to preserve the German
millitaryrmachine, save it from destruction by Soviet troops, and nee it
in, theLdtre against the Soviet Union.
BIt_was hoped to realize this sabotage by organizing an attempt on
Hitlarls life and staging a "coup" in Berlin. For this purpbSe Dulles
keptim-touch with prominent figures close to Hitler. According to the -
,11,P press, Allen Dulles was informed of all plans for the Attempt on
Hitler's like" through Giesevias, German vice-counsel in Bern.
After the war Dulles headed the OSS section in West Genie:my'. %is
duties were to strengthen and expand the position of US capital in the
0l-man-economy. Speaking at a meeting of US bankers in November 1946,
Dulles declared: "We mast play a leading role in the rebirth of the
German economy in order to stabilize the economic position of the 'US
by establishing control over the German economy and assuring US firms of
Actlittrable profits."
Fulfilling this task of US monopolistic capital, Alien Dulles had
not forgotten his own personal, mercenary interests. With the active
Assietance and cooperation of the Nazi bankers Schacht and Schroeder-,
he bought up shares of enterprises excluded by control groups of the
Amerioanlxmit of the supreme commission of the I. G. Parben and Verein,i,
igte Stahlwerke concerns.
,.'17P_WNPer-intelligence officers and super-spies of Allen Bailees
agency conducted their subversive sabotage work with great thoroughness.
More fandswerkallocated,to_Dalless CIA than to the State Department;
the most qualified cadres of the various US espionage services were
placed at his disposal.
,
Central Intelligence Agency", the journal Colliers once. reported
to OA 1719adeTe, "is an. agency consisting mainly of intelligence officers
of tie Arm, Navy, and Air Force intelligence services. Their diplomats
and attaChes send from countries in which they are accredited allinforma,
tion_Which they gather in these countries... CIA is commissioned to hire,
train, and place in foreign countries secret agents who mast perform 540
percent of the dirty work connected with intelligence."
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"CIA," Colliers related, "plants its people in other countries as
consulate workers and other less important official representatives."
The journal gave examples of CIA leaders publicly announcing "Who their
agents were in an embassy and what posts they occupied."
It is an interesting circumstance that When Allen Dulles was appointed
chief of the OSS section in Switzerland during the war, according to the
New York:Times Magazine, "he was, for cover purposes, held to be a special
assistant to the US ambassador in Bern."
The military reviewer of the Now 'fork Times once wrote that there
are many CIA spies among US workers abroad. "Representatives of CIA
abroad," wrote Baldwin, "An every case are in fact connected
to US embassies and usually avail themselves of State Department communica-
tions."
The "means of communication of the State Department" are at the dis-
posal of the organizers of espionage, sabotage, provocations, and revolts.
For purposes of concealment they are listed as diplomats at US embassies
and are authorized to "hire, train, and place secret agents in foreign
governments."
Allen Dulles' agency makes wide use of this ramified system of
espionage and sabotage to shover the territory of the Soviet Union and
other countries of socialism with its agents, who are elpplied with arms,
Counterfeit documents, poison, ciphers, and secret radiotranamitters for
reporting information from spies. Captured and exposed agents of US
-imperialism, as well as those agents Who gave themselves up to the
motherland and were thereby pardoned, recently told the Whole world about
their foul activities. Their stories have taught the Soviet people to
maintain sharp-sighted, watchful vigilance against the intrigues of
enemies of peace and happiness of peoples.
, Alt the ruling saboteur in Washington is not only occupied with
plotting secret espionage activities. The organization of a police
service and the struggle against national movements throughout the entire
capitalist world are also subjects of his concern.
In October 1955 Dulles addressed the 65th annual congress of the
International Association of Police Chiefs (it so happens there is such
an organization) with an appeal to study the police business in order to
be ever ready to crash the onslaught of national forces everywhere.
The conference of heads of governments of four powers in Geneva in
1955 had hardly concluded when Allen Dulles demanded, "Don't yield to the
spirit of Geneva."
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In the interval between hi narrow, departmental activities the
younger Dulles supervised the state of affairs in the field of atomic
and naclear arms. In June 1956 be accompanied Admiral-Banker Lewis
Strauss, head of the US Atomic Energy Commission, to the Pacific Ocean
area Where US atomic and hydrogen bombs are tested.
'Tension 1.1.1 international relations is relaxing. Socialist and
workers parties are making new steps toward unified action in the struggle
against reaction, poverty, the armaments race, high taxes, and the danger
of war. But Allen Dulles is dashing around to the Congressional commis-
sion for investigating "un,American activities." In a speech published
on 1 September 1956 he demanded, "How it is impossible to ignore the
danger of parliamentary compromises with Communists."
The hated system of colonialism is crumbling. The peoples of Asian
countries led by an impassioned striving for peace, a better life, for
science, light, state independence, And soveriegnty, are uniting in a
zone of peace. Allen Dulles is not sitting placidly in Washington. In
September 1956 he set out on a round-the-world tour. His itinerary
included India, Indonesia. Australia, the Philippines, South Korea, and.
Japan. Oddly enough the capitalist press writes very little on the con-
crete purposes of this trip. The Indian newspaper Blitz gave a Slight
glimpse into the deep secret behind this Voyage. Allen Mullet:: and his
associates, the newspaper noted, travelled through countries of Southeast
Asia and the Par East in order to reorganize the activities of the Central
Intelligence Agency on the basis of "materials" obtained locally.
But this tour of the master of provocation and sabotage has not found
syMpathy and approval. His airplane had no more than landed at Djakarta
when representatives of official Indonesian circles promptly announced
that A. Dulles was not a guest of the Indonesian government. It is very
necessary to soothe public opinion Ada& is aroused and incensed by the
appearance of an old enemy of the Asian people. It is possible, perhaps,
to appease public opinion temporarily, but it is impossible to decette
the watchfulness of the people who vigilantly protect their own achieve-
ments.
The perspectives of Mr. Allen Dulles and his agents are joyless:
espionage, sabotage, and other means of waging of Wall Street's secret
war Cannot be effective when nations resist them. A saboteur can destroy
a dam and poison water in a well, but he will never succeed in destroying
the inviolable will of people for a new, bright life and returning them
to slavery under the masters of the Dulleses and their bosses on Wall
Street. No matter how Allen Dulles and his division of agents try,
their activities are inevitably doomed to failure.
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The Atom--Monger, Senator and His Sermons B. Leontlyev
-- Exclude the Soviet Union from the United Rations.
Sever diplomatic relations not only of the United States but all
capitalistic governments with the USSR and other socialist countries.
,
Refuse trade with the Soviet Union and countries of the people's
democracy. Use economic sanctions against the USSR all4 her allies.
In the guise of creating "international volunteer forces," launch
an armed invasion into Hungary.
All these suggestions were loudly and openly proposed by Senator
Knowland of California in November 1956 when a wild, provocative campaign
against the Soviet Union was waged in the United States and other coun-
tries of the Atlantic military bloc, in connection with the failure of a
counterrevolutionary revolt in Hungary. Indeed, this senator had proposed
such suggestions many times earlier, advancing implacable, aggressive,
misanthropic appeals. Any circumstances and events regardless of their
character or trend were used for this purpose. Senator Knowland grieved
at tidings of the strengthening of world peace and rejoiced at each
aggravation of international relations. He is, in the fall sense of the
word, the most thick-headed, inflexible preacher of preventive, that is,
a completely uncalled for but in his opinion "necessary," war against
the camp of socialism and democracy.
Rowever, it would be a mistake to view the senator from California
as some kind of "crank," "eccentric," fanatic, or even a ludicrous amateur
in politics of the United States of America. No, this prominent figure
of the Republican Party, the leader of its faction in the United States
.Senate is'one of the most influential members of the ruling groups in
this country. He expresses his pinions more frankly, more rudely, and
more cynically than officials of the American government.
Inowland is a phenomenon deserving the public's attention. His
impetuous career is characteristic of modern America. Such people move
forward in the United States. The atmosphere itself -- increasing reaction
in the North Amerioan state, the situation of war hysteria, and the arms
rade which enriches those Who actually rule America -- gives rise to the
Knowlands.
William Pife Knowland is not simply an enemy of peace. He is a
preacher Of war.
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&lowland is an adherent of the theory that peaceful coexistence of
capitalism and. socialism on the earth is "impossible." He furiously
defends the "doctrine" of political war against the People's Republic
of China. He has threatened. to resign if China is returned to its
legitimate seat in the UN.
No coexistence whatever with Communism is Knowlandls motto. Only
capitalism, he asserts, mast exist on the earth. As long as somehwere
in some' Country socialism is building, as long as one nation lives in a
new way which does not recognize capitalistic systems or the "leadership"
of the United. States of America, capitalism cannot be confident of its
future. All historical changes which have taken place in the world since
the Great October Socialist Revolution in Russia, in the opinion of this
Senator, must be completely liquidated. He will not agree to anything
less, you. see.
This symbol of faith," so close to the hearts of monopolists, which
advanced. Kneil*d to the position he now holds, made him leader not only
of tb!. epub11can faction in the Senate, but made him the leader of the
extreme, it'Wind ef the American bourgeoisie.
in:7?14-andis career was, indeed, a dizzy one. In all the posts which
Knowlaa'aubssequently held he invariably was the youngest person who had.
5u
ch Ch,a position. In the American biographic reference book,
at,...
;.,,, ptcrai?h,r, the word. "youngest" is repeated many times in connec-
tion with iiis name. "Youngest" member of the Legislative Assembly of
California in 1933. "Youngest" chairman of the National Committee of
the Republican Party in 1941. At the age of 49 Knowland was considered.
the most influential figure of one of the ruling bourgeois parties in the
United, States. In 1953-1954 he was leader of the Senate Majority and
sine 955- leader of the Senate Minority (the Republican Party is now
the mi*ority).
, ,
__
!Mat As, the ideology of the &lowlands and all who stand behind them?
What_ .s the ;foreign policy advocated by the sedate, influential group
within the ruling clique of the United. States of America?
Thexiorigin and. purely commercial interests of the Knowlancl family
are of,..'great 's1.0aiticance in understanding the ideology of the "young"
senator a4d'bie course in international policy.
..
_
The 13Q33, of a great businessman and newspaper owner, William Knowland
became one of the prominent political figures in California very early.
,...
In 1945, at the age of 37, he became a member of the United States Senate.
This advancement teok place without the participation of California voters
as the goverhor'of the state appointed him to the post of the late Senator
R. Johnson.
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It wa,s,hardly, by accident that this "happy o-pportnnityn befell
ienowland. The capable young go-getter energetically supported the
Republican governor of the state of California, E. Warren. This su.pport
had some meaning: William Know3.and and his father, Joseph, controlled.
the Tribe.ne, an_influentiai newspaper in those areas pu.bllshed in
Oakland, Warren dAd not forget his sponsors. In appointing Knowlextd to
the Senate, Warren had. merely repaid his political debt.
? Thus the advantageous position of his father in state political
ciiOleS benefited Kn,owlandis life ,and. career: Thus this prospering
American exploited. the Well-knOwn fact that in the United States the
preUe belongs to big capitalists, bosses of financial capital and is
used by them for their own mercenary interests.
The ee0ond essential circumstance conneCted with the rise and, personal
_
interests .?f the senator lies An the fact that numerous firms in California,
of which he is even now, considered the director, have always been, interested.
in the Par East market particularly in China.
1945, when Knowland became a senator, was not only the year of victory
over the German and. Japanese aggressors, but also the year of the inten-
sive economic penetration of the United States into China, which was then
ruled by the Chiang Kai-shek clique. This, vast countxy represented, to
? American monopolists, a new "Eldorado," an inexhaustible source of profit,
an almost gratuitous labor force, and a favorable sphere of capital invest-
ment,. One-sided agreements concluded by Chiang Kai-shek with the United
States government, it appears, transformed China into a semi-colonial
American territory many decades before. At this point all American com-
petitors were forced out -- Japanese, German, Italian, and., to a large
degree, British and French monopolies.
1
But the first years of Knowland.? s "big" political activity coincided
with the great anti-imperialistic war of liberation of the Chinese people
and with, the d.ecisive defeat of the corrupt Kuomintang clique, Which was
exiled. at last to the island of Taiwan. The senator from California,
being vitally interested in the profits of American companies which have
long enriched themselves in China and throughout the Par east, became
the acimowledged leader of those forces which invariably supported and
, ,
still support the Chiang Kai-shek clique, which in turn exerts great
influence on the United States Congress.
The nickname "Senator from Formosan has stuck firmly to Knowland.
,
Together with California plant owners and. bankers, he is interested in
seeing 'that China never beeomes a free, sovereign country and that it
remains under tile control of American monopolies as in the past.
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Knowland.,is the most malicious, uncompromising enemy of the Chinese
people., Ea is famous for his anti-Chinese speeches both in America and
abroad. But it would be incorrect to consider that, Knowland' a hatred of
the People? s Republic of China is the sole and chief motivation behind
, .? , ,
his political activities. This hatred, like his mercenary personal
interests, is merely the seasoning in a much keener dinner, merely a
graphic contirMation of the class base on which all aggressive American
policy, the policy from "a position of strength," is founded.
'rep, it was no accident that this prominent capitalist, smart operator
and careerist and dalifOrnia senator became the leader of the imperialistic
,
cliqUe in the United States and. one of the leaders of the "war party." The
"loss" of China and significant portions of Indo-China, the "loss" of
countries of the people? s democracy, as .American governmental. figures and.
pampleteers prefer to express it, was painfully received by monopolies
of, *mkt/nit-Oct States which determine the policy of this government. The
arfived at their own special conclusions from these great events
in world- history.- 'These conclusions formed the foundation of all the
malicious appeals of American militarists for strengthening the arms race
and halting the process of lessening world tension.s.
Eere are -these "conclusions."
Itioaand- rejected the -idea of coexistence of different social systems
on^ tarth One Of peaceful competition among them. He spoke' out many times
subject, arousing alarm time and. again in the bourgeois, '?al1y the British, press. He was repeatedly called. Upon to refute
the -de9-rooted Opinion that in fighting for a "preventive" war, he
propoiret; in essence, a War for achievement of American world. supremacy.
Bit his "refutations" only confirmed this opinion.
, In it December 1954. issue, the New York Timek Mae,azine published an
ntervlew,e9it1t1ed "Know/and on United States Foreign Policy." This,
you please, was the most complete, most frank statement of views on
this idioloiy of a third world war, barely concealed by hypocritical
phrases.
-"A meeting with the Soviet Union on peaceful coexistence," the
senAtOr' declared in it s interview, "would. be a fatal mistake." Knowland.
wants neither a meeting nor coexistence itself. And Knowland. did not
change his position even after the Geneva Conference. On the contrary,
he began to defend and propagandize it more widely and more violently.
Why l 3i4acense by the term "coexistence" Comnrunists imply peace and the
peaetul collaboration of governments of different systems. This is un.-
accePtible for Knowland 'because "coexistence will mean legal and moral
recognition of the iron curtain which now exists."
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These words of the "Senator from Fromosa" on the "iron curtain"
need. explanation, for not everyone grasps his allegory. In this case,
by "iron curtain" the senator meant the mon-artificial curtain created
by imperialistic countries around the states of the camp of socialism
and democracy.
Knowlan&opposes "legal and moral" recognition of the camp of
socialism and democracy, the recognition of the right to life under the
socialist system. In this sense he formulates his program quite clearly:
if the United. States agrees to peaceful coexistence between the two
systems, then, by this fact alone, it renounces the intention of destroy-
ing the other, non-capitalist system.
This Champion of preventive war wants to "save" the peoples of the
democratic states from socialism, national democracy, and. national
independence. Loathsome hypocrier has always been one of the distinguish-
ing dharacteristics of imperialists: they have not committed one crime
against freedom and independence Of nations, without peiforming masses,
without praying to God, without proclaiming throughout the entire world
their devotion to "freedom," "democracy," and "equality."
Knosaand does not agree with the genuine independence of countries
of socialism.
Be wants to "free" them, that is, enslave them. True, to a direct
question from a journalist, the senator answered cautiously, "This does
mean, exclustvely liberation by means of armed fordes." Not exclusively,
hut, it seems, preferably. However, there follows an Oilanation of -
other !'methods" which differ little from war, althoUgh they are termed
"establishment of contact" with American secret agents within these
countries.
For experienced readers of the New York Times Magazine the senatorle
Aesopian language is understandable. He blandly and frankly states his
Opinions. Expanding on the benefits of severing diplomatic relations
with the USSR and the fact that the United States "does not feel
animosity" toward the Russian people, Knowland declared that it cannot
consider the Soviet Union "as having the right to occupy its place among
law-abiding countries of the world."
This means the Soviet Union was established "illegally" and that the
senator does not consent to granting it the "legal" and "moral" right
to existence.
This is the first and fundamental point of Knowlandls "program" to
which all the rest are subordinate.
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The Californian senator and his group exert great influence on
AmeriOansolicy. They express the will and opinion of the all-powerful
4114924.04.100hopolies ? the actual bosses of the country with whom the
PzeuldeAt?and. the secretaries reckon. If Kalov/land demands not a
mo3,34f.14ation but a further aggravation of international tension, it
mean.s this is the demand of American monopolistic capital*
Ifaithful to his basic "program," the senator, in connection with the
than so.atemplated four-power negotiations in Geneva, demanded, in May.
; '19255,9 int ertere ncjo. 42 _the affairs of countries of the people's democracy
and. 4etac .);tpeart of several union republics from the USSR.
World. war ? as soon, as is possible ? is the second point in
Knowlandg s "program."
),04g article in Colliers was entitled. "We Must Be Prepared to
%.iliaga War Xow," It _concerned large-scale, world, total war. "When I
?At wage yar, _I d.o_ not mean a .ziew small war," the senator emphasized.
11.9.APAN143.41,144.1t..447 failures in "small" wars, instigated or supported
ttz, the T.Ipited. States. ,"Our inability to gain a victory in the Korean
war," the senator wrote, in his article, "can prove to be one of the
greatest mistakes in history."
In one of his speeches to the American Senate, &lowland explained ?
in hazy, unproven expressions but ones comprehensible to those who know
W4t...04.1l.eing discussed. -- Idly he wanted. to launch a world. war as soon
%It-possible. In his words, sometime "between 1957 and 1960" an "atomic
,isWe.afttes"
as he calls it, will ensue, that is, a balance of the forces
of tbe...397.19I...Unionk and the United States. By then it will be too late
to,.?etar_t wax, by _then peace will be established for a long time.
"Times .passes and. I repind the Senate," the bellicose senator said, "that
now in the century of airplanes and. atomic weapons time is certainly not
on the side of the free world."
7 1'41 Ilikat Soild 13e.. more clear and instructive than such an admission?
It ?watsa40,..0 by a. man who eulogizes the "free," that is, the capitalistic
world.. is mau.nnderstands that the system which he abhors and abuses
in stray possible way, the socialist system, possesses greater oppor-
,itua,tieL.of Atrewtherting its material and. moral forces. Time works in.
its behalf because it is better, it possesses more vital capacity, and
the future belongs to it. For this reason, the Knowlands declare, it is
oxequgpay to attempt to destroy it as soon as possible.
-f 3 ? - -
In. the same Senate speech, Knowland explained that it is necessary
to wage war against the "chief enemies," whom he considers to be the
Soviet Ui4..on and the. People's Republic of China equally.
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The third basic theeis of the zealous "Senator from Formosa" is
implacable, ruthless war against the People' s Republic of China. Year
after year, month after month KnowlaniMakes speeches replete iath hatred
for the Chinese people, for the greatest nation in Asia which. "dares" to
become ,sovereign and. Independent of American monopolies and. Californian
capitalists' whose Interests and. piofits Knowland*defends In the American
Senate. In 1951 Knowland. spoke 103 times in defense of Chiang Kai-shek
and. against the People's Republic of China. In recent' years he has
found. much greater pretexts for anti-Chinese "hysteria": he was
"menaced" by the armistice in Korea and fought in every possible way
against the possibility of its conclusion. However, it became a fact.
In 1954 he fought against peace in Indo-Chin.a. In spite of the strength
of the Knowl.Esnds, Indo-China was not successfully converted into a new
base for aggression against the People's Republic of China.
Me wages such battles with the ardour of an evangelist," wrote the
New York Times, picturing the behaviour of this misanthrope," and in the
course of his activities he creates most dramatic scenes which one can
often see in the Senate. His appearance is sombre and decisive, and his
face 18 crimeon red. from tension. He gesticulates energetically with
a clenchea list to emphasis his ideas, while his angry voice thunders
like an organ."
Knowland is hostile to every event in the international arena which
promises to lessen tension. He was delighted in the late months of 1956
when a new aggravation Of the international situation 'ensued.
When 'the counterrevelutionary mutiny broke Out initungary, KnOwland
was one o the first to declare himsef an ardent supporter and. patron
of the fa n.
scist reaction., which attempted. with weapons in hand to over-
threw the power of the people. The ludicrous, provocative campaign
around the notorious "Hungarian question," which was adopted in the General
Assembly of the UN by order a American diplomacy, did. not 'even satisfy him.
Knowland makes speeches, writes articles, and gives interviews. He
asks, demelds, and. threatens Swift aid. to the Hungarian patchistet
Zxpel Hungary from the UN% Yes, and not just Hungary ? &Lowland demanded.
,
the expulsion from this international Organization of one of its founders ?
the Soviet Union, which went to the aid. of the Hungarian people and.
rendered it brotherly pport in combating the fascist cou.nterrevolutiOn.?
Knowland anatheMizes against the countries of Asia and Africa who refused
to faSror tie row inspired by the United 'States in the United. Nations.
The letikder of the P.epublica.ne in the Senate insisted, on the creation
of an "international police force" of interventionists who, according to
his plan, would. to to the aid of the forces of the reaction. He would
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convertherpi into,aajnternational,police station where one could
bring all,thpse Whodidn,!4 want_tg,bscome vassals.of the United States.
,.But forNea107 for Ith,Tgi and the.dissatisfaction of the Xhowlands,
Ahie did:no.(depend on them.
Th. sten is .Ws.441:7994te Of war,wtth.....tha mandate of a senator of
the Dicif4d q,atql3.1,n_hip, pocket. He ha-tee-Peace because war is advanta-
gedUs-to 'him. Andter.this all eke hate war despise him.
, r .
;
"The Police -- Above All" O. Prudkov
E
tOil the cover of Ti was portrayed a man with shaggy, beetling
eyebrows. Behind the portrait the artist had. fashioned an original com-
position symbolizing the profession of this man, pactylosoopic tracing --
tisemblin? fingerprints -- personified the system of shadowing and.
espionage. 'A hand was thrust out of the tracing with a finger pointing
at an American escaping in fright.
? .
Before usis J. Edgar Hoover, head of the so-called Federal Bureau
. _ _
of !ivestigation of the Department of Justice of the United ,States.
Millions of simple Americans are enmeshed in the networks of the
FBI. In itssafes are kept teas of millions of fingerprints, thick
dossiers (compilations _of . document ) reports, poods of accounts, mate-
rials, etc., etc. Congress appropriates vast sums for this. Thus, the
,FBI i,one_o,f_the chief weapons of the ruling circles of the United States
in ?4plementing reactionary laws, Its .'40:k is to _organize reprisals
against all differently Minded people and against progressive forces in
the. country. , The FBI is an organization Which must suppress efforts of
,the,rai4randllile American ,for peace and prepare the country for war.
;Er/he head of the FBI, Edgar Hoover, supervises all this.
The ,Napoleonic minister loouche was fequaLle_f or_ his cunning and
peihAi. *limier, the Chief of the Gestapo, was an executioner and
giadAit. If historians, are ever interested in the personality of Edgar
OOver, they ,undoubtedly Will note that the, basic feature of his character
and hypocrisy.
:In Edgar, Hoovers hypocrisy lies his logic. , The American, people do
bt support the aggressive policy Whidh the monopolists of the United
States pursue, This policy is Shrouded in peace-loving positive state-
ments. The Federal Bureau of Investigation hoists a sign "Loyalty,
Courage, Incorruptibility," over its espionage activities. This is the
Official motto of the FBI.
_
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Edgar Hoover learned his hypocrisy as a child. He industriously
attended Sunday school and sang psalms. in the church choir. His mother,
Current Miograohj reports, was a religious woman, "a strong adherent to
the 'principles of Calvinism.", The future chief aleuth listened to her
extensive sermons On good aad evil and. dreamed of a career as clergyman.
These plans were approved by a certain Reverend MacLeod. Mho poured out
his eloquence upon Edgar. An atmosphere of sanctimonious piety reigned
in. his home, "We never sat down at the table," recalled Hoover, "with-
out gliing thanks to heaven..."
In his school years, Current Biosranhv reports, Hoover "refined" his
comrades' high morals. This, however, did not prevent him from carefully
preparing his career by directing it on a. path quite apart from theology:
Hoover's:mother wanted her son to become a minister.
Finishing university and receiving his bachelor degree and later a
law degree, Hoover began to clamber stubbornly upward on the ladder of
? ranks within the Department of Justice.
He distinguished himself in the shameful Palmer raids in 1919 and
1920. War and. bitter economic crises stirred up the broad masses of
American workers. The Great October Socialist Revolution brought the
ideas of genuine sovereignty to the very shores of America. The rulers
of ten's minds in the United States -- the Wall Street magnates -7
resorted to terror. Mass arrests, slaughter, deporting of "radicals"
began Under the supervision of the Attorney General Palmer. More than
6,000 people were then illegally subject to police repression.
Hoover stood behind the scenes of all Palmer's operations. Several
years ago Kea:Lowenthal, in his book, Tjlel_e_dei_:._4g_BureauofInvestiation,
bared irrefutable facts of Hoover's active participation in the "Palmer
raids.," Cummings, former Attorney General in the first years of President
Roosevelt's stay in office, testified that "under the direct adminis-
Arative leadership of Hoover" in 1919 a "general bureau of investigation"
was established,' and that the mrgpression of "radicals" was Hoover's chief
responsibility from the very beginning of his career. Hoover and his
bureau, which was called the "anti-radical" bureau, began to fill exten-
sPre 4k2es with notes of any rumors and gossip concerning so-called
"sabversive"_elements. Mass illegal arrests aud deportations in the
period 101971920 were the first big job for Hoover. He personally
mxpervieed all these operations and thereby made a career for himself.
In 1919 Hoover was assistant to, the notorious Palmer, in 1921 -- assistant
director of the FBI, and since 1924 -- its director. Hoover was then
only 29 years old. It was not without reason that he received the nickname
"Smartie" in school!
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,Hoover made himself famous in another no lege shameful affair.
Dating the, first world war American aircraft companies were manufac-.
tiring wholly unsatisfactory airplanes aptly called "flying coffins."
Aircraft industry magnates staffed their pockets with dollars as pilots
were killed. When these unsightly facts became known to the public, a,
storgrof indignation broke out in the country. But serene calmness
reigned in the Department of Defense and the FBI. Themis kept silent.
Attorney General Daugherty and his closest assistants, among whom was
Edgar. Roover? made great efforts to hush up the scandal of the "flying
coffins." Just as in the "Palmer raids," Hoover remained in the back-
ground behind the scenes. But his zeal and loyalty to the interests of
ionoPelies were undoubtedly noted.
Hoover has held his post continuously for more than 30 years.
The scent and habit of a police dog, the readiness to serve greedy
magnates on Wall Street, and hypocrisy and bigotry helped him to retain
his past through four presidents and ten attorney generals: Republicans
and Democrats alike need Hooveranntbckhranka tatarist-Rxsiandecretpolitical
police]. Monopolies, the real bosses of America, desperately needed his
services., Congressional appropriations for espionage-information,service
gr6iilfroM year to year. In 1917 the FBI was forced to be satisfied with
$618,000. Now appropriations for the FBI run into the millions of dollars.
,
-idgar Hoover's hypocrisy, his indelicate ways, and his clever self-
advertisement reached unprecedented heights. .Pages of the American and
even Western European press are filled with eulogies of Hoover and the
FBI.
See what successes Hoover has achieved, the American press would
have you believe. He cleaned the FBI of criminals 00, he created a
,"police of a new type," organized a criminal laboratory, and founded the
"Academy of the FBI" in which "picked police officers from each state
and Many foreign goVernments" study modern methods of coping with "sub-
versiveeaements." In a word, Edgar Hoover works day and night expanding
and. extending the system of police investigation and observation over all
,.Aniericans.
In the opinion of his newspaper supporters, Hoover merits special
thanks for creating an extensive collection of fingerprints. In the FBI,
he boasted, there are even the fingerprints of Eleanor Roosevelt and
former Mayor of Sew York City, La Guardia. The point here is, of course,
not in these dactyloscopic souvenirs but in the fact that Edgar Hoover's
,dspartment firms the foundation of an espionage net which engulfs the
country.
The American press enthusiastically depicts the FBI building in
Washington. Thousands of tourists visit this imposing building "full of
air." Neat, carefully =informed guides conduct tourists through the
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spoils of the FBI. Here is the deathmadk taken from the Chicago gangster
Dillingervkilled by FBI agents. Next to it is a, law library and a
'Shooting gallery. On the fifth floor is the office of the boss, humbly
called the "cave of Winds." Workers in the FBI, relate, and. not without
some witisfacWm4 that their famous card index contained 116 million
fingerprints in 1952. "But," emphasizes Time, "visitors to the FBI will
never see ie card index bureau, of thousands of simple citizens of the
'United States,"that is those who are under surveillance and Whom the
American okhrnka watches.
Thousands of simple citizens. Thousands of opportunities to put a
man to a civil death, to snatch him off the street, and force him to die
from hunger. Any "differently minded" person in modern America can be
accused of "subversive" activities. At Hoover's service is the law on
"internal security," which stipulates compulsory registration of "sub-
versives" and actually all Who are objectionable to the 11,0m of organi-
zations in the Department of Justice. In 1954 the United States Congress
passed a new law Which declared the Communist Party Illegal. The FBI is
.completing work on preparations for reprisals against differently minded
and simple thinking Americans. Hoover and his agents are .gathering
"evidence," "proof," and ascertaining people's "sentiments."
How does Edgar Hoover and the okhranka which he heads operate?
. Entering the FBI, Hoover leaves his mask of a pious Christian,
democrat, and defender of the American family, together with his hat amd
coat in the cloakroom. This well-bred gentleman and worthy student of
Reverend MacLeod has turned into a detective who does not disdain to use
the vilest, most Shameful means in his hunt for people.
Bearded Bill, exhausted and emaciated, vent to a workers' meeting,
held a poster bearing the words "National Unity," and joined the demonstra-
tion. Bill was marching in a picket line and distributing leaflets con-
cerning.a strike. Friendly relations with workers had been arranged,
their confidence was assured. Bearded Bill is an FBI agent. This story,
told, in Look,, dhows Hoover's working methods. Provocation, espionage,
shadowing. One of Hoover's assistants declared that secret FBI agents
"are sent on missions into labor unions, educational institutions,
industrial, commercial, and other organizations." The "other" includes
everything from churches to night clubs and Boy Scout organizations.
Moat varied. information is placed in the extensive card files. Informant
WiL4p? and his friends have reported that actress Helen Hayes spoke at
- .
an evening meeting organized by "Rods," and the Republican senator from
New Hampshire, Tobey, visited a meeting of "leftists" in Madison Square
Garden.. Husband X loves to read the bourgeois liberal newspaper, Bew
Pepublic?retc.,etc. When it becomes necessary to rain a man, Hoover and
the FBI fabricate a criminal case from this petty information. The result
is always the same. At best -- loss of a job. Often -- a long prison
sentence.
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Here is one of the cases of which the FBI has thousands on files
report on it appeared in a Western European newspaper. John Lincoln,
a scientist, naively believed in American "democracy." In the beginning
oY 1949 he was drafted into the Army.. The chief of intelligencein_his
unit suspected that Lincoln was a Communist, The investigation began.
It turned out that the FBI ha information on Lincoln from the age of 12.
The file contained many details of his conversations with teachers in
his grade school and in high school. Teachers were asked about his views
when he was 17, 15, and even 12 years old. Everything was interwoven
and reported, rumours and gossip were summed up in a 7-page document.
What "compromised" John Lincoln?
A former landlord "had not recommended that he be entrusted with
sedret work in the United States Army."
One of the school teachers affirmed that Lincoln "had expressed
radical ideas" at the age of 16.
-I -A certain acquaintance had heard it said that Lincoln was a Communist
during his student years.
While serving in the Army, Lincoln had received a letter from a
_
labor-Union worker which contained the latest labor-union news.
Acertain informer reported that the "subject of investigation is
, _
a great supporter of Franklin D, Roosevelt,
The subject, It turned out, was filled with "reckless ideas" on
culture and, in the words of the informer, read poetry,
Apparently, this latter "offense" of Lincoln taxed the patience of
-
the powers that be. He was declared %nivel."
The. trial of Lincoln was typical. A dossier like the one that ruined
,Lincoln, a dossier where efficiency is replaced with stupidity, follows
a man even, when he leaves the territory of the United States. An example
is the Ward case.
Herbert and Jacqueline Ward are artists. A musician and a ballerina.
RBI maintained careful shadowing of the artists. Then they took part in
Ythe World Youth Festival, In 1953 the Wards traveled to Vienna. "Then
we .idnot know that a dossier, compiled by the FBI, follows each 'suspect'
American. Spinks, the vice-consul in Vienna later told me. As soon as
we arrived in Vienna, our passports were taken from us. Later, for no
reason at all I was thrown out of an American theater, the golm916 in
Vienna. Interrogations and summons to the consulate coupled with endless
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j
othreats, bean. For two yearp.I was subjected to this system of intimida-
tion, which is now the chief feature of the American public life." These
are the wordsef Aerbert Ward. He uttered them after requesting political
asylum from the Czechoslovak government.
Edgar Hoover is trying to place Americans in a state of ceaseless
fear.
This fear is necessary to counteract any opposition to American
aggressive policy. No one can feel secure and no one can deceive
?
"omnipresent" Hoover and his agents -- this is the leit motiv of all
advertisements of the FBI in the press. Hoover and the bourgeois press
are tirelessly pouring oil on the flame. On the pages of Pathfinder be
wrote about perfected means of photography with secret cameras. "The
subject does not know that he is being photographed. Pictures can be
made day and night." An article in Look explained how FBI agents can
overhear any telephone conversation. In This Week, Magazine Hoover
extolled the cunning and resourcefulness of FBI agents. And in United.
States News and Werld Report, reviewing the results of his work, he
boasted, "The sixty-first Communist leader has been brought to justice
and condemned to aperiod of 261 years and payment of court fines of
$361,000L "More than 200 progressive organizations have been declared
"subversive,"1
An Old Toatie. wing, "man if a wolf to man," resounds for Edgar
Hoover:. menieoeoeleuth to man. ,An informer andoprevocator becomes a
national hero in the UnItedAtatee The sleuth' ?
Philbrick is solemnly
;
henored in Beeton. American newspapers suggestively play up the sizeable
*MS which are paid to informere., Recruitment of spies is in full swing,
supplying monopolies with "cadres."
'
In his efforts to secure more informers and spies, Hoover has even
appealed to draggists. An article appeared in the apothecary magazine,
. _ _
Drug Topics. The chief of the FBI wrote, "There are few people, un-
doubtedly, who know the life of their area as well as American druggists.
Their drugstores ,and dope are the center of all public life of their area.
They are located in a conveniently strategic position for discovering...
traitors and can render valuable service in catching and exposing them."
The newspaper Peoples World ironically beer-fed that the following prescrip-
tion will be sent to druggists: "Eavesdrop and report four times a day ...
Doctor J. Edgar Hoover."
The FBI is one of the chief weapons in the straggle against progres-
sive forces in the United States, against the Communist Party. Informers,
spies, and provecators of the FBI serve as witnesses for the Preeeantion
in anti-Communist trials, On the basis of false testimony, leaders and.
activists in the American Communist Party were thrown into prison. Time
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called ,these trials a "national phenomenon." How this "national phenomenon"
rieUils the Gearing provocation of the burning of the Reichstag! Now even
:the United States Supreme Court has cast d&ubt on the legality of convicting
-rtantimber of Communists on the basis of the notorious Smith Law.
Hoover's agents control an entire system of shadowing and espionage
in enterprises. Bus, former director of the Detroit branch of the
Federal Bureau of Investigation, holds the position of vice-president of
the Ford Motor Company for "labor relations." The Bugasses openly
implement their orders in plants and factories. Thus they are supervised
by the direct:'insturctions of the rational Association of Manufacturers
(BAK) headquarters of American monopolies.
44e'so-called apoument_No 60, formulated 17 the Council of the
Natien4 IndUitzial"Conference (one of the departments of the PAM),
_
amtboriZes Or tliirayarpose the use of informers and sleuths, the taking
of fin erP , rints administering the "loyalty" oath; and "verification" of
,,..
-
the opinions and sentiments of workers.
. ITowte provvators themselves are masking Hoover's system. The
. h e e un
. _ . _ _
scan4alous)4s4:usow affairihed bright light on the activities of the
Federal Bureau of Investigation and on Edgar Hoover;
,
When an FBI agent and Matusow, a provocator, confessed to giving
false testimony, the whole unsightly kitchen of the Federal Bureau ,of
Investigation and other organs of American justice was uncovered. Soon
after MatUsow, another professional sleuth, a certain Browns who had
been receiving about $200 a month from Hoover, publicly confessed.
Elizabeth Bentley, the "'queen of spies," was unmaaked. These failures
did. not disturb Hoover. After Congress passed a law banning the activities
of the Communist Party, he again urged the "denunciation of the leaders
and members of the Communist Party." Denounce, denounce, denounce.., the
elle* rang Out from the Federal Bureau of Investigation. When informer
BroWU-tOld'one of theFa workers that he cOns0Sred the'Reienburgs, who
were etecUtedenfalse charges of "atomic espionage" to be innocent; the
FBI men Ointo4ly answered, "Does it make any difference?" Yes, Hoover
-Alloei not care a bit that the facts he needs do not exist, But ,"facts".
can be fabrieited. And cheaply only $25 a day. Hoover has enough
agents for this purpose.
- - ?
Matusow's admission threw great light on the vile activities of
Hoover's department, which fulfills the will of American magnates of "
capital. Here is what he related in his book, False Witness, concerning
the penetration of American Political police into different organs of the
11100d States. When Matusow Served at an. air base in San Antonio, a'
certain -Martha Edmiston -- an FBI agent operated there. Her husband,
Alsoan agent of the Federal Bureau of Investigation, operated as editor
of a loci. newspaper; .the Journal Herald. Jim Jenkins, an FBI agent, it
a lawyer in Dayton.
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During the 1952 pre-election campaign, when Matiasow travelled through
the states giving speeches in: favor of McCarthy and. his supporters, he
ran. into FEI, agents all along the way Who bossed different organs of the
Republican Party. In particularo'the committee whichdirected the eam-
paign for the re7election'Of Senator Beton of Montana to the United
States Senate was headed by a Certain J. K. MerrOi a "former" Fla agent.
Several FBI agents handled the notorious Senate subcommittee on
investigations which was headed by. McCarthy: a certain Don Conners --
?"the investigator of the subcommittee,"and Donald Su:rine, "a former
agent." To this category also belong MeCarthi's other assistants --
Hawkins and:Julian. Through these representatives the American okhranka
undertook different"investigations" and palmed off their spies and
provocative "materials" -- forged documents -- on the subcommittee.
,
McCarthy'S reputation was almost hopelessly tainted., and reaction
for several years prior to his death did not find it necessary to resort
to his services. Another "witch hunter," Senator Eastland, advanced to
the forefront. -ge headed a subcommittee on questions Of internal security
and also held the important poet of chairman of the Senate Judiciary Com-
mittee, According to. an acknowledgement by Time. Eastland "belongs to
thoseijeopla4ho, above all, are hated in the United States." He enjoys
:the well-deserved reputation of an inveterate reactionary and racialist.
Eastland is a yelLito.46, Southern planter and tries in every Possible
way to maintain the status of the :Negro, who is deprived of civil rights.
When the United States Supreme Court decreed that Negroes cannot be
deprived of the right to vote, Eastland deelared that Communists operate
the court from behind, the scenes. Throughout the war, he came out with
such revelations as "The Negro soldiers does not want to fight," "He
betrayed. his country's flag," "He does not want to work." The minutes
of the Senate are, stained with the countless, racialist pronouncements
Of Eastland, who heads the Moat reactionary'wing of the Democratic Party --
the so-Called Diliecrats. He violently protested the United States
Supreme Court's ruling on. desegregation in state schools. Using Hoover's
'bloodhounds, Eastland followed the well-trodden path of provocations and
different "investigations."
In the spring of 1956 Edgar Hoover mulled over the days of his youth
and the days of his collaboration with Palmer. In a truly Palmer spirit,
FBI agents performed a series of raids on Communist Party offices and on
the newspaper, Daily Worker. At the same time a trial of seven ComninTasts
was proceeding in New York at which John Lwatner, Matusowle associate and
a professional informer, like a schoolboy, repeated a lesson which be
learned by heart at Edgar Hoover's establishment.
The new wave of anti-Communist hysteria which surged throughout the
United States was, as American observers justly noted, "like the ease of
the burning of the Reichstag, only without the burning". It evoked. changes
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in the_irOernatiO4A1A,ituat,lon, AAA appeared to be the response of the
"witch-14liter, tO'tbietrise of peaceful _sentiments of Americans. Pro-
IrocatiTe,raMES 04 afAPIP.pf-t4,..P44141,1104;arti of the United States,
new anti-Comm4niet /riti41.0an4 * series of investigations of_Eastlandld
subcommittee,soughtAO ",.ilemionstrateli that peaceful coexistence is. in-
possible and that is *possible to deal ?with the "HeAs."
-4401-,n4 mad' VgAngements to ,announce an inveetigation on "the
scale of Soviet activitiesli in the United qtates and Hoover of course,
read.ie. paid. agents_fOr this provocation. They were delivered to Eastlandls
subcoMmittee where they presented "evidence"on the "malicious projects"
4qi9P4nni*.e, Winst -the,4eric*n government, The switch hinters" dld
not Opp!at itraightforwaii,Aarcegy*, piringthe interrogation before
the eubOpmmi)tee.of the lieu? ,P,Atteit,was made clear tbet FE.; agents
had secretly entered his living-quarters and stole "Communist literature"
there*, By the way,_among,those "docnments",yas a newspaper, For A Lasting
PqAce-andAlsqPVILPIS DemocragY1D anktheAireotivee of the. 20th Party
q."41:131" on. the Five-leftr, ?Agn. 211,8e .r4 0,1sPlaYed before the rah-
Ommptelelas, "material.evciAemoe" of anj47governmental sentiments_pf
1:OMMhni4s. By similar methods Eetstlend.Attempted to intimidate Americans --
wOrkers.of *yew Tork,ranch of 1,A?? ,-,-,in order to cast aspersions on
the activities pf?the'.$oviet Hews Agency. Eastland's zeal was popularized
in the. Aperipan bourgeoie preeso He attempted to accuse several New York
Times employees of being "Commaniste." _Speaking about the investigation
of the "scale of Soviet activities " an investigation unparalleled in its
,
btazenness,-Eastland,declare?rankly that, his purpose was to achieve
adoption of new "legal measures."
an attack on the rights of Americans AnA' on, their Constitution
- - -
was iraged by the united forces of the FBJ and reactionaries from Oongress.
One Of the 4.1.2',4tsitejleeat bulletins , was recently entirely devoted
to:detiitland "investigation." Stone asserted that "The Time has come
to Aeli7er ablow to*it9h kintere. 111.?J0,94of the evil lies in the.
existenOlkof Congressional committeesch are invested with the.alithority
to,iveet:iiate peppiest opinions and label those whom the committees Inspect
as "subversives" or "anti-Americans."
It_is said that when !Agar, Hoover was appointed director of the FBI,
the ollgM.,ng diaioeepasseebetween him and the attorney generals
'Young man," said the attorney general, sI want to appoint you director
_ ,of the PHI." "I accept," replied Hoover, "on two conditions a first, 3710
politiv4second, no interference from 'without,*
The attorney general, the biographers note, accepted these conditions.
But for more than 30 years Hoover has engaged in an active politics. All
Q f his,activities have been aimed at pipportingthe policies of American
nOnOPOlies. In the 19400s he visited the pro-fascist saloon of the widow
of Madeash *a publisher, where over cocktails, he shared secret opinions
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with the bo !es of American ramjets 64 the "American First committee.
r
The members of this committee were closely connected with Hitler's ,
underground in the United States.' It is clear why the Unmasking Of
nntirouS-Naal agents operating 123:the United States was never effected
by the '1131.
The American press and. Hoover himself now advertise the FBI's role
In the var. But a, fair evaluation of this role was made in Lowenthal's
book mentioned above. He called these activities "comical" and showed
that all cases of spy expods, *doh had been attributed to the Federal
Bureau of Investigation, must be attributed to others as well. Two
Nazis Who landed from a submarine were caught, not by an. FBI agent, but
by a sevonteen=year-old boY. Lowenthal paid for his words of truth. His
book was quickly Withdrawn from sale.
There was no time for Hoover to contend with criminals and gangsters.
According to information from the FBI itself, a serious crime Was COmmitted
every 14.9 seconds in the United States in 1954. In 1956 a record'inmber
of serious crimes -- 2,534,000 12 percent more, than in 1955 were com-
mitted. Hoover and the FBI have been continUausly engaged in creating
a situation of terror in the Country, spreading the "philosophy of fear,"
and suppressing progressive activity.
Has this work been successful? Listen to Edgar Hoover himsel(.
This cheerful man, as the magazine Eye and Ear calls him, has suddenly
become a pessimist. In American Magazine, in an article entitled
"Communists Are Trying to Master Our Minds," Hoover was forced to admit
that in spite of terror, shadowing, and persecution, the Influence of the
Communist Party of the United States is "much greater" than one might
suspect. Hoover cannot but admit the popularity of the ideas of peace
and democracy for which the Communist Party sturggles; he cannot but
admit that the Communists exert influence on the workers2 movement. It
Is with good reason the work of Edgar Hoover and his colleague, the
A. F. Stone Weeeklv, is called an "act of despair." He wrote that "It
appears that we are on the verge of terror, organized by frightened
people who feel that power is slipping out of their hands."
For this very reason Hoover shouts about fictitious dangers which
threaten to ruin America.
What are these "dangers" from his point of view? Hoover answered
this question on the pages of United States News and World Report. The
dangers, it seems, are that: 1) American Communists have demanded peace-
ful settlement of the Korean military conflict; 2) they have appealed
for the recall of American troops from foreign countries; 3) they want
a pact of five great states, including People's China; 4) they want to
trade with countries of the camp of democracy and socialism. It is in
these things that Hoover sees danger for America -- in the reasonable
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and legal demands of sensible Americans who are fed, up with the policy
"from a position of strencth." The number of people who raise their
voicep fp;v9r of obli.kerating the spectre of atomic war is increasing
i.te t gct e ? TW, 3dgar Hoover has faith in himself._ Re writes
aitiates and speaks before Congress. His writings and his speeches are
imbued with the spirit of the "cold war" and malice against Communists
and, ,s1,1, progressives. As usual he intimidates Americans with a mythical
COMM41;13 t conspiracy."
,4,e American press has called Hoover c !great crusader" and "great
America." , Tlry portray him even as a certain "national tradition."
But here s 4tere, Hoover. and,his co3.1eagu.es violated the law, in the
opinion di New tork lJudge Frank Oliver. In New York, the judge declared,
"a man's home is not his castle. It is merely a dust-bin in which police
can rummage. One mention of order causes lawyers to roar with laughter.
If rxx want to asp a policeman roll on the floor with laughter, mention
fmt,arl?liattlirtant ,gonsfitutional rights on search and. seizure of
roierty h
-
The police laugh at the Constitution. FBI agents smirk while
popi?g handauffs. The lowly American does not trust the hypocritical,
pro se talleof Hoover who, leaving the FBI building, wears along with
his hat and coat, the mask of a one-hundred-percent democrat. Ordinary
people see him as he really is -- the chief of the political police.
ior a. .or:tg time Edgar 110037,er has persistently woven far-flung net-
works of espionage. He wants to pow terror and confusion in the minds
of the Amerifan people. But, unafraid of the Hoover's web which has
entspglftd them, Americans who support all progressive mankind are waging
the struggle for peace and for their democratic rights.
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M. Vilenskiy
In a suburb of Paris between Versailles and Saint-Germaine stands a
small town of brick buildings of the barracks type, differing in no way
from dozens of other American military centers. Here the headquarters of
the Supreme Commander of the North Atlantic Treaty Organization's Armed
Forces in Europe are located. Disciplined military police in white
gloves guard the entrances and exits. In front of the main entrance, on
high poles, are the flags of the NATO member countries. Formally the
headquarters employees call themselves "international soldiers." In
fact, American generals are completely in charge here.
A correspondent of the West German newspaper, Die Welt, after
visiting the NATO headquarters, stated, "I heard the7WCTR-Tblitzkrieg'
('lightning war' LV,) in all the corners of these long barracks."
A treaty, called the North Atlantic Treaty, was signed in 'Washington
in 1949 by the representatives of 12 countries: the USA, Great Britain,
France, Canada, Belgium, the Netherlands, Denmark, Luxembourg, Iceland,
Italy, Norway and Portugal. In 1952 Greece and Turkey joined it, and in
1955,,West Germany. The new-born infant was diligently wrapped in
swaddling clothes woven from lies about defense. The basic principles
of the North Atlantic Treaty Organization (abbreviated in English to
NATO) were formulated in a verbose declaration of the US State Department
of 14 January 1949 with the hypocritical title, "Building the Peace.
Collective Security in the North Atlantic Area."
However, the aggressive nature of NATO was clear from the very first
moment of this organization's appearance. And even earlier. A Declara-
tion of the USSR Ministry of Foreign Affairs of 29 January 1949 on the
North Atlantic Treaty and a Memorandum of the Government of the Soviet
Union of 31 March 1949 clearly demonstrated that the North Atlantic
Treaty was an aggressive, closed, military grouping directed against the
Soviet Government and the people's democracies.
Yes, and in the USA and England themselves, the birthplace of NATO,
there was no lack of frank acknowledgements. Some of them were made
with malicious, misanthropic joy, and others with unfeigned alarm. "This
treaty," wrote the Wall Street Journals "is a triumph, on a world-wide
scale, of the law of the jungle over international cooperation". In the
same spirit the Chicago newspaper, Lally News, stated, "A military union
of the North Atlantic Treaty type is not, despite optimistic affirmations,
a step in the direction of peace. It is a preparation for war."
Nor was the target of the brigandish surprise attack a secret to
anyone. The Gazette and Daily wrote quite justly: "We are responsible
for the organization of this coalition against the Russians. If it leads
to war the whole world will know whose the fault is."
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The grim inventiveness of the designers of NATO extended so far that
they were already concerning themselves over a pretext for a third world
war. Article Six of the North Atlantic Treaty provides that any incident
involving a vessel or aircraft in the vast territory of the Atlantic
region between the North Pole and the Tropic of Cancer can serve as a
cause for puttirg it into effect. In other words, as soon as the masters
of the At?.antic Union consider that everything is ready, they can easily
concoct the required trivial incident.
NATO is .a gigantic Anglo-American octopus whose tentacles have
wound around the territories and economies of the other member countries.
Its military expenses are a heavy burden on the ordinary taxpayer. Gen-
eral Gruenther, former Supreme Commander European Armed Forces, announced
in the spring of 1955 that when NATO was created the countries belonging
to it were spending 5 billion dollars a year for military purposes, but
in 1955 their expenditures had grown to 16 billion dollars. Gruenther
spoke of this undisguised robbery of the workers as of a remarkable event
of which one could and should be proud.
The imperialists tried to distribute the roles in NATO as it suited
them beforehand* Once in 1951 the then US Secretary of Defense, George
Marsha11, carelessly admitted: "Our contribution is dollars rather than
soldiers, The other parties (the countries of Western Europe) are con-
cerned with soldiers." However, even this most cynical declaration did
not fully reveal the assignment of the roles in the North Atlantic Union.
Not only does the US require cannon fodder from the other countries, but,
as we saw above, they are also mercilessly squeezing money from them.
The,United States has reserved the role of super slave driver for itself.
Thisisconfirmed if only by the fact that until now only Americans
have been supreme commanders of the NATO Armed Forces in Europe (abbre-
viated in English to SACEUR). The first SACEUR was General Eisenhower,
the second, General Ridgway. Until 31 December 1956, the NATO headquar-
ters was directed by SACEUR III, General Alfred Gruenther. They are
all representatives of the US military machine.
.BACEUR,Ilas a not inconsiderable household. The armed forces com-
mand in gent/11 Europe, the commands in Northern and Southern Europe, and
the, Mediterranean command are subordinate to him.
The British Secretary of State for Foreign Affairs, Selwyn Lloyd,
speaking at a meeting held at the end of October 1956 in eulogy of
Gruenther, was carried away and made one quite remarkable admission.
All the NATO countries, he said, "have agreed that they will not move
their armed forces about in General Gruentheris zone of command without
his permission." Could it be possible to confirm more eloquently the
sharneful fact that the decisive sovereign powers of the Western European
countries have been given to the American general!
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These are some brief facts on the aggressive grouping created by the
USA in Edrope and headed by SACEUR III, Alfred Gruenther.
xxx
Gruenther was born in 1899. His father was the editor of a newspaper
in the remote town of Platte Center (Nebraska). We do not have any data
on the childhood and youth of the future SACEUR III worthy of the reader's
attention. There is worth mentioning only an insolent escapade of the
twenty-year old Alfred, who, in his,parent's absence, inserted an article
of his own composition directed against the US Congress, in his father's
newspaper. The young Gruenther fulminated against the high legislative
assembly because of the millions spent for military needs and (irony of
fate:), and argued that it mould be better to use this money for libraries
and the needs of society. After almost 40 years, General Alfred
Gruenther? without hesitating, mould strip the insignia from any of his
subordinates who dared to utter such a thought.
However, the sportive son rather quickly atoned for his fault
against his father. He entered a military life. Graduating in November
1918 from the Military Academy at West Point, he climbed the steps of a
military career quite slowly. Only 17 years after leaving West Point did
he reach the rank of captain, and in 1940 received a major's insignia.
Probably Gruenther would have continued to climb the ladder of ranks at
a snail's pace if Eisenhower, who, during maneuvers in Louisiana, took a
fancy to the thin, wiry man of medium height with a loud voice like the
horn of Jericho, had not taken him in tow.
From the very first steps of his military career, Gruenther distin-
guished himself as an armchair warrior. An armchair and desk attracted
him more than a saddle or a battery commander's telescope at a command
point. As the West German journal, Der Spiegel, points out, Gruenther's
record stated that he "excelled in theory, but could not stay in the
saddle of even a child's wooden horse." During World War II Gruenther
served as Chief, of Staff under Eisenhower and Clark. He always was "in
the background", i.e., he was always substituting tor someone or assist-
ing somebody. "Gruenther," states the well-informed magazine, United
States News and World Reports, never commanded in battle and continually
had to do, "inferior, dirty military work."
Thus the post of SACEUR, head of the NATO forces in Europe, is the
first more or less independent post that Gruenther has had. It is not
impossible that one of the reasons for appointing Gruenther to this
position was his ability to keep refractory European allies in check.
Gruenther acquired valuable experience of this sort at the end of the
war when he was Chief of Staff of the 15th Army Group, where, according
to his official biographers, he "came face to face with the problem of
adOting a staff consisting mainly of Englishmen to the requirements
a American command." Gruenther successfully adapted the Englishmen
to the above-mentioned requirements despite an Anglophobia engrained in
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him.sincehis youth. Gruenther himself, in a rare moment of revelation,
declared that until. the age of 16 he did not even suspect that the
expression "damned Englishmen" was not one mord.
As far as the purely military aspects are concerned, no matter
where you look in, Gruenther's service record, there is nothing special
to praise the general for.
Blafthat,in Whi..gh he was a genuine genius, that which he knew best
of all sciences, was the "science" of playing bridge. The general's
exploits on the green card table are impressive and unquestioned. It is
even difficu4 to say Whether Gruenther thinks in military matters as a
-gambler or operates like a military strategist at the card table. Having
learned the secrets ,obridge in 1920 while training at the Fort Knox
Field Artillery School, he afterwards won the title of best American
judge of bridge games and earned quite a bit as a judge (100 dollars a
night). He made an invaluable contribution to the treasure-house of the
science of bridge by publishing two thick studies on this game. "These
treatises," wrote The New Yorker "are still regarded as the most valuable
wprk in this field."
Thus, apart from bridge, we apparently have a mediocre man, an Army
hack not noted by the press as having great gifts. But such a conclu-
sion would be too hasty and therefore erroneous. Gruenther's activity
during thepost-war years showed with indisputable clarity that this
general's spiritual mechanism lacks one part which, strictly speaking,
gives a man the right to call himself a man: that is, humanity. Short,
undersized AgrEd. Gruenther, in spite of so much unobtrusive external
data, quite justifiably can be considered one of the worst enemies of
millions -of peaceful workers,
below we will try to prove this.
* * *
Gruent4er's activity is like an iceberg - one-seventh on the surface
and, stx-seveOhs hidden from the observer's eye. But even Gruenther's
public statements clearly show that he is a convinced supporter of
atomic' warfare and an admirer of mass annihilation weapons. It is true
that he, in advocating the use of atomic weapons, like Nozdrev[dxuaateT
.."?itaLGogal's retie. Souls. Gambler and fichart.lctesnotpleyquitetiair,"krzwingmanydifferent
/Imes prid
of hisfb.vorite ttzthoas 1,stomilme the word "deem& in speeches and
ablressgs. Rqwever, the veil of "defense" talk in no way conceals the
aggressive intent of Gruenther's appeals especially since the general
lets the truth slip out at every step.
_
0011ated, his statements on the question of atomic weapons make a
rather gloomy collection. "We envisage the possibility of using atomic
bombe against objectives in enemy territory," he declares without beating
about the bush. Gruenther does not conceal that he intends the young
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girl at a rendezvous, the old bee-keeper, and the mother sitting at the
cradle to be targets for atomic attack. "Nuclear weapons must be directed
against military objectives. Towever, it must not be forgotten that in
many cases the civilian population might also suffer from this," spoke the
general who supports atomic warfare, in the British House of Commons in
Westminster, that very Westminster which was turned into a pile of stones
during World War II. In an atomic excitement, Gruenther prefers not to
think about the fate of the thickly populated British Isles if he unleashes
atomic war.
Gruenther has raised Hitler's scale to an atomic level in accordance
with which 100 and then even more, peaceful Soviet citizens were to be
wiped out for each Fascist soldier killed. Speaking before a group of
British manufacturers, he announced that for each city destroyed in the
West "we could destroy 6 such cities in the USSR." On this occasion the
English newspaper, The Daily Worker, indignantly wrote: "Even Hitler,
in his worst moments of folly, did not dare to threaten a state with which
Germany was at peace in the terms that Gruenther threatened the Soviet
Union."
But the men wishing to excel Hitler's record should be reminded how
the raging Fuehrer adventure ended. It is amazing, but a fact - the
supporters of atomic warfare sometimes forget that it is the same dis-
tancefrom us to their bases as from their bases to us. And it is more
than rash to forget this!
In September 1953 Gruenther's staff, according to information
leaking into the American press, had already formulated a detailed plan
for atomic armament in Europe, and in December 1954 Gruenther thought
he had finally untied the hands of the supporters of atomic warfare: a
session of the NATO Council legalized atomic warfare. This criminal
decision cloaked by an envelope of apparently innocent words, is con-
tained in Paragraph 6 of the communique of the Paris session of the
Council which ended on 18 December 1254. Here is how this remarkable
Paragraph 6 reads: "The Council examined a report presented by the
Military Committee on the question of a more effective system of organiz-
ing NATO's military defensive power during the next few years in consid-
eration of modern achievements in the development of arms and methods
(speaking of thermonuclear weapons - M. V.). It approved this report as
the basis for the planning of the defense and preparations being imple-
mented by the military organs of NATO...". The Belgian Minister of
Foreign Affairs, Speak, translating Paragraph 6 from a.deliberately ob-
scure language into ordinary speech, declared that these decisions give
"the military exactly what they need. They demanded permission to pre-
pare for atomic war. This permission was given to them."
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Ekactly a year later, in December 19551 the policy of using atomic
and hydrogen arms as the basic type of armament for the troops of the
Atlantic Bloc countries was officially proclaimed at a session of the
NATO Council.
The task which Gruenther was given when he was appointed to his post
c-onsists of two interwoven parts: first, to prepare the NATO military
machine for conducting atomic war, and second, to re-establish the West
German Wehrmacht. Gruenther devoted himself fully to the achievement of
these two goals. He expressed his chief strategic aim as a two-fold
formula. Two things are necessary said Gruenther to the Senate Foreign
Relations Committee: "an effective contribution from Germany and the
ability to use atomic weapons". He is indeed obsessed by the idea of
real-mine-West-Germany. In everything Gruenther said and everywhere he
spOke he invariably repeated the advantages of atomic warfare and of a
new Wehmachtp A travelling salesman of death, he toured the European
capital's plugging for the rearmament of West Germany. With threats and
r.---s011es, promises and pleadings, Gruenther forded the Western European
parliaments to ratify an agreement on the remilitarization of West ,
Germany and its inclusion in the Atlantic Union. Gruenther really "ham-
med it up" in front of Danish journalists at a press conference in
Copenhagen in January1955. Clasping his hand to his heart, he said
that he understood the reluctance of the Danish people, having undergone
the occupation, to see West Germany armed again. More than that, he
admitted that the same feelings were also noticeable in other countries.
But what can be done; the general sighed and lifted his hands in dismays
Germany's contribution to "the defense of Europe is necessary."
According to Gruenther, the remilitarization of Germany is a step
in the direction of unifying Europe . Without West Germany, he "explains"
elsewhere, the NATO armed forces "do not have sufficient depth."
Behind all this chatter, designed for credulous simpletons, a cold,
cruel plan is concealed. No matter what Gruenther repeats at press con-
ferences and in parliaments, he needs the West German divisions as the
basic shock force for aggression against the Soviet Union and the peo-
ples democracies. With the bones of West German youths, he wishes to
pi:lie a road to the East for American tanks.
" I r
He does not feel right without the German divisions. Gruenther
scornfully calls plans drawn up without counting on a Wehrmacht "unsatis-
factory, second-rate strategy .n On the other hand, the inclusion of
Germany in -NATO will make it possible for him to conduct, as he expresses
it, na first-class strategy." Despite Gruenther's wish to becloud the
water, it is not especially difficult to guess that by "a first-class
strategy" he has aggression in mind. His concern for the speedy rebirth
of the Wehrmacht reached the point that (as the West German journal,
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Der Spiegel, wrote) he himself drew up a list of generals and field
marshals from Hitler's army whom he would like to see 'in leading posts
in the new Wehrmacht.
While some may have done so, Gruenther never took seriously the
paper "limitations" placed on the Wehrmacht by the Paris agreements. Even
before the West European parliaments started to debate the question of the
Paris agreements, Gruenther assured the Bonn generals, Hedsinger and
Cruewell, that the new Wehrmacht would not consist of 12 divisions as the
official propaganda proclaimed, but of 48.
At one of the NATO sessions, when the Bonn representatives eagerly
confirmed their agreement to play the role given them by Gruenther, the
latter, according to his own statement, "wished to jump up and shout,
'Hip hip, hurrah!'"
On 9 May 1955, the 10th anniversary of V-E day, as if to jeer at the
memory of the millions of victims of Fascism, Gruenther, his bosses, and
his subordinates, received West Germany as a member of the North Atlantic
Union.
* * *
It would seem as though Gruenther and his bosses in the Pentagon,
Wall Street, Downing Street and the Cite have a reason to rejoice: their
plans have almost been realized. They have the decisions of the Paris
NATO session "legalizing" atomic warfare and the Paris agreements "legal-
izing" the rebirth of the Wehrmacht. Nevertheless, the general is in
panic. To his horror, he discovered that he rejoiced too soon.
Many months ago the American magazine, Colliers, farsightedly
warned: "Gruenther's difficult mission will consist of convincing unen-
thusiastic governments of the need to complete their military prepara-
tion for a war in which no-one now believes and for which no one really
wishes to prepare." Gruenther paid no attention to such warnings. In
general, he paid attention to nothing except fulfilling the instructions
given him: to prepare for atomic blitzkrieg and to forge a West German
battering ram for new aggression. Such a limitation in point of view
is perhaps permissible in bridge playing, but it is a fatal defect in
politics.
In the beginning, Gruenther tried to ignore the slow but steady
process of enlightenment among the widest circles of the West European
public. The unchanging and consistent peaceful foreign policy of the
Soviet Union, the great peaceful deeds of the Soviet people, the unprec-
edented growth in the Soviet Union's industry and agriculture witnessed
by dozens of different visiting bourgeois delegations, unmasked the
myth concocted by American propaganda of the imaginary aggressiveness of
the Soviet state. And then in Western Europe they began to understand
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the simple truth that the supporters of atomic warfare from over the ocean,
,Gruenther and Co., chattering about the defense of Europe from communism,
were actually hatching sinister plans to use it in achieving their merce-
nary motives.
Fear is the ally of Gruenther and his bosses. This, in his opinion,
is the cement which must glue together all the NATO member countries. And
he encourages this fear in every way, ignoring the spirit of the times,
the real facts. When, after the Geneva Conference of the four great
powers, a certain lessening of international tension was noted, Gruenther
hastened to affirm that this would not cause any changes in military prep-
arations. The Soviet Union's announcement of a reduction in the size of
its armed forces at first plunged Gruenther into confusion. Seeing the
unanimous approval this measure of the Soviet state received everywhere,
he lost his head and said that he was "meeting this step with caution."
However, a week later he found himself and blithely announced that "sig-
nificance should not be given to" this step. And finally, three weeks
later, he solemnly said that a reduction in armed forces "could actually
strengthen rather than weaken USSR military potential!"
Thus, feeling that his main propaganda trump, the affirmation of the
"aggressive designs" of the USSR, was knocked from his hand, the bridge
champion drew a marked card from his sleeve without the slightest embar-
rassment. Gruenther experiences about the same thing as the cheat,
Gorekhvastov, described by Saltykov-Shchedrin. "Once I was keeping bank,"
relates Gorekhvastov, "and was keeping it rather well as usual when sud-
denly one of the punters, a stranger about two feet high, seized Ry hands
and squeezed them so hard that the bones cracked. 'You, sir, are a
scoundrel,' he said to me.., land now I will prove it.' Well, he proved
it... 'You, he said must now leave through this window." Gruenther was
definitely afraid of the possibility of a similar ending. The general
sounded the alarm. Speaking to the Senate Foreign Relations Committee,
he anxiously reported: "Although atomic warfare is now an accepted part
of NATO military doctrine, the communists are advancing rather effective
propaganda in Europe against the use of atomic weapons. The Russian
propaganda on peaceful coexistence is connected with this. The Russians
are beating the US in the political war. Already a slight but clear
tendency toward relaxation is noticeable. This is not alarming as yet,
but can become alarming)'
The ever increasing demand of the peoples to outlaw atomic and
hydrogen weapons is throwing Gruenther into a panic. In his speech at
the Waldorf-Astoria Hotel in New York, he sounds a really hysterical
note. "There is a quite serious danger," Gruenther said excitedly,
"that public opinion will force the political leaders to make a dangerous
compromise, which, in the final analysis, can turn out quite unfavorably
for us." And pointing once again to the danger represented by "communist
propaganda" against the atomic bomb, the general hysterically cried: "It
would be madness to relinquish it" (i.e., the bomb).
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Fearing the insight of the peoples, Gruenther, with "genuine sadnese,
admitted that one of the main problems of NATO was to force the public to
recognize that it was a "defensive" organization, and not an "offensive
one. In other words, he was trying to convince the peoples that the North
Atlantic Treaty was intended for maintaining peace. Vain attempts:
This propaganda maneuver was unmasked in a report of the Central Com-
mittee of the CPSU at the 20th Party Congress... "The adherents of a
'position of strength' policy," the report states, "are presenting the
armaments race as a basic recipe .., for maintaining peace! It is quite
apparent that if states compete in increasing military might, the threat
of war grows rather than diminishes".
The aggressive nature of the Atlantic Treaty, apparent from the first
moments of its existence, are being revealed and confirmed daily and
hourly. The following fact is one of the clearest indications. When the
Soviet Union announced its desire to join NATO, the Western Powers refused.
Thus they themselves exposed the insincerity of their announcements as to
the alleged defensive character of NATO and showed the closed, aggressive
character of this grouping, directed against the Soviet Union and the peo-
ple's democracies.
Is it necessary to say that Gruenther began to exult when he learned
of the bloody attack by Hungarian counterrevolutionaries, inspired by
Western, mainly American, reaction.
Gruenther labelled as "freedom fighters" the butchers and murderers
who unleashed the white terror in the country, the torturers who hung by
the feet and burned Hungarian patriots alive. What kind of freedom? His
Gruentherite, capitalist freedom of the exploitation of man by man.
The tragic Hungarian events delighted Gruenther even more because
they in his opinion, slowed down and undermined the process of relaxation
of international tension, a process so odious to Gruenther.
In April 1956 SACEUR III announced that he was resigning from his
NATO post to "make it possible to promote someone younger and to make way
for new ideas." It was announced on the spot that Gruenther's successor
would be Air Force General Norstad, again an American! Gruenther was re-
placed by Norstad on 31 December 1956.
As to the future activities of Alfred Gruenther, after many guesses
and assumptions, it was finally announced that he had been appointed
President of the American Red Cross. There is no doubt that General
Gruenther will spare no pains to turn the American Red Cross into his
kind of branch of NATO.
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However, there are weighty reasons for supposing that Gruenther's
retirement was in no way dictated entirely by his wish "to make way for
new ideas." A quite sad event for the diplomat-general preceded his
departure. He let out a secret. Speaking to a group of journalists at
the beginning of April, he gave them to understand that in case of war
the armies of the European NATO countries would be no more than pawns in
the bloody atomic game, which the imperialist robbers were intending to
maneuver, sacrificing the lives of hundreds of millions of people!
Gruenther's revelation caused an unbelievable stir in the Western
press. Official protests followed, and, a week later, the forthcoming
retirement of the chattering SACEUR III was announced. But he did not
quiet down. Up to the very last day he travelled about the European
capitals on farewell visits, intimidating, entreating them "not to relax
their efforts", and brandishing atomic weapons.
Everyone waves farewell in his own way. True to himself, Gruenther
did not forget in the end (13 November 1956) to threaten the Soviet Union
with an atomic fist, covered, of course, in a glove colored with defense.
He announced that in case of attack by the Soviet Union (?!) the US
"would resort to retaliatory measures", and "would destroy" the USSR.
Thus, during three and one half years of NATO rule, Gruenther kept his
style, the style of a militant atomic braggart, up to the end.
' It is characteristic that Gruenther gave his last long speech in
Europe before his departure for the US in the Royal Festival Hall in
London at a conference of the Federation of British Industries. Hardly
had he arrived in the US when he spoke, where but at the convention of
the National Association of Manufacturers calling for a continuation of
the "position of strength" policy. Tell me who your friends are and I
will tell you who you are. However, in this case it would be more cor-
rect to speak of Gruenther's bosses, not of his friends...
The lessening of international tension "is a fact to cause anxiety,"
and the outlawing of atomic weapons is "madness." Such is Gruenther's
"creed." And although this distorted philosophy is deeply alien to the
peoples, nevertheless statesmen at the helm of some Western countries
considered it possible to decorate the general who supports atomic war-
fare upon his departure. President Heuss of the Federal Republic of
Germany gave Gruenther the "Great Cross for Services"; the former
French Premier Guy Mollet pinned the "Military Medal" to'his dress coat.
They wished in this way to convince the public of Gruenther's "eminence."
But all the activity of SACEUR III inexorably shows that he belongs to
those people of whom the eminent English satirist, Henry Fielding, said
"their greatness consists of inflicting all sorts of evils upon mankind."
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The Legion of American Reaction /kir. ChapIygin
There is a sentimental legend about the birth of the American Legion,
In 1918, according to this legend, when the last battles of World War
I were dying away, two front-line fighters met in an American hospital in
France.
The history of the Legion colorfully describes the conversation be-
tween these front-line fighters - Lieutenant-Colonel Teddy Roosevelt, Jr.
and Sergeant William Patterson. The obscure sergeant and the brilliant
officer had a friendly conversation about what they intended to do after
the war. Both were fascinated by the idea of creating an organization
which would unite veterans.
The Legion "chroniclers," recalling this "historic meeting" with
tears of tender emotion, write:
"They (Roosevelt and Patterson) agreed that they wanted to return
to their units as quickly as possible, tet the whole job over with,' and
then to home and establish a veterans' association for the good of the
country'." Patterson was later killed in action.
Poor Patterson thus did not even succeed in "getting the whole job
over with," i.e., the war, which was unnecessary and alien to his in-
terests. However, the legend of the brotherly ties of friendship which
so idyllically connected the aristocratic officer and the obscure ser-
geant continued to live. It even was a success, and a far from acci-
dental success; in the US even legends are business. And a new mass
organization, the American Legion, needed publicity (advertising) during
the days of its birth.
? Incidentally, this advertising was organized on such a "grand
scale", that not even the most naive person could believe that it was
paid for by Sergeant Patterson, living on a soldier's rations, or even
the well-heeled officer, Roosevelt. Poor Patterson already lay in his
grave, having died for the sake of profits for the fantastically rich
monopolies and concerns. And thousands of journals, pamphlets and
prospectuses shouted about the beauty of his idea of creating a legion
of veterans, an organization in which there would be no ranks, in which
millionaire and street-cleaner would be equal.
No, it was not the dead Patterson's legacy, consisting of a mess
kit and a spoon, which became the basic capital for establishing the
Legion.
From where did this by no means small capital come, then?
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, The American newspaperman, Justin Gray, did considerable work to
ansiqer this question. The task he set himself was not easy; the Legion's
financial matters are kept strictly secret. They were veiled with new
legends. 1111921 the Legion published a "Dictionary of Facts." This
stated that 400 American citizens from 13 states raised $257,000 and
presented it "for nourishment" to the forming Legion. In 1923 a Legion
historian, James, apparently forgetting the first legend, gave another
version. He affirmed that "213 Legionnaires" paid this money. In 1946
yet another historian, Jones, without any embarrassment stated that
$305,255 was collected for establishing the Legion and that only 93 per-
sons Contributed this sizeable sum.
The further we go into historical research on the establishment of
the Legion, the more we understand why the creators of the sweet, senti-
mental legends have entangled themselves.
Justin Gray energetically undertook to eliminate the uncharted
areas in the history of the Legion. And he discovered that the version
of the touching meeting of the military friends being treated for their
wolinde in an American hospital in France, and thinking up the "happy
idea" of creating a mass veterans' organization, was a cheap invention.
The facts easily refute it.
,"Three ,years before Teddy Roosevelt was discussing the creation
of an American Legion with his friend, Sergeant Patterson," writes
Justin Gray in his book, "and four years before he 'introduced' his
plan to fellow officers at dinner in Paris, he was already on record as
one of the incorporators and directors of an organization called the
American Legion."
Three Years after this organization was established, they decided
to arrange its second birth. The name of the obscure Sergeant Patterson
was needed to put new "color" into the history of the veterans' organi-
zation, to make this history more appealing for millions of GIs (CI is
a nickname for the American soldier widely used in the US) who were
about to exchange their rifles for the tools of peaceful labor.
Th P facts which so decisively debunk the primitive, sentimental
,
legend show exactly who the friends were who supported Lieutenant-
Colonel Teddy Roosevelt, Jr. The people making up the "big twenty"
who created the Legion in 1919 were as remote from the obscure Sergeant
Patterson as heaven is from earth. Theodore Roosevelt, Jr., himself
was vice-president of Doubleday, Doran Publishers and director of the
American, apress Company, which was affiliated with the Rockefeller
interests through the Chase National Bank. And here, as an example,
is some brief information on five of Teddy's friends who joined him in
recreating the Legion.
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S.
Franklin D'Olier, the First National Commander of the Legion, was
president and director of the Prudential Life Insurance Company, connected
with the Morgan group, director of the Rockefeller Chase National 'lank,
director of the Pennsylvania Railroad Company, the National Biscuit
Company, the American Bank Company, etc.
David Marvin Goodrich was chairman of the board of the B. F. Goodrich
Company, one of the largest concerns in the US rubber industry.
BaLacy Kountz was chairman of the board of the DeVoe and Reynolds
Company, director of the Metropolitan Opera and of the Real Estate
Company.
Edward Buxton was chairman of the board of the Five Textile Mills
and director of the Theodore Foster and Brothers Textile Company.
Francis Appleton was director of the Waltham Watch Company, the
Mount Morris Bank, and the National Park Bank, and co-owner of the firm
of Appleton, Rice and Perrin.
The other members of the "twenty" who organized the Legion were also
at home in the salons of capitalist magnates. It is characteristic that
even the heads of the Legion were, from year to year, capitalist big
shots, Wall Street manufacturers and bankers: Abel Davis, John Henry
Sherbourne, Henry Fairfield Osborne, Jr,? Devereaux Milburn, Lawrence
Harly Whiting, etc.
The capitalist monopolies caused the Legion to be born. They paid
for it. It faithfully serves their interests.
The aims and tasks of the American Legion were already determined
three years before the legendary "meeting in the hospital." These tasks
were determined, of course, not by such simple fellows as Sergeant
Patterson, but by the brilliant big-business friends of Theodore
Roosevelt, Jr. And these tasks did not consist at all of putting an end
to such a thing as war; on the contrary, they were directed toward pre-
paring millions of simple Americans for war.
The first National Commander of the American Legion, Franklin
DrOlier, frankly defined another basic taskibf the Legion. In an article
printed in the American Legion Monthly, capitalist D'Olier announced
without beating about the bush that the Legion must prevent the develop-
ment of progressive, democratic ideas, and the growth of the workers'
movement in the US.
"Let us remember the situation after the Armistice (World War I -
Yu Ch.)," wrote D'Olier. "The nerves of the whole world were on edge.
Fear of Bolshevism ruled. The social revolution in Russia was accom-
plished by dissatisfied soldiers, and there are a great many soldiers in
the world occupied only with thoughts of their troubles."
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To block-the stream of history, to force it to go backwards or at
least to, stop - that was the idea controlling the minds of the frightened
morlopoly bosses, before whose eyes blazed the glow of the Great October
Socialist Revolution. And the friends of Theodore Roosevelt, Jr. did
not spare funds for this job, for the job of struggling against life,
progress, and the people who wish to be free of their adversities. The
monopoly big shots called on each other to loosen their purse strings,
to show kingly generosity to their donations to the Legion. Here is a
typical letter from a representative of one of the largest meat-canning
firms in the US to a Chicago meat seller:
"NS are all interested in the Legion," said the letter, "and in the
results it will have in realizing its ultimate aim - the suppression of
radicalism.
"It is extremely important that we help this worthy activity. The
chairman of the meeting, has proposed that I approach various stockyard
interests for contributionS."
The "worthy activity" of the American Legion was wholly directed
toward rousing war hysteria in the US, preparing the country for a new
-military adventure of the imperialists, cruelly suppressing the progres-
sive movement, and mercilessly putting down of any attempt by the workers
to defend their rights and achievements.
While hired historians, inspired by donations from the monopolists,
are creating banal, sentimental legends of the brotherly friendship be-
tween the capitalist officer and the poor sergeant, life is creating
,
another, truthful, genuine chronicle of the American Legion.
And this chronicle shows that the Legion is used by its Wall
Street bosses as a heald of new wars and as a true stronghold of
Imperialists.
There is no slander against the Soviet Union too vile and unscrupu-
lous for the American Legion to take part in. Encouragement of anti-
Soviet hysteria, appeals for more and more wars against the USSR and the
people's democracies, and demands for a furious armaments race are heard
at all the Legion conventions.
14
Here is the bare chronicle.
195?
The National Convention of the American Legion adopts a recommenda-
tion demanding that the Korean war be expanded; that US mastery in the
Far East and Southeast Asia be strengthened; and that war be started
with China.
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The Legion's Convention supports the demands of the secretaries of
Argy and Navy, who are urging increases in military appropriations.
1953
The National Convention of the American Legion approves a resolution
demanding total war against the countries of the socialist camp and the
use of atomic weapons in this war.
The Convention opposes the entry of People's China into the UN.
1954
The National Convention of the American Legion passes a resolution
which states that the Legion is dissatisfied with the peaceful settle-
ment of the war in Indo-China.
The Convention opposes negotiations to relax international rela-
tions and demands a policy of "concentrated retaliatory blows." The
Convention also demands a most speedy establishment of a military bloc
in Southeast Asia and the rearmament of West Germany as part of the
armed forces of the North Atlantic Union. It further advised breaking
with the USSR and the people's democracies.
The Convention approves the government's program of creating 137
air regiments by 1957 and supports the proposal to introduce universal
military conscription in the US.
1955
The Convention of the Legion censures the US government for aid to
India, since India maintains friendly relations with the USSR. In a
desire to frustrate peace, its resolution called on the US to withdraw
from the Nilitary'Armistice ComMissinn in Korea.
The National xecutive Committee of the American Legion passed a
resolution demanding that the US continue to occupy the whole of Formosa
(Taiwan).
1956
Alarmed by the collapse of the "position of strength" policy and
the relaxation of international tension, the Legion's top echelon
makes desperate attempts to resume the "cold war." At the Legion Con-
vention there are speeches eulogizing the policy of strength, and harsh
threats are heard against all progressive people in the US who desire
peace and strive toward normalization of relations with the USSR.
* * *
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There are not the slightest doubts about the political sympathies of
the Legion's top echelon. They are always with those who are preparing
for war. They are mortal enemies of those who fight for peace. In 1933
the heads of the Legion awarded the title of Honorary Legionnaire to
Benito Mussolini. .American reactionary circles more than once planned a
Fascist revolution in the US with the assistance of the Legion. Its
bosses never stop for a minute the frantic propaganda, full of furious
anger, against the Soviet Union.
Even in 1919 those who formed the Legion were worried about the mood
of the rank-and-file soldiers, who thought about the needs of the people
and clearly did not wish military adventures. It was not easy to keep
the deceived Pattersons obedient or to educate them to be professional
killers.
But the leaders of the Legion dealt not only with some recalcitrant
veterans. The Legion became the watchdog of reaction.
How the Legion is used to suppress the constitutional rights of
American citizens and how it puts down the workers in the US who are
struggling for their vital rights, has long been known from the boastful
stories in the American bourgeois press. In October 1935 the reactionary
Time magazine wrote that the slaughter in Centralia, Washington, made the
American Legion famous as the most potent strike-breaking organization in
the country."
In Centralia the legionnaires butchered the lumber workers organized
in a labor union. Many workers were killed and mutilated during this un-
bridled pogrom. Since then the sorry fame of the Legion as the most
powerful strikebreaker in the US has spread. Those who enter the Legion
are forced to pass a peculiar examination in strike-breaking. Here, for
example, are the questions which the heads of one of the New York Legion
posts give the new initiate:
"Would you go on strike if the union told you to?
"Would you carry out the Legion's order if it ordered you to break
this strike?
"If the Legion, through its officials, ordered you to break a strike
in some other industry than your own, would you obey this order?"
The role of strike breaker and policeman is not all that is required
of the legionnaire. He must also be an agent of the police detective
organization, the FBI (Federal Bureau of Investigation).
The head of the FBI, Hoover, declared in a speech published in the
Legion-distributed press:
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"For many years the Legion, in close cooperation with the FBI, has
struggled to maintain order in the country. With the coming of war,
business-like relations between them became even closer and the results
were even more favorable."
After World War II the "business-like cooperation" between the secret
police and the American Legion strengthened. As the New Republic magazine
states, "Hoovers people" still play a conspicuous role in Legion leader-
ship.
Justin Gray relates eloquently in his book, "The Inside Story of the
Legion,? how Legion posts entangle whole cities in a spider web of inves-
tigation and informing. Everywhere the eyes and ears of the Legion fol-
low every step of the American citizen; they are ready, apparently, to
take under special observation and examination even the dreams of a
peaceful father of a family.
"Informers," says Gray in his book, "can be both legionnaires and
non-legionnaires. They can be an officer of the local post, the mayor of
your city, or your nearest neighbor, a non-veteran with whom you chat
each evening through your garden fence. He regularly reports to .
Indianapolis (the city where the Legion staff is located) everything that
you say, do or think."
The power of the Legion over the fate of the ordinary American often
becomes unlimited; in many US cities the Legion, in essence, controls all
social and cultural life. In the US there are towns where the Legion
holds all key positions. Without its assistance the demobilized soldier
cannot find work. The politician who quarrels with the Legion post (the
local organization) can say good-bye to his career forever.
At one time truthful reports were printed in the American press
about the cities of fear. One of these cities, Middletown, was described
as a place where the whole population is benumbered; each step of the
Middletown resident is controlled by reactionary zealots. A cruel pun-
ishment by the Black Hundred threatened the citizen who joins a'labor
union. Dozens of sinister voices on the telephone frighten the person
seen reading a progressive book or newspaper. And the organizer of all
this torture by fear, to which the whole population of the city is ex-
posed, is the local American Legion post.
The US ruling circles love to boast of their "objectivity?, their
loyalty to freedom and democracy. Therefore, even when the remnants of
democratic freedoms are violated through cruel laws, when reaction is
disposing of them especially unceremoniously and brazenly, the so-called
"social organizations" with a pro-Fascist slant of the American Legion
type are called upon for help.
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The workers and employees of a department store in the modest town
of Galveston decided to join a labor union of office and sales personnel.
One would think this was a quite innocent attempt, in permissible form,
to defend the elementary and vital economic interests of the workers.
But reaction gave the signal to deal with the progressive elements. The
legislative organs of the state of Texas, making use of the "incident"
of entry into the labor union of office and sales personnel, hurriedly
worked out a bill prescribing the death sentence for every Communist
found in the state. Under the guise of fighting against the danger of
communism, it was decided to outlaw not only all progressives, but also
those thinking only of defending the working rights of a citizen. An
urgent investigation of communist activity in Texas was planned. No
particular communist activity was noted in the state. How could it be
fabricated? Here the masters of dirty business from the American Legion
were called upon for help. Along with the legionnaires, professional
false witnesses - the FBI provocateurs, especially the not unknown
Harvey Matusow - also participated in concocting fantastic "crimes" of
the communists.
In his book, "False Witness," Matusow relates more than a little
about the unsavory role which the American Legion plays in the country's
political life. Where the government organs and the staffs of the two-
ruling American parties (Republican and Democratic) must maintain the
appearance of not being implicated in disgusting political maneuvers,
the American Legion comes to the rescue. When the hired false witness,
Matusow, had to appear as an agitator for the most reactionary candidates
of the Republican Party, a "solid reputation" was created for him. It
was the American Legion that did this. The American Legion magazine
printed a long article advertising Matusow before his tour of agitation.
This made it possible for him to implicate in a Communist plot everyone
who did not support these reactionary candidates of the Republican
Party, including personnel of the New York Times, hundreds of teachers,
etc.
When the pillars of reaction need to get rid of unsuitable people,
they mobilize the legionnaires. The blackest pages in contemporary
American life are connected with the American Legion. The mass assault
on the audience at a concert in Peekskill by the outstanding singer and
peace fighter, Paul Robeson, was organized with the active participation
of the American Legion.
Those who awarded the title of honorary legionnaire to the first
"prophet" of Fascism, Mussolini, would very much like to train, from
among the legionnaires, youths like the Black Shirts, who participated
in the march on Rome, or Hitler's Brown Shirts. And the money-bags,
interested in keeping their Black Hundred, do not grudge the funds for
this training. However, it would be the grossest error to believe that
all members of the American Legion are Fascists and confirmed reaction-
aries, or hardened enemies of progress.
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Many of the present-day legionnaires have shared the sad fate of
their, predecessor, Sergeant Patterson, with whose name the "chroniclers"
of the American Legion have speculated so unceremoniously.
Hundreds of thousands of Pattersons have been caught in its net of
deceit. The fact that the real master of the Legion is the staff of the
American monopolies, the National Association of Manufactuers, has been
carefully hidden from them and remains hidden. The facts revealing the
true purpose of the Legion have been hidden from them and remain hidden.
Of course, many of them who have been forced to do the dirty business
of strike breaking, secret investigation for the FBI, and getting rid of
honorable people, have been decoyed into a trap out of which it is not so
simple to break. Justin Gray gives a typical statement of one of the
ordinary legionnaires, a worker who is a plumber:
"I do not like this business of beating up people, but if I don't
take part in it I'd have to go out of business.?"
The tragedy of the majority of legionnaires is the tragedy of peo-
ple drawn by deceit into proceedings hostile and foreign to them. The
present-day Pattersons are beginning to understand that they have been
deceived. However, the deafening propaganda, for which the monopoly big
Shots grudge no funds, continues to influence these people, trying to
convince them that the Legion is the most democratic organization in the
world, and that the Legion is defending the veterans vital interests.
The American press now speaks openly of how remote the leadership of the
Legion is from its rank-and-file members. Not long ago an interesting
article appeared in New Republic. It exposed the ever-growing sharp
distinctions between the leaders of the American Legion and the mass of
deceived and hoodwinked people who are its rank-and-file members.
During the last seven years, this magazine affirms, the Legion has
been controlled entirely by a very few people, directly affiliated with
banks and monopolies. Each year in May important people, bigwigs from
the largest monopolies and other powers-that-be, gather to name the new
national commander who must officially be elected in September at the
Legion Convention.
All the decisions and recommendations adopted at these conventions
are worked out by these leaders, who do not even bother to ask the
opinion of those Pattersons in whose names these decisions are adopted.
The warlike cliches and appeals for new military provocations that re-
sound every fall from the convention hall have nothing in common with
the opinion of the majority of the legionnaires.
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The internal procedures of the Legion symbolize, as it were,, that
-outrage against democracy which the bosses of the monopolies openly allow
themselves, while strenuously advertising benefits for the so-called
"free world".
The propagandists paid by the monopolies affirm that all of the
meMbers of the American Legion are equal and that there is no difference
in ranks here, no distinction between rich and poor.
In practice everything appears otherwise. One of the commanders of
the American Legion, Griffith, speaking before big businessmen, quite
frankly spoke of the nature of that "democracy" which is cultivated in
the Legion.
"Ilan," declared Griffith, "is a donkey, and to make him move, it is
necessary to lure him from ahead with a carrot or to urge him from behind
with a stick. The carrot is an incentive. The stick is a means of com-
pulsion. In America we always use the carrot."
There are many caSes Showing that the attempts of the legionnaires
to defend their rights have been blocked decisively and cruelly by Legion
leaders.
The story of the Duncan-Paris Post (local organization) is an example
f this.
This post, concerned over a serious housing shortage for veterans,
decided to take the initiative. It began a campaign for mass housing con-
struction for veterans in New York. Forty-three posts supported the
Duncan-Paris Post. The former front-line fighters decided to show the
public all the misery of their situation. The post negotiated with the
owners of the Ludwig Baumann department store to have one of the legion-
naires with his whole family, goods and chattels, settle in one of this
store's windows. Two other families found a night's lodgings on the stage
of one of the Broadway theaters.
The Duncan-Paris Post devoted all its effort to support of the
Nyatt-Patman bill providing an extensive veterans' housing program.
The Legion heads made it appear that they were supporting the bill,
"this carrot" for the legionnaires. But then the time came to fight for
passage of this bill in Congress. The heads of the Legion did everything
to make it fail.
This business was not finished. The Legion post which had been bold
enough to show initiative and fight energetically for veterans' rights
was suspended by an order from above. The Legion's National Executive
Committee simply crossed this post off its lists.
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This episode, and there are many of them in Legion life, showed
clearly not only the nature of the ostentatiously advertised "democracy"
in the Legion, where there are allegedly no ranks and rich and poor are
equal. It also showed the fundamental difference between the vital in-
terests of the ordinary legionnaires, the former soldiers, and the heads
of the Legion, the rich businessmen. The legionnaire who was compelled
to spend the night with his family in the window of the department store
or on the stage of the theater needed the vast housing construction pro-
gram as much as he needed air. But this program was not acceptable to
the Legion commander and his circle because it was against their interests.
When we read the "recommendations", full of frantic hatred of progress
and democracy and voicing hostility toward peace, adopted by the Legion's
national convention, we can clearly see how antagonistic these anti-popu-
lar writings are to the majority of the legionnaires. It would be naive
to think that the legionnaires, former front-line fighters familiar with
the horrors of war, have been completely uninfluenced by that great striv-
ing for peace which is characteristic of the entire American people today.
Certainly also in 1919, when the American Legion was reestablished on a
new mass basis, the majority of the front-line fighters entered it pre-
cisely because they sought a peaceful organization of their lives and the
prevention of more wars. Here, for example, is how Justin Gray describes
his intention on joining the Legion:
... I wished that the Legion would become a great force in the de-
fense of peace; that it would support the majority against the minority;
that it would fight for state housing construction, for price control
and for racial equality."
Even those front-line fighters who could not avoid realizing the
reactionary nature of the statements of some of the Legion "leaders", be-
lieved in the power of democracy and believed that the millions of vet-
erans could realize their will, defend their interests and influence the
leadership.
Today these illusions have been scattered as ashes. The peace
movement has grown immeasurably. And no matter how heavy the pressures
exerted by the Legion top echelon, its rank-and-file members still at-
tempt to express their views on peace. And this desire is so strong
that the middle level of Legion command, the heads of the posts and
divisions, can no longer ignore it. The peaceful mood of the masses
even penetrates the sessions of the national convention, meeting annually
at luxurious resorts far from the homeless veterans, and the sessions of
the Legion's executive committee which take place under the direct con-
trol of the "council of gods" of capitalist America, the National
Association of Manufacturers. Here is an interesting case which enables
one to understand how the Legion heads react to any stream of fresh wind
bearing the breath of peace, which seems terrible to them. In May 1955 a
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closed session of the Legion Executive Committee discussed a resolution
on 1,1S foreign policy. One of the session's participants proposed a reso-
lution encouraging peaceful foreign policy measures. The draft resolu-
tion stated that the lessening of international tension had brought the
US closer to genuine peace than at any time since the end of World War I.
This innocent proposal struck the members of the executive committee
with an impact as though someone had tried to set off a hydrogen bomb in
the room where they were meeting. The seditious draft resolution was
immediately turned down.
It is not easy to arouse war-like feelings among people to whom war
is not necessary but harmful, these people, in addition, being subject
to the influence of public opinion which is coming out against war ever
more actively. And it must be said that the Legion heads have to over-
come serious crises within their own organization. Despite the cruel
punishments falling on the head of the apostate who dares to leave the
organization, resignations of rank-and-file legionnaires are increasing.
Between 1947 and 1950 the Legion lost over a million members. The
Legion heads sought to correct this matter with the Korean war. They
drew soldiers returning from this war into the Legion. However, this
artificially organized influx has been replaced by a new, strong outflow.
As the New Republic affirms, despite the terror and the punishment
of the recalcitrant, a series of quite significant rebellions has occurred
since 1948 within the Legion. The ordinary Legion members are beginning
to replace the leadership and to place people who are not so clearly con-
nected with monopolistic circles at the head of this organization.
But the crisis which the Legion is undergoing, of course, does not
change the Legion's reactionary nature. The power of military reaction
in the US is as great as before. As formerly, the Legion is its strong-
hold and support.
International imperialism is trying to take revenge for the defeats
inflicted on it by the forces of peace. Reaction is mobilizing all its
reserves.
Here is how Legion Commander V. K. Daniels served these aims. Soon
after his election to the position of Legion commander, he and three
other legionnaires went to the Middle East, where the imperialists have
increased their machinations against the peoples of the Arab countries,
and primarily against the Egyptian people. Having visited Cairo,
Daniels then spoke in the US, making a hostile statement against G.
Nasser, Egypt's president. The commander did everything that he could,
through congressmen associated with the Legion, to cut off economic aid
to the Middle Eastern countries. He insisted on "condemning" the Soviet
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Union in connection with the events in Hungary, considering such "condemna-
tion" a convenient reason for organizing military interference by the im-
perialists in the internal affairs of the Hungarian People's Republic.
The American Legion also participated actively in the slanderous
uproar organized by American reaction in connection with the Hungarian
events.
The descendants of Sergeant Patterson are asking for new pogroms,
wars and provocations. However, history is moving forward and reaction
will have more than a little work to keep even its stronghold and support,
the American Legion, unconditionally obedient.
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Behind ths Labor-Union Screen G. Kulikova
The articles and speeches of George Meany... The voice of this inex-
haustible orator is heard on the radio, resounds from the platform at
meetings, gatherings and conventions, comes from university lecture
stands, and its sweet syrup flows about the tables in the banquet halls
of the luxurious hotels in the American capital city.
What is the topic of the oratory of George Meany, President of the
American Federation (4 Labor and the Congress of Industrial Organizations
(AFL and CIO), which have 16 million workers of various industries as
members? Is his voice perhaps thundering forth in defense of the needs
and hopes of the American worker and appealing for a fight for his rights
and vital interests? Especially since there is something to worry about
here, something to sound the alarm about. Recent years in the US have
been characterized by serious attacks by reaction against the labor unions,
by an intensification of exploitation, by an increase in taxes, and by a
decrease in real. wages.
But the head of the AFL and CIO is not devoting his eloquence to
these vital problems. Like a memorized lesson, he repeats from day to
day scandalous nonsense, setting one's teeth on edge, about the conspir-
acies of "international Communism" and its "drive toward world domina-
tion." He advises a further armaments race and the creation of anti-
Soviet military blocs, and appeals to the Western powers to refuse
cooperation with. the Soviet Union.
He pounces violently on all those who defend a policy of peaceful
coexistence and friendship with the countries of the socialist camp.
At the American Legion convention he howls about the "Red Bear"
which allegedly intends to "attack" America. At a Catholic University
commencement he grieves because at some places in the US "indifference
to the threat of Communism" is appearing. At the National Academy of
the Federal Bureau of Investigation he advises stopping the exchange of
delegations with the Soviet Union and the people's democracies. At a
banquet organized by construction companies he turns on the owners with
reproaches t they, you see, are not fighting against the "Red Terror"
decisively enough. In saying these things, he is in no way embarrassed
by the circumstance that the hands of the police whom he is addressing
are stained with the blood of striking workers or that the owners are not
union members but enemies of the workers.
No matter where Meany speaks, at a labor-union conference, on the
radio, or at an assembly of inveterate reactionaries like the American
Legion, everywhere he constantly appeals for aggression against the
Soviet Union. He himself is a fervent advocate of the "crusade against
Russia" and of the theory of "liberation" of the people's democracies,
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i.e., of enslaving them to American capital. He is not only an enthusi-
astic supporter, but also an active participant, of plans intended to
eliminate the power of the peoples and return capitalism to the USSR and
the other socialist countries.
In distributing lies and scandal, Meany pretends to express the
opinion of the workers who belong to the AFL - CIO. "We," "us," the
"labor unions," the "rank-and-file workers" - these words literally per-
meate his language. However the facts show that millions of American
workers, as well as, by the way, even entire labor unions, in no way
share the opinions which are so frequently expressed in their name by
the man who is the head of the American labor unions in order to leave
them without leadership.
How did it happen that the head of the labor union association in
the US turned out to be one of the worst sworn enemies of the first
workers' government in the world, joining shameless warmongers in calling
for military action against the Soviet Union?
This question can only be answered by becoming acquainted, if only
briefly, with the peculiarities of the labor movement in the United
States.
The American Federation of Labor was born in the days of a great
upsurge of the labor movement, when the proletariat of this country was
stubbornly fighting for an 8-hour workday. This was in the 1880's of
the last century. A mighty-wage of strikes carried along all sorts of
demagogues and traitors who regarded the labor organizations as profit-
able business. For decades the labor unions were the private preserve of
the highly paid top echelon of the laboring class, the so-called "worker
aristocracy", which feeds itself with crumbs from the grand table of the
monopolies._ The Federation was organized by crafts and consisted of
numerous small unions. The union czars, the "bosses," warred with each
other for the right to lead the workers of one or another trade, or,
more accurately, to see who would get their membership dues and thus be-
come rich. A man who seized leadership, placed his people in key posi-
tions and thus ensured for himself many years of "presidency," became
the master and acquired an income. "In his small kingdom he was almost
a demigod, surrounded by a throng of courtiers who flattered and in-
dulged him," wrote Fortune magazine, describing a typical union boss.
Twenty-five, thirty or even forty years were common periods of leader-
ship by a single man in the unions belonging to the AFL. Matters
reached such a peculiar state that some of them proclaimed themselves
president for life.
Relations between these union barons and the owners were also
peculiar. They were based on the opportunistic theory that the interests
of labor and capital were the same, that it was possible to establish
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peace and cooperation between the classes. This thoroughly false theory
let down deep roots in the US, and found enthusiastic admirers and fol-
lowers. Certainly it was quite convenient for the apologists of imperial-
ism, who even now reiterate how "exceptional" is the American way of
development and describe the system of "free ownership" as a special kind
of capitalism not subject to its laws. From this also sprang the thesis
that there are "no warring classes" in the United States, a thesis enthusi-
astically held by the union leaders and used to avoid the class struggle
and the implacable struggle for the interests of the workers.
These words of V. I. Lenin apply fully to the reactionary leaders of
the American unions: "persons within the worker movement who belong to
the opportunistic school are better defenders of the bourgeoisie than the
bourgeois themselves. Without their leadership of the workers, the bour-
geoisie would not maintain itself in power."
All the leaders of the American Federation of Labor have been this
type of person, beginning with the first president, Samuel Gompers, a
zealous proponent of the theory of cooperation with the monopolies. As
early as 1915 V. I. Lenin warned the workers of the United States and
other countries of the world, showing the treacherous role of the leaders
of the AFL at that time. He stated that "Gompers and persons like him
are not representatives of the working class: they represent only the
aristocracy and the bureaucracy of the working class."
Gompers, Green, Meany, one replacing the other as president of the
Federation, belong to the same category of stewards of the monopolies,
and henchmen of imperialism in the worker movement. The essence of their
policy consists of forcing upon the unions the idea of "cooperation" with
monopolistic capital, or, more accurately, of subordination to it, of
renunciation of the working class's right to government power, and of
support of an imperialistic foreign policy.
In no other country have opportunistic, reformist leaders caused so
much harm to the labor movement as in the United States of America. In
no other country has the bourgeoisie succeeded on such a scale in buying
out the heads of the working class as in the US. Nowhere are the cor-
rupt ideas of subordinating the interests of the workers to the interests
of capital implEmented as openly and shamelessly or are the labor unions,
these mass organizations intended to unite the workers' efforts in the
struggle for their vital rights, so undermined. The American monopolies
could not have achieved all this if they had not been helped by their
agents, the opportunistic leaders, the "lieutenants of capital" in the
labor movement, as Lenin called them, if they had not exerted every effort
to split the ranks of the workers, to fetter the unions, and to turn them
into an appendage of the machine of the capitalist state.
* * *
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It was 1917. The Great October Socialist Revolution had triumphed.
How should this victory be regarded? There was only one opinion on this
score in the Executive Council of the American Federation of Labor. The
birth of the proletarian state held the ruin of capitalism, and threatened
to undermine the way of life so close to the hearts (and especially-to
the pockets) of the union barons. In the hostile howl that rose from the
bourgeois world the shrill voice of the American union leaders was also
heard. Strangle and eliminate the country of the workers and peasants -
that is that these people wished, dressed in the costume of labor leaders
and pretending that they represented the interests of the workers.
Many years went by. Many changes occurred. The capitalist states
were compelled not only to discontinue the military and economic blockade
of the Soviet Union, but even to enter into economic, commercial and cul-
tural relations with it. The government of the United States also estab-
lished normal diplomatic relations with the Soviet Union. More than that,
the US and the USSR were allies during World War II against Hitlerite
Fascism and Japanese imperialism.
Only the leaders of the American Federation of Labor did not change.
Vying with the most shameless reactionaires, they continued a fervent
anti-Soviet campaign. Each step along the path of progress, each move
toward improved relations with the Soviet government was accompanied by
their hysterical howls. Paying tribute to their indefatigability and
zeal, the Honorary Chairman of the US Communist Party, Willian Foster,
noted in his book, The Twilight of World Capitalism: "The conservative
leaders frequently surpass the capitalists themselves in their warlike
chauvinism and their pathological hatred of the Soviet Union and the
Communist Party.?
The life of the American labor union bureaucracy was disturbed in
the 1930's when, disregarding its will and wishes, mass labor organiza-
tions, organized along industrial lines rather than along narrow craft
lines, began to spring up. A severe economic crisis, changing to a
lingering pre-war depression, stimulated the stormy growth of the union
movement. Laws recognizing the rights of the unions (particularly, the
so-called Wagner Act) passed during this period were the result of the
ever-strengthening labor movement in the US.
The heads of the AFL saw a challenge to themselves and their craft
organizations in the formation of the industrial unions in which all
workers participated, even the lowest paid. In 1.935 a group of such
unions was expelled from the AFL. A second trade-union center, the
Congress of Industrial Organizations (CIO), grew up. Its creation
agitated all working America. The membership of the unions began to
increase rapidly. During the last 20 years the number of workers
organized into unions in the US has quadrupled and now totals 16 million.
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Fora number of years the new labor-union center played a quite
progressive role in the development of the labor movement in the country.
The energetic activity of the labor unions and the powerful strike move-
ment they developed led to a substantial increase in minimum wages, a
reduction in the length of the workday, and an improvement in working con-
ditions. The achievements of these years must also include the creation
of a kind of social security system, the acknowledgment by many enter-
prises of the right of the workers to paid vacations, etc. All this was
achieved through violent battles and a long and stuboorn struggle which
was successful thanks to the increasing organization and unity of the
workers.
* * *
At the end of 1955 the two labor union associations, the American
Federation of Labor (AFL) and the Congress of Industrial Organizations
(CIO) were merged. This became possible partly because during the postwar
years the position of the CIO leaders had come close to the position of
the Green-Meany clique heading the Federation. This approach was espe-
cially noticeable in the field of international relations: the heads of
both organizations actively supported the aggressive US foreign policy,
the policy of building up military blocs and fanning war hysteria. But
the main reason prompting the leaders of the AFL and the CIO to take this
step was that they were afraid the initiative would slip from their hands.
The idea of unity had always been very popular among the US workers.
They realize that the weakness of the labor movement is the result of
breaking it down too far, of craft organizations, and of unnecessary and
harmful rivalry among the unions. This made itself especially felt dur-
ing the postwar period when the reactionary forces developed an attack on
the democratic rights of the people. One after the other, Draconian
anti-labor laws were passed. The most vile of them were: the Taft-
Hartley Act, the McCarran Act, and the Brownell-Butler Act. Using these
laws, the reactionary circles directed a blow against the labor figures
who were most active and most true to the cause of the working class.
Whole unions were affected by the blow, namely, those that fought most
decisively for the workers' demands. Many strikes were suppressed and
the unions and their leaders were placed under police control.
An attack also developed against the people's standard of living.
During the postwar years the workers' share in the national income fell
steadily. The constant increases in prices, apartment rent, the cost of
public services, etc., reduced all the workers' gains, achieved at the
price of bitter strike battles, to nothing. The whole burden of the
armaments race lay on the shoulders of the ordinary people. The rapidly
increasing taxes are devouring at least one-third of the workers' and
employees' income. According to union data, the income of at least
two-thirds of American families was lower than the officially recognized
minimum needed to live on.
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Only by uniting their forces and by an organized struggle would it
be possible to repulse reaction's attack. Vast groups of workers under-
stood that it was time to put an end to the smallness of units and to
the craft organization in the labor movement. The question of unifying
the unions became the order of business of the day. It was dictated by
life itself, and had to be resolved regardless of whether the right-wing
union leaders wished it.
The heads of the AFL and the CIO understood the strength that the
striving of the masses toward union unification was acquiring. And they
could not avoid sensing the danger that, in view of the anti-labor ap-
proach by the monopolies and the furious armaments race, they might lose
control of the movement for unification. It was important to them to
seize the initiative and to direct the movement for unity along a channel
acceptable to the monopolistic circles.
* * *
'long before the unification congress of the AFL - CIO, the press of
the large monopolies began strenuously to publicize the President of the
AFL, George Meany. The large weeklies praised his gentlemanly manners
and bourgeois habits. Meany, they wrote, is a completely "decent,"
well-brought up fellow; you see, he rides to work in a luxurious limou-
sine, is a judge of French wines, plays the piano and is even a poet.
In this way the monopolistic circles expressed their approval of the
activity of this union boss.
What are the virtues of this so-called "labor leader" which are
earning such unmistakeable good-will in Wall Street? It is certainly
not his gentlemanly manners or of the exterior of this stout man with the
flabby, fat face, who resembles a banker or manufacturer.
George Meany began his career in the plumbers union. Becoming
head of one of its divisions in his youth, he gained the company's good
will because, as the Morgan magazine, Time, noted, "he never struck."
"The employers respected the word of the devout Catholic, Meany,"
admits the magazine, apparently considering devoutness and humility
very valuable qualities in a labor-union figure. It was obviously be-
cause of these qualities that Meany soon became president of the New York
State Federation of Labor, and in 1939, when the aging Frank Morrison re-
tired, he was appointed Secretary-Treasurer of the AFL.
Al]. his life George Meany has called on the American workers not to
fight to obtain their rights, but to agree quietly and amicably to the
prejudicing of these rights. He has not devoted his efforts to organiz-
ing opposition to capital, but to suppressing the struggle of the
exploited against the exploiters and oppressors. Along with this he,
like other opportunistic leaders, has had to continually maneuver, con-
cealing with loud, demagogic phrases, his capitulation and cringing
before capital.
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Here is one of the characteristic dramatizations which Meany played
as far back as the 1930's, concealing his true face from the workers. A
bitter struggle for increased unemployment benefits was going on. It
took an especially severe form in New York. Assuaging the mood of the
mass of enemployed, Meany engaged in a noisy, demagogic campaign against
the Government's New York District Administrator, General Johnson. "Meany
grappled with the stormy General Johnson," said Time magazine, breathless
with delight. "Meany and Johnson publicly denounced each other in state-
ments on the radio and in the newspapers.., and peacefully dined together
in private."
Many years have passed since then and Meany has long since ceased
to conceal his amicable relations with contractors, factory owners, plant
owners, and merchants, in a word, with all the magnates of capital. He
meets them quite openly as well as privately. Not many festive dinners,
lunches and suppers are held in the restaurants of the fashionable
Washington and New York hotels without his participation. He drinks the
health of industrial and financial big shots and they condescendingly
clap him on the shoulder and thank him for his faithful service.
"During my whole life I never struck, never headed a strike, never
ordered a strike, and never had anything to do with picketing," Meany
admitted once. And this at a time when the workers are defending their
vital rights in stubborn strike battles! About 30 million workers and
employees of different trades have participated in strikes during the
past 10 years. And only the right-wing socialist leaders of the labor
unions have remained apart from the fight. Can there be a greater be-
trayal of the interests of the American workers!
Here is the kind of program that Meany proposed to the unions on
the eve of their unification congress: "The AFL - CIO," he wrote in
the New York Times Magazine, "will be ready and able to play an important
part in establishing and maintaining peace in industry. The interests
of the workers and of the owners are interconnected rather than hostile.
The incomes of both depend on the continued prosperity of any given
enterprise and of the country as a whole. Neither can produce without
the other... The majority of conflicts between workers and management
can be settled by peaceful means. And this is occurring now. The only
difficulty is to work out a method for settling exceptional cases, be-
fore a destructive strike or lock-out occurs."
Meany concluded the presentation of his program for class coopera-
tion with a proposal for concluding a "non-aggression pact" between the
unions and the monopolies!
"It is our duty to impose strict government control on the workers
we represent. It is our duty to explain to the workers that they can-
not receive the wages and working conditions that they want."
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These are Meany's words. But they are spoken in the language of the
owners. All the boundaries between such "labor" leaders and the capital-
ists have been obliterated. The capitalist is plundering, and Meany
blesses this robbery and appeals for humility to those who are robbed.
The capitalist intensifies the squeeze of cruel exploitation, and Meany
urges the oppressed workers, weakened by the monstrous sweat-shop system,
hotto rebel.
* * *
The treacherous activity of the reactionary labor-union leaders
toward the workers would likely have been worth only half as mach to the
monopolistic circles if it had not been supplemented by anti-Soviet prop-
aganda and by active participation in the realization of an aggressive
foreign policy policy for the US. Meany, fortunately, is most zealous,
most active and most diligent in this direction. He did not conceal his
hostile feeling toward the Soviet Union even during the war, when the
whole world was carried away by admiration for the heroism of the Soviet
people in annihilating the Fascist horde. At this time Meany was worried
only because the influence of the Communists was increasing among the
workers.
What can be said then about the "cold war" years, when all America
was in the grip of violent propaganda of hostility and hate, and any
expression in favor of peaceful coexistence with the socialist countries
was considered almost a crime. That is when these sword-bearers of the
monopolies appeared everywhere. They called for a military campaign
against the USSR and demanded immediate overthrow of the Soviet power.
And how many slanderous inventions were born in the bosom of the
AFL, and were readily placed by Meany and Co. as salable goods on the
anti-Soviet market! How much, for example, does the slander about
"forced labor" in the USSR cost? How many times has it been put for-
ward by the American reactionaries to poison the international atmos-
phere? How many times have US delegations brought it up for discussion
at sessions of the General Assembly of the UN, drawing public attention
away from the most important international problems?
However, this whole "problem" was a fantasy of a certain interna-
tional committee of the AFL. "Theorists" of every kind from among the
traitors to the socialists are at work in this union "state department."
In particular, the renegade Lovestone plays no small role. He is con-
sidered apparently not without some basis, to be the author of many of
the speeches which Meany reads from paper.
There is war in Korea. Unprecedented excitement reigns in the AFL
Executive Council. With great enthusiasm they begin to disseminate
chauvinist slogans. The union bureaucrats picture every strike and
every attempt by the workers to improve their working conditions almost
as though it were treason. When the US was compelled to seek an
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armistice, the leaders of the AFL immediately appeared among thossA who
were openly opposed to ending the armed conflict in Korea. The American
newspaper, Worker, then justly noted the striking resemblance between the
positions of Meariy and of the American puppet in Southern Korea, Syngman
Rhee: each was demanding the continuation of the blood bath.
All humanity sighed with relief when, in the summer of 1954, as a
result of the peaceful initiative of the Soviet Union in Geneva, agree-
ment was reached to conclude the 8-year old war in Indo-China. In
Washington alone, tempers were not restored for a long time. The col-
lapse of the aggressive plans and expansionist dreams caused an outburst
of indignation there. Frothing at the mouth, Meany cried from the plat-
form at the American Legion Convention that the Geneva agreement ',would
go down in history as a point from which there is no return."
By the way, Geneva more than once annoyed the warmongers and their
union servants. The meeting of the heads of state of the four powers
which took place in this city in the summer of 1955 seriously shook the
ground under their feet. But even with a lessening of international
tension, Meany and his associates continued their black deeds. They do
not wish to reckon with the "spirit of Geneva"; they will have nothing
to do with the desires of the peoples who are eager to be free of the
threat of a new world war.
The idea of peaceful coexistence between states with different
social systems is undergoing a fierce attack from the adherents of the
"position of strength" policy. In a whole series of speeches and
articles, Meany is trying to vilify this idea, dear to the heart of
every ordinary man. "A serious danger is threatening the free world
today," he warns his audience. "It is engendered by the stupid, mis-
taken opinion that we can safely accept the idea of coexistence with
Soviet Russia,"
Commenting on these inflamatory statements of Meany's, the news-
paper, Daily People's World, wrote: ?It must seem strange to the people
of other countries that in the United States the bitterest opponent of
peaceful coexistence between capitalist countries and socialist coun-
tries is a union leader."
Meany is trying to justify his anti-Communist position. A com-
plete "theoryn? claiming to be scientific, has been worked out for this
purpose. It is based entirely on one false principle: the concept of
class peace and class cooperation. Since the workers and the owners
have identical interests, affirm Meany and his accomplices, their enemy
is identical. This enemy is Communism. Under Communism there cannot
be private capital, private ownership, or private industry. And con-
sequently, they say, there cannot be a free trade-union movement. As
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one can see, these pseudo-theorists consider union "freedom" to consist
only of attack by reaction, anti-labor laws and persecution, and union
subjugation to opportunistic doctrines concealing lawlessness and ex-
ploitation. To defend the interests of the monopolies by identifying
them with the workers' interests, this is what Meany considers genuine
union freedom. "The free unions of America," he writes in the above-
mentioned article in the New York Times Magazine, "are fighting against
Communism in their own country and in the whole world. This unchanging
opposition of the American union movement toward Communism is providing
a basis of security for American business." Such is the "scientific
basis" inspiring the anti-Soviet activity of Meany and Co.
It is in this very theory that it is necessary to look for the main
motives which led the reactionary leaders to waive their egoistical,
mercenary interests and to approve the merger of the AFL and CIO. To
turn the consolidated union center into a strong force for the "struggle
with Communism" and to make it a hotbed of anti-Soviet propaganda--this
is the aim of Meany and the other reactionary union leaders. It is
enough to study the foreign policy resolution adopted at the consolida-
tion congress. What doesn't it contains Appeals for an even greater
armaments race and an expansion of the military blocs, the demand not to
let the People's Republic of China into the UN, attacks against the idea
of coexistence, appeals for "the liberation" of the people's democracies,
etc.$ etc. All this was flavored with sizeable doses of anti-Soviet
slander and demagogic statements about the "threat of Communism."
The ruling circles of the US did not oppose the consolidation of
the two union centers. "I hail the consolidation of the unions," spoke
the Governor of the state of New York, Harriman, at the consolidation
congress, "because the American unions have done more in the struggle
with Communist subversion in the country and abroad, and have supported
our government more straightforwardly than any other organizations in
the us." Thus the monopolies expressed their approval of the action of
Meany and his clique, through the words of this millionaire.
* *
In October 1945 the World Federation of Trade Unions was estab-
lished. This was the most representative and inclusive international
organization in the history of the labor movement. It included all the
large national union centers, all, with the exception of the American
Federation of Labor. The top echelon of the AFL was not in favor of
the democratic forces which united to consolidate the victories
achieved in the struggle against Fascism, and to ensure a firm peace
in the future,c
Even during the war the American Federation of Labor began to raise
a fund to help the European unions. The last salvos had not died out
when the Federation's ambassadors appeared in Europe. They came to help
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reestablish the unions, they said innocently? As a matter of fact, their
purpose was to split the ranks of workers and to repulse the upsurge of
the labor movement resulting from the victory of democratic forces over
Fascism.
In Italy the "union" emissaries Dubinsky and Antonini were active,
in France, Irving Brown, and in Germany, Rutz. They squandered money,
bribing the labor leaders, spread anti-Soviet slander, and gathered the
Quislings and Vichyites of yesterday around them. This was a carefully
prepared plan to prevent the unification of the worker class. Its aim
was the creation of a new international organization subordinated to the
aggressive policy of the US ruling circles.
This plan was created by the top echelon of the AFL. The union
leaders served only to carry out the will of those who determine and
the political program of the monopolistic circles. It was no accident
that the ambassadors of this top echelon in Europe were also agents of
the US State Lepartment and of the American secret political policel the
FBI. In essence, the name AFL was only a screen concealing hardened
spies and intelligence agents.
We must give the French workers their due; they soon recognized the
underlying intentions of the American salesmen operating under a union
cloak and evicted Irving Brown from their country. "This lackey of the
American reactionaries," wrote the workers' newspaper,La Vie Ouvrier, on
31 October 1946 "tried to make connections with everyone in France who
wished to fight against the World Federation of Trade Unions. He sought
out everyone, who, under the cover of anti-Communism, was ready to de-
stroy union unity. He drew in Munichites and Vichyites, seeking to
create from them a group of advocates of a new war."
Brown was compelled to leave France and set up headquarters in
Brussels. Here, in the luxurious Atlanta Hotel, was also located the
suite of the so-called "European Bureau of the American Federation of
Labor," a nest of spying and provocations, the center of anti-labor and
subversive activity. From here, the threads of the conspiracy stretched
into the countries of Western and Eastern Europe. Here the secret war
against the international labor movement was begun.
The reactionary press thinks highly of Meany because he was first
among American union leaders to come out against the international asso-
ciation of workers, the World Federation of Trade Unions. Meany has per-
formed quite a few such "services." He directly supervised the perni-
cious activity of the American agents operating in the European unions.
It was certainly not without reason that he boasted that AFL money
"split" the General Confederation of Labor of France." Actually, quite
a lot of money was spent for the subversive activity. A figure of 160
million dollars was mentioned at the AFL congress in 1948 as having been
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spent to "bring life to the free union movement" ("free" in the American
meaning). But, obviously the expenditures were not limited to this sum.
In addition, it was discovered that considerable funds come to the union
bosses from funds of the President and State Department of the US. The
reactionary American newspaper, New York Journal American, admitted in May
1953 that the main center of American espionage, the US Central Intelli-
gence Agency, "gave the AFL almost 3 million dollars for conducting secret
political activity in France, Italy and some other countries."
But the plans of international reaction failed. The AFL money did
not undermine the General Confederation of Labor of France, nor did it
undermine other labor centers in Europe. In 1952, after a 6-week trip to
Europe, Meany was convinced of the stability and popularity of the pro-
gressive labor organizations in France and Italy. This made the union
boss so wild that he not only threatened his henchmen, but also sharply-
criticized the European ruling circles, which, in his opinion, were not
sufficiently fervent in the fight against Communism. "They let us work
on this, but do not wish to raise a finger themselves," complained this
defender of the interests of US monopolistic circles.
International reaction's plans to destroy the World Federation of
Trade Unions also fell through. The withdrawal in 1949 of the Congress
of Industrial Organizations, the British Trades Union Congress and a
number of small trade unions did not destroy the Federation. It not only
maintained its influence, but even grew stronger, increased its member-
ship and acquired great authority among the workers.
The connection between the policy of preparing for war and the sub-
versive activity of the trade-union schismatics is very direct. It is
not difficult to be convinced of this. It is enough to remember the
attitude of the leaders of the International Confederation of "Free"
Trade Unions (ICFTU) towards the heroic struggle of the French dock work-
ers against deliveries of American arms to West Germany. Irving Brown,
an active worker in the Confederation, was sent to Marseilles. According
to evidence of the French newspaper, Le Soil', a group of cutthroats re-
cruited by him came with him. Writing about the activity of this group
of criminals, the American magazine, Business Week, stated: "From time
to time first one and then another of the confirmed Communists had to be
brought to the hospital. Some of these Communists unexpectedly disap-
peared into the dirty water at the wharf."
The leaders of the ICFTU christened such gangs, "vigilance commit-
tees," and tried to convince the public that they were formed by the
workers themselves to fight against the "Communist threat."
Recently there has been a notable development of contacts between
different countries. There is a constant exchange of parliamentary, cul-
tural, sports, trade-union and other delegations. Naturally, the
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possibility of establishing relations with the workers of the socialist
countries has received the attention of the trade-union public in America
also. This has been encouraged since there has been an exchange of agri-
cultural, construction, medical, journalist, etc., delegations between
the US and the USSR. "Why not exchange labor delegations?" many union
workers have proposed. But, like everything else that might lead to a
strengthening of friendship and cooperation between the peoples, this pro-
posal was shoved aside due to the emnity of Meany and his cohorts. They
do not want the ordinary people of America to know the truth about the
country of socialism. Let them live on slanderous nonsense, the fruits
of the evil imagination of the adherents of aggression. "The smiles of
the Soviet leaders are more dangerous than threats,? admonish the heads
of the AFL-CIO in supporting the "cold war."
At the dictation of the bosses from across the ocean, the Interna-
tional Confederation of "Free" Trade Unions issued a directive forbidding
all the national centers which were members of the ICFTU to exchange
delegations with trade unions belonging to the World Federation of Trade
Unions. This is the way that the trade union bureaucrats once again
undertook to strengthen friendship and mutual understanding among the
workers of different countries. Thus they once again proved that they
are not at all guided by a striving toward peace as they demagogically
affirm in their endless statements.
To understand thoroughly how harmful the schismatic actions of these
trade union accomplices of the monopolies, of the American trade union
bureaucracy, are to the worker class, let us pose this question: who
will benefit from a split in the international labor movement? It is
quite clear that the strengthening of friendship and cooperation, con-
stant communication, exchange of delegations, etc., could bring nothing
but good to the workers of the different countries. As far as the
monopolistic bosses are concerned, it is no secret that they are afraid
of the development of such relations, of the workers of the Western
world learning about the achievements of the people's democracies, and
of the strengthening of unity among the workers in general. Consequently,
the actions of the American union bureaucracy and of the top echelon of
the ICFTU are of benefit only to the capitalists. They cause great harm
to the workers and to the whole international labor movement.
In serving Wall Street, Meany and his cohorts are actively helping
the imperialists in realizing their colonial policy. Take, for example,
the attitude of the top echelon of the AFL-CIO toward the aggression by
England, France and Israel against Egypt. They kept quiet when the
troops of the imperialist usurpers committed outrages on Egyptian soil,
killing thousands of peaceful inhabitants and destroying ancient
Egyptian cities. And this is not surprising if one keeps in mind that
the leaders of the AFL-CIO echo their masters in expressing indignation
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at Egypt's nationalization of the Suez Canal. One might wonder what
business of Meany and his clique this was. Certainly the nationalization
of the Suez Canal in no way affects the situation of the workers of the
US or of any other country. The Egyptian workers gain from this move, as
do the entire Egyptian people, who threw offbhe chains of colonial oppres-
sion and who entered the path of freedom and independence.
Nevertheless, Meany fought for "internationalization" of the canal,
i.e., for giving it into the hands of the monopolies. He even took it
upon himself to send a special letter to Secretary of State Dulles pro-
posing that "pressure be put on" Egypt. A resolution of the Executive
Council of the AFL-CIO was attached to the letter. In it, crude attacks
against the Egyptian government and President Nasser of the Republic of
Egypt alternate with appeals for "internationalization" of thea canal.
Is it possible to express oneself more clearly on the question of
the national liberation struggle of the colonial peoples?
* * *
At the end of 1952, an underground organizations Wolnosc
Niepodleglosc (WIN), was exposed in People's Poland. It was engaged in
espionage and the preparation of sabotage and terrorist acts and was
financed from the US. The leaders of IN confessed their guilt to
Poland's state security organs and admitted that they had received more
than a million dollars from American intelligence agencies. The under-
ground workers received additional subsidies from a certain agent known
as "The Brown One." It developed that Irving Brown, who is both a trade-
union worker and an agent of the US Central Intelligence Agency, had
disguised himself under this nickname.
"The Brown One", Brown, has large sums at his disposal which come
from appropriations made under the so-called Mutual Security Act. This
law, unprecedented in international practice, earmarked 100 million dol-
lars for active subversion in the socialist countries. In succeeding
years Congress has continued to make generous appropriations for these
purposes. A considerable part of this money also passed through the
hands of the trade union agents.
As far back as the convention of the American Federation of Labor
in 19480 Brown openly declared that the "AFL is creating a US fifth
column in the people's democracies to operate in favor of the US."
This type of activity had to become one of the chief aims of the Inter-
national Confederation of "Free" Trade Unions. And although at that
time it was only in the planning stages, Brown, in the same statement,
proclaimed that the first point in its program must be "assisting in
the overthrow of the present governments of Eastern Europe." The
Danish newspaper, Land og Folk, published a secret resolution of the
executive council of the ICFTU. This resolution stated directly that one
of the Confederation's aims was espionage in the people's democracies.
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Other Personnel of this type also did not conceal the plans of reac-
tion with regard to the people's democracies. Meany, for example, made a
special announcement in Which he called on the emigre organizations for
support. With the help of the AFL, an espionage center called "Free
Trade Unions in Exile" was organized. It contained not only Fascists and
traitors hiding from the people's courts in the Eastern European coun-
tries, but also white-guard rabble who still cherish the dream of over-
throwing the Soviet system.
The participation of US "trade union" agents in subversive activity
has been proven in places other than Poland. It has been revealed that
the top echelon of the AFL was connected with the reactionary underground
in other countries also. For example, the American magazine, Reader's
Digest, had to admit this in its pages.
What a howl the trade-union servants of the warmongers raised in
connection with the uns49gessful attempt to eliminate the people's demo-
cratic system and re-establish the power of feudal counts and capitalists
in Hungary! A message to President Eisenhower, a telegram to Secretary
of State Dulles an appeal to the UN. At this time Meany did not have a
minutels Peace. He spoke on the radio, wrote articles, protested, de-
manded. More frequently than at any time he used the words, "workers,"
"trade unions," "we," "us," trying with all his might to prove that it
was not he and his clique, but the American workers who were grieved by
:the defeat of the Fascist-Horthyite hordes in Hungary.
The Executive Council of the AFL-CIO was called and a declaration,
full of anti-Soviet slanders, was adopted. Introduce UN "police forces"
into Hungary, do not recognize the Kadar Workers' and Peasants,' Govern-
ment, and stop all cultural and scientific exchange with the Soviet
Union; such were the demands of the American trade union top echelon.
More than that, they also appealed for organization of an economic boy-
cott,of the Soviet Union, i.e., an attempt to re-establish the "cordon
santlzhewhich was used against the young republic of workers and peasants
at the very beginning of Soviet power. The leaders of the International
Confederation of "Free" Trade Unions also held this line.
In order to complete the portrait of George Meany, we present one
more fact. Recently in the United States a book was published by the
so-called Un-American Activities Committee of the House of Representatives.
This was a coll.ection of articles filled with anti-Soviet slander and war
propaganda. Here shameless, monstrous lies alternate with crude falsifi-
cations. The authors of the collection (a total of 120) include the most
shameless American reactionaries and militarists. Here is the chief of
the secret police, Edgar Hoover; the provocateur, Louis Budenz, who ap-
peared as a false witness at trials of Communists; and a whole group of
generals driven by the thirst for blood.
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And George Meany was willing to appear among them and to urge on, or
at least keep up with the eager propagandists of aggression. Well, it is
just among the proponents of war that he belongs.
At the same time it is quite clear that there is a deep gulf between
him and the vast mass of US workers. All his activity and all his speeches
and articles glaringly contradict the interests of the ordinary peoples.
And no matter how many times this arms-bearer of Wall-Street repeats the
pronouns, "we" and "us", he will not succeed in convincing the world pub-
lic that he expresses the opinion of the American people. The facts show
that the ordinary people think and speak quite differently.
Voices demanding changes in the present US foreign policy are being
heard more and more frequently at union conventions and at workerst meet-
ings and conferences. Many union figures, even such prominent ones as
Walter Reuther, president of the United Automobile Workers, Potofsky,
head of the garment workers, and others have criticized the present
policy.
Before us lies the newspaper, Labor News, published by the unions
in Rochester (New York). "They calm us with fairy tales of how," the
editorial states, "everything is well in the world and we can defend our-
selves by creating more and more modern destructive military machines.
But everything cannot be well in the world while we, the people of the
West, do not exert all our efforts to learn to live in peace and coopera-
tion with other peoples, including the Russians and the Chinese."
Nor is it superfluous to recall the resolution adopted at the con-
ference of Illinois unions. It calls for negotiations "at every pos-
sible level, to eliminate the conflict between East and West."
It is apparent from this that the American workers have certain
aims and the reactionary union top echelon has quite other aims.
The ordinary people in America want peace and broad cooperation with
the USSR and the whole camp of democracy and socialism. But the union
barons are cooperating with the monopolies and helping them in the prepa-
ration of war and other armaments. This is the tragedy of the American
labor movement.
The workers have become sick to death of the accomplice of the war-
mongers, George Meany. But the Wall Street bosses approvingly pat him
on the shoulder.
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GREAT BRITIAN
ulle English bourgeoisie has always stood and con-
tinues to stand at the forefront of the enemies of the
Liberation movement of mankind." -- I. V. Stalin
Captains of British IndUstry P. Snegov
In the center of London, not far from the luxurious royal palaces
and massive government buildings, stands an ordinary house with nothing
noteworthy about its appearance. Its picture does not appear on the
colorful postcards with views of the English capital. They do not show
it to the tourists who usually throng in front of Buckingham Palace,
Westminster or the Prime Minister's residence on Downing Street. Never-
theless, the house, and mainly its residents, deserve that more be known
about them. It is especially important that the truth be known about
them.
The head office of the Federation of British Industries is located
in this house. This organization does not attempt to be well-known
and does not publicize its activity. It prefers to operate behind the
scenes and to do its business quietly. Here honorable gentlemen who
discuss and pass laws in Parliament meet. The government rules the
country. But the real, commanding and omnipotent rulers of Great Britain
and the British Empire are found in this modest house at No. 21 Tothill
, Street.
The members of the British Parliament, the ministers, generals,
ambassadors, government officials and numerous government committees,
commissions and offices only carry out the wish of the Grand Council of
the Federation of British Industries. They give its wishes the form of
legislative acts and governmental decrees, orders and instructions.
They carry out the Federation's orders implicitly. And they do this
especially eagerly because the majority belong to the same class as the
members of the Grand Council. Its orders are published nowhere and are
seldom spoken aloud, but those for whom they are intended always under-
stand them. Most frequently these orders are simply anticipated. If
some minister, member of Parliament or high government official does not
understand, or even more, if he does not do what was expected of him, he
simply would not be a minister, member of parliament or high government
official; in Great Britain, as in any capitalist country, it is impos-
sible to ignore the will of the ruling class with impunity. And the
Federation of British Industries is its most powerful and authoritative
organization, an association of industrial, commercial and financial
oligarchs and monopolists.
What is the Federation of British Industries? What is its role in
the life of Great Britain? What influence does it have on the country's
domestic and foreign policy? What is its interest in the armaments
race? To attempt an answer to these questions, it is necessary to dwell
briefly on the Federation's history and organization and on its past
activity.
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The Federation of British Industries was established in 1916. It
was established to combat the growing worker movement, as a center from
which to lead the attack on the vital rights of the working masses, to
expand in the international arena, and to compete with the other imperi-
alist plunderers. The great British capitalist companies, in creating
the Federation, also intended that it should represent their common
interests in other national associations, governmental departments and
international organizations.
The Federation's task, states the "royal charter," is the "encourage-
ment, promotion, and protection of British industries of all kinds." This
vague definition does not at all reveal the true purposes of the Federa-
tion of British Industries.
The monopolists themselves, in the Register of British Manufacturers
published in 1955, write that the basic task of the Federation of British
Industries is to formulate policy for the country's industry, and also
to deal with all aspects of industrial activity in Great Britain. How-
ever, the authors of this statement blurt out there and then that the
Federation is a "strictly non-political" organization, apparently having
in mind that it is above the ostentatious wrangles which occur between
the leaders of the two main bourgeois parties, the Conservative Party
and the Labour Party.
The Register of British Manufacturers also gives a veiled indication
of the methods by which the Federation operates. It states that "as
national spokesman of industry the Federation deals directly with the
government, the public and other organizations at home and overseas, or
indirectly through its representation on numerous governmental and other
bodies."
The Federation's annual report for 1947 stated that it has repre-
sentatives in 36 ministries and other British governmental establish-
ments. In addition, it has confidential agents in more than 20 industrial,
scientific, legal, commercial and educational organs which have consider-
able influence in the ruling circles of Great Britain. The Federation's
representatives sit officially in the following ministries: board of
trade, colonies, education, fuel and power, health, labour, transport and
civil aviation; and in the following councils: scientific research,
economic planning, the National Production Council operating under the
chairmanship of the chancellor of the exchequer, and others.
The Federation of British Industries has 6,800 individual industrial
companies and firms and 300 trade associations as members. Huge monopoly-
companies, with up to 100,000 workers, and also firms employing under 100
workers belong to it. In addition, there are many thousands of firms
which, as members of the trade associations, are indirectly under the
Federation's influence. It goes without saying that the owners of the
huge monopolies run the whole show in the Federation of British Industries.
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The Federation's administrative organ is the so-called Grand Council.
It is elected every three years and has 400 members, two-thirds of whom
are nominated by the trade associations, and the remainder, by the indi-
vidual firms and companies. The president of the Federation is chairman
at sessions of the Grand Council; he is elected annually. But usually
he holds office for two years in succession. The presidents are usually
directors of the largest industrial companies and trade associations.
The Grand Council has standing committees on economic policy, foreign
trade, taxation, fuel and power, transportation, education, technical leg-
islation, and other problems. There is also a Scottish Council and 10
regional councils, which consist of the representatives of the leading
industries of the given region. The Grand Council can 'appoint an unlimited
number of special committees.
The headquarters staff numbers about 160, and is headed by a Director-
Genpral. There is a General Secretary's department and four directorates:
economic, technical, home services and information, and overseas.
, The leading posts in the Federation are held by the representatives
of "big business" and people closely connected with government circles.
One of the presidents of the Federation was Sir Harry Pilkington? chair-
man of the huge company, Pilkington Bros. Ltd., and director of many other
companies, mainly producing glass. Since 1946 Sir Norman Kipping has been
Director-General of the Federation; during World War II he headed one of
the divisions of the Ministry of Production and in 1945 was Under-Secretary,
Board of Trade. In addition to handling the duties of Director-General,
Kipping is also a member of the British Productivity Council, the Dollar
Exports Council, and a number of other governmental committees.
William Edwards is Home Services and Information Director at the
Federation's headquarters. He worked for a long time on the boards of
railroad companies, and during World War II held responsible posts in the
ministries of supply and production. After the war Edwards was in the
Board of Trade, and also headed the British Information Service in the
US. Douglas Walker, who formerly worked in the British Foreign Office has
been General Secretary of the Federation since 1921.
All the Federation's activity, controlled and managed by the large
industrial, commercial and financial magnates, is directed toward protect-
ing and securing the interests of the British monopolies. The Federation
came out actively against the British workers during the railroad strikes
in 1919, during the lockout of miners in 1921, and during the general
strike which took place in Great Britain in 1926. An official report
published by the Federation in May 1926 stated that "upon announcement of
the general strike, the Federation of British Industries placed its
organization at the service of the government." The government thanked
the Federation for its assistance in suppressing the strike in a special
message.
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The Federation of British Industries cooperates closely with other
British associations and unions of capitalists. One of these associations
is the British Employers' Confederation. It covers 62 British industries
which employ over 70 percent of the workers. The Confederation's basic
task is to oppose collectively the demands for improvement in the condi-
tions of the workers.
Another British association with which the Federation of British
Industries maintains close contact is the National Union of Manufacturers.
This union unites 5,500 firms and 72 trade associations. It unites and
controls mainly small and average-size firms.
The Federation of British Industries, the British Employers' Confed-
eration, the National Union of Manufacturers, and also the Association of
British Chambers of Commerce, the British Trades Union Congress and the
administrations of the nationalized British industries comprise the so-
called British Productivity Council which deals with the intensification
of labor in British factories and plants. Because of its colossal eco-
nomic power and great political influence, the Federation of British
Industries holds a dominating position among these organizations.
There are special subsidiary organizations to disseminate propaganda
among the workers at the order of the Federation. These are the Economic
League and a company called "Aims of Industry." Each year they spend
about a quarter of a million pounds of sterling to convince the British
workers to work harder and obtain less. The aims of the Economic League
are: "to fight steadfastly against all detrimental movements.., to en-
courage free ownership.., to fight against further nationalization."
Thirty of the 40 persons comprising the League's Council are directors
of 190 companies. Here are represented huge steel mills, machine manu-
facturing monopolies, insurance companies, four of the "Big Five" British
banks, etc. The Vice-President of the League is Lord McGowan, who was a
member of the Anglo-German Fellowship in the 1930's and who was personally
received by Hitler. Two other prominent members of the Council of the
Economic League are Viscount Runciman and Sir HarryBrittdin, who also be-
longed to the Anglo-German Fellowship.
The company called "Aims of Industry," states that it strives to
give "continuous and well-rounded" information to "industrial workers and
the public on the share which free ownership has in the well-being of the
nation." According to this organization's statistics, 500 newspapers and
magazines utilized materials it had prepared during 1952.
The members of this company's council are directors or hold other
high posts in 393 industrial and financial companies. The president of
the company is Lord Lyle, the British "sugar king" and former member of
the Anglo-German Fellowship.
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Why do the British capitalists need to establish special "owners"
propaganda organizations at a time when, even without this, the whole
British propaganda machine, including the press, the radio, movies and
the staffs of the bourgeois parties, is working for them? An answer to
this question can be? found in a British pamphlet, The Danger Signal.
" ...The organized efforts of industry," it states, "if they are well
directed, will be more effective than the efforts of the political par-
ties, since industry and non-political educational organizations which
speak for industry have better access to the masses of workers and can
treat them with less prejudice."
The Federation of British Industries has always been on guard for
the interests of the British capitalists. At the end of World War II
the Federation sent a memorandum to the Board of Trade demanding that
the Government relinquish even the quite moderate control over industry
which it held during the war. The memorandum stated that the Government
must outline only the basic plan for the national economic policy, giving
the trade and industrial associations true control over this policy.
After the war the Federation of British Industries repeatedly sub-
mitted official demands to the government concerning the granting of new
privileges to the manufacturers at the expense of the people. Thus, in
January 1947, the Federation demanded a considerable reduction in direct
taxes of the Exchequer, especially in taxes on profits, even if this
hindered the balancing of the British budget.
The government carried out this demand without objection. The
government was careful to see that the measures they implement conformed
with the interests of the organizations of big British capital. In March
1948 the Chancellor of the Exchequer sent the Federation of British
Industries and some other big capital associations a letter submitting
the government's future financial and economic policy for approval by the
manufacturers. The Federation coldly replied to the Chancellor that his
policy of "freezing prices, wages and profits," was only a partial and
temporary solution to the problem of inflation in Great Britain and was
"in principle quite unsatisfactory." The Federation outlined its own
much stricter program. Three days had not gone by when the Chancellor of
the Exchequer, in a servile letter addressed to the leaders of the Federa-
tion of British Industries and other interested organizations, answered
that their proposals were a good basis for further measures which "will
be of great importance for the country if they are implemented in a
spirit of cooperation."
The demands of the Federation of British Industries always have a
strongly pronounced class character. They are directed toward making
the owners and bankers wealthier. Before submitting the regular budget
to Parliament, the British government, either Conservative or Labour,
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usually receives and carefully studies a budget memorandum from the
Federation of British Industries. After considering the Federation's
detailed demands, the government submits the budget to Parliament.
The type of demands which are made to the Government can be seen,
for example, in a memorandum submitted by the Federation to the Chancellor
of the Exchequer in March 1951. Here is what the big shots of British
industry demanded: a 300 million pounds sterling reduction in government
expenditures for local self-government, mainly for housing construction;
"savings" of 300 million pounds sterling for social measures; abolition
of taxes on company profits; reductions in direct taxes and increases in
indirect taxes such as taxes on consumer goods, which fall mainly on the
workers.
In the middle of July 1956 the Federation of British Industries,
the British Employers' Confederation, the National Union of Manufacturers,
and the Association of British Chambers of Commerce set forth, in a joint
declaration, the principles on which government's industrial and financial
policy should be based. Two weeks later, Prime Minister Eden called a
meeting attended by the Chancellor of the Exchequer, the Minister of Labor
and National Service, and also representatives of the Federation of
British Industries, the British Trades Union Congress, the British Employ-
ers' Confederation and representatives of the nationalized industries. A
Government announcement, published after the meeting, reflected the prin-
ciples of the British capitalists exactly.
A great number of such examples could be given. They all show that
the Federation of British Industries, as an organization of exploiters,
is only concerned with its egotistical, strictly class interests. The
drive to obtain maximum profits, the consolidation of its ruling posi-
tion within the country, and the strengthening of British monopolies
abroad - these are the basic motives underlying all its activity.
The Federation of British Industries has broad international con-
nections. It is a member of the Council of European Industrial Federa-
tions and is represented in the International Chamber of Commerce. The
Federation has played a leading role in the formation and activities of
the Anglo-American Council on Productivity, which had the basic purpose
of applying American sweatshop production methods in Great Britain. The
Federation has representatives and correspondents in more than 100 cities
throughout the world, including all the large capitalist countries. The
Federation has a special council concerned with promoting British ex-
ports to the dollar area. This Council's work is actively supported by
the government. High-level officials in government departments attend
its meetings.
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The activity of the Federation of British Industries in the interna-
tional arena serves the expansionist aims of the British monopolists. In
the interests of obtaining maximum profits, the individual companies be-
longing to the Federation and the Federation as a whole undertake all
sorts of schemes, unconcernedly waiving the national interests of their
people. A clear example of this activity is the Federation's agreement
of March 1939 with the German Reichsgruppe Industrie. Striving at all
costs to bring Germany and the Soviet Union into conflict, the British
ruling circles decided to support the Munich political agreement with an
"economic Munich." With this purpose, negotiations were organized in
Dusseldorf between the Federation of British Industries and the German
Reichsgruppe Industrie, The British President of the Board of Trade,
speaking in Parliament, announced that these negotiations were going on
with "the full knowledge and approval of His Majesty's Government," and
expressed hope for their success.
* * *
The Federation of British Industries implements its policy and influ-
ences the various governmental, administrative and public organizations
through its numerous representatives, henchmen and supporters in these
organizations.
Thirty-four ministers of the 1954 Conservative Government, before
entering the government were directors of a total of 102 corporations,
companies and banks. Although a minister must formally leave his posi-
tion of director after taking a government position, actually his con-
nections with the company do not stop. He keeps his shares in this
company and, after retiring, can again resume his post of director.
Let us examine the composition of the last two Conservative govern-
ments. Their members had been directors of large industrial and financial
monopolies. Former Prime Minister Eden was director of the Westminster
Bank; a company mining copper and sulfur in Spain, the Rio Tinto Company;
and a large insurance company, - Phoenix Assurance, which has shares in 17
other insurance companies. The present Prime Minister, Macmillan, was
director of three companies, including the largest publishers in England,
Macmillan and Company. Lord Privy Seal Butler is the former director of
the largest company producing synthetic yarn and fabric, Courtaulds,
which owns huge enterprises in Canada, the Union of South Africa, Spain
and Australia as well as in Great Britain. Lord President of the Council
Salisbury was director of the Westminster Bank and of an insurance com-
pany. Minister Duncan Sandys was formerly director of three companies
mining gold in West Africa. The Minister of Agriculture, Fisheries and
Food, Heathcoat Amory, was formerly director of Lloyds Bank and the
family firm, John Heathcoat and Co. This list could be continued.
According to data in John Gollan's book, The British Political
System, directors of 28 powerful trusts held 10 Government posts, in-
cluding:--the Foreign Secretary, the Chancellor of the Exchequer, the
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Minister of Materials, the Secretary of State for the Colonies, the
Secretary of State for Air, Minister of State Board of Trade,and the
Minister of Transport and Civil Aviation. Eighty-eight of the directors
of these trusts are members of Parliament. "They control the whole gov-
ernment apparatus," states Gollan. "Five of these directors are members
of the Advisory Committee of the Exports Credit Guarantee Department;
the chairmanship and three seats on the Board of the Capital Issues Com-
mittee belong to the trusts; they have the chairmanship of the Public
Works Loan Board, four seats in the Colonial Development Corporation, the
chairmanship of the Wheat Commission, the chairmanship of the National
Research Development Corporation; they have several members also on the
Advisory Council of the Department of Scientific and Industrial Research.
"They have two seats on the Board of the British Overseas Airways
Corporation and the Vice-Presidency of the Air Transport Advisory. Council,
the chairmanship and two governorships in the British Broadcasting Corpo-
ration, and the Chairmanship of The Times. They hold seven positions in
the Royal Household: Lord Chamberlain, Lord Steward, Master of the Horse,
three Lords in Waiting, and one member of the Corps of Gentlemen at Arms.
? "The directors hold the following military titles: Army one
Field Marshal, one General, one Brigadier General, one Lieutenant General,
two Major-Generals, and six Colonels; Air---one Marshal of the Air Force,
one Air Chief Marshal, and one Air Commodore; Navy---one Admiral of the
Fleet." (J. Gollan, The British Political System, p 13)
Many members of the Government and representatives of business cir-
cles are closely interconnected by family relationships. Former Prime
Minister Eden is married to one of Churchill's nieces. Minister of
Defence Sandys and Conservative Member of Parliament Soames are related
by blood to Churchill. And there are other examples. Former Secretary
of State for Scotland Stuart married into the family of the Duke of
Devonshire. Former Lord President of the Council Salisbury is also con-
nected with this family. Former Minister of Defense Monckton was married
to Salisbury's first cousin. Secretary of State for Commonwealth Rela-
tions Lord Home has family connections with the Conservative members of
Parliament, Viscount Lambton and Major Anstruther-Gray.
This interweaving of connections includes the whole top level of
the British ruling class. The government, Parliament, the Royal Palace
and the Headquarters of the Federation of British Industries are con-
nected by close class, business and blood ties.
?War and the armaments race bring the capitalists especially great
profits. "The golden rain," wrote V. I. Lenin, "flows directly into
the pockets of the bourgeois politicians, who make up a closely knit
international gang, instigating the peoples to competition in armaments..."
(V. I. Lenin, Works, Volume 19, p 83)
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Here are the facts. During World War II the profits of the British
companies grew by 81 percent. Total profits of 18,100 million pounds
Sterling were made by the British capitalists between 1939 and 1945. In
other words, during the seven years, the owners made more than 1,000
pounds sterling from the exploitation of each worker (there are 17 mil-
lion workers in Great Britain). Between 1939 and 1945 the British Govern-
ment spent 22,846 million pounds sterling for military purposes. Of this
amount, more than 900 million pounds was spent to construct and equip war
indAstry. The majority of the war plants, built with the people's money,
were sold to the big monopolies after the war for almost nothing.
After World War II the British ruling circles did not plan to reor-
ganize the economy on a peace-time basis. They wished to maintain, with
the assistance of the armaments race, the high profit rate which they
had during the war. One of the influential city organs, the Economist
magazine, wrote frankly in 1950: It would be a mistake to say that
Great Britain now intends to return to a war economy, since she has
actually never departed from the economy of the last war." Under the
banner of preparation for "defense" from an imaginary "danger", allegedly
from the Soviet Union, the militarization of the economy continues; in-
dustry has received war orders and new types of arms have been created.
The government has not spared government funds for these purposes, funds
collected from the population as taxes. During the first four years
after World War II, war expenditures by theExchequerwere 4 billion
pounds sterling, more than five times as much as expenditures during the
four years before the war.
The Federation of British Industries is one of the main inspirers
and organizers of the campaign to fan war hysteria and to force a con-
version of the British economy to a wartime basis. The henchmen of the
British monopolies in the governmental departments and in Parliament
understand what is required of them. They zealously try to carry out
the wishes of their masters. In August 1950 the Minister of Economic
Affairs held a special meeting with representatives of the Federation
of British Industries and the British Employers' Confederation and with
the majority of the members of the General Council of the British Trades
Union Congress; they discussed the problem of the effect of the govern-
ment rearmament program on industry. After this meeting the militariza-
tion of the British economy developed on a wide scale.
In 1951 the British Government adopted a gigantic armaments program.
Government military expenditures were first set at 3.6 billion pounds
sterling for the following three years, but then were increased to 4.7
billion pounds sterling. A government review of the economic outlook for
1951 stated: "Implementation of the greatly expanded and accelerated
armaments program has now become the primary aim of the government's
economic policy."
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The magnates of British big capital and their cohorts in the govern-
ment did not conceal the fact that they intended to carry out the military
economic program at the expense of the workers. "We must cover the -
greater part of the rearmament expenditures," frankly states the economic
review, "by putting off for some time (1) an increase in the standard of
living and even by reducing the present level."
Great Britain is spending billions of pounds sterling on war prepara-
tions. These huge funds, collected from the British people, are moving
into the pockets of the armament factory owners as profits. In 19500
when war began in Korea, the profits of 877 companies publishing reports
increased by 27 percent over the preceding year. Among them, the profits
of 31 chemical companies increased by 52 percent, and those of 29 engine
and aircraft companies increased by 55 percent. Income of rubber-process-
ing companies increased by 250 percent.
The gross profits of three of the largest concerns in the Federation
of British Industries increased by unprecedented amounts between 1949 and
1953. Profits of the Unilever Trade and Industrial Syndicate increased
by 79 percent; those of the Royal Dutch Shell Petroleum concern increased
by 84 percent; and those of the gigantic chemical association, Imperial
Chemical Industries, increased by 104 percent. The head of the large
Hawker Siddeley Aircraft Company, which belongs to the Federation, admitted
that profits increased, during one year alone by 38.4 percent.
The largest British war industry monopoly, Vickers-Armstrong, Ltd.,
also a member of the Federation of British Industries, is earning huge
profits. It manufactures and delivers warships, planes, tanks, submarines,
instruments, ammunition, and other armaments and supplies. It has enter-
prises in almost all the heavy industries: shipbuilding, machinery, fer-
rous metallurgy, coal, petroleum, etc. This company has built war plants
not only in Great Britain, but also in other countries such as Spain,
Italy, Japan, and Turkey. Vickers-Armstrong Ltd. has branches, represen-
tatives and agents in many countries.
These monopolies do not scruple to use any means to obtain maximum
profits. On the eve of World War I, the Vickers agent in Japan, who was
trying to get an order for building a warship, admitted that he had
bribed government officials. In 1933 the Vickers representative was ex-
pelled from Turkey. He was charged with bribery and espionage. In the
same year this firm's agents in the Soviet Union were convicted of sabo-
tage and espionage.
The representatives of the Vickers-Armstrong concern have their
cohorts in the Government, and the Government sends representatives,
'especially Military personnel, to holdleading posts in the concern. Thus,
the Vickers representatives, Anderson and Craven, were appointed as Minister
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of Defense and as Industrial Advisor to the Minister of Production.
Lieutenant General Weeks, who was chief of the Imperial General Staff
during the war, now represents the concern. Among the Vickers-Armstrong
directors are a major-geterall a colonel and a lieutenant-colonel.
Vicker's profits in 1953 reached 9.5 million pounds sterling.
The monopolies which are growing rich in the armaments race fre-
quently use government funds to expand their enterprises. The following
announcement by the president of the West, Keen and Nettlefolds Company
illustrates this: "We were able to cooperate with the government depart-
ments in the campaign for rearmament. This applies not only to production
capacities in the existing plants and to existing equipment, but in some
cases also to considerable programs undertaken at the request of the
government and mainly at its expenses", i.e., at the expense of the
British taxpayer.
The greediness of the capitalist beasts of prey in their unrestrained
striving for high profits know no limit. The imperialists are ready to
trade with the lives of their compatriots in the pursuit of profits.
They do not even consider it always necessary to conceal this from the
public. Thus, one of the Conservative members of Parliament, a certain
Fletcher, director of a firm dealing in rubber, announced one time: "I
must admit that I have commercial interests in many parts of the Far East,
especially in Indo-China... It is possible that some capital investments
on our part, visible capital investments in the form of troops and arms,
such as America is making in Indo-China, could result in good dividends."
It is not surprising therefore, that the monopolists and stock bro-
kers do not wish the establishment of normal relations between governments
or that they fear a lessening of international tension. When negotiations
to stop military operations in Korea began, the organ of the London City
financial bosses, Stock Exchange Gazette, wrote anxiously: "Peace presents
no less serious problems than war... Defense production in the United
States and Great Britain, which, to a considerable degree has been ad-
justed to the national production efforts, cannot be stopped abruptly."
In 1955 Great Britain spent almost 10 times as much for military
purposes than she spent before World War II. Military appropriations
comprised 33 percent of the 1955-1956 budget. This brought the arms
manufacturers more profits, even higher than during the previous years.
It was not for nothing that Strachey, of the Labour Party, during the
debate in the House of Commons on 2 March 1955 on armament, declared that
"The White Paper (i.e., official plans - P. S.) on defense and the planned
appropriations, as formerly, is written by the owners of the war plants
and by big capital." There is no reason not to believe Strachey's state-
ment. Who would know better than Strachey that this was correct; he was
Secretary of State for War in Attlee's Government.
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Recently work on the production of atomic and hydrogen armaments
caused much trading in stocks in monopolist circles. This new branch of
the war industry promises colossal profits for them. Since 1945 more
than 100 million pounds sterling have already been spent on the production
of atomic bombs. Now measures are being implemented to expand the produc-
tion of mass annihilation weapons. According to the newspaper, Financial
Times, 180 British firms were working in the atomic energy field in 1955
and some of them are already making deliveries.
A special state corporation was established to produce atomic arms.
This corporation is headed by the same representatives of big capital who
belong to the Federation of British Industries. Plowden, who headed the
Ministry of Aircraft Production during the war and was director of Commer-
cial Union Assurance Company and British Aluminium Co. Ltd., was appointed
President of this corporation. The corporation's board includes such big
business men as Stedeford, the president of Tube Investments, Ltd. Gov-
ernmental control over the corporation's activity was assigned to Lord
Salisbury, former director of the Westminster Bank, i.e., again a repre-
sentative of the Federation of British Industries,
The British Government's decision to produce hydrogen bombs in
Great Britain aroused general indignation and criticism among great num-
bers of the English people. The Daily Worker printed a number of state-
ments by prominent British public and scientific figures relating to this
decision. Dr. Hewlett Johnson, the Archbishop of Canterbury, said:
"Production of the hydrogen bomb in England cannot lead to peace. It is
suicide." Nobel prize winner, Dr. SyngeD, transliterated from Russian]
stated the opinion that "the announcement in the White Paper in no way
promotes peace. Without a doubt the time has come for all countries to
outlaw the hydrogen bomb." Another Nobel prize winner, former General
Director of the UN Food and Agriculture Organization, Lord Boyd Orr,
shares this opinion: "All countries must find ways not only to outlaw
the bomb, but also to outlaw war, in order to ensure security."
The armaments race is a heavy burden for the British workers. In
1954 per capita taxes increased by more than 12 percent over 1950.
Prices of food, clothing and fuel are rising steadily and the costs of
public services and all types of transportation are growing. During 10
postwar years the food price index grew 50-150 percent. According to
official data, the cost of living in Great Britain in January l95 was
almost 50 percent greater than in 1947.
The British people are conducting a stubborn fight against the at-
tack by the capitalists on their vital rights and against preparations
for a,new war. The number of strikes in Great Britain increased from
2,424 in 1955 to 2,643 in 1956. This year was marked by the strike of
locomotive engineers and stokers, which, according to the British press,
was the most serious strike since the 1926 general strike. Under great
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pressure from the organized laboring class, the Federation of British
Industries and the British Employers' Confederation have been compelled,
in a number of cases, to make concessions to the strikers and to agree to
the workers' most urgent demands. This shows the workers that despite
all the power of the monopolies and the strength of the government ma-
chine of the capitalists, despite the fact that they have a vast amount
of capital and have the army and police at their disposal, despite all
this, the British laboring class is many times stronger than the capital-
ists when it acts in a fraternal, cohesive and organized fashion.
The manufacturers, bankers, merchants, stock brokers and retired
generals, all those who sit on the Grand Council of the Federation of
British Industries, cannot help but feel that capitalism's position is
weakening with every day. Militarization of the economy and its one-
sided military development cannot save the capitalist economy from crises;
it only leads to the development of even deeper contradictions.
...Luring recent years, despite the opposition of the aggressive
forces, the peoples have succeeded in having international tension some-
what lessened. Increasingly favorable prospects have been created for
the consolidation of universal peace. However, in capitalist countries
furious activity has developed in the aggressive circles which fear a
reduction of tension in relations among states and are interested in
continuing the armaments race and in becoming wealthier through war
orders. They are stubbornly opposing the people's demands to reduce
armaments and the armed forces and to outlaw atomic and hydrogen weapons.
They do not even hesitate, as events in the Near East showed, to unleash
wars.
The activity of the Federation of British Industries clearly shows
this role of the oligarchy of British financial capital, which is harm-
ful to peace and to the interests of the workers.
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The Intelligence Service Man A. Leonidov
The following appears in the British biographical manual: General
Lord Ismay, Baron, born in 18870 was Secretary General of the North
Atlantic Treaty Organization and Vice-Chairman of the North Atlantic
Council, former Secretary of State for Commonwealth Relations, former
Chief of Staff to British Viceroy in India, chief of Churchill's personal
staff during World War II, former Secretary of the Committee of Imperial
Defense.
The ordinary Londoner can hardly say more than two or three words
about this Lord; little is written about him.
What kind of person is this 70-year old General, whose name became
known to the general public only comparatively recently although he plays
a not =important role in Great Britain's international affairs and in
the military preparations of the Western powers?
? This question can be answered by four words: the Intelligence
Serviceman.
Ismay is one of the chief leaders of this secret military and politi-
cal organization which, as an important weapon of British big capital,
stands invisibly behind every British Government - Conservative, Labour
or Liberal. Ismay came from the womb of ancient British imperialism,
which formerly imposed its will on the capitalist world. This is his
strength and his weakness.
Lord Ismay is known as a quiet, equable, almost imperturbable man.
He seldom raises his voice. But when, with a somewhat ironic expression,
he does this, his British colleagues, as a rule, become silent. He does
not need to shout or argue. He speaks a few words and they obey him.
Ismay is not a talented orator; he does not need to be. He never speaks
at party meetings. For him, all three bourgeois British parties are
political agents of the ruling class; each has its time and place. He
dines with a Conservative noble, smiles at a Liberal Minister, and affably,
although somewhat arrogantly, greets the gentlemen from the Right Labour
bench. All these people are his friends allies, and sometimes his direct
assistants.
"If you know General Ismay," wrote a correspondent of the Reuters
Agency in February 1945, "then you cannot be surprised by the fact that
he is a prominent figure even among the prominent statesmen of the world.
He is actually a considerable personality... Considering General Ismay's
prominent situation, it should be noted that he has made an art of the
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ability to make himself inconspicuous. In the very best society he stands
out because of his splendid build, the carriage of a good sportsman and a
typical professional British soldier... At the same time the General
avoids attracting attention and does not like publicity."
Ismay has never voted in Parliament; this would be a sheer waste of
time. For him Parliament is a place for chattering, where the orators -
Conservatives, Liberals, Labourites, gentlemen in suits or dinner jackets -
make speeches for the people from previously harmonized notes.
The people, for Ismay, are only raw material, a gray mass of people
obligated, in his opinion, to do one of two things: to work or to fight;
to gain profits for the gentlemen or to die in their interests. The mil-
lions of British people - men and women loving life, peace, culture, their
children, and their future - according to Ismay are either a certain
amount of war material, living machines for operating dead machines -
rifles, cannons, planes and battleships of the British Empire, or they
are a mass of production material, muscular power for the machine tools
which are owned by the joint-stock companies of the British Empire.
Everything is quite simple. In the third place, for Ismay the people are
an explosive political material dangerous to the British Empire, millions
of friends of peace and progress who must be held in check by steel
gloves. Here, of course, special watchfulness is required, and if neces-
sary, ruthlessness.
This is the whole philosophy of British domestic policy from the
point of view of General Lord Ismay. And its foreign policy, according
to his conception, consists of one principal point, for which his organi-
zation exists: come what may and at any price, stop the decline of
British imperialism, revive it and make it once again the master of the
world as it was when the future General and Baron Ismay was born.
II
The father of the ?General-Baron, Sir Stanley Ismay, was General
Inspector of Police and Prisons in one of the Indian provinces. He
wrote a book, Rules for Supervising and Managiqg Prisons in the Central
Province, a "profound" work which hundreds of English administrators and
rulers in India studied. He was one of those masters of British police
business of whom the troubadour of British imperialism, Kipling, sang in
the novel, "Kim," Here are to be found the roots of his son's career.
Later Sir Stanley Ismay rose to the rank of Governor of one of the
Indian provinces and member of the Legislative Council under the English
Viceroy.
At that time India was not only the heart of the British Empire,
but also the higher school for British politicians, officials and military
personnel. Here they learned to command, to rob, to intrigue and to exe-
cute people; they studied at the very "highest", "academic" level. It
would not be an exaggeration to say that British industrial and financial
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capitalism was built on the bones of the Indian peasants. But it is also
true that the reactionary British militarists of the 20th century grew,
above all, out of the old Anglo-Indian Army and that the most experienced
personnel of the Intelligence Service "perfected themselves" in India.
Over the course of two centuries, British capital pumped great funds,
billion after billion, out of this huge country, almost equal in area and
population to the European mainland. Select cadres of privileged British
officers and officials were formed, educated and tempered here. In prac-
tice it meant more to be the governor of a large Indian province than to
be a British Minister; it meant more to be a colonel in the Anglo-Indian
Army than to be a general in a provincial English city.
According to a plan formulated at the end of the last century by the
City and the Foreign Office, called the "Curzon plan" in enlightened cir-
cles, India was to become the center of an even greater British Empire in
Asia. It was intended to join to this Empire Persia and Afghanistan in
the West; Tibet, Sinkiang and Turkestan in the North; and the whole of
Southern China, at least to the Yangtse River, in the East. It was also
intended to attach the British domains in Burma, Malaya and Arabia to it.
Such a British super-empire, planned in London, comprising the whole
fertile south of Asia, bounded by British Africa from the Cape to Cairo
on the one hand, and by Australia on the other hand, gripping the whole
area from the Atlantic to the Pacific Ocean in a steel semicircle, was
intended by its authors to make the world domination of British capitalism
permanent rapidly reducing all the remaining great powers to the situation
of second-rate and dependent states.
British diplomacy worked for decades to realize this plan. Its
chief weapon, in addition to the British fleet which ruled the world sea
routes, was the tactic of constantly setting one power against another,
in order to keep the keys of international politics in British hands. It
was intended to use the Anglo-Indian Army and Intelligence Service not
only to keep the 400 million Indian people obedient, but also to sub-
jugate the neighboring Asiastic countries.
Ismay devoted the first half of his life completely to the "Curzon
Plan." Then, it is true, he was only one of many; he was attending
school. In 1908 this son of the great Anglo-Indian policeman and prison
keeper became an officer in a cavalry regiment quartered in the North-
West Frontier region of India. This was an extremely vital section of
the British position - from here they annually attacked the neighboring
Moslem tribes, burning village after village and hanging thousands of
people.
Ismay watched, learned and gained It Even in those years,
in his early youth, he absorbed the feeling which was "quite obligatory"
for each guardian of British imperialism in the East, the feeling of scorn
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for the "colored man," the slave of the British sahib (white lord). Later,
when the socialist revolution burst out in Russia, this feeling of Ismay's
merged with a hatred for socialist Russia, which became a beacon for all
the Asian workers who did not wish to serve the sahibs any longer. The
pure-blooded Sahib, Ismay, remembered this fact for his whole life. Thus
his political personality was finally set.
He was not a dashing cavalry warrior. Ismay early showed that he was
a worthy son of his father and that his chief strength was the art of
secret political intrigue. This was appreciated by his superiors. They
did not permit him to participate in World War I in Europe and sent him
for further training to the British African Colony of Somaliland where,
for six years, he hunted down and persecuted the impoverished blacks who
rebelled against their British masters. His African experience supple-
mented his practice in Asia. In 1923 Ismay was already Assistant Quarter-
master General of the Anglo-Indian Army. Three years later, at the age of
39, already with the rank of Major, he was called to London. His training
was complete. The Center of the Intelligence Service needed Ismay for
"big" things.
III
In 1904 the whole secret system of administering British policy was
reorganized. At the initiative of Prime Minister Balfour and the big
financier, Lord Asher, the Committee of Imperial Defense was established;
to a considerable degree it actually replaced the government but was free
of any responsibility to Parliament.
Officially, this Committee, with the rights of a consultative body
to the government, was entrusted with the long-term planning of British
foreign and military policy. In reality, decisions were made by its
advisors and planners: their decrees were binding on the whole govern-
ment apparatus, although the public and even the House of Commons was not
informed of them. Who belonged to the Committee? The Prime Minister,
some other ministers, the chiefs of staff of the Army and Navy (later
also of Air), the chief official of the treasury, heading the civil ad-
ministration. The permanent secretary of the Committee and also the heads
of all divisions were almost all unknown Intelligence Service personnel.
British governments came and went. Conservatives replaced Liberals
and Liberals, Conservatives; later the Liberals were replaced by Labour-
ites. But the permanent officials of the Committee of Imperial Defense
remained. Each new government presented its special, new program. And
each "new" program was carried out by the same people.
For 27 years, from 1912 to 1938, the Secretary of the Committee of
Imperial Defense was Colonel Maurice Hankey. His name almost never ap-
peared in the newspapers. The ordinary Englishman simply did not know
about him. Hankey did not even obtain the rank of general. He came into
the Committee of Imperial Defense directly from the Naval Intelligence
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Department. Hanky was not only Secretary of the Committee; he combined
this position with the position of Secretary of the Council of Ministers
and with the rank of clerk of the King's Privy Council. He attended
almost all international and imperial conferences as the Secretary of the
British delegation. Balfour, Campbell-Bannerman, Asquith, Lloyd George,
Baldwin, MacDonald, and Chamberlain sat in the House of Commons as British
Prime Ministers, gave noisy speeches, denounced each other, won elections,
suffered defeats and retired. Little Colonel Hankey quietly sat in his
place in the restricted Committee and acted without fearing the House of
Commons, the House of Lords or the voters. That was the heart of the
matter.
The establishment of the Committee of Imperial Defense was one of
the "small" changes in the British "democratic" structure brought about
by capital, fearing the growth of the mass worker movement. No matter
who headed the British "democracy" externally, all those people from the
City and the Intelligence Service always ruled it from within.
In 1926 Colonel Hanky called in a new assistant from India, Major
Ismay. The future Lord worked on the Committee of Imperial Defense for
15 years, under the Conservatives, Baldwin, Chamberlain and Churchill,
and the Labourites, MacDonald and Attlee. During the entire period from
1926 to 1946 he was assigned elsewhere only twice. In 1931 he was ap-
pointed Military Secretary to the Viceroy of India, Lord Wellington, to
help him quell the rising national liberation movement in India, Ismay
was already a specialist in this matter. The sahibs started making mass
arrests and raids. They established an unbearable regime in India. Al-
most all the leaders of the national movement, headed by Mahatma Gandhi,
were thrown into prison. The police shot people at demonstrations, set
Moslem against Hindu and Hindu against Moslem. Thinking that he had com-
pleted his task and had the Indian people intimidated for the next few
decades, Ismay returned to London and immediately, already a Colonels
received new, even more important instructions. In 1933, during the
time that Hitler was coming to power in Germany, Ismay was appointed
Chief of the Eastern Department of the British Intelligence Service.
This was the most important division of the Intelligence Service.
Its sphere of action included not only India, the Far East, and the
Near East, but also the Soviet Union, Poland and the Baltic area. The
main task of the chief of this division was the secret encirclement of
the Soviet Union and subversive work on its very territory. Ismay earned
the nickname of "Pug" for this work. He had a whole army of agents
operating under widely differing masks from diplomats, journalists and
"business men" to "engineers" and Catholic priests. "Pugs" secret agents
operated in the capitals of all the states bordering the USSR, and were
either included directly on the embassy staffs or appeared as representa-
tives of business firms, charitable organizations or press bureaus.
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The Colonel of the British Colonial Army in India transferred his
methods to Europe, utilizing local conditions. In India he worked with
horse herders, dancers and police disguised as fakirs; here he bribed
false "labor leaders" and members of parliament. It was all one and the
same to him; Ismay is not a romanticist. It was under him and his
closest successors that the Eastern Division of the Intelligence Service
worked out the full ramifications of that international system of secret
sabotage against the socialist camp which exists to this very day.
In 1936 Ismay returned to the Committee of Imperial Defense com-
pletely "matured." Now he was no longer assistant, but deputy to Hankey.
On the eve of the war, in 1939, the little known Colonel Hankey was made
a Lord and then suddenly appointed a member of Chamberlain's war cabinet.
The British public was surprised; the initiates smirked. Ismay, a Major
General by then, replaced his chief in the Committee of Imperial Defense,
IV
Even before the war Ismay implemented the policy which he had once
learned in India in this Committee; he knew nothing else and did not wish
to know anything else. The main aim of this policy was to strengthen and
enlarge the empire of British sahibs. Its main enemy was the Soviet
workers and peasants, 200 million people between the Baltic Sea and the
Pacific Ocean, who had overthrown their masters and embraced socialism
as the basis of their life and who were setting an example for the whole
world. Enemy No. 2 was the colored man, breaking the fetters placed on
him by white capital, more than a billion people recognizing no empire
and demanding freedom and independence.
Working behind the scenes in Chamberlain's government, Ismay con-
centrated all his efforts on creating an international anti-Soviet bloc.
Along with Hankey he was one of the authors of the Chamberlain plan, to
entourage Hitler and set him against the Soviet Union. This plan in-
tended to buy the German Fascists, to help them arm, to throw them
against Moscow, to force the Soviet and German people to make blood run
in a gigantic battle, and then to seize their riches. It seemed to
Imlay that Chamberlain's card could not be covered. He already antici-
pated the day when British troops, as "restorers of order" would again
invade the Caucasus and Soviet Central Asia and remain there permanently.
Preparing these wild plans, Ismay and his friends failed to notice only
one thing. By entering into an agreement with Hitler against the Soviet
Union they pushed Great Britain to the edge of destruction. This became
clear to the British people, but did not stop Ismay and his friends.
After the rout of the British Army at Dunkirk, Ismay became Chief
of Staff to British Ministry of Defence, while remaining essentially
the head of the Committee of Imperial Defense, which was changed into
the government's war office.
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According to his own statement, his tasks during the war were strategy
and planning, the organization of military and civil defense, censorship,
military legislation and the organization of supply. Prime Minister
Churchill described Ismay's functions at that time somewhat more fully.
"General Ismay," he stated, "represents me on the Commission of Chiefs of
General Staffs and is responsible for informing the military command and
myself on all questions requiring a decision at the top." Many questions
required a "decision at the top," including basic problems of British
foreign policy,
The General always accompanied the Prime Minister, in London, in
Washington, in Quebec, in Casablanca, and in Cairo. The Prime Minister
gave a command, Ismay formulated the orders. They called him "Winston's
Grey Cardinal." It cannot be doubted that the intelligence serviceman
had his hand in the attempts by the British reactionaries during the last
years of the war to make a secret agreement with the German Fascists to
open the Western Front to Anglo-American troops and to keep the Soviet
Army from entering Germany.
Ismay forgot nothing. This dry, silent man never deviated from his
basic intention. Although every Englishman, even including Ismay himself,
saw clearly that the Soviet Union was helping Great Britain avoid defeat,
Ismay even then thought only of how to deceive and encircle the Soviet
Union. His? class nature continued to push him along a path which was
harmful to the national interests of his country.
The war ended. The Conservative Government was overthrown. Twelve
million Britishers voted against the Conservatives. The right-wing
Labourite, Alexander, became Minister of Defence. This changed nothing
for Ismay; he remained as Chief of Staff under Alexander. Only after two
years, having received an urgent assignment, did he abandon this post;
the Intelligence Service again sent him where he began his career. The
storm was mounting in India. The Indian workers and peasants were break-
ing their chains and now the British policemen and prison keepers could
do nothing; it was impossible to seize all the Indians. But it was pos-
sible to try and deceive than,
Imlay was appointed Chief of Staff to the last British Viceroy in
India, Lord Mountbatten. He did his business. Along with Mountbatten,
Ismay conducted a reform in India along the lines of the old rule:
divide and conquer. The country was divided into two parts. The inten-
tion was to push one aWay from the other.
Ismay thought that he had won this time as he had won during his
mission to India in 1931-1933. It was even intended that he become
Viceroy in India after Mountbatten. But he lost. Despite the "skillful"
division of India, the British colonial system in Asia after World War II
was broken forever. The powerful growth of the national liberation
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movement among the peoples of Asia negated all the plans of the old intel-
ligence worker. Now nothing could force the ordinary Indian worker or
peasant to be afraid of the likes of Ismay, still mentally living in the
age of Kipling. India, as other countries on this continent, went its own
way. A new system of independent Asiatic peoples developed where the
colonizers formerly ruled. The political agents of the Intelligence
Service, both with and without masks, still tried to postpone the outcome.
But their card was covered.
Ismay did not become the Viceroy of India, and returned to London.
The Labour Government made him a Lord in 1947. He was then 60 years old.
The Intelligence Service offered him a temporary rest. Ismay accepted
the offer - it was necessary to collect his forces. He has been in re-
tirement for four years, supported by those whom the Intelligence Service
actually serves, the British monopolies.
V
Immediately after World War II it was possible to observe a remark-
able event in Great Britain; almost all the well-known generals and field
marshalls who had retired, one after the other became bankers, manufactur-
ers, and big merchants. The day after taking off their uniforms, they sat
on the boards of some joint stock company, controlling hundreds of mil-
lions of pounds sterling.
The Chief of the Imperial General Staff and Commander-in-Chief of
British Land Forces, Field-Marshal Lord Alanbrooke became Director of the
Anglo-Iranian Oil Co. and of the largest bank in the country, the Midland
Bank, The Commander-in-Chief of the Mediterranean Fleet, Admiral
Cunningham, was elected Chairman of the Board of the Iraq Oil Co.; the
Commander-inChief of Air Forces, Air Marshal Lord Portal, became Director
of Barclay's Bank and of the British branch of the Ford Company, The
Commander-in-Chief of the Indian Army, Field-Marshal Auchinleck was ap-
pointed Director of the Anglo-Indian Grindlay's Bank; the Assistant Chief
of the Imperial General Staff, General Weeks, obtained the post of Chair-
man of the Board of Vickers, that war industry monopoly; Chief Air Marshal
Salmond became Director of the Shell Oil Trust. Ismay's predecessor as
Secretary of the Committee of Imperial Defense, the aging Lord Hankey,
obtained the posts of Director of the Suez Canal Company, the Nile
Insurance Company in Cairo, and the Jorehaut Tea Company in India.
This list could fill more than one page. The highest military
caste of the British Empire has quite openly merged with the highest
plutocratic aristocracy, on which it depended fully while still in active
service. Now, having retired, the members of this cast have not been shy
about taking off their masks. The organizers of war have shown themselves
to be the companions of the merchants in oil, automobiles, currency, arti-
ficial silk, tea, whatever is convenient.
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Ismay did not go into retirement; he has been biding his time. But
the big British monopolists, the true masters of the country, have not
forgotten one of the most experienced leaders of the Intelligence Service.
Ismay was offered the post of Director of Lloyd's Bank, an enterprise
with working capital of at least 1.25 billion pounds sterling.
The threads of this financial group entwine through all the corners
of British capitalist society. It is primarily the bank of heavy industry
and the monetary bulwark of British reaction. In recent years its direc-
tors have included such big shots as Sir Peter Bennett, head of the
largest war electrical concern, Joseph Lucas, Ltd., member of the board
of the Imperial Chemical Trust, and in 1951, Deputy Minister of Labour
and National Service; Colonel Neilson, Director of Vickers; Lord Brand
and his son, Thomas Brand, partners in the well-known London banking
house, Lazard Brothers, affiliated with the Astor dynasty and with the
Times, and which financed Chamberlain's "Cliveden Clique"; Lord Luke,
owner of the Bovril Bouillon Trust and the Truth magazine; Lord Ramsden,
Director of a number of metallurgy enterprises and also the former Chair-
man of the Conservative Party; Sir Evan Williams, Life President of the
Mining Association of Great Britain; and others. Also, the old Liberal
leaders, Lord Teviot and Egbert Cadbury (who is also the head of a cocoa
and chocolate trust and co-owner of the News Chronicle); former member
of the Labour Government's State Planning Administration, aircraft
monopolist, Verdon Smith; former Chief of "Combined Operations" of the
British Army, General Laycock; and finally, at least three former Anglo-
Indian governors and ministers - Lord Scarbrough, Burrows, and Reisman,
have also sat on the board of Lloyd's Bank,
Lloyd's Bank is, so to speak, a stronghold, a holy of holies of
British monopolistic capital; to be its director means being one of the
real owners of the country.
Ismay became a director of this bank. The veteran of the Intelli-
gence Service received his reward. Now he himself has become one of the
partners in the "British Empire" concern. The British monopolies do not
forget those who serve them faithfully.
VI
But Ismay's service was not yet finished.
On 26 October 1951, the leader of the British Conservatives, having
beaten the Labour Party in the elections, was called to the Royal Palace
and received instructions to form a new government. One of the first
he called was General Lord Ismay. After a few days Great Britain read
the list of the 17 new cabinet members. Ismay was appointed Secretary
of State for Commonwealth Relations, in other words, minister of
dominions.
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How could Great Britain's international position be consolidated?
This was the problem facing thc new government. The Labour cabinet, which
ruled Great Britain for six years, had continued the old, prewar Conserva-
tive policy - a policy aimed against the Soviet Union, against the colo-
nial and dependent peoples, and now also against the people's democracies.
Formerly this policy had been based mainly on the agreement with Hitler.
It led Great Britain to the brink of destruction. All who wished to de-
ceive the Soviet Union were deceived themselves by German Fascism. Now
the same policy, directed against the USSR, has been based on an agree-
ment with American imperialism and the German desire for revenge.
American trusts had already become masters in various parts of
Britannitk, taking its natural riches. American capital had clearly
been striving to squeeze the British economy within its grip. American
diplomacy had rudely thrust its will upon the British Empire, once the
proudest and most arrogant in Europe. A gloomy future was facing Great
Britain -- that of becoming one of the chief American atomic bases
against the USSR.
Where to go from here?
The Ismays had an answer ready --the way they had been going -- with
the Atlantic Union headed by Washington.
law remained Ismay. And now, almost 50 years after the beginning
of his political activity, the man from the Intelligence Service saw
before him only one purpose, one task: to exterminate the Soviet
Socialist State in whatever way possible, to strangle the national
liberation movement in Asia and Africa. The son of the prison keeper
had not betrayed his ideal. The American pretender to world domination
stood at the British gates with an even bigger crow-bar in his hands
than his German predecessor had. But Ismay still gave the same advice:
? bargain with the US for a while, work Great Britain up into the role of
chief apprentice, and, with their help, we will seize and imprison half
of mankind. Consumed with class hatred, Ismay was again working against
the national interests of Great Britain.
In order to conclude this transaction, in 1952 he transferred his
headquarters into the very center of the Anglo-American bloc. Ismay
? was appointed General Secretary of the North Atlantic Treaty Organiza-
tion and Vice-President of this Organization's Council. Upon taking on
this job, he said on 22 July 1952: "Now I must consider myself as not
haying a country, and in the future I am not an Englishman."
The man from the Intelligence Service supposed that as head of the
Worth Atlantic Treaty Organization he would serve the interests of the
British Empire as in the past. He took his new post with the conviction
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that he would at least secure for Great Britain the position of chief
contractor for the United States in Western Europe, and then go even fur-
ther: make Great Britain the true head of the North Atlantic Treaty
Organization on the continent of Europe. It was for this reason that
"Pug" repudiated his country; he thought that it would be craftier.
Ismay aspired to be field marshal of a new campaign against the
socialist world. In February 1951 he stated that a state of war exists
between the "free world" and Communism. Even now Ismay behaves like
the commander of a real army. He travels about Western Europe from
capital to capital demanding a quicker coordination of the armed forces
of the "Atlantic coalition."
In November 1952 Ismay proposed that a connection be established '
between the Atlantic Treaty Organization and a new military bloc planned
by the American imperialists for the Pacific area. He wished to squeeze
both Europe and Asia in the pincers. In May 1953 he flew to Ankara to
speed the conclusion of a military pact between Turkey and Greece and
thus draw the Near East into "his" net. In November 1953 he was observ-
ing military maneuvers of British, Canadian, Dutch and Danish troops
near Bremen, where a German babe is being prepared. Then he gave an
anti-Soviet speech in Brussels, demanding immediate ratification of the
"European Defense Community" Agreement and inclusion of West German
armed forces in the "European army." Ismay already saw the trenches of
World War III, and himself on the staff of the supreme command.
But it was not for this that they created NATO in Washington, i.e.,
that an Englishman rule this organization. The Americans, with incon-
spicuous pressure, have succeeded in retiring Ismay and filling the post
of NATO General Secretary with a man devoted to them body and soul,
Speak. Now even this position is in the past for Ismay.
The years pass by and the world is changing. Only Ismay and his
friends from the Intelligence Service do not change.
Ismay incarnates the whole policy, the whole psychology of British
imperialism. Ismay's face is the face of Palmerston, Disraeli, Curzon,
Chamberlain and other arms-bearers of British capitalism. It has
nothing in common with the British people. The Great Britain of the
workers, farmers, and working intelligentsia is against him and such
as he.
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Agent of the International of Death A. Leonidov
A merchant of death is not only a person who sells rifles, machine
guns, tanks, submarines and atomic bombs. In the West this job has many
aspects. It includes many people who have no direct connection with war
industry.
Each of them wears some kind of mask. Sometimes the merchant of
death is a well-known professor. He lectures on physics and also is a
consultant to a joint-stock company interested in producing the atomic
bomb. Frequently he is a well-known journalist writing articles, paid
for by the publicity division of the Dupont trust or the Vickers firm,
for a large newspaper published in some capital. Sometimes the merchant
of death is a bishop. In the daytime, in the pulpit, he gives touching
sermons on love and peace, but in the evening he clips coupons from the
shares of a gun factory. And sometimes he is a government official of
a Western power, showered with honors and orders. With inspiration and
brillancy he speaks at international conferences on disarmament, but in
his office he regularly signs contracts for massive deliveries of arma-
ments from a firm in which he or his family is an invisible partner.
All these people enjoy irreproachable reputations in bourgeois
society. And they all live mainly on the interest from past, present,
and future wars. This is the secret meaning of their existence.
Oliver Lyttelton is a very versatile man. He was British Secretary
of State for Colonies, the main organizer of hunts after African Negroes.
At his instructions they were executed wholesale at the rate of 100 per-
sons a week. He considers himself and those like him the mainstay of
British order and tranquility. Everything new is very offensive to
Lytteton and makes him fearful and bitter.
Before his entry into the Government and after his retirement
Lyttelton was head of the British trust, Associated Electrical Industry,
closely affiliated with the Vickers concern. It is precisely here that
his chief, fundamental quality, from which everything else flows, is
hidden. Here, in the offices of this trust which participates in the
production of atomic energy in Great Britain, that Oliver Lytteltonts
real life takes place. He is a merchant of death on the very largest
international scale and belongs in the secret circle of atomic monopo-
lists; he is one of those of whom there are only a handful in the whole
capitalist world. The success of his business depends mainly on how
many people will be killed by the weapons and equipment delivered by his
firm and its allies. The more deaths, the greater the dividends.
This is why they regard him with such respect in the capitalist
circles of the West.
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Lyttelton's career was set even before his birth. His father was
also one of the leaders of the rightist camp and was also Secretary of
State for Colonies. Hereditary suCcession is very highly valued in
British ruling circles. The old Lyttelton, nephew of the well-known
Liberal leader, Gladstone, whom he deserted for the Conservatives, was
famous as a cricket virtuoso. In addition, he was diitinguished by the
fact that, as minister at the beginning of the century, he imported
thousands of unfortunate, starving coolies from China to South Africa to
reduce labor costs for British gold mine owners. At that time the
Negroes were still cooped up in the depths of the country in their vil-
lages. While the elder Lyttelton played cricket and lelped rule the
British pire, the younger Lyttelton, moving among the golden youth,
studied at aristocratic Eton and Cambridge University.
In 1920 the young Lyttelton settled down to "real" business. He
began by trading and speculating in non-ferrous metals -- copper, zinc,
nickel, lead, tin and other metals used mainly in the electrical indus-
try and in war production. The most interesting thing about Lyttelton's
affairs was discovered only after several years: he turned out to have
German partners. The trade syndicate of British mine owners, British
Metal corporation, of which Lyttelton was chief manager, soon merged
with Metallgesellschaft, the concern belonging to the Merton Biothers
in Frankfurt-am-Main, thus monopolizing a considerable part of the
international trade in non-ferrous metals. Sitting in London on the
board of the new United Metal Corporation along with one of the Mertons,
Lyttelton became at the same time 'director of the Frankfurt trust.
This meant a great deal. The affiliation with Metallgesellschaft
immediately brought Lyttelton into the arena of international monopolies.
It predetermined his foreign policy line. At the very beginning of his
?life he found powerful friends on the other side of the Rhine.
Things turned out in such a way that the chief shareholder in the
Frankfurt metals trust after World War II was Germany's largest and
all-powerful monopoly, the chemical trust, I. G. Farben. Along with
the Ruhr steel kings Thyssen and Krupp, the chemical kings, Bosch and
Schmitz were the true masters of the bourgeois German state and the
chief promoters of German imperialism. All the German cabinet ministers
since-the 1920's, the German Army, the German intelligence service and
the German bourgeois parties acted at their orders. The I. G. Farben
trust at first affiliated itself with the German Liberals and immediately
after their defeat began to finance Hitler. When the frenetic leader of
the German Fascists came to power in 1933 Bosch and Schmitz stood behind
him. This fact was also reflected behind the scenes in the making of
British policy.
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For 10 years, from 1929 to 1939, Lyttelton was the partner of Bosch
and Schmitz,in selling non-ferrous metals to electrical companies and war
industry enterprises all over the world. He acquired a great deal of
money in this way, multiplying the fortune left him by his father. But
he was not only in commerce.
Ekterna11y he was an irreproachable English aristocrat, a society
gentleman and a respectable City business man. Actually he was the
emissary of the greatest Anglo-German monopolistic association, one of
the secret,representatives of I. G. Farben in London. From behind the
scenes, along with other business men from this association, he tire-
lessly demanded "complete synchronization" (concurrence) of British and
German foreign policies. There was talk of concluding an Anglo-German
union for the most, rapid possible organization of Hitler's campaign to
the East, to Moscow!
At the_time.ofJAnnich, Lyttelton was 46 years old. He was not yet
even an ordinary member of the House of Commons. But among the heads of
the Right-wing camp he was already considered a prominent figure behind
cwhom the Anglo-German clique was hiding. When Hitler began World War II,
turning not against Moscow butagainst Paris and London, Lyttelton was
no less ast9,4Ade.d 'WAi Chamberlain; his Frankfurt partners had let him
down. They wanted everything that he had promised them in the East..,
and the HritiSb Empire also!
ir
, Full of patriotic indignation, Lyttelton asked for government
taervice. His request was immediately granted. He received the posi-
tion of Chief State Controller of Non-Ferrous Metals. Now he could
httIMIX fi,4 the prices at which the government bought metals from his
_Am A year later Lyttelton was elected to the House of Commons and
Alludiately was appointed President of the Board of Trade. Now he
dictated prices and signed contracts for the delivery, not only of non-
ferrous metals, but also of all types of strategic raw materials. The
beginning of a great political career was established.
In 1942 Lyttelton was appointed Minister of State, Middle East, and
sent to Cairo.. Thenon-ferrous metals king became the real dictator of
Egypt. He organized pogroms in Palestine, set one Arab government
legainst the other, and spread a political intelligence network through-
ont thq lpikan area, giving it one order: do not act against Hitlerites,
but against the national liberation movement.
After 4 year Lyttelton was again called to London and was appointed
Illinister of Production. His chief business in this position was the
creation of the Anglo-American Combined Production and Resources Board,
to which all the industry of both countries was subordinated. Acting
through this Board, the American billionaire "partners" began to seize
a place in the British economy. The Americans went where the Germans
had not succeeded in sneaking in.
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Three years later Lyttelton received his reward. They raised him
almost to the very top of the pyramid of the international monopolies.
He resigned from Churchill's Government, abandoning the post of President
of Board of Trade and Minister of Production. The next day he sat in the
armchair of the Chairman of the Board of Associated Electrical Industry.
At one time Lyttelton had served the merchants of death, selling them raw
material. Now he himself had become one of them.
III
Three firms have been supreme during recent decades in the immense
armaments market in Western Europe: the Vickers trust in Great Britain,
Schneider-Creusot in France and Krupp in Germany. After World War II
Schneider had to begin at the beginning. Krupp was put out of action for
a while. Then the Americans put Krupp on his feet, but the battlefield
remained to Vickers.
Today this is doubtless the largest private producer of conventional
armaments in Western Europe. Millions of people were killed by this con-
cern's death-dealing production. Its plants are located not only in
various English cities, but also in Spain, Italy, Ireland, Australia,
Canada, Pakistan, the Union of South Africa, and even in Japan; they
existed also in Czarist Russia (Aktsionernoye Obshchestvo Nikolayevskikh
Zavodov i Verfey), in Turkey, Rumania, Sweden, etc. During the past 60
years there has been hardly any war conflagration in Europe or elsewhere
in which Vickers was not directly or indirectly concerned. The firm
delivered arms for both world wars, set the Balkan countries to fighting
among themselves, participated in all the anti-Soviet plots and inter-
ventions, financed the Hitler organization in Great Britain, and did not
disdain to set armed conflicts aflame in corner of South America or in
the mountains of Asia.
? Its agents operate tirelessly in the capitalist countries, even the
smallest. Some of them are well-known politicians; others are journal-
ists, bankers, lawyers; still others are shady business men or adven-
turers. Wherever you smell gunpowder, look for the Vickers man nearby.
Wherever it is quiet, another man sent by this firm is already at work.
During World War II and before it, one of these agents was the
notorious Sir.Basil Zaharoff, a Greek. He was born in Turkey, married
a Spanish duchess, became a nobleman in Great Britain and lived in
France. The newspapers called him "the mystery man of Europe."
Zaharoff was a close friend and adviser to the British Prime Minister,
Lloyd George and the .French premiers, Clemenceau and Briand.
Clemenceau's son was a sales representative of the Vickers firm in
Paris. During the years preceding World War II many prominent members
of the British Government were stock-holders, as for example, Hailsham,
Secretary of State for War, Lord Swinton, Secretary of State for Air,
Lord Horne, Chancellor or the Exchequer, Gilmour, Secretary of State for
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the Home Department, etc. Many British generals and admirals depend on
this trust by tradition, particularly those of them which deal with the
military construction and supply of the British Army and Navy.
The Vickers concern is closely affiliated with the top echelon of
the reactionary camp in Great Britain. It is for this reason that the
Right-wing Labour Government did not succeed in nationalizing the Vickers
trust in its time. To do this would have meant causing a kind of politi-
cal revolution in Great Britain.
Lord Waverly, former Home Secretary, is one of the directors of the
concern; he is also director of the Imperial Chemical Industries Trust.
Thus there is a direct affiliation between two gigantic British war
monopolies. Another director of Vickers is Colonel Maxwell, son-in-law
of the late Conservative Secretary of State for Foreign Affairs, Austen
Chamberlain, the target of numerous caricatures in the 1920's.
Not long ago the Vickers concern was headed by Lieutenant-General
Weeks, who was Chief of the Supply Department of the British Army during
World War II. Another member of the board, a certain Vivian Smith, is
no less interesting. He is just a little higher than the generals and
ministers: he is manager of the London branch of the New York Morgan
Bank.
Vickers is the British branch of a peculiar internationale of
merchants of death. It is affiliated with the American war industry
monopolies, General Motors and General Electric, with the French
Schneider concern, with the German Krupp firm, and with suppliers of
arms in all capitalist countries. The North Atlantic Union, the
Western European Union, and the aggressive pacts in other parts of the
world are, in many respects, political masks for this secret interna-
tionale.
This is the circle that Mr. Oliver Lyttelton joined after World
War II.
For a long time the Vickers concern has had a special daughter
company to which all of its electrical enterprises were assigned.
Until 1929 this company was called Metro-Vickers. Many remember it
for the celebrated espionage affair uncovered in Moscow in 1933. After-
wards this name was only used for one of the branches and the main
enterprise was renamed Associated Electrical Industries. At the same
time, along this line, Vickers entered into a close affiliation with
the American Morgan electrical trust, General Electric Company.
We present all these details to show what Lyttelton, the butcher
of Negroes and Malayans, actually represents.
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IV
Having formed a new government in 1951, the big monopoly circles
could not get along without a man such as Lyttelton. The Vickers agent
had to become a member of the Cabinet. But Lyttelton's government ap-
pointment was not due solely to his place in the circles of the mar
manufacturers. A considerable role was also played by another special
circumstance which the general British public has already begun to forget,
but which the ruling circles remember well. It was a matter of Lyttelton's
affiliations with the most powerful British colonial trusts, the pillars
of the British Empire. These affiliations, established during that period
of his life when he was still "non-ferrous metals king", were never bro-
ken. This is why Lyttelton received the post of Secretary of State for
the Colonies. He was given the most "critical" section, the so-called
"black" and "yellow" affairs; in other words, hunting after Negroes and
Malayans.
The imperialists would have a hard time in finding a better candidate
for this post. Lyttelton was the chief of those reactionary politicans
in London whose personal fortune was based on the semi-slave labor of
workers in the British mines in Southeast Asia and Africa. His career was
built on this foundation; while working with Vickers he always remembered
this. His opinions on the colonial question were set once and for all.
For him the Negroes and Asiatics are not people, but super-cheap instru-
ments. They do not have the right to think or to feel; their business is
to work until they can work no longer. If black-skinned and yellow-
skinned persons work 12-14 hours a day, receiving a handful of rice or
beans for subsistence, and die from this work and "diet", this, from
Lyttelton's point of view, is in the nature of things; profits pile up
in London, "white civilization" flourishes, and they get rich. If the
Negro and Asiatic workers become disturbed and demand more food, freedom
and life for themselves, this is a "scandal" and "disgrace", and "impudent
challenge" to civilization, and the Lytteltons are indignant. Then, in
their opinion, the black and yellow people must be penned behind barbed
wire or be hanged.
Such have been the fixed principles of the imperialists' colonial
policy during the last two centuries. Using these principles, Lyttelton
earned many millions. He knew his business.
On the eve of World War II Lyttelton was chairman or director of over
20 joint stock companies; 19 of them operated mines in various parts of
the world. These enterprises included such extremely large British colo-
nial monopolies as the Imperial Smelting Corporation, the Zinc Corpora-
tion, the Burma Corporation, the Broken Hill Company, etc.
Lyttelton was especially closely affiliated with two of the most
important concerns of the Empire tin industry: the London Tin Corpora-
tion, owning mines in Malaya, Thailand, Burma and Nigeria, and the
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British Tin Investment Corporation, owning stocks in many Malayan com-
panies. When he received a government appointment in 1939, Lyttelton
resigned from the boards of these monopolies, but kept their stock and
continued to manage them through figurpheads. For example, the chairman
of the London Tin Corporation today is stock broker John Spens, who was
Lyttelton's closest assistant in the Ministry of Production during the
war. The British tin industry in Malaya until this day is mainly in
the hands of Lyttelton's group. This fact is diligently concealed from
the people by the British bourgeois press. It would not be suitable to
mention that he in whose name the government of Great Britain conducts
war against the Malayan people is the same person who is secretly robbing
these people.
Two-fifths of all the tin and one-third of all the rubber produced
in the capitalist world is obtained in Malaya. The British colonial
pirates began to seize this country at the end of the 18th century when
they "bought" Penang from one of the native island princes for 20 boxes
of opium and an annual honorarium of 6,000 dollars. From this time on
Malaya was a gold mine for British capital. Two-thirds of the peasants
were driven from the land to clear a place for the British plantation
owners and industrialists. Exports of Malayan rubber and tin, during
one five-year period (1946-1950), gave Great Britain over a billion dol-
lars, i.e., as much as she received from total exports of items of her
own manufacture during 1947.
How was this billion obtained? By colonial robbery, organized by
gentlemen of the Lyttelton type. The Malayans who were driven from the
land were forced to work in the mines and plantations for one-eighth to
one-fifth the average pay of British workers. Women and children re-
ceived one-third less than men. The workers in the British enterprises
were given windowless cabins. Malayan hospitals were frequently over-
crowded with people dying from hunger.
When the patience of the Malayan workers began to come to an end in
1948, the British government dissolved the All-Malayan Federation of
Trade Unions and instituted a state of emergency" in the country. Mass
arrests, round-ups and executions began. The British plantation owners
lynched insubordinate workers. The people retaliated by creating parti-
san groups. Then half of the overseas British Army was thrown against
Malaya. A colonial terror began and continued for about eight years.
Even the Hitlerites could envy what took place in Malaya. Hundreds of
thousands of people were imprisoned in settlements surrounded by barbed
wire. By spring of 1954, 600,000 persons had been detained or arrested
-- one-tenth of the whole population!
When these matters were being handled by the Rightist Labour minis-
ters, Lyttelton, sitting in his usual elegant pose on his bench in the
House of Commons, applauded his "political opponents" who were doing his
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work for him. Then he himself began to organize the terror in Malaya,
not stopping at anything. But his equanimity began to desert him. Malaya
did not surrender. Lyttelton was astonished: neither gallows nor con-
centration camps were effective. Should the whole population be arrested?
Lyttelton did not go as far as this idea but he was close to it Half a
year after his appointment as Secretary of State for the Colonies he was
compelled to admit that the British authorities in Malaya, with his knowl-
edge and permission, not only threatened the Malayans with mass destruc-
tion of their crops, but actually destroyed them, using special chemicals.
V
Lyttelton inherited the war in Malaya from his predecessor. He
started the war in Kenya himself. During three years of his stay in the
position of British Secretary of State for Colonies he stirred up an ex-
plosion of insurrection throughout the African continent.
It would be difficult to count the number of capitalist enterprises
in Africa in which the group of colonial magnates affiliated with
Lyttelton is interested. From this group's point of view, Africa is not
only the most important rear base for the British General Staff in Europe
and Asia, but is also a gigantic inexhaustible depot of most valuable
metals -- copper, chrome, wolfram, uranium, gold, aluminum, etc. -- for
making the London shareholders rich. Africa supplies more than half of
the tribute which Great Britain annually exacts from the colonial and
semi-colonial peoples; in 1952, of a total 1,222,000,000 pounds sterling
received in London from the British colonies, 621,000,000 came from
Africa. In this respect the "black" continent has replaced India to a
considerable degree for British capitalism.
Until recently no one could have been as easily and advantageously
exploited by the Lytteltons as the African Negro. The Negro's labor was
much cheaper than the Malayan's labor: he worked for one-twentieth to
one-fortieth of the wages paid to a British worker; children received
even less. In other words, this labor cost its British employers almost
nothing. They forced the Negroes to work under any conditions. In the
gold and coal mines of Southern Rhodesia they were compelled to work the
rock with their bare hands. At the mines they were frequently kept in
guarded closed camps, and were beaten with canes or birch rods for the
slightest "offense". Thus the huge fortunes of the British reactionary
politicians and business men were created.
What happened in Kenya? This is one of the most fertile territories
In the African countries. Half of the best cultivated arable land in
Kenya was seized by 3,000 British colonizers; about 5 million Negroes
were chased into "reserves," for the most part located on poor land and
in unhealthy areas. Forty percent of the Kikuyu tribe were turned into
a landless proletariat, i.e., into farm hands and workers for the colo-
nizers. The law in Kenya made it possible to force Negroes to do any
work without remuneration for a period of 90 days each year. In many
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places the white landowners compelled them to work without remuneration
for half a year in return for the right to live on the land which at one
time belonged to them. One of the leaders of the national liberation
movement in Kenya said: "The white people taught UB to close our eyes
while praying; but hardly had we closed our eyes than they stole our land
from us!"
Grumbling was forbidden. Kenya was administered by an autocrat -- a
British Governor General. He had a "Legislative Council." Thirty thou-
sand whites had 39 representatives in this Council, 115,000 Hindus and
Arabs had 8 representatives, and 5,5000000 Negroes had 6 representatives,
who were not elected, but appointed by the British from among native
princes they had bribed. Until recently it was considered that the
Negroes in Kenya had only three rights: to work, to pray, and to die.
But during recent years the Negroes have stopped praying.
Trade unions were established in the country. A powerful organiza-
tipn arose -- the Kenya African Union. Masses of semi-slaves joined the
movement. In 1952 the African Union sent Lyttelton a number of demands,
chief among which were: just distribution of the land, establishment of
equal wages for blacks and whites, cessation of all racial discrimination,
freedom of action for trade unions, freedom of speech, assembly and press,
and equal electoral rights for Negroes, Europeans and Asiatics* The
Negroes demanded recognition as people.
Lyttelton considered that this was too much. How could such a
scandal be allowed! The Secretary of State for Colonies immediately
decided to conduct an experiment. Kenya must become an example for the
whole of Africa. Declaring that there was an alleged secret terrorist
society in the country, the "Mau-Mau", from which it was necessary to
save the British Empire, a state of emergency was instituted in Kenya.
Lyttelton came and announced: "Statements that greedy Europeans and
Asiatics are oppressing Negroes are completely false." After this the
Secretary went from words to deeds.
Negroes throughout the country were chased into concentration camps
in which gallows were erected. Those accused of belonging to the "Mau-
Mau" were hung or condemned to 24 blows with the whip. The whole region
where the Kikuyu tribe was settled, 2,000 square miles in area, became
a concentration camp. Livestock, the inhabitants' only source of liveli-
hood, were taken from them. Their houses were destroyed. Punitive
expeditions attacked the countryside. Unarmed Negroes were bombed from
planes. Tens of thousands of people were seized. By the end of 1953,
according to data of the British Government itself, 3,399 Negroes had
been killed. During one week, at the beginning of April 1954, over 120
persons were killed. The leaders of the Kenya African Union, led by
Jomo Kenyatta were imprisoned. The British arrested and detained over
half a million Negroes. In order to guard the prisons and concentration
camps, a whole army of prison keepers, 14,300, was mobilized.
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"The experiment" in Kenya was conducted systematically day after day.
Elegant, well-groomed gentlemen, sitting in the office of the British
Secretary of State for Colonies, managed the whole affair. But what were
the results of this experiment? The London newspaper, The Daily Mirror,
came to the conclusion that Lyttelton "killed Kenya with his Icurel".
This is not true. Lyttelton could not kill all the Negroes as he could
not arrest all the Malayans. The result of what they did was stated by
Labour Deputy Brockway, who called Lyttelton "the best recruiter for the
'Mau-Maul Society." On 31 March 1956 the London magazine, New Statesman
and Nation, stated: "In fact, history can say that despite the whole
tragedy, the 1Mau-Maul insurrection was the salvation of Kenya."
Speaking at the Royal Empire Society in February 1953, Lyttelton
was forced to admit that he could not say how much time would be required
to suppress the Negro movement. More than 3 years went by. Lyttelton
still could not answer this question. He will never answer it.
The front of the national liberation movement in Africa is already
spreading beyond Kenya's borders, enveloping Great Britain's neighboring
possessions.
Founded by semi-slaves rising to struggle for freedom, this front
is unconquerable.
No matter how much the Lytteltons fight against the national
liberation movement, it is growing and becoming stronger. In the 20th
century the peoples have turned out to be stronger than the colonizers
and oppressors. Oliver Lyttelton's experience proved only one things
an imperialist colonial policy, depending on its last, most desperate
resort -- mass terror, is useless.
Lyttelton had to admit this fact himself. When, in July 1954, he
announced in London that he was retiring from the position of Secretary
of State for Colonies, his letter to the Prime Minister was published.
Lyttelton stated that he was leaving the government for "personal rea-
sons," since he wished "to return to private life." The hanger of
Negroes and the murderer of Malayans, acknowledged his bankruptcy. He
could not force the colonial peoples to their knees.
After a few days it became clear to what "private life" Lyttelton
was returning. He went to his old friends of the Vickers concern, on
the board of the Associated Electrical Industries. "Private life" for
this man is still trade in death. The organizer of colonial wars again
changed to the role of behind-the-scenes organizer of a new world war.
This is what the business man from the London City has devoted the
rest of his life to. This time he is playing his game not only against
Malayans and Kenyans, but also against all the peoples of the world,
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including those people whom he fears most of all, the people of Great
Britain, The British do not wish an atomic war from which their own
country could suffer. It is hardly possible that the Lytteltons will
succeed in conquering the British.
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Field Marshal Montgomery's Obsession A. Leonidov
Various types of mental disturbances are known. Among the more
serious are, for example, persecution mania, megalomania, and mania for
destruction. There are cases when a person is possessed by several such
manias at once o in an especially severe form. Then the illness takes a
serious tarn; the patient becomes violent and either attacks people or
commits suicide.
The AmericanSecretaryofDeftrise)Jaines Forrestal, suffering from a
persecution mania and an atomic destruction psychosis, threw himself out
,of an eleventh story window. Although insane, he remained the leader of
the United States Army, Navy and Air Force and resigned only at the last
minute. Forrestal's calls for atomic warfare and atomic destruction
coincided with the-policy of the American reactionaries.
This, of course, was a particularly severe case. But there are also
people who are said to have only an obsession., It is possible that fu-
ture historians willEtudy the question of how many leading political,
economic and military positions in capitalist countries of the Wast were
held in the 1950's by people with "obsessions", who never had a thought
of throwing themselves out of windows.
Psychiatrists will demonstrate that about the middle of the twen-
tieth century certain reactionary politicans, financial kings and
military leaders in the capitalist world began to have a certain type of
psychosis -- a mania for atomic destruction. It will also become clear
that individuals subject to this disease continued to be regarded in
their environment as "big politicians", "military geniuses" and "business
giants" -- just at the time that emergency measures should have been
taken to protect mankind against them.
It is true that some people with Mental disturbances have an unusual
ability to conceal their disease from persons around them. But sooner
or later they give themselves away. -Here is an example.
Late in 1949 a Britisher stated in public that a new war "would be
a-real holiday for Us4- and will kill:lotS of people".
It is difficult to believe that this was said by a healthy person.
Fully normal people do not talk this way, even in times of excitement.
Maybe this was an accidental "outburst", which the speaker immediately
regretted.
Three years later, in the spring of 1953, the same Britisher
delivered a speech at the National Press Club in Washington on the inter-
national situation and on the "European Defense Community". Here is how
he began his speech:
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"What is the reason for the mess throughout the world? Probably I
could talk on this subject for five hours. I shall try to explain to
you in five minutes what I think the trouble is... The present "cold
war" must be coiducted on a global basis. This is imperative. But it
is being conducted otherwise. The next war must likewise be waged on a
global basis... Is all this clear? This little mess doesn't amount to
much. Wait a minute, and you will hear something better... To tell the
truth, gentlemen, I know that I did not speak so badly. That is right.
In such a brief time I have explained the causes for the present mess in
the world."
Then the speaker made the following declaration (we quote him word
for word):
"Look at everything that is taking place around us. There is
nothing that is in full order. The thing is to make a start. I want
this treaty (on the aggressive war pact in West Europe -- A. L.) to be
put into effect. Let everything be topsyturvy at first, everything will
get straightened out later. Set this infernal machine into motion, boys,
and push it along. Push it along. The French must ratify the treaty.
They have got to ratify it. No matter what, they are obliged to ratify
it. ... They have got to do it."
The author of both the statements cited here is a British Field
Marshal, Lord Montgomery, Deputy Supreme Allied Commander of the NATO
armed forces in Europe.
According to the British press, Montgomery never touches intoxicating
liquors because of religious convictions. Thus, we must regard his state-
ments as having been made while sober.
How could such a person become a Field Marshal and one of the leading
military commanders of the West?
II
"He is very short, and to seem taller because he wears shoes with
very thick soles. He was usually photographed standing on some ele-
vation; then his appearance became more impressive and stern. He was in
his famous black beret. ... The loudspeakers brought to everyone his
shrill, almost penetrating voice."
This is how Ralph Ingersoll, an American journalist assigned to the
main headquarters of the Anglo-American forces during World War
describes the first meeting of American soldiers in Great Britain with
Montgomery in December, 1943. By this time, the London yellow press was
already proclaiming Montgomery to be a "military genius". This was a
myth. But his entire reputation as a commander rests upon a myth.
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Montgomery was born in Ulster, the northern part of Ireland, long
since captured and settled by British Protestant land-lords and kulaks.
The Ulster land-owners and industrials have long been considered the
most reactionary section of the British bourgeoisie. Even amont the
conservatives, the Ulster "die-hards" were regarded as incorrigible and
dangerous retrogrades, stopping at nothing in seeking their sinister
goals. For many decades, the Ulster landlords took land away from the
Irish peasants and made them into hired hands, workers or paupers. The
Irish emigrated to America by whole villages. A chronic terror reigned
in Ulster. Irishmen who resisted were hanged, or, in less serious cases,
were lashed and left to rot in jails.
Some of the Ulster landlords and their children enthusiastically
applied their skill in pacification abroad. In the British colonies,
they proved themselves to be top-notch specialists in this field.
Montgomery's paternal grandfather was a general in the Anglo-Indian
Army, which took part in the bloody suppression of the Indian Mutiny of
1857. At that time, as became well known in Great Britain, some officers
of the punitive brigades acquired a great deal of property, appropriating
valuables from plundered temples and the property of Hindus who were
killed or exiled.
While certain members of the Montgomery family were educating the
Irish and the Hindus with the aid of gallows and whips, others were deliv-
ering sermons. Combining one with the other was always a tradition of the
Ulster landlords. Members of their families shared both these trades.
Montgomery's maternal grandfather was the Dean of Canterbury Cathedral,
his father, the Bishop of Tasmania, and his brother, a military chaplain.
The "Black Hundred" North Irish landlords, colonial nabobs who con-
sidered all peoples except the Anglo-Saxons to be of an inferior race,
church functionaries who were cold as death and who chilled any display
of a healthy popular spirit -- it was in such an environment that the
youth of the future field marshal was passed. Evidently, it left a deep
impression on his thought and character. This man, who dreams of an
atomic war as a "real holiday" and calls for "killing a lot of people"
with unconcealed enthusiasm, is still trying to pass for a "deeply
religious" ascetic. Because of the same motives, the Field Marshal does
not even allow himself to smoke. A cigarette is a mortal sin for
Montgomery, but an atomic bomb is a sacred thing.
Montgomery attended that school of colonial militarism which all
officers of the British General Staff formerly attended without excep-
tion. Lacking this, their education was considered to be incomplete,
and they were not allowed to occupy high posts. In the colonies they
were trained to "command", that is to tryannize the defenseless aborigi-
nes. If someone did not distinguish himself in this, he did not have a
career. Colonialism is not only the source of the riches of the old
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British bourgeoisie, but is also their higher educational institute. It
is not possible to learn the military art in the colonies, since the
enew there is unarmed. But it was relatively easy to advance high in
the ranks. The more arrogantly and mercilessly an officer conducted him-
self toward the colored population, the faster he usually received his
promotions.
In the mid-1930's Montgomery, who began his service in 1908, was a
Colonel on the General Staff_in the Indian city of Quetta. In 1938, he
was appointed a Divisional Commander in Palestine, where the British
authorities were then carrying out repressions against the population.
Montgomery, already a General, improved and broadened hib qualifications.
Then a sudden end came to the colonial idyl. Montgomery was sent to
France to fight against the Hitlerites. On the night of 31 May 1940 he
was hastily evacuated from Dunkirk to his homeland, having won no laurels.
The general spent the next two years in the rear areas.
In August, 19420 Montgomery's real career began. As was remarked
in British military circles, he was unusually lucky. Rommel's Hitlerite
army was then pushing the British forces back in North Africa, driving
toward the East. General Harold Alexander was named the new Commander-
in-Chief of the British armies in the Near East, and General Gott was
made Commander of the Eighth Army, which was subordinate to Alexander.
The aircraft on which Gott was flying to his headquarters to take over
the command was shot down by the Germans, and Gott lost his life.
MOntganery? almost unknown to the British public, was appointed in his
place. After a month the German advance on Cairo was beaten back, and
in November' 1942, the British Eighth Army defeated Rommel at El
Alamein, thus establishing Montgomery's military reputation.
The British victory at El Alamein was explained quite simply. The
British Eighth Army by that time had received armament in quantities
it had not possessed before. The allied fleet was advancing toward the
French possessions in North Africa. It was to make a landing in
Rommel's rear. The German and Italian forces were isolated and could
not expect reinforcements; Hitler had concentrated all his forces to
strike at Stalingrad. The outcome of World War II was being decided
on the Soviet-German front, and events there largely determined the
conditions of battle in the African desert. Today this is clear to any
serious military historian. The American expert Hanson Baldwin has
reached the conclusion that "it 'as impossible to lose" the battle of
El Alamein.
Nevertheless, after El Alamein many British newspapers claimed
that the entire victory was due to Montgomery's exceptional abilities.
An unprecedented clamour arose around the name of the former colonial
officer-pacifier, who had until then made his mark only as a "strategist"
against unarmed people. Montgomery was raieed to the level of a
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"military genius". The reactionary British circles, which were responsi-
ble for a number of defeats in the early part of the war and were system-
atically postponing the opening of a second front, needed a swash-buckling
figure at the head of the army, a military "star" who could be flaunted
before the public. When the British workers cried out at meetings, "Why
aren't we fighting?", the reactionaries answered, "Look at Montgomery".
Montgomery looked at himself. There is no doubt that he himself
-played one of the leading roles in the British press campaign exalting
him. This general undoubtedly has one ability; he is a true master at
advertising himself. It is right in his element to make a lot of noise,
to talk about himself, to "impress" reporters and photographers and to
appear before the public on specially erected elevations. It is no secret
that Montgomery often prepares an interview with himself in written form,
which is then printed in British and American newspapers under yard-long
headlines,
Hanson Baldwin wrote of Montgomery: "It was impossible not to admire
this man's histrionic ability." Noting the "posturing inherent in
Montgomery", his "stupendous egoism and extraordinary self-confidence",
Baldwin also remarked that Montgomery's book on his European campaigns
was written inarticulately", although "the personal pronoun 'I is
abundantly scattered throughout the book."
After El Alamein, Montgomery was made a full General and was
knighted. A year later he became the Commander-in-Chief.of the British
forces niqh were to land on the.Enropean continent. In this post he
positively declared himself to be unbeatable. But military history has
another opinion. In reality, Montgomery personally suffered a number of
defeats beginning with the landing in Normandy in June 1944, and continu-
ing right up to the surrender of the Hitlerites in May 1945.
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Iv
Montgomery began by obtaining a delay from the beginning of May to
June, 1944, in the landing on the French shore, despite the decisions
of the Teheran Conference. After landing in Normandy, the Allied Forces
suffered a serious defeat at Caen. For almost a month they were unable
to take this city, and lost the entire British tank corps, which was
thrown against the most strongly fortified sectors of the German posi-
tions by Montgomery's command. In Eisenhower's headquarters, action
against Montgomery was demanded; he was for all practical purposes de-
prived of the position of Commander-in-Chief of the Allied infantry
forces in the Nest, In September of the same year, Montgomery essen-
tially lost the battle of Arnheim, where he had planned to win a
decisive battle so that he could end the war in 1944 with a triumph for
himself. Realizing that he would not be able to do this, Montgomery
declared in November that an invasion of Germany would be impossible
vAta the summer of 1945. It was only because the Soviet Army was Con-
tinuing its smashing offensive in the East that Montgomery again decided
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to act. If World War II had developed as Montgomery wanted it to, and
not as the Soviet Union wanted it, Hitler would have been able to recover
from the blows struck at him and to prepare carefully for a spring cam-
paign.
When Hitler counterattacked in the Ardennes in December, 1944,
Montgomery, according to Ingersoll, "became panicky", ordered his units
to retreat and 'almost ruined everything". As is well known, the Soviet
Army's advance on the eastern front, which the British urgently requested
from the Soviet High Command, enabled Montgomery to avoid a complete de-
feat and permitted the British Army to ward off another Dunkirk. Never-
theless after the Ardennes battle Montgomery handed the press an interview
composed by himself in which he claimed that he personally saved the sit-
uation and won the battle.
At the end of March 1945, when the Soviet Army was completing its
defeat of the Hitlerites, Montgomery decided to cross the Rhine. Now he
had the aim of breaking quickly into the German plain in order to attempt
-- as was clearly established subsequently -- to outrace the Soviet Army
in capturing Berlin. But Montgomery failed here also.
Berlin was taken by the Soviet Army. The war was over. Montgomery
collected the weapons surrendered by the Germans so that it would be pos-
sible some time to direct them -- together with the Hitlerites themselves
in the Western Zone -- against the socialist countries. As far back as
the spring of 1945 Montgomery was thinking of what is now being considered
day and night in the headquarters of the North Atlantic bloc.
V
Such is a brief sketch of the military career of this noisy Field
Marshal, who, according to the American writer Ingersoll, is considered
by the Americans to be a "mediocre general". We must admit that
Montgomeryls prestige as a commander has been "gilded" by himself and
his influential protectors. This is the principal secret of his career.
We must take into account that it is these same benefactors who play the
principal role in everything that is done, said and dreamed by the
present Deputy Supreme Commander of the NATO Armed Forces in Urope.
Montgomery is a product of British imperialism. His personal
"pecularities and obsessions", his mania for destruction and his atomic
psychosis to some extent reflect the condition in which British monopoly
capital finds itself at present. Its condition is extremely serious,
the most serious in its history. This is why some "heroes" of British
imperialism today differ so in their conduct and in their calibre from
such "heroes" in the last century. It has long been known that in every
historical era and in every country the calibre and conduct of the lead-
ing politicians and statesmen is determined primarily by the situation
of the class which they represent. In its heyday, a class brings forward
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-individuals who are quite different in their talent from those it brings
forward during its decline. This is seen particularly clearly in the case
of Montgomery.
British capitalism is in decline. At one time it had first place in
the bourgeois world and dictated its will to 600,000,000 people, a quarter
of all mankind. The territory of the British colonial empire was almost
170 times as great as the territory of Great Britain. Now British monop-
oly capitalism is in the grips of a crisis. Its colonial empire is falling
apart before our eyes, and the military adventures undertaken to restore
it are failing. The peoples of Asia and Africa are pushing the decrepit
British lion from all sides. The American billionaires are taking over
its former positions.
Daring such a time the exaltation of such persons as Montgomery by
the British bourgeoisie cannot cause any wonder. It is in need of people
suffering from aggressive psychoses who demand that "everything be topsy-
turvytt The bankrupt colonialists are placing their bets on the former
colonial pacifier who has lost any contact with reality. Montgomery is
unable to understand that he will not have a chance to pacify anyone the
way he did in the old days or on that scale. It has never occurred to
him that the world today is not like what Ireland and India were in his
youth and that it is not afraid of his lash.
He is now seventy years old, but is still self-confident. In his
speeches in recent years he always repeats the same thing -- a typical
trait of people possessed by obsessions. He presages a "holiday" of war,
and with a kind of voluptuousness presents a picture of a "mass atomic
bombardment of the East", as he visualizes it. When one becomes ac-
quainted with Montgomery's speeches, one gains the impression that there
is no room for any other thoughts in his head.
In October, 1953, Montgomery declared: "Though the population of
the NATO countries consists of 400,000,000 persons, and the population
of the Soviet bloc amounts to 800,000,000, our side has unequalled
spiritual power". What does this person mean by spiritual power? Of
course, the atomic bomb. On 8 October 1954 he confirmed this, stating
in Ankara: "Some say that atomic weapons will not be used if war breaks
out. I do not share this point of view. We shall be obliged to use
atomic weapons." Two weeks later Montgomery reported in a lecture at
the Royal United Service Institution: "We in the NATO headquarters are
basing all our plans for military operations on the use of atomic and
nuclear weapons." And four months later, speaking in the American city
of Pasadena, he again explained how he understood the incomparable
"spiritual power" of the Atlantic bloc: "We shall not be able to with-
stand the force which might be unleashed against us if we do not use
nuclear weapons".
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It was 1955 and the beginning of 1956. "The spirit of Geneva" was
dispelling the atmosphere of the "cold war". The great majority of
Englishmen were joyfully greeting the prospects of a peaceful coexistence
of the two systems. But Montgomery talked, talked, talked -- and all
about the same thing.
On 5 November 1955 he declared in Denver: "The fear of atomic des-
truction is Strengthening peace." What does this mean? Only one thing,
that the more atomic and hydrogen bombs there are, the more fear there
is, and the more fear there is, the stronger peace is. Conclusion:
more bombs. Such is this man's "logic". Of what interest to him are
the intelligent arguments which say that to strengthen peace no atomic
bombs at all should exist.
A month later, at a meeting of the NATO Council in Paris, he openly
advocated preparation for an "unlimited nuclear war". On 10 October
19560 Montgomery delivered a lecture at the Royal Military Academy in
London With the title: "A Panorama of War in the Atomic Age". At last
he was offered a topic to his own taste. Montgomery presented his
"panorama" with such satisfaction, and talked about the horrors of the
"future war" with such cynicism that, as the right-wing British news-
paper, Daily Mail, was obliged to report, the audience at the lecture
listened o i in gloomy silence". Montgomery again called for an
anti-Communist 'crusade" and criticized the western powers for "insuf-
ficient preparation for nuclear warfare". He demanded the preparation
of a "general global plan against Communism" and called upon the coun-
, ,tries of the West to "make every effort" to supply the army with atomic
weapons.
After this rollicking lecture of Montgomeryls, a commentator in the
Daily Mirror, the largest newspaper in London, wrote: "I ask you, what
would we say if some Soviet commander, equal in rank to Lord Montgomery,
were to mount a lecture platform and describe in detail how Russia is
preparing to defeat and destroy us ten years from now and how no mercy
would or could be shown to the survivors?"
, It is understandable how a person such as Montgomery talks about
the mass destruction of people with satisfaction. But still the indefat-
igable atomic travelling salesman does not want to think about his not
being alone in possessing nuclear and hydrogen weapons. He forgets the
fact which all sane persons in Great Britain are constantly pointing
out, that the island of Britain is extremely vulnerable to atomic war-
fare. He prefers not to elaborate upon this topic. All he wants is to
"make a ?start", "to set the infernal machine into motion", and to turn
"everything topsyturvy". Perhaps he has already prepared a number of
additional sensational interviews with himself in the event that these
things do take place.
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VII.
We have already explained how and why Montgomery has been brought
forward. However, in recent years his reputation in Great Britain has
suffered considerably because of his pathological atomic fantasies. Still
he has been left in his position. It is not hard to guess the reason.
The atomic psychosis of militarists is advantageous to those who
profit by them, namely the largest war monopolies of the West, which are
selling armament to the Atlantic bloc, that is, to Montgomery. It is not
superfluous to note that the former Chief of Staff, Montgomery's friend,
General Weeks, until recently headed the British trust, Vickers, which
is manufacturing much of the equipment of the British Army, Navy and Air
Force. The more aggressively Montgomery speaks, the faster grow the
dividends of the war monopolies which his friends direct. In the final
analysis, the Field Marshal is working on the London and New York stock
exchanges.
In 1953, Montgomery's family became directly related to the British
-monopoly oligarchy; the Field Marshal's son, David, married the daughter
of the President of the Federation of British Industries, Charles
Connell, owner of one of Scotland's leading ship-building enterprises.
Montgomery cannot be separated from the reactionary monopolists of
the City. But while Montgomery is of the same flesh and blood as British
capitalism during its historical crisis, he must in no way be confused
with the British people. As in the cases of General Ismay and the
moliopolist Lyttelton, there is nothing in common between Montgomery and
the ordinary Englishman or the British worker. As far back as January
1954, the London newspaper, Daily Sketch, wrote: "Montgomery has called
a future atomic war a 'trifling matter'. Regretably, it is difficult
to keep Montgomery from making a fool of himself. But we can at least
repudiate his crude blunder and ask him to keep his trap shut in the
future."
Montgomery did not heed this advice. Soon Greenwood, a member of
Parliament, stated: .The time has come for this intriguer Montgomery
to keep quiet."
Doctors state that one should not expect quiet from people with
mental "peculiarities" -- especially, we may add, when these people are
connected with the stock market.
Three years ago, Columbia University in New York awarded Montgomery
the honorary degree of Doctor of Jurisprudence. However, the people of
the world have given Montgomery another title, which also is connected
with law. They consider him guilty of participating in the plot against
peace.
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PIP Smithy
THE BONN'REPUBLIC
"Regardless of the phrases behind which the Bonn
authorities and their, western partners may hide, it is
perfectly clear that their program is based upon con-
verting all of Germany into an imperialistic state and
into the primary military base of NATO in European --
N. S. Khrushchev, speech at a meeting of the People's
Chamber of the German Democratic Republic, 8 August
1957.
of War
M. Sturua
Once the French journal Usine Nouvelle, not without a tremor of
feeling in its voice, stated:_ "The Ruhr has again become a symbol --
the symbol of a mighty heavy industry which is a dangerous competitor
in peace time and a gigantic center of war production,"
...When bourgeois writers talk about the Ruhr, their breath stops for
a moment. "Unique" is an epithet which they honor it with so often that
theAmeriean journal United Nations World calls this epithet "tiresome".
This, however, does not prevent the Ruhr from remaining truly a unique
Area Of its type in the richness of its mineral deposits, in the advan-
tages of its location, in the strength of its economy and in the concen-
tration of its industry.
In a small territory along the river Rahr (a right tributary of the
Ziline, sixty kilometers from east to west and twenty to thirty kilo-
'Meters from north to south, is concentrated the war-industry smithy of
Germany.
"Here in the Bahr", writes the American journal New York Times
Magazine, "are located the steel mills and metal-processing plants which
supp ie Wilhelm II and Hitler with everything they needed to almost at-
tain victory". (The word "almost" is correct; we must not forget this.)
In this Small scrap of German soil are located three-quarters of all the
coal deposits in Germany, estimated at 250,000,000,000 tons (the largest
in Western Europe). The coal from the Ruhr is of excellent quality, and
is ideal for conversion into coke. The Ruhr accounts for seventy per
cent of coal production in West Germany and seventy to eighty per cent
of the metal production of all of Germany.
Nowhere in the world is there such a concentration of all types of
heavy industry in such a small area as there is in the Ruhr. On the
basis of the coal: not only the metal, but also the chemical industry
_flourishes here; they are closely intertwined. The coal of the RUhr
goes into the blast furnaces of the metallurgical plants, and the gas
by-products of the furnaces are used by the chemical enterprises.
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Every square kilometer of the Ruhr valley is a continuous alternation
of mines and plants, plants and mines. The industrial cities of the Ruhr
Essen, Duisburg, Dortmund and Dusseldorf -- are located so close to
each other that if one has a bird's eye view of the Ruhr, it appears to
be a single continuous city.
Transportation facilities in the Rthr are excellent. Railroads and
river canals cover the Ruhr region in a thick network. Along the Rhine
and along railroads through Holland, the production of the Ruhr beats a
path to the sea. The Dortmund-Ems canal connects the Ruhr with the
North Sea. The freight turnover of the Ruhr is enormous. The Ruhr im-
ports iron ore, scrap iron, lumber, cement, other building materials, and
a substantial amount of food; it exports coal, pig iron, cast iron, steel,
numerous metallurgical industry products and chemicals.
Over two million highly qualified specialists and workers are con-
centrated in the Ruhr.
The high concentration of war production, the enormous natural re-
sources, the excellent transportation connections, the highly qualified
working force -- these factors are attracting the greedy eyes of inter-
national imperialistic reaction to the Ruhr. This is why the Ruhr was
spared during the war and was quickly reborn after its occupation.
The Golden Rain
Immediately after the defeat of the'Hitlerites in West Germany,
emissaries of the largest American and British monopolies rushed in.
After hastily putting on military uniforms and diplomatic dinner jackets,
they took matters into their own hands. General Lucius Clay was made the
first American High Commissioner in West Germany; he was Chairman of
the Board of Directors of the Continental Can Company and a Director of
the copper,mining company Newmont Mining. Another general, William
Draper, Vice-President of the large American bank, Dillon, Reid and
Company, was assigned as financial advisor to Clay. The American occupa-
tion organizations controlling the west German mining and metal industry
turned out to be in the hands of the largest steel companies of the
United States, chiefly United States Steel. When, on 26 February 1949,
the "German administrators" were appointed to put the "de-cartelized"
steel mills into operation, the control over their activities was en-
trusted to the American observers William Brinkerhof, Werner Nauman,
Ronald Clark, and I. F. L. Elliott. All four were representatives of
United States Steel.
_Exceptional activity was shown in the Ruhr also by the largest
banking groups in the United States -- the Warburg and "Kuhn, Loeb and
Company" groups, the First National Bank, the Rockefeller banking house,
and likewise the Societe Generale de Belgique, controlled by Wall Street.
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The former American .grigh Commissioner John McCloy was a henchman of the
American financial oligarchy, especially the Rockefeller-controlled Chase
National sank (now the Chase Manhattan Bank). These people, according to
the author of the pamphlet "Diary of democracy," H. A. Toulmin, "preserved
and protected" the pre-war cartels. In general, as was pointed out in the
pamphlet published in Great Britain in March, 1954, Who Controls West
German Industry?, "the restoration of German industry was chiefly financed
by American tunds and through the same people as in the 1920's." Today
mankind knows why that dangerous game was played. Someone across the
ocean wanted to use Germany as a mercenary soldier to strangle the young
Soviet Russia. But the disobedient soldier undertook to strangle the
whole world, including his benefactors.
After German heavy industry was restored following World War I,
largely with loans of American dollars provided by United States monopo-
lies, a considerable role in converting these loans into heavy industry
with the aim of reviving the war potential of aggressive German militarism
was played by one of the directors of the Bank of Germany, Hermann Abs.
Later be became one of Hitler's principal financial advisers. Here is
what was written about him by,the American Section of the Allied Control
0014141 aa recently as November, 1946: "Abs was the driving force of the
Bank of Germany, in which an unusual concentration of economic power was
combined with active participation in the criminal policy of the Nazi
regime. Abs gave all his attention to the spreading of German rule over
Europe."
Despite this "flattering" description, or more likely because of it,
Abs wound UP after World War II not on the defendants' bench, but in the
poSition of Financial Adviser to the Western occupying powers. Subse-
quently he was transferred to the chairmanship of the Commission of
Economic Questions of the Council of Europe. (The old love of Abs for
Fiurope evidently had not died away.) In 1948 in West Germany the
American authorities established the "Credit ISnk for Reconstruction", the
President of which was the former assistant of Schacht in the Reichsbank,
?),chniewind, and the vice-president, Abs. The rebirth of West German
-m411tary industry was financed through this bank. In the years 1948 to
1950 alone 42.8 billion marks were invested for this purpose in West
GerManY; 4 billion of this sum came from the funds of the "Marshall plan".
After 19500 the "Credit Bank for ,Reconstruction" (let me add the
words "of War Industry") became the transfer point for American private
an government investments in the industry of the Ruhr.
Funds were also released which the West German monopolies, forseeing
the possibility of the defeat of Germany, had transferred in sufficient
time to their accounts in Swiss banks.
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The results of all these investments were soon to be seen; the pro-
duction index in West Germany by the end of 19.55 amounted to 214, with
1936 taken as 100. The heavy industry of the Ruhr is developing espe-
pially quickly. "Things in the Ruhr", reports the American journal
Nation, "are probably going better than in any other industrial center
in Europe."
Seeking to restore their production as quickly as possible, the
German monopolies were obliged to make many concessions to their American
competitors, which had become dominant as a result of World War II. The
pre-war cartel agreements between the United States and West Germany were
revised in favor of the former. The American company General Motors,
which even before the war had acquired a large block of shares in the
largest automobile-manufacturing firm, Opel, is continuing its advance.
The Ford Company has expanded its plants at Cologne and has undertaken
the construction of a new group of automobile enterprises which will
manufacture automobiles and trucks, as well as armored vehicles. The
controlling interest in the shares of the west German firms Opel, Ford-
werke, and Daimler-Benz, providing about two thirds of the entire auto-
mobile production of West Germany, according to press reports, are now
located in the safes of American monopolies. The control over the oil
induqtry of West Germany has passed to the American oil monopolies
? Standard Oil of New Jersey and Socony-Vacuum Oil. Krupp has had to
yield, too. As reported in the Italian newspaper Avantil very large
blocks of shams in the Krupp enterprises have gone to the former United
States ambassador in France, Douglas Dillon, and to William Draper of
Dillon, Reid and Company. Other Wall Street shareholders have also
appeared.
For the time being, the West German monopolies are reconciled to
these gains of their American competitor. The point is that they share
the same goal -- to restore the military industrial complex of the Ruhr.
But the magnates of West German industry are looking far ahead; they are
preparing for the return of their former domination over Europe, and
indeed over more than Europe. They are dreaming of the time when they
will be able to occupy all the positions which they have lost to the
monopolies of the United States.
"Flaying with Blocks"
Shortly after the war, the American newspaper Wall Street Journal
wrote cynically that the United States "is accepting with real enthusiasm
the idea of restoring the military industry of the Ruhr". By 1951, this
"idea" had become a reality, and by this time 317 plants in west Germany
were engaged in war production. At the present time, the number of such
plants, according to quite incomplete statistics, exceeds 400.
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? The concentration of economic power into the hands of the Ruhr coal
and steel kings is proceeding at high speed. According to the ADIN agency,
a little over twenty Ruhr magnates have now concentrated in their hands
97 per cent of the steel production of West Germany, 85 per cent of the
cast-iron output, and 91 per cent of the rolled steel.
Tne pre-war trusts and cartels are being born again.
The most powerful German steel trust Vereinigte Stahlwerke? with a
slight change in its signboard, is again dominant in the Ruhr. The
Thyssen Company -- the nucleus of the Vereinigte Stahwerke is vigorously
consolidating itself. Its largest units, Huttenwerke Phoenix A. G. and
Rheinische Rohrenwerke, have already been consolidated. The Thyssen firm
August Thyssen-Hutte has for all practical purposes taken over control of
the metallurgical enterprises Niederrheinische Hutte as well.
A group of west German magnates associated in the Mannesmann firm,
is not far behind the Thyssen firm. This company has already acquired
the firm KonsolLdation Bergbau A. G., which in turn hat! swallowed up the
company Essener Steinkonlenbergwerke A. G., formerly belonging to the
Flick concern. The Mannesmann Company has again absorbed the firm
Stahlindustrie and Maschinenbau, which has become the principal machine-
building base of the concern. AS a result of all these operations, the
Mannesmann firm has become the third in the production of coal in the
Ruhr, and has fully regained its pre-war level. At the present time it
is producing a third of the West German output of pipes. According to
the General Manager of the firm, Zangen, a former Nazi and a close asso-
ciate of Goering, the capital stock of the Mannesmann firm now amounts
to 370,000,000 marks; at the end of the war it was 160,000 000 marks.
Klochner, the hereditary Ruhr coal and steel king, has not only
'regained but has expanded his domain. He has seized the coal enter-
prises of the company Koenigsbornwerke A. G. and has acquired the ship-
building company Norddeutsche Hutte, which formerly belonged to Krupp.
The traditional name of the company, Klocknerwerke A. G., has been
restored. The Klochner firm has nearly tripled its capital in compari-
son with the period before the war.
And what about Krupp? Incidentally, the question mark here is quite
unnecessary. As a matter of fact, is it possible to visualize a rebirth
of- the Ruhr monarchy of coal and steel kings without Krupp -- the cannon
kihg, whose name has become a symbol of German imperialism, a symbol of
war.
Krupp, while still in prison, together with the steel company head,
Flock, did not ask for leniency, in seeking their release as reformed
swindlers but proposed a profitable transaction to their jailers.
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Through their agents, they informed the American and British occupation
authorities that if they were freed, they would be "ready to provide the
alliee with certain services". Krupp even promised to submit to the
occupation authorities his plan of a "voluntary de-cartelization" of his
military plants, "which would accord with the aims of the western powers."
The "de-cartelization" of the Krupp military concern in reality became
part of the further concentration of his economic power and the restora-
tion of his military potential.
As the west German newspaper Die Welt has stated, "the Krupp of today
is no longer the Krupp of yesterday, and even the Krupp of yesterday was
no worse than Vickers-Armstrong or Schneider-Creusot". No one is going
to quarrel with this; they are all worthy of each other.
It is not possible, and indeed it would tire the reader, to list all
the firms and companies, all these innumerable "A. G.'s" and "I. G.'s",
which Krupp added to his possessions after the war with every method
existing in the wcrld. In general, as the American journal Newsweek
stated, "with the return of Alfred Krupp's plants to him, he has again
become the dominate personality in Essen, the capital of the Ruhr".
Flick did not waste any time, either. His capital, which amounted
to about 70,000,000 marks before World War II, now amounts to about a
billion and a half.
These are the real results _of the e7cartelizatioW' of the Ruhr
monarchy. As the British newspaper Manchester Guardian wrote in this
regard, "the allie84 measures to liquidate the trusts have been no more
'final' than the activities of a child who knocks down his blocks to
build them again the next day."
"Flaying with blocks." Yes, you cannot dopy that the Manchester
Guardian has a sense of humor. But one cannot also deny that it is
flippant, because what it calls "playing with blocks" is in reality a
very dangerous game -- playing with fire.
When the old cartels and trusts are being reborn and their old
masters are taking over the control of these cartels and trusts, it is
quite natural that they will begin to follow their old policy. This
policy is militarism and revenge. It is not chance that of the 400
military industrialists to whom Hitler awarded at one time the title
of "Filehrer of Military Economics", today all who are still alive are
again occupying key positions in the economy of West Germany, maintain-
ing under their control the most important branches of military produc-
tion.
. These four "black hundreds", of course, are not playing with blocks.
The graph of the stock prices of these military concerns eloquently shows
that the remilitarization of West Germany is going on with constantly
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Andreasing speed and is bringing new profits to the West German monopo-
lies, especially to the Ruhr magnates. Bonn is operating in full concord
with. the Rahr. Military orders are pouring in upon the Rdhr magnates, as
if a horn of plenty.
, As far back as the beginning of 1954, the Federal Union of German
Industry, composed of magnates who at one time financed the Hitler mili-
tary adventure, established a "Committee on Armament", which undertook
the planning of the capital construction of war industry. The former
Nazi admiral Meendsen-Bohlken was made head of this committee.
This committee, like the department for assignment of military orders
of the Bonn War Ministry, is swamped with work. Judge for yourselves:
The Mannesmann Company is producing shell cases in its enterprises
in Osnabruck. West German firms in Biegen and Weidenau are manufacturing
large caliber artillery shells. In Pfaffenhofen, near Schwabach (Bavaria),
an ammunition factory is under construction. Messerschmidt has undertaken
the construction of a new aircraft plant in Essen, which will deliver 300
bombers monthly; four new plants in the suburbs of Stuttgart are being
built by the Heinkel Aircraft Company. Work has been resumed on the
enterprises of the Junkers-Werke GMBH, in particular at the Fieseler plants
in Kassel, which turned out the FAU-1 rockets during the war. As the news-
paper Frankfurter Allgemeine reported in October 1956, the colossal sum of
5 billion marks is foreseen as the cost of the establishment of the West
German Air Force. It is planned to increase the military aircraft of the
FRO to 5,000 planes within five years.
Work is in full swing at the gigantic ship-building wharfs of Blohm
und Voss, where the naval might of Hitlerite Germany was once established.
The Daimler-Benz Company, Auto-Union and Porsche have received the order
for the first 7600 motor vehicles for the resurgent Wehrmacht. Orders
for the delivery of explosives have been divided among the pynamit A. G.
Worm, Alfred Nobel and Wasag. Over 400 West German firms are now occupied
in supplying the divisions of the Bundeswehr which is now being created.
The gigantic smithy of war is in operation. The former war crimi-
nals -- the 1:11.hr kings and those (doubly criminal) who aided them to rise
and be reborn -- are again preparing a bloodbath for the peoples.
What is this? Playing with blocks? No it is playing with fires
"Chain Reaction"
It was not long ago that the political travelling salesmen of the
West European Union were praising the Paris treaties in every way, des-
cribing them as a miraculous panacea for all ills arising from the rebirth
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of German militarism, and as a hundred per cent guarantee against the
arming of the resurgent Wehrmacht with atomic weapons and the production
of nuclear weapons in West Germany.
Not so much time was required for the fog of words to dissolve and
the public found itself faced with the certain prospects of supplying the
resurgent Wehrmacht with atomic weapons. The West German monopolies are
already preparing to generate the monstrous potion of war in their atomic
reactors. Such are the results of the chain reaction of the short-sighted
policy of the Western powers who are promoting the remilitarization of
West Germany.
,The Bonn seekers for revenge are already not satisfied with a "con-
ventional" half-million army; they are creating an army equipped with
nuclear weapons. A "total atomic armament of the Bundeswehr" (that is,
the Wehrmacht) is necessary, it was announced, according to the West
German newspaper Der Mittag, by General Heusinger, who is the head of the
Bonn "Main Military Board". General Heusinger is echoed by another former
Hitler general, Kammhuber, who is occupied in the military department at
Bonn with the rebirth of the air forces. Kammhuber also feels that it is
necessary to "shift the center of gravity to atomic and nuclear weapons".
Realizing that an open violation of the Paris treaties would provoke
a stormy and unfavorable reaction among much of the European public, the
builders of the new Wehrmacht have fallen back upon a flank maneuver.
The screen behind which this maneuver is being carried out is "Euratom".
According to its organizers, "EUratom" ("EUropean Community of
Atomic Energy") is to assist the west European powers in the peaceful use
of atomic energy. But in Washington and Bonn, people are planning, with
the aid of "Euratom", to circumvent those articles of the Paris treaties
which prohibit Nest Germany from producing and possessing atomic and
hydrogen weapons.
This was obviously hinted at by the present Bonn Minister of War,
Strauss, who until recently was the Minister of Atomic Affairs. He
stated: "The time has come for us to undertake work to catch up with
what Germany has let slip by..." In regard to the idea of "Euratom",
Strauss significantly emphasized: "We regard any international or supra-
national cooperation from the point of view of assistance, and not just
from the point of view of control." The Ruhr monopolies greeted the
birth of "Euratom." with unconcealed joy.
The preparation of the declaration on "Euratom", in which West
German representatives also participated, coincided with the beginning
of negotiations between Bonn and Washington on the treaty, since signed,
on "cooperation in the field of the use of atomic energy for peaceful
purposes" and the creation of a Commission on Atomic Energy under the
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Bonn government. As a United Press correspondent frankly stated, the
bilateral agreement between the United States and West Germany "has no
relationship to the agreements on the peaceful uses of atomic energy,
which were signed only for research purposes." Allen, a New York Post
correspondent, reported that the United States is planning to deliver
atomic weapons to West Germany. The French newspaper Figaro disclosed
that West Germany will be given all rights within the framework of
"Baratom" to produce atomic weapons.
The functions of "Earatom" which were set up for reasons of camou-
flage are already beginning to atrophy, even though this association
has not even to begin to function as yet. The Western powers have in
reality permitted Bonn to possess and produce atomic weapons, haVing by
their deeds repealed the prohibitory sections of the Paris agreements.
This took place during the negotiations between Guy Mollet and Eden in
Paris and Guy Mollet and Adenauer in Bonn in September and October 1956
with the full approval of Washington.
However, the chain reaction does not stop at this point. While
Bonn and the Ruhr are asking for atomic weapons from the United States,
they are also planning its production in the Federal Republic itself.
The same general Heusinger stated significantly: "The Federal Republic
-mmSt become more or less independent of the Western powers and if neces-
sary begin the production of atomic weapons itself." According to the
newspapers 21212211-1EaDjusilam and Frankfurter Allgemeine, the decision
has already been made in Bonn to supply the Wehrmacht "with several
types of atomic weapons" produced in West Germany.
It was for just this purpose that a special atomic cartel was estab-
lished as long ago as December, 1954, in West Germany, composed of six-
teen large companies. Among them are branches of I. G. Farben --
Farbwerke Hoechst, and Bayer-Leverkusen -- and likewise Mannesmanne,
Gute-Hofnungs-Hatte, AEG, Siemens, Krupp, and others.
This cartel began functioning under the innocent name: "Physical
Research Institute, Inc." But in reality, its creation and activity
show the irresponsibility of the people who brought it to life. Let us
cite only the British newspaper Sunday Express, which wrote that "soon
the Germans will be producing the component elements of the hydrogen
bomb. Krupp is the atomic boss."
The rapid elevation of the chain reaction into official Bonn doc-
trine was facilitated by a new heightening of international tensions
caused by the forces of world reaction, headed by the United States,
which launched aggression against Egypt and organized the Fascist putsch
in Hungary.
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As far back as the session of NATO in Paris in December 1956, the
participants in the session, supposedly to "harmonize" the military re-
quirements and economic potentialities of the NATO members, passed a
resolution on supplying the West German Armed Forces with atomic weapons.
This in essence repealed the prohibitory articles of the Paris agreements.
The game was played so openly that the incident managed to do without
any plants for fig leaves. Not without reason, a member of the West
German delegation, Felix von Eckardt, declared immediately after the ses-
sion that the most important decision of this session was that "in a year
or eighteen months the West German army will be supplied with atomic
tactical weapons."
Finally, at the May, 1957, session of the NATO Council, Dulles,
acting in the name of Wall Street and the Pentagon, approved atomic arms
for the Bundeswehr, on the basis of the principle of "equal opportunity".
Thus, the demands of the Ruhr magnates, expressed by their mouthpiece,
' the newspaper Industrie Kurier, for a "just equality" was satisfied.
The Bonn seekers after revenge, openly supported by Washington, are
more and more openly beginning to play first fiddle in NATO under American
direction. A dangerous process is taking place, which, in the cynical
expression of Max Adenauer, son of the Bonn Chancellor and member of the
"Board of Trustees of the RWE Power Company", signifies the "atomization"
of West Germany.
A further step in this "atomization" was the rejection in the
Bundestag of a proposed amendment to the Constitution providing that
legislative action in the field of atomic energy can have only peaceful
purposes. "The Federal Chancellor has himself removed his mask," the
West German newspaper Frankische Tagespost stated in this connection.
Yes, the mask has been removed. The brutal face of West German
militarism has appeared before the world, threatening it with the atomic
bomb.
Who is Holding the Reins of Government?
Several years ago the then speaker of the House of Representatives
of the United States, Joseph William Martin, went to West Germany to
deliver a message of greetings from the American Congress to the Bonn
Bundestag. The first visit he made was to the Ruhr region, to Essen, to
Krupp. After the honored guest had inspected the Krupp factories, the
cordial host Alfred Krupp gave a dinner in his honor at the Essener Hof
hotel. Only then did Martin deign to go to the Bonn Bundestag, The
American parliamentarian knew very well that the real power was concen-
trated in the Ruhr. From here stretch the threads of the powerful bonds
with the "federal capital" of Bonn.
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Thq_fpdpral chancellor Konrad Adenauer has long been connected with
the largest monopolies of the Ruhr (the Rhine-Westphalian Electric Company,
the banking house of J. G. Stein, the company Junkers A. G., the bank S.
,Qppenheim and Co. The Vice-Chancellor at Bonn, Bluecher, is among the
direct,henchmen of the Ruhr steel companies. In 1953, Bluecher confiden-
tially stated: "I am following an economic and financial policy in the
inerests of German heavy industry". The Bonn Economics Minister, Dr.
Erhard, former director of the Hitlerite Institute of Industrial Research,
is a servant of the metallurgical companies of the Ruhr. Theodor Blank,
until recently Minister of Defense of the FRG, is a large shareholder in
the Thyssen Company. Furthermore ... But there is no need to go on.
The West German monopolies are supporting the ruling parties in Bonn
financially.
Adenauer's party, the Christian Democratic Union, is fully supported
by West German monopolistic and banking circles. The support of these
circles played a decisive role in Adenauer's victory in the elections of
September, 1953. In the 1957 elections, the monopolies threw several
tens of millions of marks on the scales in favor of Adenauer. The
President of the Union of German Industry -- the real government of West
Germany -- Fritz Berg, significantly declared: "The opinion that an
industrialist should be concerned only with his own enterprises and must
not participate in politics has fallen into oblivion." Berg was hardly
blazing a new trail. The West German monopolies are not only "participat-
ing" in politics; they direct them and steer them in their own mercenary
interests.
Recently the monopolies have enjoyed considerable favor from one of
the parties participating in the government coalition, the German Party --
the party of Junkers, big capital and former Nazis. A brief rejoinder by
Schacht is sufficient to describe this party: "I am in agreement with
the program of the German Party." The creditors of the German Party are:
Reemtsma, the owner of the Hamburg Tobacco Company, who was formerly a
close friend of Goering and who financed the Nazis: the oil company
Hochbau-und Erdolgeselschaft S. Deichmann; and, of course, Krupp, who has
alreacly contributed 18,000,000 marks to this party's treasury.
* -*
On 10 August 1952, with due ceremonies, the signing of the treaty on
the "European Coal and Steel Community" took place. On the day that this
aspociation began its activities, its head, Monnet, cried with emotion:
"There is no longer any German coal or French steel, there is only
EUropean coal and European steel."
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In reality, German coal has remained German, but French ores have
begun to be cast not into European steel, but into German steel. It
developed that Belgian and Dutch coal are likewise faced with the danger
of being converted into fuel for the Ruhr military smithy.
? Who gains from the "European Coal and Steel Community"? Here is what
the French newspaper Combat wrote on this point: "If one examines the
decisions made by the community since it was established, one must note
with surprise that they are nearly always to the benefit of Germany alone".
The newspaper expressed fear that the "European Coal and Steel Community"
would fall under German domination.
There is every reason to have such fears.
Even before World War II, the Ruhr industrialists proposed the idea
of an international cartel which is so similar to the "Schuman Plan" that
they are like two drops of water. According to this "idea", the interna-
tional cartel was to include Great Britain, France, Belgium, and
Luxembourg in addition to the Ruhr. Since the Ruhr was the industrial
core of the cartel, the proposers of this idea gave it the central and
dominant role.
Therefore, when the "Schuman Plan" appeared, on the basis of which
the so-called "European Coal and Steel Community" (ECSC) was established,
the Ruhr magnates joyfully greeted it for many reasons. According to
the French journal Usine nouvelle, the "European Coal and Steel Community"
is helping the seven old large steel and coal groups of the Ruhr, divided
into 41 separate companies, to join together again. West Germany "did
not limit its freedom by joining the ECSC," states this journal, "it
gained it again."
"Lebensraum" Again
The return of the West German monopolies to the world capitalist
market is intensifying the contradictions between the imperialistic
powers.
As far back as the beginning of 1950, Dr. Hjalmar Schacht, war crim-
inal and former financial adviser to Hitler, demanded in his "financial
letters" "the participation of Germany in plans for colonial development."
On 10 March 19530 at a meeting of representatives of industrialists in
Kassel, Franz von Papen proposed the incorporation of the countries of
Latin America and of the Near and Middle East into the "sphere of inter-
ests" of West Germany.
The expansion program of the West German monopolies underwent
special discussion at a meeting of West German industrialists at the end
of January, 1953, which was held in Dusseldorf on the occasion of the
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opening of the bank Schacht and Co. Among the three hundred participants
in the conference were Schacht, von Papen, Hugo Stinnes, Heinrich
Dinkelbach and other captains of West German finance and industry.
The Dusseldorf conference worked out a broad program of action. Here
it is: continuing close cooperation with the American occupation authori-
ties, support of the Adenauer government, an attack on the rights of the
labor llama by cooperation with the leadership of the unions, an increase
in the export of capital, primarily to countries where it may be possible
to squeeze out British and American influence, an increased financing of
political parties supporting the realization of these goals, an intensifi-
cation of the struggle against the Communists and Social Democrats with
the aim of excluding them from public and political life, and so forth.
:In proposing a toast at the Dusseldorf banquet, the "financial
genius" of Nazi Germany, Hjalmar Schacht, declared: "The time has come
again when we can enter the southeast area extending from Sarajevo to
Japan."
Not long before this, Schacht himself had crossed this very area.
He visited Spain, Iraq, Iran, Egypt, Indonesia, India, and other coun-
tries. His trip had the aim of renewing the old ties of the German
monopolies and to pave the way for increasing exports of West German
capital. It was just after his trips that he established the Schacht
and Ludwig Bank in Hamburg and the Schacht and Co. Bank in Dusseldorf.
Together with big industrialists and junkers, Schacht established a
neW West German financial group. Why? To strive for a place for West
German monopolies in the imperialistic exploitation of the "underdevel-
oped" countries and the colonial and semi-colonial regions of the world.
The West German monopolies, the true rulers of the FRG, have long
and insistently demanded that Bonn provide favorable conditions for the
development of the economic war against their American and British
competitors. It would not be without interest in this connection to
describe the so-called "founders dinner" held in February, 1954, in the
Bremen city hall, which was attended by two hundred representatives of
West German industrial and banking capital and overseas trade and ship-
ping, as well as by representatives of the Bonn government, headed by
Chancellor Adenauer. Who were these founders? According to the news-
paper Bremer Nachrichten, they were the Nazi bankers Pferdmenges and
Abs, von Siemens -- the owner of a military firm, Alfred Krupp, Muller
- the general manager of a joint insurance company, Dr. Hilpert -- the
chairman of the Board of the Railroads of the FRG, Dr. Konecke -- general
manager of the Daimler-Benz A. G., Schmitz -- General Manager of Ruhrstahl
A. G., Dr. Dubbers -- representative of the Hanse Shipping Company,
Butschkau -- President of the Association of West German Savings Banks,
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von Waldtha45en representative of the Reinische Stahlwerke Company,
and other finanqial bigwigs and industrial magnates. Among the demands
submittedto Adena4er at this dinner, 41 prominent place was given to the
doubling of the tonnage of the West German merchant marine and the fur-
ther development of foreign trade.
The Federal Chancellor/ making his reply,, assured the "founders"
that their, desires would be carried 014t. And they are being carried out.
The American and British monopolies, which assisted to a consider-
able extent in the restoration of the military industry potential, are
now fearfully feeling the "cold breath" of German competition. There is
no reason to doubt that, as time goes by, this breath will become colder
and colder.
Along the Old Route
Not long ago, industrial and financial magnates arrived from all
over West Germany at Landsberg Castle, near Mulheim (Ruhr), which belongs
to the Thyssens, a dynasty of Ruhr steel kings. It was also attended by
former Hitler "leaders of military economics" Wehrwirtschaftsfuehrer
and representatives of the Bonn government headed by Dr. Lehr, at that
time occupying the post of Minister of Internal Affairs. Over two hundred
guests assembled at Landsberg Castle.
What took place there on that day, 8 February 1953? The remains of
August Thyssen, who had died in Buenos Aires and who had been head of the
great German steel trust Vereinigte Stahlwerke were being entombed in the
castle mausoleum. That is how the society news reported this assemblage.
But if one judges by other information, the two hundred gentry gathered
in Landsberg Castle for a reason far different from that of merely kissing
the relics of their master, who died in remote Argentina. The ceremony of
Thyssen's funeral was merely a seemly pretext for the Ruhr kings and the
still armed Nazis to discuss matters far more important than the obsequies.
Information which leaked out in the press shoved that a program of
action for resurgent German imperialism was discussed at Landsberg
Castle. The newspapers could not fail to notice a remarkable coincidence.
The membership of the group which assembled in the castle was almost the
same which worked out the plans for the transfer of power to the Nazis in
1932 at a conference in Dusseldorf with the participation of Hitler.
Krupp, Flick, Dinkelbach, Stinnes, Papen -- all these faces were familiar.
The events which developed after the gathering at Landsberg show that
this time a plot was again hatched against the German people and their
vital interests. The rebirth of the Wehrmacht and the general staff of
this wasp's nest of Prussian militarism, the banning of the Communist
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Party of Germany, the persecution of democratic forces, wild plans for
'eatablishing a "Teutonic Empire" from the Straits of Dover to the Urals --
sUOI are the new stages on the old route which the myth-makers of the
twentieth century are dreaming of taking again.
But today, in the second half of the twentieth century, new winds
are blowing at the old international crossroads. These winds are strong
enough to disperse the smoke swirling over the smithy of war.
?
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The yar-Oriminal Company.
A. Galkin
Early in the summer of 1955 an epidemic of typhus suddenly broke out.
The first signs of the epidemic were noted in the center of the Ruhr, in
the city of Hagen and the surrounding area. More than fifteen hundred
cases were reported0
phus occurs rarely in West Germany; a typhus epidemic in peacetime
quite exceptional. The physicians undertook urgent investigations to
determine the source of the infection. The evidence led them to the
laboratory of the chemical factory in Wuppertal-Elberfeld. It developed
that for several years, at the order of the management of I. G. Farben,
typhus microbes were being cultivated. What for? There was one answer
-- for war, for new crimes against the peoples.
' The German chemical company, I. G. Farben, is one of the monopolies
which is preparing an imperialistic predatory war and helping to conduct
it.
The letters "I. G." in its name mean in translation from the German,
"community of interest". The history of this company shows what kind of
a "community" it is and what interests it has. They are the interest of
predatory German,monopoly capital, and the community is born of a joint
striving towards enslaving and robbing not only the German people but
also the peoples of other countries.
when, in 19470 the trial at Nuremburg of twenty-three leaders of
this firm began, the indictment in their case made up a whole library.
One after another of these documents were read at this trial. They un-
masked the company in the preparation of the imperialistic war, the rob-
bery of whole countries and the enslavement of hundreds of thousands of
people. I. G. Farben stood exposed before the whole world in all its
ugly nakedness.
Even among large monopolies, the I. G. Farben is outstanding because
of its unprecedented size. On the eve of World War II, the company had
177 plants in Germany; 200 plants abroad were owned by it or were under
its control. In central Europe it had practically no competitors. It
manufactured everything, from dyes to nitroglycerin and Lewisite. Of the
43 major chemical products produced by the company, 28 played a decisive
role in supplying the army, air force and navy. I. G. Farben developed
a system of producing synthetic liquid fuel for aircraft and tanks, and
achieved the production of a most important type of strategic raw mate-
rial, synthetic rubber.
With its vast financial resources, I. G. Farben played a decisive
role in Germany's political life. Everything that took place in the
country depended in a large part upon its will. Together with the steel
trust Vereinigte Stahlwerke, the magnates of I. G. Farben brought German
Fascism to power.
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? ft... We hope that our words spoken today will be converted into
reality, and that a powerful man will be found who will create a general
platform for everyone ... for such a man is always necessary for us,
Germans, as Bismarck was necessary in his own time."
This was said at the beginning of the 1930's by the head of the com-
pany, Duisberg. Soon the "powerful man" was found. His name was Adolf
Hitler. He was supplied with money to maintain armed detachments and to
conduct election propaganda. Among those who gave him these funds, one
of the most generous was the I. G. Farben. Its first contribution to the
treasury of Fascism amounted to 300,000 marks.
It is not surprising that, when he became "chief of state", Hitler
did everything that the company found necessary. I. G. Farben was ad-
vanced enormous credits -- billions of gold marks. The general manager
of the company, Krauch, received a high position in the Economics Ministry.
The largest stockholder in the company, Bosch, was appointed to the
Armaments Council. Using the government of Fascist Germany for their own
interests, they obtained military orders for the company. The war in
Europe was prepared and started at the order of the monopolies among
which I. G. Farben occupied a' leading position.
When Hitler invaded the Sudetenland, the management of I. G. Farben
sent him the following telegram: "Deeply moved by the return of the
Sudeten German territory to the Reich the I. G. Farben Company places
at your disposal half a million Reichsmarks". The transaction was a
profitable one; the half a million brought in enormous profits.
I. G. Farben, its managers and employees fully supported and ap-
proved Nazi aggression against Poland, Czechoslovakia and France. I. G.
Farben "received great gains from these conquests", a member of the
board of the company, Kupper, acknowledged under questioning. In the
occupied countries, the I. G. Farben company seized stock, plants, and
trusts.
In Austria, after its seizure, the company "pocketed" the chemical
trust Pulverfabrik Skoda-Werke Wetzler. This operation was carried out
by the director of the Foreign Branch of the company -- its "minister of
foreign affairs", Max Ilgner.
In Czechoslovakia, I. G. Farben swallowed the company Aussiger
Verein, the fourth largest chemical company in Europe. The robbery was
carried out by the managers Kugler and Wurster. In France, I. G. Farben
laid its hand upon the Kuhlmann, Saint-Denis and Saint-Clair-du-Rhone
companies. One of the magnates I. G. F., von Schatzler, played the
decisive role here.
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By the end of the war, the I. G. Farben company included 380 German
firms and 500 foreign companies. It was capitalized at not less than six
billion marks.
The stockholders' profits were accumulated upon the bones of millions
of people. Slaves from the East worked in its factories and plants. They
were forced to work with tremendous effort. When some of them died, other
doomed persons were driven in to take their place.
In its quest for cheap labor; the company established its plants
directly in the death camps. One of the plants was located in Oswiecim.
The prisoners working there served as the subjects of brutal experiments.
In its laboratories was created one of the most powerful toxic substances
-- the death-dealing gas "tabun". To determine the effectiveness of this
gas, the company's management ordered that it be tested upon the prisoners
in the camp.
Dr. Fritz ter Meer, a member of the management of I. G. F., was
later asked whether it was possible to defend performing these experiments
upon living people. Ter Meer explained in cold blood that it made no dif-
ference to the prisoners what they died from -- from beating or from gas.
The company was directed by a small group of administrators and large
stockholders. It was called the "council of the gods". After the defeat
of Fascism, this "council" was put on trial.
The list of the defendants included some persons known to the whole
world: ,Hermann Schmitz -- chairman of the board of I. G. Farben and
successor to its deceased head, Duisberg; his nephew, Max Ilgner, member
of the board and financial director, head of the I. G. Farben's spy net-
work abroad, the organizer of the seizure of foreign enterprises, inveter-
ate Fascist, bosom friend of Goebbels; Hoerlein, member of the board of
the company -- organizer of the production of poison gas, immediately
responsible for the death of hundreds of prisoners used in the brutal ex-
periments; Otto Ambros, member of the board, Chief of the Toxic Substances
Branch of the Nazi Ministry of Armaments, and Director of the I. G. Farben
plant in Oswiecim. Behind these "leaders" came Fritz ter Meer, Butefisch;
Gattineau; Gajewski, directors, managers, consultants, and so forth.
The defendants' guilt was proven in the trial with great completeness.
The peoples expected that they would be given severe sentences. But they
were deceived in their expectations.
"The council of the gods" had nothing to fear -- because it was
tried by an American military tribunal. All the defendants were found
not guilty.
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Formally, the Io G. Farben company was reorganized and broken up
into its component parts. The most important of these were Farbenfabriken
Bayer in Leverkusen, Farbwerke Hoechst in Hoechst, Badische Anilin-und"
Sodafabrik in Ludwigshaveno But the company's reorganization was carried
out so that its owners suffered no losses. The I. Go Farben shares which
were in the hands of large shareholders were exchanged for stock of the
new companies. The managership of the plants was transferred to "reliable
hands". The old directors moved from the defendants bench directly to
armchairs in the managements of new companies.
How is this to be explained? By the role of the American and
British monopolies. For them, I. G. Farben was a business brother. Its
cartel ties with British and American trusts were always exceptionally
close. These ties explain the fact that at the end of the war, as a re-
sult of the highly advertised American and British bombings, only 15
.per cent of the synthetic rubber production capacity of I. G. Farben was
destroyed, and only ten per cent of its production capacity for explosive*.
? The intertwining of American and German monopoly capital can clearly
be seen from the example of the Io G. Farben company. The company owned
forty per cent of the shares of the Ford Motor Company in Germany. Its
management included the chairman of the board of I. G. Farben0Carl
Bosch. The son of the founder of the automobile empire, Henry Ford, be-
came a metber Of the board of directors of the American branch of I. G.
F. Edsel Ford, which was given the name American I. Go
Through its Swiss branch -- the I. G, Chemie -- the German chemical
octopus owned the large chemical company General Aniline and Film Corpora-
tion in America. The Rockefeller oil company, Standard Oil of New Jersey,
which at one time supplied about half the German oil market, had a cartel
agreement with I. GoiFarben. The management of this company's branch in
the United States -- American Io G. -- included Walter Teagle, Chairman
of the Board of Standard Oil and the New York banker Po Warburg. In ad-
dition, two special companies -- standard I. G. and Jasco -- were estab-
lished in the United States on the basis of an agreement between Standard
Oil and I. G. F. In October, 1939, after the war in Europe had begun, a
representative of Standard Oil, a 'certain Howard, came to a special con-
ference in Urope to find means of carrying out the cartel agreement be-
tween I, G. Farben and Standard Oil under wartime conditions. The confer-
ence, which took place in Holland, ended in full agreement. As Howard
stated later, the representatives of the American trust came to an agree-
ment with the representatives of the German chemical concern on the
division of the profits after the waro
I. G. Farben had close cartel ties ever since 1932 with the largest
British monopoly, the Imperial Chemical Industries.
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The years since the breaking up of I. G. Farben represented a period
of new upsurge for this giant chemical company. "A new page has been
written in the history of I. G. Farben" stated the West German economic
weekly Volkswirt in the middle of 1955. By that time the successor-
cempanies to I. G. Farben and the firms subordinate to them possessed
over 85 per cent of all the stock in the chemical industry of the Federal
Republic ot Germany. Each year this chemical company is expanding in
domestic and foreign markets. The volume of production has grown signifi-
cantly. In 1945 only 800 workers remained at the plants of the Badische
Anilin-und Sodatabrik? the largest component part of I. G. Farben. In
1951 it had reached its pre-war magnitude in the size of its labor force
-- 26,500 workers. In August 1955, according to official figures, there
were as Many as 36,000 workers. More than 36,500 persons are now working
in the plants of Farbenfabriken Bayer and over 28,000 in the enterprises
of Farbwerke Hoechst.
Official prospectuses claim that I. G. Farben in its present stage
is interested only in peaceful production. But even in the FRG nobody
believes these statements. As far back as 1948, the explosion which
took place at the I. G. Farben plants in Ludwigshafen revealed one of
the company's secrets. In violation of existing laws, the company was
even then producing fuel for military rockets. Since the Ludwigshafen
explosion, military production at I. G. Farben plants has developed on a
significant scale. Demolition explosives are again being produced by the
Dynamit A. G. plants of the I. G. Farben group. A factory manufacturing
phosphorus for incendiary projectiles has been built in Hoechst. I. G.
Farben was one of the initiators of the West German association for
financing atomic research.
Hundreds of specialists are creating new types of war materials in
the I. G. Farben laboratories. Three hundred million marks are spent
annually for this purpose in Hoechst. In Leverkusen, 1,400 research
engineers are doing such work at the Farbenfabriken Bayer. "If some
sceptics claimed," wrote the bourgeois Frankfurter Allgemeine in the
middle of 1955, "that the separate fragmented companies would not be
able to attain the research level that was characteristic of the old I.
G. Farben company, such doubts have now long since passed."
Time has effected some changes in the personnel of the management
of the concern. But one can still meet persons in high positions
closely allied with the recent past. The chairman of the board of
Badische Analin-und Sodafabrik is the same Wurster who robbed the Czech
factories. Otto Ambros, well remembered by the prisoners of Oswiecim,
has a position in the inspection council of the Trostberg Hydrogen
Plants, Ter Meer is representing I. G. Farben on the board of one of
the largest West German banks.
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From thevery first day of the supposed splitting up of the company,
the successors of 10G. F'arben have in reality acted jointly. The
"council of the gods" has been established again. As in earlier times,
it has considerable influence in determining the policies of West Germany.
"When an industrial group controlling a production capacity worth over
ten billion marks," said Industriekurier, the newspaper of West German
industrial circles, "is making its economic and political demands, there
is every reason to study them with especial attention."
The nature of _these demands is shown by the policy of the present
ruling circles of the FRG, who have converted West Germany into a major
bulwark of the "cold war" in I.irope and into a breeding ground for
militarism and the desire for revenge.
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The Generals Return . O. Nakropin_and
Melgnikoy
The last German Kaiser, Wilhelm II, once said: "I shall order that
a revolver and a sabre be placed in the cradle of every small boy So that
fature soldiers will become accustomed to their trade from their earliest
age."
In a figurative sense it can be said that this did take place on
the estates of the landlords and junkers in families which, from genera-
tion to generation, provided officers for the Prussian, and later the
German, army. Portraits of grandfathers and great-grandfathers in uni-
form and wearing decorations such as those of the Franco-Prussian War or
for helping crush the 1848 revolution, family relics, weapon collections
in fathers studies, customs and amusements of elders -- the whole envi-
ronment and the entire manner of life from childhood here trained the
future member of the Prusso-German officer caste, who would smugly and
haughtily scorn all that was not military. Bismarck had the scions of
such families in mind when he said: "We Prussians are all born in
uniform".
In such a way, "in uniform", were born the majority of those who
now head the west German bundeswehr. Their youth was spent in the last
years of the Hohenzollern dynasty. As boys, the future generals heard
the adults exchanging reminiscences of the victories of German arms at
Koniggratz or Sedan, and enthusiastically recounting the bloody exploits
of the German Expeditionary Corps in China which dealt with the Boxer
Rebellion of 1899 - 1901.
As time went by the toy sabre was replaced with a real one.
* * *
For Adolf Heusinger this moment came when he was seventeen years
old. Today he can say that his life was not lived in vain. The Heusinger
of 1957 is a Lieutenant General, chairman of the Main Military Board of
the West German War Ministry, a body which is a slightly camouflaged
general staff. The general is carrying on the work of famous field mar-
shals; his heels were deemed worthy of the spurs of the great Helmuth von
Moltke the first to head the General Staff of the German Empire.
While Heusinger and boys of his age were still Fahnenjunker with
hair only beginning to appear on their upper lip, one of Germany's most
outstanding military theoreticians, General Friedrich von Bernhardi, gave
them these parting words: "A virile man needs only to glance at a sword,
and to ponder its purpose and its frightful action, to convince himself
that war by itself is a divine task, as worthy and necessary as food and
drink". From that day to this, Adolf Heusinger, so to say, contemplates
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the sword with the eyes of a "virile man". The world outlook of today's
West German generals was formed under the influence of mentors such as
Bernhardi. It was formed in a time when it was announced again and
again that the "German mission" was to save the world from all its Alls
in the atmosphere of chauvinistic intensity and militaristic debauchery
which preceded World WarI in Germany and accompanied its outbreak.
"The ancestors who have gone before" -- the leading figures among
the German militarists, such as Moltke and Schlieffen, and after them
Ludendorf Hindenburg :and others of their successors of the time of World
War I, insisted that the German army by its very nature was destined to
conquer all its opponents and that victory would certainly come with
lightning speed. Did the future strategist wonder why the idea of a
"Cannae" proposed by Schlieffen failed -- this swift movement consisting
of the outflanking of the "main army" of the enemy and its destruction
in one short battle? 14,11y was it that, after four years of bitter,
sangainary slaughter costing Germany 1,800,000 dead, the "best army in
the world" With "the best officer corps in the world" and "unsurpassed"
,
commanders was forced to surrender ignominiously?
Such a question would have been natural not only for the young
officer Heueihger. The biographies of the West German generals was
similar t9 on ,w-lothar9 and they are all closely tied to the history of
German _militarism over the past four or five decades. The present
Lieu enant Geheral Josef Kammhuber, heading the Aviation Department of
the RG -War Ministry, has been in the service since 1916. Vice-Admiral
Friedrich Rage, head.ofthe'Naval Department, first put on a uniform in
1914. Hans Rottiger, head of the Infantry Department, was already a
senior officer at that time. Hans Speidel, Paul Hermann, Gerhard
Matzky, and nearly all the other generals in the West German Army,
totalling over thirty by the end of 1956, began their careers during
World War I. If for no one else, the war's disastrous outcome should
have provided these men with ample food for thought. What did it
amount to? After the victorious fanfares of the first weeks of the war
-- Verdun and 'Marne, and later Pskov -- instead of a "Cannae" came
months and years of trench warfare with all the luxuries of trench life,
and finally the bitterness of Compiegne. Did not the young people who
so passionately believed in the invincibility of the German sword and
the infaliabAity of their authorities find in this the shattering of
all their illusions and a reappraisal of all their values?
,
No, they did not do so. From the point of view of the German
military caste, all this was explained very simply. The army was good.
The strategy was above criticism. The prowess of the soldiers had no
equal since these soldiers Were ourselves. It may be that some mistakes
were allowed -- well, lei us say, the plans of the genius Schlieffen
were not carried out sufficiently punctually, or the "spirit of emulation"
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was not sufficiently shown, as Groener, the Minister of the Weimar
Republic's Reichswehr later argued, seeking to defend the strategy of the
German General Staff. But in the final accounting, this also was immate-
rial. The main reason for the defeat was that the army, as it turned out,
was "stabbed in the back". While they were fighting for "a place in the
sun" for Germany, the "vile traitors", "defeatists" and other "sedition-
aries" were busy undermining all the foundations. In November 1918, they
perpetrated in Germany -- just imagines -- a revolution.
We must give the leaders of the German militarists their due; they
quickly adjusted to the new situation. They were preoccupied with only
one thought -- whatever else happened, regardless of the military catas-
trophe, the severe conditions of the armistice and the collapse of the
Hohenzollern empire -- to preserve the army, this "supreme gift from
Prussia to Germany", as the former Imperial Chancellor, Furst Bulow wrote
shortly before the end of the war. The militarists saw the the Kaisers
goose was cooked. And if this was the case, why then, let the Kaiser go
-- as long as the generals remained.
Thus, the generals, representatives of the most aristocratic families
and for centuries reputed to be the support of the throne, and for whom
the rightist Social Democratic leaders like Ebert and Scheidemann were for
so long "contemptible Red riff-raff"? suddenly shipped the "divine monarch"
off into exile and came to an agreement with the new, republican, Social
Democratic government. The military units recalled from the front were
sent to defend this government and to suppress the revolutionary workers
who were demanding that the revolution be carried all the way through and
that a truly democratic system be established. The militarists foully
murdered Karl Liebknecht and Rosa Luxemburg. Thousands of officers came
straight from the army and joined the so-called "free corps", illegal
and semilegal organizations which dealt with the revolutionaries in Upper
Silesia, Bavaria, and Hamburg. The military clique earned for itself the
right to cultivate its traditions with impunity during the Weimar Republic
and to prepare as much as it could for a return of the "glorious times".
It was at this point that the real military training of the generals
of the present generation began. They underwent it in the holy of holies
of German militarism -- in the General Staff, disguised under the title
of "Troop Department of the Ministry of the Reichswehr". In the future
they were to find extremely valuable the experience which they gained
during their years of work under the direction of such outstanding spe-
cialists in secret rearmament as General Groener and Field Marshal von
Seeckt.
The Treaty of Versailles prohibited Germany from maintaining an
army, with the exception of the Reichswehr, composed of volunteers and
totalling not more than 100,000 men. It did not permit it to have any
aircraft, battleships, heavy artillery, tanks, or armored cars
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Heusingerls superiors and colleagues quickly found ',rays to circumvent
these bans. In 1921, Seeckt the commander of the Reichswehr, presented
in a special Memorandum his "basic views on the structure of the armed
forces". Each division was to be set up so that it would be possible to
double or triple its strength by means of enrolling additional volunteers.
Under the conditions of that time, no shortage of volunteers was foreseen;
in addition to the official Reichswehr? there existed an illegal "black
Reichswehr" which incorporated the volunteer officers' corps. By the time
that it was dissolved in 1923, the "black Reichswehr" contained 250,000
persons; after us dissolution, the majority of them joined the storm
troops of Hitler and Rehm.
The training of ?the troops, said Seeckt, should be carried out accord-
ing to i program whereby forbidden types of armament could be incorporated
as Soon as an'order was given. The Reichswehr was regarded as a nucleus
around which p powerful env could be built in a minimum of time, suffi-
cient, as Seeekt wrote, to strike a "direct blow at the heart of the
enemy" before the latter was able to complete his mobilization.
Elaboration in detail of these principles, which were essentially
nothing but directives on ,preparing surprise attacks against other coun-
tries and on aggressive war, was the concern of the present-day leaders
of the Bundewehr? who were then sitting in various divisions of the
Ministry of the Reichswehr and its Troop Department. Heusinger was en-
gaged to work in the camouflaged General Staff in 1927, and Kammhuber in
1928. Also working there were Rottiger, who participated in the secret
establishment of armored tank troops, 'Rigel who submitted plans for the
,
creation of a large navy, Matzky, the present Major General Laegeler,
and a number of others. The members of the German General staff are
described by the British military historian Wheeler-Bennett as "limit-
lessly ambitious people who knew and did their work excellently, unscrupu-
lous mercenaries and soldiers who were interested in nothing except their
carers, power and influence. They were ready to follow anyone as long
as he gave them high command posts, gave them a chance for personal ad-
vaneement0, and provided an opportunity for military undertakings. For
these shameless adherents of a policy of force, rearmament and the col-
lateral eh'ects of war represented only a basis for their own careers."
* * *
'"The opportunity for military undertakings" was provided by Hitler.
His coming to power was a welcome event for those who were biding their
time in the building on Bendlerstrasse in Berlin, where the highest
military establishments of Germany were located. A whole new era opened
up in the lives of the future generals, and, what was especially impor-
tant for their role in the Federal Republic of Germany, during this era
they acquired further and higher qualifications. While during the Weimar
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Republic they had mastered the art of the secret violation of interna-
tional treaties, they passed a visual training course under Hitler in the
methods of openly and rudely trampling upon such treaties.
The stages by which Hitler violated each and every international
agreement are well known. Each of them was preceded by intense and
feverish activity in the military staffs. Such of the leaders on
Bendlerstrasse who were for some reason unwelcome to the "Fuhrer" were
simply eliminated by him; some became the victims of the bloody reprisals
of the "Bartholomew's Massacre" of June 300 1934, such as Generals
Schleicher and Bredow, while others were removed without bloodshed, such
as Field Marshal Blomberg and General von Fritsch. In any event, the
present leaders of the West German Bundeswehr were not among the few rep-
resentatives of the military circles of Hitler's Germany whose opinion
did not fully agree with that of the Nazi high command. With the zeal
peculiar to them, they prepared for the introduction of universal mili-
tary training, which was announced in March 1935, prepared the introduc-
tion of troops into the Rhine demilitarized zone in the spring of 1936,
established a million-man Wehrmacht, prepared measures to aid the Franco
rebels in Spain, and worked out plans for the annexation of Austria in
1938 and the seizure of Czechoslovakia in 1939. They were preparing
World War II.
For the "unscrupulous hirelings", each stage of Hitler's aggression
meant new titles and medals, new command posts, further steps in their
careers, an increase in authority and a broadening of influence.
Lieutenant colonels became colonels, and colonels became generals. The
wildest dreams came true. A festive occasion took place on Bendlerstrasse
in the summer of 1935; Hitler, continuing to violate the Treay of
Versailles, officially reestablished the General Staff. Heusinger became
"his excellency"; he was a senior officer and soon chief of the Operations
Branch of the Main Infantry Command. It was here, in his division, that
the plans were worked out for the invasion of Poland, Belgium, France,
Holland, Denmark and Norway. The notorious "Barbarossa plan" was worked
out under,his immediate supervision. "Lieutenant General Heusinger was
indispensible to the Fuhrer," was the comment on the present chairman of
the FRG's Main Military Board made by General Zeitzler, former Chief of
Hitler's General Staff.
The same could be said of his colleagues. The aviator Kammhuber
proved to be truly invaluable as chief of staff for Hermann Goering, who
was reckoned the supreme commander of the Air Force of Nazi Germany. It
was this same Kammhuber who drew up the order to bomb Warsaw in September,
1939. In May of the following year, he was given an assignment of partic-
ularly high trust. The bigwigs of the Nazi Reich needed to find a pretext
for terroristic air attacks on cities in Great Britain and France. How-
ever, enemy aircraft were not even appearing over Germany. What could be
done to avoid the blame for launching aerial attacks against the peaceful
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population? A way out was found with Kammhuber's assistance. The Chief
of Staff Of the Supreme Commander of Germany's Air Forces ordered the
Third Group of the .51st Bomber Squadron to carry out a raid on -- the
German city of Freiburg. On May 11, the order was carried out. The popu-
lation was told that the bombs were dropped on Freiburg by British air-
craft, and the Goebbels propaganda machine received the opportunity to
describe the destruction of British cities as "revenge".
At present, the leaders of the North Atlantic Bloc and its armed
forces, which includes the West German Bundeswehr, value especially highly
the "eastern experience" of the German generals. It is possible that the
fact that they were defeated by the Soviet Army is considered a guarantee
of Alturelrictories. However, one point cannot be doubted: the signifi-
cance given to "eastern experience" in the higher echelons of NATO proves
one thing. It gives away the true aims of this aggressive grouping.
Ilnz experience which the Hitlerite generals gained in the East has
some unusual features.
.t8oOn after Hitler's attack on the Soviet Union, Rottiger was ap-
pointed Chief of Staff of the 4th Army, on the Soviet-German front. Later,
when he was examined at the Nuremberg trial of Hitler generals, he stated:
"According to the, orders given in line of duty, only a few prisoners were
taken." Rottiger continued: "In the course of carrying out my duties I
had several occasions to wage warfare against bombs," that is, to deal
with partisans. Later, beginning in the fall of 1943, General Rottiger
continued. parrying out the same duties in Italy, where he turned up in the
post of Chief of Staff of Army Group "C".
The military command of Hitler Germany, whose representatives are
now commanding the Bundeswehr, conscientiously helped the Himmler thugs
of the SS and the "security service" to decimate the population of tempo-
rarily occupied areas. "Heusinger readily agreed to transfer to the
'security service' some military units to reduce the Slavic and Jewish
population," SS Brigadefuhrer Ernst Rode has testified: "I always have
felt personally," Heusinger himself stated at the same trial in Nuremberg
in Deceml?er 1945, "that the methods of treating the civil population and
of fighting the bands (read this as "partisans") in the operations zone
provided the highest political and military command with a long sought
opportunity to realize its aims, to reduce systematically the Slavic and
Jewish people." When Robert Kempner, the chief American prosecutor at
this trial, wanted to clarify what the word "always" meant and asked
Heusinger to specify the time that he first began to have this point of
view, Heusinger replied without hesitation: "Since the fall of 1942"o
In other words, Heusinger definitely came to his conclusion on the
"desirability? of exterminating the population of the Soviet Union at
the time that the Hitler hordes were rushing toward the Volga and the
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and the gentlemen of the Bendlerstrasse (although their information did
not come from Goebbels' articles, according to which the Soviet Army no
longer existed, but from more trustworthy sources) thought that this time
they had really gained the victory.
The Bundeswehrgs generals also have another kind of experience,
which is very important to the NATO leaders. This is experience in deal-
ing with recalcitrants. This is especially important for them now because
the resistance of the masses to aggressive plans is growing everywhere in
the world. For these leaders it is essential that the Bundeswehr be Com-
manded by persons capable of shooting and hanging even their own fellow-
countrymen. The present-day West German generals proved that they had
such ability even in their youth, when they participated in crushing the
November Revolution. They demonstrated it amply under Hitler.
At the beginning of 1957, General Walter Werck was proposed as the
Bundeswehrgs commander. In the early days of the war, when Werck was on
the staff of Guderiangs tank army invading France, he succeeded in having
four German officers courtmartialed because their "unduly mild handling
of the civil population put the further advance of the German forces into
jeopardy." During the last years of the "thousand-year Reich", Werck,
who had by then enter4d the inner circles around Himmler and Hitler, drove
fifteen to seventeen year-old boys into battle after he had recruited them
into "Hitler Youth" organizations and labor conscription camps at the time
the notorious Twelfth Army was being formed. This army was ordered to
perform a miracle -- to break into Berlin through the circle of Soviet
forces surrounding it in order to save the "Fuhrer" and the other resi-
dents of the cellar of the Imperial Chancellery. When the miracle failed
to take place, General Werck abandoned the boys who were still alive and
whom he could not take along and left them to find their own way out,
while he himself surrendered to the Americans. It was not without reason
that it was pointed out, when Werck was proposed for the new position,
that he would be able to "carry out the necessary firm policy in creating
the Bundeswehr and training of the troops". He was "the best person in
case the Bundeswehr were unexpectedly called upon to carry out actions
in internal affairs, which was within the realm of possibility" -- such
was the description given him by the person who nominated him.
Paul Hermann and Gerhard Matzky are noted for the same "firmness".
At the very end of the war, the former, with his 264th Infantry Division,
and the latter, heading the 26th Arty- Corps, were pinned against the sea
by the Soviet Army in the Baltic Area. Before abandoning their troops
to their fate and fleeing to the West, they executed for "cowardice" and
"desire to surrender" dozens of soldiers and officers of a force wilich
was in a hopeless situation.
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General Hans Speidel is considered to be one of the most active of
the West German military commanders. When the "Main Military Board"
was being established in the Bonn War Ministry, he was assigned the
especially responsible position of Chief of the Combined Forces Division,
coordinating the activities of all types of troops. "A general of a new
type", as Speidel is called in western military circles, he has an origin
and biography slightly different from those of most of his colleagues.
Instead og wearing a military uniform, his father wore the gown of a
scholar. He was a professor at the University of Tubingen, one of those
who falsified s-pience, altering it to support German imperialism's claims
to domination over the world. Evidently, the family tradition of "humani-
tarianise_left its mark on the character and interests of the young man.
It to true that Hans Speidel at the age of seventeen also enrolled as a
volunteer in one of the Kaiser's Guard Regiments, and that after World
War I he also served in the Reichswehr. But in contrast to many of co-
workers, he, so to speak, was not a stranger to education. Reichswehr
officer Speidel spent his free time in the halls of the same university
in which Profespor Speidel taught. In 1925, he defended his thesis and
became a Doctor of Philosophy.
Dr. Speidel set out to travel. He wandered about the halls of the
Louvre, contemplated the beauties of nature in Switderland and the
magnificent ruins of the Colosseum, went across the Straits of Dover
and crosees1 the, Atlantic Ocean. In 1933, the new Nazi government decided
that the well-travelled officer was suitable for work abroad; Speidel
was appointed Assistant Military Attache in Paris. His real career be-
gan-two years later; Speidel left the banks of the Seine to head the
4FOreign Armies of the West" Branch in the supreme headquarters of the
German a/vied forces, or, in other words, to undertake the direction of
military espionage against the present allies of the FGR in NATO. In
1940 he again appeared in France -- this time as Chief of Staff of
Hitler's occupation forces. Now he prepared orders "in line of duty"
to? shoot French hostages and to deport peaceful residents to the Himmler
death camps. General Speidel also has some "eastern experience"; it was
he who initiated the "scorched earth" tactics during the retreat of the
Hitler forces in the Ukraine.
,)
The leaders of the North Atlantic Alliance had these varied gifts
of ,Hans ,Speidel in mind when, early in 1957, they appointed him com-
mander of the central grouping of the NATO Armed Forces in Europe.
In ,1945, the generals fell upon hard times. For ten years they had
no titles, and at first even preferred not to mention that they had been
generals. They undertook in every way to wash the brown off their
shoulders.
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It is true that the United States ruling circles from the very first
showed their unreserved good will towards the German militarists. But
the Nazi atrocities were still too fresh in people's minds to permit them
to ally themselves openly with those directly guilty of war crimes. A
few representatives of the Hitler militarists were even jailed, although
they were arrested not for reasons of punishment, but to hide them tempo-
zwily in a safe place. The prisons were like first-class hotels. The
sentries who were required to guard the prisoners stood before them at
attention and when they were asked a question they snapped out: "Yes,
Sir, Herr Feldmarschalll" -- such was the report of the correspondent of
an Italian newspaper who visited such a "prison" in the West German resort
village of Werl, where the British occupation authorites were keeping
military criminals.
Those Who remained free became quiet. Werck, soon released from an
American prison, preferred, like many others, to go as far as possible,
to Argentina. Speidel told everyone who would listen to him that he
desired nothing more than to return to "pure science". The generals
found jobs in trade and industrial companies.
Nearly all the generals -- those who found themselves in prison-
hotels and those who were left free -- had something in common: a sud-
den development of a taste for creative writing. Some sat down at their
desks at the request of the American War Department, while others did so
at their own initiative.
"Disagreement with orders" -- such was the significant title which
Heusinger gave his memoirs. You see, he did not agree with Hitler.
Furthermore, he considered his policy and strategy incorrect; he even
supposedly participated in a plot against Hitler.
In 1943 and 1944, after the defeat of the Hitlerite armies at
Stalingrad, certain outstanding representatives of the German generals
were not able to conceal their concern over what would happen next. A
group of higher officers plotted against Hitler with the aim of getting
rid of him and, after replacing him with somebody more acceptable to the
Western allies, forming an alliance with the allies to continue a joint
war against the USSR. In particular, Speidel, in one of his post-war
writings, writes straightforwardly of the existence of the idea of
wbeginning peace negotiations with the West and continuing the war
against Russia on a shorter front", The present agreement between the
Western imperialists and the German militarists has its origins in those
times.
On 20 July 1944 an attempt was made upon Hitler's life. It failed.
The plotters were seized and many of them were executed. Adolf
Heusinger was also arrested. He "plays up" this arrest in his book in
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every way. But he "modestly" fails to mention another fact -- that 'In a
short time he was released as not having participated in the attempt, and
the Gestapo sent him its apologies.
By the way, even if some of the West German generals at one time, at
the end of the war, did conspire against Hitler, they did this for one
reason only -- that Hitler had not lived up to the hopes of the militarists.
Today, in accepting the protection of the western powers, the generals are
expecting that it will aid them in attaining the goals that they were not
able to reach while supporting Hitler. The entire careers of Heusinger
and his colleagues show their lies when they try to describe their "dis-
agreement" with Nazi atrocities, Hitler war crimes, and the policy of
exterminating and enslaving entire peoples. He "served neither his coun-
try nor Germany; up until the very time that Hitler began to slip, he
served National Socialism well." This statement, applicable to any one
of the generals, was made concerning Speidel by the famous French public
leader Frederic Manhes -- former commander of an underground liberation
brigade created by Buchenwald prisoners, and now president of the Interna-
tional Union of Freedom Fighters.
The generals' misfortune is that they happened to take up the pen
not only after 1945, but before as well. Now they cannot wipe out a
word of it, although some today doubtless wish that the literary "sins
of their youth" no longer existed. The FRG's representative at the
headquarters of the NATO Armed Forces in Paris is Brigadier General
Count Kielmansegg. In 1941, when he was a colonel, he wrote a book "Tanks
Between Warsaw and the Atlantic", which was issued by the "Wehrmacht"
Publishing House. When he was marching with Hitler's troops across France,
destroying everything in his way, he "felt like a thoroughbred racehorse",
wrote the honored count, using a rather striking, and possibly apt,
metaphor. At that time he was inspired by only one thought: "the German
sword has been drawn to strike a deadly blow at France". "We report that
we have completely carried out the task laid upon us by history, Germany,
and the Fuhrer. ... And the gratitude of no one can give us as much pride
as the gratitude of the Fuhrer" -- with these moving words Kielmansegg
closes his account.
General Hermann Foertsch has been entrusted by the NATO leaders with
writing the section on the West German Bundeswehr in an illustrated
propaganda book on this aggressive union, publication of which is planned
in several languages. They knew to whom they were giving this assignment.
Foertsch is no novice at such undertakings. For quite a long time he
headed the Press Branch of the Supreme Command of the German Wehrmacht.
From his pen came such treaties as "Instructions on the duties of an of-
ficer devoted to Hitler" or "The Fuhrer and the armed forces". "There is
no room among the officers of the new German Armed Forces for anyone who
does not support our National Socialist Government with all his heart or
for anyone who is indifferent to, or especially anyone who disapproves of,
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this Government or the philosophy which created it and permeates it" -
Foertaoh proclaimed. At that time he was merely a colonel, but now he
has found himself a place among the generals of the West German Armed
Forces.
The "difficult times" did not last long. For those who are inter-
eSted in further military adventures, the double-dyed Nazi past of the
Ritlerite generals and their experience in launching aggression and
participating in war crimes is not an obstacle to giving them weapons,
but rather increases their value. In 1932, when Hitler explained his
program at a conference of the biggest industrialists of Germany and
promised them military orders unprecedented in history, one of those
present, the steel magnate Fritz Thyssen, cried out "Heil Hitler" Today
the monopolists of West Germany, the United States and other imperial-
istic states are counting upon the German militarists to provide them
with unheard-of military profits. As far back as 1951, the American
newspaper Chicago Daily News wrote: "Give us the West German divisions
and we shall not ask any questions; this is our position."
The twelfth of November 1955, was a big day for the generals; with
solemn ceremOnies.the first group of servicemen of the new West German
Army was sworn in at the War Ministry building in Bonn, which was orna-
mented with a representation of the Iron Cress, the emblem of the German
militarists. There were only a few in the first group, 101 in all. But
the first step is the hardest. Early in 1956, the size of the Bundeswehr
had risen to 6,000, and by the summer of 1957 it numbered 1000000.
At first glance this is not very large, either. For some time, the
circles determining West German military policy have been trying in every
way possible to convince the public that they do not really want a large
army. In October 19560 the first Defense Minister of the FRG, Theodor
Blank, was even forced to resign because he had comprised himself by his
actions, which were too evidently directed towards developing armed forces
with millions of men. He was replaced by Franz-Josef Strauss, who de-
clared himself in favor of ,a "small professional army" which should con-
sist basically of officers and non-commissioned officers. Such a plan
promises many benefits to the West German militarists. It has a remark-
able resemblance to the plan prepared by Seeckt during the Weimar
Republic -- the plan of creating a "nucleus" around which a vast powerful
army could be developed at any moment. The Bundeswehros leaders have
made this task easier for themselves by establishing a relatively short
term of military service. This will permit them to provide military
training for a maximum number of people during the first few years, thus
creating a vast reserve.
But the "Strauss plan" has another, more essential, feature. It is
primarily a plan to arm the Bundeswehr with atomic weapons. It was no
coincidence that Strauss was Minister of Atomic Energy before he was
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appointed War Minister. It was also no coincidence that he was replaced
in the former post by Balke, one of the kings of the West German chemical
industry, the vice-president of a manufacturers group in this branch of
the economy, and a member of the board of the military chemical company,
I. G. Farben.
The beginning of the new War Minister's administration was character-
ized by negotiations with representatives of the western powers on the
immediate arming of the Bundeswehr with "tactical" atomic weapons. Strauss
was given a blank check in this regard at the meeting of the NATO Council
at the end of December 1956. On his return to Bonn from Paris, Strauss
annaanced for all to hear that atomic weapons would form the basis for the
rearmandht of the German Federal Republic. His rapture at this accomplish-
ment was so great that he mentally began to convert Europe into an atomic
desert. In particular, he announced that atomic weapons in the hands of
the western powers would make it possible to wipe the Soviet Union off the
face of the earth. There have been cases known in Germanyg's history when
its imperialistic bosses not only made threats upon the Soviet Union, but
also tried to carry out these threats. It is also known what this led to
-- that German territory was turned into a "desert" after the country had
been plunged into catastrophe. After this, why talk about atomic war
For Germany this will inevitably mean a catastrophe not at all comparable
with any of the earlier ones.
Row are the characteristics of the new West German Army being estab-
lished? This is done primarily by its command personnel. As we have
already seen, General Heusinger, commanding the Reichswehr, had worked
on preparing operational plans for Hitler's aggression against both the
East and the West. He has forgotten nothing and has learned nothing.
As far back as the fall of 1953, Heusinger stated on the pages of the
journal, Bonner Hefte, that the slogan of the armed forces being reborn
in West Germany mould be: "Advance anywhere that there is the opportunity."
The tactics of the "Main Military Board" of the FRG are those of a blitz-
krieg. They were also formulated by Heusinger. While visiting the United
States in 1956, as reported by the New York Times, he stated that it was
necessary, "by causing incidents at various points on the West German
frontiers", to create an excuse to undertake "reprisal measures" which
"should be successfully completed in two or three weeks". Kammhuber is
even more "optimistic"; in his opinion, "the outcome of the war for all
practical purposes will be decided during the first four days".
The West German army is being planned, of course, primarily as an
army of aggression against the Soviet Union and the other countries in
the socialist camp. The entire ideology of a "crusade against Communism"
has been accepted for the arming of the Bundeswehr. The desire for
revenge is also being stimulated by a turbid flow of books and articles
from the pens of Hitler's generals, by their tales of the charms of life
on occupied territories, and by numerous pamphlets and articles describing
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how delightful atomic warfare is, and even by arithmetic problems in
school books, Ruge, remembering the exploits he performed while close
to Doenitz* is demanding the conversion of the Baltic Sea into a base
for operations. The West German journal of military theory, Wehrkande9
edited by the former General Staff members Kammhuber and Ruge, declares
that all means pre good in "the struggle against the East" and that
there is no difference between "legal" and "illegal" methods of waging
war,
In describing the careers of the West German generals, some military
theoreti44ns of Greet Britain and France, as well as of the United States
-- for example, Fuller, Liddell Hart, or Wheeler-Bennett note only one
part of their "military experience", namely, their "eastern experience".
They are silent concerning the other side of their activities, such as,
for example, that Heusinger prepared not only the "Barbarossa plan", but
also the "green", "yellow", "white" and other plans of Hitler's General
Staff, according to which the first blows were to be directed not against
the East, but against the West. As for Speidel, this general, with
"experience" gained in the North Caucasus and the Ukraine, was again
transferred to France, where he was Chief of Staff of the Western Group
of Hitler's forces, and Kammhuber, as we have seen, was one of the organ-
izers of the terroristic air attacks against Great Britain. That the
"eastern experience", has not been forgotten is shown, for example, by
the following statement made by Strauss, which appeared in the press
throughout the world: "The road to the German East leads through Paris
000
The West German generals proudly tell of their adherence to the
"old traditions". The traditions of German militarism are well known.
They consist of preparing aggression everywhere, in Heusinger's words,
"there is the opportunity". The re-arming of West Germany is creating a
danger spot again in central Europe which represents a threat to the
peace and security of all the peoples of Europe. This is why the strug-
41e against the rebirth of German militarism is a struggle for the pres-
ervation of peace in Europe.
The German militarists are undoubtedly masters of both "eastern"
and "westerniand various other kinds of experience in launching aggres-
sive wars. But there is one kind of experience which they do not wish
to take into account. They are stubbornly ignoring the lessons of
history. However, history moves forward, and today the situation in
&rope and the whole world is radically different from that in which the
first and second world wars broke out. And if the militarists are for-
getting this, the peoples understand this very well. The unity of the
forces for_peace, their solidarity, and the decisiveness of their
actions is a warranty that the sinister new plans of German militarism
will end in failure.
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Leader of the German Revenge-Seekers A. Galkin
A man with a stone face and long, equine teeth, casually leaning
against the railing, stands on the platform and, wearing a tired, bored
expreasion, watches the ranks marching before him. From time to time he
phlegmatically raises his hand in response to cries of greeting. His
face has the contemptuous smile of an important man who is accustomed to
praise. His black civilian suit fits him closely, like a military uni-
form.
At the base of the platform, masses of people are milling about.
Gray uniforms. New squeaking leather straps. Gay cockades. Haughty
and evil faces. "Hoch!" "Heil!" The Fascist hymn rings out, "Today
Germany is ours, tomorrow the whole world". Lebensraum! Advances
What is this? The Fascist putsch of 1923? The burning of the
Reichstag in 1933? A Nazi meeting in Hitler's Sportpalast?
No This is 1956. It is the Federal Republic of Germany, a
routine assembly of the "Steel Helmet". Hitler and Goering are not on
the platform; they are long since dead. But the man in the black suit
was their associate. He worked with them to establish the aggressive
imperialistic Wehrmacht. With them he prepared for war. Now he is again
an "outstanding personality". He is the honorary president of the "Steel
Helmet". Over 100,000 soldiers of this union have given him their oath.
This man's name is Albert Kesselring -- a retired Hitlerite Field
Marshal.
The West German neo-Fascists have proclaimed Kesaelring a model
"German soldier". This doubtful praise did not come to him without rea-
son. Kesselring's path to the "heights" is marked by heaps of corpses.
Western Europe refers to him with burning and just indignation. When
they hear his name, the Italians turn white with rage. They well remem-
ber the times when his orders were posted in Rome and Milan, in their
cities and villages. Their style was laconic: death, death, death.
Not far from ancient Rome is a grotto of white tufa. At one time,
tourists liked to visit it. Kesselring's aides made the grotto a place
of execution. At his order, 335 Italians were shot here. Their "guilt"
was that they fell into the hands of their executioners.
There are many such crimes on the conscience of the retired Field
Marshal: 48 shot in Fondo Toce, 54 hanged at Trieste, 107 inhabitants
of Valle killed, 560 victims in Santa Anna di Stazzemal 1,830 old men
and women tortured at Marzabotto. Cruelty was the driving force of his
career. A professional soldier, he grew up along with the Reichswehr.
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It was in the 1920s. The German militarists were secretly rearming.
The army of professionals was changing into vast armed force. The prep-
arations for the establishment of the German air force was going on. In
1924, Junkers began the production of military aircraft. In 1925, the
first military air group was founded under the name "Aerial defense."
The unscrupulous and unprincipled officer had every means for advance-
ment. He climbed up the steps of a grand career in a majestic march. At
first he worked together with General von Seeckt. Then the forerunner of
Hitler, the Fascist general Schleicher, became his chief. Kesselring
reacted to the Hitler revolution of 1933 with enthusiasm, for the Nazi had
proclaimed a policy of brute military force and were openly talking about
revenge. This meant that he would have an opportunity to apply his
"abilities" ...
After 1933, Kesselring s advancement proceeded even more successfully.
The ambitious careerist was supported by his old friend Goering, who found
himself at the helm of power. "The Fuhrer himself" takes note of him. In
September 1933, he was still only a colonel. Six years later, he was com-
mander of the First German Air Force, and two years after that he became
a Field Marshal.
In his book, "Soldier to the End", Kesselring boasted of the trust
that Hitler put in him. According to his own words, this trust was
"wonderful". Hitler had every basis for this. He knew that the careerist
officer would undertake any crime at his order.
Kesselring was one of the creators of the theory of total air war.
The meaning of this theory was explained in an instruction report he re-
leased to his airmen:
"While circling over the enemy's cities and fields, you must crush
any feelings you may have within you. You must say to yourselves, 1These
people are not human beings since this term applies only to Germans.g
For thePirstGermanfidrFcrcehere are no so-called non-military targets, or
spiritual motives. Enemy countries must be wiped from the face of the
earth, and any resistance must be crushed."
In 1936, Spanish cities became the first subjects of the practical
application of Kesselring's theory. "This was an excellent opportunity
for the tactical and technical testing of our air force", the Hitlerite
Field Marshal cynically wrote later. Then it was the turn of the British
capital. The aerial armada commanded by Kesselring undertook the "Battle
of Britain". One of his books includes a photograph from this period:
Goering and Kesselring are accompanying the first group of aircraft flying
their deadly freight to London. Both have satisfied grins on their faces.
"I shall wipe the British cities off the face of the earth," Hitler de-
clared at that time.
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During the first months of the war against the Soviet Union,
Kesselring commanded the air fleet covering the advance of the central
group of Fascist forces. The direction of the attack of this group was
Minsk-Smolensk-Moscow. Operating in advance of the movement of the
Fascist divisions, be sought to convert central Russia into a sea of
ruins. Kesselring is immediately responsible for the deaths of thousands
of residents of Minsk during the bombardments of June 1941. It was his
aircraft that burst Upon Moscow during the grim autumn of the first year
of the war.
In October 1941, Hitler moved his favorite still another step for-
ward; he appointed him "Supreme Commander of the Military Forces of the
South", which amounted in essence to his being Hitler's viceroy in Italy.
During the remainder of the war, Kesselring was almost the unlimited
master of the German South. Hut in May, 1945, he surrendered together
with his troops ...
May, 1947. Sunny Venice. The ancient law building. On the defend-
ant's, bench --the criminal.
The British Military Court is trying the former Field Marshal
Kesselring. The prosecutor is reading a long list of crimes impassively
and unhurriedly. The defense lawyer tries to fall back on the rights of
an occupying power. The defendant is silents, gloomily staring at the
floor. He is afraid that they will see in his look his hatred and scorns,
and his regret that he did not kill, destroy or torture enough.
The court solenInly announces the death penalty. It seemed as if
justice had triumphed and that the criminal had been condemned.
But in reality mysterious forces behind the scenes stepped in. The
American authorities protest; Kesselring may be of value to them. Two
weeks go by. ,egotiatIons take place behind the scenes. Finally, it
is announced from London that the death penalty has been rescinded. But
Kesselring is no longer to be free. He will forever sit behind bars.
In October, 1947, the criminal Field Marshal was put into the prison of
Werl.
There are various kinds of prisons: some are better and some are
worse. The prison where the Field Marshal whiled away his time was a
sanitarium-prison. The room was sunny, the door opened into a small gar-
den. There were a doctorf, a nurse, a servant and a cook. His food allot-
ment was better than thai, of the average German. Books, newspapers, paper.
And, finally, long leavei on parole. Kesselring spends one such leave at
;toracofi'.t on the shores of Tegernsee, another at the Bavarian resort of
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The man sentenced to life imprisonment calmly comes and goes as he
wishes. The future does not disturb him. He can already see the begin-
ning,of the sec9nd stage of his career. Publishing houses in eager
rivalry propose that he write books. The Bavarian authorities invite him
to accept a good place in a,government office. And finally the criminal
is elected the Honorary Praident of the "Steel Helmet". In the first an-
nouncement of the "Steel Helmet", it is stated that Kesselringls name
should become a "guiding star" in the struggle against the East. While
still in prisons Kesselring becomes one of the most influential individ-
uals in the Bonn government.
The "Steel Helmet" is not merely a soldier' organization. It is the
traditional guard of German imperialists. Established in November 1918,
by the manufacturer Seldte, it drenched Germany in the blood of workers.
The shootings of 1918, 1919, 1920 and 1923 were the work of the "Steel
Helmet".
In 1929, the "Steel Helmet" joined forces with the German Nazi
Party. Its military units participated in Hitler's pogroms. Jointly
with the storm troops, they smashed labor unions and killed democrats.
Then the "Steel Helmet" was merged with the Nazi military units, and the
union's leader Seldte became one of Hitler's Reichsministers.
Reborn in 1951 and lavishly provided with contributions from the
Ruhr magnates and bankers, the "Steel Helmet" grew like yeast. Its
membership soon exceeded a hundred thousand. The Schroeder Bank at
Cologne, the German branch of an Anglo-American banking firm and one of
the most influential members of the Cologne banking clique, took it
under its patronage.
It was clear that the President of a union of this type would not
stay in prison for long. That is what happened. A few months after
hie election, Kesselring was free. In his very first speech he called
for educating West German youth in a soldierly spirit, and demanded the
establishment of a "regular army of soldiers with war experience in the
East".
At one time it was said of the French nobility in exile that they
had learned nothing and that they had forgotten nothing. Of Kesselring
it may be said that he learned nothing and is trying to forget every-
thing. He wants to forget the days of surrender, imprisonment, and the
trial; he also wants to forget the two weeks that he was expecting to
be executed. He thinks that he can begin over again.
"Ky future is in my past", he declared cynically to reporters upon
accepting the position of President of the "Steel Helmet". "Is it worth
making a fuss over such a trifle as a couple of executed civilians?" he
said with a smirk when reminded about his atrocities.
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"The only thing 'I fear is the rebuke of history that I did not make
full use of the tactical capabilities of our army because of too great a
feeling of humanity", he insolently declared at a "Steel Helmet" meeting.
The present plans of the retired Field Marshal are quite extensive.
His first goal is the full rebirth of the military might of the war lead-
ers. Kesselring wants the West German Bundeswehr to be established on
the model and in the likeness of Hitler's Wehrmacht.
"The true soldier has nothing in
in uniform", he writes in the leading
newspaper, Deutsche Soldatenzeitunq.
recommends Hindenburg, Ludendorff and
common with the so-called civilian
organ of the revenge-seekers, the
As examples of "true soldier," he
Rommel to the young men.
"The S. S. division6 had members with the purest German blood.
Therefore the soldiers of these units should not be ostracized. We ca
not get along without them in the creation of a new West German force".
These words were spoken by Albert Kesselring in November 1954, on the
British television. And two years later, in full accord with his will,
the doors of the Bundeswehr were opened wide for S. S. officers.
Kesselring dreams of the day when the aircraft of the German mili-
tarists will again rule the skies of Western Europe. These dreams are
being brought into reality by his closest associates, who are playing an
important role in the War Ministry, Lieutenant General Kammhuber, head
of the Aviation Department, is well known as an admirer of Kesselring.
The twenty air regiments which are being established in West Germany
are only the beginning for Kesselring. He well remembers that when
Goering undertook the rebirth of the "Luftwaffe" he had much fewer planes.
For the time being, Kesselring has no official duties at Bonn This
permits him to be completely frank. He talks much about a new war in the
East. At the same time he gnashes his teeth at the West. In July 1953,
his union's journal appeared under the heading "We Want a Victory-Over
France". Not long before, Kesselring wrote in an article on the war in
the Mediterranean Sea that the sea "remains a longed-for dream for the
Germans ... since it opens the way to markets." Germany "should not only
defend itself, but should attack," the ex-Field Marshal frankly stated in
his book, Thoughts on World War II. "I am certain that Germany's troop
resources Millreceive due recognition", he said at a regular meeting of
his supporters in September 1956.
Of course, it is harder for Kesselring and his associates to act now
than it was in the past. The bitter experience of Hitler's dictatorship
had its effect on the majority of the German people. The "Steel Helmet"
and its ideologists are opposed by millions of active fighters against
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Fascism in any form. However, it would be dangerous to fail to see that
Kesselring and people like him are becoming a substantial force. Over a
thousand military "associations" in the Federal Republic of Genially, .
actively supported by West German monopolies, are daily and hourly prepar-
ing the ground for a new war and for a bloody revenge.
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Master of Black Deeds A. Galkin
.During the memorable days of 1945, when the nations were rejoicing
over the end of the bloody war and the liberation of Europe from Fascist
tyranny; a group of German officers surrendered to an American advance
unit in Bavaria. In their appearance and conduct they were strikingly
different from the tens of thousands of their colleagues who were demor-
alized, shabbily dressed and had lost that snappy appearance which
Wehrmacht officers were once so proud of. These prisoners, carefully
shaven and in immaculate uniforms, acted as if the defeat of the Hitlerite
army in which they served had not affected them. The group was headed by
a lean, balding man in a Lieutenant General's uniform. He immediately de-
manded that the entire group be sent to the staff in charge, since, he
declared, he and his subordinates could provide the American command with
information of extraordinary importance. When the General gave his
name, it made quite an impression.
General Reinhard Gehlen was well known to the heads of the American
secret service. In Hitler's General Staff he headed the "Fremde Heere
Ost" ("Foreign Armies of the East")Department, directed the spy service
in Eastern Earope, and was one of the greatest masters of espionage in
Hitler's Reich.
Here is what the West German newspaper Aachener Nachrichten says
about this episode: "During the 1945 catastrophe, General Gehlen fled
to the West, taking extremely important secret documents with him. He
managed to save many top secret lists of German agents operating in the
Soviet Union. His ideas made a strong impression upon the heads of the
American intelligence, as did the materials which he turned over to
them."
Gehlen was sent to the United States capital, Washington, in a
special aircraft. He did not remain there long; when all the plans for
creating a new spy system at the service of the United States were ap-
proved by the Pentagon, he was brought back to West Germany.,
Thus Gehlen's career of espionage began. He was serving the
United States of America. "The Americans were delighted with his work,
and willingly permitted him to increase the number of his workers and
to expand his sphere of activity," Aachener Nachrichten said. "The
Americans paid all expenses."
"Gehlen received much praise both from his American patrons and
from the Bonn Government for the reliability and accuracy of his
espionage data" the American journal, New Republic, stated.
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At first, the work of the Gehlen "bureau" was directed inwards; the
American authorities in West Germany needed people working for them in
all the units of the political, social and administrative system.
The nature of the work of these people is shown by the admission
which a British radio commentator once could not help bursting out with;
he called Gehlen's service "political 4ynamite". "The Gehlen network in
West Germany is a tremendous hidden force", this commentator wrote. "It
has confidential agents in all the German government bureaus, in the
police, the newspapers, the radio stations, the labor unions -- every-
where."
Soon, however, the tentacles of the Gehlen service reached out beyond
the boundaries of the FRG -- into the German Democratic Republic and other
socialist countries.
After the failure of tae attempts to launch a Fascist putsch against
the GDR on 17 June 1953, the press of the German Democratic Republic came
to the unanimous conclusion that these events were the work of the service
of the American agent Gehlen and was the fruit of their criminal activity.
This activity was described by Gehlen's agents themselves -- either
when they failed in their work and were exposed, or repented and gave
themselves up.
First a spy network, consisting of hundreds of agents and informers,
was exposed within the German Democratic Republic. Then came failures
of agents in Czechoslovakia and Poland. The public of the socialist
countries exposed their intrigues. Spies who were arrested were suffi-
ciently talkative; they did not feel it was necessary to maintain silence
concerning their chief's secrets.
The evidence given by these agents and published in the democratic
press provided a clear picture, permitting one to judge what the Gehlen
organization represents.
Acting as an ally and agent of the most reactionary United States
circles, the extensive apparatus of the Gehlen espionage and sabotage
service was organized in the likeness of, and on the same principle as
Hitler's military intelligence service, "Abwehr". Hitler's general saw
far into the future; he foresaw a time when his service would become an
important unit in the system of the German movement for revenge, would
free itself from American sponsorship and would convert itself from a
servant and an agent into a partner with equal rights.
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How is the Gehlen system set up? The General himself and his closest
associates make up the "administrative staff", located at a luxurious villa
at the Starnberger See, not far from Munich. Directives go from here to
the offices of the Central Administration (general directorate) located at
Pullach -- a town net far from the capital of Bavaria.
Like the former Central Administration of the "Abwehr", the General
Directorate consists .Q the basic branches: First (espionage), Second
(wrecking and sabotage) and Third (counterintelligence). Each branch is
sub-divided inte divisions. Thus, the First Branch has a Division of
Military Espionage (including the Infantry, Naval and Air Sections), a
Division of Economic Espionage and one of Political Espionage. In addi-
tion, the frame-work of the General Directorate includes a number of
autoPomo4s auxiliary divisions: operational and administrative ones,
schools for the preparation of agents, a courier communication service,
etc.
,Outlying Chief Branches, located in various Lander, are subordinate
te the General ,Directorate.. Their structure is completely identical
with that .g the Genera .rectorate, The next level of the Gehlen
orgahization consists of the District Branches. The latter have juris-
dictien,over,branches scattered everywhere. The sub-branches deal with
the chief agents or with groups of agents connected with them.
The Gehlen service, wrote the American journal New Republic, has
all the means at its disposal which are known to an intelligence agency
of werldrwide scope, from petty informers to underground radio transmit-
ters, from secret research laboratories to spy schools and scientific
centers,in which highly qualified scientists and specialists carefully
analyse printed materials published in all the languages of the world.
Of course, not one of the numerous subdivisions of the Gehlen spy
system calls itself by its true name. They are all camouflaged as
commi4rOal firms or ind4etrial and economic organizations. Thus, the
General Directorate at one time presented itself as the "Herzog Company".
One of the principal branches used to camouflage itself under the name
nHase Company". The West Berlin Branch, "X/9592" operated as the
ItNorland Company". The group for the preparation of false documents
used the conspiratorial name of "Swabian Industrial Representativesn.
,The namsa ef those who work around Gehlen are kept strictly secret.
The villa neer Muniph where his "administrative staff" is located is
surrounded by a barbed-wire fence and is carefully protected by watch-
men. For thirteen years, the General has carefully avoided the lenses
of a camera. His latest photograph, dug up by indefatigable reporters,
dates from 1944.
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Despite the strict secrecy, some data has gotten into print concern-
ing the personnel of the General's service. It has become known that
Gehlen has surrounded himself not only with former intelligence agents
from the General Staff, but with all the scum of Hitler's spy system who
survived the collapse of the Fascist Reich. He has hired a number of
workers from the Gestapo, the special purpose units and the S. S. "Reich
Security Administration". The spy-general's closest adviser is a certain
Fritz Panzinger, formerly head of the Gestapo in the Baltic Republics
while they were occupied by the Fascists. The courier service is headed
by General Kleikamp, former personnel chief of Hitler's General Staff,
The Chief Branch of the Gehlen organization in Karlsruhe is under the S.
S. member Leidl. Branch "X/8970" is headed by the Hitlerite spy, Major
Gartner.
The basic offices of the Gehlen spy service include 4,000 experts
on military and political affairs. This does not include the army of
many thousands of agents scattered in various countries, all the way to
the Near and Middle East.
In the spring of 1956, the American authorities transferred
Gehlen's agency to the West German government. The head of the agency
received the civil service rank of Ministerial Director; he is now
subordinate to Chancellor Adenauer through Globke, head of his per-
sonal chancellery. The Bonn budget for the 1956-1957 fiscal year
earmarked 23,000,000 marks for the maintenance of the Gehlen organiza-
tion.
While outwardly and formally the Gehlen service is no longer con-
nected with the American authorities, close contact between them is
doubtless being maintained.
The Gehlen organization is the most extensive espionage and sabotage
network operating in West Germany in the interests of the forces seeking
to block the establishment of confidence in international relations --
namely, the reactionary circles of the western powers and the Germans
seeking revenge. There is also an Intelligence and Counterintelligence
Branch under the War Ministry of the Federal Republic of Germany. But
this espionage organ is merely a subsidiary firm of the Gehlen spy com-
pany. At one time this branch was headed by Lieutenant Colonel Heinz,
super-spy and saboteur of the "Brandenburg" units of Hitler's "Abwehr".
He tried to maintain some independence from Gehlen, but these attempts
only led to his being dismissed at the end of 1953. His successor,
Major Oster, also showed some obstinacy. Consequently, in the spring of
the following year an immediate agent of Gehlen's, Lieutenant Colonel
Wessel, was placed at the head of the Intelligence and Counterintelligence
Branch of the War Ministry.
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Gehlen has also taken into his own hands a third secret service in
the FRG -- !'the Administration ,for the Protection of the Constitution".
For a long time the assistant chief of this agency was Radke, a Gehlen
agent. In 1954, Radke became in reality the chief of the agency and
since then it has basically been one of the units in the Gehlen network.
It is known that in West Germany there are many other smaller intel-
ligence agencies and espionage organizations. Espionage and sabotage are
being carried out by the so-called "Investigative Committee of Free
Jurists", "The Group for Struggle against Inhumanity", ulhe Consultantsg
Bureau_for.the Defense of Enterprises," and others. ,The West German
Mittelhayerische Zeitung has counted tens of intelligence centers in
'West Berlin alone. If, for the sake of caution, this figure is cut in
half, it would still be an impressive number. All these spy groups, units
and centers work for Gehlen and his agency.
The General Directorate of Gehlen's service also has specialists on
espionage against the West. The well-informed West German newspaper,
Westfalische Rundschau, once remarked that "the activity of the bureau
FM; riF-TETTOT-merGerman officer Gehlen is not directed at the East
alone." The newspaper had a substantial basis for this statement. Ac-
cording to the admission of the Nazi spy and saboteur Skorzeny, before
the Fascist forces withdrew in 1944 the German intelligence set up
secret caches of arms and sabotage equipment all over Western Europe.
There is reason to believe that the data on these caches are held by
this Gehlen at the present time.
It is known that, in the past, Gehlen's representatives were espe-
cially active in recruiting agents among the workers of the administra-
tion of the French High Commissioner in Germany. In Strasbourg, in the
so-called "Free &rope College", where spies are trained for work in
countries of the East, the Gehlen service -- under the very noses of the
French autherities -- organized a group to instruct agents specializing
in problems of Alsace and Lorraine. According to the West German weekly,
Deutsche Woche, this service regularly prepares secret summaries on the
situation in rrarce and Switzerland.
"Reports have been received," writes the American journal, New
Republic, "of evidence of increasing activity of the Gehlen organiza-
tion rom such remote places as Hong Kong, Stockholm and Madrid. The
French were particularly disturbed by reports indicating that Gehlen
agents were operating in their country."
New tasks face the Gehlen organization with the inclusion of West
Germany in North Atlantic Treaty Organization, the creation of a West
German Army for the purpose of revenge, and the related increase in the
proportion of German militarists in NATO. The Bonn organizers of this
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army so far have not announced openly their goals of obtaining the domi-
nant role in west Europe -- this would be premature and would merely have
alarmed their present-day West European partners. But in Bonn, quite
extensive consideration is being given not only to the problem of the
forceful annexation of the German Democratic Republic, but also, for
example, to an anschluss with Austria.
A special Austrian division of the Gehlen service is promoting the
goals of secret preparation, planned for many years, for an anschluss
with Austria. This division is called "Slid" (South), and has strongholds
in Salzburg, Linz, Graz, Klagenfurt and Vienna. As is the case in other
units of this service, the personnel of the Austrian branch are recruited
from "specialists" with a Nazi background. One of the leaders of the
Austrian division is Wilhelm Hoette, formerly an associate of Kaltenbrunner,
chief of the Gestapo.
In particular activity was shown by the Gehlen German-American espio-
nage network in Austria during the counterrevolutionary putsch of the
Horthyite underground in Hungary. Austria became a transfer point for the
deployment of persons and armaments to support the armed action against
the popular democratic system in Hungary. The Gehlen service, operating
in close contact with the United States intelligence, undertook to organ-
ize this deployment jointly with other imperialistic intelligence agencies.
In West Germany people speak openly of Gehlen's participation in the
events in Hungary. It was this agency that sent hand grenades disguised
as canned goods from the Federal Republic of Germany to Hungary.
The White Book of the Hungarian Workers' and Peasants' Revolutionary
Government also mentions the sinister role of the Gehlen service in the
preparation and execution of the counterrevolutionary putsch in Hungary;
this book exposes the dark activities of foreign imperialistic spy serv-
ices. Even the American newspaper, New York World Telegram and Sun,
citing informed diplomatic circles, acknowledged that the Gehlen intel-
ligence service played a significant role in the putsch in Hungary.
000 The foreign press, seeking to create an air of mystery around
Gehlen, called him a "man without a face". This, at the very least, is
not exactly accurate. Gehlen and his bosses have a face. It is the face
of the German striving for revenge; its savage fangs are well known to
millions of people from the quite recent past.
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Shadow Over Eurone
N. Gribachev
The western propaganda sextons are swinging their censers of ink,
driving away the devils of doubt, while the godfathers and nursemaids of
"Euratom," "Eurafrica," "the European Common Markets and other prodigal
sons of a prodigal policy are lobbying in their parliaments to have the
christening take place with due decorum and particularly without any
special noise from the street. Everyone is so busy with this that even
the thin flow of news from the Bermuda Islands, insipid as it is, is
smeared over the newspapers without the usnAl affectation and official
optimism. What is the matter?
Hans Speidel, the Hitler general who has collected lumps on his
forehead in the Caucasus, Voronezh and Belgorod, is being seated in the
saddle as Commander-in-Chief of NATO Infantry Forces in central Europe
and is riding into Paris on the black horse of American policy toward
Europe. Tomorrow he will pick up the reins and pull on them2 he will
assume adignified air, and the French and British soldiers, officers
and generals will march off under their new command 'Erns, zwei2
drei...." The goose-step for the proud Britons, the barracks at Bonn
for the freedom-loving Gauls. The ghosts of all the generations of
German militarists are crawling out on their tombstones, giggling and
clapping their hands; the new players and the living seekers of revenge
are Snatching a tremendous military and political prize at the cost of
the fall and belittling of British and French authority.
Row can it be any different, if yesterday's loser is giving orders
to the victors, if no general remotely suitable can be found to command
their own troops among the British or French who produced Nelson and
Napoleon, or if, speaking metaphorically, the Bonn goat Hans Speidel has
been appokm4ed to guard the garden of British and French interests. True,
all this took place amid the agitation and angry protests of workers,
especiPlly the young ones, who must now serve under the command of the
murderer of their fathers, brothers and fellow-citizens. But Speidel
himself, as reported by the British journal Picture Post is ignoring
this indignation with Swabian arrogance, and the British and French
statesmet have transoceanic blinkers over their eyes and have the tan-
gled cotton of Dulles promises stuffed into their ears.
It would be naive to think that history decided to exalt Hans
Speidel for his military genius; history cannot find anything like such
genius in his biography, even if it should undertake to examine it
through a Zeiss microscope. It would also be ridiculous to assume that
Speidel, who on two occasions, the first and second world wars, fired
at the French and British and was loaded down with medals by the Kaiser
and.by Hitler for this, has wept a tear of sorrow and has decided to de-
vote the remainder of his life to a lofty aim, i.e., organizing a well-
to-do life in the militaristic jungles for the French Little Red Riding
Hood and the aged British lion.
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The appointment of Hans Speidel? if one arrives at the essence of
it and discards the camouflaging phraseology, is the beginning of a new
game of war between Bonn and Washington, a game in which the troops of
the allies in the bloc are called upon to play the role of chess pieces.
Speidel turned out to be a suitable nomination for the position of com-
mander just because of his ability in playing, in conducting and weaving
intrigues and in putting others into jeopardy. It is no coincidence that
the journal Der Spiegel wrote, describing him: "His smooth cunning and
elegant deftness make him resemble rather a smart business operator accus-
tomed to success." And if anyone assumes that Speidel the nationalist
will use these abilities to the disadvantage of Bonn and Speidel the
revenge-seeker will use them to the disadvantage of Washington, to which
he is tied with only one string, such an optimist should have his tempera-
ture taken and told to see a doctor; he has the Atlantic fever with a loes
of the normal feeling for time and the surroundings.
liana Speidel, the son of a forester, was born in the idyllic village
of Metzingen, from which one may conclude that nature is not always con-
sistent; the offspring resembled neither his father nor his mother, but
turned Out to be a Prussian youth. When World War I began, Hans Speidel
wa$ still sitting on a school bench, but soon got away into the field
army with the rank of a Junker; he understood that in the muddy waters
of chauvinistic intoxication and war one could, with some skill, make a
good career for himself. That is what happened g he fought at Verdun,
on the Somme and the Maas as commander of a squad, platoon, and company,
and got away from the defeat as a regimental adjutant with crosses and
medals, but no wounds. His fellow officers found in him evidence of
great flexibility, not noting or noticing any other talents. Then things
went badly, the defeated army changed from one of many millione to one
of only a hundred thousand, leaving its haughtiness and gilt behind on
the fields of France and Russia. Then Speidel enrolled in courses on
history and economics at the University of Berlin and was awarded a
Doctorate in Philosophy cum laude at the University of Tabingen.
By the way, his dissertation, "1813-1924; a Military and Political
Study" resembled a philosophical work as muth as barracks language re-
sembles Goethevs poetry. "The cause of revolution is not in moral
strength, but in moral weakness, in the weakness of the people and the
government," wrote this new Panglose in lieutenant tls shoulderatraps,
unable to tell a goat from a cat-tail and assuming with the naivete of
a Junker that the world is ruled by a corporal's baton. "Into the
breaches made by the revolution, political parties flow in," these
"crowds of parasites on the body of the empire," he stated with the
naivete of a kindergarten student, mixing his fantasies with those of
Oswald Spengler and not understanding that every empire carries revolu-
tion around in itself, and that political parties, depending on their
claa$ nature, either help in the birth or else sffiother the new-born
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child. No one knows how much longer Hans Speidel would have played with
his philosophical toys and rattles and have sipped beer in the Ludwigsburg
Casino if the Reichatag had not burst into flames and if Hitler had not
slammed the door in the face of the International Conference on Disarma-
ment in 19,3, Without making a wry face and without spitting? the "Doctor
of Philosophy" swallowed his statements that parties are "crowds of para-
sites on the body of the empire" and went off to serve Naziism. Then he
made his first entry into Paris as an Assistant Military Attacher; he rep-
resented and personified, on the international scene, German militariza-
tion, which led to the torch-lit orgies of the S.S.; the pogroms, the
concentration camps, the fall of Paris and the ruins of Coventry. A
amall,bolt in a vast machine, Hans Speidel, urbane; self-assured and
crafty, was casting a large shadow of future calamities and misfortunes.
Speidel found himself in Paris a second time when Beck, Chief of
Hitler's General Staff, made a visit to his French colleague Gamelin.
This was a ceremonial bow before the dagger thrust. Then the war began.
Hans Speidel became a first officer of the General Staff, and a year and
a half later again, arrived in Paris a third time in order to propose to
the French general Dentz that he surrender the city without fighting.
He accompanied Hitler throughout conquered Paris to Napoleon's sarcophagus,
and in gratitude the frenzied Fuhrer appointed Speidel Chief of Staff to
the ComMander of the Occupation Troops in France.
Thu, every appearance of this "Doctor of Philosophy" in Paris led
?to sinister consequences for France. The urbane speeches of Hans Speidel
always turned out to be the howl of a dog at a fire. But at that time
the $04 o_the Metzingen forester was lowly in rank and was allowed to
play independently only with matches, and now, just wait, your American
daddy will give him an atomic bomb to play with also.
It 41.10t be Said that Hans Speidel conducted himself circumspectly,
leaving himself a way out in case the time came to settle scores. He
never protested against the mass executions of French patriots and hos-
tages, but he never put hi a signature on orders for executions unless it
was next to that of Keitel, Chief of the General Staff. This was a shadow
which left no traces,' Quietly, wearing rubber soles of caution, he passed
through the generals plot against Hitler which was then beginning to take
shapes. At Rommel's request, he established contact with von Neurath for
this purpose, brought Rommel himself together with the military commandant
of Paris, StUlpnagel? and conducted negotiations with Field Marshal von
Kluge.
And what happened?
Kluge was forced to shoot himself, Rommel took poison, and Strapnagel
was hanged. This was the cost of words and intentions which were not fol-
lowed by action. And what about Hans Speidel? He helped to tie and tighten
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the noose around the necks of his commanding officers, but when the decisive
moment came he managed to scramble to the side of the road. When Stillpnagel?
arriving from Paris, advised Kluge to surrender, to throw open the front on
the West, and at the same time launch a revolt against Hitler, Kluge was
hesitant: "Yes, if only the swine were dead." Smelling the odor of a soap
covered rope here, Hans Speidel wisely left during this conversation, and
later told the Gestapo: At that time I was in my office and was directing
military operations." It wasnot I, the horse was not mine....
Such is Hans Speidel -- a mixture of the idyl of Metzingen with Prus-
sianism, of a home-grown philosopher and an elegant nightingale with the
fox. He is the idol of the Philistines, who value resourcefulness more
than anything, along with the ability to create a career regardless of what
one has to offer, and he represents very mediocre human material from the
point of view of sound judgment. And to the extent that NATO is not only
a military instrument but even more a political one -- a transoceanic mas-
ter key to the independence, sovereignty and the economic positions of the
West European countries -- to this extent Hans is fully suitable for the
Americans. Evidently, Washington decided that the English and the French
are making the farewell to their glorious past unduly complicated and drawn
out; Hans Speidel will be able to make it shorter.
Of course, the British and the French would never have invented such
a plan themselves; it was the creation of their "senior partner." No one
in the world doubts that the Anglo-French team is playing in this big
political soccer match at Dulles' whistle and under the direction of Wash-
ington trainers. But having scored behind their awn goal-line, the west
European politicians are seeking to present this as a defense of their
own national interests -- to call a pig a carp -- and simultaneously, to
calm public opinion, they declare the innocence of Hans Speidel, painting
him as a poor blond Gretchen, deprived of her innocence by the mischievous
Adolf Hitler. It is true that at the end of the war, when everything col-
lapsed and the fragments of the third Reich were tumbling down upon the
heads of its creators and builders, Hans Speidel was in prison, where, in
the seemly company of people like him, he drank wine, smoked expensive
cigars and delivered speeches heretical to the Gestapo, and, during pauses
in these activities, would wash off the blood of Voronezh and Belgorod
collective farmers and French partisans and patriots. Even the British
and French lawyers are not so naive as to believe seriously that Speidel
and Hitler had any ideological differences at that time; the General
merely jumped overboard when he felt that the ship of the Reich, with
its insane captain, was sinking. The same course of action, as is well
known, is followed under similar circumstances by rats, but no one would
assign them lofty political motives for doing this.
Rather, the truth is at hand and simple.
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The appointment of Hans Speidel was an act of surrender of Anglo-
French policy to the Bonn-Washington axis. This old lady, the "tradi-
tional" Anglo-French policy, is so sick with fear of Communism that in
her illness she no longer feels what a. heavy hand her gray hairs are
being wound around. She is till fussing and withering in the Middle
East, not noticing that her sight is poor and that a new tenant is try-
ing to move in upon her sphere of influence with the aplomb of an in-
ternational Ostap Bender; she is enthusiastically murmuring the newly-
born word "Eurafrical" not realizing that it is merely a password to
let new colonizers pass the old French sentry posts. As soon as Hans
Speidel becomes seated more comfortably in his lofty chair in Paris,
one can speak in plain terms of how Anglo-French influence is fading
and waning throughout the world and how Anglo-French interests and aims
are falling underneath the steam-roller of the German desire for re-
ven e. Whenever Speidel has appeared in Paris, he has personified and
? tiled German aggression in the West, and it would be foolish for
the French to lull themselves with the hope that, in the present inter-
national climate, tea roses will be raised from nettle seeds. As ye
sow, SO Shall ye reap. All the more so, since the plan which Speidel
is to Put into effect now will be worked out at MATO General Headquar-
ters with the participation of the Hitlerite General Heusinger. This
circle of Hitlerite generals around the West os military command is not
yet complete, but it is significant that additional links are being
forged in it one by one.
And what is Washington counting uon in this situation?
There it is assumed that a "position of strength" policy will best
protect all the various monopolistic interests of the United States in
the world today, and this policy is proceeding in two directions. One
direction is that Pursued bY the United States in regard to its British,
French and other partners, this phase being more effective and profitable.
The other is directed, jointly with the defeated partners!, against the
countries of the socialist camp, although this phase does not justify
its expense, since there have not been any lambs for a long time which
have desired to be shorn in this area. Waahingtonvs best assistant in
these matters seems to be Bonn; here too the plans are belomIng moth-
emten and the Shears are being sharpened. Washington has to pay some-
thing for this, although at first not out of its own funds; the Ameri-
cans assume that the mildest lambs are grazing on the banks of the Seine
and the ThamesvQ..
Thus the German hireling generals are making their appearance in
the big international arena, and the British and French politicans are
throwing under their feet the interests of their own peoples and the
prestige of nations. Recently, after having boarded the American cruiser
"Boston," Hans Speidel expressed the hope that it is not yet too late to
create a "united Europe." Here everything is significant -- the place,
the speaker, and the text.
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Of cOnr?.e, we Soviet people are also disturbed to the depths of our
souls by Hans Speidel s appointment; since we are endowed with normal feelr-
ings, we are not accustomed to viewing with equanimity how honors are given
to murderers and how hangmen and tricksters are promoted to high positions.
We fully share the anger and indignation of the patriots of France and
Great Britain and of all the honest people of Europe. Bat we have no fear
Of,thc,fangs bared at us or of the atomic cigarette-lighters which the
Americans are already supplying to Speidel.
The shadow of Rens Speidel as he enters his duties falls primarily
across_ Western Europe* And this shadow is unmistakably of a dirty brown
color*
FRANCE
,"France seems weak and in decline only
because of the policy of renouncing its na-
tional rights, a policy which its 'European'
and,!Atlantiel governments are carrying out
in all fields." -- M. Thorez
Politics and Profits N, Molchanov
In Paris, under the shelter of the Arch of Triumph, lies a heavy
brass plate on the grave of the unknown soldier. An eternal flame burns
here day and night. This place is sacred to every French patriot.
Official ceremonies take place here. Almost always wreaths lie on the
grave -- a monument to the courage of the nameless heroes of France.
This monument is a symbol of the heroic and tragic history of France.
During the last two centuries she has suffered more from war than any
other west European country. France has undergone the invasion of Ger-
man troops three times. The invaderls heel has repeatedly trampled upon
the soil of Paris after capture by aggressors,. During the First and
Second World Wars, France suffered great looses. While the United States
lost 245,000 dead during the second world war and Great Britain 325,000,
France lost 802,000. Here in nearly every city and village rise memor-
ials to the dead of these two world-wide massacres.
The majority of Frenchmen hate war and ardently desire peace. How
are the rulers of France translating this sacred desire into reality?
The country was still healing its wounds from World War II when it was
drawn into the aggressive military blocs of the western powers. While
rusty war scrap was still being gathered from the former battlefields,
the ruling circles of France started a new armaments race. France be-
came one of the active advocates and participants in the aggressive
policy of force followed by the United States government. How could it
happen that 43,000,000 Frenchmen, who had suffered so much from war,
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found themselves again prisoners of an adventurist policy which threat-
ened them with new and more frightful calamities? Who in France needed
_ .
war?
To the misfortune ot the French, the post-war policy of their coun-
try, as before, proved to be under the definite influence of the forces,
behind the scenes which had repeatedly driven it into military adventures.
Several decades ago these forces were vaguely termed the "money wall,"
in the 1930us they began to call them more concretely the "200 families";
now they are known with complete precision under the official title of
the National Council of French Management (NSFP). The French newspapers
often refer to it by the short word, sounding like the dull crack of a
rifle, natronat.
Of course, in France there are no special laws assigning decisive
power over its government activities and policies to the representatives
of the financial and industrial oligarchy. Ingenuity and cleverness has
been used in masking Francens subordination to monopoly capital, which
has gained huge profits from wars and preparations for war. The public
is far from knowing everything. Nevertheless, information published at
various times in the foreign press reveal the sinister role of the French
financial and industrial magnates.
The National Council of French Management is the secret but the real
ruler of Fiance., "While Parliament is divided into numerous factions,"_
wrote the American journal United Nations World,, "the NSFP pursues its
goals with a nn.i'ty'Ofpurpose which?, to use the words of one deputy,.
'would have been admirable if its goals were more admirable.'
The NM ii an organization uniting the French employers and is the
only organization authorized to represent them all. The National Council
of French Management has its "private" cabinet with some resemblance to
the ministries of economics, labor, and foreign affairs. It has a bicam-
eral epaliaie?t1 a committee of 120 directors which meets once a month,
and i general assembly of 500 members which meets annUally.
The president of the organization is that noted representative of
the French monopolies, Georges Villiers. He heads the Council,, consist-
ing of twenty-two directors representing the largest monopolies in the
country. This Council, which the French press calls the "real govern-
ment" of -h.ance, meets once or twice a week in the headquarters of the
NSF? on Pierre I de Serbie Street in Paris. The following fact elo-
quently describes Georges Villiers' political complexion. In 19429 the
Vichy governMent appointed him mayor of Lyons in place of Eduerd Herriot,
who was thrown Into a concentration camp.
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A000rdirg to the American press, the NSFP has a "secret fund," amount-
ing to ten or twelve billion francs. It is raised from the contributions
of big industrialists. The majority of French bourgeois parties draw their
funds from this "secret fund." At first the principal recipients were the
Republican Peopleos Movement (MRP) and the socialists; then the radicals
enjoyed the generosity of the fund, and since 1951 a large part of its
money has gone, in addition to the MRP, to the extreme rightist political
groups (the "independents," the "moderates," etc.). The fund is managed
by the "Office of Administrative and Economic Research" (Paris, 3 rue de
Penthivre). It is known, for example, that during one of the recent
electoral campaigns more than a hundred right-wing deputies received a
billion francs from the "secret fund."
The French patronat has its henchmen in all the bourgeois political
parties, in Parliament and in the government.
One of the most influential bourgeois parties in France is the
Radical Party. Among its leaders are representatives of the largest
banks and industrial firms. Here are some of them: Rend' Mayer? repre-
sentative of the Rothschild group and former president of the large bank
Banque Rothschild Freres. He participates in the management of over
twenty large trusts and insurance societies. Rend Mayer held minister-
ial posts in several post-war governments. Henri Queuille is the repre-
sentative of the Durand Electric Engineering Trust. He has been a min-
ister and prime minister several times. Bour&s-Maunoury is the general
manager of the armament-manufacturing Marrel Frk.es Company, which is
connected with the banking house of Mirabaud; he was Minister of National
Defense in the Guy Mollet government and a minister in a number of earlier
governments. In 1957 he was even Prime Minister. Senator Borgeaud is a
member of the boards of directors of several mining and industrial com-
panies, part of whose capital is invested in North Africa.
A leading role in the political life of post-war France is played
by the Catholic party, MRP. The connections of the leaders of this
party, which promotes an extremely reactionary and militaristic policy,
are also very typical. The president of the party until 1953 was Maurice
Schumann, closely linked with the large French banks and with American
capital. Robert Schuman, who was Minister of Foreign Affairs for many
years and twice occupied the post of Prime Minister, is close to the
Franco-German industrialist family of de Wendel. With the assistance of
Francois de Wendel, Schuman was first elected to Parliament in 1919. He
was a member of the Vichy government. One should also mention such well-
known figures in the MRP as Andrd'Debr4, one of the directors of the
Paris-Netherlands Bank; Jean Letourneau, one of the owners of the coal
mines in Morocco and allied with American banks, and who was Minister of
the Annexed Territories from 1949 to 1953; and Pierre de Chevigny? rep-
resentative of the Mirabaud Bank.
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At the extreme right of the reactionary political parties are the
so-called "independents.? The capital belonging to the president of the
National Congress of this party, Roger Duchet, is invested in industrial
enterprises in the French colonies. One of the independent leaders, the
former Prime Minister, Joseph Laniels is a big industrialist) a leading
textile manufaeturer and is allied closely with electric engineering
firms. Antoine Pinay? Prime Minister and Minister of Foreign Affairs,
is a big leather manufacturer. A typical detail %' when Pinay became
Prime Minister in 1955, the price of leather went up by fifty percent.
Among the moderates is the so-called Peasants Party. The president
of the party is Paul Antier? a large land-owner. In 1940 he was among
those who urged turning power over to P4tain.
There are also a number of representatives of banks and industrial
companies in the Social Republican party (De Gaullists). One of its out-
standing figures s Pierre de Gaulle, brother of General Charles de Gaulle,
is the President of the Union Parisibnne Bank, closely allied with the
Schneider Armaments Company. General Chaban-Delmas has very close links
with large publishing and book-trade firms.
We have named here only the better known of the French politicians,
who are playing a prominent role in parliamentary and political life.
We should add to them numerous less known direct representatives of the
monopolies who have seized the government machinery of the French Repub-
lic. Among the responsible officials of the French Ministry of Foreign
Affairs are many financiers and industrialists. Once the general secre-
tary of the Ministry was even Francois Charles-Roux, the chairman of the
board of the notorious Suez Canal Company. The chairman of the board of
the French branch of the Bence di Homes Jules Laroche) has long been one
of the leading figures in French diplomacy, DvOrmesson, the Ambassador
to the Vatican, is a close relative of the big bankers, SeillAre. Henri
Franvois-Poncet? until recently the French Supreme Commissioner in West
Germany) is a brother of the general manager of one of the trusts in the
de Wendel group. The representative of FranT,e in the NATO Council, Herv4
Alphand, Ambassador to the United Statess is closely allied with the heavy
industry magnates.
This list could be continued further. But the examples already given
are sufficient to convince one that the French menopolies hold in their
hands the principal levers in the French political manhine. In addition
to direct personal representation, there are many other indirect ways of
making the government subordinate to monopoly capital.
That is the policy which these rulers of France are foisting upon
the country? In the area of internal affeirs, it amounts to protecting
the interests of the monopolies, preserving high prices and low wages,
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and continuously attacking the economic and political rights of the workers.
In the area of foreign policy, it is orientation upon the United States as
a principal bulwark in the struggle against democratic forces and the prepa-
ration for a new war. And all is subordinate to an unbridled pursuit of
profits "If it were possible to purchase all of France, they would buy
France from France itself" -- this remark of Cardinal Richelieu concerning
the French court aristocracy of his time could not fit the present policy
of the NSFPRs leaders more aptly.
The hidden activity and the real role of the French financial and
industrial bosses is no secret to many Frenchmen. The Catholic writer
Francois Mauriac has stated that the NSFP representatives "watch the
voting in Parliament from the public balconies." The deputies of the
bourgeois parties know that their masters are observing their every word
and their every vote. In June 1953, the former President of France,
Vincent Auriol, said concerning the patronatos activities: *Our democ-
racy will degenerate into anarchy if it does not defend the interests of
society from the coalition of egoism and cupidity which is trying to in-
fluence the French Parliament by such methods, as shameless as they are
scandalous."
This influence was the principal reason that French foreign policy
has been subordinate to the interests of the United States since 1947.
The French monopolists, frightened by the growth of the democratic forces
after the war, in order to preserve their profits, privileges and power,
decided to rely-upon a more powerful foreign imperialism, thereby placing
themselves in a relatively dependent position. The French economist,
Henri Claude, in his book The Monopolies Against the Nation, published
in 1956, writes % "Financial capital bears the responsibility for the
anti-national policy which has been followed since 1947. It was this
capital that sold national independence for dollars, traded in Frances
security, mortgaged the future of the nation, speculated in the very
destruction of the French people, and drove to its extreme limits the
policy of treason to the nation by preparing an atomic war; it is this
capital that represents the most anti-national part of the bourgeoisie."
In 1948, France signed a treaty with the United States on the
"Marshall Plan." By this treaty, France, in granting the United States
the right to interfere in its economic and financial affairs, began in
fact to follow a foreign policy corresponding to the requirements of
the State Department of the United States. In return, it received
American financial and economic "aid." The American credits and "gifts"
turned out to be in the hands of the large French monopolies. The
largest part was received by the large trusts: "USINOR?" "Sollac,"
"Ugine," "Schneider at Cie," and others. The "Marshall Plan" was a
strong support to the French monopolies, but it undermined French
sovereignty and foisted American policy upon it. The participation of
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France in the "Marshall Plan" was a clear example of the utilization of
the French government in the interest of the enrichment of the monopo-
lists and to the harm of the true interests of the workers.
In April 19494 France entered the aggressive North Atlantic Union.
This action drew her into the armaments race) foisted an aggressive
foreign policy upon her, and considerably increased her dependence upon
the United States, American troops were deployed upon French territory,
and extensive construction began of American airfields, military storage
facilities and other establishments. Forty Atlantic, Organization air-
fields were built in France, and 50,000 American officers and men were
deployed there. The French people were saddled with the heavy load of
vast military expenditures which, according to official, minimized data,
grew in France from 231 -billion francs in 1947 to 1,368 billion in 1956,
or more than six-fold.
But while the "Atlantic" pOlicy of Franc&a, governments has caused
and is continuing to cause great harm to the national interests of the
country, this policy is bringing enormous profits to the French monopolies.
After 1952, actual military expenditures amounted to between 1,,800-1,900
billion francs annually, or nearly half of the entire budget. Out of
this sum, according to French economists, between 1)100-1,200 billion
francs are spent for military orders placed with the most powerful trusts,
which make enormous profits from them. This is why the militarization of
the French economy and the policy of preparing for a new war is extremely
profitable for the financial and industrial oligarchy.
A state of war hysteria is also needed by the monopolistic circles
to reduce the standard of living of the working class.
After the American handouts under the "Marshall Plan" came to an
end, the French monopolies began to receive large sums within the frame-
work of the North Atlantic Organization on the basis of the so-called
"mutual security" system. American military orders with French military
companies grew from 818 billion francs in 2952 to 1272 billion in 1954.
These orders brought in enormous profits to such large trusts as "Forges
et ateliers du Crausot," "Brandt," "Tomson Houstonso' 4Dassault," and
others.
Official French propaganda, seeking to conceal such facts is strenu-
ously attempting to justify the "Atlantic policy?" the policy of war, on
the basis of the supposed "threat of attack." by the Soviet Union. Still,
the Soviet Unions sincere love for peace is now acknowledged even by
people who have views far from those of the Communists.
* * *
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A typical example of the complete disregard for the national interests
and open betrayal of them is to be found in the history of the powerful
family of French heavy industry magnates -- the de Wendels. Their ances-
tors came from Germany. In 1704, one of them acviTed metallurgical enter-
prises in Hayange on French territory. In the next generationy the de
Wendels established factories in Charlevilley Tulle, and Le Creusot. As
a result of the Franco-Prussian War of 1870, Lorraine was annexed to Ger-
many, placing part of the de Wendel enterprises in a different country.
Adrien de Wendel then exchanged his French citizenship for a German one.
Two great de Wendel firms were established, the French one and the German
one. Preparations for World War I permitted both to obtain enormous
profits from armament production. Deputy de Wendel was in the French
Parliament; his cousin sat in the Reichstag. The War of 1914-1918 did
not break thefamily ties of the de Wendels and the von Wendels. This
is shown by the following remarkable fact. The German Armyy, at the very
beginning of the wary occupied the de Wendel factories in the Briey valley.
These factories provided considerable assistance to Germany during the war.
And while they were located within range of the French artillery, the troops
were given the strictest orders not to fire at these factories.
The de Wendels also acquired wealth during World War II. When Hitler
occupied France, Frangois de Wendel sent him a letter in Which he assured
him of-his loyalty and promised him frill support.
At present, the de Wendel enterprises are operating at full capacity.
Their annual turnover amounts to 80 billion francs. The armaments rape
is bringing them enormous profits both in France and in Western GermallY.
In France, the de Wendels are called the "family of turncoats, !' that is,
people without a country, going over to the side more valuable to them.
Less important "turncoats" also exist, and maw- of them can be found among
the magnates of French monopoly capital.
* * *
With great power concentrated In their hands, the French monopolies
are shamelessly using the French government for their own mercenary in-
terests, This is convincingly demonstrated if one examines closely the
basis of French foreign policy.
The German problem occupies a leading place in French foreign policy.
After World War II, the French people determined to prevent a rebirth of
German militarism. But only five years later France had in principle
agreed to the restoration of the armed forces of West Germany. In 1954,
its representatives signed the Paris treaties on the rebirth of the
Wehrmacht. How is this line in French foreign policy explained? The
facts show irrefutably that the leading role in this reversal was played
by the mercenary interests of French monopolistic capital.
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The French monopolies have considerable investments in West German
industry. Conversion of this industry to military production promised
them vast profits. During the Hitlerite occupation of France, the Frenda
metallurgical magnates raked in enormous profits from armament production
\for the German Army. With the aid of the Paris treaties, they decided
to bring back those happy times.
But, in addition to the desire to profit from armament production
for the West German Army, the French monopolies are guided by another
consideration which is no le os important for them. They expect that
they will be able to compete with the West German monopolists in the
international markets; after all, much of the latteras efforts will be
directed toward rearming West Germany. he French 'newspaperman Albert-
Paul Lentin wrote in January, 1955: "French big capital regards the
Paris treaties as Corresponding to their interests on the whole, and
has therefore decided to support them and to sway in this direction the
French parliamentary deputies who are under their influence, especially
the moderates; it decided to do everything possible to build up a solid ,
parliamentary majority to secure the ratification of these treaties."
:This is why the news that the Paris conference had signed a treaty
on the rearMing.of West Germany caused, on 24 October 1954, a significant
rise in the stocks of the war industry monopolies on the Paris Bourse;
as well as on the New York and London 'exchanges.
Of course, France agreed to the arming of West Germany under the
press4re of the American ruling circles, capitalizing on the search of
the French monopolies for new sources of enrichment.
In this connection, the post-war history of the Saar problem is
typical. The Saar Region is small in area and popu1ation0 but its eco-
nomic potential is very large. The Saar annually produces 3,0000000
tons of steel and 17,000,000 tons of coal. After the war, the French
monopolies opened a vigorous struggle for the annexation of the Saar to
France. The United States and Great Britain supported Frances claims
to the Saar, demanding in return French support for the policy of re-
militarizing West Germany. The French monopolies took over the economy
of the Saar and acquired enormous profits thereby. Butafter having
obtained the agreement of the French rulers to the arming of West Ger-
many, the United States reversed its position: the Saar was again re-
turned to West Germany. Without concealing their intentions to seek
revenge, the German militarists are building up their forces.
French colonial policy is also subordinate to the mercenary in-
terests of the French monopolies. After World War II? the French
governments have been waging, colonial wars actually without interrup-
tion. The "dirty war" in Indo-China dragged on for eight years. From
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the beginning to the end, it was a war in the interests of the French
financial oligarchy. The net profits of twenty-five large French com-
panies whose operations were connected with Indo-China almost doubled
over a short period. Although the United States "aided" the French
monopolists with dollars in waging the war, more than twice the amount
was spent on it as was received by France under the "Marshall Plan."
In 1956, war broke out in Algeria? France concentrated over 400,000
troops here. Each day of the war has cost the French people a billion
francs and numerous lives. And all this was done to increase the profits
of the French monopolists, who are interested in maintaining colonial
rule in Algeria. Algeria is the largest consumer of French industrial
production. It has second place in French imports. In 1953, exports
from Algeria amounted to 107 billion francs.
Every facet of French foreign policy reflects the interests of the
French monopoly capital which determines .it. Let us take, for examples
the plan to create a "European Union" of six countries -- France, West
Germanys Italy, and the three Benelux countries, envisaging a gradual
merger of various branches of their economy, armed forces and finsily
the countries thempQlves into a "supergovernment." The "European Coal
and Steel Community" has existed for several years. In 1955, the sup-
'porters of a "united Europe" intensified their activity again. There
was talk of establishing a "common market" and of merging atomic indus-
try. Both these plans have the same political goal: strengthening and
unifying the closed military and political union of West European coun-
tries? But they are represented as being a means of achieving economic
prosperity and progress.
The authors of the plan for a "common market" claim, in particular,
that the markets of the six countries will be merged into one by the
abolition of customs. There is to be free competition. This will cause
a quick reduction in prices, from which the consumer supposedly would
benefit.
In reality, the policy of free trade wills as it always has in the
pasts establish the domination of the most powerful monopolies and will
destroy the small enterprises which are unable to compete The victor-
ious menopoliess as experience has shown, will then dictate monopoly
prices.
But the situation is even more serious if one takes into account
the economic situation in each country. And here one should first con-
sider France. The point is that French industry as a whole is less
profitable than, for example, that of West Germany; French goods are,
as a rule, more expensive than West German ones. As a result of his
stubborn struggle, the French worker has won higher wages and better
social welfare than the worker in West Germany or in Italy.
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What will happen when a "common market" is established? The weaker
enterprises will be unable to withstand the pressure of their competitors
and will go out of business. Wide-spread unemployment will result.
The owners of the enterprises which survive, seeking to lower the
prices for their products, will begin to reduce wages and to increase
the exploitation of the workers. The French economy will undergo a ser-
ious disturbance and will fall into decline and chaos. Who will gain
from this? It will be the monopolies of West Germany, which are sounder
economically. The "common market" will enable them to establish an undi-
vided domination over West Europe. "The German exporters," writes the
French newspaper Information, "have every reason to welcome the estab-
lishment of a common marketog As for France, the 'common marketg is a
deathly danger." a
Why then do the ruling circles of France insist upon the establish-
ment of a. "common market"? Here also the decisive role is played by the
interests of the French financial and industrial monopolies. It is true
that the plan for a common market is opposed by certain businessmen in
the light, chemical and machine-building industries. But the influential
iron and steel monopolies, which are already participating in the "European
Coal and Steel Community" and which have nothing to lose from a further
"liberalization" of French foreign trade, are fighting for the establish-
ment of a common market. With the aid of the "common market," the leading
financial and industrial monopolies in France hope to strengthen their
position in the world market. They will strive for price reductions on
their products by means of reducing wages and wiping out the social gains
of the workers.
A serious threat to the national interests of France is also repre-
sented by the atomic industry merger -- "Euratom.* In the opinion of a
French journal? France will become "the first victim of Euratom."
France has gone far ahead of the other participants in the develop-
ment of atomic industry. It has large reserves of fissionable materials,
is conducting considerable research, and has built an atomic electric
power station. Since "Euratom" is an organization of a, "national" nature,
it is threatening to violate French sovereignty in such an important field
as the atomic industry. The participation of France in "Euratom" will
increase her dependence upon the United States, since it will be under
American control. The atomic "pool" (that is, a "pot used in common"),
will give the German militarists the opportunity to produce atomic weapons.
All this will create a serious threat to the national interests of France.
Nevertheless; the ruling circles of France are striving for the creation
of "Euratom." The explanation is the same! *Euratom" is profitable to
the large monopolies. Especial interest is shown by the French uranium
ore company controlled by the Rothschilds, the Central Society for the
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Production of Uranium, and Radioactive Ores and Metals (the Ugine company),
the French Heavy Water Company (the Pechiney group), the Alsace Machine-
Building 'Company, and others. This is why, despite the clear danger for
the national interests of France, its representatives on 25 March 1957
signed the agreements on the organization of "Euratom " and the creation
of a "common market" in the course of twelve to fifteen years.
The French monopolies hope that the transfer of atomic industry to
the control of "Euratom" will avoid the possible nationalization of this
branch of the economy in France. This is what is really hidden behind
talk that "Euratom" is the way to atomic "progress," the "prosperity" of
Europe, etc.
A sinister role was played by the French financial oligarchy in the
Suez crisis. As is well known, France took a most aggressive stand in
this problem. At the end of October 1956, together with Great Britain
and Israel, it undertook an armed attack against Egypt.
The aggression against Egypt failed. It caused serious injury to
French interests. France appeared before the whole world in the role of
an aggressor. The Suez adventure seriously heightened the crisis in the
French,financial system. According to published data, the participation
of France in the war against Egypt cost it 90 billion francs. The rup-
ture of trade relations with Egypt increased the loss by 10 billion
francs.
But this is by no means all. All sectors of the French economy
suffered seriously from the aggression against Egypt. As a result of
the closing of the Suez Canal and the destruction of pipe-lines, France
was deprived of over 80 percent of the oil it consumed. In addition,
France used to receive through the Suez Canal two-thirds of the rubber
it consumed, about 40 percent of its manganese ore, about 90 percent of
its mica, half of its wool, much of its cotton, and so forth.
As early as the end of November 1956, gasoline ration cards were
introduced in France; a passenger car was assigned 30 liters of fuel a
month. At the beginning of 1957, the fuel allowance was reduced. Long
lines of automobiles stood at the gasoline pumps. Speculators drove up
the prices for fuel on the black market. The American journal Newsweek
told about a curious but typical incident. At one point Menas-France
hastily sought out a Secretary of State, Paul Anxionnaz, in the lobbies
of the National Assembly. The two politicians began a heated conversa-
tion. About what? Possibly about the policy to be followed in the Suez
problem or about Algeria? No, the former Premier of France was' attempt-
ing to acquire twenty liters of gasoline/
Because of the shortage of fuel, many industrial enterprises began
to close down, especially in the automobile industry. Transportation
expenses rose sharply. Prices went up for many consumer goods. Central
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heating in many reeidential buildings was discontinued. The heat was even
tamed off at the headquarters of the Atlantic Organization in Paris l On
the railroads, many diesel engines were replaced by steam locomotives.
In Paris, Marseilles) and in other cities, long unused trolley ears were
put into operation. Noisily they dragged along the empty streets on which
automobiles were becoming scarcer and scarcer.
In unleashing the aggression against Egypt, the French government
organized an economic blockade against its own countryl
Why did this take place? Because the French monopolists did not
want to accept the nationalization of the Suez Canal by Egypt
In no other western country does the Suez Canal Company have such
ties with einanci41 and industrial circles as it does in France. In no
other country is there such a large group of people interested in the
prosperity of this company. The France Presse Agency reported that the
nationalization cf the Suez Canal "particularly affects French financial
circles, since a large part of the capital is held in France. ,..It is
exactly in Fiance that all the private stockholders are located.2
While the forty-four percent of the company 0s stock owned in Great
Britain belongs exclusively to the British government, the fifty-two per-
cent of the'company0s stocks owned in France are divided among private
perions, the great majority of which are large property-owners. And for
each share, with anoMinal value of 250 francs, the company paid earnings
of 7,246 francs in 19558 It is difficult to find in the capitalist world
an enterprise which would provide such high profits. In the Administra-
tive
Council of the Suez Canal Company, composed of 32 directors, there
were Sixteen Frenchmen. And each of them received an enormous salary;
thus, in 1955, they earned 7,000,000 francs merely for attending meetings
once a month. The French bourgeoisie received a total net profit of at
least 5 billion francs from the exploitation of the Suez Canal in 1955,
according to rough estimatesi
While the Suez Canal Company in Egypt was a nstate within a state,n
in France it formed par* of those powerful forces which ran the govern-
ment behind the Scenes, The French directors in the Administrative
Council represent the 'largest French banks?, The Paris-Netherlands Bank,
the Indo-China Bank (the Lazard, Rothschild and Schneider-Creuset groups),
the Bank of Industrie' and Commercial Credit, the Lyons Bank, and many
financial and industrial firma.
The following examples explain how the affiliations were made be-
tween the Suez Canal Company and the financiAl and industrial monopolies
of France. Since 3.9480 the President of the company has been Francois
CharlePaonx -- the former French Ambassador to the Vatican and the former
, ,
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General Secretary of the French Ministry of Foreign Affairs. While he
headed the Suez Canal Company, he was simultaneously a member of the board
of the Paris-Netherlands Bank, the Societe Marseillaise de Credit, the
Compagnie Fran2aise de 11Afrique Occidentale, the Land Bank of Egypt, the
President of tEe Comite' Central de la France d90utre-Mer, and so forth.
Members of the board of the Suez Canal Company (Pierre Fournier,
Emile Minost, Jacques Georges-Picot (General Manager of the company),
Melchior de Voitl(, Humbert de Wendel, Emmanuel Monick, and others) are
also representatives of many large financial and industrial monopolies.
Leading politicians in France were directly interested in Suez Canal
Company profits.
But the threat to the profits gained from the exploitation of the
Suez Canal was not the only reason why the French monopolistic circles
demanded a military intervention in Egypt. They were also concerned
over their investments in nearly all branches of the Egyptian economy
-- in water supply, gas production, electricity, municipal transporta-
tion, trade, and so forth. These investments amount to the colossal sum
of 450 billion francs. The owners of these investments were concerned
lest the nationalization of the Suez Canal would lead to the nationali-
zation by Egypt of branches of the economy which had been controlled by
French monopolists.
Finally, one cannot ignore the particular interest of the oil monop-
olies in the Suez Canal, who were frightened lest the nationalization of
the Suez Canal would be a signal for the nationalization of the oil in-
dustry being exploited by them in other Near Eastern countries.
It was for these reasons that the financial and monopolistic circles
in France inspired the policy of aggression against Egypt.
At the very height of the loud campaign for military intervention
in Egypt, at the end of August 1956, the scandalous "affair of the checks"
came out into the open. The editors of many Paris newspapers received
letters from the former management of the Suez Canal Company, in which
it was proposed that the newspapers defend the interests of this company,
which was nationalized by the legal owner of the Suez Canal -- Egypt.
To each of these letters was attached a check for 100,000 francs&
Honest newspapers at once indignantly informed their readers of this
attempted bribery. The American Associated Press agency reported that
the heads of the former Suez Canal Company, oplaced in a difficult posi-
tion," acknowledged that they had sent the checks to the newspaper edi-
tors. They called it a mistake. But the press which directly displayed
the points of view of the monopolists, including La vie francaise and
Information, began to preach openly a "crusade" against Egypt. The first
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prize in this field, without any doubt, was won by the newspaper Aux
de la In an article with the heading "Oil Before Every-
thing," it wrote in August 1956ft "It is necessary to act quickly and
without warning. Two or three divisions of parachute troops located on
Cyprus can be sent in one night to the oil fields... The territory of
Kuwait, which alone will produce 60,000,000 tons of oil this year (31.5
percent of all the Middle Eats production)) has a population of only
200,000... Is it conceivable that 60,000,000 tons of oil, sixty per-
cent of the vital requirements of Europe, be under the control of
200,000 personsI.). But to whom should this oil belong? To the people
who lived around it as if it did not exist, or to the European and
Western industry which developed this oil by its own efforts? There is
no doubt that the civilized nations have an overriding right to use this
oil. This overriding right must be decisively defended."
"Economic sanctions against Egypt are insufficient_a concluded the
newspaper. ?The necessity of military intervention must be acknowledged."
Regardless of the national interests of the country, the monopolistic
circles instigated France to undertake the criminal aggression against
Egypt.
* * *
such are the facts. They convincingly show that French post-war
foreign policy -- a policy of military blocs? the armament of West Ger-
many and the preparation of war -- is determined exclusively by the
interests of French monopoly capital. This policy is followed for the
sake of the trusteo profits, although it represents a deathly threat to
the national interests of France and to the cause of peace. This policy
is being revealed more and more as the leaders of the French Rairenat.
ever more insolently and cynically dictate their will to the great and
glorious nation which has made an invaluable contribution to the progress
of mankind. The French writer Anatole France wrote with distress and
indignation "After France had liberated itself from the power of the
kings and emperors, and had thrice proclaimed her independence, she fell
under the power of the financial companies which had seized the riches
of the country...."
Since these words were written, the omnipotence of the magnates of
capital in France has revealed itself in an even more insolent and un-
concealed form. And their anti-national activity ie having even more
disastrous results, since it is directed towards preparing and unleash-
ing an atomic war which would threaten the very existence of Ftance.
It is therefore not surprising that the patriotic forces, constantly
becoming stronger, are taking a stand against parasitic French capitalism
and its policy of national betrayal.
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The forces of national rebirth in France are growing, striving to
change French policy and to subordinate it to the interests of the people.
The Bank of War
A. Alekseyev
At the end of 1955, It French journalist asked several dozen Parisians
chosen at random on the street: "Who in France, in your opinion, has done
the greatest harm to the cause of peace in the last few years?" The ma-
jority of those asked named the Indo-China Bank. Indeed, in France the
concepts "I. B." and war have almost been synonyms for a long time. When
gunpowder begins to reek again in the French colonies, the French say:
"Cherchez la Banque de loIndochine" (look for the Indo-China Bank).
The name "I. B." is associated with a number of protracted colonial
wars which French imperialism has conducted in Vietnam, Laos and Cambodia.
The "I. B." bears a large part of the responsibility for the san-
guinary events of recent years in Morocco, Tunis and Madagascar. The
patriots of Algeria fighting for the independence of their country prop-
erly consider the ?I. B." as one of their worst enemies.
This bank was one of the inspirers of the bloody Suez adventure of
the British, French and Israeli aggressors, who attacked the peace-loving
Egyptian people on the night of 30 October 1956.
The bank's magnates are dreaming of regaining their former posses-
sions in China with the aid of Chiang Kai-Shek.
Even in South America, the pernicious influence of this Parisian
bank is clearly being felt. Whenever a routine reactionary military
revolution takes place in any of the South American countries, prices
shoot up for the stocks of the South American companies in which the
"I. B." ha $ invested.
* * *
The Indo-China Bank has existed for over eighty years. Its entire
history is that of a business based on the oppression of colonial and
dependent peoples and on unrestrained military speculations and frauds.
The "I. B." was established in Paris at the beginning of 1875 as
the result of an agreement among five of the largest of the French pri-
vate banks on the joint exploitation of the new French colonies. Its
organizers were the Banque de Paris at des Pays-Bas, which financed
trade in goods from the colonies; Cr4dit Industriel at Commercial, a
union of a group of Catholic banking establishments controlling various
branches of French industry and trade; the bank Soci4t4 G4n4rale? rep,
resenting the interests of the great industrial group of Schneider; and
the credit-issuing banks, Crddit Lyonnais and Comptoir National dDEscomptes
de Paris. (At present the last three banks are nationalised.)
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At the time that the "I. B." was established, French positions on
the Indo-China peninsula were not at all firm. It is true that in 1862
the French imperialists, after a long and bloody war, were able to im-
pose a one-sided peace treaty upon the Annamese emperor and to seize
Cambodia in 1867. Still, the population of Vietnam and Cambodia did
not lay down their arms. Life was still hot for the French colonizers
in Indo-China. Vietnamese guerillas and units of Chinese volunteers,
the so-called "Black Banners." continued their heroic fight against the
foreign invaders. Under these conditions, the "I. B.* directed its
main efforts towards financing and organizing regular military opera-
tions against the peoples of Indo-China who were fighting for their
freedom.
Experts and advisers of the "I. B.6 accompanied the French troops
in their military campaigns deep in the interior of the country, while
the central branch of the bank in Indo-China became a second general
staff of the French armed forces on the peninsula. Receiving extensive
support and aid from the French ruling circles and the Vatican) the bank
did not spare either the French soldiers or money. Additional French
troops were being constantly dispatched to Indo-China. But. despite
all the efforts of the colonizers and the vast military superiority of
their forces) it was not until 1884 that France was able to establish
formally its protectorate over Vietnam. In Laos the protectorate was
established even later, in 1893.
In addition to planning and financing military measures) the
leaders of the "I. B0,11 its "brain trust," consisting of representatives
of the largest French financial and industrial groupings:, from the very
beginning of the bankes existence began to take energetic measures for
carrying out its plans for the economic enslavement of the occupied
territory. A French newspaper at that time stated that the stockholders
of the "I. B." had great hopes that the "economic masterym of the new
colony would bring them great profits. It is true that there was ample
basis for such hopes.
Indo-China, which is rightly considered the pearl of Southeast Asia,
is one of the richest areas of the world. The rich tropical soil, as
well as the abundant warmth and moisture, makes it possible to reap up
to two, and in some areas three, harvests a year. The aboriginal popu-
lation of Indo-China, before the seizure of the country by the colonizers,
had for may centuries not only fed itself but also always carried on an
extensive trade in agricultural products with neighboring countries.
The plant and animal life of IndoChina is famous for its variety
and richness.
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In the peninsulaos thick forests grow rose-colored, red, black,
"iron" and many other rare varieties of trees. In most of the countryps
districts conditions are especially favorable for growing coffee and
rubber and other valuable tropical and semi-tropical crops.
Indo-China is rich in iron ore, zinc, lead, tin, manganese, coal,
copper, gold and many other valuable minerals.
Betting the seizure of the countryos natural resources as its goal,
the Indo-China Bank undertook a systematic and planned attempt to carry
out this aim.
During the first period of its existence, its primary efforts were
directed towards seizing land in the accessible plains of the peninsula.
At the same time, the bank invested considerable sums in road construc-
tion, seeking to create the conditions for exporting agricultural prod-
uots and raw materials for industry from the country.
The seizure of land by the bank, either directly or through various
joint companies, was carried out very intensively. By the beginning of
the twentieth century, it became, to all intents and purposes, the owner
of nearly all the best land on the peninsula. By 1900, the land holdings
of European colonizers in Indo-China totalled 322,000 hectares.
OA the seized lands, the "I. B.," both directly and through its
lessees, established vast plantations which soon provided its stockholders
with enormous income since the labor of the Vietnamese peasants was barely
paid for.
At first the colonizers grew chiefly rice on their plantations, about
three quarters of the land seized being devoted to this purpose. Gradually
an increasing amount of land was allotted to the production of rubber.
While 298 tons of rubber were exported from Indo-China in 19350 according
to official French statistics, in 1938 the figure was 60,000 tons, and in
1953, 75,000 tons.
In 19520 the French rubber plantations occupied 70,000 hectares.
The most important of them belong to subsidiary companies of the "I. Bolig
Plantations R4unies de Mimot, Societe Indochinoise Des Cultures Tropi-
cales? and Caoutchouo de 10Indochine.
It also received a large income from its coffee and tea plantations,
which formally belonged to the companies Hauts Plateaux Indochinois and
Soci4t4 des Plantations Indochinoises de Th6.
The data given above describes quite clearly the expansion of the
"I. B." in Indo-Chinese agriculture. But they do not by any means cover
all its activities. After seizing enormous areas of land, the bank
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established various companies there to exploit the countryls raw material
resources.; in every way it supported the mining of valuable raw materials..
It placed the output of coal, tungsten, phosphates and salt under its
control. The raw materials obtained on the peninsula underwent only the
most necessary preliminary processing on the spot, and then were exported
from Indo-China.
From the very- beginning of its existence, the "I. B." undeviatingly
carried out a plundering colonial policy to convert the economy of the
Indo-Ohinese Peninsula into a dependent annexation of France. To des-
cribe this phase of its activities, one need only cite a few statistics
concerning Indo-Chinags trade with the western countries, which) for all
intents and purposes, meant with France.
In 1901, Indo-Ohina imported from Europe finished goods, some agri-
culturaljzoducts and household goods amounting to 202,0000000 francs,
and exported mineral raw materials in the sum of 161,000,000 francs. In
the course of the next forty years, the gross total of trade between Indo-
China and the western countries doubled. During the same period the mate-
rial situation of the population of Indo-China became much worse. From
year to year hunger and poverty increased in the country, and the popula-
tion was dying out from excessive labor and social diseases.
The "I. B." did not limit itself only to the exploitation of the
natural resonrges of the country. Its magnates obtained the right for
the bank to,issue money in Indo-China and then skillfnlly used this
right as one of the means to enslave Vietnam, Laos and Cambodia eco-
nomically. By flooding the country with paper piasters and, with the
assistance of the French government, by establishing an exchange rate
between piasters and francs which was profitable to the bank, the "I. B."
acquired the opportunity for unlimited financial spec,ulations which
brought it record-breaking super-profits.
?After having conquered Indo-China by fire and sword and having con-
verted it into its own private estate, the "T. B." soon became one of
the largest and most influential banks in France in many ,.ases impos-
ing its will upon the French government.
The,bank's_capital, which originally amounted t(:) 8,000,000 francs,
grew a hundred-fold by 1945 and was 250 times the original amount in
1954.
On the _eve of World War II, the sphere of the bankgs activities
had grown so much that in reality the term mIndo-China" in its name had
become only nominal.
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Together with the banking house of Rothschild, the banks De Paris at
Des Pays-Bas? Worms, Lazard Fires et Cie, and several others, the Indo-
China Bank occupied at this time one of the leading positions in the finan-
cial oligarchy which was for all practical purposes governed France.
Among its large shareholders were the Baroness Rothschild, the poli-
tician Paul Boncourt? Fran9ois Mauriac, Rend Smadja2 and many other lead-
ing Frenchmen.
In 1959, the bank had representatives in London, Singapore, Tokyo,
Hong Kong, China, Siam, Saudi Arabia, Ethiopia, Tangiers, the Hebrides,
San Francisco, Johannesburg, Lausanne, and in a number of French colonies.
Its experience in the exploitation of Indo-China enabled the bank
to deal successfully with its competitors and to win more and more bases
for its predatory expansion.
* * *
Gradually, the "I. B." acquired influence over a number of less
powerful banks and took over about eighty credit companies (the Franco-
Chinese,. the Franco-Japanese, the Franco-Italian for South America,
Sabbag? and other banks).
By 1952, financial income from Indo-China, according to the bankos
own statistics, represented half of its earnings.
Faced with the irresistable growth of the national liberation move-
ment in the colonies, the Indo-China Bank sought to put off its inevitable
fall by diversifying its investments.
Its expansion into other countries and colonies was in general char-
acterized by the same forms and methods which it had used in Indo-China.
First came the seizure of land and mineral deposits, then the predatory
exploitation of the more accessible natural resources, and finally the
importation of goods at speculative prices from the mother country into
the areas where the bank had established strong positions. In French
North Africa and in other French African possessions, the "I. B." gradu-
ally purchased shares of companies already operating and of local banks.
In the Near East, it employed the Banque Sabbag as its direct repre-
sentative and intermediary, and in Brazil, Uruguay, Mexico and Canada it
has invested large sums in a number of companies, chiefly engaged in agri-
culture and trade. It is coordinating its activities on the American
continent with American monopolies, and in return for their support is
providing them with assistance in Africa.
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As in Indo-China, the activities of the "I. B." in the French over-
seas colonies and abroad have a predatory and colonial character. It is
mercilessly exploiting the native population and is extorting colossal
super-profits from them, ignoring all accepted human norms and laws.
,Within France, the Indo-China Bankes investments are chiefly in
industrial enterprises processing raw materials from the colonies. This
policy has given it the opportunity of receiving a double profit: first,
through supplying its enterprises in the mother country with cheap raw
materials, and, secondly, by selling the finished products of these enter-
prises at monopolistically high prices in the colonies and other countries.
It is very difficult to give a full picture of the nature of the in-
vestments of "I. B." within France, since such information is kept secret.
Nevertheless, it is known that the bank is financing a number of companies
engaged in the production of sugar, rubber and wine9 in the processing of
precious metals and mineral ores, in trade in consumer goods in the colon-
ies, and so forth. In addition, it is participating directly and indirectly
in a number of transportation and insurance firms. Representatives of the
bank sit on the boards of a dozen other banks, firms and trusts. But re-
gardless of how large its role as a holding company in the mother country
(that is, investing capital in various enterprises), it has been and re-
mains today primarily a colonial bank, and its income derives almost en-
tirely from investments in other companies outside the mother country.
The Indo-China Bank from the time of its establishment has regarded and
continues to regard its primary purpose as preserving and expanding its
"empire" at any cost. Among the methods most willingly used by the bank
for these purposes, its magnates have consistently given and are continu-
ing to give priority to war.
During the entire history of the bank, bloody adventures have been
its best source of income and the most basic method of Consolidating and
broadening its expansion. The bank has always and everywhere supported
these adventures and has used them for its own enrichment,
For twenty-five years war raged on the fields of Vietnam 2 Laos and
Cambodia. French capital has consolidated its positions on the Indo-
Chinese Peninsula with the aid of bloody military repressions.
During World War 1, the "I. B." undertook substantial speculations
in deliveries of military supplies. The profits paid to stockholders
rose from 6,0009000 to 30,0009000 francs.
In 1927, defending the interests of the 410 B." and other French
monopolies, French troops again began military operations in Southern
Vietnam. They crushed a rebellion of Vietnamese farm laborers -- coolies,
working on the French rubber plantations. In 1930, French troops drowned
the vast Yen Bay rebellion in blood, and later did the same with the peas-
ant uprising in Central Vietnam.
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But a new height in its activities inimical to the cause of peace
was attained by the "I. B." after the popular democratic revolution took
place against the French invaders in Indo-China in August 1945.
In the declaration proclaiming the republic, the Vietnamese revolu-
tionaries, describing the rule established by the French colonizers in
Indo-China, stated:
"They deprived us of all our freedoms. They imposed inhuman laws
upon us.... They built more prisons than schools. They dealt merci-
lessly with our patriots. They drowned the national movement in rivers
of blood,. They made drunkards of us and poisoned us with opium in
order to weaken our people. They shamelessly exploited us, plunged us
into the most frightful poverty and mercilessly devastated our country.
They unscrupulously plundered our rice plantations, mines, forests and
raw materials. They appropriated to themselves the right to issue bank
notes and monopolized all of our foreign trade.
"They schemed up hundreds of baseless taxes, forcing our fellow-
countrymen, especially the peasants and small tradesmen, to live in
dreadful poverty.... They exploited our workers in the most barbarous
fashion."
After carrying out its revolution in August, 1945, the Vietnamese
people firmly resolved to put an end once and for all to the domination
of the. predatory Indo-China Bank in its country. In reply, the "I. B."
again turned to its well-tried method of defending its super-profits
-- to war.
Under the direct pressure of the "I. B.," the French government in
1946 unleashed a new colonial, predatory war In Indo-China, whieh the
French people justly called the "dirty war." During this war, the crim-
inal role of the "I. B," became especially clear, Showing it to be a
bank of war, violence, plunder of colonies, and speculation.
* * *
The "dirty war" in Indo-China began in the fAll of 1946. In launch-
ing it, the French colonizers rudely violated the treaty signed on 6
March 1946 with the peoplegs democratic government of Vietnam; according
to which France recognized the Democratic Republic of Vietnam as a "free
state, having its own government, parliament, army and finances."
When the guns began to rumble again on the battlefields of Indo?
-
China, the "I. B.," acting jointly with the Rivaud group, the Lazard
FAres et Cie., and Worms banks, and several other financial and monop-
olistic groups directly interested in the exploitation of Indo-China,
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took all the measures it could to broaden and intensify the armed conflict.
In every way the French financial oligarchy supported the militaristic
aspirations of the Indo-China Bank and its monopolistic partners, since
the war was bringing it further super-profits.
The United States of America also actively urged France to undertake
the "dirty war." It promised the French colonizers assistance in every
way. This promise was kept. At first this was done secretly. But after
June 1950, when it unleashed aggression in Korea, the United States openly
supported the French armed forces in the war against the Indo-Chinese peo-
ples? In this, the United States counted on the intensification and broad-
ening of the conflict there with the hope of weakening both sides. Then
it planned to interfere in the conflict and to seize the French positions
on the peninsula.
The French deployed an army of 100,000 men in Vietnam. In the early
stages, the colonizers troops were able to win some victories, but soon
the Vietnamese people began to strike smashing retaliatory blows against
the interventionists.
The French colonizers' plans, based on a lightning war and a quick
victory, fell through. The war became a protracted one. The high patri-
otism, selfless courage and the unexampled heroism of the Indo-Chinese
peoples blocked the aggressors' plans. The "I. B." empire was falling
apart at the seams. The workers on the rubber and rice plantations left
their work and went into the forests, joining the People's Liberation
Army. Work in the mines and other enterprises of the bank went on only?
under the protection of military reinforcements.
After becoming convinced that popular resistance could not be broken
by military superiority alone, the French colonizers launched a reign of
brutal terror on the territory they controlled against both the soldiers
of the Vietnamese Army and the civilian population of the country.
The colonizers made use of the most savage forms of repression in
their struggle against the Vietnamese. In 1949, three hundred miners at
Hon Gal., working in the mines of one of the companies connected with the
"I. B.," were, "in the interests of intimidation" thrown into the sea
with their hands tied together with steel cables.
In December, 1952, the French forces, in the course of routine
operations in a village, seized an eighty-year-old man who was not able
to flee. They set fire to his clothes and then threw him into a burning
house. The bandits dealt similarly with a group of old men under arrest;
they poured gasoline on them and threw them into a fire.
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- In pursuing their fire and sword policy, the colonizers did not spare
monuments of the past or religious establishments. In many pagodas they
destroyed all the statues in search of gold; a number of temples were com-
pletely destroyed.
In August 1952, the Vietnamese Information Agency reported from
Northern Vietnam:
"In the province of Kuang Yen (Northern Vietnam) the French troops
often make Vietnamese women their prisoners in the course of their preda-
tory raids!
"On one occasion they drove some Vietnamese women with children to
the bank of a river and ordered them to throw the children into the river;
In the event that they did not obey, they threatened to shoot both the
women and the children. Since the women held the children still closer
to them and refused to obey this inhuman order, the French bandits seized
the children, threw them into bamboo baskets, lowered the baskets into
the river and began to shoot at them as if they were targets. Many women
threw themselves into the river to save their children and were shot by
the French bandits."
Often the colonizers, attacking the women, pinned them to the ground
with bayonets, together with their children. The aggressors? crimes every
day became more brutal and inhuman.
But no repressions or terror were able to break the resistance of
the Vietnamese. Then, at the initiative of the "I. B.," the French
authorities undertook a "scorched earth" policy in Indo-China, calculat-
ing that with hunger as a weapon they would be able to force the people
to lay down their arms.
As an example of the methods to which the colonizers resorted in
following this policy, we may cite the order issued by the commander of
the French forces in North Vietnam, General de Linares, in March 1951.
Paragraph 2 of this order states:
"Section 2. Destruction. There are basically two methods which
can be used:
"(1) To soak the rice, either by pouring water over it or by leav-
ing it out in the open during the rainy season.
"However, to ensure rotting, the rice must be soaked for 48 hours;
so that there may be no doubt as to the destruction of the supplies, it
is necessary to make certain that during this period the population does
not come to remove the rice and place the salvagable part of the rice
under cover.
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"(2) To pour benzine or gasoline on it; in the case of the discovery
of especially large supplies, it is necessary that the air force be re-
quested to drop cans of benzine."
In the North Vietnam region alone, the colonizers barbarously destroyed
13,700 hectares of rice plantations.
However, the "scorched earth" policy did not bring victory to the
colonizers either,
The war cost Indo-China enormous losses in lives. It was accom-
panied by vast destruction and caused irreparable damage to the economy
of the country. During the war, precious monuments of the centuries-old
culture of the Vietnamese people were destroyed. The losses caused by the
war amoUnt to astronomical figures.
France, in conducting the "dirty war," also lost substantially in
men and materials. In an official statement of the French Committee for
the Study and Settlement of the War in Vietnam 9 the results of the war
for France were described as follows:
"The continuation of the war in Indo-China is causing indescribable
suffering. The war has cost both sides hundreds of thousands of deaths.
It is disturbing the moral feelings and the conscience of the majority of
Frenchmen....
"The 400 or 500 billions of francs annually which the war in Indo-
China is costing France is regularly causing a deficit in its budget,
aggravating inflation and making any form of stabilization of the cur-
rency impossible.
"Because of this, it is impossible to improve the living standards
of the French people and particularly to build hundreds of thousands of
buildings which are now needed...."
However, despite the fact that France had really been defeated in
the first years of the war and despite the opposition of French public
opinion to the "dirty war" in Vietnam, the war continued for almost
eight years.
The "I. B." made use of all its influence both in France and abroad.
It sought to have the French troops spill their blood as long as possible
on the battlefields of Indo-China, since the war was bringing the bank
colossal profits.
The principal source of profits for the bank during the war proved
to be speculation with piasters. Income from this increased as the war
came to have fewer hopes and results.
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According to unofficial calculations, uI. B." profits from this
speculation reached 200 billion francs a year r exercising its right
to issue currency in Indo-China until 1947, and then with the aid of the
obedient financial departments of the puppet Bao Dal government? the
"I. Bon during the war artificially devaluated the Indo-Chinese currency,
simultaneously supporting a disproportionately high official exchange
rate, One piaster was exchanged for seventeen francs, although in reality
it was worth only eight or nine. This enabled the bankgs agents to carry
out innumerable speculative currency transactions in Indo-China. They
bought up piasters for almost nothing and sent them by various thieving
machinations to France. Exchanging them there for francs, they made
enormous profits through robbing the French treasury.
Although these dark machinations of the "I. Bon were kept carefully
concealed, some of them were accidently made known and drew the atten-
tion of a large part of the French public. At the demand of the progres-
sive deputies, the National Assembly of France was compelled to set up a
special commission to investigate the dirty machinations of the operators
of the Indo-China Bank. The commission discovered that outstanding poli-
ticians of the country were involved in the banks machinations.
"The investigation showed," announced the Communist Kriegel-Valrimont
in the National Assembly, "that the speculation in piasters was organized
more cleverly, subtly and cunningly than is known to the Public. The
transfer of plasters, though illegal and deleterious to the country,
amounted to hundreds of billions of francs, and it is even difficult to
establish the number of witnesses to the machinations who paid with their
lives only because they knew too muchon
Despite the obvious criminal nature of these speculations, the offi7
cial investigation into them did not produce any results. The affair was
suppressed by the banks protectors in high places.
Another major source of income for the nIo B." during the war was
through the devaluation of the piaster. The devaluation led to an un-
bridled rise in prices in the country. Thus, for example, after the
devaluation of May 1953, the wages of workers in South Vietnam fell by
thirty to fifty percent.
The devaluation enabled the agents of the III. B.?n who bought Indo-
Chinese goods for practically nothing, to gain additional profits for the
products imported from France, which were sold in the market for higher
prices.
During the war, the profits of the "I. B." rose from 49,000,000 to
638,000,000 francs. During this period, the banks capital, according
to official statistics, grew from 157 million to 2 billion francs, and
the capital of all the firms connected with the bank, to 16 billion
francs.
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According to a leading French politician, Mitterrand, the govern-
ment spent three trillion francs in taxpayers o money on the war in Indo-
China. The total damage caused to France by this war is even larger
than this astronomical figure.
In 1954, after the severe defeat at Dien Bien Phu, the French rul-
ing circles were obliged to give up their military operations in Vietnam,
Laos and Cambodia? On July 21, 1954, an agreement on ending the war in
Indo-China was signed at Geneva.
In a difficult, bloody war the peoples of Indo-China won a well-
deserved victory and saved their national independence.
The owners of the Indo-China Bank drew their own conclusions from
the military defeat of France. At the end of the war, the bank removed
a*large part of its investments from Indo-China and transferred them to
safer places.
* * *
After the collapse of the French aggression in Indo-China the "I.
B.," seeking new spheres in which to use its capital, began to pay par-
ticular attention to the French possessions in Africa. As the basic
means for its expansion in Algeria and Tunis, the bank made use of the
Creait Foncier dtAlgerie et de Tunisie Company, while in Morocco it
used the Banque Industrielle de 18Afrique du Nord. In Black Africa it
took over a number of commercial and land banks, through which it created
several companies to mine iron, graphite, gold and other ores. Further-
more, to strengthen its positions in Africa, the Indo-China Bank made
extensive Use of the right to issue currency in the French possessions
in Oceania, French Equatorial Africa, New Caledonia and Togoland.
After Chiang Kai-shek had been driven from China, the "I. B."
transferred the capital of its Franco-Chinese Bank to Madagascar.
Thus, as in Indo-China, agents of the "I. B." soon once more be-
came Participants in the hostilities in Morocco, Tunisia and Algeria.
The bank embarked upon particularly extensive activity in Algeria.
Together with the other large French monopolies, it persistently urged
the French government to undertake ever more severe repressions against
the freedom-loving Algerian people and in the long run contributed to
the launching of the war in Algeria. "Algeria is becoming another Indo-
China)" the American newspaper, New York World Telegram and Sun, stated
at the end of 1956.
When the British, French and Israeli troops attacked Egypt in No-
vember 1956 overt and covert agents of the "I. B." in France and abroad
let out such shouts of joy that the bank' s participation also in this
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military adventure became clear. How could it fail to be a participant?
Itis well known that the board of directors of the Suez Canal Company
includes Emile Minost, Chairman of the Board of the "I. B.," as well as
a number of his representatives. According to unofficial information,
he owned a considerable number of shares in the Suez Canal Company.
When the British, French and Israeli aggression against Egypt
failed and a severe blow had been dealt to Frances position in the
Near East, the "I. B." undertook urgent additional measures to protect
its interests in Africa. It decided to come to an agreement with its
more powerful rivals and competitors. In December 1956, the "European
Consortium for the Development of the Natural Resources of Africa" was
established in Luxembourg. This consortium, "Consafrica," as it is
called for short in the French press, is now one of the principal under-
takings of the bank, as has been admitted by sources close to the "I. B."
With its aid it plans to conquer Africa, lay its hands on the natural
resources of the Sahara, and, if necessary, defend its "African empire"
by force.
The bank owns twenty percent of the capital of "Consafrica."
In establishing the new consortium, the "I. B." has turned to its
old tactics, which it had tested as far back as the Vichy period. At
that time the bank participated in a company, Soci4te de Crjdit Inter-
continental, created at the initiative of the German monopolies and the
American ones supporting them, and setting as its goal the plundering
of the European countries occupied by the Hitlerites, their colonies in
Africa, and other areas. The director of the bank, Paul Baudouin, was
a minister in the Main government. This time the consortium is set-
ting itself a more limited goal, the plunder of Africa.
Not satisfied with the establishment of a consortium in Luxembourg,
the Indo-China Bankgs agents in the French Parliament hurriedly rushed
through a new law to unify the administration of the French possessions
in the Sahara in order to facilitate the operations of "Consafrica."
On 14 December 1956, the National Assembly passed this law, called
the law on the "General Organization of the Regions of the Sahara." In
connection With this decision of the National Assembly, the France Presse
Agency reportedt
"The administrative reorganization under discuasion will facilitate
the development of an area nine times as large as France. According to
the latest estimates, in a few years it will be able to satisfy a quarter
of the mother countrygs demands for oil. Also, large reserves of coal,
copper, iron and uranium have been found."
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Progressive public opinion in France, alarmed by the new machinations
of the bank and its partners, properly regards "Consafrica" as threatening
more speculations and fraud, more colonial plunder, and additional wars
and robbery on the African continent.
Such is the Indo-China Bank -- a bank of war and colonial violence,
a bank of robbery and fraud. In seeking to save the colonialism which
is now doomed, as well as the degenerating colonial empire of France, the
"I. B." is weaving a web of war. But it is becoming constantly more diffi-
cult to carry out its policy of robbery; the peoples of Africa and other
countries have drawn all the lessons necessary from the failure of the
aggressive plans of the colonizers in Indo-China, Tunisia, Morocco and
Egypt.
The Traitor Bank A. Alekseyev
It is difficult to measure the privations and sufferings which France
endured during the years of the second world war. The Hitierite occupiers
were striving to transform it from a great power into a province of small
importance of the Nazi Reich, and the proud French people into their obedi-
ent slaves. For this purpose they robbed and murdered the French men and
women with unlimited brutality, jeered at the great French culture and the
glorious freedom-loving traditions of the country, undermined its economy
in every way and barbarously destroyed its natural resources. According
to the following figures, which are far from complete, the German aggres-
sion cost France 802,000 killed, 40 trillion francs in losses (in francs
of 1951), 452,000 destroyed homes, 1,436,000 damaged buildings, 51,000
ruined farms, 49,500 destroyed enterprises, 4,010 destroyed bridges, etc.
The war brought grief and unhappiness to millions of French people, left
hundreds of thousands of unfortunate cripples and orphans, reduced entire
regions of the country to terrible poverty.... And in spite of all this,
in France again are heard voices glorifying the killing of mankind and
militarism. The reactionary pen-pushers exalt the recent bloody Anglo-
French-Israeli venture in the Sinai peninsula and call for new military
provocations. And again, just as it was on the eve of the second world
war, the criminal agents-provocateurs and the war-mongers of a new war
have influential defenders and patrons, who are dreaming of doing "busi-
ness" on the blood and sufferings of their countrymen. The discussion
below will deal with one of these "businessmen" -- the French bank of
Worms9
* * *
The Bank of Worms belongs to a number of the most influential finance-
industrial groups in France, privately owned but the real proprietors of
the country. In its financial power, it is inferior to the banks of Roths-
child, Lazar, Mirabeau and a number of other of the most important banking
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houses. Nevertheless the Bank of Worms merits being singled out among
other pillars of the French financial oligarchy, because it is more and
more acquiring fame as the most ?dynamic" bank of the country, and as
one of the principal monopolists in the field of the atomic industry,
which is new for France.
Characterizing the mercenary aristocracy of his time, Cardinal
Richlieu in his time said: ?If it were possible to buy all of France,
they would buy France from France itself." These words involuntarily
come to mind upon acquaintance with the past and the present activity of
the Bank of Worms.
The Bank of Worms is a young plunderer. It was only founded in
1927 as a trade company, at the head of which was the large ship owner
Ippolit Worms. The bank was created as a private joint-stock company.
But the decisive role in it, from the time of its establishment, has
been played, and is being played by the members of the Worms family,
who depend in their turn upon financial aid and support from the Lazar
family, with which Ippolit Worms is connected by blood ties.
At first the bank engaged, on the whole, in the financing of in-
dustrial and trade operations, in which the company of Worms had spe-
cialized formerly (trade of coal and non-ferrous metals, the transport
of freight by sea, ship building, etc.). The affairs of the young bank
proceeded poorly: it was overpowered by stronger and more deft competi-
tors. Several times t was on the verge of failure and avoided it only
by means of successfully carried out speculative operations, and direct
support by the Lazar bank. During this period the bank acquired the
reputation of being an adventurer, prepared, for the sake of profit, for
any of the most shady transactions; this reputation was well maintained.
It is necessary to say that the majority of French banks does not shun
improper speculations, but the Bank of Worms, having started speculative
ventures, far surpassed its fellows and competitors in this respect.
This could not be conducive to an increase of the number of its clients:
the first years of the bank's existence passed by in an atmosphere of
uncertainty as to the future and pessimism.
But in the beginning of the thirties, soon after Hitlervs coming
to power in Germany, the affairs of the Bank of Worms began, unexpectedly
for many, to improve quickly. It established close contact with a number
of large German and Italian monopolies, carried out operations with con-
siderable SUMs both in francs as well as in foreign currency, played on
the exchange, set up connections with prominent politicians of France.
Simultaneously, the number of correspondents and representatives of the
bank abroad increased, especially in Germany and Italy.
Ttle secret of the unexpected prosperity of the Bank of Worms was
incomprehensible to the majority of people for a long time. Only in
1934 did the facts become known to French public opinion, facts which
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permitted a slight opening of the veil of secrecy which had hitherto . .
con-
cealed the sources from which considerable "free" funds camp into the
tills of the bank.
In February 1934, following the collapse of the fascist putsch which
the fascist leagues operating in France at that time had prepared, it was
discovered that the Bink of Worms linked the leaders of these leagues with
certain French monopolies and foreign banks. But formnlly_the activity
of the bank proceeded within-the "legal" limits of French law, andthere
were no sanetions of any kind taken against it. Inspired by this, the
bank soon again began an active support of fascist elements in the coun-
try. When in the middle of 1936, the renegadenoriot created in France
a fascist party, the bank quickly rendered all-round aid to it. And
what is more, two of its proteges -- Marion and Foudhe? became part of
the dominating nucleus of Doriotla party, and Dorlotenjoyed extensive
credit in the bank.
!
Simultaneously the bank, as it later turned out, was financing the
secret organization of fascist spies and killers -- the Cagoulards.
Money of the bank was used for the organization of underground store-
houses of weapons, terrorist acts, explosions, and arson. Through the
Cagoulards, the bank established connections with aristocratic military
circles of France.
f
Having finished their murderous raids and other crimes, the partici-
pants of the Cagoulard band, after the example of the flu flux-Klan, put
black hoods (in French the word for hood is cagoul) on for disguise.
When the organization of Cagoulards was exposed, and its connections
with the Bank of Worms were revealed, the progressive circles of France
began to demand, that the "cavil]." be removed from the bank, that is the
"hood" be taken off. However, just as in 1934, it came off scatheless.
The matter of the Cagoulards was hushed up. Their protectors were
Petain, Doriot and other reactionaries, whose reputation the French rul-
ing circles protected in every way, counting on using them in the future
in their shady political game.
After the exposure of the plot of the Cagoulards? the Bank of Worms
was removed fromactive political life for some time. Indignation of
the broad masses at its pro-fascist activity was so great that the board
? .,
of directors of the bank considered it Useful to maneuver and wait for
"better times."
These "better times" came for it after Munich. When the Munich
agreement thickened on the European political horizon the clouds fore-
shadowing the second world war, the tank of Worms developed a rapid
activity. Its agents became habitues in the editorial offices of French
newspapers which propagandized defeatist slogans of non-resistance to
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fascism. Members of the government, connected with Pdtain, Laval and
other future leaders of Vichy, maintained constant contact with the bank.
By the beginning of the war the Bank of Worms almost openly financed the
French fascists, using the funds of French monopolies and the German in-
telligence service. Simultaneously it consolidated its connections with
those English and American business circles, which were very much inter-
ested in its activity, directed at the support of Hitlerites and their
French supporters. The old combined sympathies for the Cagoulards brought
the bank together with a number of influential representatives of the
London City, with whom it had established close, friendly connections.
Among the Cagoulards? there were also pro-English public men: Vibeaul
Fonrcaut, Paseg.
The money turnover of the bank began to increase not by days, but
by hours. The information of the board of directors of the bank concern-
ing all state affairs permitted it to carry out the most speculative
transactions. The pre-war boom, and the feverish military activity
brought many million francs of profit to the bank.
In 1940 the board of directors of the bank announced the increase
of its fixed capital by 10 times -- from 4 million to 40 million francs.
Simultaneously the bank began to participate in a number of joint-stock
companies and in various trade transactions, which had no relation to
its usual type of operations. For the sake of propriety, the board of
directors explained that the financial basis of the bank was strengthened
in connection with the increase of its authority and the expansion of
its traditional operations. But nobody believed this explanation -- the
operations and transactions of the bank formally concerned mainly sea
transport, which after the beginning of the second world war not only
did not increase, but, on the contrary, seriously decreased.
After the defeat of France in the war, and the coming to power of
Petain, the board of directors of the Bank of Worms openly declared its
adherence to fascism. The bank began to play one of the principal roles
not only in the financial, but also in the political life of Vichy.
The Germans fermally sequestered that part of its property, which had
fallen into their hands. This, however, did not impede its activity.
When at the beginning of 1941, the cabinet of Admiral Darien came
to power, the Bank of Worms, using its old connections with the Admiral,
sent its representatives to all basic organs of the government of the
country. The co-manager of the bank, Jean Jacques Barneau held the
post of "general delegate of the French government on questions of
Franco-German economic relations." He controlled the activity of all
the banks, joint-stock companies and companies in the territory of Vichy.
This gave him the opportunity to create especially favorable conditions
for the further enrichment of the Bank of Worms.
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In this same trend, to the bank was rendered every kind of assistance
by its old agent PierrePouch4t, who, in the Vichy government, first held
the position of Minister of Industrial Production, and then the position
of Minister of Internal Affairs. Pouchei was not on the board of directors
of the Bank of Worms, but was an administrator of one of the daughter
enterprises of the bank -- the Japi Company. Pouch& used all the means
and many opportunities which he obtained while holding the ministerial
positions in order to secure advantageous "business w for the Bank of
Worms. The war created an exceptionally favorable environment for vari-
ous shady intrigues, which yielded fabulous profits.
Barneau andPouchet, in their activity for the benefit of the Bank
of Worms, helped such prominent Vichy leaders as Robert Labbe, who sub-
sequently obtained, for services rendered, the post of co-manager of the
board of directors of the bank; Baudouin, through whom the bank main-
tained contact with the Bank of Indo-China, and others. Even "Marshall"
P4tain himself rendered services to the Bank of Worms. When Laval headed
the Vichy government, into his cabinet, besides the already named protdes
of the bank, came the brother of the director of the bank --- Jacques
Lerois Lado-uri as the Minister of Agriculture. Thus was formed the direct
contact of the board of directors of the bank with the Vichy traitors, who
repaid it a hundred-fold for the support which it had rendered at one time.
Important posts in the Vichy government could be obtained by the pro-
t4gds of the Bank of Worms only with the consent of the German occupiers,
and may because during this period, the bank, just as formerly, continued
to serve the German intelligence service faithfully.
The energetic activity of the agents of the Bank of Worms in the
Vichy government helped it, in the years of the war, to expand signifi-
cantly the sphere of its operations both within France, as well as abroad.
During this time it took over a number of its weak competitors) bought or
by other means obtained a majority of the shares of the dlockner Coal Com-
pany and the joint-stock company Union of French Exporters of Northern
Europe. Representatives of the bank penetrated into the board of direc-
tors of a whole series of other large banking companies and joint-stock
companies in the field of navigation, trade in colonial goodst. etc.
Depending upon the support and protection of the state machinery and
the German occupiers, the bank obtained a multitude of special privileges
in the period of power of the Vichy government. Before the landing of
the Allies in Africa, the bank engaged in the export from Africa of valu-
able raw materials, and the resale of the raw materials to the Germans.
In this connection it succeeded in obtaining a number of advantages in
theJield of trade with French overseas territories9 Since then, and up
to the present, the bank has been giving special attention to banking and
trade operations connected with exploitation of the natural resources of
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the French colonies. Then it was successful in establishing control over
the activity of all the principal enterprises of the paper industry of
France, and in obtaining the exclusive right for the import into France
of wood from abroad. Using the circumstance that a considerable quantity
of wood was imported into France from Sweden, the bank has been obtaining
a number of advantages in trade with Sweden and, in essence, has estab-
lished its private control over this trade. Its traditional activity in
the field of financing of ship building, trade in coal, rare metals,
etc., has also been developing more than successfully. As a result, the
capital of the bank during the years of the war increased several times;
its connections with other large banks and monopolies increased and be-
came stronger.
The war helped it to enter the tight circle of the powerful French
financial oligarchy.
When France was liberated, at the demand of public opinion and the
progressive circles of the country, an investigation was made of the Dank
of Worms and its principal leaders, and its traitorous activity became
known to everybody. At the end of 1944 Ippolit Worms himself was arrested,
charged with collaboration, that is, of collaboration with the enemy.
However Worms? old connections with Anglo-American capital, which he had
established in those years when he was financing the Cagoulard movement,
and then strengthened in the Vichy period, helped him to escape the pun-
ishment which he deserved. Having spent some time in prison and bided
his time until the passions had subsided, Worms was set free, and legal
proceedings were not taken against him because of the ?lack of direct
evidence." Also the majority of the other leaders of the board of direc-
tors of the bank proved themselves in the right. And only its former
agent -- the Vichy Minister PierrePouch4-6? was shot as a traitor.
This occurred in March 1944 in Algiers. The influential friends of the
bank could then still not openly come to the aid ofPouchA, guilty of
the death of Chateaubriand patriots and hundreds of other soldiers who
had given up their life for France.
In the first years after the end of the second world war, the Bank
of Worms kept in the background. The capital which it acquired during
the war remained entirely at its disposal. The old connections with
collaborationists soon again began to be useful, as many of them, de-
pending upon the aid and support of French reactions again held secure
jobs in the French state machinery. The great experience of the bank
in the field of financing anti-French activity also had not been for-
gotten.
Soon the bank again appeared in the foreground of the political
and economic life of the country. And again it began to take a most
active part in the financing of subversive activities of the enemies
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of peace in France. Together with the Bank of Indo-China the banking
house of Worms Supported and financed "the dirty ware in Vietnam, where
it had invested significant amounts of capital. When the scandal broke
because of speculation in Vietnamese piastres, the Bank of Worms, to-
gether with the Bank of Indo-China, turned out to be involved in it.
However when it became obvious that the war had been lost, the Bank of
Worms liquidated its capital investments in Indo-China. It in particu-
lar sold its share in the enterprise Distillery cl9Endochine, and then
began to support the circles which stood for the transfer of the center
of gravity of the French colonial policy to the African possessions.
Such a position found ardent approval in the USA, where, by this time,
Southern Indo-China was already considered an American possession.
/Ile sphere of the use of the capital of the Bank of Worms and its
activity continuously increased. Ten years after the end of the second
world war its tentacles have spread literally into all parts of the
French Union and of France itself. To describe completely all the nu-
merous connections of, the bank with other financial and industrial groups
of France, as well as all aspects of the activity of enterprises con-
trolled by it, is very difficult. The real owners of France -- the
financial _tycoons and monopolies -- do not like to reveal their secrets
unnecessarily-, and they are secrets better guarded than the most impor-
tant military objectives. However some specific data concerning indi-
vidual aspects of the activity of the bank are known, and through this
data it is possible to get an idea of its role in the enonomic and po-
litical life of France at the present time.
Judging by the official reports of the bank and other sources,
operations in the field of sea transport continue to remain the special
sphere of its activity. The bank has at its disposal more than 5 per-
cent 9f all the French .Merchant fleet and 30 percent of the tanker
fleet. By means of various companies, it controls up to 20 percent of
the production in the field of shipbuilding. Its principal central en-
terprise is the joint-stock company Worms and Co. registered officially
as a firm which engages in shipbuilding_ trade in oil and coal, freight,
and banking operations. This company has at its disposal 400 million
francs as the capital with which it was chartered, and has its repre-
sentativeS,i4 11 of the largest ports of the oountrL and also numerous
subsidiariqP abroadt in Egypt, England Holland and other countries.
At the head of the company is the very same Ippolit Worms. The former
Vichy leaders Jacques Barneau and Robert Labb, and a creature of the
Bank of Rothschild, a certain Raymon Minial, are co-directors of the
company.
In additi?n to the shares of Worms and Co., the bank owns shares
in dozens of enterprises in the most diverse branches of industry. Its
capital investments are especially significant in the machine-building,
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mining, and chemical industries, insurance, and foreign trade. A special
place in the activity of the Bank of Worms is allotted to the exploita-
tion of colenies. It controls the Companie dAfrique Noire, has a con-
siderable amount of shares in the Industrial Bank of North Africa, which
is controlled by the Bank of Indo-China. The Bank of Worms directs the
activity of dozens of joint-stock companies in French Equatorial and
Western Africa, in the Congo and Madagascar. Together with the Bank of
Indo-China and other banks and monopolies, the Bank of Worms zealously
protects its capital in the colonies) openly finances the war in Algeria,
advancing as a violent enemy of the liberation movement of the peoples
of Africa.
In addition to the enterprises and companies which the Bank of Worms
dominates, it also participates, through its capital, in many enterprises
and companies which belong to other monopolistic and financial groups.
Jointly with the Lazar Bank and the Bank of Indo-China, the Worm group
participates in a number of companies which have a monopoly on public
works contracts. This closely connects it with the influential officials
and helps it actively to influence the state machinery of France.
Jointly with the Lazar Bank, the Worms group participates in a number
of insurance companies, which have a widely branched network of their rep-
resentatives in all regions of France.
Half of all the shares of the Terr-rar Chemical Products Company,
which the Bank of Worms owns, provides it a direct contact with the in
monopolistic group of Pechiney. Together with the Bank of Indo-
China it controls the French market in rare and precious metals. Through
the Telma Television Company in Morocco, the bank is connected with the
Bloc-Dacco Group, which specializes in aircraft construction. Together
with this'group the bank actively supported the government of Mendes
France in 1954-1955 and, as many French newspapers asserted, directed
his foreign and domestic political activity.
A number of connections of the group of the Bank of Worms linked
it with American capital. Under the "Marshall Plan," the bank carried
out the functions of a middleman in conducting the financial operations
of this plan. Jointly with the Pan-American Chemical Company, the bank
controls the company "Society for the Study of the Use of Oxi-Catalysts."
Together with the Dewey and Allmi Chemical Group it controls the Darex
Company and2 finally, jointly with American Research -- the Safimo Com-
pany.
The Safimo business concern, created in 1948 on the initiative of
the Bank of Worms, specializes in the introduction into industry of
achievements of modern physics, including atomic energy. In the crea-
tion of Safimo, together with the Bank of Worms2 participated representa-
tives of a number of other important French and American monopolies.
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Safimo succeeded in capturing the monopoly for industrial use in France
of synthetic radioactivity, and in establishing actual control over all
the principal work carried out in France in the field of utilization of
atomic energy both for peaceful, as well as for military purposes. The
Bank of Worms, in7;erested in the development primarily of the military
atomic industry, is connected with the most aggressive circles of the
country, which makes appeals for the creation of the French atomic
super bomb." And the interests of the bank in the field of the chemi-
cal industry most closely connect it with the French military clique
which attaches special significance to the activity of the Terr-rar
Chemical Products Company, which is engaged in the mining and processing
of uranium. This company has now created subsidiaries in India and Bra-
zil.
The interest of the Bank of Worms in the development in France of
branches of industry which are working for war, and its old connections
with foreign intelligence services, push the bank into active partici-
pation in the political life of the country. However) the activity of
the bank in this field is carefully veiled. The bank is obviously afraid
of failures similar to those which caused it much trouble during the
period of the exposure in France of the fascist leagues and the Cagou-
lards. But it is difficult to conceal the activization of the bank's
activity. Recently the French newspapers have been openly writing about
this activization of activity. "Friends" of the bank explain this fact
by "the special dynamism" of the bank.
This "dynamism" referred to, is especially clearly manifested under
the Mendes-France government, with which the Bank of Worms was closely
connected.
The post of state secretary for scientific-research work and tech-
nical progress in this government was held by Andre Lonchambon, who was
Simultaneously chairman of two companies whose activities are controlled
and directed by the Worms Group. The members of the boards of directors
of a number of firms connected with this group ---Monteil Geren de Bomon,
Kayave, occupied the posts of: State Secretary for Naval Affairs, State
Secretary for Foreign Affairs, and State Secretary for Economic Affairs.
Other ministers of the cabinet of Mendes-France also maintained indirect
connections with the Bank of Worms.
It is not by chance therefore that the government of Mendes-France
carried out a series of foreign and domestic policy measures which cor-
responded to the interests of the group of the Bank of Worms. Namely,
this government obtained the ratification by the National Assembly of
the aggressive Paris pacts, proclaimed the necessity for the creation
of a European armaments pool, achieved the activization of the French
monopolies in French colonies. Mendes-France fought in every way for
the development of the military atomic industry in France, and served
as the initiator of the intensification of capital investments in the
metallurgical industry.
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? It is not by chance, evidently, that the government of E. Faure, which
replaced the government of Mendes-France, continued to carry out the policy
of Mendes-France, namely, in those questions in which the Bank of Worms
and its partners were interested. Indeed the Bank of Worms was also con-
nected by a number of direct and indirect ties with the government of Faure.
In order to influence the public opinion of the country, the Bank of
Worms resorted to the services of the corrupt, bourgeois press in France.
In French journalistic circles, it is widely known for example, that the
newspaper Information always obediently follows the "advice" of the Bank
of Worms, and Paris Press en Transition is one of the most persistent pro-
tectors of the interests of the bank. Many newspapers and magazines, con-
nected with the largest newspaper-book trust Achet, in particular the news-
paper France-Soir, in every way boosts the Worms group and glorifies its
activity.
,It is not just the Bank of Worms alone which works in France for war,
orienting itself in its activity upon the aggressive policy of the Anglo-
American circles. But it plays one of the first violins in the political
orchestra of the French financial oligarchy, which is supporting this
policy. Therefore the exposure of its dangerous, indeed, subversive ac-
tivities serves the cause of peace.
The Do.11arvs TraVelling, Salesman A. Khazanov
When the organizers of the North Atlantic Union decided to place a
war-industrial base under it, and under the army of mercenaries of the
dollar, planned on the basis of this union, Jean Monnet was entrusted
with the task of "selling" this idea to public opinion in France, and
with its realization.
The choice was far from being just chance. A Frenchman by birth,
Jean Monnet is a typical businessman-cosmopolite. He is well known on
all the exchanges of the capitalist world -- not without reason did the
reactionary American magazine Life call him "a citizen of France, London,
New Yor, and Washington."
The cognac manufacturer, having traveled over half the world at one
time in search of markets for the sale of products from his firm, had,
at the same time, much experience in diplomatic activity: he was deputy
to the General Secretary of the League of Nations, in 1939 headed the
French Purchasing Mission in Washington, and later served as chairman of
the so-called Anglo-French Coordinating Committee in l939L-1940, during
the black months for France. Finally, the reputation of international
banker was firmly attached to him, since he had learned in the minutest
details all the stratagems of international transactions and calculations.
Monnet had close connections with the banking house of Kuhn, Loeb, and Co.
on Wall Street, with John McCloy of the Rockefeller bank Chase Manhattan,
with the largest banking house of the USA, the Bank of America, which be-
longs to the Giannini family.
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Possessing the ingratiating courtesy of the merchant, pliant with
the ladies, Monnet, by evidence of the American press, at the same time
is famous for the qualities of an abstractly thinking machine.* He
"is devoted to excess to business.*
The American press indicates also, that Monnet knows how to stay in
the background -- he "operates behind the scenes and becomes a mysterious
man." He is not ambitious -- the inclination for ministerial portfolios
takes a back seat as compared to his striving for rounding off his bank
account. Just such a man was suitable in order to convince the French
people -- and not only the French people -- the rulers, that the military
North Atlantic bloc needed support in the form of a wide military-indus-
trial base, which would include all the countries of Western Europe.
This idea subsequently obtained the name of the Schuman plan," after
the French Minister of Foreign Affairs who officinlly introduced it.
Biographers of Monnet assert that his main rule in life always was:
"Choose the necessary person at the necessary time.* And he strictly
followed this principle, in order "to make his way in the world." In
his youth, and all the more, in his mature years, Monnet did not burden
himself with education. He limited himself to college, which he finished
in his native city Cognac. His father, the head of a cognac firm, was
far from progressive in ideas and attitudes. The favorite saying ex-
pressed his simple philosophy: "Any new idea is a bad idea." The end
of the dreams of papa Monnet was to see cognac produced by his firm in
the taverns of the whole world. Realizing this dream, papa Monnet be-
gan early to put his son into the business. Before the war of 1914 young
Jean traveled a great deal abroad with samples of his papails cognac -- to
compete with the famous cognac firm of Martel was difficult. As the cen-
ter of his trade operations the young commercial traveler chose Canada,
where he succeeded in establishing quite good business relations with
the Hudson Bay Company, closely connected with the bank of the Lazar
brothers.
LTrtoon, opp. p 4302 Connections established by the young Monnet
with international finance circles proved useful to him later) when they
gave him the opportunity to get the position of Minister of Trade. The
young Monnet deftly used this advantageous post. Carrying on negotia-
tions with Hudson Bay Company concerning a loan to France, he at the
same time concluded a private transaction with the Company for the sale
of cognac. In gratitude, and on behalf of the Ministry of Trade he
assigned to the Hudson Bay Company the exclusive right for purchase of
French goods for export.
These were just the first steps of Monnet, which indicated, how-
ever, how easily this man foregoes the interests of his country for the
sake of personal profits.
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When the war of 1914 broke out, Monnet, using his connections with
commercial circles, avoided service in the arrAy. The French Minister of
Trade -- a representative of the Rothschilds -- arranged a trip for Monnet
to London, where he participated in the organization of various Franco-
British economic committees. In the committees there arose serious con-
flicts concerning trade questions. The English especially were urgently
achieving freedom of trade in France. And at this point) Monnet, oriented
on "the necessary person," began to support the blockade Minister) Lord
Robert Cecil in his disputes with the French. This unexpected support
did not remain unnoticed by Cecil. He subsequently played a large role
in Monnetgs career.
In London, Monnet entered into close relations also with other peo-
ple who were necessary to him -- with Arthur Salter (subsequently Lord
Pert)) Henri Bonnet, who later became Ambassador of France to the USA,
with Bullitt and other American representatives, who rushed to Europe
after the entrance of the USA into the war. Monnet sacrificed French
interests with such ease, that the Ministers of Clemenceaugs cabinet
insisted upon his recall from London. Soon, however, he again returned
to London: connections with foreign capital were already at that time
working miracles in the bourgeois political circles of France.
The war was over. The cognac manufacturer temporarily had nothing
to do. But he did not have to look for work long. Creating the machin-
ery for the League of Nations, Lord Cecil remembered the services) ren-
dered him by Monnet at one time. He petitioned Lloyd-George and Clemen-
ceau to appoint Monnet as deputy to the Secretary General of the League
of Nations. There followed no objections. It was advantageous to the
English that their man be in the League of Nations, a man who had al-
ready proved his devotion to them. As far as Clemenceau was concerned,
he answered Cecil: "I do not believe in the League of Nations and am
very happy to satisfy your request."
In the League of Nations, Monnet engaged in the organization of
all kinds of committees and subcommittees. But this was the official
side of his activities. There was also an unofficial side: the tire-
less strengthening of his business connections with Englishmen and at
the same time with Americans. Monnet established close contact with
one of the partners of John Pierpont Morgan -- Dwight Morrow, who at
one time organized the financing of Allied loans in the USA. Monnet
also made friends with Acheson, the Future Secretary of State of USA.
At the same time Monnet gathered about him his old London friends.
Near him appeared Rene Pleven -- the future agent for "the European
Army" affairs. On the whole, the activity of Monnet in the League of
Nations was concentrated in all kinds of financial operations. He
worked hard on the organization of loans for the Austrian Treasury and
for the landowners of Poland, more exactly followers of Pilsudski, hav-
ing earned for himself quite tidy commissions. It was this financing
operation which gained him wide renown on Wall Street.
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In comparison with this income, service in the machinery of the
League of Nations proved not to be a very profitable occupation. Monnet
left Geneva and went to his native Cognac -- the affairs of the Monnet
Cognac Firm were very much shaken; the diplomat-businessman quickly set
about putting things right. And in this walk of life he achieved great
successes: before the second world war the firm brought him not less
than a million dollar income.
Having put his cognac business back on its feet, and having provided
himself thereby with the necessary reserve in case of any emergencies,
Monnet again set out upon international financial ventures. Now he en-
tered the service of American bankers. The wide scope and grasp of Ameri-
can businessmen were close to his heart. In the service of the interests
of American banks and monopolies, Monnet found his true calling. Bring-
ing him solid income, this service permitted him to consolidate and ex-
pand the business of his own firm.
American businessmen needed an efficient Frenchman -- they were
playing havoc with their banking operations in Europe. Monnet was
appointed director of the Paris branch of the American investment bank
of Blair and Co. At the head of the bank was an American Elisha Walker.
From that time Monnet began to feel at home on WI Street. He had
found himself in American business circles. And when the cognac manu-
facturer spoke about the business life of New 'York, in his voice were
heard rapturous notes.
The bank flourished. Its financial operations expanded. The
director of its Paris branch also prospered. He became a shareholder
of the bank. In the beginning of the 19301s this bank organized loans
on the financial market for the rulers of Poland and Rumania at that
time. The affairs of the bank had improved so much, that the largest
California financier Giannini took notice of it. He appropriated the
bank of Blair and Co 9 and created the new financial concern of Bank of
America-Blair and Co.
Who knows how the affairs of the new bank and Monnet would have
proceeded, if all this had not ended in failure in 1931. The bank went
bankrupt. But this catastrophe did not finish Monnet, or his patron
Elisha Walker., They both succeeded in getting away, and Monnet was
even able to preserve all his cash capital -- 3 million dollars.
The resourcefulness of Monnet was appraised at its true worth. In
a year, the American banks sent him to protect their interests in the
liquidation of the Kreiger international match trust, which had failed.
Elisha Walker became one of the directors of the American bank of Kuhn,
Loeb and Co? the very same bank which had protected German interests
in the USA during the entire war from 1914-1918.
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During the liquidation of the match trust, Monnet, in the capacity
of liquidator of the Kreiger trust, as appointed by the Swedish govern-
Tent, Successfully protected the interests of the American stockholders.
After this he obtained a new appointment, again from Americans.
In 1933 the son-in-law of Chiang Kai-shek -- the Minister of Finance
of China -- petitioned the League of Nations to help to put right the
system of Chinese finances. Upon the recommendation of the Americans
in particular the bank of Morgan, Monnet was sent to Nanking. Here he
met his old friends of the League of Nations: Henri Bonnet, Arthur
Salter, Joseph Avenol. With their participation, there was created in
China the China Finance Development Corporation. This company had the
task of attracting American capital for the construction of railroads
and electric power enterprises, and for the exploitation of the raw
material resources of China. In other words, Monnet cleared the way for
the penetration of American capital into China, and the enslavement of
the Chinese people.
Trying at least partially to protect themselves against American
expansion,0 the Chinese bankers set up the condition: not .a single con-
struction work could be carried out without Chinese capital investments.
Monnet assumed the task of settling this question. He went to New York.
Together with the American George Marnain he organized there a Marnain-
Monnet Company for obtaining loans in Shanghai, New York, London, and
Paris for tbe financing of construction work in China. Thus? Chinese
capital was dissolved in the total sum of capital investments and
enterprises constructed by these funds actually were not under the con-
trol of the Chinese powers. Of course, the largest amounts of capital
were invested by Americans, which made them in essence the chief owners
of the enterprises constructed.
Monnet did not select his companion Marnain by chance. Through
him he found the opportunity to expand his business connections. At
one time Marnain was the director of the large bank of Lee Higginson.
For a long time the bank held an important position on Wall Street; it
participated in the financing of Germany after the first world war.
It was one of those American banks which aided the revival of the mili-
tary power of Germany which had been destroyed in the first world war.
It is true that after 1931, in connection with the severe economic
crisis, Marnain had to reduce the scales of his operations for the
financing of Germany, but he never ceased to show interest in its
financial system.
When the second world war broke out,, Daladier and Chamberlin
appointed Monnet to the post of chairman of the Franco-British com-
mittee, located in London. Here Monnet again participated in danger-
ous intrigues against the interests of France. By evidence of the
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American press, he was striving to realize "economic integration," that
is, the merging of the economic resources of France with those of England.
Under conditions when the war was being carried on at the gates of France,
and later even on her own territory, such a merger was fraught with great
danger for France. As one of the American magazines indicated, these
projects led to a "still bolder idea -- the idea of political union."
Monnet carried on negotiations in London for the unification of
France and England into a joint French-British alliance. This project
originated in London at the time when France was in a difficult posi-
tion in the second world war, and the City magnates intended to use this
position of France in order to appropriate its overseas possessions and
its navy. Jean Monnet actively helped the English realize this plan,
whose failure it is quite impossible to attribute to a lack of effort on
his part.
After the capitulation of France, Monnet went to the USA with the
British Purchasing Mission. In Washington he settled down, just as much
at home as in France. In a comfortable _private house on Foxhall Road,
in one of the aristocratic outskirts of the American capitol, appeared
representatives of the higher circles -- if a person has many dollars,
it is possible to forgive him his foreign extraction.
Working for the English, Monnet also remained a servant of the
Americans. When the Allies landed in North Africa, Monnet was sent by
the American circles to investigate the situation in Morocco, Algiers
and Tunis. Then he returned to Washington for the management of the
French Purchasing Mission. There he remained until the very end of
the war. He returned to France only after an end had been put to Hit-
ler.
France had greatly suffered from the war. Her economy was seri-
ously undermined and was in need of rehabilitation and reconstruction.
And suddenly this Jean Monnet -- who was the man who had sometimes
served the English, sometimes the American banks and trusts, the man
whose entire activity had been directed against the interests of his
own country, and had threatened it with great damage -- this very same
Monnet appeared as the author of the plan of reconstruction" of the
French state.
Soon afterwards it turned out that this plan was directed, first
of all, towards restoration of the positions of those French banks and
trusts which had wide international connections and interests beyond
the boundaries of the country. The main burdens connected with the
restoration, were placed on the shoulders of the workers. And the
banks and trusts continued to enter large profits in the balances on
their books. As concerns the fortunes of the French economy, "the two
hundred families" who controlled France treated them very indifferently.
They were concerned only with whether they would get their own profits.
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Disregard of the national interests of the country is illustrated
by the notorious "Marshall Plan." It brought great profits not only to
the American bankers, but also to their French brothers in business. It
is completely clear that Monnet -- agent of international finance cir-
cles -- promoted in every way the implementation of the Marshall Plan
in France. On the basis of this plan, capital was invested only in
those enterprises which were in the hands of a tight little group of
French monopolists, which often caused damage to the national economy
as a whole.
But the most perfidious stab in the back of France which Monnet
and his colleagues inflicted, was the plan for a European Union of Coal
and Steel. The idea is- far from new. It originated in Germany. As
far back as 1931, the German industrialist Hugo Stinnes had expressed
it; he had dreamed of a "union" of Lorraine ore and Ruhr coke. Hitler
had tried to realize this idea by the force of arms. After the complete
defeat of the Hitler hordes, the idea of such a "union" migrated to the
USA.' In 1947 John Foster Dulles declared that the Ruhr basin with its
coal/ industrial and human resources was the economic center of Western
Europe.
The original version of the plan, proposed by Schuman in May 1950,
stipulated participation in it not only of Western Germany, France, Italy
and Benelux (that is, Belgium, Holland, and Luxemburg), but England also.
The plan amounted to the creation of a gigantic international monopolistic
concern, consolidating the metallurgical, iron-ore and coal industries of
these cQuAtrios. The businessmen of the London City rei'used to partici-
pate in it, but this did not stop the author of the plan. In April 1951
the treaty for the creation of the so-called European Union of Coal and
Steel was signed, and went into effect in August 1952. Jean Monnet be-
came the chairman of the so-called supreme organ of the European Union
of Coal and Steel.
e rulers of France, disguising the, real purposes of the plans
assured the French that the EuropeanUnion of Coal and Steel would bring
great advantages to French industry and to the economy as a whole, They
did nOt.conceal their intention to be the leading, determining force in
this union.
,ince ..that time more than four years have passed, That fruits has
France reaped? That has her entrance into the European Union of Coal
and Steel brought her?
The -Schuman Plan did, damage to the French economy. Many
.
coal-metallurgical regions of the country, primarily Nord and Pas-de
Calais, were hard hit.
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In accordance with the Schuman Plan, during the first year of its
operation many mines were closed as "unprofitable.? The coal trade was
doing poorly. The European Union of Coal and Steel established uniform
railroad rates. As a result of this "standardization" it turned out to
be more advantageous for the Lorraine metallurgical trusts to ship coal
from the Ruhr. And they refused to buy domestic coal.
The picture in the French steel industry was no less joyless. Steel
production, as is well-known, is indissolubly connected with coal. The
coal-coking industry of France, in comparison with the Ruhr, was always
more backward. It was in need of serious support.
Within the limits of the European Union of Coal and Steel, France
not only did not receive this support, but, on the contrary, immediately
proved defenseless as compared to the more powerful Ruhr magnates. The
Ruhr coal trusts had at their disposal the largest deposits of high grade
coking coals in Western Europe. There were not any high grade coking
coals in France. France, experiencing an acute shortage of coking coals,
became completely dependent upon the Ruhr coal trusts. It is not by chance
that the French steel industry all these years has been at a standstill,
whereas their Western German competitors have been increasing the tempos
of production.
In 1957 the smelting of steel in West Germany exceeded the produc-
tion of steel in France by two times.
Such a situation did not arise accidentally. The European Union of
Coal and Steel opened wide opportunities to the monopolies of West German
industry. Indeed, with the coming into effect of the Schuman Plan, all
limitations in regard to the smelting of steel and production capacities
lost their meaning. Entrepreneurs did not waste any time; they energeti-
cally went to work, about which the newspaper Frankfurter Algemeine
Zeitung wrote not without exultation. It was the organ of the West Ger-
man capitalist circles. "Prom the moment of the formation of the Union
of Coal and Steel," the newspaper declared, "West Germany was liberated
from the fetters which had artificially kept the reconstruction of our
metallurgical industry on a low level. Our metallurgical industry used
the initiative which it thus obtained. In 2954 it produced the same
quantity of steel as it had produced in 1938. This year 1955
A. Khazanov) the prewar level will be exceeded for the first time." The
newspaper; as is known, did not err in these predictions.
The assertions, that the European Union of Coal and Steel would be
able to control and limit the development of the West German war indus-
try, turned out to be idle talk. On the contrary, by means of the Euro-
pean Union of Coal and Steel West Germany began to intensify its war
industrial potential without difficulty.
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This completely suited both the West German militarists as well as
certain circles across the ocean) who considered Nest Germany the military
industrial base of NATO. But such a situation presented a serious threat
for France. And this real threat was created by such people as Jean
Monnet. It is true that at a certain stage, he abandoned these affairs,
having given up his power as head of the European Union of Coal and Steel.
But 3?ave already seen that this is the usual Monnet method. Having ful-
filled the immediate mission of his bosses, having set things going, he
then withdrew into the background, not ceasing to observe behind the
scenes and to pull one string or another opportunely. Monnet was not
disturbed by the serious difficulties which the French economy was ex-
periencing. He could not care less -- he had plenty of deposits in Ameri-
can banks, even if all of France were to blow up. He was engaged in the
realization of the scheme -- to transform the European Union of Coal and
Steel into the nucleus offla United Europe." "The European Union of Coal
and Steel," Jean'Monnet declared at one time in a public speech, "is an
attempt to attain political results through economic means."
What political results did this commercial traveler of "big business"
achieve? The magazine Perspective told about this with sufficient clarity.
"Some deliberately, others not being conscious of this," it wrote, "trans-
formed the European Union of Coal and Steel into a tool, as a result of
which six countries of Western Europe soon formed a sacred empire under
the American protectorate. The European Union of Goal and Steel was trans-
formed into a sword directed against the USSR) covering itself by the
existing necessity of organizing the struggle against communism, of organ-
izing a crusade to the East." This was the attractiveness of this plan
for Monnet, and those whom he served.
As concerns "the crusade to the East," Mr. Monnet, still, as the
saying goes, proceeded on the basis of "we shall see what we shall see."
At that time it was not easy to arrange such crusades. The experience
of events of the recent past very clearly indicated that attempts of
imperialists to organize anti-national conspiracies and military adven-
tures end up in disgraceful failure.
There is hardly anyone who is not clear on who was guilty of aggres-
sion against Egypt, and of the rise of the counter-revolutionary revolt
in Hungary.
This was a unified plan, conceived on a wide scale. Its authors
meant, in two blows, to change to their own benefit the situation on
the world scene. However, they did not calculate correctly) having
overestimated their forces and having underestimated the forces of the
camp of socialism and also the forces of the national-liberation move-
ment in the countries of the East. They obviously miscalculated and
received a two-fold crushing blow. The lessons of the adventure in the
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Arab East indicate that the colonizers suffered a military, economic, and
moral-political defeat. In Hungary the people, under the leadership of
the Hungarian Socialist Labor Party and the Revolutionary Worker-Peasants
Government, with the aid of the Soviet Union quickly defeated the counter-
revolutionary conspirators. The defeat of the counter-revolutionary re-
volt in Hungary, which was inspired from without; and also the defeat of
the aggressor in Egypt meant the great failure of the imperialistic course
of the policy "from the position of strength." This is the fate of some
of "the campaigns" about which Mr. Monnet and company had dreamed. These
dreams were fantastic. And here is the stark reality: French industry
on the decline, Italian metallurgy almost completely ruined; instead of
"the general market," there resulted the closed market of West German
monopolies and their senior American partners; monopolies of West Germany
got into the overseas possessions of France, and especially into North
Africa. Under heart-rending wails about the contrived *communist threat,"
France was not only fleeced, but her national interests were subordinated
to the interests of West German revanchism. And Jean Monnet was one of
the chief organizers of such a deplorable process for France.
Having placed upon France the yoke of the European Union of Coal and
Steel, Monnet and people of his type set about petitioning for the organi-
zation of the so-called "united market" and "Euratom." All of those same
six countries -- the participants of the Schuman Plan, including France
also, had to go into either of these organizations. In essence, the term
"united market" implies the elimination of economic boundaries between
these six states. The participants of the union are called upon to give
up some fundamental functions of state sovereignty, having yielded them
to "the super-national organs of the union." Behind these organs, of
course, stand the West German monopolies. The "general market" opens
for West Germany, which possesses a powerful economic potential) the
opportunity to establish its hegemony in Western Europe.
The matter of "Euratom" is still more serious. Of course, it is
disguised by every possible decent mask. This) it is said, is collabora-
tion of the six countries in the interests of the peaceful use of atomic
energy. Actually it is a completely different issue. The treaty con-
cerning the creation of "Euratom" stipulates the unification of atomic
research, the production of atomic raw material? the use of atomic energy,
and the joint financing of enterprises and plants in this field.
It must be taken into consideration that West Germany joined the
Union, but has no atomic raw material of its own; and on the other hand,
France and Belgium joined the Union, and they do possess their own atomic
raw material. For whom, then, is this collaboration advantageous? The
West German revanchists will have access to atomic raw material and actu-
ally will be freed from any limitations in the field of production of
atomic weapons.
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-Jean Monnet participated actively in the creation of *Euratom" he
had bete 'a practiced hand at such matters a lOng time age and had
proved himself a skillful organizer. The French; Who take a sober view
of the sitiation) with a shudder watch? the way in which thiS interna-
tional commercial traveler exerts himself in order to put into the hands
of the inveterate enemy of the French nation -- West German imperialism
-- the weapon of mass destruction. Monnet betrayed the interest ok his
country many times; his present activities cannot surprise anyone. He
proceeds by a method) which is complete4 logical for such an operator.
But this infamous method has led to the downfall of more than one French
politician. The people of France and Monnet are not going the same way.
BELGIUM
"There is nothing more frightening than
?a businessman, who has set out for. profit.*
Golbach
The "Common Denominator of Mr. Spaak M0 Sturua
-Some American journalists once asked Paul Henri Spaak what the secret
of hi S political career was. The secret consists of *patience and an ar-
dent desire to find the common denominator," Paul Henri answered without
a trace of irony.
Spaak possesses to perfection this wisdom, which Saltykov-Shchedrtri
maliciously and accurately nicknamed by the famous words -- to act "in
conformity with baseness." With the ease and effortlessness of the pro-
fessional illusioner he reduces to "a common denoMinator" the ultra-
patriotic tirades, and trades in the sovereignty of Belgium, "the social-
ist convictions" and the appetites of the colonizer, the verbiage about
peace, and the possession of shares of military concerns.
At the dawn of his hazy political youth) Mr. Spaak was considered
an inveterate rebel -- "a left" socialist. He even practiced law) de-
fending in the courts people prosecuted for political offenCes against
capitalism.
The peak of *the revolutionary" activity of the young socialist was
his participation in a street demonstration at the building of the con-
servative newspaper Nation Beige. Passing the editorial offices of this
newspaper, he broke the glass of one of the windows with a cane.
, "The revolutionary act" of Spaak did not cause a Belgian reaction,
or the slightest damage. It easily recovered from this blow -- the
editorial office of Nation Beige placed an iron grating on the windows.
Even up to the present time, it is pointed out to tourists. It is
called "the Spaak grating."
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But the period of "storm and stress" was short. The experience con-
verted Spaak into a socialist, who adhered to the constitution," wrote the
English journalist Mac Hicky. Only the black wide-brimmed hat, looked
upon as a sign of radicalism in Western Europe, of its right-wing social-
ist owner reminded one of the former convictions of this socialist.
In 19,37 Spaak became Minister of Foreign Affairs of Belgium. He
obtained the ministerial portfolio during the years when, over Europe,
the we fires had started. The Rhine area was remilitarized, the Saar
was annexed to Germany, Austria stood on the threshold of the auschloss.
In Spain, Hitler and Mussolini, helping Franco conduct war against the
Spanish people, were rehearsing the conquest of Europe. The Ministries
of Foreign Affairs in London and Paris, counting on the fact that Hitler
would turn to the east, not only did not hamper the raving lance-corporal,
but, on the contrary, roused his appetites. Austria and Czechoslovakia
were absorbed by the German Third Empire. The Munich capitulation became
a prelude to the capitulation of Compeigne forest. The second world war
broke out. At first "a strange war," then a frightful war.
:t 'was Paul Henri Spaak doing during these years? According to
Spaak himself, he was trying to convert Belgium into a second Switzerland
and 0;* this purpose had achieved recognition of Belgium's constant neu-
trality from Germany. But this was obviously ostrich feather politics.
Who does not remember that the Kaiser's Germany had come forward as
one of the guarantors of Belgium's neutrality? This by no means prevented
Wilhelm II frop giving the order to invade Belgium, and to occupy it.
Justifying the violation of neutrality, the German government of that time
declar9d to the Belgian government that France was a dangerous threat to
Belgium. In view of the inability of Belgium to protect herself independ-
ently from this threat, it was said in the statement, German armed forces
would enter Belgian territory. In this pert document, composed, inci-
dentally, according to that inveterate militarist General von Moltke,
? only as a mockery, Belgium was guaranteed "integrity and independence."
?gartoon opp. p /44g Everyone remembers how these "guarantees" for
Belgium turned out. Also the director of her foreign policy, Spaak, had
to remember this. Nevertheless he humbly begged for new uguaranteesu
from Hitler's Minister of Foreign Affairs Ribbentrop. The entreaties
were heard in Berlin. Hitler gave Belgium "solemn guarantees" of the
inviolability and respect of its neutrality. But the German General
Staff received the mission to work out a plan, of attack upon this coun-
try.
The preparation Of paper guarantees proceeded at full speed. Soon
Spaak'inserted into his diplomatic assets new guarantees, the guarantees
of the England and France who had been at Munich.
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Seeking after illusory guarantees, Spaak exerted every effort for
the frustration of the real guarantees of security, included in the effi-
cient system of collective security, whose creation the Soviet Union had
achieved at that time. Speaking on 11 May 1954 at the Geneva Conference)
the Belgian Minister of Foreign Affairs pathetically exclaimed: "Namely
here, in Geneva...I was witness to the destruction of collective security.
I shall never forget this -- the destruction of collective security was
the prelude to the second world war." He preferred to pass over in silence
the fact that his own role in this shameful matter went far beyond the
limits of a detached onlooker. It suffices to point out, that Spaak was
the first to recognize the fascist government of Franco, and actively par-
ticipated in the conversion of the League of Nations into a farces
The reckoning soon came. It was in the person of Beulow-Shvante,
the German Ambassador in Brussels. Beulow-Shvante came to the Belgian
Ministry of Foreign Affairs and read a note on the invasion of Belgium
by Germany. This occurred several hours after units of the Hitler
Wermacht crossed the Belgian border, having trampled on "the guarantees,"
which had been begged by Speak at one time.
Having heard out Beulow-Shvante, Spaak burst into a verbose mono-
logue. He branded Germany as ungrateful and even showed the Ambassador
the door. But not without reason do they say about Speak, that, "when
a crisis comes, the thinker in him yields to the man of action." Hav-
ing showed Hitlerls Ambassador the door, he became frightened. And hav-
ing become frightened, he began to act. According to the evidence of
the former commander of the Hitler army in Belgium, General FAlkenkhausen)
Spaak offered his services to the Hitler command. However his "offers
of collaboration" were declined. Falkenkhausen preferred a pure Belgian
Quisling -- the leader of the "Reichists," De Grelle.
Speak left Belgium, since he had nothing to do. Turned away by
Hitler and Shown much kindness in London, he nevertheless preferred) for
the time being, to mark time) to back two horses -- the outcome of the
war was still not determined. Speaking on 6 December 1940 on the London
radio) he appealed to the Belgians to keep, their loyalty to King Leopold
who had betrayed his country, and had turned into an inveterate col-
laborationist. "Everyone, who had taken an oath of loyalty to the king)"
overstraining his voice, Spaak laid down the law) "must keep this oath."
But Hitlers Germany was defeated. Spaak returned to Brussels. Now
there appeared a new rival for him, still more dangerous than the un-
lucky De Grelle. This was Mr. Van Zeeland. In Belgium Spaak and Van
Zeeland were called "the brothers-enemies.* The French magazine Democracy-
Nouvelle wrote about them: "In Belgium two men especially are obtaining
the post of 'honest broker' of the Americans: Spaak and Van Zeeland."
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The struggle of Spaak with Van Zeeland was not easy. Not for nothing
do they consider, in the USA, that Van Zeeland is 'the most American of
Belgian statesmen.? However the rivalry of these "brother-enemies" ended
up with the victory of Spaak. Since then he definitively and irrevocably
bound his fate with American imperialism, having become its faithful and
obedient servant.
Zpaak was born in Belgium. But "Belgium is too small for such a big
operator, as Speak," the London radio once noted. In this assertion, there
is a speck of truth -- in Belgium there is no person who would be able to
permit himself the luxury of buying Speak.
This luxury was accessible for the gentlemen of Washington.
Speak became an active executor of the schemes of the American imperi-
alists, who were striving to deprive the European countries of their na-
tional sovereignty and to convert all of Europe into the forty-ninth State
of Ameriea,
Devoid of "national prejudices," Spaak first of all worked on Belgium.
How much-eWert was expended by him in order to draw this country into
Western European "defense" groups A "The socialist, who adheres to the
constitution," took an active part in castrating the Belgian constitution.
Articles 25 and 68 were radically revised. These articles deal with the
national sovereignty of Belgium, the fundamental rights of the nation,
its sovereign power. The Minister of Internal Affairs of Belgium, at that
time Moyerson, frankly recognized, that this revision had been undertaken
for the purpose of the establishment of "super national power' within the
limits of the "European defense" organization. Spaak was one of the first
to vote for the actual elimination of the constitution and the sovereignty
of Belgium.
The voting in parliament did not reflect, of course, the real opinion
of the Belgian people. In a special study of public opinion on "the West
German defense organization," 70 percent of those asked declared that they
were against such an organization. That was the real will of the Belgian
people. Displaying the sovereignty of Belgium for sale, Speak was deal-
ing in something which did not belong to him.
Having forgotten about the Hohenzollern "guarantees" and about his
personal experience with the Hitler "guarantees,' Spaak again tried to
drag Belgium onto a path fraught with catastrophe, full of guarantees-
traps. This time it concerns the "guarantees" of Adenauer. With undis-
guised admiration he cites the words of the Bonn Chancellor that "the
European defense association must be the starting point for the system
of defense, which takes into consideration the need of all European na-
tions for security." The Belgian Minister, moreover, was deliberately
shutting his eyes to the aggressive preparations of the West German
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militarists. He did not want to remember, that during the years of the
second world war the German General Staff had sent barges to the Belgian
ports whose dark holds were crowded with soldiers of the Wermacht. At
the appointed hour they stabbed the Belgian defense forces in the back.
Having ratified the treaty concerning the "European Army," and after
its failure, the Paris agreements, the rulers of Belgium thus actually
sanctioned the future occupation of its territory by the West German
Wermacht that has now been created. Speaking at one time in parliament
on the question of ratification of the treaty concerning "the European
Army," the Minister of National Defense de Greve had to admit, that
the Belgians would have to agree, possibly, to the merger of their di-
visions with German divisions." De Greve confirmed that this could lead
to the placing of German troops in Belgium.
The Bonn neo-Wermacht would not even need barges -- the Belgian
Speaks were ready themselves to throw open the doors to the German di-
visions.
* * *
In October 19531 in the Hague, there was held a meeting of the regu-
lar congress of the so-called movement for the,unification of Europe.
At this congress occurred the solemn handing over of "European passport
po9 l" to Paul Henri Spaak, chairman of the assembly of "the European
Union of Coal and Steel."
Spaak completely deserved this "license no. 1 for trading in sover-
eignty." "The organized international life, which we are achieving,"
he "theorizes," "cannot be attained, if we do not destroy the dogma
of absolute state sovereignty. A real international organization and
absolute national sovereignty are contradictory and irreconcilable con-
cepts." Sovereignty, Spaak said authoritatively, is anarchy; the rejec-
tion of sovereignty is order.
Spaak began to achieve "the organized international life" the day
after the defeat of Hitlerge Germany. He became one of the creators of
the movement for "the Union of Europe." It was he who proposed the crea-
tion of "a European Council" for the drawing up of a constitution of the
future "European Federation." The name of Spaak invariably figures among
the inventors of all these artificial constructions: "United Europe,"
"the European Council," "the European Political Association," "Little
Europe," "the European Union of Coal and Steel," "the Social Movement for
the Creation of the United States of Europe," "the European Union for
Rapprochement with the USA," "the European Defense Association." In
spite of the variety of labels, they all pursue the very same goal -- to
deprive the countries of Western Europe of national sovereignty and inde-
pendence.
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Spaak infinitely hates the state boundaries of the Western European
countries -- indeed they impede free American penetration. "Down with
fifteen state boundaries," he proclaimed. For him only one boundary
was important. "The boundary of the USA," declared Spaak: "passes
through Europe." "We should have gotten rid of the prejudices and old-
fashioned traditions a long time ago...The attempt to coordinate the indi-
vidual activity of 15 different countries -- is a completely inadequate
method,.."
What kind of a method did Spaak consider "adequate"? This is the
kind of method: "We shall not solve the vitally important problem of
security until we develop a plan and until we create. ..a united army of
the countries of the Atlantic treaty. We need, as soon as possible, a
man who has much experience, influence and prestige, to be at the head
of this work....He would not only be the Commander-in-Chief, but, if it
can be expressed thus, also the general war minister for these countries."
General Eisenhower was such a "war minister," then General Ridgeway
became "war minister." Then General Gruenther had the role of military
governor-general of Western Europe. Now General Norstad in this same role
is functioning as the regular American Commander of the Armed Forces of
NATO. Spaak was obsequiously frank in the pages of the reputable Ameri-
can magazine Foreign Affairs: "I always have wanted the United States to
use its power and its interest in the welfare of Europe, in order to give
our continent a shove towards unification." But what a unionl "I should
welcome the manifestation of even more boldness," he recklessly exclaimed
in that same magazine.
And, there is no denying the consistency of the Belgian minister-
socialist -- if instead of 15 European boundaries there must exist one
-- the American, if instead of 15 European currencies there must remain
one -- also the American, then is it not logical to offer all of these
15 European countries also one master -- America?
These glorifications in honor of the American Uncle Sam make up one
of the basic melodies of the propagandistic street-organ of the Belgian
socialist.
Having gone to the shores of the Hudson, where, according to his
own declaration he liked everything except "the very monotonous food,"
Spaak became very enthusiastic over "the changes in the class structure"
of the USA. It turns out that in the USA "millionaires are gradually
disappearing, and capitalism is achieving, in reality, socialist ends."
But in spite of this demagogy, the workers of Europe more and more
distinctly understand, that in the USA the millionaires are not disap-
pearing, but rather the democratic freedoms are disappearing, that the
bosses of Wall Street are striving towards the achievement not of social-
ist goals, but of world supremacy.
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Spaak was having difficulties "In Western Europe there is notice-
able an anti-American trend, which in my opinion, has become intensified
recently," he complained in an interview in the newspaper pagbiadet.
Speaking at one of the "Europe-USA" congresses, Spaak expressed himself
far more frankly: "Several million Europeans," he said, "subjected to
doubt and mockery the values in which we believe more than in anything
else....For the majority of Europe, America means Chicago gangsters and
New York multi-millionaires. Our task is to show the likeable face of
America." But even that propagandist cosmetic, with which Spaak tried
to make up the face of monopolistic America, did not make it more attrac-
tive.
* * *
With unusual ease Spaak sacrificed what he himself called "the
vital interests of the Europeans." In the American magazine Foreign
Affairs, he wrote: "Europe must be reconstructed; but the reconstruc-
tion of Europe means at first the infringement of some lawful interests.
Here and there it may create, for some time, unemployment. It may mean
the destruction of individual personalities and some groups." Speaking
in 1952 at the Hague, Spaak called for "the sacrifice of European pride,
sovereignty, and material sacrifices."
Let no one be surprised at this sham altruism: the reconstruction
of Europe for which Spaak was calling, would not infringe upon his own
interests. Whomever unemployment and ruin might threaten, they would
not threaten Spaak. Waiving the sovereignty of his homeland, he did
not make any personal sacrifices. On the contrary, he made a fortune.
Here are the facts. Before the beginning of the debates in the
special commission created in Belgium to study the question of the
ratification of the treaty for "the European Defense Association,"
Cowen, the Ambassador of the USA in Brussels, gave Spaak to understand
that the Belgian export firms with which Spaak was closely connected,
would receive profitable American orders if the Belgian parliament
would ratify the treaty in 1953. The deal went through? SpaalOs firms
received profitable orders.
When the American intervention in Korea began, Spaak was beside
himself with joy. "I approve of the action of the United States in
Korea," said he, transported with enthusiasm. Five years later, speak-
ing at the Geneva Conference on the Korean Question, Spaak declared
with affected disinterestedness: "In such a war as the warmn Korea,
there is nothing for us to defend except principles." Is that really
the case, Mr. Speak? A careful study of some aspects of his biography
indicates that "the principles" of this man lie in his safe in the form
of a considerable packet of shares of the National Armaments Plant.
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The arms dealers and their salesmen of the government attained their
end -- the conference was frustrated. The stockholders of the National
Armaments Plant continued to make a fortune in the production of weapons
of death and destruction.
The events of those years throw a bright light upon the sources of
friendship of the Armaments Plant and its stockholder Spaak with American
military firms and the US State Department.
This friendship, mixed in the yeast of the international tension,
became especially close during the years of the Korean adventure of Ameri-
can imperialism. It is continuing to become stronger even now. It is
growing together with the increase of the price of shares of the National
Armaments Plant. In 1948 a share of this concern cost 600 francs; after
six years it was worth 3,000 francs. In 1948-1949 the dividend of the
National Armaments Plant amounted to 65 francs per each share. After
five years it reached 1925. francs,
This is where it is necessary to search for those "principles," in
whose defense Mr, Spaak drove his countrymen to Korea, The specialists
recognized the Belgian rifle, produced by the National Armaments Plant
as the best, and it was accepted as the equipment of the forces of the
North Atlantic bloc. This decision caused a sharp influx of orders to
the plant. The people, to whom this decision was whispered in time, be-
came fabulously rich in a short period. Among those who became rich
was Paul Henri Spaak -- one of the principal stockholders of the National
Armaments Plant in Herstal.
How did the "socialist" Spaak become converted into a large stock-
holder of a war enterprise? The Berlin evening paper BTS Am Abend wrote
that a large cash bonus received by Spaak for his active support of "the
Schuman Plan" helped him to make his way among the arms manufacturers,
Thus Spaak acquired on the Brussels Exchange shares of the National Arma-
ments Plant.
The owners of the plant were glad to get for themselves such a
"socialist" as a partner. The close connections of Spaak with the over-
seas organizations of the arms race promised them large war orders,
critical war materials, credits.
Not just the one company made use of Spaakus services. Spaak also
obtained large American orders for the Dille Automobile Company, of
which he was also a stockholder.
Spaak made use of the American sops not only for personal enrich-
ment. The center of "the European movement," which was in Brussels and
directed by the Belgian Socialist Party, was financed from American loans
obtained by "the European Union of Coal and Steel."
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"The American war orders are a bridge, thrown between our two conti-
nents," the former Prime Minister of Belgium Van Gutt once declared in
Ghent at the international exhibition on the occasion of "American Day."
In Belgium this bridge -- the heavy burden of the armaments race -- lies
on the Shoulders of Belgian workers. The military expenditures of Belgium
amount to the huge figure of 21 billion francs. Speaking on the radio,
The Minister of Finance of Belgium declared: "From Brussels to Malin is
21 kilometers. If there were placed along the road from Brussels to the
Great SquAre of Malines at each ten centimeters a packet of 100 1,000
franc notes, then the total sum of 21 billion francs would be obtained."
How many of these packets would fall to the lot of Mr. Spaak? When the
newspaper Drapeau Rouge suggested that he tell about his connections with
the National Armaments Plant, Spaak preferred to keep silent.
,But this silence was more eloquent than many words. The fact is
that, in dealing in European sovereignty and earning for himself popu-
larity with the American Uncle Sam, Spaak was reducing everything to
"a common denominator" -- to war.
-"The approaching peace worries me," Spaak frankly said during the
second world war. With time, this anxiety developed into a real mania.
"Korea is only an episode, a warning that it is necessary to hurry...,"
declared Spaak.
And the aggressors began to hurry. The cities and villages of
Egypt burst into flame, The tragedy of Port Said shook the world. All
humanity held up to shame the interventionists-colonizers who had in-
vaded Egyptian territory. The overwhelming majority of the countries
-- the members of the UN -- censured the actions of the Anglo-Franco
Israeli aggressors.
But Belgium was not among them. Not because the Belgian people
approved of this base aggression, but because Spaak represented Belgium.
The lechery of "the demagogue in dinner-jacket" (thus Spaakos
political opponents had nicknamed him) reached its peak at the Eleventh
Session of the UN General Assembly. Headlong, he rushed to the tribune
to save his bosses, who had entangled themselves and exposed themselves
before the whole world. Spaak, foaming at the mouth, spoke in support
of the colonizers from the high tribune of the Assembly.
In order to divert attention from this disgraceful colonizer ad-
venture of his partners, Spaak? together with his protector -- the USA
-- undertook a roundabout maneuver. Onto the agenda of the UN General
Assembly was juggled the provocative "Hungarian question." How Spaak
excelled in anti-Soviet slander, how he openly fraternized with the
Hungarian fascist-counterrevolutionaries, how he tried to slander and
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cast slurs upon the great camp of socialism, and at the very same time
:whitewash the executioners who had organized the slaughter in the streets
ofJiludapest!, Acting "in eonformity with low-down action," Spaak indeed
surpassed himself.
This did not pass unnoticed.
'In December 19560 at the regular meeting of the NATO council in Paris,
the Belgian socialist Paul Henri Spaak was chosen Secretary General of
the North Atlantic bloc. Even the history of right-wing socialism, a
history which is not so poor in facts of desertion, degeneration, and
grovelling before capital, does not remember such an individoe1.0
In appointing Spaak as Secretary General of NATO0 Washington was
counting on galvanizing the idea of "European unity." Not for nothing
was the session of the Council of the Atlantic bloc convened at the same
time as the Conference of the Western European Union in Paris. For the
Washington bosses of NATO the subordination of the armies to the Pentagon,
the militarization of the economies of Western Europe were not enough.
They wanted to convert these countries into colonies of the USA, deprived
of sovereignty, independence, sovereign state independence. For this all,
new attempts were undertaken to galvanize the still-born Western European
Union. Who other than Spaak, the holder of "European passport no. 1,"
would be entrusted with this mission?
The appointment to the new post brought out in Spaak a new fit of
hatred for sovereignty, of servility before the American monopolies. In
his very first public address, the newly brought-to-light Secretary Gen-
eral of NATO declared that he did not see any contradiction in the dec-
laration by Dullest that all the members of the North Atlantic pact must
come to an agreement with the USA about their policy and must consult
with the USA, but that the United States does not have to do this in its
relations with members of NATO. "Ultimately," pathetically exclaimed
Speak, "it would be impossible to expect that such a country as the USA,
with its international obligations, would promis4 to consult with such
a small country as Belgium on every problem which it might encounter in
some region of the earth." It is difficult to say, what there is more
of in this declaration of Spaak servile obsequiousness before the
American Uncle Sam, or lordly contempt for his own country. ,
Having become secretary General of NATO, Spaak started a new in
-- this time with the atomic bomb. Not just anywhere, but in
Bonn on the eve of the MAY 1957 session of the Gouncil,of the Atlantic
Union, he ted the journalists, that "the huge destructive power of the
nuclear weapon is for us the best guarantee of peace."
...A guarantee again. Here indeed: can the leopard change his
spots?
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At the same time, Spaak with even greater zeal led the attack against
the sovereignty of the Western European countries. He was an indispensable
participant of all the conferences for the drawing up of treaties for the
creation of "Euratom" and "the total European market."
Speak could be seen at Lancaster House in London, at the conference
of the Ministers of Foreign Affairs of the six countries -- the future
participants of these unions. Then the ministers and the premiers attached
to them met at the Matignon Hotel in Paris. Finally, the conspirators
against the interests of Europe took shelter in the castle of Valle
Duchesse in Belgium. There under the chairmanship of Spaak were drawn
up coordinated plans, which were signed later in Rome.
"We are happy, as parents at the birth of a child," he hastened to
inform the representatives of the press. The participants of the confer-
ence at the palace of Valle Duchesse chose Spaak as head of the interim
committee for the acceleration of work for the putting into effect of the
treaties for the creation of "Euratom" and "the total European market."
-1Thus "the socialist," the Secretary General of the war bloc of im-
perialists headed by the USA, Spaak, reduced to an American "common de-
nominator" the Western European countries.
ASIA AND AFRICA
In the past, the majority of the countries
,of Asia and Africa were colonies and semi-colonies
of imperialism, its home fronts in the preparation
,and conducting of wars; however, at the present
time, they have been converted into a force, oppos-
ing colonialism and wars, standing for peaceful
coexistence 0.. the imperialists with all their forces
Are trying to stop this current -- the movement for
national independence. However, it is impossible
to stop it." -- Political report of the Central
Committee of the Communist Party of China to the
Eighth All-Chinese Party Congress.
The Last Comprador of China D. Zaslavskiy
The years after the second world war signified the universal-
historical process of the spreading of socialism and the formation of
new socialist States, the downfall of the century-old colonial syStem.
This was the most profound crisis of capitalism, the last stage of
imperialism
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Denying the regularity of the historic process, the capitalists nour-
ish hopes for the restoration of the capitalist and colonial system. For
this reason, the ruling circles of the USA and England, and behind them
also other imperialists are striving to preserve everything that still
remained from the colonial world.
One such fragment of colonialism is the Island of Taiwan. Here,
established firmly, is Chiang Kai-shek, the recollection of whom would
have been blotted out in China and in the whole world, if he had not
been made a pawn in the large and gambling game of war.
Chiang Kai-shek personifies the history of the parasitic existence
and inglorious downfRil of the peculiar variety of colonial bourgeoisie
the,compradors,
. This Class was the support of the imperialists in the colonies. It
suffered,a crushing defeat in the national liberation wars of the peoples.
To indicate how the political career of Chiang Kai-shek rose in a
bloody fog and how it set, means to reveal those historic premises which
determined ,the greatest historic victory of the Chinese people, of the
Comml,141.0 arty of China, the liberation of the great Chinese state from
the y6ke of the imperialists of England, Japan, and USA, and of internal
reaction. Chiang Kai-shek himself was a complete nonentity. He has re-
mained... nonentity up to the present. But in his behalf acts the Chiang
Kai-shek w,in the United Nations. His piratic flag flies over the
island torn_away from China, and which was converted into a piratels
nest. The Chiang Kai-shek army, equipped by the government of the USA,
is considered by American strategists as a shock detachment of the im-
perialists.
?All.thisdoes_not make it possible to forget Chiang Kai-shek, to
efface him from the memory of the people, and from the list of the most
malicious warmongers. At the same time the story about the downfOl of
Chiang Kai-shek is, a clear picture of the hopelessness of the new colo-
nialism spread by the USA.
* * *
By the time, when in the family of a salt merchant, the childhood
of ,Chiang Kai-spek ended, the people of China had been conducting a
strained revolutionary struggle for a half century against foreign
imperialism and despotic Chinese feudalism. Pressing wars upon China
or threatening China with war, the American, Japanese, French, and
German imperialists forced the rulers of China to sign enslaving agree-
ments0 they thrust upon China a colonial regime, seized Chinese terri-
tories, created special settlements in the country, led their troops
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into China; literally, this was not a great sovereign state with a century-
old culture, but their colony. They plundered the natural resources of
the country.
Whoever the imperialists might have been, who, at a given time held
the most important place in the colonial plundering of China, their pro-
gram in general was one and the same: the enslavement of the people,
inhuman exploitation, plunder of the natural resources, and retention of
the age-old economic and cultural backwardness.
The imperialists ruled with the aid of the Chinese rich men, who
had become obliging agents of foreign companies. Thus arose the com-
paratively numerous cadres of the compradors, the parasitic bourgeoisie
who acted on behalf of the colonizers, who served the imperialists, who
betrayed its own people. These compradors? who multiplied especially in
the large port cities -- Shanghai, Canton, Tsingtao, formed the most reac-
tionary part of the Chinese bourgeoisie. The people had the same hate
for them which they felt for all foreign enslavers0
oppressing the Chinese peotae the imperialists could
not hOweverr, in spite of their will and 'their intentions) ,
in the course of the inevitable historical development could not stifle
the process of the economic awakening of China.
There arose cadres of the industrial and transport Chinese prole-
tariat; there began to appear small factories of the national bourgeoisie,
who was interested in the extensive development and independence of Chinese
industry. Still weak and depending upon foreign and comprador capital,
this part of the bourgeoisie was already dreaming about domination in the
market.
A huge revolutionary force was born in China together with the forma-
tion of cadres of the industrial proletariat. It had a historic mission:
to head the revolutionary movement in the country, to unite all the oppo-
sition forces against colonialism, and to lead them to the storming of
imperialism and the feudal-comprador forces.
In the beginning of the 20th century the foreign imperialists intensi-
fied their oppression. They tore into parts the living body of China.
Japan started the armed seizure of entire regions -- the Iwangtung area
and the Liaotung Peninsula. England invaded Tibet, the English and French
troops were led into the Yunnan province. Foreign monopolistic capital
seized key positions in the Chinese economy. In China there predominated
the English Hong Kong-Shanghai Bank, the German-Asia Bank, the French Bank
of Indo-China, the American banking consortium, created by the banks of
Wall Street: John P. Morgan, Kuhn-Loeb and Co. and others.
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The Chinese people never became reconciled to this enslavement. The
country rose up for the struggle against the foreign imperialists and
local feudalism. This struggle led to the revolutionary outburst in 1911
which put an end to the feudal-monarchial system in China. In Nanking,
the Chinese republic was proclaimed. Under the pressure of the foreign
imperialists, the Chinese bourgeoisie gave up the power to that very same
feudal clique which had predominated during the monarchy. The militarist
and feudal lord Yuan Shih-k8ai was proclaimed president. But the real
power in the country belonged to several militarist cliques.
The imperialists furthered the parcelling out -- it is easier to
plunder and to oppress a country when there is not a united will, a united
power in it. If someone of the small rulers gathered forces, another ruler
was set upon him. In the country, as formerly, the landowners-feudal lords
predominated. In the cities the compradors swarmed in a parasitic horde.
But the revolutionary national movement, the struggle of the workers
and peasants did not cease. It was becoming clear that the revolution was
only beginning, and that the masses of the people would not become recon-
oiled to the power of the militarists.
The great October Socialist Revolution opened a new epoch of the
victorious struggle of the colonial peoples and the dependent countries
against foreign and domestic oppressors. It indicated the correct way
to the Chinese people. "The gun volleys of the October Revolution brought
Marxism-Leninism to us," wrote Mao Tse-tung. The October Revolution
helped the progressive elements of peace, and helped China to apply the
proletarian world outlook for the determination of the fate of the country
and a reconsideration of its own problems. The conclusion was to proceed
along the way of the Russians.
The action of the revolutionary student body on 4 May 1919 in Peking
was the beginning of a wave of strikes. There developed an anti-feudal,
anti-imperialistic movement for the national independence of the country.
The bourgeois-democratic Chinese revolution was placed upon a new road
-- it was converted into a democratic revolution? directed by the prole ,
tariat.
Rising for the struggle for social and national liberation, the
Chinese working class created its own Communist Party, which led the
whole Chinese people to the universal-historic victory in the revolu-
tionary movement. In July 1921, in Shanghai, there was held the First
Congress of the Communist Party. The matter of the struggle of the
Chinese people for emancipation was in reliable hands. The Chinese
Communist Party," wrote the well-known Chinese scholar Ch en Bo-dal,
"became the all-national leader of the anti-imperialistic and anti-
feudal democratic revolution. It called for the establishment of a
united revolutionary front of different classes against imperialism
and feudalism."
* * *
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This appeal found a response. Profound social-class changes in the
country, the experience of the revolutionary struggle of the people caused,
by that time, great changes within the Kuomintang, created in 1912 by
Sun Yat-sen. The right-wing, most reactionary group deserted Sun Yat-sen.
The left-wing group united under the leadership of Sun Yat-sen.
Life, the experience of the revolutionary struggle, taught this great
democrat that without ,collaboration with the best forces of the country
-- with the Communist Party, without alliance with the USSR, without the
support for the genuinely revolutionary forces of the people, the workers,
and peasants -- it is impossible to achieve victory in the bourgeois-
democratic revolution. Loyalty to the interests of the people, an under-
standing of their needs, of the most urgent tasks of the revolutionary
movement, led Sun Yat-sen to the correct conclusions. At the very same
time, the Communist Party, using the valuable experience of the Russian
revolution, applied the correct tactics. The Third Congress of the Com-
munist Party of China adopted, in the summer of 1923, the resolution on
the entry of the Communists into the Kuomintang, with the preservation
by the Communist Party of political and organizational independence.
This led to the revival and activization of the Kuomintang. At its
First Congress, held in January 1924, a united national front took shape
in the country. The Congress gave the correct interpretation of the three
national principles of Sun Yat-sen. The first principle was "nationalism"
-- the struggle against imperialism, the second was "sovereignty of the
people" -- the establishment of a democratic republic; the third was
"national prosperity" -- the allotment of land to the peasants, the limi-
tation of large monopolistic capital, the support of the workers move-
ment.
The three national principles were supplemented by the three princi-
pal political goals: alliance with the USSR, alliance with the Communist
Party, the support of the workers and peasants.
The revolutionary movement in China grew, expanded, developed. It
took the form of revolutionary civil wars against the rule of the feudal-
militaristic cliques.
At this time, there appeared the young militarist Chiang Kai-shek.
After the example of other sons of the Chinese bourgeoisie, he was edu-
cated in Japan. He was graduated from the Japanese Military Academy in
1906. Here he had mastered not only the cult of the sword, contempt of
the workers, but also dreams about the rule in China of the bourgeois
military clique. This was "the nationalism" of the reactionary youth.
Putting on a mask Chiang Kai-shek joined the Sun Yat-sen "Union
League." He wanted to lean upon the national-democratic movement. He
succeeded in ingratiating himself with the leaders of the new revolu-
tionary society. The future comprador had his own secret plans. He
perceived the revolutionary movement only as a means to the achievement
of personal power, and power -- as the means to wealth.
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Chiang Kai-shek was dying for profit. At the most difficult time
for the revolution, 1918, he deserted its ranks and set off for Shanghai
-- to speculate on the exchange in the company of his partner and relative
Ch en Kuo-fu. The biographers of the young exchange speculators servilely
wrote about this period of his life: "Moving in commercial circles, he
always acted correctly, and in a short time, having struck a number of
profitable bargains, became a rich merchant."
Speculating on the exchange, where sharp practice was considered a
talent, and deception, brutality and treachery -- normal professional
qualities, Chiang Kai-shek became closely connected with the criminal
underground of ,Shanghai ?tlebrutalChing-PangSociety.? The bandits of
this gang kidnapped people for the purpose of obtaining ransom, and en-
gaged in murders. The "society" had a large system of smugglers, dealers
in opium, suppliers of "live goods." Foreign imperialists extensively
used the services of such terrorist bands. Here, in the Tsinban, Chiang
Kai-shek went through the school of treason and betrayal. Chiang Kai-shek
spent five years in the corrupted, unprincipled and dishonorable environ-
ment of the compradors. He understood F01 the secrets of the banking in-
trigues. The golden cupola of the temple of profit, of the majestic
building of the omnipotent Shanghai-Hong Kong Bank irrepressibly attracted
him.
The young businessman undertook a clever attack. He was pushing his
way through to wealth. But there were dozens like him; they were seekers
of profit in the parvises of foreign banks in China.
74e young comprador was pushed aside; he was not among the elect who
were making fortunes in the millions.
Chiang Kai-shek undertook the tactics of a long roundabout way. He
decided to get to power and to wealth in a roundabout way. He returned
to Canton.
The anti-imperialist and anti-feudal revolutionary movements grew
and became stronger; in 1923, in Canton, was formed the southern revolu-
tionary government. The revolution needed people who were skillful in
military matters. Chiang Kai-shek became the Chief-of-Staff of the
revolutionary army. In its ranks were many communists. With their
active participation, the first academy of the revolution was created on
the island of Wampoa. Having disguised himself, having covered himself
with the mask of a supporter of the revolution, Chiang Kai-shek became
the head of this academy. He used cunning and maneuvered carefully?
hiding for the time being his ferocious hatred of the working class, of
the working peasantry, of the democratic intelligentsia, of all the op-
pressed.
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:For Chiang Kai-shek the command posts in the revolutionary army were
only rungs in the ladder to power.
With all the revolutionary passion, the military cadres of the Com-
munist Party were used for the armament or the people and for their mili-
tary training s it was only possible in bitter battles to conquer the armed
counter-revolution of the northern militarists. At the head of the politi-
cal department of the WampoaAcademy was placed a leading figure of the Com-
munist Party of China, Chou En-lai.
The Chinese anti-feudal revolution developed victoriously. In 1925
the national revolutionary army conducted two eastern campaigns in the
province of Kwangtung, wiping out the forces of the counter-revolutionary
militarist Ch/en Chun-min. The communists were the soul of the campaigns,
the bones of the revolutionary army, loyal and devoted, capable of mobil-
izing the masses for the victory over the enemies of the revolution. The
units under the command of the communists won fame for themselves in win-
ning the victory.
And Chiang Kai-shek? He was preparing the seizure of power. He in-
trigued against the communists and achieved their ousting from the First
Army, which he commanded. Indeed his goal was not the victory of the
revolution, but his own personal power.
On 12 Marcb 1925, the most eminent leader of the Chinese revolution,
Sun Yat-sen died in Peking. In his last political documents -- in his
will to the Kuomintang, and in his appeal to the supreme organ of state
power of the Soviet Union, the Central Executive Committeeo he left his
instructions, his political legacy to strengthen the bonds with the masses,
to intensify collaboration with the Communist Party? to make stronger
friendship with the Soviet Union. The goal was the revolutionary over-
throw of the rule of the imperialists.
Chiang Kai-shek betrayed these precepts. Be was opposed to one of
the most important political directives adopted by the First Congress
of the Kuomintang -- an alliance with the Communist Party.
He did this not only in the interest of personal career goals. The
interests of foreign imperialists, with whom he was connected, also im-
pelled him to do this. Indeed, starting from the events of 30 May 1925,
the national-liberation movement in China acquired a still more profound
anti-imperialistic character.
On 29 May the Japanese inflicted a massacre upon the workers. On the
next day there was held in Shanghai a vast demonstration of workers and
students? English and American police of the international settlement
shot the demonstrators. An outburst of indignation gripped the whole
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country. In Shanghai a general strike started and continued until fall.
The blood of the workers, shed by American-English imperialists, raised
In the country a wide anti-imperialistic movement, which obtained the
name "the movement of 30 May." Strikes broke out in Canton and Hong
Kong. The working class of China stood at the head of the revolution-
ary movement.
The foreign imperialists -- the English, American, Japanese and
French -- became downright alarmed: against them there appeared a power-
ful opponent, whose forces were growing stronger. The imperialists intensi-
fied the activity of their henchmen -- U Pe-fu (the English) and Shen
Tac-lun (the Japanese), resorting, through these puppets, to direct mili-
tary support of the Chinese counter-revolution. At the same time, through
Chian Kai-shek, there were undertaken maneuvers for the purpose of push-
ing the communists out of the Kuomintang, of not permitting them to de-
velop the revolution deeply or of drawing into the revolution the wide
masses of the people, and of converting them into leaders and the chief
political force of the revolution. In March 1926, Chiang Kai-shek, hav-
ing declared himself "the Commander-in-Chief?g carried out the arrest of
a number of communists. He appointed his partner on the Shanghai exchange
Chen Go-fu as the director of the organizational department of the Kuomin-
tang. At the same time, demonstratively emphasizing this deviation from
the most important political directive of Sun Yat-sen for an alliance
with the communists, he appointed as rector of the Canton University the
anti-communist "theorist" Tai Chi-toao. He was entrusted with the "theo-
retical" struggle against the three principles and the three political
directives adopted by the Kuomintang at its First congress in 1924 as
the program of the revolutionary movement of the Chinese people.
A heated struggle developed between the bourgeoisie and the prole-
tariat fer the leadership of the revolution.
The bourgeoisie gathered its forces, in order to defeat the prole-
tariat, to make a deal with foreign imperialism, to put an end to the
revolutions and to establish their own domination.
The proletariat gathered its forces in order to hurl back the
bourgeoisie, to strengthen its hegemony, and to lead millions of the
working masses of the city and the country. The proletariat won in the
difficult, bloody struggle of many years; the proletariat conquered.
* * *
Chiang Kai-shek put off, for the time being, the man-to-man fight
with the communists, with the proletariat. He was counting on achieving,
in the alliance with them, victory against the northern militarists and
then to stab them in the back.
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In June .1926 the National-Revolutionary Army began its Northern cam-
paign. The communists again played a huge role in the arpy. They were
in front ?.in. the line of fire, their battle units achieved the deci-
sive victories. The army of Pe-fu was defeated, the troops of Sun Chuan-
fan were defeated; the revolutionary army successfully moved to the north.
The American and other imperialists were in a panic -- they were
preparing the counter-revolutionary coup, were conducting secret nego-
tiations with Chiang Kai-shek, promising him a loan of 60 million dollars
"for the struggle against the communists and for their annihilation."
The comprador bourgeoisie accepted the order.
In February 1927, the National-Revolutionary Army began operations
for the occupation of Shanghai and Nanking and the expulsion of the troops
of the corrupt generals there. Three times the workers of Shanghai re-
volted -- the third uprising began 21 March and ended with their victory.
The henchman of the compradors bided his time. Chiang Kai-shek refused
to come to the aid of the workers who had revolted -- it was advantageous
for him that more blood be shed by those who had revolted, that their
forces be rpakpned: indeed he was preparing a bloody traitorous attack
against them.
Nanking was occupied -- the warships of USA and England were firing
at the city. Almost 3,000 Chinese perished. Chiang Kai-shek appealed
to the interventioniSta-murderers with a servile message.
12 April 1927 was the black day of the betrayal by the bourgeoisie
of China of the cause of national liberation. On this day, Chiang Kai-
shek shot Shanghai workers, and by order of the English imperialists
accomplished a counter-revolutionary coup. The revolution was betrayed.
But the coup did not lead to the total victory of the counter-revolution.
The forces of the revolutionary proletariat and the peasantry:, which
started the agrarian revolution under the leadership of the Communist
Party, were not broken.
Accomplishing the betrayal, Chiang Kai-shek acted not only as an
agent of the parasitic capital of China, which was afraid of the wide
scope of the people's movement. He acted also as a hireling of foreign
imperialism. Indeed, the first civil revolutionary war, betrayed by the
Chiang Kai-shekists in 1927, was directed against foreign imperialism.
The revolutionary war created the danger of death for foreign imperial-
ism. Chiang Kai-shek set up as his mission the placing of the Kuomin-
tang in the service of the colonizers of China.
In the supmer of )936 in the newspaper PekingTuan-12ALLnitai,
the Chief of Staff of the Japanese army in Northern China Colonel Nagapl
wrote:
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If at that time (that is, in 1927 - D. Zaslavskiy) the Kuomintang
and the Communist Party had not come to a breaking-point (the Japanese
colonel thus termed the betrayal of the Chiang Kai-shekists D. Zas-
lavskiy), then the success of the revolution would have been ensured in
a matter of days. The influence of the imperialistic powers in China,
and, primarily, the influence of Japan, would have been destroyed.
Therefore the Japanese War Ministry manifested extreme anxiety and
directed Colonel Nagami and Colonel Matsumuro to undermine the Chinese
revolution."
There began the period of wild, unruly terror. Chiang Kai-shek,
who was joined by the right-wing member of the Kuomintang, Wang Chang-?
wei, who was close to the Japanese, followed the rule: "It is better to
execute a thousand innocent persons, than to let one guilty person escape."
The inveterate traitors called this terror "the purge of the Kuomintang."
The staunchest fighters of the revolution were eliminated. Not less than
half a ion of them were executed, killed, tortured in Chiang Kai-
shekist torture chambers.
But new fighters replaced those who had fallen. In August 1927 in
Nanchang, units of the national army under the command of Chu Te, Chou
En-lai?Ho Lung, Ye Tin revolted against the Kuomintang terror. In
September, under the leadership of Mao Tse-tung there occurred the re-
volt of the peasants, miners, and soldiers in the provinces of Hunan,
and Shansi. The Chinese Red Army was created; it subsequently became
the great National-Liberation Army, which liberated China from the
power of the foreign imperialists and militarists,
And in the camp of the counter-revolution the desperate fight be-
tween the cliques of the Kuomintang was proceeding.
The period of intensified fascism in Kuomintang China began. Pro,
fessor Wen Bo-dai wrote, "The powerful national vanguard the Chinese
Communist Party --? resisted Chiang Kai-shek; the violent peasant revolu-
tion resisted Chiang Kai-shek; this is the reason that the counter-
revolutionary dictatorship of Chiang Kai-sbek took the form of a feudalcomprador fascism, and the Kuomintang was converted into the Fascist
Party, controlled by Chiang Kai-shek and the brothers Chen Id-fu and
Chen Kuo-fu."
But the brutal terror could not break the revolutionary movement.
Chiang Kai-shek was seeking aid and support from the imperialistic
powers, whose servant he was. He went to Tokyo; he was the guest of
one of the directors of the Japanese intelligence service, Toyama
Mitsuru. Upon taking leave of Mit suru, he gave Mitsuru an autographed
photo with the inscription "Close, as one familyoll Thus the betrayer
of the Chinese people became related to the Japanese intelligence
service.
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The reactionary Chinese bourgeoisie fawned upon the Japanese invaders.
When in 1928 the Japanese organized the brutal massacre of the Chinese in
ttinan, Chiang Kai-shek issued the order: "Not to come into conflict
with Japanese troops.... For the sake of saving one Japanese, it is worth
destroying even ten Chinese...."
Among the directors of the Kuomintang there was no unity. The sup-
porters of various imperialistic groups wrangled among themselves for
power. Chiang Kai-shek tried to subjugate his rivals by force of arms.
tut the Japanese interventionists did not need a strong central power,
even if reactionary, even if fascist. They prohibited Chiang Kai-shek
from opposing other Kuomintang "governments." He was permitted only to
declare himself as "the central government."
In regions under control of this government, the people suffered.
The peasants and city dwellers were ruined by taxes, and overpowered by
the fierce orders:
for resistance to foreign imperialists
for dissemination of literature, which
against feudalism -- execution;
for the organization of meetings of an
-- Penal servitude.
-- execution;
summoned to the struggle
anti-fascist nature
But ia the regions liberated by the Chinese Red Army, the forces of
national liberation matured, the bases for the future victorious strug-
gle were created, the organs of national power arose. Meetings of workers!,
peasants' and soldiers' deputies divided the lands of the landholders,
realized the agrarian revolution.
The foreign predatory imperialists and Chinese capitalists demanded
reprisals against the people, against the communists. It was not neces-
sary to try to persuade the reactionary bourgeoisie; it itself hated the
people, who were betrayed and sold by it. Fulfilling the will of his
class, Chiang Kai-shek repeatedly flung his armies against the armed
forces and the people of the liberated regions. His troops invariably
were defeated. The patriotic ardor of the workers and peasants, among
whom the communists were in the first ranks, gave rise to their victory.
The counter-revolutionary bourgeoisie could instill into its armies
only the spirit of plundering and profit. But the people were inspired
by the great mission of saving their homeland from the double yoke -- of
internal reaction, and of the foreign imperialists, the English, Japanese,
American, and others who were standing behind the internal reaction.
And the idea which took possession of the consciousness of the masses,
created miracles. Almost unarmed workers and peasants defeated soldiers
armed to the teeth of the sorry conqueror, who had buried himself. The
liberation army was equipped with weapons of the defeated hirelings of
imperialism.
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F91117 campaigns of Chiang Kai-shek against the revolutionary workers
and peasants failed.
In an atmosphere of wild terror the unruly plundering proceeded.
The bourgeoisie became rich. Military power over the people, whom it
had betrayed, was for Chiang Kai-shek and his generals a promissory note,
which he presented on the exchange for payment. They seized the central
banks, subordinating all the provincial banks to them.
These years of the unruly plunder of the national wealth were strik-
ingly described in the well-known book of Professor Chien Po-tai Four
Families of China. Not even ten years had passed after Chiang Kai-shek's
betrayal of the people, when all the banking business of China was in
the power of four families -- the Chiangs (Chiang Kai-shek), the Sungs
(Sung Tzu-weu), the 'lungs (Kung Siang-si)? the Ch'ens (Chen Kuo-fu
and Chlen Li-fu). Each family owned one of the largest banks -- the
Central, Chinese, Peasant, Transport. The head of all these inter-
married families, Chiang Kai-shek, became the chairman of the united
council of all these banks, During the time of his domination in China
"the four families" amassed, by plunder, property worth 20 billion Ameri-
can dollars.
The violence of the reaction proceeded to the accompaniment of false
declarations of "democracy," "reforms," of "independence," and the like,
Having become dictator, Chiang Kai-shek remained a faithful servant of
his class -- the great, predatory bourgeoisie. He was a comprador? who
agreed to sell China to foreign imperialists. Without the support of
the imperialists he mould not have existed even one day.
Surrounded by gangsters, enraptured with police power, corrupted
by flattery, Chiang Kai-shek thought that he was actually omnipotent,
that China belonged to him. But louder and louder was heard the threat-
ening rumbling of the powerful revolutionary movement which brought
liberation from the compradors and their protectors.
* * *
Without declaring war upon China, the Japanese imperialists in 1931
proceeded to direct conquest by armed force. The imperialists of the
USA and England supported and encouraged them. Indeed, trampling the
fields of China with an armored boot, the Japanese advanced in the direc
tion of the Soviet Union. The comprador bourgeoisie of China, having
accomplished the immediate betrayal of its people, not only did not
oppose the Japanese aggression, but in essence shut its eyes to it.
The comprador bourgeoisie was more afraid of the Chinese people than of
the imperialistic aggression. It willingly assumed the task to fight
against the Soviet Union.
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In August 1931, Chiang Kai-shek deelared,, within the tight circle
of his accomplices: "If China will be conquered by the imperialiets? we
shall be able to exist even as colonial slaves, if only to save our own
skin."
When, in a month, the Japanese began their provocation in Mukden,
he gave the orderg "In case of provocations on the part of the Japanese,
caution must be manifested and in every way possible a clash must be
avoided."
The Japanese aggression caused an angry rebuff on the part of the
Chinese people. The 19th Army heroically defended Shanghai. In the
whole country the national-liberation movement surged high. Into the
struggle were attracted the peasantry and the progressive circles of the
bourgeois ihtelligentsia. Even the feudal lords of the northern prov-
inces, fearing for their existence, under the influence of the peoples
national movement tried to stem the advance of the Japanese armies.
There was universal indignation against the Japanese colonizers
and their Chinese agents. News about the bloody violence caused by the
aggressors disturbed the workers. Conditions were created for the forma-
tion of a united national front against the imperialists. The internal
contradictions within the Kuomintang became aggravated. The middle and
petty bourgeoisie were for active military resistance against imperial-
istic Japan.
But it was this national enthusiasm which most of all frightened
Chiang Kai-shek and his supporters from the upper bourgeoisie. They
were expecting aid from without.
The comprador bourgeoisie discovered its complete political bank-
ruptcy. Chiang Kai-shek signed the capitulatory armistice with the
Japanese, offering them freedom of operations in the country. Depending
upon the assistance of the imperialists Chiang Kai-shek rose in oppo-
sition against the Chinese Red Army. This was a punitive expedition
against the peasants, who were fighting for the land and for the inde-
pendence of the fatherland. The headquarters of Chiang Kai-shek in
Hankow gave the order g *Shoot one and all of the total adult male popu-
lation...of the people s-revolutionary regions. Burn all the buildings
in these regions.. It is necessary to cut with a sharp sword, without
any mercy."
In words, Chiang Kai-shek had to appear as an enemy of imperialist
Japan. In reality, Chiang Kai-shek was Japans secret agent. His whole
capitulatory policy encouraged the aggressors to further armed penetra-
tion into China. This was also furthered by the imperialistic 'policy
of "pacifications" of international fascism which the English, American
and French imperialists were pursuing against the aggressive *anti-
Comintern" bloc, against "the axis" of Berlin-Rome-Tokyo.
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The country was threatened with a deadly danger -- complete enslave-
ment by imperialistic Japan. On 17 January 1933 Mao Tse-tung and Chu Te
proposed the program of a joint anti-Japanese war: 1. The immediate
cessation of the offensive of the Kuomintang troops against the liberated
regions of China. 2. The guarantee to the people of democratic rights.
3. The immediate arming of the people, the creation of a voluntary army
for the defense of China and the guarantee of independence, unity, and
territorial integrity of the country.
This was an act of high patriotism on the part of the Commtuaist
Party, for which the interests of the people were foremost. How did the
reactionary Chinese bourgeoisie answer this appeal? On its behalf Chiang
Kai-shek declared: "The trouble for our country comes not from the Japan-
ese, but from the gangsters from Shensi." Thus did this king of the compra-
dors call the honest Chinese patriots, the peoplega-revolutionary forces,
headed by the Communist Party.
On 31 May 1933 the Chiang Kai-shekist capitulators signed the shame-
ful agreement in Tangu. The government of Chiang Kai-shek and Wang Ching-
wei recognized the seizure by Japan of Manchuria and the province of
Jehol, and the establishment of its "influence" in Northern China. It
became clear to all the Chinese people, that the bourgeoisie was giving
up the struggle for the independence of China, and was sacrificing the
people to the imperialistic plans of war against the Soviet Union.
By October, Chiang Kai-shek was preparing his fifth campaign. The
plans of this campaign were worked out by the Hitlerites, whose head was
General Von Seikt. Against the Chinese Red Army were flung 700,000
Kuomintang soldiers.
On 2 October, Chiang Kai-shek gave a speech in which he set forth
his program. "Whether our country exists or does not exist," he declared,
"depends completely upon the Japanese...."
The American imperialists helped the compradors. On the eve of the
campaign they gave Chiang Kai-shek a large loan.
The Communist Party did not cease the struggle for the organization
of the all-national rebuff of the Japanese. Having shifted the bases of
the forces of the national liberation to the border region of 8hansi-
Hensi4Tingsia4, the Central Committee of the Communist Party proposed,,
in 19359 a program of a united resistance against the Japanese invaders.
Throughout the whole country there was growing and becoming stronger the
will for resistance against the invaders. The workers g movement was ex-
panding.
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In August 1935 the Central Committee of the Communist Party. of China
appealed, in an open letter, to the Central Executive Committee of the
Kuomintang to form a united National anti-Japanese front, and to create
the united democratic Chinese republic, in which would be included the
revolutionary bases of the border region. The Kuomintang voted down
this proposal, thus signing the death sentence for itself.
The disintegration among the feudal-comprador bourgeoisie began.
In December.1.936 the Kuomintang generals Chang Hsueh-liang, and Yang
Hu-cheng arrested Chiang Kai-shek in Sian. He tried to save himself by
flight -- he ran from his bedroom in his underwear and sought shelter
in an out-of-the-way place in a ditch, and was discovered by soldiers.
The Communist Party pursued a policy of conciliation, striving to restore
unity of all the revolutionary and opposition forces, unity of the anti-
Japanese front. Chiang Kai-shek pledged to press against the aggressors.
But true to the nature of the speculator-comprador? he, of course, again
deceived.
On 7 July 1934, Japanese imperialism began the realization of its
plan for the seizure of all of China. In September, after long pro-
crastinations, the Kuomintang adopted the proposal of the Communist
Party concerning the creation of a united National front for the strug-
gle against Japanese imperialism. In reality this did not mean a ces-
sation of the capitulatory policy of Chiang Kai-shek. At the end of
1938 he carried out, through the German ambassador in China:, Troutmann,
negotiations for peace with Japan on the basis of complete capitulation.
The armies of Kuomintang, headed by the capitulators and defeatists,
could not put up effective resistance against the invaders. Almost with-
out battles the invaders seized Peking, Wuhan, Nanking Shanghai. Only
near the border region was the wave of the Japanese invasion stopped,
only in battles with the Chinese patriots, with the Red Army did the
invaders suffer defeats.
The Chinese reaction had to shift its bases. Chiang Kai-shek fled
to Chungking. Here he did nothing, and watched the Japanese imperialists
establish their power in China. They, pillaging the Chinese people, care-
fully protected the personal property of Chiang Kai-shek and flatteringly
exalted his "wisdom." One of the fiercest Japanese invaders, General
Hata, as a sign of special respect, performed religious rituals at the
grave of Chian & Kai-shekls ancestors.
And Chiang Kai-shek was biding his time until he would be able to
openly make a deal with the Japanese imperialists. He did not carry on
war, and did not even declare war against Japan. It had become impossible
to hide the fact that the upper comprador bourgeoisie of China was not
capable of heading the struggle for independence. The economic ruin in
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industry and in agriculture became the source of state weakness. In these
conditions that were tragic for the people, Chiang Kai?shek was engaged
in personal enrichment. "The four families" used his stay in Chunsin in
order to appropriate almost all the lands around this city.
The bourgeoisie did nothing in the remote rear; the people continued
the heroic struggle. Leading the union of workers, peasants and intelli?
gentsia in the border region, the Communist Party was able to convert this
part of the Chinese territory into a stronghold, inaccessible for the
Japanese.
The agrarian reform in the border region and in other partisan regions,
the wise democratic policy of the Communist Party created a strong rear
area and provided national unity. This was the source of the strength and
invincibility of the 8th and 4th Armies, created on the base of the Red
Army of China. They not only repelled all the attempts of the Japanese
offensive, but also proceeded to counter?attack. The victories of these
armies strengthened their popularity and caused love for them in the whole
country. The Chinese people saw with their own eyes that there were forces
in the country capable of resisting the foreign invaders. The authority
of the Communist Party increased; the influence of the Chiang Kai?shek
clique, which had become bankrupt and demoralized, fell more sharply.
The people were rising for the heroic struggle against the invaders.
It was not until December 1941 that Chiang Kai?shek declared war
upon Japan.
The Chinese people demanded from "the central government" decisive
offensive operations. Conditions were favorable for this. The Communist
Party again and again renewed its proposals to stop the civil war, to
unite the military forces and to concentrate them into the liberation
war against Japan.
Chiang Kai?shek gave false, hypocritical promises, agreed, for the
sake of appearances, to negotiations, to the unification of military
forces under a joint command, to the formation, under the Kuomintang,
of a national?political council with the participation of the Communist
Party. But all these were maneuvers and ruses of the old businessman of
the stock exchange. At heart, he believed in the supremacy and in the
victory of the German?Japanese military bloc.
In this dishonorable, anti?national, traitorous game he was sup?
ported by representatives of American monopolies. Despising the Chinese
people, they hated the communists and first of all thought that China
was in the power of American imperialism. Patrick Hurley -- the official
representative of the USA -- appeared in the country first of all as an
agent of Rockefeller, of his powerful monopoly, the Standard Oil Company.
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General Cheneult commanded American aviation in China. He was up
to hie ears in work for the creation of the air transport monopoly, which,
according to his plans was also to seize all export and import operations
in China, to engage in the buying up of goods and lands.
Dozens of other American businessmen, large and small, priced, aimed
at the resources of China, counting on plundering China.
*
Making a fortune on American supplies, Chiang Kai-shek did not wage
war, and did not want to wage war against Japan. He was striving for
agreement with her. Mao Tse-tung wrote in 1943 that Chiang Kai-shek
feared the victory of the Allies, "because with the failure of all three
fascist sovereign states, into the entire world would come a great era of
liberation which had never occurred in the history of mankind; and the
Kuomintang fascist dictatorship of the compradors and the feudal lords
would become a tiny, isolated little island in the unbounded world ocean
of 'redo m and democracy.? (Mao Tse-tung, Selected Works, vol 4, Foreign
Literature Publishing House Moscow, 1953, p. 254.)
The American protectors and friends of Chiang Kai-shek, in particular
that deputy of Wall Street, Hurley, adopted his plans of reprisal against
the organizers of the resistance against the Japanese aggression and en-
couraged him in every way.
On the Chinese-Japanese front, Chiang Kai-shek only rattled his
weapons, and treacherously sent his main forces against the liberated
regions of China.
Here he appeared as a real ally of the Japanese, who had started
"the general offensive" in the winter of 1941-1942 against the liberated
regions of China.
Chiang Kai-shek assisted in this campaign: he secretly induced his
generals to go over to the Japanese for this purpose.
The decisive victories of Soviet arms, of the Soviet people on the
fronts of the Great Patriotic War caused a new enthusiasm, a new influx
of the forces ot national liberation. In January 1944 the front of the
liberated regions of China, headed by the Communist Party, proceeded to
counter-attack and hurl back the Japanese invaders. Chiang Kai-shek,
treacherously carrying on secret negotiations with the Japanese, intensi-
fied the persecution of the Communist Party. He insolently demanded its
breaking upl
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In 1941 Chiang Kai-shekls book The Fortunes of China came out. In
it was revealed the program of fascism of China. Chiang Kai-shek boast-
fully promised in this book "to destroy communism" during a two year
period in China. However the days of his regime were already numbered.
The ground was definitively cut from under the feet of the reactionary,
traitorous feudal-comprador bourgeoisie. In the Kuomintang itself began
the strongest vascillations; wide circles in all strata of the population
began to unite around the only force capable of liberating China from
foreign dependence, around the National-Liberation Army, around the Com-
munist Party. Creatively using the experience of the Soviet people, of
the Soviet Armed Forces, of the Communist Party of the Soviet Union, the
Chinese communists successfully consolidated the alliance of the working
class and the peasantry, attracting into this union all social groups
interested in the freedom and independence of the Chinese people.
In the fire of the Patriotic War a united, powerful National front
was created and strengthened.
Only the compradors, who had gone mad with hatred of the people and
with craving for profit, did not see this and did not want to see this.
The American imperialists, just as greedy, as well as dazzled by the
myth of their unlimited power over the world, did not see this and did
not want to see this.
Hitler's Germany was defeated. The definitive victory over German
fascism and Japanese militarism was drawing near. Counting on usurping
the fruits of victory, the American imperialists in China were letting
themselves go. Their deputy in Kuomintang China, Hurley, already con-
sidered himself an all-powerful satrap. The war with the Japanese was
forgotten. More and more new campaigns were prepared against those
regions which, in the heroic struggle, had been liberated from Japanese
occupation. But in the battles with the peoplels-liberation armies,
with partisans, the bands of the Kuomintang invariably were defeated.
The armament and equipment which flowed from USA, went to the people,
to the splendid troops, led by Mao Tse-tung and Chu Tee The forces of
the people quickly increased. The armies of the comprador bourgeoisie
were dwindling.
In July 1945, Mao Tse-tung warned the American imperialists "If
the policy of Hurley continues, the American government will wallow hope-
lessly in the deep and stinking cesspool of Chinese reaction, and will
place itself in hostile relations with the multi-million masses of the
Chinese people, who have already been awakened, and who are waking up,
before our eyes...." (Mao Tse-tung, Selected Works, vol 4? 1953, pp
6?6-607.)
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Thus it turned out. The American imperialists have no one to blame
but themselves. In their anti-national game they had placed their cards
on Chiang Kai-shek. They shared the fate of this corrupt speculator.
The outcome was not long in coming.
* * *
After the defeat and capitulation of Hitler Germany the traitorous
Kuomintang policy of dragging out the war with Japan was doomed to failure.
Whereas the Chiang Kai-shek armies marked time, the 8th People's Libera-
tion Army proceeded to decisive attack.
In August 1945 the Soviet Army attacked in Manchuria the notorious
Japanese Quantun army. The armed forces of Japan in China were defeated.
Not even one month passed, when Japan capitulated.
The whole Chinese people enthusiastically welcomed the friendly
Soviet Army. The Chinese people had been liberated from the Japanese
invaders. The governments of the USSR, USA, and England solemnly recog-
nized its independence. The Chinese sovereign state was one of the five
great powers, which had been summoned to guarantee the peace and inde-
pendence of nations.
Chiang Kai-shek with difficulty concealed his anger, his fear of
the liberated Chinese people.
His clique at first seized the political fruits of the victory of
the Chinese people. The representatives of the reactionary Kuomintang
appeared at international conferences and at the United Nations Organi-
zation. But they represented not a living, growing, democratic China,
which had gone through the rigorous political school in the war and in
the revolution, but the old feudal-comprador system, which had completely
spent itself, incapable of independent existence, supported only by for-
eign imperialism.
But this comedy did not continue for long. Immediately after the
capitulation of Japan, the people of China saw that they had been de-
ceived. The American invaders had replaced the Japanese invaders. In
1946 the Chinese-American trade treaty gave up all of China to the power
of the capitalist monopolies of USA. The great Chinese people had not
taken up arms in order to replace one group of invaders and foreign
robbers by another group of invaders and foreign robbers. A boundless
anger seized all the honest patriots of China.
As always, Chiang Kai-shek was false to the homeland and betrayed
her. Panning the conditions of his agreement with American imperial-
ists, he hurled his troops, American military equiptent against the
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Peoples-Liberation Army, against those regions where democratic power
had been established and extensive social reforms had been carried out,
where for the first time the great people-toilers during their entire
centuries-old history could breathe freely and straighten their backs.
The American imperialists despised the Chinese people so much,
that they did not consider it necessary to mask their predatory plans
in respect to China. Nelson, the representative of the US War Produc-
tion Administration) in a burst of cynical frankness, declared that
"business circles of the USA should consider China as the industrial
outskirts of the United States, which has not less, if not more impor-
tance, than the American West, as it was at the beginning of the 20th
century on
The orgy of pillaging -- of unruly, venturesome, unrestrained
pillaging -- began immediately. The American businessmen who had
appeared suddenly in China were seizing everything that they could
-- enterprises, railroads, mines, lands. Also The Four Families,"
headed by Chiang Kai-shek participated in this pillaging.
About 70 percent of all the national wealth of China -- in indus-
try, in agriculture -- turned out to be the property of Chiang Kai-shek,
of "the Four Families."
The advocates of this band -- politicians and journalists -- chat-
tered about the reconstruction and development of the economy of China.
But restoration was out of the question. The break-down of the economy
became intensified. Inflation absorbed almost the entire earnings of
the workers. Taxes took away the remainder of the earnings. The coun-
try was rolling towards an economic catastrophe. Protests were heard
even in the most moderate circles of the Chinese bourgeoisie, whose
rule of American monopolies was threatened by destruction and death.
In July 1947 even the American almmffAlkozolza had to admit that
the Kuomintang was not a political party, but "a joint-stock company,
ruling the country." It wrote about Chiang Kai-shek and his partners:
"Some people, inasmuch as they themselves thus are making a fortune,
would prefer the downfall of their country, rather than share with
others the right to govern it."
But the times when the great Chinese people were lielpless against
unrestrained colonialism had irrevocably passed. The Chinese people
had already become sovereign master of a significant part of the terri-
tory of China. The people irrevocably had set out on the way to na-
tional independence. Nothing could stop its victorious movement.
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Incited by the American imperialists, Chiang Kai-shek sent his armed
bands against the revolutionary army of the Chinese people. The American
generals worked out the strategic plans. The American commissaries sup-
plied the Kuomintang riff-raff with the newest armament. American instruc-
tors taught Chiang Kai-shek's soldiers. American aircraft sheltered them
in the campaign to the north.
But the rotten stuff remained rotten stuff. The hordes of Chiang
Kai-shek did not endure the thrusts of the Peopleas-Liberation Army.
Supported by all the people, the army went, in 1947, from the defensive
over to the offensive.
In vain did the American military clique try to prop up the Chiang
Kai-shek armies, sending him their armed forces to help him. The counter-
revolutionary armies dwindled with every day. And the People's-Liberation
Army irrepressibly increased and victoriously advanced. Mukden was liber-
ated, in the battle near Suchow the main armed forces of the reaction were
defeated. The and of the Kuomintang clique of traitors and robbers of
the Chinese people was approaching.
In January 1949 the Communist Party of China asked the Kuomintang
to begin negotiations on the conditions for the democratization of China
and its complete independence. This offer was not accepted.
The Peoples-Liberation Army, victorious, moved to the south.
Tientsin and Peking were liberated. In April 1949-the troops of the
Peoples-Liberation Army, joyously welcomed by the people, entered Nan-
king. This was the end for the whole comprador-bourgeoisie, for Chiang
Kai-shek. He fled to Taiwan under the protection of American battle-
ships. '
In September there was organized the central government of independ-
ent, sovereign China. On 1 October 1949, the Peopleas Republic was pro-
claimed. The event of the greatest universal-historical significance had
occurred.
In wrath, in helpless anger, the American imperialists had to leave
the free land of the great peoples China.
The illusions of American imperialism were scattered in ashes, its
plans had failed. But anger and craving for revenge blurred the minds
of the imperialists of the USA and blinded them. They did not want to
recognize the great change in the life of the Chinese people. They were
still living in wild fantasies. Their definitive defeat would be all the
more crushing.
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The class which had given birth to and reared Chiang Kai-shek, the
'class? which he had served -- the upper, feudal-comprador bourgeoisie
-- was liquidated. Developing, China destroyed the remains of feudalism
and bourgeois parasitism. The Chinese people, having formed a united
National Front, was closely united around its democratic government,
around the Chinese Communist Party.
Having adopted the Constitution, the people planned the program
for the building of socialism in their own country.
Of the upper Chinese bourgeoisie there remained only fragments.
But the American imperialists preserved Chiang Kai-shek in the
Taiwan jar. They still needed this puppet.
With his help they were preparing a new attack on the people of
China. Having concluded "an agreement" with them in December 1954, they
occupied indigenous Chinese territory -- the island of Taiwan, having
thus carried out an act of direct aggression against the Peoplets China.
For these purposes the American imperialists maintain Chiang Kai-shek,
the traitor and betrayer, surrounded by contempt of the Chinese people,
turned away and exiled by the Chinese people.
His life was the shameful life of the last comprador of China.
* * *
The new socialist system in China has become strong. The vast
plans for the development of heavy industry have been successfully car-
ried out. The blockade of China by the imperialists was futile. The
threats on the part of the USA were unavailing, were peremptory shouts
directed at all who dared to trade with the Chinese people and to recog-
nize the People's Republic of China as a sovereign power. It is im-
possible to isolate the Chinese people. They have loyal and powerful
friends. The powerful Soviet state fraternally and unselfishly renders
aid to them. The countries of the peoples democracies and some capi-
talistic states have entered into economic and cultural relations with
China.
The victory of the Chinese people reformed all Asia and Africa. The
attempts of the imperialists to destroy the republic of Vietnam failed.
Burma and Cambodia were liberated from imperialistic dependence. The
policy of friendship of free nations was formulated in the historic con-
ditions of the Bandung Conference. Morocco and Tunis broke away from
the grappling imperialistic clutches. The onslaught of the armed aggres-
sion of England, France and Israel was repulsed by independent Egypt.
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The government of the Peoplets Republic of China offered the Chinese
white emigrants from Taiwan to peacefully complete the last page of their
hopeless resistance against the victorious revolution. This appeal had
certain consequences: the alarmed Vice-President of USA, Nixon, quickly
rushed to Taiwan, and the President of the USA sent Chiang Kai-shek a
personal letter, in order to give hope to the white Chinese emigration,
to maintain among the white Chinese emigration a faith in Chiang Kai-shek,
and faith in the effective aid on the part of the American militarists.
But the hatred of the Chinese people for imperialists and their agents
was stronger than the American promises. This hatred, in spite of the
brutal terror, literally a volcanic lava, burst open on Taiwan. The revolt
in Taipei in the summer of 1957 indicated that the earth was burning under
Chiang Kai-shekls feet even in his last refuge; under the protection of
American bayonets.
Implacable time does its part. Chiang Kai-shek became older, his
army was growing decrepit. The comprador class was liquidated forever.
The Chinese bourgeoisie had no future. But the young Peoples Republic
of China was flourishing. New cities and villages were growing. The peas-
ant cooperatives together with the boundaries which divide the individual
plots of land, destroy all that remains of the former poverty, darkness,
lawlessness. The hatred of the new China for all forms of colonialism,
and, consequently, Chiang Kai-shek was boundless. His name became a sym-
bol of national humiliation and disgrace. What if he is still physically
living! Politically he is dead, this last comprador of China.
Puppet of American Monopolies Do Zaslavskiy
The Korean bourgeois agents of the USA demand war. They brandish
their American arms. Syngman Rhee (Li Syn Man) shouts the loudest of
all. In the personality of this old agent of American imperialism are
reflected the most repulsive aspects of colonialism. The story about
his life is the story of how an American gangster became a ruler -- even
if only a nominal ruler -- of a significant part of the Korean peninsula.
To become acquainted with the career of Syngman Rhee means clearly to
imagine the shameful way of the puppet of the American colonizers.
...Speaking on 28 July 1954 before the Congress of the USA in Wash-
ington, and appealing for immediate war against the Soviet Union, the
Peoplegs Republic of China and the Korean PeoplOs-Democratic Republic,
Li Syn Man cynically declared: "By law and birth I am a Korean. But
in spirit I am an Americanou Hardly anybody will dispute this murderous
idea of his personality (as reflected by his own words). Syngman Rhee
never had anything in common with the Korean people. His life is the
story of the betrayal of the homeland, of dirty intrigues, and of aid
in conducting the bloody policy of American and Japanese imperialism in
Korea.
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By the beginning of the 20th century Japan asserted itself as the
chief imperialistic oppressor of Korea.
But for the Japanese imperialists this was very little. Japan
coveted all of China. The American imperialists also were fixing their
greedy eyes upon China. They did not take their eyes off Korea, surrep-
titiously supporting their agents, who were intriguing against the
Japanese, among "the nationalistic" bourgeoisie. But they were doing
this not for the sake of liberating the Korean people, of delivering
them from the foreign yoke. But they were doing this in order that the
yoke of Japanese rule could be replaced by the yoke of American imperi-
alism. This struggle of the American and Japanese monopolies was ex-
pressed within Korea in the fight between their henchmen and agents, in
the struggle not of two parties, but of two cliques: the dollarophiles
and yenophiles.
The Korean people, who were defending their country with fortitude
against foreign invasion, had to carry on the struggle on two fronts
-- against the foreign invaders and against their servants and agents
among the Korean bourgeoisie, who had sold itself to the invaders.
The people of Korea selflessly fought for their state independence.
The dollarphiles? hurled back by their competitors in the underground
and beyond the boundary of Korea, did not so much oppose the Japanese
imperialists, as they oppose the revolutionary, truly liberation move-
ment of the workers, peasants and part of the national bourgeoisie,
ruined by Japanese capital.
From this environment of the dollarophiles came Syngman Rhee -- the
descendant of the Korean dynasty which had ruled Korea from 1486 through
1910. His parents little thought of instilling in him Korean culture,
the national traditions of their country. From childhood they sent their
son to the American missionary school in Seoul which engaged in the train-
ing of cadres of American agents from the Korean bourgeoisie and feudal
lords. The missionaries did not work without any purpose -- by age 22
Syngman Rhee was converted to the Christian faith.
Syngman Rhee began his political activity of betrayal for the ad-
vantage of Japan. Being, at a comparatively early age, a member of the
secret council during the reign of the Korean Emperor, he actively col-
laborated with the pro-Japanese elements. He was accused of state
treason. In 1898 Syngman Rhee was sentenced by a Korean court to penal
servitude for life. And only as a result of the intercession of the
Japanese envoy was the life sentence replaced by several years of prison.
Hiving stayed in prison the prescribed term, Syngman Rhee Went to
America in 1904. Here he went through the higher school of service for
the lAtereete Of US imperialism.-
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When his training was completed, he took an examination in loyalty
to American capital. Syngman Rhee returned to Korea in 1911 as an Ameri-
can emissary, invested with much confidence. He represented the cele-
brated YMCA (Association of Christian Youth). This organization, espe-
cially in countries of Asia and the East, often was used as a screen by
intelligence organs of USA, which recruited agents in these countries.
At the same time he was the missionary of the Methodist Church.
Thus the young dollarophile was converted into an ordinary agent
of the American intelligence service. In his heart there was not the
slightest inclination for the struggle for national independence of his
country. He was not bound to the Korean people by anything. There was
nothing national in Syngman Rhee. The American cosmopolitanism corroded,
exterminated all patriotic feelings in him. He was educated as a rene-
gade. He did become a renegade.
Korea, at this time already occupied by the Japanese, had been con-
verted into a province of the Japanese Empire. At that time it was diffi-
cult and even dangerous to carry on work for the benefit of American
interests in Korea. And Syngman Rhee went to the Hawaiian Islands. He
organized "The Korean" Methodist Church there and the Korean Christian
Institute." The mission, which stood before Syngman Rhee, was the very
same mission -- to recruit, from among the Koreans, people devoted to the
interests of the American monopolies.
* * *
The first world war was over. The people of Korea, tortured by
Japanese rule for many years, robbed by Japanese imperialism, were long-
ing to be liberated from foreign invaders. The living example of the
Great October Socialist Revolution -- the light of peace, freedom and
happiness for all peoples -- inspired the Korean people. The strike
movement of the young Korean proletariat was growing, the Korean peas-
ant was rising, the partisan movement against the invaders was expanding.
The attempts of the Korean bourgeoisie and landholders to direct
this movement into the channel of peaceful conciliation were futile.
In March 1919, throughout the whole country, revolts broke out in which
two million Koreans participated.
The bourgeoisie, the landholders were striving to frustrate, dis-
organize this powerful movement. For this purpose there was created,
in April 1919 in Shanghai, a provisional emigrant "government." By the
efforts of the American agents among the circles of this "government"
Syngman Rhee was declared "president" of "the Provisional Korean Repub-
lic." And although by 1924 every kind of connection of this emigrant
clique with Korea had ceased, he called himself "the president" of the
non-existent republic right up to 1941.
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This "president" appeared at Versailles, when, at the peace confer-
ence which was taking place there, the division of imperialistic spoils
was proceeding. He came not in order to protect the interests of the
Korean people, the honor of his homeland, robbed and desecrated by the
Japanese invaders. No. Taking advantage of his old acquaintance with
US President Wilson, Syngman Rhee came with a memorandum, in which he
tried to sell Korea wholesale to American imperialism, to establish
nothing less than "a trusteeship" of the USA over Korea. This sugges-
tion, inspired by the American intelligence service, was given publicity
and caused "sympathetic interest" in American circles at the Versailles
Conference. But at that time Japan was among the conquerors, and not
the conquered. It was necessary to reject this project for American
trusteeship over Korea.
Syngman Rhee disappeared from the scene for a long time, almost
for a quarter of a century. The American intelligence service was hold-
ing him in reserve. He, for the time being, was not needed, neither as
"president," nor even as a Korean politician. He was needed only as an
agent and a spy.
Having forgotten about the country of which he had called himself
the president, Syngman Rhee was arranging his commercial deals. Striv-
ing to take root in American soil, he adopted American citizenship.
Connections with Korea and even with the Korean emigration in China
were broken. The former "president" was entering into shady affairs.
He was often seen among "lobbyists," businessmen, who, being active in
the lobbies of the American Congress, do business in politics, act as
go-betweens, give bribes, receive political and other contracts.
World War II broke out. Japanese armed forces attacked Pearl Harbor.
The picture of international relations sharply changed. The problem of
Korea appeared in a different light. In the plans of American imperial-
ism it was destined to become only a link, a stage of the process of sei-
zure of the entire Pacific Ocean basin -- Japan, China, Indo-China, the
islands.
Syngman Rhee acted in accordance with this plan of American imperi-
alism. He joined in the anti-Soviet campaign. As far back as 1943 Syngman
Rhee appeared in Washington with message" from the so-called provisional
Korean government (which was cooped up at that time in Chungking in the
train of the Kuomintang, and under the protection of the well-known Kuo-
mintang henchman Kim Ku). In this "message" he slandered the Soviet Union,
asserting, that the USSR was striving for "expansion in the Far East."
On the pages of the American press Syngman Rhee carried on a bitter cam-
paign against the USSR.
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The war in the Far East was being dragged out. The USA was not rush-
ing to finish it. Almost not participating until June 1944 in the large-
scale military operations in Europe, the American war machine, in spite
of its evident material supremacy over the Japanese army, got tied up in
separate operations in the Pacific Ocean islands, suffering serious de-
feats from the Japanese at times.
Among those who wanted the quickest cessation of the war, the entrance
of the Soviet Union against imperialistic Japan caused gladness -- the
liberation of the peoples of Asia from Japanese imperialistic oppression
was approaching. But for Syngman Rhee this great historic act of the
Soviet Union caused an attack of rage and fear -- indeed prospects arose
for the real liberation of the Korean people from the yoke of foreign
imperialism.
The enemy of the independence of Korea, the enemy of the Korean peo-
ple, Syngman Rhee, not understanding and not wanting to understand the
historic changes which had occurred during the last decade, blindly obeyed
his American bosses. All Korea, according to Syngman Rhee, had to be con-
verted into an American province, into a colony of the USA. For him the
role of salesman of American monopolies was sufficient.
The Soviet armed forces, having defeated the Quantung army, put an
end to the power of Japan in Korea. And when the American military clique,
together with the capitalist plunderers, rushed into South Korea, it found
the real boss there -- the Korean people, who had fought for complete state
independence of their country.
* * *
The national-liberation movement of the Korean people started in the
period of the Japanese occupation. It obtained the most powerful stimulus,
the strong organization; it was formed in 1925, when the Communist Party
of Korea arose, when in stubborn, heroic partisan battles, the battle-
hardened cadres of selfless fighters pushed forward and were trained.
The brutal terror of the Japanese invaders and their servants did not
break the people's movement. It was based upon revolutionary workers and
peasants; in addition there was the new Korean intelligentsia, there were
representatives of the petty and middle Korean bourgeoisie, pushed into
the ranks of the national-liberation movement by the colonizer, by the
predatory policy of the Japanese militarists. The people's movement, led
by the communists, was inspired and enriched by the experience of the
Great October Socialist Revolution, of the building of Communism in the
Soviet nation, by the experience of the struggle and victories of the
Red Army of China.
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During the five years from 1931 through 1936, in the so-called Korean
governorship of Japan (the Japanese thus named Korea, which they had cap-
tured) there were registered 23,928 battles between Korean partisans and
Japanese troops. In these battles participated about 1,370,000 Korean
patriots-partisans.
The whole population of Northern Korea joyously welcomed the coming
of the Soviet Army. In revolutionary passion the people drove out the
servants of the Japanese imperialists, the betrayers of the Korean people
-- usurers, landholders, corrupt officials. These betrayers of the people
were seeking refuge in the south of Korea, beyond the 38th parallel, under
the protection of American bayonets. In the north the people took power
into their own hands.
But in South Korea also power began to go into the hands of the peo-
ple's committees. The demand for independence here was universal. The
American powers became the obstacle to the satisfaction of these just de-
mands. Having appeared in South Korea, the American military clique did
not intend to hand over the government of the country to its people.
In South Korea were created mass people's parties and democratic
organizations. In their program they brought forward the demand for the
national and state independence of Korea, democratic reforms and reorgani-
zations.
The American occupation powers in South Korea, carrying out the im-
perialistic plans of US monopolies, drove away the people's committees,
unleashed the activity of the reactionary bourgeois organizations. The
armed bands of terrorists created by these organizations killed Korean
patriots who were fighting for the freedom and the independence of Korea.
They established in the country a regime of ferocious reactionary dicta-
torship, which was based upon American bayonets. The Communist (subse-
quently the Labor) Party of Korea, the staunch protector of the interests
of the people, of national and state independence of the country, was
prohibited. Mass democratic organizations were submitted to unprecedented
persecution.
The policy of the regime of the dictatorship, created by the bands
of terrorists, for the conversion of South Korea into a military colony
of American imperialism of Wall Street could not, of course, be carried
out without being supported by its accomplices, the executioners of the
Korean people. This regime needed accomplices in order to keep the
Korean people in subjection, to prepare the attack upon the people's
forces in North Korea. For this purpose the old betrayer of his people,
the American agent Syngman Rhee proved useful.
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While, on the battlefields against the Japanese invaders in Manchuria
and in the mountains of Korea, in the partisan battles, there were being
decided the fortunes of the Korean people, Syngman Rhee was trading with
America in the natural resources of Korea. The newspaper Korean Inde-
pendence wrote 7 November 1945, that Syngman Rhee had agreed in advance
to provide the American monopolies, in particular the Oriental Consoli-
dated Mining firm, with mining concessions in North Korea. In exchange
for this the American firm offered him a million dollars. The newspaper
said that Syngman Rhee promised also to guarantee American rights in the
mining industry provided that he be made head of the Korean government.
In accordance with this understanding, a certain Samuel Dolber was desig-
nated beforehand as advisor for mining affairs in Korea.
* * *
Syngman Ehee was taken out of the military-intelligence organs of
the USA and the State Department at the end of 1945. In an American air-
plane, he was sent to Tokyo, and from there to Seoul. He went directly
from the Mrport in Tokyo to General MacArthur for instructions. The
first steps of Syngman Rhee on Korean land, in which he had not set foot
for 35 years -- half of his entire life -- indicated the character of
these instructions.
Syngman Rhee declared to a correspondent of the American army news-
paper Stars and Stripes in Tokyo: "In Korea there are now 71 parties.
Outside of two, all of these parties are communist or communistically
inclined." He assured the correspondent of his intention to fight against
these parties.
After his arrival in Korea, and at the Very first meeting in Seoul
on 17 October 1945, he maliciously slandered the Soviet military forces
in North Korea. Of courses Indeed these powers permitted the free
activity of all democratic organizations of the Korean people who had
been liberated by the Soviet Army. For Syngman Rhee, the dealer in
matters of his own homeland, this was not to his taste.
The newspaper Korean Independence wrote: "The political philosophy
of Syngman Rhee is a dictatorship covered by a shield of democracy.'
He slandered and destroyed both 9communists, as well as all those who
were an obstacle in his way."
Korean progressive organizations immediately recognized this scout
of American reaction. In the spring of 1946 they made serious accusa-
tions against him. Exposing his dealings with American mining indus-
trialists, they pointed out, that Syngman Rhee had incited them to
violence against their enemies during his stay abroad, had carried on
anti-Soviet agitation in USA and had fanned the flames of the civil
war in Korea.
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The war against the Korean people and their democratic organizations
became the main business of the Korean comprador bourgeoisie and "the
Korean American" Syngman Rhee. At first he tried to act directly. He
obtained recognition of "the emigrant government" in Chungking. When
this venture failed, his American protectors fabricated the so-called
"constituent assembly" of representatives of reactionary cliques
-- "democratic" and national," with the participation of several small
reactionary groups. This "assembly," which represented a handful of
inveterate businessmen, even declared itself "the parliament of the
provisional government" and announced the creation of "the higher polit-
ical council," of the so-called "democratic chamber of peoples repre-
sentatives of Southern Korea." For some time this self-styled organ
acted as an advisor in the American military administraDion. But the
people of Korea boycotted it, refused to recognize it, and the American
military powers had to dissolve it.
American headquarters in Korea had the task of uniting the Korean
reactionary bourgeoisie, of subordinating it to the American command,
of making a stable stronghold of the predatory colonizer policy.
Syngman Rhee was given this task: create a party of a reactionary
"type." There was fabricated "the National Association of Independence,"
headed by Syngman Rhee. This was not a party, this was a "junta" or,
simply, a gang. Into this gang, together with former policemen who had
served the Japanese, came American gangsters of Korean descent, who had
flown to Korea together with Syngman Rhee and made up his entourage.
Demand gives rise to supply. In eager rivalry, dozens of inveterate
executioners of the Korean people offered their services to the American
headquArters in Korea. Other bourgeois gangs, which appeared under the
signs of various "parties," vied and competed with the clique of Syngman
Rhee. They had played the master in Korea under the Japanese, or had
come from Kuomintang China. They were all striving for power as a means
of enrichment and did not want to recognize Syngman Rhee as their leader.
In these conditions any pretense at "democracy" was impossible. The
road to fascist dictatorship was cleared by fierce terror, by the mass
destruction of the democratic elements. In South Korea the orgy of mur-
ders, torture, general plundering did not stop. Cruel violences of the
colonial type came down upon the population of South Korea. The people
responded to this by uniting into democratic organizations, into the
Democratic National Front, by an intensified struggle of the partisan
forces of the Korean people.
Creating "support" for his power, Syngman Rhee mercilessly made
short work of his rivals, the leaders of the bourgeois cliques. He used
extensively the methods of the American criminal world. The competitors
of Syngman Rhee, the same type of gangster as he himself, were eliminated
by murders; they disappeared without leaving a trace; they sought refuge
in flight.
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As the right-hand man and high-executioner until Li Syn Man there
functioned a certain Li Bum Suk. This 54-year-old leader of *youth"
fascist terrorist organizations lived all his life in emigration, and
conversed with Koreans in English through interpreters. Many Korean
patriots perished from his hands. The other handymen of Li Syn Man
were no better: the bribe-taker and the American agent Li Si Yen, the
landlord of houses of prostitution Sin Hen U3 and many other criminal
elements. These were the types who were torturing, robbing and oppres-
sing the people of Southern Korea1
The American invaders tried in vain to maintain "the prestige" of
Syngman Rhee, having proclaimed South Korea a republic in June 1948,
and having fabricate il "the election" of Syngman Rhee as its "president."
In answer to this, the Korean people created partisan detachments, which
with weapons in hand fought against the American henchmen.
South Korea was a sad picture of universal devastation. Unemploy-
ment was wide-scale. The peasants were ruined and were starving. The
landholders with impunity made short work of the poor and the farmhands.
Industry was parallzed.
A crowd of American plunderers swooped down upon South Korea. In
the first ranks were agents, confidential agents, the largest monopolies
of USA. There had formerly operated in Korea a Japanese colonial monopoly,
which was named The Eastern Colonization Society. Later it was renamed
New Korea. Under this mask, much land as well as mining and other enter-
prises of South Korea became the property of American monopolies. The
Morgans and Rockefellers became its real bosses. In their hands was con-
centrated more than 60 percent of South Korean industry.
The American military clique and the bureaucracy were also making
a fortune in Korea. MacArthur became infinitely rich. John Foster
Dulles, at that time adviser to the US State Department, operated in
South Korea as a big businessman from the International Nickel Company.
Before the beginning of the war in Korea, this company received, in the
third quarter of 1949, 5 million dollars profit. In the third quarter
of 1951 its profits soared to 16 million.
South Korea was being generally robbed, both wholesale and retail.
There were exported from the country raw materials and produce, the
production of the mining industry, and ancient monuments of culture.
The Korean bourgeoisie did not lag behind its foreign bosses. Hav-
ing taken shelter in a palace, afraid of his own people, not trusting
even his retinue, Syngman Rhee was feverishly buying, selling, specu-
lating, robbing. In a short period of time he became a fantastically
rich man. Nothing seemed reliable to him in Southern Korea, other than
American bayonets. And the richer the robbers and plunderers became,
the greater was their fear of the people, the more violent their hatred
of North Korea.
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The people's power was growing and becoming stronger, the young
Korean People's-Democratic Republic, created by the people of all of
Korea, including South Korea, was flourishing.
The people's power of the young republic applied the law of land
reform, which allotted land to the landless peasants, laws about labor,
the equality of women, the nationalization of enterprises owned by the
Japanese colonizers and betrayers of the Korean people. The broad,
real sovereignty of the people changed the appearance of the country.
The people became the master of their own fate, their own lives, their
own happiness. The patriotic organizations of the entire Korean people
created the union of Korean patriots -- the United Democratic Home
Front. It developed an extensive program of peaceful unification of
Korea by means of merging the Supreme People's Assembly of the Korean
People's Democratic Republic and the National Assembly of South Korea;
and for the development of a single constitution and for the conducting
of democratic elections throughout the whole country. Upon the peti-
tion of the Supreme People's Assembly, directed to the USA and USSR,
the Soviet Union withdrew its troops from North Korea. The US govern-
ment did not even reply to this petition. It is true that later the
US government announced the withdrawal of its troops from South Korea.
But this announcement did not correspond to reality -- there remained
there many American troops, there remained military missions, American
bases.
Exposing itself in the eyes of the people by its anti-national
policy, as agents of American imperialism, the South Korean bourgeoisie,
headed by Syngman Rhee and his clique were inevitably proceeding to
failure. They saw salvation from the failure only in war against the
Korean People's Democratic Republic.
In January 1948 Syngman Rhee boastfully announced to the repre-
sentatives of the press that South Korea could mobilize a half-million
man army for the campaign to the North. He assured the correspondents,
that the arms for this purpose would be presented by the United States.
According to the decree of the monopolies of USA he repeated over
and over again, high and low, that American troops had to remain in
South Korea. On 11 March 1949 he declared that the immediate task was
the armament and training of the troops of South Korea. For what?
For the aggressive armed campaign against the Korean People's Demo-
cratic Republic.
The preparation of the military campaign expanded. In May 1950
Syngman Rhee told a correspondent of the United Press that he would be
able "to unite" North and South Korea by military force, and that for
this purpose he would need only "insignificant military support."
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Syngman Rhee was impatient. He urged on, hurried his American bosses
to start the war sooner, sooner. On 10 June 1949 he declared that South
Korean troops could occupy all Northern Korea nif circumstances would re-
quire this."
On 30 October 1949, speaking on board an American warship in the
port of Chemulpo, he made an appeal for "the unification of Urea by
means of military force." Two months later he shouted that nthe time had
come to begin the intensified preparation for the unification of Korea
by force." Rhee lied: the intensified preparation had been carried out
a long time ago by himself and his bosses from the Pentagon.
In February 1950 Syngman Rhee conferred with General MacArthur; the
perspectives of military operations against the Korean Peoplels Democratic
Republic were discussed. He demanded that military operations be begun
in the Spring of 1950. And Korea was in the fire. Rhee was satisfied,
he rubbed his hands. American planes were waging war in the sky, Korean
villages were burning.... And the old betrayer was happy: soon he would
be "president" of all Korea.
But the illusions perished.... The very old gangster calculated
everything: how many tanks and planes, rifles and machine guns would be
necessary in order to make short work of the young republic, to trample
it in blood. He did not take into consideration one thing -- the real
force of the Korean people, headed by the Labor Party, of people, who
for the first time had become acquainted with the joy of freedom and na-
tional independence, From the south advanced the slaves of foreign capi-
tal, deceived, disappointed, hating their commanders; they had been driven
together into an army. Workers and peasants of North Korea, inspired by
the high idea of the independence of their own fatherland, came to the
battlefield for the defense of their democratic achievements.
The betrayers of the homeland, the traitors came from one direction;
the revolutionary patriots came from the other direction.
* * *
Korea, young and full of strength, repulsed the attack.
Syngman Rhee had bragged that he would be in Pyongyang three days
after the beginning of military operations. He blindly believed in Ameri-
can generals and instructors. But not even three days had passed after
the treacherous attack, when the Rhee riff-raff crumbled under the first
thrusts of Korean patriots.
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Life had indicated that Korea belonged to the Korean people, and not
to the American colonizers and their miserable agents. This had become
clear in those days even to the American adventurers. Syngman Rhee did
not justify their hopes. The Korean bourgeoisie discovered their com-
plete weakness.
The American imperialists did not want to become reconciled to their
defeat. The American air force, the navy, and the army were flung into
battle.
But the sacred cause of the people was invincible. The people were
defending their homeland, its state independence and national independ-
ence. The Korean people, with the fraternal aid of national China, frus-
trated the plans of the Washington conquerors, defended their honor, free-
dom, and independence. The Pentagon changed its commanders in vain. Vic-
tory did not come.
But Syngnan Rhee came off unhurt. His bosses could not part with
him. In his name they committed violences against Korean and Chinese war
prisoners. In hie name the conditions of the truce Were violated* He
was the mouthpiece of the most reactionary, most adventurist circles of
Washington.
According to their assignment, he agitated for the creation in the
Pacific area of an aggressive military group headed by the United States.
As far back as in the spring of 1949 he had declared that the USA should
assume the leadership of such a group, and that it would be necessary to
convene a special conference for the creation of the Pacific Ocean pact,
like the Atlantic pact. In August 1949 he conferred with Chiang Kai-shek
about plans for the creation of such a group. In December 1950 he fought
for the creation of this same alliance in an interview with the well-
known organ of American reaction -- the magazine United States News and
World Report; in November 1953 he went to Taipei to Chiang Kai-shek.
They published joint statements in which they appealed for the creation
of a "united anti-communist front in Asia."
The military operations in Korea stopped. This could not be pre-
vented by the howls of Syngman Rhee, who had made an appeal for a cam-
paign to the Yalu River; and had demanded the use of atomic weapons
against China. American weapons, American military doctrine, American
policy suffered defeat in Korea. But the American imperialists did not
want to admit it* The reactionary circles appealed for a resumption of
the war, and Rhee responded to these appeals by attacks of war hysteria.
He again talked about a campaign to the North. He called upon American
congressmen to go to war against the Soviet Union, the People's Republic
of China, the Korean People's Democratic Republic.
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"Rhee declared"..."Rhee does not recognize"..."Rhee threatens"....
The pages of the American militant press were covered with such headlines.
But Syngman Rhee had no prospects, just as the pawns in a hopelessly
lost chess game have no prospects. The movement of the peoples of Asia
toward their complete and definitive liberation from the imperialists-
colonizers was powerful and invincible. This movement inevitably swept
out of its way not only the henchmen of American imperialism, but also
their agents and servants.
* * *
Out of the most extensive part of the globe, which for many years
had been the field of innumerable colonial wars, the source of unprece-
dented enrichment for the colonizers, the new Asia, the Asia of a great
free people, was converted into a powerful stronghold of peace and friend-
ship of peoples. The powerful Chinese power was proceeding along the way
of socialist development. India appeared as a resolute supporter of
peace. Burma, Cambodia refused to participate in military blocs. The
peoplels Vietnam threw off the chains of colonial oppression and actively
took a stand for peace. The Bandung Confederation proclaimed the princi-
ples of the new relations among countries, based upon peace and mutual
respect. There was an increase in the number of supporters of peace in
Japan and in other countries of Asia, which had not as yet completely
liberated themselves from the power of the colonizers. The striving of
the peoples of the Arab world for an independent policy and against war
is becoming more and more apparent. Boldly and resolutely, independent
Egypt fought against colonialism, having withstood the onslaught of the
military aggression of Fingland? France, and Israel, having repulsed the
attempts of American monopolists to subject the freedom-loving Egyptian
people to their own dictate. The peoples of the former colonies are
invincible in this powerful movement towards freedom, towards a worthy
life. And this movement will be stopped neither by the American coloni-
zers, nor by their agents and henchmen, Syngman Rhees or Chiang Kai-sheks.
Betrayer of the Vietnarmu_Egmle S. Ivanov
...From the windows of the palace, similar to a pink shell among the
verdure of the tropical park, it was not visible to him how the crowd of
people were carrying a scarecrow of the former emperor Bao Dai through
the streets of Saigon. "The emperor of night clubs" drooped on the sticks
with a pack of cards in one hand, a statuette of a naked woman in the
other, with a huge dollar sign on his chest. The scarecrow was burned
in the center of the city under the satisfied hum of people of Saigon.
Bao Dai at this time was amusing himself in France on the Cote dlAzur.
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Standing at the window, Ngo Dinh Diem tensely listened attentively
to the noise of the crowd. His shameless face did not express any anxi-
ety. As always, his black shiny hair was irreproachably sleek, the
pressed suit deftly clothed his fat figure. The victory over Bao Dai
pleasantly tickled his ambition: the family of Ngo Dinh Diem had no
less right to the ancient throne of the emperors of Annam, than did
the family of Bao Dai.
On this warm October evening of 1955 he was declared the president
of the republic of Vietnam -- the head of South Vietnam, But the new
president, more than anybody else, understood the price of such a "will"
of the people. And as he listened to the noiselamong the curses that
were poured upon the head of the former emperor, he was afraid that he
would hear curses, directed against him -- Ngo Dinh Diem,
There, beyond the grating of the palace, the people were making
noise, the people, whom he, an aristocrat from the Ngo family, never
had understood and had always hated, that very same Vietnamese people,
who already firmly held in their hands the power in a large part of
the country, to the north of the 17th parallel.
The American magazine Pacific Affairs, in a moment of frankness,
wrote then about Ngo Dinh Diem: "He does not know the masses, does not
trust them and does not know how to use them."
The French newspaper Le Monde said, through the side of its mouth:
"This cold, reserved and indecisive person, this bourgeois, proper,
pompous and lonely, far from the people, cannot evoke the enthusiasm of
the crowd. He does not use the people's support; he is practically un-
known to the population as a whole." "Without American support," the
newspaper added, "his authority will be limited to his palace, if he
is not driven out from there."
? "American support" -- these words immediately came to his mind,
when the president began to sort out the reasons for his coming to
power, for which he had been craving so much and had been waiting so
long. He deserved it, this American support.
* * *
Ngo Dinh Diem was born in 1901 into the family of a mandarin of
the first class. Three centuries before, when the colonizers had come
to Indo-China, his ancestors had considered it advantageous for them-
selves to adopt Christianity. Since then they faithfully served the
colonizers, holding high posts at the court of the Annam emperors. The
servant of two lords proved his worth in a very singular way in the
father of Diem, the old Kha. This devout Christian was an overseer
of the imperial harem.
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Ngo Dinh Diem was educated in the imperial palace "half-way between
the heavenly paradise and the earth of humble people," in an environment
of luxury, admiration for the emperor, contempt for the people. However,
the stern Kha sometimes sent Diem to shell rice, so that the son might
thus find out about the life of peasants. But even this did not invoke
in the mandarin's son a respect for the people and for their hard work.
The French journalist Lucien Bodar wrote about Ngo Dinh Diem that, as a
child, he had become a Pharisee. Ngo Dinh Diem remained for all his
life a hypocritical, sanctimonious person and bigot.
On the doors of the presidential office appeared the inscription
"Women are not permitted to enter." He did not miss the chance to empha-
size his own piety. "God is his first advisor," declared Bodar. "When
serious and urgent problems arise, Ngo Dinh Diem withdraws to his own
room. This is a cell with an iron bed, a crucifix, prayer books and
little benches for prayer. He prays a long time on his knees, meditates,
supplicates."
With all his piety Ngo Dinh Diem as a young man refused to take the
cloth of the Catholic priest; he did not go, after the example of other
representatives of his class, to study in Paris, but graduated from the
civil administration school in Hanoi. In these decisions of the young
Diem there was hidden a fine, far-sighted calculation: even at that
time he did not want to be too closely connected with Catholics, of
which there were few in Vietnam, nor with the French.
Like his father and older brother, Diem became an official in the
service of the French. His career was assured. At 20 years of age he
was already chief of a region. Having curried favor with the colonizers,
Diem, with characteristic insiduousness and brutality, made short work
of the participants of the movement for national liberation. In his
region he smashed the revolutionary organizations of the New Vietnam
Party and The League of Revolutionary Youth of Vietnam -- the predecessor
of the Communist Party of Indo-China. Having held the post of the gov-
ernor of Nin-Tuan province, Diem resolutely and brutally made short work
of the fighters for freedom. On his black conscience are hundreds of
tortured revolutionaries.
The hangman's services of Ngo Dinh Diem were highly valued by his
bosses. At the beginning of 1933 he became Minister of Internal Affairs
of the imperial government.
The unrestrained ambition and the unrestrained striving for power
made Diem clash with another colonial puppet -- Fam Quen, Careerist
Diem was defeated by his more successful rival and had to retire. Diem
was nursing a grudge. He could wait.
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It seemed that in 1940 luck smiled at Diem again. Indo-China was
occupied by Japanese troops. While the people rose up with weapons in
their hands against the invaders, while the patriots were fighting in
the jungles for the freedom and the independence of their country, Ngo
Dinh Diem together with his older brother Ngo Dinh Ehoe organized a spy
system for the Japanese invaders. According to the evidence of the news-
paper Nvan Zan, in the archives of the Japanese intelligence service Diem
was noted as a capable agent: it was he who cleverly stole important
French documents and gave them to the Japanese.
But disappointment was awaiting Diem. Whether because the Japanese
considered him an insufficiently important figure, or because they doubted
the loyalty of the betrayer who had so easily changed bosses, the post of
the puppet prime minister was obtained by Tran Tron Kum, rival and competi-
tor of Ngo Dinh Diem. Diem had to be satisfied with an insignificant offi-
cial post. But even in this post he did not lose time to no purpose, hav-
ing been able to get rich through risky speculations.
At the end of the second world war, Ngo Dinh Diem came into the field
of vision of the American intelligence service. This was the time when
the colonial system of imperialism in the whole world was cracking at all
its seams. Casting off from their shoulders the yoke of century-old slav-
ery, the peoples of Asia carried on the struggle not only against the
Japanese invaders, but also for the liquidation of every colonial yoke,
for banishment of both the colonizers and their puppets.
Diem decided that his hour had come. Rather, the American intelli-
gence service, which had chosen Diem among other betrayers of the Viet-
namese people, decided this for him. The personal qualities of Diem
played their role: cruelty, insiduousness, slyness, unscrupulousness,
in the achievement of a goal, love of power, vanity, bigotry. A biog-
raphy was created for him. The servant of the French colonizers and the
Japanese invaders was declared a fanatic nationalist, a fighter against
invaders and colonialism. For the betrayer and speculator was created
the halo of an incorruptible, irreproachably honest man; on this glutton
(those, who had observed him, wrote about the pathological craving of
Diem for food) was placed a wreath of asceticism and chastity.
"He is a sincere, honest and selfless man," thus Ngo Dinh Diem was
boosted by General Collins, chief of the special American mission in
Southern Vietnam, "he is a really selfless and capable man, who seeks
nothing for himself, but only for the Vietnamese people. He is a real
nationalist. He believes in the freedom of Vietnam and stubbornly
fights for this freedom, never vascillating. He did not compromise
with the Japanese, refused to compromise with Ho Chi Min. He never
concluded a compromise with the French."
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This through and through false character dated back, nevertheless,
to 1955, when Ngo Dinh Diem had become Prime Minister of South Vietnam.
And at that time, after the end of the second world war, he was still
trying to flirt with the French, until he was definitively convinced of
a quick failure of the French colonial system in Indo-China. The son of
the mandarin of the first class was frightened to death by the scope of
the national-liberation movement. Ngo Dinh Diem saw the only real force
capable of suppressing the people, who had revolted and whom he hated,
in American imperialism, which was armed for the colonial possessions
of its 'tallies." And Diem went into the service of the Americans.
* * *
The leaders of American policy did not rush to put Ngo Dinh Diem
into the big game, whose purpose was the replacement of the French
colonial influence in Indo-China by American domination. The connec-
tions of Diem with the French colonizers and Japanese invaders were
still too memorable. Precisely for these criminal connections Diem was
arrested by the powers of the Democratic Republic of Vietnam, but soon
afterwards, as a result of the policy of indulgence pursued by the gov-
ernment of the Democratic Republic of Vietnam, he was set free.
When in 1949 the former Emperor Bao Dai became president of "the
independent" republic of South Vietnam, Ngo Dinh Diem disappeared from
the political horizon. A trace of him appeared in the United States.
The State Department of the USA and the Archbishop of New York, Cardinal
Spellman, were training Ngo Dinh Diem for two years for the role des-
tined for him -- chief of the South Vietnam state. The training took
place near New York, within the walls of a seminary for Catholic priests.
The French weekly Tribune de Nation wrote thus about the connections
of Ngo Dinh Diem with Spellman: "Their relations were so close, that in
the opinion of some, the Cardinal became in a literal sense the director
of the matter of who should become the Prime Minister...." The young
Jesuit priest Dulles often visited Diem and had long conversations with
him. Yes, yes, the son of the present US Secretary of State and nephew
of the director of the American Intelligence Service, Allen Dulles. The
close connections of the betrayer of the Vietnamese people with the
State Department and American intelligence service were established at
the highest level."
When in 1953 Dulles held the post of Secretary of State, he tried
to conceal these obvious connections. Ngo Dinh Diem was sent to Belgium.
There, in an ancient Benedictine monastery, he with feverish attention
watched the events which were irresistibly developing in Vietnam and in
near-by France. The colonial war was turning out obviously not to the
advantage of the French imperialists. The French people, the whole world
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community resolutely demanded the cessation of "the dirty war." The
battle of Dien Bien Phu was marked as the failure of the French colonial
system in Indo-China.
In May 1954, shortly before the Geneva negotiations on Indo-China,
under direct pressure of the USA, Bao Dai appointed the American hench-
man Ngo Dinh Diem Prime Minister of South Vietnam. Nominally all the
power was put into Diem's hands. "The chief of state" Bao Dai in fact
left the affairs of state, "was resting" on the Cote dtAzur. "The
power, which Ngo Dinh Diem achieved during this period," wrote the maga-
zine Foreign Affairs and Reports, published in Delhi, "was not so much
the result of his personal qualities and powerful will, as the result
of the support which he was able to obtain from the powerful illy -- the
United States. The United States considered Mr. Ngo Dinh Diem as their
man...."
The French magazine Esprit called Ngo Dinh Diem "the favorite candi-
date of the United States" at that time when the United States "most
resolutely was making up its mind to deprive France of control over Indo-
China."
Diem went to Saigon accompanied by the priest) appointed by Cardinal
Spellman to look after him, and Colonel Landsdale of the American Secret
Service. The latter is known under the name of "trainer of presidents"
-- it was as a result of his efforts that Ramon Magsaysay had come to
power in the Philippines.
"He came," noted the French magazine Nouveau FeMina_et France-
Illustration, "in an environment of general indifference. Only several
hundred priests, nuns and village notables met him. The people did not
know him, and his name itself was not known to the masses."
Diem locked himself up in the former residence of the governor-
general, which had been renamed The Palace of Independence, shut him-
self off from the population by bayonets and machine guns. "His
Palace of Independence," added the magazine, "very strongly resembled
a prison or a beseiged fortress."
* * *
During the night of 20-21 July 1954 in Geneva were signed the agree-
ments concerning the cessation of military activities in Vietnam, Laos,
and Cambodia. The bloody war which had lasted for eight years was fin-
ished. The Deputy Minister of National Defense of the Democratic Republic
of Vietnam, Ta Kulang Butu signed the first of these agreements in the
name of the Commander-in-Chief of the People's Army of Vietnam; General
Delotais signed in the name of the Commander-in-Chief of the armed forces
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of the French Union in Indo-China. The signature of the representative
of South Vietnam was not under the agreement, nor under the conclusive
declaration of the Geneva Conference. Also the representative of the
USA Bedell Smith refused to join the declaration; he stood at the final
stage of the conference in "brilliant isolation." Washington had ma-
tured the far-going plans for the frustration of the Geneva agreements.
The Geneva Conference marked the defeat of the policy "from the
position of strength" and the triumph of the idea of peaceful coexist-
ence of states with different social-political systems, the achievement
among them of agreement by means of negotiations on all unsolved ques-
tions. The Geneva Conference indicated the growing force of the national-
liberation movement in the whole world, the increase of authority of the
Soviet Union, the People's Republic of China, the Democratic Republic of
Vietnam, which had steadily fought for the cessation of the "dirty war,"
for the establishment of peace in Indo-China.
The Geneva agreement on Vietnam established the provisional demo-
cratic line approximately along the 17th parallel, which "cannot be
construed as being to any extent the political and territorial boundary."
Along both sides of the demarcation line it was proposed to regroup the
troops, to remove from North Vietnam the French armed forces. It was
forbidden to introduce new troops, to import foreign armament and mili-
tary personnel, to create foreign military bases. The Indo-Chinese
states were committed not to participate in military alliances. Of
great significance was the decision concerning the conducting in Vietnam,
during July 1956, of universal free elections, the bases for national
reunion of Vietnam under conditions of peace.
As the following events indicated, Ngo Dinh Diem did not intend to
fulfill even one of these conditions. In this he enjoyed the full sup.
port of the United States, which was striving to perpetuate the schism
of Vietnam, to force France out of South Vietnam, and to convert it into
an American colony. Five months after Geneva, the American magazine
United State p New and World Report with unconcealed complacency wroteg
"The United States -- instead of France -- has assumed the chief responsi-
bility for the policy in respect to Indo-China. The higher political
decisions, which until now had been made in Paris or by the French com-
mand in Indo-China, from now on will be made by the United States and
their new special envoy in Saigon, General Lawton Collins.?
However the realization of the American plans was inhibited by the
confusion in South Vietnam during the first months after the conclusion
of the Geneva agreements. The American magazine New Republic character-
ized in the following manner the situation in the country, which the
USA was intending to make its colony: ?In non-communist South Vietnam
chaos rules. The country is divided; the struggle is proceeding, in
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which participate civilians, generals and rival private armies; the situa-
tion threateningly resembles China in the last days of Chiang Kai-shek.
In all its complexity, the situation is almost like a musical comedy."
The English newspaper Observer completely corroborated this estimate
of the situation: "During the four months after the signing of the Geneva
agreement the Prime Minister was on bad terms with almost all the politi-
cal and military forces in the country, in which almost complete anarchy
reigned."
The army revolted against the government. It refused to carry out
its orders, and at night conducted anti-governmental radio broadcasts.
The leaders of the feudal sects Cao-Dai and Hao-Habs, who governed in
extensive provinces and who had their own private armies, arose against
Ngo Dinh Diem. The sect Bin-Hsulen, which controlled the police service
of Saigon, considered Ngo Dinh Diem its sworn enemy. Surrounded by oppo-
nents, the government controlled almost nothing besides its own ministe-
rial buildings.
It is interesting that the government created by Ngo Dinh Diem not
long before the Geneva agreement, consisted of his closest relatives al-
most exclusively. Diem himself held the posts of Prime Minister, Min-
ister of Defense and the Supreme Commander of the Armed Forces (subse-
quently, after he had become President, he reserved for himself the
indicated posts). His younger brother, Ngo Dinh Nu, was "political
advisor" with very wide rights of interference in the affairs of the
ministries, in particular, the Ministry of Internal Affairs. Diem's
second brother, Ngo Dinh Ilylen, was Ambassador to France. The elder
brother, Ngo Dinh Tuk, concentrated in his hands the control of the
church. Ngo Dinh Kan, one more of Diem's brothers) and also his older
sister controlled the most important branches of the economy. A number
of key positions in the government and the administration were held by
close relatives of Diem -- the Tran family.
In the conditions of the bitter struggle for power of the South
Vietnamese feudal groups and generals, Washington definitively counted
on Ngo Dinh Diem.
Senate/. Mansfield, who had made
report to the Senate Foreign Affairs
himself for support of Ngo Dinh Diem
replacement of the American henchman
a trip to South Vietnam, in his
Committee, resolutely declared
and against any possibility of the
for the post of Prime Minister.
17 November President Eisenhower sent to Saigon his special repre-
sentative Lawton Collins to render aid to the government of Ngo Dinh
Diem. "Thus," noted the American magazine Pacific Affairs, "it was
clearly given to be understood that Ngo Dinh Diem, just as formerly,
in spite of P11 his obvious defects -- was an American henchman."
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The magazine added, that the government of Diem "acquired an un?
pleasant reputation of 'American puppet,' which hardly contributed to
its popularity in Asia."
In Saigon Collins declared: "I came to Vietnam in order to render
possible aid to the government of Ngo Dinh Diem and only to his govern?
President Eisenhower, in order to increase "the authority" of Diem,
appealed to him with a special message, promising extensive aid.
And the betrayer of the people zealously fought for the fulfillment
of the instructions of his American bosses, preparing to throw the coun?
try at the feet of the United States. With exceptional cruelty and in?
siduousness he made short work of all who stood in his way to power.
He was "ready for the establishment of his rule...to go to any
means: bribery in respect to the corrupt, lies -- in respect to de?
ceives, goodness itself -- in respect to the naive and vain," wrote
the French magazine Nouveau Feminaet France?Illustration and added that
Diem "had secured for himself victory by insiduousness, the sword, and
fire."
"The authority of Diem was supported by blood..." declared the
weekly Bulletin de Paris. Even Diem's bosses were startled by the
methods by which he operated. "One American critic," wrote the maga?
zine United States News and World Re ort, "called him oa little monster,
created by us'."
In the very first skirmish of the "little monster" with his rivals,
American support played the decisive role. The question concerns the
clash of Ngo Dinh Diem with the adherent of Bao Dail the chief of the
General Staff of the South Vietnam Army Nguyen Van Xuan. This was that
very same General Xuan who publicly bragged that it would be enough for
him to just remove the telephone receiver, and in five minutes a detach?
ment of tanks would penetrate into the palace and would drive out Ngo
Dinh Diem. The General did not exaggerate too much: the 260,000?man
army had vowed "perpetual fidelity" to him, and the palace of the Prime
Minister, allegedly, was guarded by a handful of soldiers armed with
obsolete rifles and fire?hoses for the dispersal of people's demonstra?
tions.
Nevertheless Diem won the victory. Bao Dai in France had received
an order from overseas, and Nguyen Van Xuan was removed from his post.
"The Americans demanded that Bao Dai disavow this soldier who was too
well known. Ignonomously he flew on a plane to France," wrote the maga?
zine Nouveau Feminaetikance-Illustration. "Since then," added the
English Observer, "the figures on the chess board jump up as a result,
obviously, of some strong blows of the Americans upon the table."
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Xuan left, but there remained the army with its generals, ready to
occupy Diem's place. It was decided to reorganize the army. The Ameri-
cans were engaged in the reorganization. The chief advisor of Ego Dinh
Diem on military questions the American General OlDaniel justified his
nickname of "iron broom." He removed from the army all the generals
and higher officers who were hostile to Diem. At the same time French
influence in the army was done away with.
However, at first) these plans of the Americans were given a hos-
tile reception by the leaders of the army. In the beginning of May
1955 Bao Dai transferred the command of the army into the hands of Gen-
eral Nguyen Van Vi. The General, who was dreaming of power did not
reckon on the craft and insiduousness of Diem. The latter bribed other
generals, who envied Vi, and once, when Vi thought that he was already
near power, he had a narrow escape from his subordinates, who rushed
at him with knives.
Using the opposition among the sects, Ngo Dinh Diem succeeded in
putting an end to the private armies of the sects in turn, when their
leaders refused to enter the "national" army which had been reorganized
by the Americans.
By the beginning of 1956 the armies of the sects, weakened by pro-
longed bloody conflicts, did not represent a force which threatened the
power of Ngo Dinh Diem.
For the methods of reprisal of Diem with his rivals, the story of
General Trin Min Te is characteristic. This general was of the Cao-
dai sect, one of those generals, with whose help Diem had put an end
to General Vi. Diem and Te were considered close friends. Insiduous-
ness and cruelty, the striving for the achievement of the goal without
considering the methods, brought them close together. The magazine
cited above,Nouveau Yenta et, France-Illustration gave, not without a
certain admiration, the following portrait of General Te z "He was a
little, silent, and very handsome young man with delicate, pure facial
features. But for him the highest realization of purety and beauty
was death, bloodshed, execution." When the power of this bloody sa-
dist over the army appeared threatening to Diem, a bullet from a cara-
bine of American origin put an end to life. Diem arranged a solemn
funeral for him angl, allegedly "fainted away" near the grave of his
"friend." "But the murderer was never found," added the French maga-
zine) "even if it is assumed that a search was made for him."
When, on the whole, an end was put to the enemies of Diem inside
the country, then came the turn of the former Emperor Bao Dai. In
October 1955, as a result of a falsified "plebiscite,* Ngo Dinh Diem
became the head of the state -- through the kindness of the US State
Department -- the President of South Vietnam.
* * *
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South Vietnam.... Rich and at the same time poor country, flooded
with blood, torn away from the North, where the people rule, by the whim
of Washington. The United States needed a bridgehead for attack upon
the Democratic Republic of Vietnam, for maintaining constant tension in
this little corner of the globe. They found this bridgehead in South
Vietnam, headed by the puppet President Ngo Dinh Diem. The strings)
which make him move, are in the hands of dozens of important American
advisors. Hundreds of petty officials from numerous missions of the
USA filled the entire country.
Not much is known about the activity of the Americans in their
South Vietnamese colony -- the work of censorship and the police system
was set up in model fashion. But the scandalous facts of the bossing
of the Americans in South Vietnam nevertheless penetrated into the for?
eign press. The Indian newspaper Blitz in correspondence from Saigon
under the headline "Yankees at the Court of Diem, or Diem at the Court
of the Yankees?" wrote: "The Americans in Cochin China behave just as
if they were in Oklahoma or South Carolina -- and they even feel more
free here.... It is true, that Ambassador Reinhardt...comes to his
audience with the President without his dogs. Reinhardt 'observes1
the rules of diplomatic etiquette: he does not summon Ngo Dinh Diem
to his embassy to inform him of the new instructions from Washington,
but transmits them through a courier.
"However the rank and file members of the numerous American mis?
sions in South Vietnam are not hampered by the observation of diplo?
matic conventions: they behaved just the same way as the Hitler
gauleiters in occupied territories in the period of the flourishing
of the Nazi regime."
The Indian newspaper cited a series of scandalous outrages of
"such Americans." "But the incident, when five Icivilized' officers
of the US raped a 12?year?old girl under the eyes of her mother and
then shot her," indicated Blitz, "is the most sickening of the great
number of similar incidents." And here is what happened in a small
Vietnamese village. When the inhabitants of the village tried to
demand the punishment of the guilty Americans, the inhabitants of the
village were punished in a manner typical for occupation troops: by
order of a US officer, South Vietnamese troops committed the whole
village to flames.
Diem, who hated his own people, was ready to destroy hundreds
of thousands of his own countrymen, if only to serve those who had
placed him in the presidential chair.
But worse than Diem's hatred of his own people was his fear of
them. Diem knew: it is possible to put an end to dozens of his ene?
mies, it is possible cruelly to make short work of hundreds and
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thousands of true patriots, but it is impossible to kill the people; it
is possible to bribe a dozen and a hundred corrupt officials, it is
impossible to bribe the people. And all the same in the evenings the
President anxiously listened to the noise of the large city of Saigon,
on whose streets the police patrols were walking, and the American offi-
cers were making merry.
Only fear of his own people can explain Ngo Dinh Diem's refusal to
conduct the election ordered by the Geneva agreement. Diem was afraid
of the people of Saigon, Shalon, Gue, of the cities and villages of
South Vietnam. And in reality, what, other than misfortune, did Diem's
government bring the people?
It was already obvious to all now, that the American alluring pro-
grams for the restoration of the economy of South Vietnam completely
failed. The economic aid, which constituted not more than one-tenth
of the military aid which the USA rendered South Vietnam, did not permit
the development of the economy, which had been destroyed. The foreign
trade deficit reached tremendous dimensions. The country was flooded
with huge masses of paper money. The only thing which the Americans
succeeded in doing was the creation in the country of "order," based
upon soldiers' sub-machine guns and police shadowing.
From the population of South Vietnam it was impossible by any
censorship devices to conceal the fact that, in the North, their
countrymen, overcoming great difficulties, were successfully building
their own free state -- the Democratic Republic of Vietnam.
It is easy to explain the mortal hatred of Ngo Dinh Diem for the
Democratic Republic of Vietnam, for its leaders -- one bone and one
flesh of his own people. The bloody Diem, urged on by the American
advisors, was feverishly equipping his army with arms which the USA
was sending to him, in violation of the Geneva agreement. He was
dreaming about "the campaign to the North," about a new bloody war.
Such was the portrait of the President Ngo Dinh Diem. It is
possible to give the essence of this corrupt, cruel) lying Pharisee
in one word. This word is betrayer of his people.
The Suez Canal and the Imperialists D. Danis
"Pyramids of corpses) mutilated bodies, cut-off legs and arms,
skulls that had been cut into pieces, naked children swarming in the
dust-holes, women mourning their dead relatives.... The streets were
heaped up with the dead, whom nobody took away. In former times the
splendid street Rue Gumhuria, the center of the business life of the
city, now had become the most hideous place of Port-Said. Down the
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canal, along the road which passes through the place, where I am now
sitting and writing this correspondence, the dead were scattered about
everywhere. It is difficult for me to write about all this, but this
is necessary, in order that the conscience of the civilized humanity
be revolted by the evil deed committed by the English and the French."
These lines the correspondent of the Indian newspaper Amrita Bazar
Patrical Shibdaz Banerzhi wrote in Port?Said, tortured, half?destroyed
by the English and French colonizers.
Having undertaken the attack upon Egypt, the aggressors took venge?
ance on its people because it had decided to return the Suez Canal to
itself. This canal had been created at the cost of the lives of 120,000
Egyptian workers. Firing upon Port?Said from warships, bombing from
planes the cities and villages of Egypt, the colonizers, thrown out from
this ancient, proud and freedom?loving country, were counting on intimi?
dating the Egyptian people, on making it kneel, on forcing it to give
up its own sovereign right to be the master of its own country.
It did not happens The manly resistance of the Egyptian people,
the resolute protest of public opinion of the whole world forced the
American?English majority of the UN to censure the aggressors. The
firm support given by the Soviet Union, the Peoples Republic of China,
India and other peace?loving countries to the victim of aggression,
forced the colonizers to retreat.
Having been defeated in the method of undisguised robbery and
plundering, the colonizers wanted now to achieve their goals, and re?
sorted to intrigue and blackmail, now depending upon the aid of the
American monopolists. However, even in this method, just as in the
method of undisguised colonialism, they were defeated. It was impos?
sible to replace the yoke of colonialism about the necks-of people
fighting for freedom.
The Suez Canal is one of the largest hydrotechnical constructions
in the world. The most important waterway of the present, created by
the labor of tens of thousands of obscure Egyptian workers -- fellahs,
completely and undividedly belongs to their descendants. In order to
construct the Suez Canal of almost 173 kilometers, the Egyptians had
to remove by hand 275 million cubic meters of earth and lay 3.8 mil?
lion cubic meters of concrete.
The canal has been playing this most important role in the economy
of many countries of the world for nearly 100 years. Passing entirely
through the territory of Egypt, it is the key link of the shortest sea
route from Europe to Southeast Asia and to the Far East. The canal
reduces some sea communications 8,000-15,000 kilometers. A oil tanker
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passes from the Persian Gulf to Marseilles around Africa in 67 days. The
Suez Canal permits ships to go to Marseilles in 15 days. The main mass
of goods turnover among countries of Europe, Southeast Asia, Australia,
and the Far East is directed mainly through the Suez Canal. In 1955
through it passed 14,666 ships of 45 countries of the world. They trans-
ported 115.7 million tons of freight. In the words of the Italian his-
torian Sammarco, "Egypt, or, more accurately, the Suez Isthmus...con-
trolled in antiquity and in the Middle Ages almost all the world trade,
and in our days not less than half. This important position for Egypt,
just as the means of communication, has a great effect upon the history
of the Egyptian people. The destiny of this country has always been
under the influence of various states, and often has been decided in
fierce battle for the political and economic supremacy in the East, that
is, in a certain sense, for world domination."
The economic significance of the Suez Isthmus was understood in
ancient Egypt. Attempts to dig through such a canal were undertaken
in deep antiquity. The 20th Pharaoh of the First Seti dynasty, in the
thirteenth century B.C., succeeded in uniting the eastern branch of the
Nile River with the Red Sea. But the canal was subsequently destroyed.
Seven hundred years later, during the reign of the Pharaoh Neco, there
was an unsuccessful attempt to restore the canal. Work for the restora-
tion of the canal, which had been started at that time, was completed
considerably later. The Roman Emperor Trojan in the second century A.D.
continued this work, having named the canal "Annis Trojanus."
After the conquest of Egypt by the Arabs, the canal, restored and
improved during the reign of Emir Ibn al-Asam? the canal was named "the
sovereign of the faithful." In the eighth century, by order of the
Caliph of Mansur, it was filled up in order to prevent the penetration
of European ships into Arabia. The last unsuccessful attempt to re-
store the canal, which united the eastern branch of the Nile with the
Red Sea, was undertaken in the sixteenth century.
A bitter struggle developed around the plans for the creation of a
navigable waterway from the Mediterranean Sea to the Red Sea. It is
known that in secret instructions which the Directoire provided Napo-
leon during his military expedition to Egypt in 1798, it directed him,
among other things, "to open for republican forces" the path to India
passing through the Cape of Good Hope. And when, in the 1840's the
French began to undertake practical measures for the realization of
their plan for the construction of the Suez Canal, the English opposed
this with all their might. They remembered well that Napoleon had in
his time been ordered "to drive out the English from all the possessions
of the East."
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Giving the French entrepreneur Lesseps the order of the Sultan for
the organization of the work for the construction of the canal through
the Suez Isthmus, Said-pasha, the deputy of the Turkish sultan in Egypt,
had in mind the construction of a canal which would bring the country
huge material and political advantages. In the order there were espe-
cially mentioned the advantages "which the uniting of the Mediterranean
Sea with the Red Sea by a navigable way for large ships would present
for Egypt."
The French, English and Americans were against the nationalization
by the Egyptian government of the Suez Canal Company. They declared
that Egypt did not have the right to do this, inasmuch as the company
was not a national Egyptian enterprise, to which, naturally, the laws
of the country applied, but an international company, which stood out-
side the sphere of the application of national laws.
Is that really the case? Even the simplest check-up indicates
that this is far from true.
According to the first order of the Said-pasha, which was the pre-
liminary act of the concession, the charter of the proposed joint-stock
Suez Canal Company was subject to the approval by the Egyptian govern-
ment. Only with its preliminary consent could changes be introduced
into the charter. The director of the company had to be appointed by
the Egyptian government, to whom was to be given 15 percent of the net
profit of the company, 75 percent of the income which belonged to the
company itself and LO percent of that of its founders. The period of
the concession was fixed at 99 years, counting from the day of the
opening of the canal. "After the completion of the term of the con-
cession," it was stated in this document, the Egyptian government will
occupy the place of the company, will enjoy without limitations n11 its
rights and will come into full possession of the canal...."
Thus, the Suez Canal Company, which the imperialists want to repre-
sent as "an international organization," from its very inception has
been an Egyptian enterprise, subject to the internal laws of the country.
Lesseps 1 who, incidentally, was the uncle of the wife of Napoleon
III, not waiting for the complete formation of the concession, set about
the organization of the Suez Canal Company. Four hundred thousand
shares, at 500 francs each, were issued. Not waiting also for the
ratification of the concession by the Sultan of Turkey, Lesseps in
November 1858 began to place the shares of the company, half of which
-- 200,000 -- was distributed in France. The English at that time in
every way were inhibiting the construction of the canal, using for this
purpose the supreme ruler of Egypt at that time -- the Turkish Sultan.
However, in this struggle, France ultimately won the victory. Work on
the construction of the canal was begun on 25 April 1859.
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The people of Egypt made innumerable sacrifices in the creation of
this vast project. According to the agreement with the company,
30,000-40,000 fellahs were sent every month into the work of digging
the canal. This caused great damage to the agriculture of the country.
According to the admission of the well-known historian the Frenchwoman
Juliette Adam, "a vast number of these workers died under the weight of
such an exhausting duty; in addition, nothing was paid to their families,
either by the company or by the Egyptian government."
The final convention concerning the construction of the Suez Canal
was signed on 22 February 1866. According to its clauses, the Suez Canal
Company is "an Egyptian company, is governed by laws and customs of the
country." All disputes in Egypt between the company and private persons
of any nationality, it was stated in the convention, will be decided by
local courts. Disputes between the Egyptian government and the company
also will be brought before local courts and decided in accordance with
the laws of the country. In other words, the Suez Canal Company from the
very beginning was an Egyptian enterprise. What is more, it was directly
indicated in the convention that the Egyptian government has the right
to occupy "any position or any strategic point in the canal zone which
It will consider necessary for the defense of the country." Only "in
matters which concern its organization as a company and the relations
of its stock-holders is it regulated on the basis of a special conven-
tion by laws under which joint-stock companies are controlled in France."
Now clinging to this stipulation, without to any extent, refuting Egyptls
ownership of the canal and its right to control all its affairs, the
French, and behind them the English and Americans are trying to attach
the appearance of legality to their imperialistic importunities for the
Suez Canal.
The Suez Canal came at a dear price for the people of Egypt. The
country was exhausted. Egypt's foreign debt by 1873 reached 68,497,000
Egyptian pounds. The attempts of the Egyptian government to get out of
financial difficulties were unsuccessful -- the foreign banks refused
to grant it a new loan. The rulers of the country at that time had to
resort to the sale of Egyptian control of a packet of shares of the com-
pany of the Suez Canal. England took advantage of this. In deep se-
crecy, Prime Minister Disraeli at that time acquired for England 172,602
(that is 44 percent) shares of the company of the Suez Canal for only
3,976,580 pounds sterling.
Having bought for a mere trifle an important share in the income
from the exploitation of this most important seaway, Disraeli declared
at a meeting of the House of Commons: "I always had presented and
recommended this matter to the country as a political transaction, as
a transaction, which was destined to strengthen the empire...."
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As a result of the maneuvers of the colonizers, Egypt was deprived
of the very minimum material compensation: not only 44 percent of the
shares of the Egyptian government had gone into the hands of Englishmen,
but also 15 percent of the income, stipulated for Egypt by the conces-
sion agreement, were intercepted by the French. Having paid that meager
Sum for 44 percent of the shares of the Suez Canal Company (subsequently
the number of shares bought up went up to 800,0000 with England's por-
tion being 353)504 shares), England made enormous profits on them.
After the second world war the shares which belonged to England were
already estimated at several hundred million pounds. To an equal ex-
tent, French shareholders grew rich. In spite of all this, the canal
remained an integral part of Egyptian territory, and the Suez Canal
Company remained an Egyptian enterprise, all the property of which in
1968 was to become the property of the Egyptian government. Having
adopted on 26 July 1956 the resolution concerning the nationalization
of the property of the former Suez Canal Company, the government of
Egypt performed the most legal sovereign act. Even such pettifoggers
as Dulles could not question the legality of this nationalization.
Unleashing the aggression against Egypt, the English and French
imperialists asserted that they were striving to guarantee freedom of
navigation through the Suez Canal. But, as events indicated, Egypt
was not threatening his freedom. It was being threatened by the
unasked "defenders" of this freedom -- England and France, who were
violating navigation along the canal.
How does the matter stand with this freedom of navigation along
the canal?
Article 14 of the concession act of 5 January 1866, which has not
become invalid even up to the present time, directly states: "We
solemnly announce...a large sea canal from the Suez to Peluzium and
the ports connected with it are open, neutral ways forever...for any
trade ship, which passes from one sea to the other, not making any
difference, exception, and preference for whomever, it might be, and
whatever the nationality." This article has been strictly observed
and is being observed by Egypt.
Freedom of navigation along the canal was confirmed in 1882 in
a special report, signed at the Constantinople Conference of six
powers: Russia, England, France, Italy, Austria-Hungary, and Germany.
Then, on 29 October 1888 in Constantinople was signed the conven-
tion which confirmed "the existence of a definite order, which must
protect for all times and for all states free use of the Suez Canal,"
In accordance with this convention the canal must be "always free and
open for all commercial ships and warships, without differentiation of
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flags" both in war, as well as in peace time. The right of blockade of
the canal must never be used. The powers must not in any way violate
the guarantee of the canal and its branches, the inviolability of its
material part, must not permit any military operations in the region
of three nautical miles from the ports on the canal or operations,
whose purpose is the violation of free navigation along the canal, not
to keep any warships in its waters.
Observation over the fulfillment of this convention was entrusted
to the representatives of the powers who had signed the convention.
Upon the arising of a threat to the inviolability of the canal they
must inform the Egyptian government of it so that "proper measures for
the guarantee of free use of the canal" may then be taken.
Thus, according to the convention, freedom of navigation through
the canal is guaranteed by the Egyptian government and not any other
government. The convention does not preclude measures which the
Egyptian government has to take for the defense of Egypt under the
condition of observance of freedom of navigation.
England, which had occupied Egypt by this time, signed the con-
vention of 1888. However it inserted into it a stipulation that the
conditions of the convention apply only within the limits of their
compatibility with the English occupation of Egypt, and only if they
do not "disturb the freedom of operations" of the English government.
In 1904, at the signing of the Anglo-French treaty concerning the
division of the sphere of influence in Africa, England replaced this
stipulation by another, according to which Egypt was deprived of the
right to take "appropriate measures to guarantee the free use of the
canal."
During World War I, England, in spite of the conditions, led her
troops into the canal zone, constructed fortifications and established
its complete control over the passage of ships through the canal. It
established a military protectorate over Egypt.
In a difficult struggle Egypt achieved, in 1922, a formal aboli-
tion of the shameful colonial regime. However the domination of Eng-
land in Egypt continued for about a quarter of a century longer on the
basis of agreements and the treaty involving the alliance.
It is characteristic, however, that, even pressing the enslaving
agreement of 1936 upon Egypt, England could not recognize the Suez
Canal as an integral part of Egypt. It confirmed the right of Egypt
to guarantee the freedom and safety of navigation through the canal.
At the same time, England was systematically violating the convention
of 1888 and the Anglo-Egyptian treaty of 1936. In 1951 English war-
ships occupied the ports of the Suez Canal, and more than 80,000
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English soldiers were sent into the canal zone. In a note to the English
Embassy of 29 November 1951 the Ministry of Foreign Affairs of Egypt noted
that "the Suez Canal, which is a seaway of international importance, at
the present time has been actually taken over by one foreign power, namely
Great Britain."
As concerns the attitude of Egypt to the freedom of navigation,
Nasser, President of the Egyptian Republic, declared: "Nationalization
does not in any way, nor in any measure, affect the international obli-
gations of Egypt." The convention of 1888, he indicated, will be com-
pletely preserved; "freedom of navigation through the Suez Canal is not
infringed upon and is not affected in any way nor to any extent."
Thus stands the matter with the "problem" of freedom of navigation
along the Suez Canal.
England systematically violated the conditions concerning the free-
dom of navigation. Having unleashed the aggression against Egypt, England
and France not only most grossly violated this freedom, but put it out of
operation for a long time.
Such operations of the colonizers could not to any extent be justi-
fied by the assertions of the governments of England and France that they
had undertaken an attack upon Egypt for the purpose of stopping the mili-
tary operations which Israel had begun against Egypt.
As concerns the property rights of the stockholders of the Suez
Canal Company, the resolution of the Egyptian government concerning the
nationalization of this company clearly states that "the stockholders
and holders of the original shares will receive compensation for their
shares according to prices quoted on the Paris securities exchange on
the day previous to the present lawls entering into effect." The resolu-
tion of the Egyptian government concerning the nationalization of the
Suez Canal Company completely corresponded to the standards established
by the concession acts for the period of the expiration of the term of
the concession. Consequently, the whole "conflict" amounted to this:
the transfer of the company to Egypt, stipulated 88 years before, had
been carried out 12 years ahead of time.
* * *
The armed attack upon Egypt, organized by the imperialists of Eng-
land, France and started by Israel, was bloody revenge for the completely
legal resolution of the Egyptian government nationalizing the Suez Canal
Company and transferring into its hands control over the canal which
belonged to it. Beginning their military attack, the imperialists were
counting on a quick victory over this country. They wanted to frighten
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the Egyptian people, to make it kneel down and subject it to their will,
in order to dictate its conditions of control over the canal to the
Egyptian people,
Behind the armed aggression against Egypt stood the powerful im-
perialistic monopolies. Indeed, with the former Suez Canal Company were
connected the largest ship and oil companies of England, France and the
USA: the Iraqi Oil Company, the former Anglo-Iranian Oil Company, Rocke-
fellerts Standard Oil of New Jersey, the French Oil Company, the French
Bank of Indo-China, English, French and Franco-German arms production
concerns. They all were in some degree interested in having the control
of the canal not be Egyptian. They did not want to lose the source of
unprecedented enrichment: by 1954 the annual profits of the company
reached the huge sum of 10.5 billion francs.
But this was not the whole issue. Trying to organize the reprisal
against the people of Egypt, the imperialists did not conceal their in-
tention of frightening the other countries of the Near East, in whose
consciousness, as the press of Western countries unanimously recognized,
there matured more and more, for example, the idea of the nationaliza-
tion of foreign concessions for the exploitation of oil deposits in
those countries. The American oil monopolies, admitted the newspaper
New York Herald Tribune, fear that if Egyptts nationalization of the
Suez Canal Company remains unpunished, then "a precedent will be created,
which in essence will stimulate other Near Eastern countries to seize
oil concessions and oil pipelines under the pretense of nationalization."
The organ of big capital of USA, the New York weekly Newsweek expressed
the fear that the successes of Egypt in the field of the realization of
its legal rights to the canal "effect the imagination of the Arab peo-
ples."
The thrust of the imperialists was directed against Egypt not only
because, being located at the junction of the continents, it has vast
strategic importance as the hub of the most important communications.
The fact is that, first of all, Egypt recently began to play an impor-
tant role in the activization of the anti-imperialistic position of the
countries of the Arab East.
In 1951 the majority of Arab countries resolutely refused to enter
the aggressive war bloc, proposed by the western powers in the form of
the so-called "Middle East Command." In 1955 the Arab countries reso-
lutely censured Iraq for its participation in the creation, on the ini-
tiative of England and with the direct encouragement of the USA, of the
aggressive military group -- the Bagdad Pact, In December 1955 the
attempts of England to draw Jordan into the Bagdad Pact failed.
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Recently the Arab countries, following their national interests,
began to expand trade, economic and cultural connections with countries
of the democratic camp, countries of the people's democracies, with the
Soviet Union and the Peoples Republic of China.
IA Bandung was held the historic conference of countries of Asia
and Africa, which had laid at the basis of the foreign policy of its
participants the well-known principles of peaceful coexistence of states
with different social systems.
In all these events the Egyptian Republic played a large role.
In the conditions of the development of the national-liberation
struggle of the peoples of Asia and Africa, the process of disintegra-
tion of the colonial system began to increase at an unprecedented tempo.
In a short time, especially after the second world war, separated from
the colonial system were the most extensive territories, richest coun-
tries, populated with hundreds of millions of peoples. On the road of
independent development stood Syria, Lebanon, India, Pakistan, Burma,
Ceylon, Indonesia, Ghana, Malaya, Jordan, Libya, Indo-China, Sudan and,
finally, Morocco and Tunis. The ground was burning under the feet of
the colonizers in Kenya and in many other countries, whose peoples rose
up in the sacred struggle for their liberation from the age-old colonial
yoke.
In this struggle of the peoples for their liberation from colonial
domination, Egypt occupied one of the most advanced positions. After
the liquidation of the corrupt monarchy it became the center for the
assembling of the forces of the Arab states in the struggle against the
new forms of imperialistic enslavement of the eastern peoples.
In October 1954, England was forced to sign an agreement concern-
ing the removal of its troops from the territory of Egypt. England had
been keeping troops there since 1882. Egypt began to reconstruct its
national defense on an independent basis, reorganizing its armed forces
without the trusteeship of the military advisors, specialists and ex-
perts of the western powers. All this led to Egypt's beginning to
assume, for other eastern countries, the status of an example for the
conducting of an independent national policy, which liberated the coun-
try from the domination of many years of the western powers. Egypt's
putting into effect of the principles of the Bandung conference more
and more strengthened its independence, converted it into an important,
independent factor of international policy.
This also provoked the attack of the English and French colonizers,
who had lost their heads, upon the country, upon the country which had
only recently achieved national liberation from the yoke of imperialism,
and had started on the road of independent development.
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Extending its campaign against Egypt, the imperialist powers decided
to begin with economic pressure. Through economic pressure they were
counting on making the country bow down and dictating their will to it.
For this purpose, the USA and England unexpectedly declared that they
refused to extend credit to Egypt for the construction of the Aswan Dam
and the powerful hydroelectric power station on the Nile River, in spite
of the understanding which had been reached in December 1955. This was
a strong blow for Egypt. Realization of the project would permit Egypt
to obtain a sufficient quantity of cheap electric power, to construct a
powerful chemical fertilizer plant, and to increase the area of cultivated
lands in the country by 33 percent, bringing it up to 8 million feddan.
Refusing credits for the construction of the Aswan Dam, the USA and
England openly declared to Egypt that they had resorted to this because
the independent policy followed by the Egyptian government did not suit
them. "They want to punish Egypt because it had refused to participate
in military blocs, and because it fought for peace and for peaceful coex-
istence of the states," stated President Nasser in his speech in Alex-
andria on 26 July 1956. In that very same speech the President of Egypt
indicated that, for the realization of the plans of economic development
of Egypt, including the construction of the Aswan Dam, Egypt would use
part of the income of the Suez Canal Company, which reached 35 million
pounds per year, of which Egypt received only 1 million,
Such were the circumstances under which, on.26 July'1956; the
Egyptian government nationalized the Suez Canal Company.
What did the governments of England and France do? Did they
recognize this legal and just act?
Not at all.
The English government sequestered all the sterling accounts of
Egypt in the Bank of England and all the assets of the former Suez Canal
Company in England.
At the same time the English government, in the words of Prime
Minister Eden, decided to take "certain measures"'?of a military charac-
ter." It is true that from the very first moment of this warlike fever
in England sober voices began to be heard. Gaitskill, leader of the
Labor Party, for example, declared: "We must not tolerate such a situa-
tion, when we would be censured in the Security Council as aggressors
or when the majority of the Assembly would be against us." These warn-
ings did not sober up the venturesome politicians of 10 Downing Street.
It is significant that the USA occupied a special position on the
Suez question. It did not brandish its arms, did not threaten Egypt
with war. But the USA not only supported the Anglo-French measures
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preventing a peaceful settling of the Suez problem and directed at the
unleashing of a war against Egypt, but also tried to thrust upon Egypt
the unacceptable conditions which deprived it of sovereign rights in
respect to the canal. The declarations of the statesmen of the USA in
essence supported the aggressive position of England and France.
This is clear. The USA had to take into consideration the fact
that peoples of all countries of the East unanimously approved the
resolution of the Egyptian government. And an openly hostile position
with respect to Egypt could cause irreparable damage to the United
States, threaten the richest American oil concessions in Saudi Arabia,
Kuwait, on the Bahrein islands and in Iran, and also the trans-Arabian
oil pipeline, which passes through the territory of four Arab states.
All this forced the USA to occupy, in words, a position acceptable to
the Arabs. But as a matter of fact, their position was hostile to
Egypt. This, undoubtedly, also induced England and France to aggres-
sion against Egypt; it started with the armed attack of Israel upon
Egypt. Israel crossed the Egyptian border on the very same day, when
in accordance with the resolution of the Security Council, the repre-
sentatives of England, France and Egypt had to meet in Geneva for the
peaceful settlement of the Suez problem through negotiation.
* * *
The Anglo-Franco-Israeli aggression cost Egypt a great deal.
Cities were destroyed, historic monuments and great material values
were destroyed, thousands of innocent people were killed and wounded.
But the "civilized" barbarians of the 20th century had miscalculated.
They could not make the people of Egypt bow down. Manfully rising up
for the defense of their homeland, their independence, they upset all
the calculations of the imperialists, frustrated the plans of the colo-
nizers. They withstood the onslaught of three states and defended
their independence in this difficult and unequal struggle. The Egyp-
tian people did not remain alone in the face of aggression. The USSR
and other peace-loving countries of the world rendered it much aid in
its just struggle. By their common efforts the notorious imperialistic
policy "from the position of strength" failed. The Anglo-Franco-
Israeli aggressors suffered a moral-political and military defeat. And
only with great difficulty, by means of various behind-the-scene man-
euvers in the UN, the United States succeeded in protecting the aggres-
sors -- England, France, and Israel -- against serious responsibility
for the war which they had unleashed.
It is significant that the military venture of England, France
and Israel caused great damage to the peoples of these countries. In
England and France the shortage of oil and oil products began to be
felt sharply. Production was decreased, unemployment began to increase.
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England and France had to spend their dollar reserves for purchase of oil
at increased prices in the US. The American magazine Newsweek, in its
issue of 18 March 1957, calculated the direct and indirect losses of Eng-
land and France caused by their aggression against Egypt. In England
they reached 725 million dollars, of which for direct military expendi-
tures were spent 125 million, for additional expenses for the supply of
oil from the Western Hemisphere -- 320 million, for the rise in prices
of sea transport around the Cape of Good Hope -- 100 million. Acting
in accordance with its rights as a victim of aggression, Egypt seques-
tered 180 million dollars of English property.
The attack upon Egypt cost France 1,307 million dollars, of which
57 million was spent for military expenditures; losses connected with
the cessation of navigation through the canal reached 250 million; Egypt,
as the victim of aggression, sequestered 1,000 million dollars of French
property.
But the failure of the Anglo-Franco-Israeli aggression against Egypt
did not sober the pretenders to colonial domination. The United States
of America, taking a series of measures, directed at the strengthening
of its colonialistic positions in the countries of the Near and Middle
East, advanced the "theory" of the so-called "power vacuum," which would
be formed in the Near and Middle East in connection with the failure of
the Anglo-French military venture against Egypt and the loss of their
influence in this region. The theory of "the power vacuum" was invented
in order to justify the attempts of the United States to fill up this
"vacuum," that is to occupy the positions of its rivals and competitors
in the countries of the East.
The imperialistic policy of USA in the Near and Middle East was
cynically set forth by Secretary of State Dulles in a secret memorandum,
presented by him to President Eisenhower. This memorandum was published
on 10 March 1957 in a Berlin newspaper Neues Deutaidaadd.
Dulles reasoned that England and France could never again become
masters of the situation in this region. At the same time, Egypt and
other Arab countries were beginning to understand that they themselves
can decide their own affairs, and they were trying to liberate them-
selves from the hated trusteeship of the West. Proceeding from this,
Dulles planned the course of American policy. The main problem, he
declared, was the overcoming of Arab nationalism (that is the move-
ment for freedom from the colonizers), and the filling up of the
"vacuum" which formed. Dulles proposed to accomplish the overcoming
of "Arab nationalism" by means of the formation in this region of ag-
gressive military blocs. He wanted to fill up "the vacuum" with Ameri-
can military bases and by sending into this region American military
units designated for "special purposes," on "the Formosa pattern."
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In brief, Dulles' memorandum stipulated the replacement of English
and French domination in the Near and Middle East by American bondage.
The imperialist policy formulated by Dulles lay at the basis of the so-
called "Eisenhower Doctrine."
The peoples of the Arab countries resolutely protested against this
"doctrine." They well understood that American imperialism did not any
more differ from Anglo-French imperialism than the yellow devil differs
from the blue devil.
In striving to establish its colonial domination in the Near and
Middle East instead of the English and French, the USA Olotted a large
place to the problem of the Suez Canal. It was striving to press upon
Egypt a decision which would permit the oil monopolies of the US to
become the real masters of Egypt. Exerting intensified political and
economic pressure upon Egypt, they were trying to achieve "internation-
alization" of the canal -- the establishment of the control of US and
its partners over the canal. In answer to this, the Egyptian government
published, in March and April 1957, declarations on the Suez Canal ques-
tion. In them it was indicated that Egypt would completely fulfill the
convention of 1888, and, in accordance with instructions relating to the
order of navigation, would leave charges for ship passage at the former
level, and would not prevent the passage of English and French ships
through the canal, if these ships would pay the charges according to
the existing rules.
But the colonizers did not want to reconcile themselves to the fact
that Egypt was the real owner of the canal. The British powers for a
long time did not permit English ships to use the canal. The French
governing circles threatened to boycott the Suez Canal. But subsequently
the English and the French had to permit their ships to go through the
Suez Canal on general grounds.
The trouble of the imperialists around the Suez Canal cannot de-
ceive anyone. The people of Egypt, the Arab and peace-loving peoples
of the whole world attentively watched the operations of the colonizersp
with whatever "doctrines" they might cover themselves. The Egyptian
people, with the support of the peace-loving peoples of other countries,
will resolutely repulse any intrigues of the imperialistic enemies of
the freedom, independence, happiness, and prosperity of the peoples of
the Arab East.
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Enemy of the Freedom of the Arab Countries D. Danis
"The Middle East is important for the US
because oil is extracted in this region."
-- From a speech of John Foster Dulles to a
US Senate committee 10 May 1956.
In the middle of June 1930 in Saudi Arabia, on the shore of the
Persian Gulf, in the Quatuf region, appeared a small group of Bedouins.
They were dressed in robes, wore Bedouin attire; they had the typical
small curly beards. But, to the great surprise of the local Arabs, not
one of them could pronounce one word in Arabic. They evidently did not
know the Moslem customs, and did everything to remain unnoticed. The
"Bedouins" were caught. It turned out that under those Arab robes
American prbspectors were hiding; they had made their way to this region
in search of oil.
The American businessman Kenneth Edward, who was engaged in the
drilling of wells in the Arabian desert, saved the false-Bedouins from
severe punishment. Having interceded for them, he was able to settle
the affair. It was explained that the American prospectors had been
sent to Saudi Arabia by the American Mellon oil company Gulf Oil, had
already stealthily approached the Near Eastern oil through the Canadian
oil company which was connected with it. The Canadian oil company had
received from the English permission for the extraction of oil in the
Near East.
At that time the English oil trusts were dominant in the Near East.
They were the sovereign owners of Iranian oil. In their hands was 75
percent of the shares of the Turkish oil company, which was working the
oil deposit in Iraq, in the Masul region. It is true, that according
to the agreement signed in San Remo, 25 percent of the shares of the
Turkish oil company belonged to France; however, on the whole, the con-
cession was under control of the English. The English had an under-
standing with the Americans to the effect that the oil companies of
the Americans would not penetrate into the Arab countries. The London
Foreign Office (the Ministry of Foreign Affairs) obtained from the rulers
of all the Arab countries their consent to grant concessions for pros-
pecting and recovery of oil only to English oil companies. London did
not obtain this consent from Saudi Arabia -- the British Ministry of the
Colonies at that time considered this country "a desert, devoid of any
interest."
The American concessionaires who had settled in Saudi Arabia per-
sistently set to work to expand the split which had formed in the Eng-
lish oil monopoly in the Near and Middle East. Soon the Gulf Oil Com-
pany obtained a new concession for prospecting and recovery of oil in
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the territory of Saudi Arabia. First of all, it started prospecting for
oil in the province Al-Khasab on the coastline of the Persian Gulf, oppo-
site the Bahrein Islands, which were under the protectorate of England.
At that time the English still could, without much difficulty, pre-
vent the Gulf Oil Company from beginning the exploitation of the conces-
sion which it had obtained; this greatly troubled the Americans.
Therefore in 1933 the Americans organized the resale of their oil
concession in Saudi Arabia to a more powerful firm -- to the American
Standard Oil of California, which paid a fabulously low sum for it
-- $50,000. Subsequently, the US Secretary of the Interior Harold
Ickes, who headed the American Petroleum Administration during World
War II, declared that "the purchase of the Arabian oil concession by
Standard Oil Company of California for $50,000 was the most inconCeiv-
able bargain of our time."
The Americans tried to represent this operation as a fortuitous
bargain. Moreover they liked to tell how, when the emissary of Standard
Oil returned to the board of directors of this company with the signed
contract for the Arabian concession, he declared, in answer to question,
!that the firm had acquired a vast mass of sand, swarm of midges and in-
tense heat, and also vast hope," in other words, everything, other than
material advantage. In reality however this was a question of the crea-
tion of an American oil monopoly in this region of the world.
Immediately after the transaction, Standard Oil of California en-
tered into negotiations on the joint use of the concession with another
powerful American oil company -- Texas Oil, which at that time already
possessed an extensive trade network, selling oil in India and in other
countries of Asia. In 1936, the Arabian-American Oil Company -- Aramco
-- was created. With the support of the government, the oil companies
of the USA could now enter into a resolute struggle against the English
oil companies which were dominant in the Near and Middle East.
The English oil companies understood, that the creation of the
Arabian-American Oil Company made a very significant breach in their
monopoly in the Near and Middle East. Therefore the British govern-
ment protested against its formation to the United States government.
However, the US State Department pretended that it did not hear any-
thing, and the protest of the English remained "a voice in the wilder-
ness."
The new American oil company for the exploitation of the oil re-
sources in Saudi Arabia was created in just such an environment of bitter
struggle between the English and American oil monopolies. In the words
of the French specialist on Arabian oil,Benoit-Mechin, the development
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of the predatory English and American oil monopolies went "through a con-
secutive series of crises, rivalry and Conflicts, which, although they
proceeded in the muffled quiet of the offices of their boards of direc-
tors or in the shadow of the offices of the ministries, but nevertheless
did not cease to be bitter, dramatic and even partially bloody."
American statesmen and diplomats like to do a lot of empty talking,
especially at international conferences, about private initiative, free-
dom of enterprise, and about the fact that there is no connection between
the operations of American monopolies and American governmental policy.
The US Secretary of State Dulles, at the London conference on the Suez
Canal in August 1956, proposed the forcing upon Egypt of an international
organ for the control of the canal, which would be "isolated from the
influence of the policy of any state." However, it would be impossible
to find an American monopoly which is not connected with the government
of the United States of America.
* *'*
As far back as in the beginning of the second world war, the Chair-
man of a US Senate Committee of USA (subsequently the President of US),
Harry Truman, wrote in his report to the Senate, that "the government
must render to the oil companies, operating beyond the limits of the
United States, full diplomatic support and protection." As concerns
the activity of the Arabian-American Oil Company, the American Secretary
of the Interior Ickes declared in plain terms: "Saudi oil belongs to
us, because it is a raw material, necessary for the life of the US and
its independence." At that time Aramco felt the great pressure of the
English oil monopolies, which still could create at that time serious
difficulties for their American competitors.
At the climax of the second world war the Anglo-American struggle
for oil in the Near and Middle East flared up with new bitterness. In
the American press appeared numerous assertions concerning the fact that
US oil reserves were running catastrophically low. A noisy campaign was
raised for the expansion of output of oil outside the United States.
Reflecting the interests of the oil monopolies, Secretary of the Navy
Knox declared: "We must follow a policy of severe limitation of the use
of American oil. Namely, this will be the first sign of the conception
of the present foreign policy of our country. Great Britain has been
following such a policy for many years, and we must decide on the decla-
ration of such an oil policy, which would be approved by all." Under
the "all" evidently was meant the American oil monopolies. Having thus
prepared the appropriate groundwork, the US government created, in June
1943, the Petroleum Reserve Corporation. Concerning the purposes of
this corporation, the very same Ickes quite clearly said that it was
created "in view of the fact that private capital is not in a position
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fully to establish and support the national positions in this field,
governmental aid and participation may be necessary. The Petroleum
Reserve Corporation will serve these purposes, when the necessity will
arise."
To the Near and Middle East was sent an American engineering mis-
sion on oil problems. On 1 February 1944 it presented a report to the
President and directors of the Petroleum Reserve Corporation. The com-
mission indicated in this report that "the center of gravity of the
world oil production was moving from the region of the Gulf of Mexico
and the Caribbean Sea to the Middle East, to the region of the Persian
Gulf." In a special article, "Our Oil Resources are Running Low,"
Ickes wrote that "the capital of the oil empire is rushing to the
Middle East, to the Persian Gulf and the countries adjacent to it, such
as Arabia, Iraq, Iran, Kuwait, Bahrein and, perhaps, even Afghanistan.
And it cannot be said that it is moving on a camel, 0 Very likely, it
could not be put more clearly than Mr. Ickes put it.
Soon afterwards the information was published that the governmental
Petroleum Reserve Corporation had joined efforts with Aramco and the
Gulf Exploration Company in Kuwait for rendering aid to these private
American firms. The special agreement between the government of the US
and the private companies mentioned an intention to construct an oil
pipeline Prom the oil deposits of Aramco on the shore of the Persian
Gulf to the shores of the Mediterranean Sea.
The sensation in the American press and the subsequent measures of
the US government indicated the resolute intention of the American oil
monopolies and the government to settle more and more in the Near and
Middle East, to free its oil firms from dependence upon the English
and their operations in the field of extraction and transport of oil.
The Americans displayed a more and more undisguised intention to force
out the English from the countries of the Near and Middle East.
The correlation of forces between the English and American monopo-
lies in the Near and Middle East by this time was determined by the
following figures. There was extracted a total of 16.3 million tons of
oil in 1943 in the countries of this region, not counting Iran. Of the
total, the share of the American companies in Saudi Arabia, on the
Bahrein Is1ands and in Iraq was 1.6 million tons, that is less than 10
percent. At that time, according to the data of the American magazine
Fortune, England controlled in the Middle East about 60 percent of the
oil reserves checked, and English oil-refining plants processed about
80 percent of the recovered oil. The US controlled only 33 percent of
all the oil reserves, and in its plants was processed only 20 percent
of the oil. The weakness of the position of the US at that time become
still more obvious if it is taken into account that the output of oil
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in the Near and Middle East at that time was only 5.2 percent of the total
world output of Oil, which reached approximately 313 million tons per year.
During the 10 years before this the share of US was less than .3 percent
of the oil recovered In the Near and Middle East.
Intensifying the war between "the oil of the dollar" and "the oil
of the sterling," the United States of America achieved a quick advance-
ment of the American oil monopolies, the seizure by them of the oil re-
sources of the Middle and Near East, the definitive ousting of English
capital from the area. The representative of Standard Oil of California,
Colliers, declared that "Arab oil is destined to play an important role
In international affairs not only in order to satisfy military needs, but
also as a source of supply in the event of a possible crisis in USA."
Making use of the weakening of the positions of England during the
second world war, the American oil monopolies, actively supported by the
government, rushed into battle against the English monopolies, having
begun in the literal sense of the word to ram the English oil positions
in the Near and Middle East. Already in August 1944 an agreement was
reached between the US and England which essentially pressed the hitherto
monopoly positions of England in the field of recovery of oil in the Near
and Middle East. Especially stipulated was "the principle of equal oppor-
tunities" in respect to the prospecting and working of the oil resources,
construction, and exploitation of oil-refining plants, and the distribu-
tion of oil.
Scarcely had the American oil monopolies extorted from the English
"equal" opportunities in the field of acquisition of new concessions,
when in January 1945 this Anglo-American agreement was revised. The
new, amended agreement which was signed reflected the fact that now it
was not the English who were limiting the Americans, but, on the con-
trary, the Americans who were limiting the English.
Having obtained a free hand -- "eqUal opportunities" in the Near
and Middle East -- the Americans immediately set about the most exten-
sive use of these opportunities.
In February 1945 an understanding was reached concerning the ex-
pansion of the territory of Aramcols concession in Saudi Arabia to
4,400 square miles and the extension of its term to the year 2005.
Where there is oil, there are also military bases.
After the concession treaty on oil, there followed an agreement
concerning the construction and use by the Americans of an air base in
Al-Khasab. As is known, the US selected as a place for this construc-
tion the triangle Dhahran--Al-Khobar--AltAziziya, farther to the south
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than Dammain, on the shore of the Persian Gulf, In March 1945 the con-
struction of this air base in Dhahran was started. The construction was
completed in 1946. In the Near East arose one of the largest American
airfields of world importance.
The expansion of the scales of operations of Aramco occurred not
only in a fierce struggle with the English, but also in conditions of
sharp, competitive rivalry among the American oil monopolies. This
struggle led to a redistribution of the share of participation of sepa-
rate detachments of monopolistic capital of the US. As a result Standard
Oil of New Jersey, Standard Oil of California and Texas Oil retained 30
percent of the shares of Aramco. Socony Vacuum obtained 10 percent of
the shares.
Having secured for itself, with the aid of the American government,
the concession for so immense a territory, embracing almost all of Saudi
Arabia with the exception of a narrow zone which passes along the coast-
line of the Red Sea -- the territory of the whole concession is equal
to one-sixth the territory Of USA -- Aramco soon discovered four of the
richest deposits of oil: in Dammain, in Abcaiq, situated farther south-
west than Dammain, in Qatif, at the cape of Ras at Tannura, and in Ain
Dar. The oil fields in these regions are connected with the port in
Ras at Tannura by a four-line oil pipeline of a total length of 155
kilometers.
The output of oil in the oilfields of Aramco sharply increased, and
in 1947 exceeded 12 million tons. The share of the US in the output of
oil in the entire Near and Middle East reached 37 percent (15.6 million
tons) in 1947.
The accurate geological prospecting carried out by the Americans
indicated that in Saudi Arabia was located oneof the richest oil depos-
its in the world.
The English sounded the alarm: the breach, made by the Americans
in the English oil monopoly, began tO assume catastrophic dimensions;
it threatened to liquidate completely English oil domination in this
region. Between England and USA a serious economic conflict was becom-
ing imminent. "In prospect is a serious, muddled affair," wrote the
well-known French economist Visson. "The sharks will set about eating
each other without delay."
At that time in the opposition, Churchill attacked the Labor govern-
ment in the House of Commons, trying to persuade the people that the
government was pursuing a policy of "renunciation" of its interests in
the field of oil in favor of the US.
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Observing the strengthening by the American monopolies of USA, of
their positions in Saudi Arabia, the English journalist I. Kimkiegh Wrote
that the issue is the striving of the US to oust the English from Pales-
tine and regions of the Persian Gulf. "There is no doubt," he wrote,
"that in some place of the Middle East without delay will be constructed
a powerful American base." The English journalist was mistaken. At the
time his lines Were being written, the American air base was Already in
existence in Dhahran.
. The matter did not go as far as a sharp economic conflict between
US and England, although everyone had expected the conflict. Having
bound itself by a policy of participation, together with the United
States, in "the cold war," England was not in a position to offer the
necessary resistance against the Americans. Under the pressure of the
Americans, the English government made the usual concessions.
American capital investments in oil in the Near and Middle East
began to increase rapidly; the English share in the output of oil in
the Eastern Hemisphere went down. In the countries of the Near and
Middle East by 1949 it fell to 52.4 percent.
Having consolidated their positions, the American oil companies
developed feverish activity. There were built powerful oil-refining
plants in Abgaiq? Domain, and on the Bahrein Islands. The largest of
the oil-refining plants of Aramco, capable of processing up to 18,000
tons of oil per day, was constructed in the region of the port of Ras
at Tannura.
The share of American monopolies in the exploitation of the natural
resources of the Near and Middle East sharply increased. In 1951 the
US share of the oil in the Near and Middle East was 52.8 million to
(54.9 percent) of the total 96.2 million tons, and in 1955 of the total
149 million tons, the share of US was 93 million tons (62.4 percent) of
the oil.
The cheap labor of the Arab workers, the starvation wages which
Aramco paid them, permitted the oil magnates of the US to make fabulous
profits. In 1955 Aramco received 540 million dollars profit from the
sale of crude oil.
* * *
Dhahran. The capitol of the Saudi oil region was seized by the
grasping oil monopolies of the US. Formerly there was a settlement here,
a small oasis, unknown to anyone, lost in the sands. In 1935 there were
only 7,000 inhabitants in it. Now this is a large city, which in 1953
held about 69,000 inhabitants. In the city there are good homes, movie
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theatres,.gardens, stadiums, swimming pools. But they are all located
in the European part, called New Star. No Arab may pass through here.
The Arabs are cooped up in another section of the city -- in the so-
called Saudi Karttye.
The Americans built New Star for themselves. In the words of James
de Cook, who visited Dhahran in 1951, there are in it uoleanders and
other trees imported in boxes, grass lawns imported in carts. Everything
in it is imported from USA. Products, starting with beer and meat, and
ending with fresh lettuce, are supplied by the Americans. The American
employees of Aramco live in Dhahran in the very same conditions of com-
fort as at home in the US. The American way of life is delivered here
every week on planes or ships in the form of canned foods, vitamins,
phonograph records, movie films and magazines."
The Americans and other foreign specialists receive high salaries,
and each employee costs the company 3,000 dollars before he begins to
work in his post.
Saudi Kartlye is the Arab section of the city. Here there are no
cottages and modern homes with gardens and flower beds. In the standard
wooden barracks are cooped up from 30-50 persons; they are workers who
receive only 90 cents per day. The land, saturated with oil, is devoid
of any vegetation. In order to see any verdure or to buy vegetables,
the inhabitants of Saudi Kartlye have to go to Al Khobar, located 10
kilometers from Dhahran.
But the company does not provide all Arab workers with even such
wretched, barrack-type quarters.
As regards local workers -- Arabs, Aramco carries out a regime of
cruel discrimination. It tries to substitute for workers' unions spe-
cial committees of "protection" of the rights of the workers in cases
of conflict with the administration.
Stirred up by the difficult labor conditions, the scanty earnings,
the unbearable housing conditions, the Arab workers at the beginning of
1956 directed to the government of Saudi Arabia a petition, in which
they described their cruel treatment at the hands of the company, and
demanded an increase in wages to the level of the foreign workers, im-
provement of the housing conditions, and the right to organize trade
unions. However Aramco sabotaged the work of the committee appointed
for analysis of the conflict. In answer to the fully legal complaint,
the company began to discharge workers whom it found objectionable.
The company especially raged after a strike and peaceful demonstration
was carried out by the workers in January 1956 in the oilfields of
Dhahran, Ras at Tannura and Abotaiq. More than 10,000 workers partici-
pated in the demonstrations with slogans "Down with American Imperial-
ism!" "Down With the Colonizerslu
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According to information of the Lebanese newspaper Al-Akhbar, in
Dammain on 13 June 1956 10 workers were arrested and thrown into prison.
They were subjected to savage outrages and unmerciful beatings and tor-
tures, four of those arrested died, including a 17-year-old youth. The
following day 58 more workers were arrested.
The American exploiters converted Aramco into a sovereign state in
the sovereign state of Saudi Arabia. They crudely violated the most
fundamental rights of the local workers, subjecting the Arab patriots
to every kind of oppression and persecution, throwing into prison per-
sons whom Aramco found objectionable. The Syrian newspaper An-Nidal
with anger and indignation declared that in Dhahran "the American
gentlemen look upon the local workers as slaves and bondsmen."
In 1951, 22,395 workers were working at enterprises of Aramco.
Among this total number of workers were 13,786 Saudi Arabians, 3,230
Americans, 1,101 Italians) 940 Palestinians, 933 Indians, and 2,405
other Eastern nationalities -- such as the Adenese and Sudanese and
others.
In 1955 the number of workers and employees of the company was
21,073 persons. The Americans constituted 14.7 percent of them.
Aramco received huge profits from the output of oil in Saudi
Arabia. However it spent only very little money for the creation of
good labor conditions, improvement of housing and sanitary conditions
of the workers, for the planning and organization of public services
in the cities. It is true that Aramco invested funds in the construc-
tion of electric power stations, repair shops, shipyards. The total
capital investments of Aramco in this country reached 1.8 billion dol-
lars. But all these enterprises were intended for the squeezing out of
profits, for inhuman exploitation of new tens of thousands of local
Arab workers.
The company built schools with three-year training for the young
people of 8 to 18 years of age. But these schools embraced an extremely
limited number of the young people, from whom the schools were training
the labor force, trained to use modern equipment at the enterprises of
the company.
Aramco built medical points. But at these medical points are
treated only such widespread diseases as trachoma, skin ulcers, malaria,
and the like. Even such an admirer of the existing order in Saudi Arabia,
as Gerald de Gori, very cautiously declared that it is still too early
to say what the final effect of all these measures will be upon the popu-
lation." And indeed Aramco has been ruling in Saudi Arabia since 1937.
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The directors of the company do not conceal the purpose of all their
"measures." The Deputy Chairman of the Board of Directors of Aramco,
Floyd Oliger cynically declared that "the object, which we are pursuing,
is the creation of a middle class of Arabs, selected from persons capable
of fulfilling all kinds of work." These outspoken colonialistic inten-
tions were still more definitely and cynically expressed by the general
director of the company, James McPherson. He declared: uWe are con-
vinced that in helping the Arabs to help themselves, we in the long run
are helping ourselves."
Such is the predatory person of Aramco, such is its colonizer role
in the country upon whose resources, upon the labor of tens of thousands
of its best sons, Aramco was conceived, grew up, and became strong. This
company is one of the champions of that colonial yoke, which, as the news-
paper Al-Akhbar angrily wrote in June 1954, at times it becomes weak,
at times it becomes stronger, but it always exists and its presence is
the source of all misfortunes. This is the reason that the main purpose
of the Arab peoples must be the liberation from the imperialists."
* * *
The American oil monopolies fear most of all the striving of the
countries of the Near and Middle East for national independence, for the
utilization of their richest resources for the good of their own national
economy, for the liquidation of the domination of foreign capital in them.
Therefore the monopolistic circles of the US, England, France, carry-
ing on among themselves a sharp competitive struggle, at the same time
are blocked in the preparation of new maneuvers, directed toward the en-
slavement of the countries of the Near and Middle East. "They maintain
the aggressive military groups which they created for this region of the
world, as for example the notorious Bagdad pact. It is known that the
US actually stimulated the aggression of England, France, and Israel
against Egypt, undertaken as an act of revenge in answer to the completely
legal nationalization by Egypt of the former Suez Canal Company, the
nationalization whose legality even the US had to recognize. And only
when this aggression had shamefully failed, first of all as a result of
the firm position of the Soviet Union, which had warned the aggressors,
the US pretended that it was also against this attack upon Egypt.
Putting on a mask and pretending to be a friend of the people of
Egypt and other Arab countries, the US at the same time was making plans
of military penetration into these countries by means of the so-called
"police forces of the UN." This consisted, in particular, in the occu-
pation by these forces of the Gaza region, and of attempts to deprive
Egypt of the legal right to establish its own administration in the
Gaza region after the removal of the Israeli armed forces from it.
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Helping England, France, and Israel in their attempts to use and con-
solidate the results of their aggression against Egypt, the US did this
not in order to strengthen the position of these countries, but in order
subsequently to take their place, to try to subject the entire Near and
Middle East to its own domination.
The well-known American document, which became the property of world
public opinion in March 1957, when it was published in the Berlin news-
paper Neues Deutschland, indicates this very clearly. This was a secret
memorandum, drawn up for President Eisenhower by US Secretary of State
Dulles. With cynical frankness, the imperialistic program of the United
States in respect to the entire Near and Middle East is set forth.
In this document the oil companies, for whose interest Dulles was
the mouthpiece, had to recognize the irrepressible striving of the Arab
countries for national independence. The defeat of England and France
in Egypt, having buried their prestige in Asia and Africa, it was said
in the memorandum, led to a strengthening of Arab "nationalism," that is
of the national-liberation movement. The active support which was ren-
dered and is being rendered to the countries of the Arab East by the
Soviet Union, furthered the national-liberation movement, as the Charge(
d'Affaires of US monopolistic capital had to admit, not concealing his
anxiety. All this, he continued, created "a completely new situation"
in the Near East.
What way out did the director of US foreign policy offer? Was it
not a renunciation of the imperialistic pretensions of the USA, England
and France in this region? Was the recognition real, and not just a
formal recognition of the sovereign right of the countries of the East
to their national independence and sovereign state independence? Was
it a recognition of the inalienable right of these countries to use
their own natural resources for their own good without the exploitation
and plundering of them by foreign monopolistic capital?
No, not at alit Indeed such a program would mean the repudiation
of the very essence of the imperialistic policy of the US. And Dulles
was in the service of the imperialistic monopolies of American capital.
Dulles and the oil monopolies of the US behind him were afraid
that "Egypt and the other Arab states were beginning to understand that
they themselves can decide their own affairs" and that these countries
"were trying to liberate themselves from the trusteeship of the WestP
which they hated. Dulles was frightened by the fact that "if events
would develop in that direction, then the Arab East would soon be con-
verted into something similar to India, and that the Western powers
would then have to build their relations with the Arab countries on
completely new bases," that is on principles of respect of their sov-
ereignty, of the will of their people.
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The imperialistic colonizer program, an attempt to avert this mis-
fortune for the American oil monopolies, was introduced in the memorandum.
One of the requirements, advanced in the memorandum was to overcome
the strengthening of Arab "nationalism." To fill up the "vacuum" which
was formed, that is the void, which was created in the Arab East after
the downfall of the imperialistic positions of England and France. In
other words, to seize these positions, to use them in the interests of
the US. For this purpose it is necessary, the memorandum said, to
strengthen the military positions of the US in the Near East. To ex-
pand the program of the creation of air bases, to place in certain places
American military forces equipped with atomic weapons, to achieve the
consciousness of "an African military pact."
This frankly imperialistic anti-Arab program of foreign policy of
the United States formed the basis of the "Eisenhower Doctrine," which
was proclaimed 5 January 1957. This "doctrine," which was approved by
Congress, permitted the government of US "in case of necessity" to send
American armed forces to the region of the Near and Middle East. As an
enticement for these countries, there was stipulated economic "aid" in
the amount of up to 200 million dollars. The purpose of this "aid,"
as is known, is frankly described in the secret letter of Nelson Rocke-
feller to the President of the US0 ln the letter, it is said directly
that "the development of economic relations with these countries (of
the Near East - D. Danis) must ultimately give us the opportunity to
take into our own hands the key positions in the economy of these
countries" in order that "these countries themselves come to the con-
clusion concerning the necessity of joining the military pacts and
alliances created by us."
The American oil companies can permit the government to spend for
economic "aid" to the countries of the Near and MiddleEast 200 million
dollars: indeed they receive huge profits from the oil recovered in
these countries.
According to the admission of the American newspapers, the profits
of the oil companies of the US were 3,914 million dollars in 1955.
In order to conceal, to mask more easily the colonizer purposes
of "the Eisenhower Doctrine," directed to the enslavement and enthrall-
ment of the peoples of the East and the consolidation there of Ameri-
can domination through the armed forces of the US, the government of
the United States announced its decision to participate in the military
committee of the Bagdad pact.
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This did not to any essential degree change the situation, inasmuch
as the US was the initiator of the creation of the Bagdad pact, and par-
ticipated in two of its committees, including the economic.
The peoples of the Arab countries, Who had repulsed, with the aid
of other peace-loving peoples, the Anglo-Franco-Israeli aggression against
Egypt, resolutely opposed "the Eisenhower Doctrine," the attempts of the
American oil monopolies to dominate in the Near and Middle East, to per-
petuate the predatory pillaging of the natural resources of this region
and to preserve in a "new" look the colonial system of imperialism, hated
by the people.
But this system disintegrated under the powerful blows of the peoples,
who in a stubborn struggle against the colonizers threw off the yoke of
enslavement, achieved their national liberation, national sovereignty.
The peoples of the East learned to recognize all the contrivances of the
monopolists and the ruling circles of the imperialistic powers, trying
again to place upon them the yoke of colonialism, in whatever appearance,
in the guise of whatever "doctrines" these. attempts might be undertaken.
The peoples of the East understood that, as the Prime Minister of Syria
Saud AI-Gazi in May 1956 said, "the best way for the Arab countries is
the way of independence."
*
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APPENDIX
Here they honor (which is nothing basically new!)
The Old Testament calf
And in the manner of the "Golden Calf"
They have erected a statue of the businessman.
He is a symbol of business. No matter
Whatever he chants about doctrines,
This prophet of the "clean bomb,"
He is the personification of dirty dealings.
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Ix the natipp, of the "money bags"
The binkert 6 hand governs:
State organs not withstanding,
Power belongs to the DuPonts and the Morgans,
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He drew the petroleum out of foreign nations)
Or to put it differently: in robbing nations,
He pumped their riches
Into his own spacious pockets.
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?4orir"
"14-430.5p
Trader
e in death, h does not nto
ask
Upon which of h.is neUinbors, i whose country
boss drops the bOmb. .
Re Tosneses to convert to pure profit
income from dirty Any-deals-
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He, always extremely hard up
For consPiracies and secrets, -
Changes his make-up with every hour.
A rather poor masquerade...
We know, thou, thy brother we do,
We know, consequently, thou also.
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There he is -
"Boss" of the
Patron of the
Mister Chiang
- the atomic warrior,
fighters for profit,
Chiang Kai-shekists
Knowland-shek!...
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He honors the denunciation. He believes: in investigation
there is strength, and that
Truth is worth nothing:
The shadow of Himmler has adopted him
And with a lifeless "Heil! " greets him.
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'Slick gambler, pert sergeant,
Our talkative foe
Gruenthe-r wishes to frighten us,
Threatening with "A" and "H" bombs.
He has a little too much aplomb!
He ought to be able to guess
That the atomic bomb
Can fly to any address.
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He has not expended his ardour in vain:
He "defended' the workers in such a way
That he was thanked
By.. ,Hoover and the othersl
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He is proud, scornful and strict,
Stricter as he gets older.
He remembers India at the feet of the
"Mistress of ,the Seas,"
He is dragging behind the times,
He has a reason for being gloomy:
NOW the people are not the same in India
Nor is England the same!
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Serving the republic, as formerly
He served Fascism -7 with the same, enthusiasm:
If he were not hiding. the swastika, he would be
The some Fascist with dreaMa ot revenge.
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When Hens was on trial
He saw no chance of staying alive.
But the Fascist was. lucky.
Hans wondered: "Will they send me up or will they...?"
Look, they really did send him up
Into the staff, in front of the maps, at Fontainebleau.
Once he was an enemy of the Allies;
Now he is their "friend" in NATO.
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Trading the resources of France en route,.
A traveler over all kinds of 0.0iariCe8)
He liens cognac, French Ore
Ind.. .the interests of France:.
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He (do not judge him by a preconceived
notion) is a Socialist...in his own
manner: the Socialist-Stockholder who
found his ideal in NATO.
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They, with coquetish pose, call Taiwan "their Formosa."
But whether the island is called Formosa or Taiwan;
they still must inevitably leave. And thus the
histories of the road away from the island will not
be changed whatever its name might be.
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?
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He is nOthing. But in one way or another
He howls hysterically
Louder than all the puppets
Made in America,
* * *
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FOR OFFICIAL USE ONLY
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