com 14 Feb 2017

T'o .The


The Uncensored Story: ·


Foreword By

Illustrated By ·

. 521 Fifth Ave., New York City
1942 14 Feb 2017

FI RST E D l T I 0 N· M A RCH l 9 4 2
Second Printing-March 1942
Third Printing-March 1942



All Rights Reserved, including the
Right to Reproduce This Book or
Par~ Thereof in Any Form

Printed in United States of America
By Hemisphere Press, East Hartford, Conn. · 14 Feb 2017

Hitler and Goebbels and Goering are dead.
L~t us say that those three ARE dead. What then?
What difference does that make? N~ne whatever.

The astute and patient and gluttonous men who ~reased the ascent of
those three to power will still be guiding Germany to the destiny they have
ordained for her.
They will still be laying the German plans and making the German de-
cisions, not in hysteria but in cold blood, ready to rule the world if the German
Army wins, equally READY TO CHEAT US OUT OF VICTORY, as they did the
. last time, if the German Army loses.
THIS BOOK NAMES THOSE MEN and shows them greedily and tenaciously
and ruthlessly at work, wriggling and squirming when they have to, marching
boldly and insolently when they can.
Until we know their names, and what they have done and are now doing,
we do net even know who our enemy is, and we stand a good .chance of losing
'the fight again even if we win on the battlefield.
It was an American who said: "Never give a sucker an even break."
That is not a counsel of brotherly love, but at le.:sst it is good and tough.

Never has it been so utterly disregarded as by the American .lawyers and
business men who were selected, between 1923 and 1936, by certain Germans
for certain functions; and never has it been so carefully followed, and so bril·
liantly applied, as by the Germans who did the selecting.

This book tells about it.
We Americans_. all of us, should knoW' about it.
It is comparatively unrmportant whether certain of our fellow citizens
have consciously and WILFULLY BETRAYED US or are merely supersuckers; but
it is vital that we should understand WHOM they have been working for, and


If yqu read this book, you will be better equipped to help.

REX STOUT 14 Feb 2017



Long before Hitler heard of, they were planning world domination. Le't to right, standing: Hjol-
mar Schacht, Fritz Thyssen, Hermann Schmitz. Sitting, Karl Duisberg, Krupp von Bohlen und Halbach,
Nlax llgner. In the foreground is Heinrich · Gattineau, Duisberg's secretary. 14 Feb 2017


Sev~n Germa n Plunder Barons, witlt a world to
conquer, needed a Napoleon. Unknown to them
was the nellr'Otic: Austrian paperltang~r In a trench•
coat, with dreams of ltis own

NLY the weat~e r was beneficent in J?r a nk- would alter the demonstrated fact that Germany

O fort-on-the-Main on the warm summer e ve-
ning of June 7th, 19 20.
had been beaten to her knees? Germany w~
threatened with occupation by the most powerful
armed force e ver assembled. The Germans were
Evil forces were abroad. S inister f igures crept licked and the Allies were already constructing a
through d im lit streets . world league which would forever outlaw war.
The G erman peop le w e r e wa r weary and desper-
ately hungry . Commun ism , Socialism and Democ. Ev en today- with documented proof of the many
racy formed a hodge-podge of govern ment un in- eve nts which have transpired as a result of the meet-
telligible to any man. Defe a ted Germany was on ing in Frankfort twenty-two years ago-it seems al-
the verge of internal anarchy and occu p ation b y the most incredible t h at those seven men have come
victoriou::; for ces of the Allies.- perilously close to a ccomplishing their purpose-
the conquest . and domination of the entire world.
W.e ll-meaning leaders of the Germa n peop le were
working without rest trying t o organize a German Who were these seven men? Whence came their
R e public from the chaos left behin d by t he fleeing power to thwart the rest of the world in its idealistic
Kaiser . President Fritz Ebert , t h e f ormer saddle effort to banish war among civilized nations? How
maker. was d espera tely tryin g to rest ore order and have they come so far along the road to world con·
transform G ermany's great w ar in dustr y into peace- quest?
time production. His Minister of Fina nce, Mathias
Erzberger , so ught frantically for w ays and means The record is one of incredible human gullibility-
to meet the huge r e parat io ns d emanded by the Allies of human cupidity'-Of genius ·mixed with infamy-
to pay fo r the colossal destruction of the war. of treachery salted down with bribery-of u~ter con·
Germany h ad sunk into an a byss of sullen . fru s- te mpt for man a:s an individual-a complete nega·
tration . Ordinary citizens feared to w alk the streets. tion ot the Christian concepts of ethics and morals.
Marauder s and thugs roamed a t will , robbing, In it Adolf Hitler will be discovered to have
assaulting , killing-virtually without hindrance. been the monstrous creation of a small group o!
Sporadic riots and revolts swept thro ugh the coun- wilful, powerful men-without whom Hitler would
try . The future of the incipient Republic looked n e ~r have emerged from the obscurity of Munich's
dismal . political underworld. ,.
* * *
In this disorder, the se ven sin ister individuals that Presiding at the meeting in Frankfort was old
furtively approached an old-fashio ned, inconspicu- Karl Duisberg, the brilliant chemist of Germany'.!!
ous house on t he Kaiserplatz i n ~,ran kfo rt, were first world war economy-the man who discovered
little noted and entirely unheeded by the preoccu- and perfected ersatz materials and er~atz food.
pied burghers of th e m e tropolis o n the Main . Present was middle-aged Krupp von Bohlen und
They didn 't reck and never knew-as the world Halbach , the consort of Bertha Krupp, and the
at large was not to know-tha t the meeting of these world's greatest manufacturer of armament . .
seven men was to affect the lives of every · human
There was Fritz Thyssen-the weak son of a
being in the world less than twenty years later.
pioneer German industrialist-also a steel master
a nd arms manufacturer.
None knew, excepl the con:-pira t ors themselves,
that t he fat eful plans they w en~ in i.t iating w er e to Next in order of prestige was Hjalmar Schacht; a
set the stage and prepa re tlte w<ty fo r a second at- former director of the National Bank of German)'
tempt at wodd and more recently the finanCial administrator hi
occupied Belgium who directed the financial looting
It would have been fantastic eve n to suspect a of that unfortunate nation during the world war.
gathering .of seven defe a te d Germans in 1920. What Less conspicuous were the other three men, all of
could they do '! What d ecis ions could they reach that 14 Feb 2017

them much younger than the old chemist and the the first organization meeting for a total war econ-
heavy industry barons. omy. This was the skeleton outline for German ag-
gression against the world.
Hermann Schmitz took precedence in the younger
.group. He had done a brilliant job as director of Old Duisberg counseled patience. He urged that
the "Kriegsrohstoff-Abteilung Chemie" - the war Germany must not strike again until she was com-
time organization of Germany's vast chemical in- pletely prepared. He blamed the half-way measures
dustry. of the Kaiser and the Junkers for the 1918 defeat.
There was considerable speculation about the
The other two younger men were Schmitz's "strong man" that must be found. HiD;denburg was
nephew, · Max Ilgner and Heinrich Gattineau, old dismissed as too old-and probably too much of a
Duisberg's secretary.
Junker. Ludendor ff was regarded as brilliant but
The .old men did the talking . The young men too erratic and without any political sense. It was
listened. For the moment the latter were cast in understood without words that no German indtjstrial-
secondary roles. But mark their names. The world ist could successfully appeal to the German ·masses.
will long have reason to remember every one -of That problem was pigeon-holed for future consid-
them. eration ..
Duisberg stated the purpose of the evilly disposed Two hundred miles from Frankfort, a short, pop-
gathering in a few curt words. eyed man, with a funny mustache, was. earning a
Said Duisberg:- bare existence as a spy tor the Reichswehr - the
"The Kaiser and the Junkers have lost. But Ger- Army~in the ranks of the German W~rkers' Union.
: man industry has won. Today we are in a stronger
position than ever before. By proper organization None in Frankfort dreamed of his existence. Had
we can seize the markets of the world .. We can not they known of him, th.e little man with _the funny
do this tonight-or perhaps tomorrow." It will take mustache would have been dismissed as a demagogic
time. But it can be done. German planning and · clown-completely lacking in_any kind of ability
German thoroughness will make it possible in du,~
course of time." and not even taken serlously by the t-rade unionists
upon whom he was spying.
The fateful conversations in Frankfort contin~ed
throughout the night . In the early dawn of June Those two old reactionaries-Krupp and Thyssen
8th, the conspirators stole away to take up their self- -proposed the restoration of the monarchy when
assumed tasks of preparing for German aggression the time was ripe. If the Kaiser were deemed un-
against the world. suitable, there was the Crown Prince who might
escape the blame for military d efeat.
It is not known in detail all that was talked about
ln Frankfort but decisions reached in this prepara- K rupp and Thyssen in 1920 still envisioned them-
tion for World War II included:- s.e lv'es as the dominant industrialists of post-war
Germany. They were entirely unaware of plans
1. The overthrow of the German Republic. brewing in the minds of old Karl Duisberg and his
2. The debasement of Germa~ national' finance. three young disciples. Duisberg had no intention
3. The evasion of war reparation payments. of r estoring the nobility-the Junkers-to places of
power. The Junkers did not understand business.
4. A working arrangement with industrial leaders Nor did Karl Duisberg propose that heavy industry
of the major powers. should continue to rule Getman economy. He had
5. A world wide network of economic and political plans of his own for the promotion of the chemical
espionage. . industry to the pinnacle of German economic au-
6. The fomenting of disunity and disorder in the .
Allied nations. Thus was spawned the germ of total war almost
7. The secret organization and rearmament of the before the echoes of eXlploding guns had died away
world's most powerful war machine-to be used as a on the Western Front. And had the Allies known
threat, or as an aggressive force in event other meas- of these fateful discussions, it is doubtful that any-
ures failed. thing would have been done. Old Duisberg and his
associat·es would have been dismissed as disappointed
8. The demoralization of the German people by old men, slightly hysterical in defeat and talking
economic pressure against the vast majority of Ger- 'l.gainst the wind.
mans dependent on illdustry for existence .
But today-as a result-the entire world is in
9. _The creation of a corporative State in Germany
arms! Most of the old men present at Frankfort .
-a. total economy--controlled by Germany's indus-
are dead or in exile. The younger men have come
' trial overlords.
very near making their dreams of world conquest
.10. The selection of a natiomil political leader to come true.
serve_·as a screen for his creators, who would lead
the masses in the paths to be laid out for them. The record is Clear! The men, who plotted,
plann·ed ann created the second world war, are
. The.s e were the essential subjects of discussion at known! None of them was named Adolf Hitler! 14 Feb 2017


()lei Bismarck- knew th9t Germany's chemical genius
' could rule the world-no matter wh~t late overtook
her armies. But a deleated Getmany alter World
War J needed . mon~y. Millions were waiting in

LD Karl Duisberg spoke truly when he said innermost business cii-cles in every nation-an .entry

0 Germany never loses a war. Germany-as .a
. nation~has never lost a war because, regard-
less of losses suffered or military defeats ir)flicted,
barred in many cases to the .s alesmen of armament
or explosives, More than any other commercial rep-
resentative of Ger.many, the chemical - agents haa
Germany has inevitably emerged ten-fold stronger access to an intimate knowledge ·of international
hi world commerce and power politics. · economics. This in an age of "economic war."
Many Germans may have been killed. Much ma- ~ismarck made the most of the situation. The
_terial and ·property may have been destroyed. But German Foreign Office maintained the .closest re-
German industry and international 'influence have lations · with representatives abroad of German
always profited after war. ehem ical firms.
To understand this paradox, one must look to the
As long ago as 1904, Karl Duisberg in a mem-
masters of the huge German ·trusts-not the Army
orandum to the Imperial government urged the mer-
or the armament manufacturers. Particularly one
ger of all chemical .firms into one -h uge tru5t. He
must understand the universal nature and ramifica-
said:-"The world-wide rule of German industry,
tions of the German chemical industry-"A State
(particularly the dye industry), which now exists
Within a State." would then be secured for the future." '
It IS true that Krupp and Thyssen, who made huge
profits out of promoting wars and manufacturing Duisberg could not accomplish this objective under
armament, had a large share of responsibility for the Kaiser until World War I, when all chemical
World War I. Krupp, in particular, was well served industries in Germany were placed under the super-
by a world organization of agent-salesmen and vision of Hermann Schmitz and the Imperial gov-
agents provocateurs. But since the last quarter of ernment spent billions of marks in war subsidies for
the nineteenth century, the German chemical in- plant expansion and research.
dustry has been equally well or better served. However, Duisberg was not boasting in 1904. Get'·
Krupp and the "Mel'lchants of Death " have borne many did control world markets. The United States,
the onus of German militarism. The unknown mas- Britain, and the rest of the world, were . dependent
ters of the chemical industry have thus far remained on Germany for essential dyes and chemicals. Ger~
successfully in the background. man patents were the key to the manufact'ure .-of
high explosives.
The creator of the German Empire-Bismarck-
was the first world statesman to grasp the tremen- Germany's emergence as a dominant power was
dous implications of cherrtistry in the modern world. marked by the discovery of synthetic indigo and
Long before the Franco-Prussian War Of 1870, the aniline towards the close of the last century. Clreap
Iron Chancellor lent encouragement and aid · to the indigo flooded world markets and the indigo planters
infant German chemical industries. of India, of the southern United States and else-
where, were ruined.
In peace time the manufacture of dyes and phar- .
maceuticals is an apparently harmless occupatibn. .The discovery of aniline revolutionized the man-
It is not looked upon with suspicion by other powers. ufacture of pharmaceutical drugs, and even at the
As a matter of fact, the unpublicized chemists are beginning of the twentieth century· Imperial Ger-
hailed as benefactors of mankind . many was _e ngaged in the ruinous .practice. of ''dump-
ing" chemicals to capture markets. The Nazis did
Wily Bismark was well aware, however, that not invent "dumping."
chemical invention is the father of high ' explqsives.
And the greatest .cannon - Krupp might construct The venerable Julius Liebig-first of Germany's
famed chemists-(iied long before the first wotld
would be useless without tremendously destructive
explosives. · war. But the science he created produced three out-
standing disciples and these three almost won the
More important, the manufacturers and salesmen first world war for the Kaiser.
of harmless dyes , a;;d medicines had entry into the One was old Karl Duisberg, the .arch plotter of 14 Feb 2017

Frank~o~t, the chief chemist of the German Bayer · "Ja, it can be," said the venerable Haber.. "The
Company, one of a number of German chemical Leuna and Oppau plants are ready for commercial
firms. Duisberg's invention of ersatz clothes and production at a moment's notice."
ersatz food helped prolong the first world war long "Exactly, we have the plant capacity. We have -
after Germany's internal production would have property available that we could never have built
been exhausted. ourselves. That is my thesis, gentlemen, German
Another was Karl Bosch, the chief chemist o:f industry never loses in a war."
Ba¢lioche Anlhn-und-Soda Fabr.ik. Bosch's contri-
The taciturn Bosch interpolated.
bution to prolonging the .world war was the inven-
"What are we going to use for money? There
tion of chlorine poison gas, surpalite and ypeTite
are salaries to be paid and materials to be bought.
-the three deadly, poison gases that burst on an un-
suspecting world in
1916. ·
The workers are now running wild and there is no
money in Germany. What there is the Allies will
The third was Fritz Haber, head of the Kaiser demand. We should be lucky if they don't taJte our
Wilhelm Institute, a research organization. Haber plants also. The Allies demand our products to
invented synthetic nitrogen for the manufacture of pay the war reparations and the Weimer govern·
explosives and fertilizer ,when the Allied blockade ment has agreed."
had cut Germany off from all natural sources. More Old Duisberg smiled tolerantly.
than any single man, Haber was responsible for "Karl, Germany will not pay reparations,'' he
P,rolonging the first -..yorld wa,r by his discovery ot said. ·'The figure is fantastic. Even the Allies mus1
bow to make nitrogen out of the air. know that such a colossal sum can not be paid by
It might be noted that Haber was a Jew. He was one nation in goods without ruining the :markets
forced to retire when Hitler came into power and for all other nations.
he died shortly afterwards, a disiilusioned, disap- "As for our own immediate financing, we have
pointed old man. It is from confidantes of Haber great reserves in Holland and more in Switzerland.
that much of what transpired in pre-Nazi Germany
is now known. "Even in America we have funds the United States
has never uncovered. This money is held by citizens
These three elderly men-each a genius in his of those countries and, when the time is opportune,
own field--have undoubtedly contrib.uted much to it will be available."
the welfare of humanity. But their willingness to
pervert science to 1 the awful uses of a German war B'o sch was not so optimistic.
machine has more than offset their contributions to "We must resign ourselves to the loss of markets
humanity. in North and South America," he said. "Europe,
we can regain, I think, and perhaps the Balkans and
The three gifted scientists met at the Leuna . plant
the Middle East, even part of the Asiatic market.
of the I. G. Farben Company late in August in 1920.
But America and Britain seized our patents during
With them were Hermann Schmitz, Max Ilgner and
the war . . They have built up respectable chemical
~einrioh Gattineau.
industries of their own."
Tbe vast Leuna plant was idle. Its thousands o1 .Hermann Schmitz grinned. inquiringly at Duis·
workers were unemployed. Only maintenance men berg and the old man nodded.
and caretakers were at work. The Leuna plant and
the Oppau works were . built at a cost of more than "Herr Bosch," said Schmitz, "you forget that the
one billion dollars to manufacture synthetic nitrogen. patents seized by Washington and Britain are not
The people of Germany had paid for the · plant in· enough. During the war, the Americans tried to
vestment. manufacture Salvarsan from our patent. The result
Duisberg, Bosch and Haber were idling, waiting was mass poisoning in their army when they tried
impatiently for some kind of order to emerge from to us~ it to cure syphilis. WE HAVE ALWAYS
the post-war chaos. Meanwhile, they met to co,n- WITHHELD ESSENTIAL INFORMATION WHE~
sider prospects. WE FILED PATENTS . The Americans and . tl).e
Dui.c;berg again presided. He asked Hermann British will have to call on us for help before they
can use our patents. '
. Schmitz to explain the 'tenor of conversations held
a few weeks before in Frankfort. Haber and Bosch "In that conilection we should do something for
listened intently and in the way of research men took Dr. Hugo Schweitzer. He was, as you know, the
copious notes. ·. · chief ·chemist for the American Bayer Company,
When Schmitz had concluded, Duisberg addressed until the United States entered the war. In that
Haber . capacity, Schweitzer seriously curtailed American
"Fritz," he said, "you have · given us the commer- munitions manufacture by withholding great quan•
cial weapon with which we will recapture our in- tities of Phenol badly needed for the high explo-
ternational markets. Your syntheti-:: tiitrogen sives."
process is a secret that is still undiscovered by the Haber roused himself from an apparent reverie.
rest of the world. We are equipped to manufac- "The same thing is true in · connection - with out
ture and market the synthetic produ<Jt far cheaper patents in France and Switzerland, I believe."
than nitrogen can be made from . natural nitrates. "Quite true, Herr Haber," replied Schmitz. "Eng-
With synthetic nitrogen as an entering wedge, we land and America are developing an important chem-
ca;n r~capture the dye and pharmaceutical markets." ical industry a!ld we face competition. But we have 14 Feb 2017


Karl Duisberg tetls his Farben associates in 1925 that he has become the real boss. of all German in-
dustry . Plans are made to oust foreign rivals and create a world monopoly.
secrets and patents to trade and I think arrange- Germ<:ny . c·an be financed is through foreign loans
ments can be made . They quickly discovered the and only German industry is in a position to nego-
secrets of the poison gases and they have dyes that tiate foreign loans. That is where synthetic nitro-
are not bad. But as Herr Duisberg pointed out, gen is of particular value."
our first field is synthetic nitrogen. There we have "It is ironical," observed Haber. "Certainly, for-
a world monopoly. Afterwards we can proceed as eign bankers are not going to finance competitive
the situation may seem to demand." Germ an industry .."
"How about the heavy industries, Krupp and
"Why not?" said Schmitz. "America has all of
Thyssen and the rest?" asked Bosch.
the money in the world now. She will be eager to
"They are with us, " said Duisberg. " The heavy invest it. Where better than in Germany, where,
industries, under Krupp's direction, are financing for a time at least. she can be assured of big returns.
the Free Corps of officers and ·soldiers. One day We will have no trouble there."
the Free Corps will take the lead in seizing the gov-
ernment. Meanwhile they serve to keep the social- "That is sound, I suppose," said Haber, "but I am
ist government distracted so that it can accomplish fearful of there plans for a new army. The. Germans
little. ' are badly b eaten and I, for one, can not envision
them ' entering another war. Not in our lifetime at
"What about the banks?" inquired Haber.
least . Is an arr.ny necessary? Wouldn't a secret
SchmLz replied.
army infuriate the Allie~? It would seem we could
"The banks are under our control ," he nid . "As best accomplish our purpose through enterprise
things stand , there is no real money inside Germany. alone ."
Schacht t ells us that as a result of war financing
through internal loans, ther-e are less than three Duisberg replied:
billion gold marks to back 90 billion notes in circu- "We hope so, Fritz," he said "Economic conquest
lation. The banks are helpless . The only way without war by all means. But history shows that 14 Feb 2017

when peacefUl measures fail, arms must be em- "F.ritz," he said, "Germany has the best technical
ployed. It is tirgent that we have a powerful army, brains in the world. The war has developed many
as a useftll threat if for nothing else." brilliant younger men. Like Hermann, and Max
"We shall need a strong army also to keep our and Heinrich here. Later we will talk .about person-
own government. in line;'' &aid Schmitz. nel. Now, we must plan and await developments."
"What is the 1\irny's attituqe?" asked Bosch. "And our plans?"
"What would it be?"· answered Duisberg. "They "Suppose we think abstractly for a while. Herr
are professional officers; They don't know anything Bosch can consider Austria, the Balkans and the
but army. They have to eat and they will follow Near E ast, where he is acquainted. Herr Haber is
anyone_ v.rho promises to re-establish the German well acquainted in Asia. Myself, I shall look into
Army. Krupp and Thyssen. are supporting them the rec;t of Europe."
now through the Free Corps and we ,shall take steps "And America'!"
to see that our men are placed to advantage in the "America will be well taken care of. It is a young
Ministry of Defense." · country. It demands the attention of young men.
"But, we shall not appear publicly in any of this?" Herr Schmitz is a young man-and he 'knows
said Schmitz. America."
"NC>---'-and that is most important," said ·nuisberg. "There is much to be done," said Haber.
"Business men are,notoriously bad politicians. Take "Ja, much," said old Duisberg. "But nothing that
Thyssen as an example. He is tidi:Qg for a fall . It is impossible."
is far l:;>etter to buy and elect the politician. We Herr Schmitz was almost ecstatic as he followed
should never appear openly or accept public office." the old men from the office in the Leuna plant of
Haber again interrupted a protracted silence. I. G. Farben. He was thinking far into the future.
"It will take a powerful organization, Karl," he And in Munich, a little man, ·with a funny
said, "the most powerful commercial organization mustache, was ranting to inattentive comrades in a
in the world. It will require the most excellent beer hall, preaching his utter detestation of big
brains and many of them. We are old men to begin business and corporations, demanding that the work-
anything so extensive." ers take over, organize national socialism. No one
.Duisberg rt>plied: paid him much attention.

The gigantic main plant, the Leu~:~a Werle, capital ol the I. G. Farben chemical empire. Here was held
the meeting ol the seven plunder barons in 1920, to draw up plans for World War II and lor domina-
tion ~~ the intemational che!"ical and dru_S!. markets. 14 Feb 2017


The destruction of Democracy begins at home. Mur-
der and inflation, deliberately planned, undermined
the people and their leaders. Out of chaos came


.A R.epublican form of government in Germany nance in a hope that Erzberger's well-known liberal-
after World War I was foredoomed to destruction. ism would lead to concessions by the Allies in the
The cards were stacked against German democratic payment of war reparations. ·
aspirations even before the R.epublic was organized
in 1919. Marauding assassins of the Free Corps-financed
by the industrial barons----eaught the Finance Min-
Looking back at the record it is surprising that ister unguarded in Baden during his. first year in
the Republic lasted for fourteen years. The men .in office and shot him to death. Erzberger's death was
power under the Republic were no match either in a loss from which the young Republic never re-
intrigue or ability for the powerful interests arrayed covered.
against them.
Ebert and his Cabinet probably suspected what
However, no single factor can be held responsible was happening during the next two years after Erz-
fOir the do·w nfall of the ·Repurblk. Certainly Adolf berger's murder but they were too unskilled in high
Hitler wa~ more or less of · an accident. The indus- finance to fix the blame or take remedial steps.
trialists who made him possible got aboard the Nazi German industry steadfastly refused to return to
bandwagon at the last minute. And the dominant a peace-time production. Obviously this was the
interests in the promotion of World War II almost first move against the Republic. Hungry, disconso-
missed it entirely. late workers blamed the government for their woes.
Postwar Germany was a nation of opportunists None could see the hidden hands of the barons of
after the defeat in 1918 and the history of the Wei- industry.
mar Republic is therefore one of confusion and ap- Nor could the people of Germany understand the
parent contradiction. The designers of World War debasement of German currency that was being
II veered with the winds-waiting for the oppor- systematically accomplished from abroad. The Ger-
tune moment. man organized raid against the mark w:as well under
way when France occupied the Ruhr in 1923 to de,
* * * mand over-due payments of war reparations.
The National Assembly that met in Weimar in
February, 1919, to elect Fritz Elbert the first presi- This was the first real opportunity to attack the
dent of Germany met in auspicious circumstances. Republic in a major way.
Idealists and pacifists in all of the Allied Nations Incited by cleverly paid agitators, German work·
urged support and help for the new Republic. It ers went on a passive strike against the French
was firmly believed that the Germans had learned occupation. Naturally, that only made matters
a terrible lesson in the war. It was hoped they worse and Germany reached her lowest economic
could be taught the principles of democracy-the depths in 1923 when the German mark was quoted
will to peace and an abhorrence of militarism. Bitt'er at 42 billion to the American dollar!
French statesm~n were high-pressured by Anglo- The men behind. the scenes who engineered this
Americans into lending the new Republic a helping scheme met frequently t!hat year. German industry
hand. pooled its resources to destroy democracy. For the .
Poor Ebert did his best. The former saddle maker moment, they were unsuccessful and Ebert hung on,
had no training and little aptitude for statesman- striving without success to solve the financial dis-
ship. However, as head of the Social Democrat aster confronting him.
Party and boss of the German labor movement, he With the German mark at a fantastic figure, the
was apparently the best available. ne~t step was to obtain foreign loans to rehabilitate
His problems. began as soon as he took office. Germ<m finance. It was fondly hoped that repara-
President Ebert's "strong man" was Mathias Erz- !~qhs would be forgiven and forgotten. ·
berger, leader of the Catholic Center Party. It was However, it P,idn't pan out that way. On January
Erzberger who came to terms with Marshal Foch in 20th, 1921, shortly after the murder of Finance Min-
the forest of Compiegne in 1918. The German na- ister Erzberger, repres.entatives of the government
tionalists never forgave him for agreeing to the were summoned to London and curtly presented with
Armistice. Ebert appointed him Minister of Fi- a bill for 66 billion gold marks-about $16,500,000,- 14 Feb 2017

12 S E <;tU E L To The A P 0 CAL Y P S E
000-as the sum fixed for war reparations.
It was to be paid in goods-coal, chemicals, steel
and so forth-and in whatever gold marks might
be available. France was the chief claimant. The
United States expected some part might be L~sed to
repay the war debts owed her by the Allies.
' Duisberg's prediction that the sum was impossible
and that steps would be taken to ·prevent payment
was amply borne out. Thus in l928, former Vice
President Charles G. Dawes arrived in Paris to see
what could be done .
Dawes recognized the need for a foreign , loan bu1
he Wa>. unwilling to make the Germans an outright
gift. After several months of negotiation, the Dawes
Plan emerged. It provided for a loan of 800 million
marks in gold for the Reichsbank, secured by mort-
gages on German National Railways and certain
taxes . Germany was, thereafter, to pay her repara-
tions bill at the rate of one billion gold marks a year,
increasing to two and a half billion in the fifth year.
These payments were to be paid in part in manu-
factured goods or raw materials.
' The Dawes plan was bitterly opposed by German
industrialists. They welcomed the loans, principally
from America,~where, as Hermann Schmitz re-
marked, most of the money in the world was d e-
posited-but they resented the payments.
President Ebert died of overwork and frustration
during the first year of the Dawes Plan. He was
succeeded by old Field Marshal von Hindenburg--
the first evidence of S11ccess among the masses of .
the highly organized campaign to undermine the
Republic. The workers had not forgotten the mis- THE LATE DR. KARL DUISBERG
ery of 1923 when marks were 42 billion to the
dollar. To the end, his chemical genius brewed trouble
Under a succession of liberal but politically inept for the rest of the world In I. G. Farben's vast
Chancellors, Germany paid reparations until the gold laborator;es.
devaluation by Britain in 1928. Then came the master-minds didn't do so badly . By skillful finan-
Yo1,1ng Plan which considerably reduced annual pay- cial legerdemain and callous disregard for tha
ments but demanded them all to be paid in gold hideous starvation of the German people, they suc-
marks. The Allies were suffering from a glut of Ger- ceeded in bringing Germany up to the eve of World
man made goods in the world markets. War II without paying more than 16 per cent of the
So far so good. But the wily high financiers in bill submitted. by the Allies.
Germany were just starting. German banks failed * *
and were unable to meet foreign commitments. The The reparations story is only one factor in the
banks were controlled largely by the industrial masterly intrigue that emanated from the original
. bosses. The independent bankers went along with meeting In Frankfort in 1920. It does not take into
the business barons. · account huge private loans and investments by
As a result in 1931, President Hoover yielded to Americans in Germany. Henry Ford, General Mo-
German demands and declared a one year mora- tors, various oll companies, and otl1ers invested more
torium. The following year, 1932, Franz von Papen than 1wo billion dollars in Germany before Hitler.
-the master villain of German foreign relations- Hitler has it all now,
who was then Chancellor, got the reparations re- In addition, an estimated billion and a half dol-
duced to a final payment of one billion gold marks. lars in private loans flowed from Amertca to Gera
The billion was never paid because the next year many . The last quotation on this sort of investment
Hitler came to power through Von.Papen's conniv- was about 25 cents on the dollar~with no possibili-
Ing. And Hitler never pays debts-quite the con- ty of payment. Of course the investments are now
trary! completely worthless until the outcome of the war
is decided.
Authoritative estimates fix the total of Germany's
reparations payments at about 12 billion m a rks- Truly German financial cunning won the peacer
mostly hl goods and raw material. The German It also destroyed the first German Republic! 14 Feb 2017


Intrigue and Double-cross set the pattern lor Ger-
many's future. Out of the Slack Reichswehr sprang
a mighty military machine-armed in stealth, agafn
awaiting DER TAG.


HE financial demoralization of the German peo- -A rmy was of great importance in the early days of

T ple by their industrial masters was only one
· prong in the present German onslaught &gaimt
the world .
the Republic. It required exceptional officers to
combat the v arious revolutions and riots that sought
to oust the Ebert government .
Equally important-as ennunciated by old Karl Groener thought he had found them in a junior
Duisberg m any years ago-was the formation and officer named K urt von Schleicher and another
equipment of the mightiest war machine in 'the named Von Seeckt. He was to be cruelly disillu-
world Economic conquest as far as possible. A sioned .
resort to arms when peaceful means are of n o avail. Von Schleiche1' was :from the outset the tool of
Many people are still shaking their heads in won- German industrialists and early allied himself with
der today, as startled intelligence agents shook their . National Socialism at their request. He was the
heads in 1936, when a compact G erman Army adive organiz~r of the Black Reiehswehr-'-the Ger-
equipped with new and deadlier weapons of war man arm_y t r ained in secret--through funds fur-
appeared on the Fascist side in the Spanish Civil nished by the vengeance seeking industrial barons
War. How could Hitler have accomplished rearm-
But Schleicher had to feel his way during the term
ament in three short years? o1' Ebert. He kept very much in the background.
He didn't: The German Army never ceased to Meanwhile, he was the transmission line for funds
exist. Since 1918, It has been supported financially from industrialists to Major Duesterberg, organizer
and physically by the same German interests that of the Stahlhelm (Steel Helmets), the veterans of the
engineered an appearance of German bankruptcy tl) first World War. ·
deceive the Democracies.
Duesterberg's job was to keep the veterans mili-
When Hitler came into power in 1933, he found tarily fit and nationalistic in sentiment-as opposed
a German Army ready trained and equ ipped-more to deinocratic. Major Duesterberg did a good job
deadly efficient even then than the much vaunted but n evertheless he had to quit in 1933 when Hitler
F:'rench Army, supposedly the greatest Army in the appeared. Duesterberg was of part Jewish origin.
world _ More sinister, however, was Schleicher's support
The Versailles Peace Treaty fixed the maximum of the Free whence came the assassins
size of the German Army at no more than 100,000 used to terrorize the Republican government ant'&
officers and men . It was to be limited to the pres- murd er their ministers. Behind the scenes, Schleich-
ervation of internal order. In no circumstances er paid off Captain Erhardt, Captain Schlageter and
were German militarists to be allowed to build up other notorious Free Corps leaders. The Free Corpl
another monstrous . war machine. was admittedly organized to prevent the fulfillment
As has bee n recorded herein, this eonception of of disRrmament clauses in the Versailles Treaty. Its
the Allies was greeted with derision in Germany. methods were to ter rorize and harrass the govern·
The industrialists had no idea of dbbanding thelr ment . The Free Corps had the --heartiest support ot
still efficient war machine. the and heavy industries of Germany.
P-resident Ebert appointed General Wilhelm Von Schleicher early organized the War Ministry
Groener as his chief military adviser when the Re- on a scientific military basis for the training of a
publi~ came into being. Groener accepted the ap- new High Command. As eariy as 1925, old Fritz
pointment in ;ill good He had done a highly Habf!r-the chemist inventor of synthetic nitrogen-
successful job in the World War by organizing mili- held several confidential lectures before a select
tary transport gTOUJI of officers of the general staff without G-en-

Groener had much to do with German labor and eral Groener's knowledge.
trade unionists during the W!lr and his political Old Professor Haber analyzed the economic les-
sentiments favored the growth of the new Republlc . sons that Germany should ha ve learned from the
· But Groener was a trustful soul and he surrouna- first World War . He said Germany's principal fail·
ed ·himself · with younger comrades-in-arms upon ure was lack of preparation. Haber urged a total
· wh9.r.n he thought he could rely. The small German war economy befm;e .the n.e xt y;ar was launched. 14 Feb 2017

The old Professor hadn't,the slightest·doubt about secret. After Ebert died and Hindenburg became
the eventuality of another war. He denounced the President, Schleicher and his associates became
Versailles Treaty as unworkable and declared that . bolder.
Ge.r:man destiny demanded hegemony over all Eu- It was all very well to have a highly skilled staf:t
rope. · command, versed in geo-politics as well as the sd-
The oldProfessor, however, was merely introduc- ence of war . . Equally important was the recruiting
tory to . another, ~md now much better known, lec- and training of youth for service in the ranks.
turer ·at these . secret sessions of Black Reichswehr This phase was undertaken cautiously because the
officers. most obtus.e Allied intelligence officer could scarce·
The ·newcomer, long hidden behind the scenes was ly fail . to note military training in the mass .
Herr Ptofessor Major-General :K:arl E. Nikolas In the late twenties was begun the organization
· Haush6ier - the inventor of GEO-POLITIK, LE- of sports camps and recreational centers throughout
. BE N.'S R AU M, GROSSRAUi!VIWIRTSOHAFT, and Germany. All the young in Germany apparently
other:JNazi jargon. His Institute of Geo-Politik in . became suddenly interested in physical culture.
Muni~h · was the pet of Duisberg and Schmitz and Long hikes and calisthenics were the order of the
heav)ly financed by I. G. F:'arben. day. Equally noticeable was the organization of
Haushofer's theme was simple. All he demanded glider clubs. The construction of military planes
in his lectures ':at the War Ministry was a share for was forbidden by the Allies.
Germany in the determination of politics and mar- By 1930, when Hitler was beginning to show
kets everywhere in the world. His mission before some strength-the Nazis had 107 out of 342 seats
the Black Reichswehr was to teach future Staff in the Reichstag-Von Schleicher came out in the
Officers the mechCJ,nics of achieving that aim. open.
General Profes_sor Haushofer is 72 years old, an- Hermann Goering had organized the Nazi Storm
other of the old ·men instrumental in bringing abom Troopers and as street fighters they were terroriz-
World War II. As long ago as 1902, he conceived ing the eleCtorate, intimidating Germans into vot-
the idea of geo-politics-that a nation's destiny is ing for the Nazis.
essentially controlled by its geographical environ-
ment . . In 1908, as a young officer, he visited Japan Genera.! Groener-now Minister of Defense as well
and Asia . Later he wrote a book on "The Geopoli as of the interior-had control df the police as well
tik of tpe Pacifk"-the bible today of the Japanese as the Army. He forbade the wearing ·of Nazi uni-
in the war· against America, Britain, China and the forms and Schleicher began intriguing through Major
Oscar von Hindenburg, son of the anctent and now
N ethei:lands.
senile President. Before the year was up, Gro{mer
Ha'tishofer became a professor of geography at was out and Schleicher was in.
the Munich University in 1910 and proceeded to de- Thenceforth the lid was off. The Nazi gangsters
velop his theories on "lebensraum"-living space- were allowed the widest latitude and the wrap:~
. and "grossraumwirtschaft"~continental economy. were taken off the Black Reichswehr to a certain
During the World War, he served as a Major-General extent. However, the cautious Schleicher, who had
in the artillery. After the war he returned to· thus far skillfully concealed his activities from both
Munich. · the Republican Reichstag and . the Allies, proceeded
Von . Schleicher with an eye on Rudolph Hess, slowly.
Hitler and Ludendorff employed Haushofer to watch Cleverly directing Palace intrigue, Von Schleicher
them. Thus on November 8th, 1923, when Hitler led engineered the idealistic Chancellor Bruening into
the opera bouffe Munich beer hall putsch, Haushofer invoking Article 48 of the W etrnar Constitution.
was on the job. During the few months Hitler and Bruening was then trying to govern during the sec-
Hess were in the Landsberg prison after the attempt- ond panic precipitated by the :l:inancial jugglers re·
ed revolt, Haushofer and his wife were frequent sponsible for the breakdown of the Republic's fi-
visitors. Today the old geo-politician is given much · nances.
credit for the weird concepts of Hitler as set forth Article 48 provided for government by decree ·
in "Mein Kampf." during an emergency. Its effect was to nullify the
However, when Haushofer was expounding world authority o'f the Rekhstag. Under Bruening the ad-
hegemony to the officers of the Black Reichswehr in ministration of government by decree was moderate.
However, Schleicher shortly ousted Bruening
1925, Adolf Hitler was still unimportant. As an
through his influence in the Presidential Palace
agitator and trouble maker for the Republic, he was
and set up Franz von Papen-another master of in-
an ally of the industrialists. He was paid off as
trigue and double-crossing-as Chancellor. . Von
such., and watched accordingly. It was surprising
Papen, is of course. well-known as the director of
in 1933, how many agents of the big industries re-
German spies and sabateurs in the United States
vealed themselve3 as marchers in the original Hitler during World War I.
putsch . ten. years before. No one had ever suspected Von Papen continued to govern by decree. He
. it until Hitler was Chancellor. lasted only a few months. Apparently he had met
But l.n 1925, rearmament operations were still his master in Schleicher. The ancient Hindenburg 14 Feb 2017


He guided Hitler from the first. "Lebensraum" (Room for Living} and "Grossraumwlrtschaft" (Con-
tinent-wide Economy) were two of the ideas of Profe~sor Major-General Karl E. Nikolas Haushofer,
head of the famous Geopolitik Academy in Munich . · The scholarly plotter of German :world domination
maintained, as long as .30 years ago, that the Japanese were destined to conquer and rule the Far East. 14 Feb 2017

had to dismiss. Von Papen and asked Schleicher to 1933, Hitler became Chancellor and using Article ' 4b
Mtm a goverfimetlt at the end of 1932. of the Constitution-so unfortunately employed by
Schieiclret pretended to be courting · the German the liberal~minded Bruening from 1930 to 1932-
labor ·eietnents and worked heel and toe betweeb government in Germany has been "legally" by de-
ltH1en NUl PattY. and th~ legitbrtate trade union- cree ever since.
isis. · tli:s ffial putp<>se was to break up trade unions Von Schleicher went down fast. lie and liJS wile
and political parties. His mistake was to intrigue were finally murdered by Goering's assassins in their
with Otetiot StliiSSer to oust Hitler as Nazi leader. Berlin home during the June purges of 19U.
A new element. had entered the perfidious rela- However, Schleicher had done a marvelous job.
tionship. Aware of Hitler's . powers -to sway the He deserved a better fate from the designers of
German masses, large sections of German industry World War II. How much money passed through
were devoting their major funds to the Nazi party. , his hands to finance the illegal Black Reichswehr
'l'hey had entertained and courted Goering, Hess will probably never be known. It must have
and at length n ·l tlet. amounted to billions of marks during the fourteen
Then, Von Papen stepped back into the picture and years of the Republic. It was a masterpiece in de-
persuaded old Hindenburg that Schleicher was plot- ception. Few knew that the German Army was
ting a revolt. He also told the old President that ready the moment Hitler became Chancellor.
Schleicher planned to reveal some several milliops All the Army needed was equipment. It was on
of matks in · graft .of government funds--American its way. German lndustry had been furiously busy the Junkers. Part of the graft was the during the rise and fall of the Republic.
p.t1rcha~e of a large landed estate for Hindenburg,
Not only had funds been provided :for training
'the site of his place of birth. The head of the com- an Army, but the industrialists had penetratecl every
mittee whicll did this was Karl Duisberg. Actually corner of the globe, organizing one of the most effi-
the senile old President was guiltless. The deal was cient espionage and propaganda machines the world
swung by his son, Major Oscar, with the aid and has known. Fifth columns were ready for Hitler.
COilniVanee of Von Papen. New machines, new synthetics, new explostve:o,
In the ensuing elections, Von Papen threw his everything was ready to go into production.
weight to Hitler and the Nazis won 288 seats in the But .that is the story of the emergence of the "ln-
Reiehstag. Cou);il~d with the 52 seats of the indus- teressengemeinschaft Farbenindustrie Aktiengesell-
trialist dominated Nationalist Party, Hitler won a schaft"-THE GREATEST AND MOST POWERFUL
majority in the German parliament. It has never CORPORATION ON EARTH-the "State Within a
existed as a legislative body since because in Marcn, State" that is ·ac'tually responsible for Hitlerism. 14 Feb 2017


All the world welcomed the blessings of Germany's
chemical magic, blissfully unaware that the dimes
and quarters they paid for it were feeding a mon·
ster of destruction.


·r N 1925, the United States, Great Britain, France,
Japan, Italy, China, Portugal, Belgium and Hol-
Works, another monster trust, old Adolf Kirdorf,
already in his eighties but czar of the German Coal
limd, met in Washington and solemnly ratified Trust, Krupp von Bohlen, Fritz Thyssen, Hjalmar
the Nine Power Arms Limitation Treaties. The Schacht, Hugo Stinnes and many others.
same year the German Republic solemnly ratified
Also present were the younger men-Hermann
the Locarno anti-war treaties.
Schmitz, Max Ilgner, Heinrich Gattineau and many
The people of the United States, however, were others!
far more interested in the pyrotechnics of the Scopes Strangely enough this was not a board meeting
"monkey trial" at Dayton, Tennessee, and the ora- of I. G . Farben, It was even more important.
torical talents of William Jennings Bryan and Clar- It was for the announcement of old Karl Duisberg
ence Darrow. Thinking people nodded in approval that henceforth he was the boss of all German in-
over the Nine Power Treaties and the Locarno pact dustry-that the heavy industries, the steel masters.
and relaxed into a feeling of security. must give way to the chemical trust and be sub-
A very different sort of meeting was· held in Ber- ordinate to it.
lin late in 1925. Again old Karl Duisberg presided. The heavy industries knew when they were lickea. ·
Present were a majority of the conspirators of Duisberg's success in merging the chemical firms
Frankfort. But present, also, were many newcom- made him the most powerful figure in German big
ers--men who were to work unpublicized and un- business.
known in preparation for the second World War.
Stinnes, Krupp and Thyssen had remained mute
Old Fritz Haber was there as was Karl Bosch, the
a few months before when Duisberg high-pressured
other two members of the chemical trio.
a Krupp Director, Dr. Sorge, out of the presidency of
The three old men were triumphant. ·After the the all-powerful central German business organiza-
death of President El;>ert in the previous February tion-the "Reichsverband der Deutschen Industrie."
and the incumbency of President Field Marshal von The chemical trust took over the former dominant
Hindenburg, the three old men had achieved a position of the heavy industries.
lifetime ambition. However, Krupp hadn't been idle. Nor Thyssen
They had merged every important chemical firm or StiJ;mes. Krupp had safely and successfully
. in Germany into one huge trust! It was capitalized transferred vast quantities of arms and machines for
at a comparatively modest figure. Its hidden assets armament manufacture to a dummy company in
and its plant equipment were enormous. It was Holland. Other dummy companies were already set
ready for world conquest! up and operating in Spain.
It was known as "Interessengemeinschaft Farben- Stinnes had been a leading figure in the de-
industrie Aktiengesellschaf't." In the United States basement of the German currency by hls raids on
it was known more simply as L G . 'Farben. In the German mark. And Thyssen was the leader o.r
nations tlhroughout the world it was to remain un- .t he passive strike against the French in 1923. Ger-
known under many different names. However, man industrialists had accomplished much unknown
the center of this most powerful economic and to the Allies. There was still much to do.
espiona•g e organization was always to be at the head- Old Karl Duisberg-with his right hand man Her-
quarters in Berlin. mann Schmitz-viras to direct the future. Schmitz
Karl Duisberg, as a fitting tr-ibute to the leading was now Director General of I. G. Farben.
spirit responsible for Farben, was chairman of the There were to be betrayals and d~ertions from
Board. Old Karl Bosch was President. the German cause in years to come and the sense
Among the newcomers was Walter vom Rath, vice of the Berlin meeting was to be revealed long afte,r
chairman of Far ben, a hitherto unknown Colonel . World War II was begun. But for many years the
Georg Thomas, of as yet uncertain status, a Dr. skill and deception imposed on the gullibility of the
Ot:o Klein·, a Professor Othmar Spann of Vienna, democracies was to maintain ·the secret.
Albert Voegler, director general of the United Steel In his role as the Big Boss of German Big Bust- 14 Feb 2017

18 SEQUEL To The APOCALYPSE 14 Feb 2017

ness, Duisberg opened the meeting. the death of the Republic at that meeting. He said:-
"Germany," said Duisberg, "has re-established "This leads me to the final problem. W~ .::an not
confidence among the other powers. The signing accomplish our plans without the complete . coopera-
of the Locarno Treaty was a master stroke. Shortly, tion of the German government. We must have in-
from information we have received, the German Re~ timate contact with German envoys abroad, the: ~om·
public will be admitted to the League of Nations." plete cooperation of the German Foreign OffiCe,
Old Duisberg was right. Germany entered the the German Finance Minister, and the Germart ,Min-
League within the year. ister of Economics. We already have a secret con-
"Meanwhile," he continued, "we must act with . trol of ~e War Ministry. In short, gentlemen, we
great circumspection. We must appear to support must control the German government."
the Republic. Until we are ready none must sus- Duisherg then concluded:-
pect our ultimate design. You have been informed "This can not be done under the Republic but
by a prepared memorandum in a general vvay ·o f our with Herr Field Marshal von Hi11denburg in power,
plan of campaign." we now see our way clear. Let me caution once
The big bosses of German industry listened In- inore that we must act with great circumspection
tently as r>uisberg continued. until we are ready. We are not yet sufficiently
"First v.:e must re-establish our position interna- strong. We may be in a few years or may be in
tionally in the world of trade. We must build up a many years.
far more perfect informatio~ and intelligence serv- "But as to our business set-up abroad, I shall call
ice than prevailed before the last war. We must on young Herr Max Ilgner to report on America:·
establish business and social connections in ,a ll for- Young Herr Ilgner's reports were more complete,
eign countries. however, at a later date . They will be reserved for
Our agents must become citizens of foreign a later chapter. Likewise reports from Latin-Ameri-
countries so that next time we will r.ot lose our ca, Europe and elsewhere. '
foreign investments and patent:;. . Thfly must be However, old Fritz Haber had a report of conse-
owned by naturalized ciiiz~ns of foreign nations. quence in 1925. He had just returned from an .. ex·
"In this connection, we must set up holding com- t ensive tour of Japan and China.
pimies in traditionally neutral nations so that con- "As you know," -reported old Fritz Haber, ;" ,:'our
tact can be maintained and funds transferred during only serious competitors in world markets are the
war time . We have already organized 1. G . Chemie Duponf and Allied Chemical companies of the ;United .
in Switzerland as a holding company for all our States and the Imperial Chemical company of· Great
foreign efiterprises. We plant to set up similar hold- Britain. All have competent men and y.a st · re-
ing companies in Holland in the near future." sources. In many instances we shall have :to make
Duisberg then tumed to the main objective, the a deal with these three, agreeing to divide rather
offensive in the Western Hemisphere. than compete in certain markets.
"In the United States we have regained complete "It would seem we can control Europe. England
control of all our former holdings and extended into has established a 33 per cent tariff against .dye and
new. Thr:y will later be combined in one trust. chemical imports and we are stopped there for the
This we shall call the American I. G. Chemical time being. The United States is being developed.
Corporation (later to be known as the General Ani- And Latin-American prospects are excell,ent. The
line and Film Corporation). Shortly we expect to British Empire is doubtful.
have control of South American imports and our "However, in Japan and China I can assure you
agents are already located there . We have a work- we can take the markets _away from any competitor.
ing agreement that controls the French chemical in- China is in a state of disorgapization. There is no
dusiry and neg~ tiations are under ·way in Switzer- established government and one simply deals with
land, jn Italy, and in Japan. We can coerce these War Lords or native importers. There is a vast mat·-
countries. In England and the United States we ket in China." - . ·.
must act with more circumspection. But we have Krupp paid particular attention when Haber',de-
patents and secrets they must have if they 'are to clared:- :-'
compete. We can come to satisfactory arrange- "Japan presents a more serious situation. The:: gov-
ments without interfering with our ultimate goal." ernment in power is liberally inclined and npt re·
Colonel Thomas was seen to nod warm . approval ceptive to our proposals. There is on the other han<l
when puisberg said: a strong nationalistic group-as there is i:ri Germany
"Second, we must re-arm and re-equip the Ger- today-that is preparing for the future.
man Army in a way far superior to the German "The nationalists in Japan control the Army and
Army of , the last war. The chemical industry is have great influence in the Navy. Among the popu-
prepared to make Germany self-sufficient during lace many secret nationalistic societies flourish. They
the · period of an enemy blockade. It will produce are well-versed in Herr Professor Haushofer's book
new explosives. new gases, war material, and syn- on "The Geo-politics of the Pacific." The economics
thetics on a . scale undre~med of before. I assure of the situation make a Japanese attack on China in-
you. gentlemen, that this can be done. The methods evitable, EVENTUALLY. JAPAN WILL FIGHT THE
have been perfected." ANGLO-SAXON POWERS FOR SUPREMACY."
According to one present, old Duisberg decreed Thus Haber concluded:- 14 Feb 2017

''For these reasons the .Japanese wish to tie up with that talk of internal politics was premature. Some
us to learn from us the tricks of manufacture--at one askeg about developments in the Army. Fritz
least to learn it quicker than they could learn it Thyssen was reported to have asked this question-
themselves. They want especially to learn it from evidently wanting to compare his own information.
us because of their fierce competition in the Chinese Krupp and Stinnes seemed equally interested.
market with the uitited States and England. Duisberg calle<:J on the h eretofore silent and here-
"German patents seized by .Japan in the war have tofore unknown young Colonel Georg Thomas. The
been turned over to two big concerns--Mitsui and officer was brief and crisp, a German soldier of long
Mitsubishi-who are most willing to have Farben standing.
men come to their plants and help them. In that "Things proceed well in the .Army," said Colonel
connection, we reached a tentative agreement for Thomas. "General von Schleicher has the situation
the sale of synthetic nitrogen in the Far East." w e11 in hand . We have organized the 'Wehrwirt-
Old Fritz wound up his Far Eastern report on a shaft'-the War Economy division. I have the honor
note of . optimism. He said:- to head it. It must be conducted in secret. It trairul
"! left negotiations in the hands of our Ambassa- staff officers for a future army. We have the sup-
dor, Dr. Solf, in Tokio. He is a very able man and port and benefit of lectures by the leading professors
will cooperate fully with our agents. Incidentally, and experts of Gerr:Q.any . This is, of course, given ·
the .Japanese Army is very much interested in Gel"- in the greatest degree of confidence."
man weapons and methods of waging war. Ou:t Colonel Thomas answ ered many questions put to
military attaches should make much progress there. him. The industrial barons appeared very w ell satis-
That briefly sums up the situation in A!!ia at this fied . Later, the Colon el became Major-Gen-eral and
time ." headed Hitler's War Economy Board. He was, eco-
Krupp von Bohlen, however, had many questions nomically, an apt pupil of Duisberg, Haber, Schmitz,
to ask concerning .Japanese and Chinese armament and I. G. Farben.
needs. He was prepared to fill them from his plants
They imbued him with their spirit of economic
in Holland and Spain. Krupp at that time was ex-
imperialism and taught him their methods, accord-
perimenting with models and new designs in his ing to which a war economy should be as minutely
Essen plant. His actual manufacture was done and scientifically, as coldly planned and carried out
abroari to escape the. inspectors of the International as a chemical experiment in the labOJ::atory.
Arms Control Commission. But · eight more years were to intervene before
Duisberg returned to the order of business, how- the Colonel became Major-General Thomas under
ever, with a request for a report from his youn~; Der Fuehrer .
Director-General Hermann Schmitz.
Many new personalities all ovel' the world were
Schmitz reported:-
to be discovered and nurtured by I. G . Farben dur-
"Herr Professor Haber was too modest in his men-
ing the next eight years . As old Fritz Haber mighl
tion of synthetic nitrogen. He hesitates to speak of
have expressed it ".Ja, there is much to be done be-
hi~ own great discovery .
fore we are ready for The Leader." At that time,
"I can report, however, that shortly we will con-
Thyssen and Kirdorf and Stinnes and others were
trol an International Nitrogen Cartel absolutely dom-
still thinking of the res~oration of the Hohenzol-
inating its manufacture everywhere. Chile, the
greatest source of nitrogen, is already willing to
come to terms . But the American Guggenheims are That year, in 1925, the year of peace pacts and
fighting us . trying to restore Chile's nitrate trade. disarmament treaties, Adolf Hitler's book "Mein
They cannot win because we are prepared always to Kampf," first saw the light of day. It was published
under-sell them-even if it means giving our product in Munich and had a small circulation. It was re-
away; printt>d again in 1927, when the Nazis met at their
"It is essential that we control the nitrogen trade first Congress in Nuremberg, and had a greater cir-
because that will be our greatest source of revenue culation. No·;, however, until after 1933, when Der
Fuehn~ r did his own publishing, did "Mein Kampf"
for the penetration of other chemical markets. We
think that will have been accomplished within a become compulsory reading for every German, young
very few years." and old. ·
Schmitz then launched the Farben plan for a In 1925, the industrial barons pursued their sinis-
price war throughout the world. He continued:- ter plans under· the direction of I. G. Farben, con-
"It is essential also that all German manufactur- tributing to. the publication of "Mein Kampr' as an
ers in the export trade must be willing to under- irritant to the Republic. but disdaining that year
sell-that is to say 'dump' as our competitors ex- even to read copies given them in return for their
press it-t.mtil we have control of the foreign mar- contributions.
ket. Nitrof~en will enable us to finance du:mping in The achievement of a · world conquest peaceably
other fields. We shall need the help of the com- if possible; by a resort to arms if necessary-preoc-
bined resources of everyone present. But I am cer- cupied the men who left the office of I. G. Farben
tain that all will profit in the long run." in Berlin in 1925. Each had a definite task to per-
There was much discussion and many questions form. Herr Schmitz had the biggest job of all-the
a~ed when Schmitz sat down-particularly about first to plant his agents in all departments of the
politics ip. the Presidential Palace. Schmitz suggested German Republit . 14 Feb 2017


German science had achieved many miracles. It WGJ
child's play to produce an ersatz Napoleon. Adolf
Hitler became the puppet; I. G. Farben became the


HE German . people were comparatively happy policy-making speech was made in Munich (March

T for a few brief years after the stabilization of
t!heir currency in 1925 and popular wei.:-being
found expression in a smashlng democratic victory
26, 1931).
"Only a solid economic bloc from Odessa
to Bordeaux will give Europe that economic
in ~he 1928 elections.
backbone which it needs in order to main-
The anti-democratic forces were biding their time, tain its position in the world." said Duisberg.
completing their world organization and subtly pen-
In effect, long before the German armies stood in
etrating the ranks of the German government.
•. Odessa and in Bordeaux, the leaders of L G. Farben
The German Aimy worked firmly entrenched in a by propaganda, espionage and economie con~ had
secluded position as a professional Army under the marked the imperialistic ways of Hitler's ..New
cunning direction of General Von Schleicher. Order."
In the vast plants of the I. G. Farben Company Thus I. G . .lfarben controlled all of Europe and by
many and amazing experiments were completed. 1932 the dye production ln Europe was appoJ:tioned
Fa:t1ben was impatient for the advent of a friendly 5 percent each to Switzerland and Italy, 8 percent to
government that would suooidize production. The France, and 82 PERCENT to I. G. Farben.
Republic showed no interest in the manufacture of In 1930, even the comparatively strong British
explosives, of paison gases, or synthetics for natural chemical industry had to Dllke ce.rtaul market ar-
products which could be imported cheaper. rangements with Farben. In the same year:, Schmitz
Karl Duisberg, Karl Bosch, and Fritz Haber were ach<ieved his dream of an International Nitrogen car-
aging rapidly. More and more Hermann Schmitz tel, forcing his principal competitors. France and
and Miax Ilgner took over active direction of I . G. Ohile, to yield to Farben's policy of quota restric-
Farben's rapidly expandmg iD.dustrial empire. The · tions in favor of German preponde1'311Ce.
old men advised. The young men executed. The While accomplishing this economic conquest in
young men were to thank their lucky stars the old Europe, Schmitz, Dui.sberg, Bosch and Haber were
men stayed on the job because they might have working ·behind the scenes-through von Sdlleicher
missed tihe Nazi bandwagon entirely. --extending their influence in army and civil serv:ice
By 1931, Sc!hmitz had completely recaptured the circles-with particular attention to the Ministry
entire European chemical market. The big French of Finance, ,the Ministry of Economics, tbe Economic
firm-Etablissements Kuhlmann-was· forced into a Department of the German Foreign omce and the
more binding agreement in 1927 by a reckless policy Economic Department of the Ministry of War~
of pric.e~cutting. Two years later, the same tactics With income rolling in from the four corners of
secured control for Farben of the three largest ohem- the globe, these four men were rapidly becoming
ioal compan:ies in Switzerland -the Ciba, the Geigy the most powerful in Germany- so powerful that
and the Sandoz companies. even the democratic leaders could not ign~re them.
The German-French-S·w iss trust was rounded off in S<ihmitz had already placed his own man, Minister-
1931 when Mussolini forced the Italian firm of Mon- ial-Director Ritter, in charge of tb.e Foreign Office
tecatini to join the Farben monopoly. ll Duce was Economic Department. Rit.ter was later to be sent to
ambitious to establish a great lt<~lian cbemioal indus- Brazil as Ambassador by Hitler and be expelled for
try for war pul'lpf)ses. Farben patents and Farben subversive activities.
technique were needed.
I. G. Farben's real opportunity came, however, in

In Fascist Italy , Montecatin.i had no choice. The A n - U1e wake of the Wall Street crash in October, 1929.
ciente Chimische Nnzion<~li Assoctale was organized The impact of the financial disas,ter in America
to manufacture all dyes, heavy chemicals and alu- spread rapidly to Germany where dt was fostered and
minum. F1arben took 49 percent of the sto(:k. Mon- encouraged by the industrial barons. . Unemployment
tecatini got 51 J)erccnt but bec; again o.f patent rose in Germany and the German budget staggered.
control, the Ualian industry was shortly just another The German Finance Minister at the time was Dr.
Farben plant in Europe, Rudolf Hilfering (recently murdered by the Gestapo
It was at this point that Karl Dui.~berg's famous after ;1is extradition by Vichy), a social Democrat 14 Feb 2017

·Wlho proposed to float a foreign loan to check the Bruening offered Schmitz the post of Minister of
panic. President _Hjalmar Schacht, of the Reichs- Economics but Schmitz followed old Duisberg's pol-
bank, objected. · icy. He refused. I. G . Farben wanted to rule but it
Schacht had only recently emerged in his real colors didn't want to take the responsibility for govern~
by prOtesting violently against the terms of the ment. But from behind· the scenes with the help of
Young Plan. Now he stepped all the way out and Article 48, I. G. Farben did rule Gennany by decrees
flatly demanded a change dn government policy to through Bruening. The Reichstag was shortly to be
one under the influence and in tlhe confidence of Ger- known as a veritable "Schwatzbude" (chatter box), a
man business. Schacht's was the voioe but Schmitz name contemptuously applied to it ibY Bismarck many
was the man who formulated tihe demands. · years ago and revived by the industrial barons under
Both Schacht and Schmitz were operating closely
with General von Schleicher Wlho by now was per- The following year (J 93 J) things had gone from
sona gr'aba wth President - H!inden!burg through the bad to worse . . Chancellor Bruening's efforts to re-
infiuenc"! of the old man' s son, Major Oscar, that establish the Republic m~t with growing opposition
sinister spawn of tlhe Junkers. from the right and the . National Socialist Party was
The combination of Army and Big Business--with beginning to show its strength.
iMimate entree to the Presidential Palace-was too Bruening aga·l n offered Schmitz the post of Min-
much for Hilferding . . He was forced to resign; a ister of Economics (in Oct. 1931). This time Schmitz
memJber of the board of I. G. Farben-a lli. Mol- accepted. However, at the last moment an accident
denhauer-became Minister of Finance. happened. Bruening, presiding at a meeting of the
Moldenhauer served as .the spearhead of the anti- Cabinet, was just about to move tht;! formal appoint-
democratic forces seeking :t o oust the existing govern- , ment of Sclhmitz when his Secretary placed a slip of
ment and set up a government controlled by an in- paper on tlhe table before him.
formal committee of " Big Business and Army" which Bruening's face 'whiten~ and in the midst of his
would prepare for the restoration of the Hohenzol- speech he stopped shox:t. The slip of paper was a
lerns as the only guarantee agadnst a government of r eport that I. G. Farlben in' violation of the German
"political democracy and international reconcilia- Foreign Exehange laws had concealed its huge for-
tion." · / 'eign holdings from the Reic!hSbank. Farben. Was just
By March, 1930, the intriguers had succeeded. The now declaring some of its assets in view of a just ,
governme nt of Chancellor Hermann Mueller was published amnesty wbich was coupled w~th strong
forced to resign. Mueller was a former chairman of penalties for further violations. There is Htile doubt
the German Apprentices Union and a signer of the that Hermann Schmitz arranged this bit of byplay
Versailles Treaty. As such, he was anathema to intentionally in order to withdraw again from public
"Business and the Army." r esponsibility.
Heinrich Bruening, leader of the conservative wing A s always, Schmitz preferred to remain in the
of the Catholic Party, was called to form a new backgr ound . That has been the technique of all the
Cabinet. With Bruening as Chaneellor, Schmitz I. G. Farben wire-pullers. Their products are well-
gained his 'strongest personal foothold in the German k n own, but their machinations w ere known to few.
government. The incident did not affect I. G. Farben's relations
As they were against Ebert in 1925, the cards were with t he government. The monster trust was too
stacked again&f; Dr. Bruening in 1930. German banks impor;ta.nt to be ignored. Instead of Hermann
were failing right and left, declaring their inability Scllmitz, another Farben man-Dr. Hermann Warm-
to meet their obligations. Unemployment was at a l'Old-became Minister of Economics. Schmitz. now
cont~olled the War Ministry, the Minister of Finance,
new peak. Bruening was universally regarded as a
spiritually independent man and no one suspected the Minister o_f Economics, and the Econonlics De-
his motives in allowdng Hermann Schmitz virtually part.ment of the Foreign Office. His dream of a gov- .
to take over the government. ·· ernment by Bd·g Business and the Army was on the
way to being realized.
Bruening was apparently convinced that the only
way out of the misery that endangered the Republic I . G. Farben apparentiy blundered badly soon after
was close co-operation with the Army and that part Farben men had been appointed to strategic posts in
of Big Business that apparently dlid not support an the Ministries of theBrueninggovernment. Hermann
Schmitz persuaded Chancellor Bruening and his For- .
outr~ghit Nazi revolution.
eign Secretary Curtius to incorporate Germany and
Duisberg and Schmitz had played their cards clev- Austria into one customs union.
erly. Never in tihe history of the Republic did they To the· world at larg6-lparticularly to the democ-
appear openly against it. As a' matter of fact, by racies--this was subsequently made to ·appear as ·a
reposing too much confidence in Sdhleicher they al- disast er to Germany. Perhaps it was a disaster to
almost lost out entirely. · the German people. It was a tremendous triumph ·
From ihe very beginniilg Hermann Schmitz was for I. G. ~ben and the Nazi pa-ce-makers striving
Chance1lc:ir Bruening's principal advisor. The other for the downfall of the Republic.,
was General Kurt von Schleidher-the creature of As a matter of fact, · Herman Schmitz had once
I. G. Farben. Schmitz represented "Big Business" more planned very carefully. If the Bruening gov-
and Schleicher ,the Army-the two major factors on ernment got away with Jhis inclplent "Anschluss,"
which Bruening relied to restore stability. I. G. Farben stood to prosper. For I. G. Farben al~ I 14 Feb 2017


.: '


. ready owned ·t he Oesterreiohisclle Dynamit A. G. in together with Baron von Schroeder, · the Cologne
Vienna and thus dominated, "tib.e manufacture of ex- banker, had been quietly but laviShly supporting the
plosives in Austria. rowdy Nazi street fighters under the impression that
Farben in addition owned the Anilin Chemie A. G. Nazism would mean the re~toration of the monarchy~
in ·Vienna which controlled the db.emical and phar- They backed Franz von Papen for the Chancello:r-
maceutioal markets of Austria. Anilin Ohemie by ship and with the help of Major Oscar Hindenburg
its predominance was the sole trading company for ousted Bruening from office in 1932. Schmitz might
aliJ. Austrian chemical manufacturers. Thus I. G. !have seen the handwriting on the wall that year but
Farben indirectly controlled the en,tire Austrian be didn't. He continued to back General von Schlef..
chemical field and muc'h. of the market in the adjacent cher, his own man. Within a few months von Schlei-
llalkan countries. cher had intrigued successful:ly and von Pa:pen was
It was to I. G. Farben's very great interest, there- out. The old Field Marshall asked von Schleicher to
fore, ,to get Austria and Germany to live within one form a government. It now looked as though I. G.
common ~rilf frontier. This move was regarded as a Farben controlled the government completely.
prelude to ·Germany taking over Austria completely. However, 1Jhat is to have reckoned without Frnnz
Frnnce roared and threatened occupation. Llttle von Papen, the sinister master of fhe double-cross
Czechoslovakia, threatened with this encirclement whose name is a synonym in world capitals for
by Austrian and German territories, was frightened. treachery. Von Papen had shortly intrigued against
The Little Entent~Yugoslavia, Rumania, and Czech- Schleicher and with the funds of the industriallata
oslovakia, together with France and Poland~bared won an overwhelming victory for Hitler in March,
their teeth. 1933. Hitler was made Chancellor. The Nazis had
No~ since the assassination of Archduke Francis arrived.
Ferdinand in 1914 had Europe been confronted with Hitler apparently owed Sclhmitz nothing! It was
so serious· a crisis. It was engineered and worked a t.i me for worry and fretfulness in the palatial offices
out by Hermann Schmitz and Max llgner at "Buero of I. G . Farben in Berlin.
I. G., Berlin NW7." But old ~arl Duisberg had an ace--a couple of aces
Into this situation stepped President Hoover. -up his sleeve. While Schmip: built up his world
France's threats agains,t Germany implied the bank- empire and worked to get control of key government
ruptcy of the German nation. Huge reparations pay- posts, the old man had not been idle.
ments were due and the Germans were still pleading Du:isberg kept his eye on Hitler. In those days in
their inability to pay. Germany, almost anything was possible.
More important ~e tremendous value of American Thus, when Hitler marched in Munich in 1923,
private investments in Germany was at stake, and there was an I. G . Farben man tagging along. No
President Hoover declared the one-year moratorium less a person than Heinrich Gattineau, Duisberg's own
on reparations. secretary. It is true that Gattineau fled even as
However, France continued tc stall and threaten Hitler when the first shots were fired in Munich. But
and in Germany the same raiders that acted in con- in 1933, it was something to be able to claim hav.
cert in the crisis of 192~urlng the Ruhr occupa- ing been an original Storm Trooper in Germany .
.tton and th,e passive strike of Fritz Thyssen and the Gattineau became the new ·liaison man between
heavy industries---struck again at the finances of the I. G. Farben and the Nazi government. Unfortunate-
Weimar Republic. ly Gattineau was a poor politician. He stayed too
Germany literally went .bankrupt. American in- close to Captain Ernst Roehm and nearly met a fir-
vestments were frozen. Banks closed and the mora- ing squad the night of June 30, 1934, when Hitler
torium on reparations meant that payments would purged the Nazis.
never be resumed. Chancellor Bruening and For-
eign Secretary Curtius were forced to renounce the However, once more· the older men were fore-
"Anschluss" with Austria. The Weimar Republic handed. They had contrived to 'COntact no less
was utterly discredited among the disi'llusioned Ger- a person than Hermann Goering and astutely saw
man people. The way was 'now clear for the coming that Hermann did not lack for pocket money during
of llitler. the lean days of early Nazism.
Thi~ Farben inspired coup, however, not only As a matter of fact, only a few weeks before the
spellt:d the end of the Republic, it liquidated a huge purge, I. G. Farben among others was invited to the
German debt to America. Germany was bankrupt feudaf palace Goering had seized at UA Leipzige't
and couldn't pay, alrhough it retained the great 'Platz in Berlin.
.public works, the highways, the railroads and other Herr Georg von Schnitzler represented I. G. Far-
improvements made· possible by American capital. ben at the party in Goering's palace. After a pep
As in 1924, during the first bankruptcy, the German talk to the assembled industrialists and bankers,
people starved and cursed their Republic. The Ger- Goering told them they would have to pony up three
man industrialists won! million reicbsmarks to replenish the badly depleted
And 'then the heavy industry 'baron&-long resent- Nazi treasury. ·
ful of the increasing power and influence of Farben While others hesitated, Herr von Schnitzler-!. G.
--almost toppled the playhouse Of Duisberg, Bosch, Farben's No. 1 commercial man-made the first sub-
llaber and Schmitz. · stantial contribution. He gave one million reichs-
Fritz Thyssen, Ahbert Voegler, old Adolf Kirdorf, marks-a third of the take--without even bother- 14 Feb 2017

SEQUEL To The A P 0 C A L y ·p S E 25
ing to _consult his board. moned by Goering in 1936 to help draft the four
Von Schnitzler had joined the Nazis at once after year plan in preparation for total war. As in the
the 1933 elections. His contribution to Goering days of the Weimar Republic Schmitz was sti.J.l in
established his career 1n the Third Reich. Todar he danger of being dragged into the Cabinet. Thus far
is one of. the most influential members in the Goer- he has remained behind the scenes, the driving geniUs
ing circle. in Nazi war production.

It i~ Important to note Jhat Von Schnitzler's son- However, other 1. G. Farben men were not so fear-
in-law, Dr. Herbert Scholtz, the No. 2 Head of the ·ful of responsibility. Karl Krauch, now chairman
Nazi Secret· Service in the U. S., until his forced of the Board of Farben, is General Commissioner for
departure on the S. S. West Point in June, l94l, was the German Chemical !ndustry, the key man in war
operating under the guise of German Consul Gen- production. Professor Beck, another Farben man,
era( in Boston. was placed in charge of war metal production: Oth-
ers ar-::- scattered far and wide in goveriunent service .
Not only was Von Schnitzler received warmly Schmitz was offered the post of Minister again re-
but he opened the way for Hermann Schmitz, Max cently and refused it. With his entire enormous
llgner, and. certainly saved Heinrich Gattineau's life organization geared to total war and with the con-
tbe ll!ight of tihe purge. trol of all essential departments of the War Economy
There have been other substantial payments made · in the hands of I. G . Farben, Schmitz is doing very
to the party by Farben, but after 1934 when Goering .Weli outside of the Cabinet, ready to deny all re-
realized what I. G. Farben meant in a total war sponsibility in event of another German defeat.
economy, the Nazis became the suppliants. They Poor old Fritz Haber, retired when Hitler came
could not .have gone to war without Farben. in, died in 1935. Tired old Karl Duisberg died the
Schmitz was named a member of the Hitler-ap- same year. In 1940, old Karl Bosch followed them
pointed Reichstag, an honorary member of the Nazis, to the · grave . Three old men--:-each one an evil
and appointed "Wehrwirtsohaftsfuehrer" ("War genius--each sharing a terrible responsibility for
· Economy Chief") by Adolf Hitler. the se~"ond world war. Old men who couldn't live
. to see the outcome of the Hitlerism they made
The fat Reichsmarshal was astounded by what possible.
Farben had to offer. Schmitz pledged Goering that
German chemistry could make Germany ~Jel£-suffl­ The fruits of their teaching live after them, how-
cient for war purposes if the government was will- ever, and apt disciples are on the jOb in Germany.
Duisberg, Haber, and Bosch were the pace-makers
for younger men who are even more sinister in the
Obviously, it was Schmitz then who was sum- Total World War. 14 Feb 2017


Everyone knew about the Gestapo. Few k,.ew
that I. G. Farben' s innumerable offices abroad func-
tioned as a world-wide spy network. Out of huge
profits, they financed a hundred Filth Columns.


·M· .
AX ILGNER is the nephew of Herman
Schmitz, o£ I. G. Farben in Germany and
point were recalled or kicked out.

of Dietrich A. Schmitz of General Aniline Even before 1933 reports that came to "Buero
& Film Corp. in New York. He is also head of I. G. I. G." were collated and elaborated and relayed simul-
· Fal"ben's vast spy organization and he is known as taneously to the German Foreign Office and the Ger-
the paymaser of Nazi espionage, propaganda and man War Ministry.
sa_botage agents in countries all over the world.
A:t;ter 1933, the org,anizati<:in was reorganired and
Officially Max Dgner is a director of the Central greatly ·enlavged. Thereafter, "Buero I. G." reported
Finance Am:rurustration of I. G. F'avben and the simultaneously to tftle "Aussenhandelsamt"--'the For-
Delitsche Laendertbank-the financial headquarters eign Commerce Office--and the "AW?lands-Ollganiza-
o£ the largest corporation in the world. tion"-the Foreign Organization~boilh units in the -
Nazi Party.
Ilgner is a man of intrigue. To his intimates his
conceit is as boundless as his -ambition is great. Next Similar reports were made to F-oreign Minister von
to Hermann Schmitz he is the most important man Ribbentrop's office, to the Nazi War Ministry and
' in tbe German war economy. last, but not least, to the "Kanzlei des Fuehr~s"­
Hitler's . personal office.
· The financial headquarters of I. G. Farben are
housed in the building at 82 Unter den Linden, one Abroad the agents of the Nazi Party worked in
close co-operation with I. G. Farlben's men. The
of the remodeled features of Hitler's Neronic plans
Party agents were independent of the regular Nazi .
tor re-building · Berlin. It is located beside the diplomatic and consular agents. The Germans learned
.French EJI1bassy and has all the appearances of an . a lesson in World War I, when Franz von Papen and
innocent office building. Captain Boy-Ed~ mili,tary and naval attaches at the
German Embassy, were · cauglht red-ih.anded servm.B
Unknown to the world, however, is another con- as paymasters and directors of saboteurs and spies
glomeration of offices in the same building, the in America.
·address of · which is simply ''Buero I. G., Berlin, Agents of the Nazi Foreign Commerce and Foreign
. NW7." This is the political headquarters of I. G. Organization units were thus afforded access to busi-
Farben, presided ov~r by Max Ilgner himself. ness and economf.c information not available .to the
traditionally narrow limits of the diplomatic or con-
From this highly organized nerve center have gone sular service. However even these- non-diplomatic
instructions and funds to a world-wide intelligence trade representatives were too conspicuous for really
and propaganda service. To "Buero I. G., Berlin, delicate assignments. These were taken over by 1. G
NW7," have come reports and information contain- Farben's men-Max Tigner's agents-who work more
iDig the secrets of all civilized nations.
discreetly and more subtly through pure "business"
methods and as "simple business men.''
In "Buero I. G." were hatched plans for Fifth
Columns everywhere. Here intimate information on Thus a vast amount of real inside information as statesmen of tihe world was gathered. Here to. production capacity, economic resources social
the weaknesses and venalities of military men, naval conditions, armament and other vital factors' in total
men and business men in other nations were plumbed war flowed uncheokied from many nations to "Buero
and evaluated. I. G., Berlin, NW7" during the years lea~g up to
and the early years of actUal warfare.
At 82 Unter den !4nden, in the very heart of
The other side of "Buero I . G ." has to do with
Berlin, Max Ilgner spun the web of treachery and propaganda, Fifth Co1umni&ts and sabotage. · Ilgner
deceit that prepared the way for .Hitler. It was well handled all that too. Not in so crude a fashion as
spun before 1933. Thereafter, it was perfected. von Papen and B'Oy-Ed in the first World War. H
Ilgner thoroughly purged his spy machine after 1933. has been remarked that Ilgner is smart.
All persons not entirely reliable from a Nazi view- Lop.g before Hitler, Ilgner was already penetrating 14 Feb 2017


The sinister figures who flitted through the many rooms of this office building on the Unter den Linden,
in Berlin, developed Hitler's most potent secret weapon-an espionage-propaganda-sabotage organiza-
tion that covered the globe. It was here, rather than in the Gestapo headquarters on Prinz-Aibrf!_cht
Strasse, that plans were laid for penetrating and undermining the countries victimized by Germany.
Here Max llgner rules as paymaster for the innumerable agents of Buero I. G.

other countries politically, picking out weak and were free to travel wherever 1hey chose, to dispose
venal ·statesmen, alienating important members of of their bank accounts as they pleased, to be free
military and civil services and of big business men from alien registration in time of war, and to be
from loyal,ty to their own countries. treated as citizens and not as the enemy agents of
llgner's men were therefore instructed to become the Axis Powers that they really are.
deeply entrenched in the social life of the country Up to 1933, these world wide operations were pri-
to which they were assigned, marry women of marily to effect economic conquest for I. G. Farben
those countries, and most important of all become although llgner always worked ln close collaboration
citizens of those countries at the earliest possible with the German Ft>reign Office. After 1933, Ilgner
moment. When necessary, I. G. farben's men have expanded immeasurably.
been ordered to appear as anti-Nazis and out- It was Max llgner who first discovered "Mein
spoken liberals. Kampf." Throughout the years of scheming and plot-
In such guise, the most loyal agen,ts serving Hitler ting with ~iSberg, Haber, Bosch and Schmitz, there 14 Feb 2017

was never a clear ·Concepti{)n as to when and how tary strategy. Under the influence of Professor Otb-
their dream for W{)rld mihtary aggression might be mar Spann, of Vienna, he toyed with the idea of a
laun~hed. rorporative State, an improvement on the oorpo:nr
live ideas put into effect by Mussolini in Italy.
"Mein Kampf" came to Ilgner's attention on the
eve of Hitler's 'Victory at the polls. In his capacity Ilgner and Sclunitz quickly disillusioned Der
as intelligence chief of I. G . Farben, Ilgner read it, Fuehrer on that score. They had no intention o1
unlike most German industrialists of tlle day. It had allowing I . G. Fari>en to be taken over by the Sta.te.
been recommended to him by a close associate, one Quite the other way around, they proPQsed to take
Alfred Hugenberg, who was the paymaster between over the State. In this they were backed by Krupp,
the industrialists and the Nni gang in Munich. the cannon king; Kirdorf, the coal czar; and other
big business barons.
Hugenber·g held on to muoh of the money that
pas.<>ed through his hanrls and he wound up owning Thyssen by this time was already slipping. Shortly
UFA, the big German movie company, ALA, a domi- after the outbreak of the war, Thyssen was to be
nant publicity organization, and he had control of stri_:>ped of his great fortune and exiled. The last
the Berlin publishing firm of August Scher!. He gave heard of him he was in France, presumably caught
the Nazis free handouts for their newspapers in the by the Nazis when they took over that country.
early days. Later, he had to turn over some real
money. This combination of industrialists was too much
even for Hitler. He was willing to make a deal.
Af,ter talking to Hugenberg , Ilgner summoned his
"brain trust"- the bright young men who are his
chief aides. Among them were Dr. Krueger, Dr.
Pfeiffer, Frank-Fable, and Mario Passarge. Pierre Laval, Farben's attorney, wasn't pres-
There were plenty of unread copies of "Mein ent when this gay banquet was held in a Paris
Kampf" lying around. The "brain trust" was or- restaurant to celebrate I. G. Farben's successful
dered to read and report. conquest of French industry. But Laval, who
But it was Max Ilgner himself who pronounced
had helped engineer the triumph for the Ger-
mans, was there in spirit.
the verdict.
Said Ilgner:
"It's the craziest damn thing I have ever read. But
it is just crazy enough t<J work. The man has a
time-table that fits in with what w e would like to
see done He seems to be the man we 'have been wait..
ing for. If he's got any brains at all, we can use
him. Keep this Hitler very much in mind."
It is a matter of history now that Hitler could
scarcely believed his good luck when these hereto-
fore distant chemical trust bosses offered to present
him with the finest intelligence and propaganda ser-
vice extant.
But Hitler hadn't seen anything yet. Max Ilgner
was just beginning in 1933. After old Karl Duisberg
died in 1935, the restra.inihg influence that counseled
a policy of circumspection was removed. Ilgner was
now more or less on his own. And he was feeling
his oats.
Not that Max Ilgner was out and out brash. He
had been too long trained in the school of Duisberg,
Haber and Bosch and he stuck to "business" avenues
and "business'" meth<Jds.
However, by virtue of the huge profits piled up
annually by I. G. Farben in Europe, Asia, North and
·South America, Ilgner had at his command a vast
amount of foreign exchange. .He was in an ideal
position to become the paymaster for the Nazi politi-
cal and propagandist machinery abroad.
Hitler realized immediately that he would never be
able to carry on without Fa1•ben. Der Fuehrer in
those days was in a curious s,tale of confusion. Under
the influence of Professor General Hnushofer and his
geopolitical ideology, Hitler was contemplating mili- 14 Feb 2017

Ilgner was given authority to take over all the func- throughout the world as apparently loyal citizens of
tions of a Nazi intelligence and propaganda service the countries of their residence. His organization
whiCh in turn I. G. Farben would finance. The Nazi was in splendid working order.
government would provide State subsidiaries for vast
An early questionnaire sent out by Ilgner to all of
plant expansions tv make explosives, synthetics and
chemicals for I. G. Farben. The deal thus beat re- his agents .is revealing. It goes far beyond the nor-
strictions in foreign exchange with no loss to either mal interests of a commercial 011ganization.
party. It may have been unorthodox business but For example, Ilgner wanted to know all about
certainly it proved effective. automobile traffic . He sent out the 1iollowing ques-
With this arrangement, Hitler freed himseli from tionnaire•-
what otherwise would have been a major--and prob- How many automobiles are there in the country?
ably insurmountable-problem-an efficient world- How many of these are passenger cars, how many
wide intelligence and propaganda service. · He had trucks, how ma n y buses?
plenty of time nearer h-o me to devote to getting things
ready for total war. It becomes clearer now how Countries of origin?
a former house painter has seemed to accomplish the What makes?
impossible in such a short space of time. Are there any automobile factories in fue country?
How many repair shops?
Ilgner's men by this time were firmly entrenched How is gasoline distribution organized?
How m a ny t~wk stations?
DIDN'T COME TO DINN .ER Organized by what concerns?
The beaming, cherubic countenance of Max Also Max Tig ner was much concerned about mov-
llgner, brains of ·1. G. Farben's foreign busi- ies. He sen t ou t a qu est ionnaire like thls•-
ness-espionage organization, can be seen be- How many movie theaters are there in the country?
tween the two women guests on the right. How many of these arc in the large, in the middle-
Willibald Passarge, head of I. G. Farben's sized, and in the small cities and villages'!
Paris office, is the man with eyeglasses. As to the movies in the cities:-
., '! ,. . . ., . f~' tr ,,'>:. . ~,~~.
.. l What is their seating capacity?
.l . f(.. ~
i • . • /.• \
What is their average attendance?
j;. l . ~ ;' :! ~ ~
Who are the theater owners?
.• .; ~ v ~:
Are they foreigners or natives?
What films are shown?
Country of origin of those fi!Jru>?
What is the reaction of movie-goers to German
Similar questionnaires sought information about
radio facilities , programs, ownership. Others wanted
to know about newspapers. In fact, there was little
that Max Ilgner's "Buero I . G." didn't want .to know.
His curiosity might have seemed incredible.
With this information collated, Hgner and his brain
trust were ready for propaganda on a s.cale the world
had not ye,t. experienced. Literally miHions of dol-
lars to advertise I. G. Farben products--Bayer Aspi-
rin, Luminal, Salvarsan and many others- were
spent in radio stations and newspapers throughout
the world.
Advertising accounts were in many instances sub-
sidies for German propaganda because Ilgner saw to
it th a t Specially favored radio owners or newspaper
publi!'ihers were given Farben controlled funds. In
many cases struggling n <>wspapers and radio stations
willing to carry Nazi propaganda were kept alive by
"Bu ero I. G .. "
However, Ilgner went far beyond mere propaganda.
After Schacht initiated barter trade from Germany
and Hitler froze German funds, Ilgner's control of
foreign exchange from profits in many oountries be-
came the real source of funds to finance Nazi sub-
versive organizations. 14 Feb 2017

In countries where I. G. Farl;>en's credits were low, making cannon.
there was no problem. Schmitz and Ilgner were Dictator Franco was financed to a large extent by
reaping rich rewards from their United States enter- Max Ilgner through Juan March, the Zaharoff ·of
prises. It was a simple matter ,to transfer Am~rican Spain.
dollars to the I. G. Chemie, in Switzerland, or the
two I. G. Farben holding compani~s in Holland- Max Tigner's real break came in Spain, however,
even in war time. From these two neutral coun- in the second year of the Civil War when Ramon
tries, Nazi funds were sent to agents everywhere. Serrano Suner-Franco's brother-in-law-was cap-
tured by the Loyalists. He was on the eve of being
Schmitz and Ilgner slipped up on the Holland
executed when Farben agents in Madrid interceded
holding companies They strangely neglected to
with the Loyalists and arranged for an· exchange of
transfer early enough their USA stock holdings from
Serrano Suner for a prominent Loyalist captured by
Holland to Switzerland before the Nazi invasion. The
President of the United States froze Dutch assets and the Fascists~
that pipeline was blocked. The one through Switz- After his release in Spain, Serrano Suner was me,t
erland continued to operate. at the French frontier by Willibald Passarge and
In pursuance of the Duisberg policy of economic escorted to Paris where 'b e was wined and dined and
penetration before military conquest, Ilgner concen- given funds to get back to the Fascist side in Spain.
trated on the demoralization of Europe as a primary Today, Serrano Suner is the Foreign Minister of
task under the Nazis. Spain, head of the Spanish Falange, and the leading
pro-Nazi in his country. The Spanish Foreign Min-
I. d. Farben was already in . a strong position in ister exercises much in11uence in Spanish circles of
Holland through holding companies, investments, and Latin-America where Tigner's subversive activities
connections with established Dutch "business" men, are now carried on largely by members of the Span-
particularly Fentener Van Vlissingen, president of
ish Falange. Serrano Suner could scarcely help
. the International Chamber of Commerce.
being grateful to the men who saved his life. And
But it was Iigner's idea to take Prince Bernhard it is assumed tha.t Dictator Franco also valued his
zu Lippe-Biesterfeld into the Farben organization. brother-in-law's life. Tigner did very well in Spain.
Ilgner had cultivated the acquaintance of Prince Thus the authenticated record reveals that Max
Bernhard's father and shortly the young Prince went Tigner through the vast resources of ,the world's larg-
to work in the Central finance Administrution Office est corporation ol"ganized and financed the contacts
in Berlin under Ilgner's direct supervision. with foreign conspirators that eventually made the
The Prince was taught business and international Nazi conquest of Europe possible.
· relations. The existence of "Buero I . G." on other Tigner financed the "Iron Guard" in Rumania and
floors in the same building was kept secret from him. only recently Germans were implicated by former
After Prince Bernhard became engaged to Princess King Carol in the poisoning of former Rumanian .
Juiiana, heiress to <lbhe .t hrone of Holland, he was Foreign Minister TitUlescu-an outspoken anti-Nazi..
sent to Rotterdam to work for one of the I. G. Farben I. G. Farben's men were in Rumania long before
holding companies. Ilgner's idea was that once the Hitler's soldiers arrived.
young Prince had acquired a knowledge of poUtics, The I. G. Farben Company al.w financed 1he organ-
·he would become influential in ,t he Dutch govern- ization of the Fifth Column .,Ustaschi., in Yugo-
ment and could be influenced from ~he Farben bead- Slavia and was implicated in the assassination of
quarters in Berlin. It was not Max llgner's fault King Alexander in Marseilles in 1934. Anton Pav~
that Prince Bernhard became a loyal protagonist of lich, oresent puppet Premier of Nazi-created Croatia,
the I)utch a(ter his marriage to the Princess. Ilgner was cparged with responsibility for: the assassination.
had done his best. He fled to Mussolini for asylum when the authorities
I. G. Far.ben's representative in Paris was Willi- sought him. Today he is rewarded by being made
bald Passarge--the brother of Mario, one of Ilgner's Premier of a puppet state. He was on Max Tigner's
brain trust in "Buero I. G." One of Willibald Pas- payroll for many years.
sarge's early achievements was the retention of The "Arrow Cross" fascists in Hungary, the Quis-
Pierre Laval as Parisian counsel for I. G. Farben. lings in Norway, the fifth columnists everywhere that
Through ,the years before the second world war, prepared for Hitler's aggression by creating disunity
Laval received lar·g e fees for doing little or nothing and fostering disloyalty, were all creatures of the
in the way of legal work for I. G. Farben. However, "Buero I. G ., Berlin, NW7."
Laval was the nucleus around which the French Fifth Max Ilgner's nex.t offensive was to be against the
Column that brought about the F rench collapse was Western Hemisphere where the ground had already
organized. Its other adherents--all beneficiaries of been well-cultivated since as far back as 1921.
Farben-have become notorious since the occupation However, in the story of I. G. Farbel)., the unprec-
of France. · edented expansion of chemical plants, the manufac-
"Buero I. G." was well-established in Spain also ture of explosives, gases, synthetic oil, synthetic
before the outbreak of the Spanish Civil War. Her- rubber, synthetic fibers, intervenes in ·preparation for
mann Schmitz through the Farben controlled Inter- the opening of. World War ll on September 1, 1939.
national Nitrogen Cartel had acquired control of the This was primarily Hermann SChmitz's job-oper-
Spanisll nitrogen and high explosives industries. ating behind the ample front of Reichsmarshal Goer-
Krupp was working alongside of F'arben in Spain ing, .the director of the Four Year Plan for total war. 14 Feb 2017


"Double, ciou&le toil and trouble; Fire, &urn; and
· cauldron, &u&&le."-Macbeth, Act 4, Scene ..... .
With diabolical .cunning, war was &rewed In Ger-
man test-tubes , .. and I. G. far&en had a formula
that could not fail.


0 ONE . was · better aware than Hermann More impor~ant Hitler had prov ed that his orator-

·N Schmit,z-the apt student of Duisberg, Haber
and Bosch-that I. G. Farben had nothing to
lose by going headlong into total war with Adolf
ical magnetism--aided by the ruthless intimidation
of the German masses by the Storm Troopers--was
an ideal medium for achieving Farben's ambitions.
Schmitz"s policies were .strictly "business."
Every detail of 'Corporate planning by I. G. Far- Through a war economy, the already massive I. G.
ben during the fourteen years of the Republic was Farben corporation could obtain vast funds from tn~
designed for the coming of an irresponsible aggres- Nazi State for plant expansion and research.
sor like Hitler--one that could be directed arid used. Should Hitler win the war-and Schmitz w~
convinced that Germany could win-1. G. Farben,
Hitler was still in a state of exalted frenzy when the largest · corporation in the world, might consoll-
he came into power in 1933 . His time had been date its world empire into a world monopoly of
devoted almost exclusively to stilpulating the pas- economic necessities.
sions and lusts of his gangster Sturm"Abtel.lungen
(Storm Troops), and to campaigning among the There was · always the possibility that Germany
masses to arouse hatreds that would bring a Nazl mi,g ht lose. But Schmitz was prepared for a mili-
victory iri the national elections. tary defeat. As in 1918, when I. G. Farben had
the secret of Fritz Haber's synthetic nitrogen for an
As a consequence, ·he was ignorant of the war economic offensive against world markets, Schmitz
economy already perfected for him by the vast. I. G. proposed to have a tremendous production of syn-
Farben ·interests. He · expressed his amazement to thetics ready to flood arid demoralize the interna-
Rudolf Hess when he was made acquainted with tional markets if Germany lost again. In any even,t,
Max llgner's super-efficient espionage . organization Hermann Schmitz considered all precautions to as-
and he could scarcely contain himself wheri Profes- sure German industry of winning World War n, re-
sor General Haushofer showed him how geo-poh- gardless of the decision on the fields of battle.
tics could be pursued under a 'total economy already No matter how bard they tried, the combination
perfected by I. G. Farben. of Dui8berg, Bosch, Haber and Schffiitz was never
Der mighty Fuehrer on that occasion is describea able to sell the Weimar Republic a bill of synthetic
as having gone into a toe dance-goosestep, eyes goods. And it is on record that many attempts were
popping and a child-like grin of glee on his face-- made. . ·
much as he reacted in northern France seven years There were times when the German Republic
later when told that Paris had surrendered. m ight have been justified. in subsidizing synthetic
It was no secret in ~he inner circle of Nazidom · materials and synthetic foods--as during the finail- ·
that Hitler during his frequent moods of melan- cial debacle of 1923 and again in 1930.
cholia oft-times despaired of discovering ways and However, the democratic leaders pursued a policy
means of imposing "Mein Kampf" on a hostile of international cooperatic;m. Democratic economists ·
world. On . these occasions Haushofer, Hess anc:I were well aware that German economy was de- ·
Goering bolstered the faltering nerve of the future pendent on export trade.
Fuehrer by assuring him those problems would be
met when they appeared. Unlike Hitler, whose declaration that "Germany
must export or die" was later used to justify force,
It was Hermann . Schmitz-president of I. G. Far- the men of Weimar maintained that natural pl'od-
ben-who was being held iti reserve by llaushorer uc~s could be imported- at far less cost than syn-
and Goering. Schmitz was inclined to dismiss much thetics could be manufactured.
in "Mein Kampf" as the illiterate and confuse<l ram-
ing of a megalolomimiac. But he was convinced that The economists of the Republic were convinced
. buried in a torrent of words I . G. ·Farben's princi- that Germany could survive economica~ly orily by
pleS were truly expressed in "Mein Kampf." trading her technical · genius and industrial ability 14 Feb 2017


I. G. • I

Wholly or substantially owned or engaged by Forben
Aftlllated In varyinr degrees w ith Farben ~:roup,
Detroit, U. S. A.
Far ben Iil tl (ON T H E EV E ()~ TOTA
though separate ly operated .

~ T r end 6f inte rcom pany tran ~actlom. sh ipping or

marketing ar rangeme nts whkh o::annot in ~ve r y
instan ce be predse ly il1ustrated due to sudden

~' 0.
warti me chan.II( S.
s. c o·m panies whose Prewa r connections wit h
Farben have b~en revised , chiefly ' lnce out- FORD MOTOR co.
Colocne, Germa ny
' I ~ ·-...-.

break Q ( war.
Part owned and now of"rDted by
I. G. Fo rben·
I Chemo Mooti< hoj,ll
Voor Che.mische 0 e r-
nem lngen N. V., Holland1
.· C.
Sterling P rodllds,.fn e.


2 30. p.,k_Aven ue, New . . Yo rk

r;d, llY OWNIO
U. s: A. A~
Know n until World W ar II

.. !
II .r.
Ameriean Ferme ftt Co .. Inc.
The A.yer Company, Inc. ....... I O f H llAL AHILI NIE

The Bayer c.o.. Inc. (Calif.)
Califor nia Fig Syrup Compa ny
Or. W. B. Ca ld well, Inc.
ll nd~tn , N. J.
len ... lc-.r, N. Y.,
I lnvest m.• nh
In Other Corporations
The CeHasin Co., Inc. Anociatcd With
I. G. F.trben in t he
The Centaur Com pany
U. S. A.
The Cummer Products Co.

"'!i:r.::I=' I
Drew Pharmaceutical Co., In('.
The l ronized Yeast Co. , 1m::.
Knowlton Dan.derine Company
Sing ha mton, N. Y. @
T he Molle Com pany
The Chas. H. Ph illips Chernl-
. ' ~
cal Co.
Proprietary Ageneies, Inc. ~
.~ · ~- o-
. Sterlin& Products lnterna tion-
al, Inc.
SterlinJt P-roducts, Inc ., (W.Va.)
Sterli n& Remed y Company
S)•nthetic Patents ~o. , Inc.
Thompson Koch Company
SO % ow ned b y Sterli ng Prod uct• and 50,.
T he Vita-Ray Corporation
The R. L. Watki ns Company
The Delatone Company ll1
Well• & Richar dson Co., Inc.

New York

r-:. MEX I CO ·~
lf '

IN ~BRAZ I L~ Now in process of bei ng established
""" / Soc. Fa~mtn:eu"tlca lnterom e rica" a Ltda , to ta k e over the m.trket ing of ETH -

fir ms which are I) OW fi nd ing it in-
· ~u. RUC U A Y~ '
II • c reasi ng difficult to get supplies fro m
Ge r ma ny a nd th e Un ited St.ttes


II ,""

~ CO L OMB' IAro~
, J.. .J... ,J...

" The tangled nature of the Fa rben co rporate structures ~nd the intr icate nature o f th ei r
iniercpr'npany li nks or working agree ments is a jigs~ w puzzle of hithe rto unfathomed com-
pl,exi ty. The war ha s brought about certain rearrangements and othe rs are probable as the
strugg le deepens and spreads. Th is chart reflects as many as possi ble of the inte rcom ·
i pany changes that ~rred up to Jan. Jst, I 942. Copyright By Booktab, I 14 Feb 2017

(Synihetit Rubber)
50% own.d by I. G. farben; 50o/e by Standard Oil
After outbreak of war, 100% Standard Oil

Steady flow of supplies
from General Aniline& Film
Corp. both before and after
American Blacklist. These
shipMents had lfle effect of
replenlshlng .lfle dwindling .
supplies .fro.., Cermany cut
off by tho British Blockade.

'. by ~nerai · Anllin~




Inc., New York, 1942
L..itho in U. S. A. 14 Feb 2017

fo r the raw resources of other n ations. This of Sta.t e subsidies paid for new Farben plant con·
course did n ot t ake int o con sideration the use of struction, for the salaries of hundreqs of thousands
force to st eal raw m aterials and for eign m arkets. of workers, for research and development. Where
l!'or these r easons l. G . :F'arben w as curtly dis- funds were not immediately available, Goering or-
m issed whenever synth etic manufacture w as pro- dered confiscation. The slaughter of Jews ·and the
pll:;ed. Even in the darkest d ays, just befor e t h e confiscation of their .\vealth was particularly useful
Republic collapsed, , Chancellor Br u ening told during this phase.
Sehmitz that Germ an d em ocracy w ould not, and Hermann Schmitz had four principal synthetics
could. not, subsidize syn thetic manufactu r e for the without which Hitler could not have gone to war.
sole p ur p ose of mak in g G ermany self-sufficient ln Altogether, I . G. Farben exhibited more than 250
w ar. synthetics at the exposition in Frankfort in 1937.
'l'hi ~; democr atic p olicy was abandoned instant!)> The four rmiin inventions, however, were; in the
w hen Hitler took over . G oer ing, lavishly bribed , ·order of their importance, synthetic rubber, syn.
but keenly awar e of F'arben's p otentialities, pressea thetic gasoline and oil, synthetic fabrics for clothes,
~ chmitz ' s cause befo re H itler . and synthetic foods and vitamins.
Comp aratively modest ex pansions w ere undertak- As early as 1936-the year the Four Year Plan
en by Farben immediately af ter Hitler. In 1934, was announced-Farben and Krupp were already
h owever, after the death of old P r esiden t Hinden- able to assure Hitler of sufficient military material
b urg, H itler was supreme. Hermann Schmitz was .to intimidate the democracies. That year Hitler
t old to go ah ead. \ dared reoccupy the Rhineland. The same year Hit-
ler precipitated the Spariish Civil War to test new
I. G . F arb en was ready. C omplete in detail was
Ger man war material. Professor General Haushot-
a four year plan for total war . Hitler approved it
er's geo-political theories were on their way to
and nam ed Goering dir ect or of the Four Year Plan .
· No one admits quicker than Field Marshal Goering
that he knows nothin g abou t production and even But Germany was not really ready for total war
less about economics. His only accomplishment was in J 936. By a firm stand, the -democracies might
as a wartime av iator twenty y ears b efore h e got so have stopped the · Nazis in their tracks. However,
grossly fat . Max llgner's intelligence service assured Hitler that
Na zi propaganda credits Goering w ith th e creation the democracies would stay put. History records
u.f the L uftwaffe--t he Nazi ah; force . Goering ls that they did.
also hailed as the p r oduction genius who made the T hus after 1936, Nazi diplomacy became boldel' .
1<'our Year Plan-launched p ubliCly in 1936 but an d bolder, while Hermann Schmitz and his huge ·
actually begu n m any years b efore--the great suc- organiLation worked night and day to. complete the
cess it tu rned out to b e. Four Year Plan on time.
As a matter of fact the late General Ernst Udet- Contrary to general . opinion, the firs! victim of
k iHed in a . m y st er ious " a ccident" during the third the Hitler-Schmitz aggression ~ the vamglorlous
y ear of th e war- -and <'i-eneral Milch, whose mother Benito Mussolini. When Hitler first visited Musso-
was a ccus.e d of a dultery in the birth of the future lini he was treated with scant courtesy by the
General to excuse h er J ewish husband, Milch's real Italians.
father--w ere the creators of the terroristic, ,brutal The flamboyantly uniformed Duce and his satel-
Luftwaffe, the assassins of innocent civilians and lites · were openly contemptuous of the grotesque
helpless women and children. figure in a bedraggled trench coat. Hitler didn't
Goering 's sole role was his knowledge of aerial measure up to Mussolini's idea -of a dictator.
com bat, gained d uring World War I in the famous However, the almighty Duce was shortly · tO be
H.ichthofen Squadron . Goerin g's position in tHe Nazl informed. He was made to realize that his entire
P arty was founded on h is savage leadership of Storm war machine was dependent on the whims of I. G.
Troopers in the ear ly days and his super-efficiency Farben through its control of Mussolini's chemicill
as the Assassin in B erlin , durin g the purge of June, industry. Farben controlled the patents and
1H34. processes used by the Italian Montecaiini ·compan:t.
As in the case of Udet and Milch, Goering hacl Farben agents ran the huge plant. Farben finance11
l i~tle or n othing to do with the Four Year Plan. He could make or break the Italian war economy.
had the author ity under Hitler to employ any means From here on Mussolini reaiized he was No. 2
he saw fit to see that it w as effectively carried out. · dictator-not No. 1. Thereafter, ll Duce was a
It w as Hermann Schmitz who a dministeted the Four lackey to Adolf Hitler-and Hermann Schmitz.'
Year Plan. Schmitz told Goering what to do and Farben won the Spanish Civil War thiough its
t he F at Ma r shal w as only too willing to do it. Von ownership of Ramon Serrano Suner and Dictator
Schnitzler's gift of a million Reichmarks in 1934 bore Franco. The seeds were planted in France where
fru itful dividends. Pierre Laval was on the Farben payroll. Econom-
Expen se d idn' t count u nder the Hitler -Goering- ically, Farben controlled all the rest of Europe.
Schmit z progr a m .· Like the workin'g arrangement Only_ Czechoslovakia and Russia we:te uneertain,
between ·H itler-Rib bentrop -Ilgner in fore ign espion- but Professor General Haushofer had theories ready
a ge, the h orne fron t was organized as a partnership to apply to those countries. Poland didn't count in
between the State a nd I. G . Farben. German opinion and it was conceded that Germart,. 14 Feb 2017


The new explosivt!s and war machines created by Farben, Krupp, Thyssen a nd othe rs were given a
thorou gh testing in the Spanish civil war. When perfected, they were ready for the titanic struggle
that engulfed the world. 14 Feb 2017

would have to fight Great Britain and, perhaps, the War II by the invasion of Poland.
United States. Diplomatic pressure and Hitler's well-known im
The time was rapidly approaching for the creation patience, when his hunch or astrological information,
of the now familiar totalitarian Axis-the pro- tells him the time has come, precipitated the war a
claimed division of the entire world into two hostile year ahead of tirne. But Schmitz had production
camps. well ir. hand . Wartime pressure further regimenteg
However, formulation of the Axis had to await workers and extended their working hours . Schmitz
·completion of Hermann Schmitz's program .for a was able to keep pace with Hitler.
wartime self-sufficiency. The German Bayer Com- Next in importance to rubber in German self-suf-
pany-one of the cornerstones of the I. G. Far ben ficiency was the production . of synthetic gasoline
trust--invented synthetic rubber as long ago as and oil. In 1913, Karl Bosch, then with Badische
1909. It was more costly than natural rubber and Anilin-und-Soda F'abrik, invented a process for ex·
imperfeoet in quality. The Kaiser showed little in- tracting oil from coal known as hydrogenation.
terest. The world was less dependent on oil in those <fays
In the first World War, the Allied blockade and Bosr.h 's invention was of little interest to the
created an acute rubber shortage in Germany. The world at large . · It was regarded as an interesting
German Navy was the first to feel the squeeze and laboratory experiment but of no utility when there
demanded rubber for accumulator cases in sub- was more than ample oil for everyone at lower .
marines. The German Bayer Company furnished it. costs.
During. the last year of World War I, Bayer wa:-. Under the Four Year Plan, Hermann Schmitz ex-
producing about 2,000 tons of synthetic rubber an- panded Farben's huge nitrogen Leunaworks plant
nually, After the Armistice, production was abar. in order to produce the new "Leunabenzine." The
doned. The first synthetic rubber was imperfect "Leunabenzine" adjunct was built in 1927 as a
and much more costly than the natural rubber a vail- "pilot" plant . Production was stepped up in 1933.
able in peacetime. Moreover, the Republic wasn't H.i tler was told in 1933 that Farben would shortly
interested in self-sufficiency. b e capable of producing more than half of Ger-
m a ny's gasoline r eq uir e men ~ s.
The chemical wizards of L G. Far ben, however,
were not discouraged. New experiments and, re- The Fuehrer was assured that I. G. Farben could
finements of the original processes were never in- make Germany independent of gas an.d oll imports
terrupted. -given State credi~s and State aid. So the arrang~- ·
Thus in 1933, Farben was ready for the mass pro- ment made between Schmitz and Hitler for oil was
.duction of Buna synthetic rubber. But it takes time identical with that in the case of rubber .
to build plants and train workers and several years The Nazis had accumulated large stock piles of
were · to pass before mass production was accom- high octane gasoline before the outbreak of Worla
plished. _. War ll. They obtained an agreement with Russia
By 1938, most of the motorized equipment of the for 3.dditional supplies through the Hitler-Stalin
Nazis rolled into Austria on Buna rubber. The pact. Bu ~ the Nazi war machine really relied on
world was led to believe that this was an "ersatz" the synthetic production of I. G . Farben.
product on jerry-built tanks and trucks that litterea When war came, L G. Farben was operating eleven
the highways with broken-down equipment. Poland hydrogenation plants in Germany, one in Austria ana
and France, the Balkans and Russia were to prove one in Czechoslovakia. In addition, Schmitz con-
later that Farben had mas ~ ered the productioA of trolled nine:.een distilleries that manufactured inter-
efficier;t synthetic rubber. mediaries for hydrogenation. Thus, oil experts
Hermann Schmitz had not been idle. were convinced that Germany could produce all her
In 1938, Schmitz had 18,000 workers employed at own ordinary gasoline and light oil requirements in
a new rubber plant near Schkopau. Another plant time of war.
was set up near. Marl-Huels where exhaust gases There was rea~on to believe that hydrogenation
from the hydrogenation works at Scholven could did not s ucc e~ s fully produce high octane gasoline for
be utilized. Still a third works was built near war planes. However, there was a similar belief in
Bruex after ~ he seizure of Czechoslovakia. These 1916, that GermC~nY had exhausted her nitrogen re-
new plants are in addition .to the original F arben sour ces . The Farben chemists solved that problem.
works which were also vastly expanded . Their successors were at work in the Nazi labora-
tories in the third year of World War II under the
The combined annual production of these major whip of Hermann Schmitz· and there was no reason
plants-there are several su h"idiary plants where tq believe that high octane gas was beyond their
Far ben patents are farmed out--is in excess of 200.- grasp . At least the eventuality . was not discounted
000 tons of synthetic rubber each year, or eqpal to in spi· e of the let-up in Nazi air raids that year.
Germany's pre-war needs and, under a ration sys- During World War I, the German civilians suf-
!em. ample for Nazi war purposes. . It is scarcely fer ed bitterly for want of real clothing. All had to
necessary to say that all of this production is con- be sacrificed to clothe the soldiers at the front and
trolled by I. G. Farben. in the last period of the war even the soldiers "were
Thus, on September 1, 1939, the Nazi War machine trying to we?r "ersatz" uniforms.
was on its ·toes-or rather on its Farben produced Along with starvation, this cloth famine caused
rubber, ready .for Hitler's order to launch World by_ the Allied blockade was blamed for the German 14 Feb 2017

collapse. Hitler was resolved that a similar cloth- wood. For a time, wood pulp from conquered Rus-
ing famine would not defeat him in World War II . sian and Baltic territories relieved the situation.
Also a crying need of the early Nazis was for uni- Carried to an extreme-or over a period of time--
forms . Imported fabrics were costly and· the Nazis Germany's synthetic fiber production would have
then were n ot too well to do. In 1933, I:Iitler ordered denuded the country entirely of trees.
his Economic Commissioner-Herr Keppler- t o be- In addition to control over rubber, oll and fabrics,
gin the mass production of synthetic staple fiber re- I. G. Farben also ·controlled numerous other syn-
gardless of its imperfections. thetics. Derived for the most part from coal, car-
Incidentally , wizened p ropaganda Minister Goeq- bide, nitrogen and sulphur, ne w synthetics appeared
bels went into a huddle with himself about that time continuously. Hundreds of small companies took
and came forth with a warning not to .use the term part in manufacturing but all were subservient to
"ersatz" in connection with the r esplendent new uni- I. G. Farben.
forms of the Elite G uard. Goeb'bels reasoned- -and Very important in the Nazi war economy was the
rightly-that too many Germans still remembered supply by Farben of synthetic chocolates1,
the awful "ersatz" clothing that fell off them in flour and o~her foods as well as vitamins vital in the
World War I , and therefore he ordered that the new nutrition of children as substitutes for fats, eggs,
" ersatz" b e called " Ne ue Werkstoffe"- new produc- fruits · and vegetables. Important also were gyn- ·
tion materials. thetic ~ubsii~utes for metal, leather, cork, asbestos
It is a fact tha t "Neue Werkstoffe'' is incompar- and similar strategic materials,
ably b etter than "ersatz." In the first World War, On the side of the purely military economy, Her-
I. G. Farben was primarily experimenting to make mann Schmitz rapidly accomplished mass produc-
explosives-cellulose out of pine wood instead of tion of high explosives, liquid flame, poison gases
cotton- and succeeded . The "ersatz" clothing was and other instruments of death . The large reserves
a by -product of those ·exp eriments. of poison gas stored in Germany in 1942 were believed
· After the Armistice, the Germans clamored for to be in reserve for a last desperate effort to achieve
real clothing. They were heartily fed up on victory. It wus a Farben chemist-Professor Meyer
'"ersatz." Also, the Weimar Republic sought trade -who sanctimoniously said, "The gas weapon can
relations with .cotton producing countries and the be developed , not only to one of. the most efficient,
manufacture of synthetic fib ers languish ed. Again, but one of the most humane weapons of war." The
however, F arben chemists kept right on with their implication was that Farben . had invented a gas to
labora tory work. put enemies to sleep without serious permanent in-
When flitler ordered "Neue Werks toffe" in 1934, juries!
Germany was still d ependent on lmpor ts-- 100 per In the Farben subsidiary- "Dynamit Nobel A. G."
cent for cotton , 95 per cent for wool, 100 per cent -and the Farben controlled "Westfaelisch-Anhal-
for ju:e and other basic fibers , 99 per cent for hemp, tische Sprengstoff A . G."-virtually all of Hitler-s
and 86 per cent for flax. Only rayon was produced explO$iVeS were manufactured. N ew weapons, about
in sufficient quantity b y Farben and the Glanzsloff which there were my sterious hints were ·employea
concern. in the reduction of the famous Belgian Fort Eben-
Under HitlEr's orders -at the request of Hermann Emael early in the war and shortly after in the re-
Schmitz-the Nazi government forc ed contracts for duction of the famous Maginot Line in France.
synthetics upon all textile plants in G ermany and Finally the chemists of ·r. G . Farben produced new
fixed prices for their products. To relieve I. G . metals and alloys, less expensive and lighter in
Farbe n of the financial risk involved. in an uncer- weight in comparison to the tensile strength of oth-
tain business venture, the N azis forced the textile er metals . Sigmficantly an I. C. Farben man-
industry to contribute capital for new factories. Profe:::sor Beek--was in complete charge of metal
Irr effect, the German t extile industry-once a production for the Nazi War Economy.
flourishing bu siness--was ruined. It was because-al- Verily, Hermann Schmitz had done his job. He
thoug~1 greatly improved-synthetic fabrics would
had made the Nazis self-sufficient in war. The rest
not stand up under wear, and, more important, they was up to the military men. As lor Hermann
were not warm rEgardless of their weight . This was Schmitz, his busy mind was already turning to
to prove disastrous during the Russian winter of after-the-war plans. ·
1941-42 .
However, Farben produced 7,000 tons of "Neue Schmitz had two alte'inative programs-one lor
Werk s~offe" for uniforms in 1934. Production in- use in case of a Nazi world victory-the other in
creased each year as the r egimen ted masses were case the democracies licked Hitler.
uniformed- from tiny boys to elderly men, from Meanwhile, I. G . Farben's position in the Western
little girls to older wom en. In 1939, I. G. Farben Hemisphere was to be reviewed because much of the
guaranteed Hitler an annual production of 300,000 great ~ealth used to finance the second World War
tons and the Nazi War Machine was ready to roll. was drained by I. G . Farben out of the Western
The mass des ~ ructi on of German forests to make H emisphere-and particularly from the United
synthetic fibers became alarming and Farben was States-and I. G. :rar.ben was still well organized
reported experimenting on a new process that would throu g hout · the Western Hemisphere in the third
produce a pure synthetic .fib ~r without the use of year of the second World War. 14 Feb 2017


They said the last war disillusioned America. But
the bright young men who sold Germ.a n chemicals
alsu sold gullible Uncle Sam a big share in World
War II.


LD KARL DUISBERG'S last word to the en- United States was to be used both to furnish and
0 voys of I. G. Farben before. they left for the
United States in 1920 was that they must above
all be circumspect.
transmit I. G. F'arben funds to every corner of the
However, the older Duisbc~rg needn't have wor-
Duisbevg warned the young men, organized by ried. Schmitz, through Ilgner, was muCih better in-
Hermann Schmitz and Ma:x llgner, that the United formed . The United States was a perfect set-up for
States was not Europe and that methods useful in the schemes of Schmitz and ,Ilgner.
Europe would not work in .the United States.
The people of the United States were in a ~te ot
I. G. Farben's agents were told that their first job revulsion iri 1920. 'lbe minor postwar panic ~ad
was to apply for citizenship. Their next was to es~ begun. Unemployed soldiers were becoming a nuf&.
tab/ish themselves in social and business circles. ance. Many Americans felt slightly ashamed of their
In the· process, they must convince Americans that patriotic emotionalism and passion during the war ..
tihe German people were not to blame for t'he World America had been led to ,the exalted heights of
War. They had been terribly deceived and misled sacrifice and courag~ and; a.t the moment of its su-
by the Kaiser and the Junkevs. That was all changed preme effort, the war ended. Millions, unharmed QY
now. There was a new Germany-a democratic Ger- th·~ war, after being scared to death, had a sense of
many. The German people had earned their freedom having been let down. They looked askance at
the hard way. the vast armies in training, and the mountains of
The I. G. Farben agents were to take no action- war materiel turned out under pressure, bo,th of which
make . no move--without the approval of t'he [ G. were now to be scrapped.
Farben headquarters in Berlin. America enthusiastically repudiated Woodrow
Said Duisberg:- Wilson and his League of Nations program for polic-
"Youth is inclined to impatience. Let me warn ing the world and preventing war. Equally enthusi-
you against being l.inpatient. There are . many ,~hings astic, they rallied · to the inanity of +he slogan, "Back
that must be done here at 'home before we can move to Normalcy."
in America. The first thing we must do is to con- They elected Warren Gamaliel Harding to the
solidate the chemical industry of Germany into one Presidency because he campaigned from a small town
inclusive unit. Meanwhile, your duty is to establish front porch__,a typical American who knew nothing,
yourself in America towards the day when you will and wanted to know nothing about those foreigners
be needed." in Europe.
Hermann Schmitz had nothing to say at this for- This atmosphere in the United States was an open
mal meeting of the American envoys with the old sesame to the young men of I. G. Farben, The Amer-
men of I. G. Farben. ican public had been led to believe that Germans
In private. -in.s tructions, however, he assured the were Huns, Beasts of Berlin, rapists, sadists, butchers
depai;ting agents that there were contacts already es- and inhumans.
tablished in ·the United States that would be useful. Now they were told that these were "atrocity" ·
Said Schmitz: stories, propaganda to inspire hate. Their reaction,
"Report through Max Ilgner and your instructions When they encountered suave, well-spoken, well-
·. will be forwarded. Don't worry too much about the mannered Germans after the war, was to clasp · them
old man's warnings. We will handle him. And to their bosoms. Germans during the twenties, when
things must be hurried because we need money." Americans got mad at being called "Uncle Shylock"
Hermann Schmitz throughout his career never in Europe, were on their way to becoming heroes.
forgot his conviction that "all of the money in the Count von Luckner, commander of the Germ~n
world. is hi the United States.'' Nor did ht;. ever lose raider "Sea Wolf" that sank a large tonnage of
sight of his belief that Americans would be search- Amerioan shipping during the war, led a procession
t._g far for so~e plac~ to invest their vast wealth. of German "heroes" into the United States. ·
This Schmitz policy was to be the cornerstone of Von' Luckner cashed in on a lecture tour, amusing
I. G. Farben's wodd-wide financial system. The Americans Who found it highly interesting and very 14 Feb 2017

heroic for von Luckner to have sunk so many Amer- These were the shock troops . sent to the United
ican ships without getting caught. Later the noble States by l!ermann Schmitz and .1\:rax Ilgner to pre--
Captai~ brought the identical raider to the United pare t:he w ay for Adolf Hitler and world conquest.
- States and made another fortune taking small boys
on Summer cruises. The audacity ol Hermann Schmitz and Max llgner
in sending their sons and brothers and nephews, a
The men of I. G. Farben avoided heroics. They Duisberg, an llgner and a secret service son of the
infiltered quie~ly, put up at the most expensive lux- I. G. Farben vice-chairman to the United States,
ury hotels and made themselves generally agreeable. knowing that they expected to be at war with
They apparently had unlimited funds and their money America some day, would appear foolhardy on the
' gave them entry into business and social circles. It face of it. ·
was not long before they had both feet in American But I. G. Farben had to take long chances. To
business and were on their way to recapturing I. G. effect the German dream of world domination, Amer-
Farben's lost holdings in the United States. i-can money had to be obtained and American en.ter-
No one will ever know the identities of all of the prise and competition had to be controlled. Only
Germans who caine and went in the United States men upon whom could be placed the greatest reliance
before 1933. America was too busy making money -the alter egos of the headquarters group in Berlin
~could be intrusted with so important a miSsion.
and spending it, reveling in the murders and rackets
of gangsters, defying Federal law by drinking boot- Nor was Max Ilgner uninformed about the Amer-
leg gin, and otherwise holding high carnival. ican character. Democracies have that habit--
strange to Nazi eyes--of regarding the law as sacred,
However, the key men of I. G. Farben are known. something to be observed and obeyed. The United
They were the shock troops of Hermann Schmitz, the States was particularly vulnerable in this respect.
ablest men in his organization, and the meri upon Ilgner's evaluation of the United States was to
whom he knew he could depend in any extremity. prove correct. When war camE!, none of his men-
All of them were to become American citizens: despite their close ties with the creators of total war
_First in line was Walther H . Duisberg, son of the in Nazi Germany-were to be touched for a long
old Karl Duisberg and brother of Karl Ludwig Duis- period of time--and then to be merely slapped on
berg-, a present-day board member of I. G. Farben. the WTi~~. ·
Before Walther left Germany, his fa.ther gave him a The Farben contingent's first undertaking in the
little paternal instruction. He said: "You must fol- United ·States, therefore, was to be assured that
low my policy-keep out of .politics and always show everything done was accord-ing to the Federal and
an· appearance of loyalty to your adopted country. State laws. This requrred at the outset the employ-
Herman Schmitz's brother, Dietrich, will be head of menJ; of the ablest lawyers available in the key cen-
our affairs over there, but you must be the brains." ters of the country- New York, Washington, Chicago;
Thus it was that Walter Duisberg became vice presi- San Francisco and elsewhere.
dent and treasurer of I. G. Farben's new company The most prominent law finn retained-the No. 1
.in the U.S.A. while Dietrich A . Schmitz got his first legal adviser to Farben in the United State.!r-was
place as President. Next was Wilhelm vom Hath- Breed, Abbott and Morgan, of New York, which was
and finally there was Rudolph Ilgner, the brother of first among law firms .paid huge r~ainers over a
Max Ilgner and nephew of Herman and Dietrich period of years.
Schmitz. Hugh S. Williamson, a member of Breed, Abbott
These were the field commanders sent to the and Morgan, was later to become a prominent offi-
United St!!tes by I. G. Farben to open the offensive cial in the I. G. Farben's principal U. S. subsidiary.
in the Western Hemisphere; others followed. During He mad-e one Qr more trips to Europe after the out-
the years before Hitler they were to station agents break of war to confer regarding Farben matters.
in every nation in the Americas, including Canada. I . G. Farben's first busin~ss move in the United
They Were to recapture commercial markets in North States was quietly to acquire 50 -percent of the stock
and South America-whatever the means, they were of the GrasseUi Dye~-tuft' Corporation, the American
to make I. G. Farbim predominant in the chemical company that had taken over I. G ~ Farben patents
industry in the Western World. from Mr. Francis P . Garvan, the Federal Alien
Property Custodian.
They ·were to or-ganize and finance propaganda
groups in all of the AmeriCan nations, stir up and The old saw about "from little acorns, big oaks
direct local forces, influence statesmen and keep grow" was neyer better illustrated than in the Gras-
Max Ilgner infor med at all times at his headquarters selli transaction. In no time at all, Farben had
-"Buero L G., Berlin NW7." complete ownership of Grasselli.
Grasselli by intricate and involved corporative
They were to become American citizens and regis- procedure--beyond the ken of the average person-
ter I. G. Farben patents in their names. They were later became the American I. G. Chemical Corpora-
tO work closely...,-but very surreptitiously-with Ger- tion, the Farben company in the United States . . Still
man diplomatic and consular agents. They were to later American I. G., by the same hidden procedure,
use stooges to do their bidding in American politics became the General Aniline and Film Corporation,
and political controversies. Above all they were to about which there is much more to be said.
get American money back to Germany to I. G. Farben. In this initial phase of the offensive, Far-ben's next 14 Feb 2017

thrust was at the American Bayer Company, which 3. The German Bayer (Fal'lben) wa8 to get 75 per
had acquired the German Bayer .patents from the cent of all net profits.
Alien Property Custodian. ·
It might be supposed that I. G. Farben had put a
· As in the transformation of the lesser Grasselli gun at the heads of American business men to get
firm to the vast General Aniline and Film Corpora- such an agreement. But, that wasn't necessary. Thill
tion, American Bayer was forced through a similar was during an era of good feeling for the misled
corporative wringer, It emerged as an I. G. Farben Germans who were trying to establish themselves in
unit in the Sterling Products, Inc. a world safe for democracy.
American Bayer during World War I had .built up More important was Farben's cunning trick of
an important export trade in pharmaceuticals in withholding essential information in patents filed at
· Latin-America, the Far East, Canada and other parts Washington. The experience of American chemists in
. of the British Empire, and, of course, throughout the trying to make Sa1varsan-which poisoned American
United States~ soldiers in World War I-had been enlightening. They
· encounter~ similar difficul~i~ in trying to ~se ma¥y
Thus, Duisberg, Schmitz, llgner, and vom Rath, of other German ·patents acqwred from the Alien Prop-
· the United States, could report in 1925 to DuiSberg, erty Custodian. Perhaps, in time, American research
Schmitz, Ilgner and Vom Rath in Berlin that I. G. would have plumbed the German secrets.
· Farben now had a huge dye finn in the process of
construdion to be known as General Aniline and During the money mad twenties, however; there
Film Corporation. And that .Farben had a toe-hold in was no time to be lost. American business was· will-
pharmaceuticals iri America to be known as Sterling ing to deal with ,I. · G. Farben in return for licenses
Products , Inc. to use Farben ·.p rocesses. The loss of Latin-America
at the time seemed unhriportan.t. ·
Old Karl Duisberg is said to have been truly aston-
ished a.t the rapi,dity with which this was accom- I. G. Farben, of course, pointed out that only Far-
plished. He could scarcely believe the terms of the ben men lrnew the processes. They must be calleJI
contract forced on the American Bayer Company as in from Germany and employed in America-where
early as 1923-only five years after the war! they were to become American citizens and later key
men in the most vital of war industry plants.
'l'he contract completely restored I. G. Farben's
pharmaceutical markets throughout Latin-America. Thus even before .J925, Farben was re-established
_Three clauses ~ the agreement restored these in the United States-safe and secure as though
markets. there had never been a war. The first funds from
plutocratic America were flowing steadily to I. G.
1. The American Bayer Company (Sterling Prod-
Farben via the I. G. Chemie pipeline in Switzerland.
ucts) was to supply aspirin in Latin-America for sale
Germany never loses!
through the German Bayer (I. 'G . Farben) agencies.
2. The Gem1an Bayer was to supply these pharma- However, this was only a ;b eginning. Greedy I. G.
ceuticals i£ it could do it cheaper than the American Farben wanted a share in the United States and
firm. (Of course, it could because a primary Farben Canadian markets as well as Latin-America! This
policy was to undersell, or "dump,". to regain :mar- required much ·more adroitness and was to take
kets.) a longer time. Bu~ it was done! 14 Feb 2017


The crafty Germans made "friends" of Edsel Ford
and Standard Oil in the pre-Hitler years - while
lesser industrial giants . learned a costly lesson in


LD KARL DUISBERG was a trifle apprehen- also absorbed much of the heavy chemicals and
0 sive about the reception his expeditionary
, force might encounter in the United States
other products of DuPont and Allied Chemical.
American business interests were perfectly willing
after the First World War. He counseled patience to avoid a mutually ruinous commercial war with
and warned against direct action. Methods that the Germans. Following sound business practice, it
might be successful in Europe would never do in was felt there was room for all and production effi-
America. ciency would determine the eventual markets of
the various competitors.
Duisberg needn't have worried. Hermann
Schmitz and Max Ilgner had considered the United However. this didn't fit the I. G. Farben book at
States problem very carefully. , all. Before 1930, I. G. Farben was treacherously
They both knew that the price-cutting, dumping disregarding. the tacit agreement with the American
tactics that could be used in Europe, Latin America, and British firms. Hermann Schmitz was dumping
and the Far East, might prove disastrous in the and underselling everywhere outside of the United
United States. States.
Hermann Schmitz had a healthy respect for the Schmitz opened his campaign against the United
industrial titans of America. Even the powerful States iD. the export field in the Far East. It will
German dye trust could not afford to precipitate a be recalled old Fritz Haber went to Tokio in 1924
prke war with these powerful corporations. and initiated an agreement with the Japs. He left
The Du Pont Corporation and Allied Chemical- the negotiatiom in the hands of the · German Anl-
along with the British Imperial Chemical organiza- bassador-Dr. Sol£.
tion-were the only competitors strong enough to Following Haber, German technicians, students
seriously challenge I . G. Farben's campaign for and tourists descended on Japan en masse. The-.1
world monopoly. were accorded a hearty welcome. As old Fritz Ha-
Hermann Schmitz was determined to avoid that ber had reported, the J aps were eager and anxjous
challenge. A veteran wardheel politician long ago for German help.
decided that-"if you can't Hck 'em, join 'em." And In .1928, the Japanese government signed a formal
Imperial Rome on its way to world conquest pm agreement with I. G; Farben under which Farben
sued a policy of "Divide and Rule.'' was to tak~ over the Japanese cheinical industry and
This age old -principle of notorious aggressors was train the Japanese in the manufacture of explosives,
equally applicable to Farben's position in the Unitea synthetics, light metals, and other war and civil
States during the years before the outbreak of materiel. Poison gas was included in this agree-
World War II. ment and, since June 1940, the Sumitomo Chemical
Co., plant at Uiihima, Ehime Prefecture, have been
Schmitz had two obJectives In his · -offensive . working on the latest types of poison gases, under
against America. The first was against the exports a German chief chemist loaned by I. G. Farben.
of DuPont and Allied Chemical in foreign markets. Thus, here again, I. G. Farben prepares the deadl7.:
The second was a share in the United States market weapons that Japan, in the last desperate stages of
itself. its war against the United Nations, may use to kill
These called for a "gentlemen's agreement" with American boys.
Du Pont. I. G. Farben had much to offer tP,e Amer- As a gesture of amity and partnership, old Fritz
ican firms in an exchange of patents and information. Haber, before leaving Japan, presented the Jap-
There w~s also ·a tacit undel'Sftanding on a division anese Minister of Education with a highly valuable
·oi markets in other parts of the world. chemical library.
Generally speaking, the idea of I. G. Farben was At the same time, I. G. Farben and Japan signed
to reserve to itself the export of the more expensive an agreement in regard to synthetic nitrogen. The
Alizarine and Indanthrene dyes, at the same time, Japs were not doing so well trying to use confis-
however, getting a large share in the bulk of the cated German patents. They were perf~ctly willing
.· cheaper Aniline dyes. The United States market to let the Germans take over-for a consideration. 14 Feb 2017

The agreement provided for the German import of dustrie" old Duisberog was the industrial czar of
pitJ."ogen and the payment of a license fee to the the Germans. In a public statement, Duisberg
Japanese super-trusts of Mitsui and Mitsubishi, who pointed out that Ford cars were mostly built by Ger-
h.a d acquired tbe German patents from the Jap gov- man workers and with ~erman materials. No more
ernment. · was heard on the subject.
Almost immediately-in concert with the Japs- In America, Edsel Ford became a member of the
:r, G. Farben was under-selling and dumping in Board of Directors of the General Aniline' and Film
China and other parts of the vast Far Eastern mar- Corporation---Farben's major unit in the United
ket. DuPont, Allied and Imperial Chemicals took States.
a real licking in the Orient.
H enry Ford has long been distinguished for his
This nascence of the subsequent Axis was to bear interest in the production of synthetics--the use of
fruit only three years later, when the Japs trained soybeans and other farm products for making dur-
and supplied by Farben, moved in on Manchukuo able goods. During the depression of the early
and launched the age of ruthless aggression . Man- thirties, when farm products were a glut on the mar-
chukuo was the first step in carrying out the doc- ket, Ford was hailed as the future saviour of the
trines of German Professor General Haushofer in American farmer .
his "Geo~politik of the Pacifk"-the Bible of the
There is no direct evidence on the subject but it
Japanese war machine in the creation of a "Greate:r is reasonable to suppose that a "g,entlemen's agree-
ment" for the exchange of information in connection
The seizure of foreign markets, however, was with syn', hetics was a logical development in the
comparatively simple in contrast to the penetration close relations between the :Ford .Motor Company
of the United States market; because despite the and. I. G . Farben.
"gentlemen's agreements," American firms were In any event---Fritz K,uhn, the notorious lecher,
not to be pushed around in their own back yard. who headed the Nazi Bund in the United States be-
Hermann Schmi~z needed other and .more powe'r- fore the war, was first employed in America as a
ful allies . · The Farben expeditionary force had ef- ch emist in the Ford Motor plant. llis subsequent
ficiently accomplished preliminary work . The career as a bullying braggart1 finally sent to jail for
agreements with Sterling Products and American grand larceny, is well-known. Kuhn was convicted
Bayer for control of the Latin-American markets of embezzling Bund funds. He had become an
were a high point in this phase. American citizen and, although he hac;i presided at
huge mass-meetings denouncing democracy and
Rudolph llgner, Wilhelm vom Rath, W; H. Duis- "heiling" Hitler, he was never bothered by the
berg. and Dietrich A . Schmitz, established confi· American authorities because of his subve.r sive ac·
dence in American business and social circles. They tivLies.
were on their ~ay to becoming American citizens.
What connection this close association of Ford
American investors and business organizations with Farben had with Hitler's presentation of a .
found the I. G. Farben men ever so helpful in advis- Nazi medal to Henry Ford is not known; nor what
ing them and guiding them in American invest- connec ~ ion it may have had with Ford's refusal
ments that poured into Germany during the life of early in World War II to m anufacture airplane mo-
the Dawes Plan and the Young Plan·. tors for the British.
Americans could only in courtesy reciprocate this · But even more to be feared in the export field, as
decent treatment and I. G. Farben was soon receiv- well as in the United States, was the powerful
ing favors and ·help from powerful American inter-
Standard Oil Company, of New Jersey. Above all
ests. Hermann Schmitz didn't want to arouse the ire of
Chief among them-Herma_nn Schmitz always Standard Oil.
had an eye to the main chance-were the Ford .Mo- . Early in the game, I. G . ·Farben's agents ap-
tor Company and the Standard Oil Company of proached S tandard Oil to discuss the hydrogena-
.New Jersey. · · tion of coal-the process for making synthetic oil
I. G. Farben gained Henry Ford's confidence by and gas. Schmitz was anxious for an understanding
taking over a substantial share of stock in the Ford with the largest natural oil company in the world.
plant at Cologne, Germany. Edsel Ford recipro- The first thing done was the organization of an-
cated by taking out shares In the I. G. Far ben. or- other of t.h e of Farben coroorations scat-
. ganization in the Uni ~ed States, i. e ., General Aniline tered through the world. This one was the Stand-
and Film Corp. ard I. G . Company, an American finn controlled
Farben protected Ford in Gennany. Ford helped jointly by I. G. Farben ahd Standard Oil. It ac-
Farben in . the United States. When the Ger- quired alii. G . Farben paterits in the United States
man automobile industry attacked the Ford factory for the manufacture of synthetic gasoline. Thus
in Germany, old Karl Duisberg leaped to the rescue. there was litae likelihood that synthetics woul<t
The Germans protested against Ford's "foreign in- compete with natural oil as long as Standard wells
. filtration." Old Karl shut them up curtly. flowed in America .
As head of the "Reichsverband der Deutschen In- However, Schmitz was willing to go a step fur- 14 Feb 2017

ther. This was before the Nazis enabled Farben to in I. G. Farben and son of the late vice-chairman of.
go in for mass production of synthetic oil in Ger- Farben, secretary, vice~president and director of
many. Schmitz let Standard in on a world monopoly General Aniline .
.. of the hydrogenation process. Hans Aickelin, a veteran I. G , Farben man, also
Another corporation was organized. It was called a vice-president of General Aniline.
the International Hydrogenation Patents Company, Ernst Schwartz, director and vice-president.
Ltd. This company acquired synthetic oil patents Karl Milde, assistant secretary and treasurer . . 1

for the rest of the world, except the .United States
Rudolph Hutz, who was arrested for espionage on ·
and Germany. Farben held the German monopoly.
August 21st, 1918, and interned for the duration of
Standard got the American.
World War I.
The ~nternational was owned jointly by Farben
Hutz was 'arrested by American secret service men
and Standard. Later, competitive pressure and
at his summer home in Meredith, N. H.
"other considerations" brought Royal Duteh Shell
and Imperial Chemicals-the British interests-into He was charged with attempting "to deliver to
International Hydrogenation. the German government or its representatives cer-
taiti documents, writings, code · books, photographs,
Significantly, this -all-powerful corporation-hold-
blueprints, models, plans, maps, instruments, aP-
ing a world monopoly on synthetic oil production
pliances and information relating to United States ·
_and embracing four of the greatest corporations in
national defense ."
the world--was organized in the tiny · principality
of Lichtenstein. Its official address is International In Germany, he would have been shot. In Ameri-
Hydrogenation Patents, Vaduz, Lichtenstein. ca, he· was interned. He became a general manager,
vice-president and a director and key man in Gen-
The capital at Vaduz has a population of 1',710.
eral Aniline and an American citizen. .
Lichtenstein covers an area of 65 square miles. . Bm
.the tiny principality nort)least of Switzerland was There were many others who came and werit du.r-
neutral. Farben was to see that Hitler kept it neu- ing the years, but these were the Farben principals
tral and thuo:; escape belligerent ·interference with destined to operate in America after World War n
International Hydrogenation~ broke out.
Lichtenstein was even more obscure and free from Probably the most powerful General Aniline di-
foreign interference than Switzerland-where I. G. rector was Felix Iselin. But Iselin never attended
Chemie was to handle Farben financial interests and a directors' meeting. As a matter of fact, he wasn't
credits during time of war. Lichtenstein might be in America. Iselin was the head of I. G. Farben's
called the Delaware of Europe. It has very liberal Swiss holding 'company~the I. G. Chemie, through
incorporation laws and virtually no regulation. It which funds were drafted from the United States
is doubtful if Lichtenstein authorities ever heard for transmission to ..Nazi Germany.
of anti-trust laws. There are no trusts in Lichten- (Small wonder that Hitler's ·armies spared little
stein and the tiny country prospers from incorpora- Switzerland when all Europe was being overrun!)
tion fees and corporation taxes--no questions asked. Besides Edsel Ford and Walter .C. Teagle, there
After this understanding had been reached, Stand- were from time to time other prominent Americans
ard Oil showed its appreciation by placing its own on the General Aniline board although 98 per cent
board chairman, Walter C. Teagle, on the board of ·of the concern's stock was owned by the Swiss I. _G . ·
the General Aniline and Film CGrPoration - the Chemie and the two Dutch holding companies--both
monster concern that no·w did most of Farben's of which countries . were expected to be neutrals in
manufacturing in the United States. World War II. -
With Edsel Ford and Walter C. Teagle on its board General Aniline had many subsidiaries in America.
General Aniline's position was well-nigh unassail- The most sinister of these--at least the most mys-
able. These eminent industrialists served as a per- terious-was ·the Chemnyco Company headed by
Rudolph Ilgner, brother of Max Ilgner, and the
feet screen for the more shadoWY activities of Her-
mann Schmitz .and Max Ilgner in America. nephew of Hermann and Dietrich Schinitz:
Chemnyco was organized to handle I. G. Farben's
Thus, General Aniline prospered and flourished patent licenses in the Western Hemisphere. It rep-
with the approval of the American business world resented a tremendous amount of capital and .was
generally. Hundreds of I. G. Farben technicians charged with the transmission of huge royalty pay-
and executives came to America and became citi- ments from the Americas to I. G. Farben in Berlin-
zens long before World War II wa~; launched . . by way of Felix Iselin and I. G. Chemie in Switzer-
Prominent among them were:- land. It was through Chemnyco also that the delil
Dietrich A. Schmitz, brother of Hermann Schmitz · was made with Standard Oil.
·and uncle of Max Ilgner, who became president of Then, there was the General Dyestuff Corpora- .
General Aniline. tion which had a "perpetual" contract for the mar-
Walther H. Duisberg, son of old Karl Duisberg, keting of all General Aniline dyes and chemicals in
who was the vice president and treasurer, and a the United · States. General Dyestuff was owned bl'
director. two men-W. H. Duisberg and Ernst Halbach. Like
Wilhelm vom Rath, one of the la~gest stockholders Duisberg, Halbach was a veteran I. G. Farben man, 14 Feb 2017

trusted completely by Farben's High Command- his money and whom he represented.
Hermann Schmitz, Max Ilgner, and Karl Krauch. Ivy Lee testified frankly. It was strictly a business
General Dyestuff was incorporated for only a few proposition with him. Mter the Nazis came to
million dollars. It haridled countless millions col- power, Hitler's persecution of the Jews and the purge
lected in the United States and forwarded to I . G. of June, 1934, had set in motion a nation-wide boy-
Farben in Berlin. cott of German products in the United States.
Also, there was the Advance Solvents and Chem- As the man who made John D. Rockefeller popular
ical Corporation, handling Farben imports into in his old age (Lee is credited with the "giving away
the Americas, and others too numerous to mention. of dimes" idea), Lee was recommended to I. G.
Only Max Ilgner and Hermann Schmitz at "Buero Farben as the man to organize a campaign to coun-
I. G., Berlin NW7," were believed to know all of the teract· the anti-Nazi boycott. So Lee went on the
corporate rami:fi~ations of I. G. Farben in Ame.rica. payroll of I. G. Far!ben at $25,000, per year, plus
In the Sterling Products Incorporated, -American expens-es.
owned but then subject to Farben influence--were As part of his duties, Lee went to Germany where
other subsidiaries, including American Bayer·. the he had personal talks with Goebbels, the Nazi. Prop-
Winthrop Chemical Company and others. The lead- aganda Minister, and other Nazi big shots. Lee was
ing men in Sterling were W. E. Weiss , A. H. Diebold, introduced to Goebbels by Max Ilgner, the head of
Earl McClintock, all native Americans. Farben's world-wide intelligence service-(Buero,
I G., Berlin, NW7.)
The Winthrop company was one of the major
pharmaceutical manufa«:_:turers in the Western Hem- Upon his return, Lee planned an extensive radio
isphere. I. G. Farben forced Winthrop into an even and press campaign to overcome American anti-
more subservient contract for the ::;ale of pharma- pathy to things Nazi. He spent millions for the
ceuticals in America than the contract to which Nazi government' and I. G. Farben with radio sta-
American Bayer had to submit. Eventually, I. G. tions, newspapers and other . publicity mediums.
Farben acquired 50 per cent of Winthrop's shares All details were worked out "directly with I. G.
anp became an outright eo-proprietor with Sterling. Farben through Max llgner in Berlin. Lee was paid
. Shortly afterwards, W. E. Weiss, chairman of the through General Aniline in the United States and
board of Sterling, became a. director in Farben's through the Farben holding company-1. G. Chemie ,,
General Aniline organization. , -in Switzerland.
General Aniline had a vast dye and chemical There was some popular indignation over these
plant at Linden, N. J., another equally large dye revelations but it died down quickly. Mter all Amer-
plant &t Rensselaer, N. Y., and a great film factory icans were more concerned with unemployment, the
at Binghamton, N. Y., and another at Johnson City, New Deal and the depression in 1934. The Congres-
sional investigation of Ivy Lee attracted little intereSt.
N. Y. Nearly 10,000 employes were on the General
Aniline payroll. · No one welcomed the American lack of interest
more than I. G. Farhen's field commanders in the
It's annual business was in excess of $40,000,000
United States. Now that the Nazis were in power
from the United States market alone. General Ani-
Max Ilgner's intelligence service gained an impor-
line was second only to DuPont and Allied Chem-
tance undreamed of before and the Farben organiza-
icals in the American market. It. accounted for more tion was to assume much more sinister significance.
than one-fourth of American chemical production. It was time in 1939 to tie the Farben organization
· It was second in film manufacture. in Latin-America and the Orient more closely with
Its close .associate and co..opartner, Sterling Prod:- the western headquarters in the United States. Her-
ucts, was well-nigh supreme in the pharmaceutical mann Schmitz had the counter-types to Dietrich
fields and I. G. Farben was in intimate relationship Schmitz, W. H. Duisberg, Rudolph Ilgner and \fil-
with Standard Oil, the Ford Motor Company, and helm vom Rath, of the United States, located through-
other giants of American business. out the nations below the Rio Grande.
The only mild alarm to annoy I. G. Farben in the Before September 1, 1939, these far flung agents
years before World War II was a Congressional in- and spies were to be welded into one hemispherical
vestigation of the late Ivy Lee, the noted American organization for the double Farben purpose of ma1n-
press agent and publicist, in 1934. Congress sus- taining a hold on markets during the coming war and
pected Ivy Lee of being a propagandist and a lobby- to further Adolf Hitler's designs for a conquest of
ist. They wanted to know where he was getting the world. 14 Feb 2017


Below the Rio Grande there was little animosity
toward Germany. So Farben agents carefully
studied the South American way-and easily sewed
up the business of all the New World republics;


ERMANN SCHMITZ and Max Ilg ner didn't States eventually. The funds for the en,tire Western

H anticipate any trouble in the Latin na tions of
the Americas after the first World War. Ilg-
ner's information was that Latin America h ad no
Hemisphere were to be provided from North Amer.i ca.
Hermann Schmitz and Max Ilgner began their
campaign in South America with a ruthless thrust at
particular enmity for things Germanic. Chile's nitrate trade . I. G. Farben had no fear of a
Moreover the German Bayer name was a household dominant corp oration that might be able to put up
word throughout Latin-America. Before the war a fight. ·
German pharmaceutical and chemical firms we re It was. .true that most of Chile's governme~ rev-
predominant all through South and Central America. enue came from nitrate exports, Her national pros-
None of the Latin-Amer ican nations had been ac- perity was dependent on the nitra.te trade.
tively at war with Germany. Some de clared war It is worthy of note that the Guggenheim interests
but more for prestige reasons in the United States of North America spent a fortune trying to bols.ter
than anything else. Ilgner was assured no one in Chilean nitrates against Farben's piratical raid. The
Latin-America was sore at Germany. Guggenheims were not interested in nitrates them-
On the other nand ther e were large ·colonies of selves. As copper kings, they were the largest pro-
Germans in Argentina, Brazil and Chile . Smaller ducers of copper in Chile.
C(1lonies w ere located in . all other Latin-American Chilean economists date much of their political, as
countries. well as their economic woes, from the beginning of
Mexico was still in ·the throes of the incipient r evo- Farben's offensive against natural nitrates. The
lution and still hostile to the United St ates. In many series of rev,olutions and social discontent that marked
other countries south of the Rio Grande ther e was a the years bet ween World War I and World War ll
scarcely veiled feeling of r esentment against North are mainly attributed to this organized de~ction
American imperialism . Nor was this hostility as- of Chile's major. industry.
suaged during the boom period of the twenties when Chile's experience was enlightening to other Latin-
American Marines went into Nicaragua and Haiti. American nations. None cared to test the ruthless
The era of Good Neighborliness h ad not begun yet . power of I. G. Farben.
I. G. Farben was thus assured of a market among And, as in the United States, I. G . Farben men
German colonials at the outset. It remained only to immediately announced their intention of becoming
recapture mark€\tS taken over by American Bayer citizens. They married into Latin-American fam-
and other North American firms during the war. ilies. They did business ·favors for Latin-American
The record has revealed 'that I. G. Farben's agents business men. And they were amply supplied with
in the United State5 had little trouble in that r espect. funds.
By trades, deals and agreem ents, Fanben was shortly The chief of the Farben expeditionary force in
in control of all Latin-American pharmaceutical Latin-America was Alfredo Moll, Director of Anil-
markets. W~thin a few y ears it was predpminant in inas Alemanas, the I. G. Farben subsidiary 'in Buenos
the heavy chemical and dye markets. Aires. Alfredo Moll .has direct 's upervision over . all
It was unnecessary, ther efore, for Hermann Schmitz a;ther Farben agent~'in Latin America. Significantly,
to send the same type of agent to Latin-America Moll's sist er is married to a noted Ar-gentine financial
as brother Dietrich, Ilgn er, Duisberg, and Vom ex;pert and director of . the Banco Central de la .Ax-
Rath who we re in the United States. Latin-America gentina.
demanded cunning and deception rather than suav-
Moll was, of course, a naturalized citizen of Argen-
ity, social grace and business acumen. South Amer-
. lea agents of Farben were generally of a lower order tina. He had an Argentine passport and received
of intelligence and ability than the men in the the preferential treatment accorded citizens of the
Latin American countries in tours of the southern
United States.
continent. Moll has never concealed his pro-Nazi
Besides Farben in Latin-America was. tcr become sentiments and was known as one of the mos(prqmi-
subservient to the Farben organization in the United nent followers of Hitler on the southern continent. 14 Feb 2017

I. G. Farben was represented in South American Company, was one of the leading Nazis of Mexico
countries by a chemical, a p'hntographic and a phar- City and his assistant, a man named Dieriex, was
maceutical branch. The chemicai companies were charged with being a Nazi espionage agent. .AD.-
genera1ly known as ANILINAS ALEMANAS. The othet Farben man, J. M. Fischer, Director of Anilinas
photographic companies are known under the name Alemanas, was the head Nazi propagandist in Mexico.
of AGFA. The 'pharmaceutical companies centered
In Chile two officials of the ' Ger~an Bayer Com-
around the German BAYER name; a name familiar
pany-Walter Bergner Kirsch and Werner Scherr-
to Latin-Americans for years past.
were arrested on charges of pro-Nazi subversive ac-
As a matter of fact, many Latin Americans were tivities. The manager of the Bayer company in Chile
never aware that American Bayer supplied them was arrested also but later paroled without charges
with pharmaceuticals during World War I. Bayer being prosecuted. ·
was Bayer to the average South American and Bayer
And thus it went through'o ut Latin-America. In
meant Germany to him. The .F arben organization
every country Far-b en agents served as Nazi spies
made the most of that.
and propagandists. There was no particular need,
One of Alfredo Moll's ablest lieutenants was a man .in the days leading up to the rapprochement be-
named Arnold Mage,rie, Director of the Bayer Com- tween the United States and Latin America ior I. G.
pany in Venezuela. Magerie was also "Landesgrup- Farben to be circumspect on the southern continent.
penleiter"~the Regional Head--of the Nazi Party in North American firms had turned Latin American
Venezuela. At the same time, he was "S.tuetzpunkt- markets over to Farben. There w as nothing to fight
leiter"-Point of Support Leader---'Of the Nazi Party about.
for all of the West Indies. He was in constant touch
Thus long before Hitler, Max Ilgner and Hermann
with other Nazi regional heads and German agents
Schmitz were concentrating on political penetration
through Alfredo Moll and served as a pipeline be-
of South America, satisfied with I. G. Farlben 's domi-
tween Moll and Farben agents in Central America
nation of the industrial markets.
and Mexico.
One of the biggest breaks for I. G. Farben in Latin-
Other key Farben men in Latin America included America was Max Ilgner's foresight in going to the
Erwin Grosser head of the German Bayer Company rescue of Ramon Serrano Suner on the eve oi his
in San J ose, Costa Rica. Grosser was the Nazi "Orts- intended execution by the Loyalists in the Spanish
gruppenleiter"-the Local Leader-in San Jose. He Civil War.
received instructions directly from Otto Reinebeck,
the Nazi Minister for Central America, in Guate- Thus, when Serrano Suner came to power, he was
mala. Grosser served as a Nazi courier to other approached by Farben men in Madrid, and I. G.
agents scatter ed throughout the countries just north Farben furnished finances for Falange propaganda
of the Panama Cana_l. throughout Latin America. Conservative Latin Amer-
icans of Spanish birth and descent we.r e susceptible
A prominent Farben agent in Mexico City was to Falange propaganda which they would have re-
Enrique Paredes, who was closely associated with sented from Farben or Nazi agents. ·
Grosser in Costa Rica. Paredes received coded mes- I{gner was satisfied. The Western Hemisphere was
sages ·and subscriptions from Nazi members from all under control. So far as I. G. Farben was concerned,
parts of Latin America. in North and South America, Hitler could start
Ludwig Schreiber, manager of the German Bayer World War II whenever he was ready. 14 Feb 2017


Millions lor espionage, but not one cent lor

tors . . . That was Hitler's policy toward America.
Puzzled F B. /. investigators for a time lost their way
in the maze of Farben financial empire.


. HE -_M OST remarkable accomplishments of I. G. with amazing speed in both i:ostances.
T FarbEm in the promotion of World War II was the
complete anonymity with which Max llgner and
Hermann Schmitz surrounded German subversive
Max Tigner's assignment was to convince Amer-
icans that Germany was not to blame for the. war.
His agents-who were the identical. agents of Her-
activities in North and South America. mann Schmitz-were to establish confidence and pre-
To a certain extent, llgner and Schmitz adhered to pare the way_ for the real espionage agents who were
old Karl Duisberg's JJdmonition to be patient and to follow at the appointed time. ·
avoid direct action. But progress was made easy for By 1933, Max Ilgner had the groundwork all laid.
I. G. Farben in its offensive against the world by the There was a minor resentment against the
normal decencies of the democracies. during their early career. But depression and the
e:x;penditure of millions of dollars o;:ver the radio and
However, in all of the confused allegations and in the newspapers under the able direction of Ivy Lee
charges against organizations and individuals in the . soon overcame that.
United States prior to World War II, Ilgner and
Schmitz successfUlly kept the name of I. G. Farben, After 1934, "Buero I. G;, Berlin, NW 7," sent mor ~
General Aniline and Film Cori>oration, and all other and more agents to the United Stat-es in the guise of
Fal'ben organizations, out of investigations and out salesmen, technicians and scientists. Fritz Kuhn, the
of the public prints. ex-chemist of the Ford Motor Company, the head of
the Nazi Bund in the United States, was the most
Except for the minor flurry, when Congress inves notorious in North America.
tigated I:vy Lee, the .publicist-and got .nowhere--
!. G . Farben ·was never under suspicion in the United It is a toss up as to who was the most notorious
States. E:ven more so, I. G . Farben avoided investi- of Max Ilgner's intelligence agents in Latin Amer-
gation in South America. There wasn't so much as ica. Gustave von Maree, leader of the N azls in
an Ivy Lee flurry to annoy Max Ilgner south of Chile? The men who tried to foment insurrection
the Rio Grande. in Bolivia? The conS!piratQrs in the Missicines prov-
ince of Argentina? The Bundsmen o:f the Rio
This apparent immunity encouraged- the arrogant, Grande Do Sui in Brazil? The Na:z;i organization
conceited master of "Buero I. G., Berlin, NW7." The that was" pr'epared to take over Uruguay and make
astounding success of his brother Rudolph Ilgner and it a German naval base in the Western Hemisphere?
his associates in the United States and the compa- The pro-Axis government in Panama?
rable success of Alfredo Moll and his satellites in
Latin .America developed a Napoleonic complex in Max Ilgner had detailed reports on the activities
Ma.X Ilgner. He began to believe he couldn't make of everyone of these individualt~ in North and South
a mistake. As a fact, he didn't make many. U America throughout the years before World War li.
"Buero I. G., Berlin, NW7" collapses in the Western His reports, as have been recorded, went to the Nazi
Hemisphere, it will be ·b ecause of conditions beyond Foreign organization,' t{l the Economic Bureau of the
the control of Max llgner. War Ministry, to the Foreign Commerce Department,
to the German Foreign office, and, most important,
.In the third year of the war-more than two to Adolf Hitkr's private office.
months after Pearl Harbor-Max Ilgner's brother,
Yet' never so much as a breath of suspicion was
Rudolph. was still a respected American citiz€:n,
attached to I. G. Farben or any of its minions. The
quietly living on his farm in New Jersey. Yet Ru-
democracies of the West were aware that huge sums
dolph llgner, as head of Chemnyco-coUeetors of
were being spent on Nazi propaganda arid for Nazi:
royalty payments in the Western Hemisphere for
prov'ocation' of disunity in the western nations in
I. G. Farben-was the main source for transmission pr-eparation for the German entry~wheth er it be
of funds to Axis agents in the Western Hemisphere. I. G. Farben in a ruthless commercial way or Adolf
.H ermann Schmitz's 'ob in the United States wu Hitler with his Panzer divisions and Hermann Goer-
to appease American Big Business. His secondary ing's Luftwaffe.
task was to recapture the Latin American markets Secret. Service· intelligence -men .were convinced .
from-·United States ·manufacturers. He succeeded that the Nazi embassies and consulates were not dis- 14 Feb 2017

tributing funds, For many years they were unable In the third year of the World War, there was an
to penetrate the corporate labyrinth of I. G. Farbeninkling, But there was still no proo:f. Patient Fed-
through which funds were distributed to all points eral investigators believed they had the answers.
in the hemisphere. When they were convinced, they They got nowhere in the courts. I. G. Farben had
couldn't get action against the offenders. been unbelievably circumspect and incredibly suc-
To this day, American intelligence operatives are cessful in establishing itself as an American enter-
not certain who were the mainsprings in Max . Ilg- . prise operated by "Americari citizens."
. ner's organlzation in the Americas. Nevertheless, it In Berlin, at "Buero I. G., Berlin, NW7," Max
is known that I. G. Farben subsidiaries everywhere Ilgner must have · laughed long and ioud at the will
acted ·as the paymasters and directors of the motley o' th.e wisp the authorities of the western democ-
swarm of cheap spies and the esoteric band of highly racies were chasing. Business was business. In a
skilled Nazi operatives that established themselves democratic country there was no e:x!cuse for inter-
in the Western Hemisphere long before World War II. fering with business unless criminal proof was forth.
When Captain Fritz. Wiedemann, Hitler's company coming. Max Ilgner's diabolical cleverness made
commander in World War I, came to the United that impossible.
States to take up his post a,s Nazi Consul General in Likewise in Latin America--Max Ilgner's organ-
the strategic post at San Francisco, I. G. Farben men ization functioned perfectly. It was never serious-
. -now American citizens-made him welcome. Wie- ly · tagged with subversive action although Farben
demann had a typically Farben personality. He was men were mu~h more blatant in the Latin nations
engaging and soft spoken. Ere long he was a sort of than they dared be in the United States.
society pet.
As a consequence, Max Ilgner's intelligence serv-
Likewise, when the Princess Stephanie Hohenlohe ice was able, after 1936, to coordinate the activities
arrived in the United States, she was introduced into of the Japanese.,-many of whom had been encour-
society by Farben men-now established and influ- aged by the Germans to migrate to Brazil, Bolivia
ential American citizens. Princess Stephanie was and other Latin-American countries-the Italians,
a self-admitted agent of Adolf Hitler . and once and other sympathizers throughout the western
bragged that she was responsible for th~ Cliveden world.
appeasement set of Great Britain. Berfore she could
do the same sort of thing in America, the F . B. I. Ilgner's inspection' trip through South America in
overtoo·k her. To save herself from deportation, 1936-and his many conferences with Farben agents
Princess Stephanie gave certain information to U. S. from the United States and Central America-was
federal agents. a final looksee.
Immediately thereafter, Wiroemann, Hans Boreh- I. G. Farben was predominant commercially tn
ers, the Nazi Consul General, in New York and all Latin America. Its espionage and propaganda or-
of the Axis consular officials in th¢ United States, ganization was functioning without hindrance.
were kicked out of Amer~ca. It was discovered but Funds flowed freely between North and South
. not disclosed that Fritz Wiedemann, the engaging America for Ilgner's purposes. Vaster funds flowed
personality, was Max Ilgner's head man on the' We~ from both continents to I. ·a. Chemie in Switzer-
.Coast, charged directly with getting instructions and land to finance Nazi preparations for World War Il .
funds into Mexico and South America-and also with The Japanese understood their role in coming
preparing the way for I. G. Farben shipments events and Ilgner's ag~nts were safely anonymous in
through Japan by way of Siberia to North and both North and South America. The Nazi wireless
South America when war came. The Gentian Re- a·g ency, the offi·c ial D. N. B., the German Informa-
public and Nazi Germany were always head over tion Service, the German Tourist Bureau, all were
heels in debt to the United States-both in public · l;rittlng their, stride.
and private debts. The Germans as a nation, or a:~ Among them they gave free Nazi inspired press
individuals, had no credit balance in the Americas. ·service to newspapers everywhere in Latin America
Yet no propagandist, no sUJbversive organization in
and in some localities in North America .. They fur·
existance ever had the funds that the Nazis spent in
nishe.d free copy for radio broadcasts and furnished
North and South America. Where did this huge
free ·radio programs in some Latin American cities.
fund originate?
All of this was supplemented by the advertising
Intelligence men originally looked with amaze-
on the radio and in newspapers paid for by I. G.
ment at the erratic Joe McWilliams, the pro-Nazi Farben companies. · Millions of dollars were spent
fanatic of the Yorkville section in New York City. advertising Bayer Aspirin, Cafiaspirina, Fenaspirina,
They didn't believe that the deluded following he Tonico Bayer and a dozen others. The names were
· attracted could support him in · the style in which he splashed on billboards, blazoned in newspapers,
lived. heralded tiresomely ~very day over radio programs.
They wondered where other agitators got their Tr1,1ly I. G . Farben was a benefactor of man~ind in
funds for anti-democratic propaganda; and William the Western Hemisphere!
Dudley Pelley., and Deatheridge, .and an odd dozen Few knew the relationship between I. G. Farben ·
fanatics , who always seemed to be well supplied and these popular brands · of pharmaceuticals in
with anti-democratic propaganda expenses. North · and South America. Few knew for that 14 Feb 2017

matter--outside of big busi'hess and financial cir- World V{ar II was to begin in the spring of 1940.
cles-of the existence of I. G . Farben, the largest It wasn't Max Ilgner's fault that Hitler started in
corporation in the wotld, with hundreds of sub- September, 1939.
sidiary corporate · ten tacles reaching out to destroy But, it didn't make any difference . Max llgner
free enterprise and dislocate n ational economic sta- and Hermann Schmitz were ready in the Western
bility. Hemisphere . They were ready in 1936. They were
even better prepared by September, 1939.
However, many a ne wspaper and many a radio * •
station below the Ri o Grande was aware that there Ring up the curtain and on with World War II!
would be no adver t ising revenue forthcoming from Watch I. G . Farben hold on to their commercial
this apparently bot ~omles s propaganda fund unless dominance in the W estern Hemisphere. Watch :.V\a~:
the "give-away" ,news dispatches· of the Nazis news Ilgner's espionage service operate without hindr at:ce.
agencies and the free inspired Nazi releases from · Far into the third year of World War II, I. G.
other soul"ces we1·e interspersed ·b etween · the paid" Farben's commercial supremacy continued to mount.
· for advertisements. The "State Within a State" . was running a large
part o£ the wor~d. Certainly, it was everything in
Max Ilgner planned carefully and he planned well . wartime Nazi Germany--except a ·soldier risking
He attained a remarkable success. In 1936, in South death on the field of battle.
America he told his Western Hemisphere aces to be I. G. Farbe n was all set to realize on the military
ready for World War II in the spring of 1940. Ma::ot victory of th!:' German War Machine-or win the
Ilgner didn 't anticipate the impatience of Adolf peace by another great offensive against democratic
Hitler . According to the German High Command, world markets .


They visited America
just a few years
ago to further the
German intrigues.
Dr. Karl Bosch, Jr.,
was carefully groomed
to succeed his father;
the poison gas

' . 14 Feb 2017


Finally Hitler marched. Concruered itations yielded
their oil, radium, chemicals, coal, textiles--and the
Farben octopus gorged on the richest loot in Europe.

HEREVER I. G. Farben agents have appeared 01. Freneh tr~sures in Paris, were petty larcenies

W 1n the guise o1. commercial traders, .war and
conquest have immediately followed.
Wherever the hordes of Hitler have carried their
in .eomrast to the indrurtrial and economic plundex
of I. G. Farben.
,Always cautious, however, H~rmann Schmitz and
scourge of blood and tears, 1n the first three years. of Max Dgner went throug'h the appearances Ot legal
total war the vultures o1. I. G. Fartben have followed proceedings in the acquisition of captured industries•. glut themselves on the richest spoils of the bat- The same old tortuous inter-corporate procedllre of
tlefields. peace-time--magnified a hundredfold in war-was
I. G. Farben already controlled chemical produc- supposed to conceal the fact that Farben's acquisi-
tloDt in Eur.o pe before World War II. But after the tions in occupied countries were bare faced robberies.
inmtary invasions--the second phase 01. Farben pro-
cedure--Hermann Schmitz sought complete domina- Schmitz always considered the possibility of a
tion. I. G. Farben was to be the uncontested czar, German defeat before it was all over. Thus, while
sharing nothing with anyone, except for a price. Hitler was stilt top-uog, Schmitz sought to give a
legalistic appearance to Farben's plundering and in
Farben agents and Fal'lben Fifth Columnists were some instances was willing to take :former enemiu
on band to greet the incoming conquerors--ready to into ihe Fari>en organization-if they were amenable
apply a uniform :formula devised by Hermann -to assure .a :6-iencl in court, a dummy to take over
Schmitz for taking over plants and properties of the "ownership'' .if Hitler was finally defeated.
vanquished foe.
First-The amalgamation of foreign industries with Farben interests wer e strongly entrenched in
those of the Reich, coupled with financial penetration Austria when Hitler marched in 1938. Farben, how-
and control. ever, proceeded to monopolize its cho,en fields com-
Second-The direction of Qrders and raw materials pletely immediately after the occupation.
exclusively to industries taken over by Farben.-thw Follo\vlng the Hermann Schmitt formula, . I. (J. •
depriving recalcitrant industrialists of all D)aterials Farben changed · the name of Anilin Chemie A. a.-
and orders. the Farben unit in Austria-to Donau-Chemie A. G.
Third-The conversion o1. seized industries to the Pressed by Ministers Krauch and B~k, the. Pulver-
use of ·s ynthetics and substitutes manufactured either fabrik-Skoda-Wetzler A. G.-Austria's larogest pow-
in Germany or under Farben patents in other Nazi der manufa<:turer-was turned over to I . G. Farberi
occupied coup.tries. outright. It had been owned by the Austrian gov-
These three Farben policies- were the omcial pol- ernment.
icies of the Nazi government in all other economic Schmitz's next move was to seize Wagenmann, .
respects. Their application e::X:plain~d ·the almost in- Seybel & Co., Vienna, a private concern and a large
stantaneous conversion of enemy industry into units manufacturer of heavy chemicals. This firm owned
for the German war production after the conquests. 50 percent of Sprengstoff-fabrik Blumau A. G.-next
I. G. Farben is the largest manufacturer of many to Farben's own Austrian plant the largest manufac-
synthetics and substitutes and the sole manufacturer turer of high explosives in Austria. With thiS plurider,
of the most importani. I. G. Farben forced its way to the same completely
Far.ben's own man-Kar.l Krauc.h-is Hitler's right- dominant position in Austria that it had long held
.hand man for chemical war production and Professor in Germany .
Beck-.:..his right-hand man for metal war production. Before Hitler defied the democracies after Munl~h
Thus through its monopoly of synthetics and the and marched into Czechoslovakia, I . G. Farben had
squeeze of Krauch and Beck's autocratic orders, I. G . stolen everything it wanted in Au$tria. The A~an
Farben took what it wanted. industry had been hitched to the J'arben~Nui war
Hennann Goering's loot from the ·Rothschild pal- production machine.
aces iR Austria in 1938, the plundering· in Czecho- Farben agents had also penetrated Czechoslovakia
slovakia, Poland, the Low Co~tries, and the pillage . before the Nazi occupation. I. G. Fal"ben already con- 14 Feb 2017

trolled the A. G. Dynamit Nobel, at Pressburg, the France et de Pays Bas. Important, also, were three
manufact&rers of high explosi~~~· metal ·concerns with large holdings in Belgium and
Immediately after the occupation A . G. Dynamit Spain; the Societe Miniere et Metallurgique de Pen-
NC>bel seized the holdings of the Societe Francaise naroya; the Compagnie Royale Asturienne des Mines;
des Petroles de Tchecoslovaquie in the Apollo- and the Mines et Fonderies de Zinc de la Vielle
Naptha-Handels A. G. of Prague. The latter com- Montagne Angleur.
pany in turn was the trading organization for the Powerful and astute French financiers were con-
Mineraloel-Raffinierei A . G., of Pressburg. cerned in these chemical and metal companies. I. G.
This corporate maze meant that I. G. Farben Farben started its plundering in France by getting
emerged with the ownership of oil wells in Goeding Kuhlmann's important subsidiary in Alsace -- the
and Lundenberg--stolen from their legitimate Czech- Societe des Produits Chimiques et Matieres Color-
oslovak and French owners. antes de Mulhouse-as an outright gift from Nazi
The a-cquisition of the most important oil fields in MiniSJter Beck. Thereupon the French IntereSts In
Czechoslovakia served to bolster the Deutsche Gaso- Kuhlmann took alarm and sought to protect them-
lin A . G ., the Farben subsidiary that took over gas- selves through Vichy.
oline distribution after Standard Oil and Royal Outch
Shell had been cleared out. Their efforts were hopeless from the outset. Far-
ben's man, the Economic Minister, issued the famous
To make a good thing better, the Deutsche Gaso- order of November 20, 1940, through the Nazi Mili-
lin seized Brueder Zirmund A . G., the tank distrib- tary Governor of France, requiring the appointment
utors for Czechoslovakia. Later Farben took over of a "special German delegate to supervise all French
the Credittil Minier, of Vienna, owners of large oil factories and industries."
interests in Rumania . Thus, even before actual war,
Farben-Nazi aggression had organized the beginning The "delegate" assigned to Kuhlmann was a mem-
of what Hermann Schmitz hoped would become a ber of I. G. Fal'iben's Berlin headquarters. Alll:looks
rival of Standard Oil and D.u tch Shell in the inter- and records were thrown open to Farben thus ac-
national markets. quainting Hermann Schmitz with the intimate details
of Kuhlmann's internal organization and its financial
But Hermann Schmitz was still not satisfied. condition.
Czechoslovakia owns some of the most valuable ra-
dium mines in Europe. After the "Liberation" of . It was quickly discovered that Kuhlmann depended
Joachimstal, in the Sudeten, Farben stole the radium to a large extent on bank capital for financing-
mines. unlike I. G. Farben whkh has its O'WJl independent
The history of I . G. Favben's plundering in Europe Central Finance Administration. Thi's dependence on
continued to parallel the ravages of Hitler's war ma- bank capital was the Achilles heel in Kuhlmann.
chine. Farben follow~d closely on the heels of the Rene Duchemin, president of Kuhlmann, received
Nazi hordes into Poland where Hermann Schmitz an order shortly after the installation of the Farben
had greedy eyes on the rich coal deposits of Upper "delegate," to appear before the Nazi commissar now
Silesia. in charge of the Banque de France et Pays Bas. There
I. G. Farben had tried for many years to obtain its Duchemin was told curtly that all loans and credits
town source of coal in Germany to make it independ- · -the working capital of Kuhlmann-must· be repaid
ent of the German Coal Trust. instantly.
The destruction of Poland, therefore, became vitally The bewildered Frenchman pleaded for time but
important in I. G . Farben's scheme of things. Before I. G. Farben would not let Etablissement Kuhlmann
the fleeing Poles were out of their own country, Far- out of its grip. Duchemin finally declared he could
ben grabbed the r i-ch mines of the Fuerstengrube cor- see no way out as Kuhlmann could not possibly meet
poration at Katowice, thus firmly entrenching itself the German demands.
in Poland's key. industries as wel.l as guaranteeing an Thereupon, Duchemin was told with ironic polite-
independent source of coal. Schm, as usual gave ness that there was a way out. ·In an entirely "legal"
a legalistic aspect to the r<Ybbery by going through way, Kuhlmann and I. G. Farben would float a new
the form of acquiring 51 percent of the Fuersten- issue of stock. Farben would, of course, acquire con:.
grube's capital. trol of the new stock and "take care" of Kuhlmann's
I. G. Farben then increased its own recorded capi- obligations to the German commissar of the Banque
Jalization by 100 million reichsmarks in readiness for de France ct Pays Bas.
Hitler's eonquest of France where Hermann Schmitz As a sort of insurance for the future, Kuhlmann
expected to loot the richest prize of all. was allowed to ret8.i n a slight majority stock owner-
The big prize was Establissements Kuhlmann-the ship. This face-saving device was in line with Her-
DuPont of France. As early as 1921, I. G. Farben had mann Schmitz's policy of preparing for dummy own-
forced Kuhlmann into a subordinate position in the ership in event of a Nazi defeat. Practically, L G.
chemical markets of Europe by under-selllng and Farben had stolen one of France's largest industries
dumping 1n French markets. from its legitimate owners.
However, there still remained strong French inter- Thus I. G. Farben took over the French production
ests with considerable holdings in Kuhlmann whom of dyes, heavy and fine chemicals, of fertilizers-an
Schmitz always regarded as a menace to Farben's important commodity in Europe-particularly the
dominance. Chief of these was the Banque de French nitrate industry, the processing of glue and 14 Feb 2017

gelaiine, and a key position in the French rayon Produkte in Hrastnik; the Ludwig Marx Lack Fac-
industry, thereby controlling much of the French tory in Domzale, and the Reichhold, Fluegger
textile industry, which is dependent on rayon Boecklng A: G. in Belgrade. These piracies gave
swpplies. Farbeh a monopoly in the chemical and synthetic·
In the ·postwar world, this dictatarship of I. G. fields throughout the Balkans because Rumap.ia, Bul-
Farben would have far reaching repercussions. With garia and Greece were subordinated to the Farben
French and other competitors eliminated from the Balkan head quarters at Belgrade.
export fields, Hermann Schmitz could then name his As a final gesture, the ·Farben owned Osterreich-
own terms. Inevitably Farben's monopoly would be ische Dynamit A. G. of Vienna", "bought1• the Bos-
followed by an increase in prices, a deterioration in nische Elektrizitaets A. G. , of Jajce. This concern
quality, inadequate service, and all the other evils owned huge electric and water power plants in Yugo-
inherent in the world program proposed by Hermann slavia and manufactured calcium carbide, chlorine
Schmitz and his Nazi associate. and other heavy chemicals. It became one of I. G.
Between 1918 and 1939, France had becoiile the Farben.'s most important subsidiaries in the Balkans.
chief financial agent of the Balkan countries. As a There remained only one corner of Europe that
consequence, French interests had large holdings in Hitler had not invaded and that I. G. Farben had
Yugoslav industries. From the I. G. Farben head- not looted. In this instance, neither force nor loot-
quarters in Paris, plans were made after the French ing was necessary. Because in Spain, the most pow-
collapse for taking over the Balkans. When the Nazi erful man in the goverment was a Farben agent--the
panzer divisions struck south from Rumania and west Foreign Minister Ramon Serrano Suner whom Far-
from Bulgaria early in 1941 I. G. Farben was ready. ben agents · had saved from a Loyalist firing squad
Under pressure from Pierre Laval, the one-time during the Civil War ill 1936. · -
heir to old Marshal Petain as h ead of the Vichy gov- Only a few months after Serrano Suner's brother-
ernment, French owners were forced to "sell" their in-law-Dictator Franco--had swept aside all ves-
Balkan holdings to I . G. Farben for worthless Ger- tiges of democracy in Spain, ·an agreement was
man war marks. At the last moment the venerable reached in 1939 by which Spain's considerable pro-
Marshal had a twinge of conscience and th•! success duction of nitrogen was turned over in its entirety to
of the piracy was for a time in d(}uht. However, La.v al Farben for distribution. Thus, even before the war,
, paid off handsomely at that time for the fat legal Farben dominate,d Spain but, after the collapse of
«ees he got from Farben during the decade preceding France, Hermann Schmitz reached out further to
· World War II. Laval ironed things out and Petain consolidate his position in that war devastated nation.
was silenced.
The Saciedad Iberica del Nitro,g eno, of Madrid, was
In this manner 1. G. Fa:rben seized the important owned by· Air-Liquide, of France. It exploited the
copper deposits of the Mines de Bor in Yugoslavia- French Claude patents for synthetic ammonia in
one of the richest sources of copper in all Europe. Spain. Like the squeeze that stole Establissements
The deal was handled in Belgrade by Franz N eu- Kuhlmann, Farben put pr~ssure on Alr-Liquide and
hausen, ostensibly the head of the German Travel took over that firm thus obtaining an uncontested
·Bureau in Yugoslav~a. Neuhausen was for many monopoly of synthetic nitvogen in Spain.
years the Nazi Consul Gener al at San li'rancisco. His
role as head of the travel bureau in Yugoslavia was The Union Espanola de Explosives Soc. Anon. of
typical of the deception practiced by Farben agents Bi]bao and Madrid, was the largest producer of nat-
in collaboration with the Nazis everywhere in the ural nitrogen in Spain. It owned mines and facto-
world. ries in Alba.c ete, Miranda, and Palencia, and two of
The Bor Mines under N a:zJ pressure exported two- the largest potash deposits in Europe on the banks of
fifths of its copper production to Germany before the th e Rio de Cardoner. Foreign Minister Serrano Suner
Nazi invasion. After the conquest- after Farben arranged for I. G. Farben .to "buy" this nationally
took over-two-thirds of Bor Mines' copper went to stra tegic firm.
Germany. The other third was used by Farben in From a monster corporation in the chemical world,
Yugoslavia to
supply Farben controlled war indus- I. G. Farben had accompanied Adolf Hitler 1furough a
tries for Hitler's war machine. holocaust of !blood and tears until it had become the
·But the Bor Mines were only a beginning for largest corporation anywhere in the world. Farben
Hermann Schmitz in the Balkans. In rapid succes- now dominated oil, coal, electric power . and other
sion, I. G. Farben "bought" the Moster Lack-und- fields in addition to its pre-war European rnonopol7
Farbenwerke, A . G., in Zagreb; the Fabrik ChemiS'her of chemicals and synthetics. 14 Feb 2017


American dimes and quarters still rolled Into Berlin
---while Farben scoffed at the British blockade! But
the notorious game of hide-and-seek was nearing ·
Ita end.


AX !LONER and Hermann Schmitz were I. G Farben dip not want to risk losing its eco-

M ready in North and South America when
Adolf Hitler op-ened the military phase of the
German war plot in Poland on September 1, 1939.
nomic and political impor tance in Latin-America and
thereby the key points of Nazi influence in the South-
ern Con ·: inent. And Hitler greatly aided Farben ln
Max Ilgner 's espionage agen ts were stationed stra: this emergency by refraining from attacks during
tegically throughout the United States and Latin- the "phony" period of the war between September,
America. Herman Schmitz's representatives were 1939, and the invasion of the Lowlands in May, 1940.
naturalized Americans, firmly entrenched in busi- North and South Americans alike at that time
ness, financial and social cirCles in the Weste.rn Hem- shrugged their shoulders and dismissed the Euro- ·
isphere. pean war as an isolated conquest of Poland. The
The Farben-Nazi organization in South Amer.ica Gt¥mans were believed to have no intention of at-
was efficiently coordinated with the Farben fifth tacking anyone else. And the furnblings and lassi-
columnists in the United States. tude of the democracies seemed to indicate that they
But t-here was one hitch at the outset of the un- had no intention of attacking the Nazis .
declared war . Ilgner and Schmitz planned on the Thus during t.he ."phony" phase of the war, I. G .
opening of hostilities. in the spring of 1940. Adolf Farben was given ample time to get its Western Hem-
Hitler's impetuosity advanced the date to the fall isphere organization into shape. Alfredo Moll -
of 1939-against. the _counsel of his Generals and in Farben's chief liaison agent in Lat.i n-Arnerica- ·made
the face of the fall rains that were expe_cted to turn ;;:evernl trips between Buenos Aires and New York
the plains of PolE\nd into a . morass of mud. Hitler's to complete Hrrangements.
luck stood by him . Poland in the fall of 1939 e·x-
periericed its drioest season in many years. On his many trips he worked out supply' sources
with Dietrich A. Schmitz, Walter H . Duisberg, Ru-
However, the change in the Nazi time-table caught dolph Ilgner, Wilhelm vom Hath, and. the other
I. G. Farben short in Latin-America. Schmitz had principal men in F'arben's North American ·organ-
shipped huge quantities of heavy chemicals and ization. Alfredo Moll planned to depend eventually
pharmaceuticals to his three main headquarters in on supplies from General Aniline and Filni Corpora-
Latin-America. These were the Anllinas Alemll.nas,
tion, Sterling Products and their many subsidiaries.
in Buenos Aires; the Alliance Commercial de Ani-
He "'as assured that Farben in Latin America could
llnas, IJtda., in Rio de Janeiro; and the Campania
depend on Farben in the United States.
General de Anllinas, in Mexico City.
The great stock piles W<"re located strategically During the first year of the war-even after· the :·
for dis~ ribution to Far ben branches everywhere in invasion of the Lowlands and France and the all-out
Nazi mas-sacres in Great Britain-Alfredo Moll was
Latin Amer.l ca . They were the war reserves to hold
not so much in need of supplies as he was in need
Farben markets in the Western Hemisphere during
of Amuic'an dollar. credits. ·
the war.
Because at this time, Latin-America was being
But Farben had been able to get only ·about a
supplied directly from Germany by the way of Si-
year's reserve into the Latin-American headquar-
beria and Japan . These supplies were sent from
ters when the war broke. Several Nazi ships that
carried Farben products to L.atin -America were Vladivistck to the firm of Morimoto B. Shakai in
caught on the American slde of the Atlantic by Hit- Kobe ~md then-ce to Farben in the Latin-American
ler's invasion. It became apparent later why many countries.
more Nazi freighters were caught in Latin American In the mc:?tn'.irne, the Farben organization in the
ports by the British blockade than in the ports of United State;, was getting ,its house in order to com~
North America. Because Hermann Schmitz had his plement the second phase of the Farben defense in
own production plants in {he United States. But Latin-America and prepare for the third alternative
for reasons of "prestige," he was ambitious to assure -the spr«:!ad Qf_war to Russia and the United States.
an uninterrupted German supply in Latin America. Anticipatirig problems, Hugh S. Williamson, a na-
The · Nazi freighters were therefore concentrated on tive born American, took over the job of First Vice-
shipping, to the Latin nations. President arid Treasurer of General · Aniline shortly 14 Feb 2017

54 SEQUEL T o· T h e AP 0 CALYP SE
after the outbreak of the war. Walter H. Duisberg General Dyestuffs, capitalized at a few . millions of
retired from that too conspicuous a post but stayed dollars, has handled hun<;lreds of millions for I. G.
in the background as the mentor of Dietrich A. Farben in the space of a few years.
Schmitz ~ It was owned solely by . Ernest Halbach, its presi-
DuiSberg had a much more important role to play. dent, and W. H . Duisberg, both old and trusted Far-
He became the principal assignee of 1. G . Farben ben men and both naturalized Americans.
patents in the Western Hemisphere. · As a natural- The Sterling ·products Incorporated, through its
ized citizen, this son of Karl Duisberg, the old arch- main subsidiaries, American Bayer and Winthrop
plotter of Frankfort-on-the-Main, was chosen to im- Chemical, provided additional Farben pharmaceuti-
plement the policies of his · aggressive old father. cal s1.,1.pplies.
Through this maneuver the American government During the first two years of t;he war, Sterling
was expected to be legally unable to confisc<\te Far- Products shipped more than a half million dollars
ben patents even during war because they were worth of pharm·aceuticals and semi-manufactured
''owned" by a naturalized American, Duisberg-who materials to I. G. Farben agents in nearly every
was, of course, to return them to I. G. Farben after country in Latin-America.
the war, whether the Nazis won or lost on the fields
of battle. In South America, these Sterling manufactured
But the transfer of patents required a physical goods were finished and packed-marked "Made in
Mexico," "Made in Brazil ~ ' and so forth-and in many
contact bet~een Farben in the United States and
Farben in ·Germany. Hermann Schmitz insisted that instances marked "Made in Germany"!
everything be done according to the "law" of the In addition to all this, during the nrst year of the
democracies. Schmitz didn't want to risk his Amer- war, Sterling Products transferred to I. G. Farben
ican gold mine through failure to comply with the in Germany over $1,200,000 .
laws that the democracies so meticulously observed. As a consequence Farben prestige in Latin-Amer-
It became necessary then to send a Farben man ica grew instead of diminishing in wartime. There
from America to Europe. President Roosevelt had was little or no competition with the United States
restricted travel abroad in belligerent territories and as there was in World War I. And Farben revenues
passports were almost impossible for anyone except roll~d in steadily. Farben advertising was increased.
cJfficial or semi-official Americans with important as- The name of "Bayer"-synonymous with German7
signments in Europe. -blared from · the radios, splashed through news-
papers and was blazoned on posters and billboards.
for that reason, neither a Dtilsberg, a ·Schmitz,
Adolf Hitler's Nazi agents and fifth columnists
·an llgner, nor a vom Roth, seemed sufficient al- never lacked for funds . The Farben paymasters of
though they went to Europe on one or more occa- Max Ilgner were always at hand. They were amply
siof!s during the Interval. Hugh S. Williamson, the supplied with funds . Little wonder that the people
native American vice-president and treasurer of of Latin-America were impressed by the invincibility
· General Anlllne-97 per cent of which was owned of Nazi Gertne.ny and the ineffectiveness ot the Brit-
ish blockade.
by I. G. farben of Germany--did much of the S'pe~
When the Nazi freighter "Lech", succeeded in
clal envoy worlc.
reaching Rio de Janeiro in the March of 1941, the
Williamson visited Switzerland in the early spring Nazi inspired press and radio had a Roman holiday.
of 1940 . . He enjoyed long and uninterrupted confer- Aboard the "Lech" were 121,295 kilos of highly valu-
ences with Hermann Schmitz, Max Ilgner, Felix able dyes and chemicals. I. G. Farben proclaimed
Iselin and other big shots of the Farben-Nazi organ- the invincibility of Adolf Hitler.
Farben agents scoffingly pointed out that Britain
Williamson returned to the United States with con- could not stop ,F arben deliveries in the Western
fidential instructions for the ·wartime operation of Hemisphere. At Pan-American conferences, Nazi
the I. G. Farben organization in the Western Uemi- agents repeated the boast. Farben men everywhere
apbere. The American Farben official went back to took orders and posted bonds guaranteeing deliv-
Berlin and Frankfort in the fall of 1940 for further .e ries within a few months-a cash pledge that the
and final instructions. war would be over with the Nazis triumphant b7
. After Williamson returned from his first trip, the that time .
Farben forces in the United States swung into action However, the R. A . F. defense of Britain upset the
to help the South American Nazis in the operation Farben-Nazi calculations. Britain still stood and de-
of the second alternative' plan for holding oii to liveries had to be made.
Farben markets and influence.
farben didn't lose a penny on its cash guarantees.
General Aniline undertook to supplement Farben's
Deliveries that couldn't .be made over the Russo-Jap
ahipmenta of chemicals and dyes reaching South
America from Germany by the way of Russia and route were filled from the Farben plants and affili-
· Japan. ates in the United States. ·
These shipments from the United States were han- By this time, the western · democracies, outraged
dled by the General Dyestuff Corporation - the by the mass slaughter of helpless civilians in Rotter-
Farben subsidiary with -a perpetual contract to mar- '· . dam and London, were becoming- restive.
ket all Gerieral Aniline products in the United States. President Roosevelt's order freezing the . funds of 14 Feb 2017

occupied countries · in April 1940 caught Hermann the shipment of goods from North America ·to Nazi
Schmitz by surprise. He had neglected to naDsfer . firms in Latin-America-the most notorious of which
in time General Anilirie s:tock )leld by the two Dutch were J . G . .;Farben subsidiaries. ·
holding companies to the · I. G. Chemie in Switzer- . Plan No. 3 was designed . to meet suCh a situation.·
land, the other large stockholder of General Aniline
~he first step was to reorganize an inconspicuous
owned by I. G. Farben of Nazi Germany. · little export firm known as Fezandie and Sperrle in
The Presidential ordet made it impossible there- New York City . .It was vktually unheard of ln ·ex-
fore to transfer profits thrOugh Holland to Fiu-ben . port circles.
·m Germany. To all appearances, the President's But General Dyestuff-the· -Farben sales alent&-·
action placed General Aniline. under th~ s.u peryision
irnrnedia.t ely transferred its export manage....::-aer-
of the United States Treasury.. However, the pipe- '
hard N eisser-to Fezandie and· Sperrle . . Net8ser was a
line to Farben l,>y way of Felix .Iselin and the I. G.
Chemie iri Switzerland was still open. German, equipped with a Chilean passport!
Through this dummy firm, General Anlline
. Thus in Febru~, 1941,. almost a year after the shipped chemicals and dy~stuff8 to . s1rnllar dummy
freezing of Dutch funds in the United Sta~s, General companies set up in Latin -Aineric~firms like A.
Dyestuff-General Aniline's sales agent-.:.-established
R. Cunha, Junior, in Rio de Janeiro. Froin a dum-
through tlie National City Bank of New York in a
strictly "legal" manner letter of credit amountmg
my in the United States to <:Iurnmies in Latin Amer-
ica, the shipments continued lorig after the "bl~clt­
to 2,382,795.?0 Swiss francs to the Credit Suisse of list." Some of the products after arrival at the Far~
Basle, Switzerl'alld, iii favor of I. G . Farben. Trus ben distributing points were marked "Made in Ger·
huge Slllffi Was but one of many transfers of d<Jllar - many" and sold to the public a8 such.
credits to Germany.
These dummy companies were often operated in
The specific remittance cited above was in pay- Latin America for only one or two shipment.. from .
ment for. Farben products made in Germany that the United States. By the time American ·consuls
had been Shipped to Latin America by way of Russia caught up with them and traced their .conneetlon tQ
and Japa1;1 or. fr<>m Germany direct. Farben, they vanished and new . dunuiues · took their
However, Department of Justice men were look- · place. Hermann Schmitz and Max llgner mUst have
ing I. G . Farben over by this time. There was a · ba4i many a hearty laugh watching · the democraciea
tremendous huzzah and outcry in the United State11 chase these illegal will o' the .~Ps throti,h the law
over Nazi fifth column activities in Latin-America. and order of the Western .He:misphere. · ··
Public opinion was demanding action. Somewhat similarly, Stetli~ . Products made ,good
on Chairman Weiss' promise to Herr Von Schnitzler
W . E. Weis$,. a member of the board of General in the following manner: .
Aniline and c::hairman of the board of Sterling Prod-
ucts, and .Earl I. McClintock, vice-president of Ster- First-By rushing large $Upplies to the German
ling, saw the handwriting on the wall. · Bayer agents throughout Latin-America during the
first half of 1941 before the "blacklist," glvin1 them
In the early spring of 1941 Weiss and associates, stocks. to last a long time.
realizing that Amerkan foreign and domestic:: .POlley
would present them with increasing problenu; in Sec::ond-By · taking over the marketing of the
patent medicin~AsPirln, Tonlco-Bayer and so forth
cooperating with I. G. F'arben, found means of re-
assuring Herr vonSchnitzler (I. G. Farben's Number -,and leaving tJhe "ethical'' products, such · aa Bal-
1 commercial man and father.- in-law · of Number 2 wrsan, Luminal, Atebrin, Plasmochin, etc., to ;Far-. ,
Nazi spy Scholz in the U. S.) that, although their ben to maintain Farben prestige . .
actions from this point might appear to be unfriendly,
they would at all times continue to consult I. G. Third-By setting up new "American;' compani!!!S
Farben's best interests in this hemisphere and would to market these patent medicines.
keep any harmful action to a 'minirnuni. . · By the fall of 1941, the Federal a.uthorlties of the
United States had caught up ~;ndflclently with the
. A few weeks later, on June 14th, Presldem
.Roos<~velt Issued hi.s famous order "blacklisting'~ activities of W. E . Weiss, and A. E. Dl®old to obtain
an indictment charging crimina.! conspiracy in con-
. Nazi and pr<rNazi firms in Latin-America. This was
nection with the notorious surrender of Latin-Amer-
an apparent death blow :f or the I. G . Farben branches
ica by Sterling ProductS to I. G. Farben man7·years
because only elght days · later Hitler treacheroUSly
attacked his Russian partner and the Russo-Ja}) before. -
route from Germany to" Latin America was closed. Farben men were non-plutedfor cr moment. Wor~
ried . over.. Impending event• SNrllnt hired Tltoincra
The time had come to . employ Farb~n's alterna- G. Corcora.n, the former New Deaf "'ralnfru.ter"
tive plan No. 3-d(lsigned in event the war should and a powerful lawyer in Washlnfton. · On Jep.;.
spread and. the Farben-Nazis had ·to prepare for a te~ber Sp 1941--only three montlta •efore Pearl
. long bloc,k ade in Europe. · Harbor--Corcoran obtained cr cenMIJf decree dl..
. After . the attack onRussia, .all F~rben supplies in solving the Iniquitous agreement with f. G. forhn
by which . farben collected 75 ·per C.nt net from
Latin America ~ad to be obtained from the United
Latin-Ainerka to help finance Adoli Hitler. ·
Stateg;._but . the l]nited States · "l:!lacklist" forbade 14 Feb 2017

The Sterling Products defendants were fined the German headquarters plundered all of Europe, the
trifling sum of $26,0QO and Corcoran, himself, Is Farben contingent laid the groundwork solidly in
said to have written a press release designed to Nor th and. South America.
provo'! that an American court had freed a "helpless" Farben was firmly entrenched in business, finan-
American corporation from the stranglehold of a cial social-a nd even government al-circles! Then
bad Nazi octopus. ca~e Pearl Harbor on December 7. 1941, and an
This served Hermann Schmitz in a highly satis- angry Uncle Sam began to ar ouse hin1self.
factory manner. It protected I. G. Farben's associate
with only the insignificant loss of $26,000 for the
. time when the war would. be over and Farben should
return to win the peace a second time.
Federal agents spent weary, tortuous months un-
raveling the involved corporate secrecy of I. G.
Farben in the Western Hemisphere. They had suf-
fici.e nt proof to get an indictment and. they were
impatientlY. eager to get Farben men and their asso-
ciates on the witness s~and under oath in open court.
They want ed a court order to subpoena Sterling
Products' records and correspondence. There were
many questions the Department of Justice wanted
· answ~·re d in the vital· interests of American national
The consternation in the Department of Justice
when "Tommy the Cork" got a consent decree can,
therefore, be imagined.
Even milder was the penalty imposed in the case
of Rudolph Ilgner, brother of Max Ilgner of " Bu ero
I. G., Berlin, N.W.7" and a nephew of Hermann
Schmitz, the generalissimo of I. G. Farben's world
wide Nazi empire.
Federal Bureau of Investigation agents finally ob-
tained an indictment against Rudolph Ilgner early
in 1941 in conn·e ction with an investigation into
the identities of the interests controlling nitrogen
and other vital chemicals used in the manufacture
of high explosives and munitions in the U. S. A.
While the F. B. I. was still pursuing its investiga-
tion, Rudolph Ilgner ordered his employes in the
sumptuous office on Fift h Avenue, in New York, to
burn all re.cords of the Chemflyco firm-:-the F arben
subsidiar;v that handled Farben patents and royalties
in the United States.
In Federal Court, Ilgner brazenly pleaded guilty
to ordering the des ~ ruction · of the records. He was
fined $1 ,000 . Hermann Schmitz and Max Ilgner
would have paid a mil!ion to keep those records
out of American sight-records of Nazi espionage
and propaganda payments in America.
* *
Thus on December 7, 1941, Farben key men in
North and South · America-all naturalized citizens
and therefore none of them "Enemy Aliens" !-oc-
cupied chief executive positions in the largest cor-
porations in the hemisphere.
They had American passports, they co'uld trave'
where they pleased , do what they wanted; send
money where it suited them, and correspond with
Germany, Italy or any Axis country via South
America. They were apparently immune from in-
vestigation or prosecution oi any serious consequence! Germany's most powerful ihdustrial giant, head
The Farben expeditionaz:y force to the America::~ of the Farben colossua. Don't let his umbrella
had achieved an extraordinary success. While the fool you. Jt doesn't stand for appeasement. 14 Feb 2017



You can't tell the players without a score card . . .
but frantic efforts to "Americanize" the Farben hold-
ings didn't ~ool F.D.R. Farben may be dawn--but
not out.


T HE treacherous Japapese attack on Pearl Har-
bor on December 7, 1941, shocked the Amer-
ican nation into a sudden and dramatic realiza-
The agreement provided for an exchange of mal'-
kets. The Farben stock in Standard I. G. wasta];{en
over by Standard Oil ..and the company's name was
tion that the United St ates was the really big prize changed to Standard Catalytic Company. Standard
sought by the Axis in its tofal war against the world. was to control synthetic oil markets in America
Britain and France. I. G. Farben was to have ~
From that day forward Uncle Sam rolled up his
monopoly. in Nazi occupied countries. After the
sleeves and prepared for all-out national defense.
conquest of France that country was, of course, in-
For the first time in many years of patient, tireless
cluded in the Farben-Nazi monopoly.
investigation, Federal agents were able to press
Standard Oil had not only protected its synthetic .
their case against I. G. Farben in the United State~!.
oil rights in the Strsndard-Farben monopoly, it went
Within a week after Pearl Harbor the Federal even further and JfJOVed to protect a monopoly of
Grand Jury for the Southern District of. New York synthetic rubber production in the United States.
handed down three indictments charging criminal
Here again Frank A. Howard was revealed as
conspiracy against Farben principals and Farben ·
president also of Jasfo, Inc., subsidiary organized
owned companies in America. to acquire Farben's synthetic rubber patents in the
However, the Department of Justice had already United States.
forced a breach into the Fal'ben lines when it brought Federal investigators had by mid-February pressed
Sterling Products into court in the fall of 1941, not- for action and a Federal Grand Jury in New Yovk,
withstanding the consent decree's frustrative effects N. Y., was undertaking an invest~gation into the rela-
upon the efforts of federal authorities to get Farben tionship between Standard and Farben.
men on the witness stand in orpen court. The general public, meanwhile, knew nothing
about the hidden relationships because the press al-
But a part of the consent decree required the most unanimously suppressed the few facts avail-
resignation of William Erhard Weiss as chairman able. Even the open demand for a sena,torial inves-
of the board of Sterling. Weiss, a native American tigation of the Standard Oil-I. G. ·Farben relation-
ship, voiced by the Union for Democratic Action
'born in Canton, Ohio, in 1879, was also a director
of General Aniline. Weiss dutifully dropped from
was Ignored by press and radio. It drew scant no-'
the Board but popped up again immediately as head tice in several cities.
of , the executive finance committee of Sterling Faint repercussions of the probe were heard in the
Products. Upited States Senate but there was no debate and ap-
Two other prominent members of the General par-ently little interest. This congressional indiffer-
Aniline Board-Edsel Ford, of the Ford Motor Com- en,ce was manifest in spite of the fact that Frank A.
pany, and Walter C, Teagle, chairman of the ~oara Howard was said to have made two trips to Europe
of Standard Oil-had resigned as directors in recent during tihe early part of World War II to confer with
years. Teagle resigned in 1938 while Edsel Ford's I. G. Farben exe•cutives.
resignation did not occur until 1941, by which time Congress sat Sphinx-like on its haunches not
the full extent 9f .the Farben-Nazi conspiracy was daring to investigate the hidden Axis ramific~tions
no longer something th?t could be camouflaged. among U. S. Big Businessmen.
Standard Oil had, however, protected its synthetic The further charge that Standard had ·eitber been
oil interests long before. On the eve of the Nazi in- double-crossed by Herman Schmitz or was itself de-
vasiort of the Lowlands in the spring of 1940, Frank liberately wiiJhholding patents from Goodyear and ~
A. Howard, president of the Standard I. G. Com- Goodrich was also ignored on Capitol Hill ln Wash-
pany, concluded an agreement with I. G. Farben ington.
by which their mutually owned synthetic oil pat- Goodyear and Goodrich were thus stymied in
ents were divided into' two spheres-an American- their endeavor to provide a synthetic rubber indus-
British area and a Nazi area. try for national defense purposes. Long after Pearl 14 Feb 2017

Harbor, neither ·Goodrich nor Goodyear had ob- was · the -"oldest democracy in the world."
~tained ·licensesto use the Farben patents held by As a matter of fact 97 per cent of the stock .of this
Jasco. . monster corporation doing a 40 million dollar bus!-
The Farben ·d~uble-cross was involved in the fact . ness each year......:.half of which was in war contracts
that He rmann Schmitz had been up to the tricks prac- ~was owned by I. G. Farben outright through its
ticed by old Karl Duisberg in World .War I. Farben two Dutch holding companies and the I . G. Che~e
had a gentl'emen's agreement w ith Jasco to exchange o~ Switzerland. - 1. G. Chemie in tur:n was run by
r esearch results and· synthetic rubber patents. Far- Hermann S~hmitz's nephew, Albert Gadow, and
b~n d id give Jasco ·some information and did sell Felix Iselin, who until afte r P ea rl Harbor, was a
Howard . some patents but Hermann Schmitz with- director of General Aniline ,
held b asic informatio n - the so-called "know;how" As part of the Farben publidty, Agfa-Ansco-the
-and once again America was tricked out of the l e~ film and photo division of General Aniline__:emerged
gitimate use of a Farben monopolized product. with a handsome m emorial b ook let comm emorating
.l)id the .American people rise up in wrath when the centennial of the found ing of this " great Amer-
automobile tires were denied them because of the 'ican concern."
·rubber shortage after Japan's conquest of Malaya? In a pictorial history, F arben's Agfa Ansco un-
They were sore at the Japs but not ilt I. G. Farben rolled a panorama of the p atriotic Americanism of
'or Standa.rd of New Jersey! .. Agfa-Ansco from its organization by native Ameri-
i:rite general public had no way of knowing that cans in . 1842, through the Civil War, the. Spanish-
the long arm of Nazi monopoly was still reaohlnr American War; the World War, and now its great .
bito their homeland, frustrating the ·development contribution to the American effort in World War II.
of a United States synthetl.c rubber Industry Ionr
after Pe.a rl Harbor. What this history did not say was that the An.:.
thony & Scovill Co. (Ansco) truly the oldest Ameri-
Peflhaps, the American people l'elied on the pledge can photographi~ company, was forced to the wall
of Secretary Qf CommerceJesse Jones that he would by I. G. Farben's ruthless competition in the Ameri~ ­
spend 400 miilion dollars and within eigl:iteen m onth s can field. · When Ansco 'was su!fidently impov~r­
provide sufficient synthetic rubber . for all war pur- ished I. G. Farben swallowed it at its leisure and on
poses and for .essential civilian needs also . Ameri- its own terms and changed the name to Agla Ansco.
can scientists. however , ch allenged the Commerce
However, tnis publicity encountered suspicious
Secretary;s p~omise. Authorities in the synthetic
scrutiriy in many quarter~including the White
. field asserted · that it would be impossible to reach
House__:and Hermann Schmitz and Max . Ilgner
the prodi.tction set by Secretary Jones within 18
were told by their American associates that more
effective measures were urgent if I. G . Farben's
And ·as the Japs over-ran more and more of the American monopolies were to be saved.
East · Indies, cutting ofl. the last available natural D. A. Schmitz-Hermann's brother-therefore
rubber resources in the Far East-whence the United proposed that I. G . Farben's stock ownership in
States ·normally got 98 per cent of its rubber-:-only General Aniline be · sold to that "real American"
a Federal Grand Jury investigation Into an alleged concern--General Dyestuff, the sales agent for -
violation .of corporation laws was under way in General Aniline in the Western Hemisphere. Gen-
Newark. eral Dyestuff was still owned by those st erling, nat-
Hermann Schmitz was pr01bab ly w ond ering (but uralized Americans-W. H. Duisberg, old Karl's son,
not worrying) if his American affiliate would and Ernest Halbach, a veteran Farben executive.
be fi~ed in th.e Jas<:o inquiry, as in the Sterling Prod-
ucts inquiry, when ·the penalty amounted to the But the now aroused United States Treasury De-
trifling sum of $26 ,000. partment r efused to grant a license for this "Amert·
canization" of Farben's United States holdings. As
Great Britain, Belgium and Holland · confiscated a consequence, in the latter r· art of 1941, a grea1
· Farben assets in those countries immediately after "schism" developed in the General Aniline organiz-
the outbreak of the war. Farben's influence in Bri. ation.
tain was ,always limited although by no means negli-
gible: The loss of exports to the Belgian a nd the rt was suddenly revealed there were two .fac.:
Dutch colonial empires w as of grea ter cons equenc.~ . tions. One led by Dietrich A . Sohmitz and his chief
supporter, Ernst Schwarz, the ~ble head of Agfa
· But the main . Farben prize was its . domination Ansco, was supposed to be too friendly ro Nazi Ger-
of 25 per cent of the dye market in the United States many. The other led by Hugh Williamson, the Amer-
and its monopoly in Latin-America. The investiga- ican lawyer, who visited Eui'ope twice in 1940 to
tion · olf General Aniline, Sterling Products and their arrange f'or Farben's war time operations, asserted
many subsidiaries was therefore of great moment to itself to be 100 per cent American. ·
1 Hermann Schmitz and Max Ilgner back in Berlin.
In the United States a great publicity campaign The farcical nature of this apparent fight between
was ,launched by General Aniline agents to proclaim ~azis and "Americans" on the Generai Aniline
· their independence ·of any Nazi influence. Any for- Board was exposed when Williamson and his clique
. eign ownership that existed was in Holland ana apparently forced D. A . Schmit1: out of office as
Switzerland, and Switzerland, as everyone knew, president. ' 14 Feb 2017

Among Williamson's . "American" supporters were reasonably prevented and restrained free and vigor-
Wilhelm vom Rath, the former Nazi intelligence ous competition in the manufacture, distribution, and
chief in ·Switzerland and one of the largest stock- sale of photographic materials and · developers in the
holders in I. G. Farben of Nazi Germany, Hans United States and in interstate and foreign trade and
Aickelin, Rudolph Hutz, Karl Milde, and otqer nat- commerce.
uralized " Americans" who had served their entire 7. Kalle has not exported photoprinting mate-
business live s as principal men for Hermann Schmitz rials to the United States except through defendant
and Max Ilgner of I. G. Farben. General Aniline or co-conspirators Ozalid and Qza-
Thus Hermann Schmitz sought to c.o ntinue the ·p;hone. ·
·deception that General Aniline and its. many sub- 8. Defendant General Aniline and co-conspirators
sidiaries were real American firms and bitter ly anti- Ozalid and have not eXJported photo-
Nazi in policy. The sham battle didn't work. printing materials from the United States, except
President Roosevelt intervene'd in October, 1941, as such ex·ports were authorized by Kalle.
and succeede d in naming his close personal friend, 9. Defendant General Aniline and the .co-conspi-
Judge John E . Mack, as .president of General Aniline rators have directly, substantially and unreasonably .
to replace Dietrich A. Schmitz. To further Ameri- prevented and restrained free and vigorous compe-
canize the Farben-Nazi organization, the· President tition in the manufacture, distribution, and sale ·of
got another close personal friend, William C. Bullitt, photoprinting materials in the United States and in
appointed as chairman on the board to replace Wil- interstate and fo.reign trade and commerce.
helm vom Rath.
The defendants pleaded not guilty and were re-
Then on December 12th, 1941 , seventeen Treasury leased on a nominal bail of $1,000 each . . The viola-
agents led by Joseph J . O' Cwmell, Jr. , assistant tion of the anti-trust laws in the United States was
general counsel of the Treasury, invaded the palatial apparently of minor consequence.
offices at 230 Park A venue and took over supervision. Trial was set for .Aipril 6th, 1942, and Federal men
Seventeen men to supervise the huge factories at Lin- were understood to be continuing their investigation.
den, N.J., Renssalaer, N . Y.,' and Johnson City, N.Y., . It was implied that additional indictments might be
and Binghamton, N'. Y., had a large order on their returned against other Farben principals.
Three days later the Federal indictments against However, if the United States seemed to be pro-
Farben companies and Farben men were handed ceeding in a roundabout way against the I. G. Farben-
down· in New York for alleged criminal practices Nazi organization, Latin-American nations were be-
which commenced in May, 1924! For a list of indi- ginning to make observations as the fateful year of
viduals and cor'Porations named in the indictments, 1942 was well begun.
see page 61) . At the historic conference of American statesmen
The indictments found as follows: in Rio de Janeiro in January, 1941, representatives
of the United States were warned frankly against the
1. Defendant I. G . Farben has not imported dye- danger of I. G . Farben. Th,e Latin-Americans pointed
stuffs to the Unit·ed States ex·ce11t through defendant out that Farben was financed and directed from North
General Dyestuff. American ~eadquarters and that without United
2. Defendant L G. Farben has been prevented States co-operation, the countries south of the Rio
from importing into the United States dyestuffs in Grande were handicapped.
comp·ztition with dyestuffs manufactured by defend- Important and sensational information was turned
ant General Aniline. over to the United States by Latin-America to im-
3. Defendants I. G. Farben, General Aniline, and press on Washington the sinister power of I. G. Far-
General Dyestuff have directly, substantially, and ben as the greatest single economic, financial, politi-
unreasonably prevented and restrained free and vig- cal and espionage organization threatening the West-
orous competition in the importation and sale of ern Hemisphere.
dyestuffs in interstate and foreign trade and com- It was revealed in Ecuador that t.he Farben firm
merce. of Brueckmann &· Co., of Guayaquil, was headed by
L . E. Brueckmann, the .Nazi Consul and several Nazi
4. Defendant I. G. Farben has not exported photo-
consular employes were employes of Farben. Brueck-
graphic materials to the United States and has not
mann was cited as the center .o f Nazi secret service
exported photographic developers to the United
in Ecuador. The manager of Brueckmann's, Herr
States, except· through co-conspirator Agfa-Ansco
Tetke, and the treasurer, 'Herr Ruperti, were the
until its merger and thereafter through defendant
leading Na.zis in Ecuador. ·
General Aniline.
Brueckmann had a branch-the Sociedad Indus-
5. Co-conspirator .Agfa-Ansco until its merger and
trias Beco, at: Manta, Ecuador, managed by Brueck-
thereafter General Aniline have been prevented (1)
mann's son-in-law, Joachim Arantia Gonzales. . It
from manufacturing photographic developers in the
was the fountainhead of Nazi propapnda under the
United States; (2) from exporting photographic ma-
direction of a native of Ecuador, Emmanuel Pauta
terials from the United States.
Cordova. Brueckmann himself was apparently im"
6. Defendant I. G. Farben, co-conspirator Agfa- mensely wealthy and socially prominent. His firm had
Ansco until- its merger and there<~ofter defendant a large reserve of pharmaceuticals supplied by La
General Aniline have directly, substantially and un- Quimica Bayer, of Argentina, and the American 14 Feb 2017

Bayer subsidiary of Sterling Products. indictment in the Unite d States. And a principal
The chief ceriter of Naii activiti es in Brazil were director in La Union Quimica of Columbia was Wal-
the Farl>en firms of AlHanca Commercial de Anilinas ther H . Duisberg, once agar a naturalized American, ·
Ltda. and A . Quimica Bayer of Rio de Jan.eiro . named as co-conspirat or against the United States.
H. N . "Beck, of Rua Redempta 99, Rio de J aneiro, Farben firms in C<>lombia were suppli-ed through a
represented Agfa -Ansco . He was a no torious Nazi as bewildering maze of dummy concerns from GEmeral
was Herr Hamers, of Rio, who was a ranking execu- Aniline in N cw York.
tive of Farben and a high member of the Nazi secr et Thus, while the United States proceeded in a
service. Two other Farben-Nazi secret service m~m technical way against I. G . Farben on the grounds
we r e Herr Burrm cister and Herr Max Hahne . that it had crimihally violated the corporation laws .
In Chile -the Farben-Nazi chiefs were Werner Sier- of America, the v aster espionage and propaganda
ing, Nazi Party secretary and manager of German machine which H h mann Schmitz and Max Tigner
Bayer, who organized the Nazi in tel.ligence ser vice in set up to destroy fr ee enterprise andt create national
Chile in 1935; Anna Bradenkamp de Helleman, the and international disunity in the Americas, con·
English born private secretary of Siering, who was tinued to function without serious interference.
regard·ed as an extremely dangero us Nazi secret The United States government did, . however,
agent; Werner Schorr, field director of the Nazi secret move to terminate the foreign ownership of General
service in Chile: and P a ul H cgemann, f ormerly a Nazi Aniline. On Fe b. 16, 1942, Secretary of the Treas-
secret agent and now an empl<>ye of Farma Platense, ' ury Morgent.hau armounced that he had personally
of Argentina, a company owned jointly by Sterling taken over 97 percent of the huge <:ompany's stock.
Products of the United States and I. G . Fart>en of It was an evident stop~gap arrangement to put
Nazi Germany. ownership into American hands pending future sale
In Peru , the two Farben-Nazi chiefs were Dr. of the stock, and thus to end the subterfuge of "neu-
Friedrich Bank and Guillermo Corvejo, both Nazi tral Swiss owner~hip," which had permitted millions
secret service m-en and executives of the Farben Com- in profits to go to I. G . Farben in Germany.
pania General de Anilinas. Among lesser Nazi agents Considerable interest still centered, however, on
was young Curt Kusel , whose mother ran a boarding the ultimate disposition of the 97 percent stock-
house in Calle P orta, Mirafiores, from whence the holdings. Farben interests were known to be secret-
Nazis operated a '5hort wave wireless trans~nitting ly hoping that certain American groups long friend-
station . ly to them would acquire the stock. ·
Alfred Becker anq Arnold Margerie, the l<'arben And in Washington a· dispute between the Treas-
executives of La Quimica Bayer, in Caracas, ran the ury and Justice Departments over which shoulct
Farben-Nazi subversive activ ities in Venezuela and have jurisdiction over the Alien Property Cus-
the Caribbean, Margerie, alias Maaserich-was re- todian gave additional aid and comfort to I. G.
garded as one of the most important and most dan~ Far ben and its spiderweb · of interlocking corpora-
gerous Nazi agents in Latin America. ·He was in tions ::md subsidiaries.
constant touch with Berlin at the beginning of 1942. Betw een 7 and 8. billions of dollars in Axis
I. G . Farben had three principal firms in Mexico- owned properties in the United States were under
the Compana General de Anilinas, La Union Quim- little or no regulation while the Treasury and the
iCa, and Casa Bayer . Farben's chief man was Baron Department of Justice disput ed.
von Humboldt, the h ead of the G estapo in Mexico. A s early as Dec. 18, 1941, Leo Crowley had been
The Baron's principal aides in Mex ico were J ohann designated by the P resident as Alien Property Cus-
Martin Fisch er , Theodor Schumacher and Curt Thal- todian . But Crowley wouldn't accept the job 'until
mann, whose duties were to finance and adviS€ .Span-.. th2 wrangle had e nded, until he knew where he
ish F ala ngists in the spread of Axis propaganda. The stood.
Farben firms in Mexico were supplied from G eneral Week after week went by-and the Far b en subsid-
Anilin e and Sterling Products in New York. Among iaries and affiliated companies still carried on, un-
the chief stockholder s and a director in Casa Bayer hampered by the government.
of Mexico was W. E . W eiss. the former chairman of Suppose there had been no dispute. Suppose the
the board of Sterling Products, who was ousted b y Alien Property Custodian had assumed office. Sup-
the American authorities. pose h e had taken ove r the American companies ac-
Adjacent to the Panama Canal on the south, Far- tually owned by Farben, and had Americanized
ben h ad an imposing organization in C~lombia . The their personnel.
Anilinas Alemanas. Quimica Baye r, and Agfa were Still, the job would have been less than half-
thP urincipal Farben subsidiaries. done. For the present outmoded laws give an
The known Farben-Nazi agents in Colombia in- Alien Property Custodian no authority over so-called
cluded J oh annes Hering, Friedrich Birkigt, Walter "American" corporations .which are merely held
Schmidt, H . Wolf, Heinz Schwanhaeuser. Hans Denk in escrow for the Germans by pro-Nazi naturalized
Edgar Stubba, (known . as the Goebbel; of Bogota): citizens ,and certain native Americans.
and Hans Tieclt The Nazi secret agents met secretly
at Tieck's house in Baranquilla. President Roosevelt, under the War Powers Act,
A . principal director in Anilinas Al~mana.s of had the power to end this situation. Congress had
Colombia early in 1942 was that naturalized Amer- the power. But the hidden menace lay neglected
ican, , Dietrich A . Schmitz, in spite ·of b eing u n der as the more sensational war developments of 1942
clamored for attention. 14 Feb 2017

Haunted by the unhangec! kaiser's ghost, the Armies
of Democracy marched to battle qgainst Hitler, vow-
ing "it would be different this time." . In Berlin, the
men of I. G. Farben moved their Puppet Warlords
to the front tor the final struggle, ready to sacrifice
them if need be to conquer the world, in this war or
another war . . . or still another.


charged with the responsibility of safeguarding
CROSS the w. of Asia, and in the conquered

A lands of Europe, the Four Horsemen were riding
again . . . .
America 's internal security were wrangling among
themselves over technicalities and indulging in tri-
fling squabbles over jurisdiction, while the Farben
Now, as the tragic year of 1941 was nearing its
henchmen covered. their trails, erected new dummy
end, they were seen once more in the ominous storm ·
corporations, concealed their vast financial reserves.
clQuds gathering over the Pacific, galloping toward
They even boasted in private that the powerful
America's own shores. Americl;l.n multi~millionaire cnl'porations inter-rwated
Two men already stood condemned in the eyes of with Gern~an companies would mereiy revise their
mankind for starting World War II. Now a third strwctures a bit and continue "Business as Usual,"
sinister figure joined them, and the Unholy Trinity war or no war.
was complete-Hitler, Mussolini and Hlrohito. Their
In fact, the prediction was heard in high circles
ai~ was, and remains, the division of the entire
even after Singapore that the t entative moves to
world among themselves and the annihilation of smash the I. G. Farben structure in the United States
Democracy. would amount to nothing. Washington insiders fore-
Da7..ed bewildered millions, whom the war had saw no more than a few small fines, perhaps a sus-
not toudhed before, now joined the embattled na- ,, pended se ntence or two, with no laying bare of the
tions fighting for survival. To theiT). the world strug- inside s tory of America's portion of war guilt for
gle had but one object-to rid the earth of these World War II.
three men and all they stood for. That, then, is why this documented story is now
Yet these three were but symbols, after all. Con·· being published.
cealed from public view were the facts about the
real architects of Armageddon. S till worse, the Lest the American people forget , lest they b e con-
great mass of liberty-loving people in Ameriea were de.mned to pel'petual ignorance of the hidden corpo-
./holly ignorant of the ex•tent to which their own rate relationships between American organizations
money had been used to feed tho Beast of the Apoc- and German monopolies, ·t his authentic chronicle of
alypse. the hitherto unrevealed facts is submitted to you as
though it were an indictment and the American
They were hardly l·css ignorant even after the
people themselves were sitting as a jury to determine
United States finally started to catch up with the
war guilt in the midst of total war itself.
I. G. Farben intrigues. They knew that the Farben
interests had lJcen accused nf conspiring to monopo- Here, therefore, is the draft of an indictment of
lize a huge part of our indispensable drugs and those who conc-eived and engineered the Axis plan
chemicals. That was revealed in an indictment of total war, the men who sit behind the hired assas-
charging the Farben companies with conspiracy in ·sins of natjons, Hitler, Mussolini and Hirohito.
restrain.t of trade . · For the supreme crime of total war against civili-
What the American people did not know w:as the zation, the full penalty is demanded for the fol-
sinister role played by I. G. Farben in shaping and lowing:
exploiting the world conflict. Will they know it even
Hermann Schmitz, generalissimo of I. G. Farben
when--.;:-AND IF-the government brings the Farben-
Nazis :ind their associates into court? Assuming that Max Ilgner, hls second in command
the trials are held, will the whole story come out? General Karl Haushofer, draftsman of the German
design , for world conquest
Or will the proceedings be as weakly innocuous
as the income-tax evasion trials of notorious Amer- Fritz Thyssen, Nazi industrialist, confessed banker
ican gangsters? They, you remember, were tried for Hitler
and imprisot;ed for the least of their crimes. Hjalmar Schacht, whose financial wizardry facili-
tated Nazi armament
Months after Pearl Harbor, the legal machinery
which should have lQng before this overtaken the KruJlP von Bohlen, Germany's cannonmaker and
German dye and· chemical conspirators in the United world's greatest manufacturer · of armament
States was still stalled on · the roadside. Officials Karl Duisberg (deceased), whose ehemlstry per- 14 Feb 2017

fected ersatz materials and ersatz food for Ger- one-fourth of the dyestuffs manufactured and
many's first world war and hastened World sold in this country.
War II I. G. Farben industrie, A. G., of Germany, super-
Karl Bosch (deceased), whose chemishy gave Ger- monopoly of the German chemical and dye
many the three most deadly poison gases ever trust, with headquarters in Frankfort-on-Main.
invented Hermann Schmitz, of I. G. Farben, Berlin.
Fritz Haber (deceased), inventor of synthetic nitro- Dietrich A. Schmitz of Greenwich, Conn., brother
gen, with which Germany triumphed over the of I . G. Farben's generalissimo, long a director
allied blockade of General Aniline and Film Corporation and
its president until 1941. He .also owned a ma-
Karl Bosch, Jr., high official of I . G. Farben jority interest in General Dyestuff Corp., until
Karl Duisberg·, Jr., high official of I. G. Farben 1939. I ·

Heinrich Gattineau, old Karl Duisberg's secretary E. K. Halbach of Short Hills, N . J., long a director
and president of General Dyestuff and owner
Field Marshal Hermann (ioering Nazi economic of its majority interests from 1939 to the present
dictator and apostle of unlimited air warfare time.
Dr. Joseph Goebbels, instigator of race hatred as a Hans W. Aickelin of New York City, director and
weapon of total war vice-president of General Aniline.
Heinrich Himmler, responsible for the Gestapo Ernst Schwarz, for many years director and pres- ·
scourge visited upon Germany and her con- ident of Agfa-Ansco Corporation, later vice-
quered neighbors alike. president and director of General Aniline
But .wait! These are not all. True; they are the F . William von Meister, New York City, vice-pres-
ringleaders, but what about their accomplices? What ident of Ozalid Corporation until its absorption
about the native-born citizens qf North and South by General Aniline and, since then, manager of
America who are still doing their bidding? And the its Ozalid Products Division
Lavals, the Serrano Suners, the Fa·r ben lackeys in William H. vom Rath of New York City, long sec-
Japan? retary and director of General Aniline
Are they to go fr ee, perchance, if Farben and its
Na med as co-conspirators w ere:
arch conspirators are destroyed, to seek some other
conquistador in whose service to loot mankind? Agfa-Ansco Cor poration of New York, one of the
country's largest makers of photograpJ:i.ic sup-
Already the Federal Government has indicted sev- plies
eral of the German ringleaders of I. G . Farben and
Grasselli Chemical Company of Cleveland, Ohio ·
certain of th eir American associates for conspiracy
in restraint of trade and commerce in dyestuffs and General Aniline Works, Inc., of New York
heavy chemicals. The United States government, for Farbenfabriken vorm. Friedr. Bayer & Co.
reasons not evident, waited nearly 20 years to prose- Rudolf Hutz of Englewood, N . J., vice-president
cute the I. G . Farben agents, representatives and of General Aniline, former German SPY .
Still more perplexing is the' fact that World War II Walter H. Duisberg, Englewood, N.J., former vice-
president of General Aniline and son of old
had been under way for more than two years before Karl Duisberg, one' of Germany's original seven
these indictrnents were filed. By that time, the Axis plotters.
war chest had been filled to overflowing with money
derived largely from the sale of German-controlled Kalle & Company of Germany, Farben subsidiary
chemical and medical products throughout the United Ozalid Corp&ration of Delaware
States and the western he misphere! Ozaphone Corporation of America
Lest the American people forget, lest some giant
These indictments of corporations and individuals
monkey-wrench be throw'n into the federal legal
suggest the possibility that the evidence to be pro·
machinery, the names and identities of those in- duced at the trial stage may touch upon wider aspects
dicted as defendants or named as co-conspirators in of the operations of the I. G. Far ben affiliates in this
the aforementioned charge of conspiracy and re- hemisphere
straint of trade . are here set forth:
However, in very much the same kind of proteed-
General Dyestuff Corporation of New York City, ings brought against General Aniline's well-known
exclusive sales agents in the United States for associate, Sterling Products, charging conspiracy
dyestuffs bought from I . G. Farben or dyestuffs and combination in restraint of trade, the case never
sold by I. G. Farben in the United States. This went to court as has been shown, because a consent
company also acts as . exclusive agent in the decree·· was arranged.
United States for all dyestuffs manufactured by In that indictment, Sterling Products, three of its
Ge"neral Aniline & Film Corporation. These subsidiaries and two of its principal officers were
dyestuffs aggregate approximateiy 25% of the named.
dyestuffs sold .in the United States.
General Aniline & Film Corporation of New York They were:
City, one of the largest manufacturers of dye- Winthrop Corporation Of New York.
stuffs in the United States, which makes about The Bayer Company, Inc. 14 Feb 2017


~--· ,.._

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Farben's head men were ordered to become naturalized citizens of the countries which they exploited
for the enrichment of Germany. But Uncle Sam s me/led a rat in the attempt to "Americanize" the
Farben holdings after Adolf Hitler had plunged civilization into its most destructive war, 14 Feb 2017

Alba Pharmaceutical Company. structures established by the Farben group in t' '1is 1

W. E. Weiss, native American, born in Canton, country are moving about with complete itnlnunli.y,
Ohio, chairman of the board, general manager and a because, as naturalized American citizens, tl).ey ha·•: e
director of Sterling Products, - as well as an officer the same -ri~hts and gua rantees as native-born citize s . .
and director of mo~ of its subsidiaries; also diroctor These powerful figures, many of them suspected
of General Aniline & Film Corporation. of loyalty to Nazi Germany, continue to dired vast
A. H . Diebold, his colleague. corporate activities in the United States 'and in the
By virtue of Attorney Thomas Corcoran's skillful countries of Latin America. A few have been re-
negotiating, the govermnent's case was brought to a moved by adion of the U. S. Treasury. · But other
compromise, and· in the consent decree that . tel'lJDI- Farben men, waving the American ffag and vocif-
nated the litigation the following mild penalties were erous in their democratic protestations, continue to
imposed; operate the gigantic companies, piling up multipl~
A fine of $5,000 each for Sterling Products, Win- millions in profits, perchance to be conveyed secretly
throP Chemical and Alba Pharmaceutical. to the Axis via dummy corporations in neutral
A fine of $1,000 each for Weiss aud Diebold ~ith
a further stipulation that both of them were to resign Skillful Iega.l talent, cunning lobby work, every •.
their executive posts with Steding Products. They trick and every stratagem of delay ·and subterfuge,
did so, but in a matter of weeks, appeared again in is being empl{)yed by the Fariben men inthe United
the Sterling set-up as members of the Finance Com- States to remain at the helms of tne hYdra-headed
mittee! monopolies in the· W estern Hemisphere. . .
_ Two key executives of the General Aniline and Will the American associates and accomplices of
Sterllng Products ·g roups were pivotal figures in the the I. G. Farben hegemony wriggle out of the net
search for the whole truth . They were:'-· that slow-moving Amer ican sleuths are weaving
Hugh S. Williamson, vice-pres1dent and treasurer around them? ·
of ·General Aniline;
Is there no sure, fool-proof way to uproot these
Earl I. McClintock, v ice-pr:esident and directing
hidden tentacles of the German I. G. Farben Oc-
head of . Sterling Products. . topus?
When these men speak forth, or when the tlme
comes for a full inquiry, the public should get the Will countless other millions of American money
whole story. , paid in the purchase of household chemicals, family
Much also remained to be delved into about the medicines and camera supplies be drained away
relationship between the Fartben interests and the through secret channels to feed and propel Hitler's
Fol,'d Motor Company. Ford's large factory in Col- juggernaut in its assaul"t upon civilization?
<>gne, Germany, was being operated by Farben soon lF SO. THE WAR AGAINST TilE AXIS WILL BE
after the outbreak of war and was tu..."'lling out tank FOUGHT IN VAIN. ANOTHER WAR WILL FOL-
after tank. Did this imply a reciprocal agreemen<t . LOW SWIFTLY UPON THIS STRUGGLE AND
of some sort between the two industrial giants? STILL . ANOTHER, IN · TERRIFYING, . l'ARALYZ-
As for Standard Oil (Esso) o-f N. J., the Senate in ING SUCCESSION, ENRICHING THE OCTOPUS
late February, 1942, had commenced an investig&.tion OJi' GERMAN INDUSTRY UNTIL BERLIN'S DREAM
into 1Jhe charges that Germany, through patents ex- OF WORLD EMPIRE WII-L BE FINALLY
clusively consigned to a Standard subsidiary, had
held up the development of a synthetic rubber indus-
,ACHIEVED ..__ .. _____ _
try in the United States for years.
Goodyear and Goodrkh, both of which sought the BOOKTAB, INC.
Farben patents from Standard Oil, were unable to
get them. Moreover, it was r evealed in the Senate
521 Fifth Avenue,
that Farben had withheld the essential "know how " New York City, New York
evt n from Standard.
A fair a:nd thorough trial is d emanded for those Please send me the next 6 BOOKTABS to be
American citizens employed in Farben-owned or affil- delivered by mail within 6 months.
iated companies who assisted , innocently or wittingly,
the agents of I. G. Farben in establishing the vast For the series of 6 BOOKTABS, including all
network of chemical, medical and film monopolies, postage and mailing charges, I enclose $1.00
whose profits in the western h emisphere helped so in cash-check-money order.
·substantially to finance the A xis .conquests.
Already, the shadowy figures of the Farben con-
sortium in the United States were cloaking the mselves Name
in the protective robes of naturalized American citi-
zenship. The very laws that g'Uarantee freedom an,d Address
security to inhabitants of this democracy are bei:rig
invoked by these dangerous men to frustrate the City State . . , ....•.
will of the American government.
Powerful figures of the chemical, medical and film r
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