Messersmith, G.S., Vienna. To Cordell Hull, Washington.

Date
1937-02-09
Journal Title
Journal ISSN
Volume Title
Publisher
University of Delaware Library, Museums and Press
Abstract
Description
Internal loan of 180,000,000 schillings announced; proceeds of loan to be devoted public works and retirement of short-term treasury bills; should reduce unemployment and prevent devaluation of schilling; favorable development of Austria's industrial and economic position reflected in increasing tax returns without increased tax rates; mentioned in last letter the so-called cultural organizations which are disguised Nazi groups, and support they were receiving from Cabinet members [Eduard] Glaise-Horstenau and [Odo] Neustädter-Stürmer; indicated Neustädter-Stürmer would be removed from office; Chancellor withholding action until after visit of German Foreign Minister [Konstantin] von Neurath on Feb. 22 and 23 as Germans would take it amiss if he were removed just before von Neurath's visit; thinks von Neurath visit has no special significance; he is merely returning visit which [Guido] Schmidt made to Berlin; Police President of Vienna [Michael] Skubl thinks Austrian Nazis may use von Neurath visit as occasion for demonstrations; Skubl mentioned as possible successor to Neustädter-Stürmer; Chancellor's planned marriage to Countess Fugger called off; Catholic Austria generally disapproved of match because Countess Fugger's former marriage annulled; Chancellor a real patriot, devoted to task of maintaining Austria's independence and will do nothing that will weaken his position; restoration question again coming to the front; Chancellor sees no one to whom he could pass on government, and is seriously considering return to monarchy, but makes it clear restoration would be for Austria only, with no territorial or revisionist objectives; externally, less objection to restoration now than formerly, except in Germany; internally, transition could be made overnight without disturbance; public has been prepared by press and assured that restoration would mean a democratic monarchy with a Hapsburg at its head; still believes restoration not in near future, and hopes Austria can return to democratic government in form of republic; Germans trying to get control of Austrian film industry as means of spreading political propaganda; German interests already control most Austrian news stands in order to press on Austrian public German newspapers and periodicals; [Paul Josef] Goebbels finds money for these activities, while Germany insists she has no exchange for raw materials or to pay interest on foreign debts; Germany continues to press for colonies; Lord [Irwin] Halifax at head of British Foreign Office during [Anthony] Eden's absence on vacation, and [Joachim] von Ribbentrop to have discussion with him; thinks Halifax will be attentive but unresponsive listener; Hitler's Jan. 30 speech shows that he means to retain every item of the National Socialist program; England will concentrate on rearmament as only thing left to do; has heard rumors that [Walter] Runciman made proposals while he was in U.S. of an international loan for Germany; if he actually did, hopes he got the cold shoulder he deserved; [Franz] von Papen still unhappy in Austria; he was disappointed that he was not sent to London, and tells visiting Englishmen that if he were in London he could "make peace in a month"; German efforts to separate Europe into two ideological camps failing; German pressure on Czechoslovakia continuing; primary objective to break up Czech-Soviet and Franco-Soviet agreements; German-Italian cooperation continues, but half-heartedly on Italy's part; Mussolini does not want war and attempts to counteract German influence in Central and Southeast Europe; Germany will press for bi-lateral pacts as opposed to collective security; has been reading [Prince Bernhard] Bülow's Memoirs; very clear that humiliation of England and placing of her in secondary position is long range aim of German policy; articles inspired by Berlin appearing in European press indicate Little Entente is breaking up, but thinks common fear of Germany will hold Little Entente States together; Germany pushing fortification along Rhine; if she can hold out internally until fortifications are complete, resistance to her pressure in Southeast Europe will be decreased with France and England immobilized; after Jan. 30 speech Hitler gave golden insignia of the Party to [Konstantin] von Neurath, [Hjalmar] Schacht, [Ludwig Schwerin von] Krosigk, [Werner] von Fritsch, and Elz von Rubenach, members of the Government who have not been members of the Party; Rubenach, a strong Catholic,resigned from the cabinet rather than accept; an office for Auslands Deutschen has been established as separate division in German Foreign Office; it's concern is the propagandizing and control of Germans all over the world, even though they may be citizens of another country; office under direction of [Ernst Wilhelm] Bohle; Count [Richard Nicolaus] Coudenhove-Kalergi wrote article in Pan-European Magazine showing how hypocritical is Berlin's campaign against Russia; situation of German churches grows worse; Government getting rid of church schools and prohibiting religious instruction in schools; aim is complete coordination of churches, theatres, films, schools, press, and all public opinion forming means; in recent speech by member of German General Staff necessity of waging ruthless war from the outset was stressed; Duke of Windsor's sister Mary has been spending week with him; rumored that she had come to dissuade him from marrying Mrs. [Wallis Warfield] Simpson, but this is not the case; Duke continues to live quietly while waiting for Mrs. Simpson's divorce to become final.
Keywords
Messersmith, George S. (George Strausser), 1883-1960.
Citation