Messersmith, G.S., Vienna. To the Secretary of State [Cordell Hull], Washington.

Messersmith, George S. (George Strausser), 1883-1960.
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Special Collections, University of Delaware Library
Amnesty granted political prisoners included many Socialists as well as National Socialists; negotiations underway to improve commercial relations with Germany; any commercial arrangement likely to be disappointing to Austria; Germany willing to take Austria's wood and cattle but wants to pay for them with goods Austria doesn't want; rumors that Austro-German accord has secret clauses, but thinks these rumors not founded on fact; disturbance took place July 29 when Olympic flame was carried through Vienna on way to Berlin, caused by well-organized groups of Nazis; government took immediate action and 500 to 700 were arrested; since accord of July 11 some uncertainty as to stand government would take, but should be no uncertainty now; doubts disturbances incited by Berlin, though [Josef] Goebbels agents known to be in Austria; visited Countess [Muriel] Seherr-Thoss recently at her summer place in Carinthia; was riding with her in her car, which had German license plate, when approached by two youths who jerked open car door and demanded offensively, "where is your Hakenkreuz?" typifies kind of people who make trouble in Austria; persistent rumors during past that Chancellor would resign, that he will marry again,and that there is to be complete cabinet reorganization and new cabinet will be Nazi; Chancellor may marry but other rumors can be discounted; [Franz] von Papen disappointed; was given personal rank of Ambassador in charge of German Legation in Austria, but he wanted to be sent to London; Italians had to show what a great part they played in negotiations leading to Austro-German accord, and have given the Italian Minister to Austria, [Gabriele] Preziosi, Ambassadorship to Belgium; few tears will be shed at his leaving Vienna; Germans want Olympic Games and September Party meeting out of way before Locarno meeting and are endeavoring to push that meeting into October; efforts of German diplomacy will be directed toward isolation of Russia; Germany feels Japan will be on her side; Hitler is being advised by best German authorities that he cannot yet undertake war with a major power; well known German reported Germany not interested in Central European bloc as it would be based on Germany, Italy, and other weaker countries without money, credit, raw materials, or control of the seas; British position now more reassuring; friend reported [Sir Samuel] Hoare had made it clear that England would try to arrive at solution by negotiation, but had no illusions and intended to accelerate armament program; dictators dangerous wherever found, and there can be no enduring peace as long as they exist; situation in Spain presents threat; sympathies of Italy and Germany with the revolutionary forces while those of England and France are with the Government; democratic governments exercise restraint about actively taking sides, but very poorly concealed aid has been given by Italy to the revolutionary forces, for which a Franco government must pay a price - probably a naval and air base in Majorca; thinks now one can expect new evidences of Italo-German cooperation; in Austria, National Socialist activities bound to increase, and the "nationally minded" elements, growing in strength and gaining influence in government; possible that Chancellor may be engulfed by forces Austro-German accord set in motion, but he will make valiant effort.
Messersmith, George S. (George Strausser), 1883-1960.