Fortieth Day:
Tuesday, 22nd January, 1946
[Page 68]
Finally, through their purchases on the black market, the
Germans procured an enormous quantity of textiles, machine
tools, leather, perfume, and so forth. The French population
was almost completely deprived of textiles during the
occupation. That is also true for leather.
Now, I reach Section 4, the removal of industrial tools. I
shall not impose on your time; this question has already
been treated as far as the other occupied countries are
concerned. I would merely point out that in France it was
the object of statistical estimates which I submit to you as
Exhibit RF 251. These statistical estimates show that the
value of the material which was removed from the various
French factories under private or public enterprise exceeds
the sum of 9,000,000,000 francs.
It was observed that for many of the machines which were
removed, the Germans merely indicated the inventory value
after reduction due to depreciation, and not the replacement
value of the machines.
I now come to Section 5: Securities and Foreign Investments,
in document EC 57 which I submitted as Exhibit RF 105 at the
beginning of my presentation,
[Page 69]
I had indicated that the defendant Goering himself had
informed you of the aims of the German economic policy, and
that he ventured to say that the extension of German
influence over foreign enterprises was one of the purposes
of that policy.
These directives were to be expressed much more precisely in
the document of the 12 August, 1940, which I submit as
Exhibit RF 252, and from which I shall read a short extract.
On the 14 August, 1940, an ordinance was published in
V.O.B.I.F., Page 67, forbidding any negotiations regarding
credits or foreign securities. But mere freezing of
securities did not satisfy the occupying power; it was
necessary for them to become outwardly the owners of the
securities in order to be able if necessary, to negotiate
with them in neutral countries.
They had some agents who purchased foreign securities from
private citizens who needed money, but above all, they put
pressure on the Vichy Government to hand over the principal
French investments in foreign countries.
That is why, in particular, after long discussions, in the
course of which the German pressure was very great,
considerable surrenders of investments were made to the
Germans.
It is not possible for me to submit to the Tribunal the
numerous documents concerning the surrender of these
investments, the minutes, the correspondence, the survey.
They would, without exaggeration, take up several cubic
metres. I shall merely quote several passages as examples.
Concerning the Bor Mines Company, the copper mines in
Yugoslavia, of which the greatest part of the capital was in
French hands, the Germans appointed on 26 July 1940, an
administrative Commissar for these branches of the company
situated in Yugoslavia. I submit this to the Tribunal as
[Page 70]
In the course of the discussions of the Armistice Commission
Hemmen declared - and this is found in an extract from the
minutes of 27 September 1940 which I submit to the Tribunal
as Exhibit RF 255:
All these concessions, apparently agreed to by the French,
were only accepted under German pressure.
[Page 71] [
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(Part 7 of 8)
[M. GERTHOFER continues] "Since "-as the document says-" the principal economic
enterprises are in the form of stock companies, it is
first of all indispensable to secure the ownership of
securities in France."
Further on it says:
"the exertion of influence by way of directives..."
Then the document indicates all the means to be employed to
achieve this, in particular this passage concerning
International Law :
"According to Article 46 of the Hague Convention,
concerning land warfare, private property cannot be
confiscated. Therefore the confiscation of securities is
to be avoided in so far as it does not concern
securities belonging to the State. According to Article
42 and following of the Hague Convention concerning land
warfare, the authority exercising power in the occupied
enemy territory must restrict itself in principle to
utilising measures which are necessary to re-establish
or maintain order and public life; to conform to
International Law it is forbidden in principle to
eliminate the still existing boards of companies and to
replace them by 'Kommissars.' Such a measure would, from
the point of view of International Law, probably not be
considered as efficacious. Consequently, we must strive
to force the various boards of companies to work for the
German economy, but not dismiss these persons..."
Further on :
"If these boards refuse to be directed, we must dissolve
them and replace them by others of which we can make
use."
We will briefly consider the three categories of seizure of
financial investments, which were the purpose of German
spoliation during the occupation, and first of all the
seizure of financial investments in companies whose
interests were abroad.
"Germany wishes to acquire the shares of the company,
without concern for the juridical objections made by the
French. Germany obeys, in fact, the imperative
consideration of the economic order. She suspects that
the Bor Mines are still delivering copper to England,
and she has definitely decided to take possession of
these mines... "
I now submit to the Tribunal, as Exhibit RF 256, an extract
from the minutes of a meeting held on 4 October, 1940, which
Hemmen faced with the refusal of the French delegates,
stated,
"I regret to have to transmit such a reply to my
Government. See if the French Government cannot
reconsider its attitude. If not, our relations will
become very difficult. My Government is anxious to bring
this matter to a close. If you refuse, the consequences
will be extremely grave."
M. de Boisanger, the French Delegate, replied:
"I will therefore put that question once more."
And Hemmen replied:
"I shall expect your reply by to-morrow. If it does not
come, I shall transmit the negative reply which you have
just given."
Then, in the course of a meeting on 9 January 1941, Hemmen
stated - and I submit again an extract from the minutes,
which will be Exhibit RF 257:
"I had, from the beginning, been entrusted with this
affair at Wiesbaden. Then it was discussed by the Consul
General Neuhausen, on behalf of a very high-ranking
personage, (Marshal Goering) and it was handled directly
in Paris with M. Laval and M. Abetz."
As far as French investments in petroleum companies in
Roumania are concerned, the pressure was no less. In the
course of the meeting of 10 October 1940, of the Armistice
Commission, the same Hemmen stated - and I submit this as
Exhibit RF 258, an extract from the minutes of the meeting:
"Moreover, we shall be satisfied with the majority of
the shares. We will leave in your hands anything which
we do not need for this purpose. Can you accept on this
point in principle? The matter is urgent. As for the Bor
Mines, we want all."
On 29 of November 1940, Hemmen stated again - and I submit
this extract of the minutes of the Armistice Commission
meeting as Exhibit RF 259:
"We are still at war and we must exert immediate
influence over petroleum production in Roumania.
Therefore we cannot wait for the peace treaty."
When the French Delegates asked that the surrender should at
least be made in exchange for material compensation, Hemmen
replied:
"Impossible. The sums which you are to receive from us
will be taken out of the occupation costs. This will
save you from using the printing-press. This kind of
participation will be generalised on the German side
when the collaboration policy has been defined."
We might present quotations of this kind indefinitely, and
many even much more serious from the point of view of the
violation of the provisions of the Hague Convention.