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WAR CAPACITY
OF GERMANY
Vast Resources
Abroad
From Our Special Representative
WASHINGTON, Dec. 27.
Despite her overwhelming
defeat, Germany's capacity to
start another war has not been
eliminated, according to a
three-volume report by the US
Foreign Economic Administration.
Recalling bow the Germans pre
pared for war immediately after
their defeat in 1918 by carrying on
military research and experimenta
tion in neutral countries and Rus
sia, tbe report says that Germany
still has vast resources planted
abroad, and^iothing has been done
to bring them under control.
It is estimated that the Germans
hold $1,000 million in physical
assets, stocks and bank deposits in
Spain, Portugal, Sweden. Switzer
land and the Argentine.
Some of this was secreted as far
back; as 1943, when Germany fore
saw defeat. Moreover, key "tech
nicians were quietly sent to neutral
countries. Several thousands are
working in Spain.
I.G. Farben controls the great
Spanish chemical firm of Elextro
quimca de Flix, and the Germans
have interests in several large
Swedish firms. .
The report cites numerous
examples of German activity else
where.
Since German experts-abroad are
the nucleus of the General Staff,
aiming at the restoration of the
Reich, the Federal Economic Ad
ministration recommends, wherever
possible, that Germans who left
Hitler's Reich to take up posts or
become residents abroad in recent
years should be forced to return to
Germany.
It is pointed out. however, that
neutral Governments refuse the
Allies information about them, and
there is little opportunity of trac-;
ing the extent of possible German
conspiracies.
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