CHAPTER XII

LABOR

David Lamar--Labor's National Peace Council--The embargo

conference--The attempted longshoremen's strike--Dr. Dumba's

recall.

Labor produced munitions. The hands of labor could be frightened

away from work by explosions, their handiwork could be bombed on the

railways, the wharves, the lighters, and the ships, but a surer method

than either of those was the perversion of the hearts of labor. So

thought Count von Bernstorff and Dr. Albert, who dealt in men. So

thought Berlin--the General Staff sent this message to America:

"January 26--For Military Attaché. You can obtain particulars as

to persons suitable for carrying on sabotage in the United States

and Canada from the following persons: (1) Joseph McGarrity,

Philadelphia; (2) John P. Keating, Michigan Avenue, Chicago; (3)

Jeremiah O'Leary, 16 Park Row, New York.

"One and two are absolutely reliable and discreet. Three is

reliable, but not always discreet. These persons were indicated by

Sir Roger Casement. In the United States sabotage can be carried

out on every kind of factory for supplying munitions of war."

(Signed) "REPRESENTATIVE OF GENERAL STAFF."[3]

So too thought von Rintelen, who hired men--usually the wrong ones.

Full of his project, he cast about for an intermediary. No sly chemist

or muscular wharf-rat would do for this delicate task of anesthetizing

men with the gas of German propaganda while it tied their hands and

amputated their centres of right and wrong; the candidate must be a man

of affairs, intimate with the chiefs of labor, skillful in execution,

and the abler the better. Von Rintelen would pay handsomely for the

right man. Whereupon David Lamar, the "Wolf of Wall Street," appeared

on the scene and applied for the job--an entrance auspicious for the

United States, for the newcomer's philosophy (if one could judge from

his previous career) was "Me First."

In an attempt to defraud J. P. Morgan & Co., and the United States

Steel Corporation Lamar had once impersonated Representative A.

Mitchell Palmer in certain telephone interviews. (Palmer became

custodian of alien property after the United States entered the war.)

He was convicted and sentenced to two years' imprisonment in Atlanta

Penitentiary. He appealed the case, and while he was out on bail

pending the appeal, he fell in with Rintelen.

In April, 1915, a New Yorker who dealt in publicity was introduced to

Rintelen, or "Hansen," by Dr. Schimmel. Rintelen offered the publicity

man $25,000 to conduct a campaign of propaganda for more friendly

relations with Germany, to offset the commercial power Great Britain

bade fair to have at the end of the war, and assured him that he would

go to any extreme to prevent shipments of munitions to the Allies. The

war, he said, would be decided not in Europe but in America. There must

be strikes in the munitions factories.

When the publicity man heard also that Rintelen was trying to stir up

trouble with Mexico, he wrote on May 13 to Joseph Tumulty, President

Wilson's secretary, informing him of the German's intentions. He was

referred to the Department of Justice, and at their dictation continued

in contact with Rintelen. Shortly thereafter David Lamar and his friend

Henry Martin took a trip to Minneapolis, where they met Congressman

Frank Buchanan and Ex-Congressman Robert Fowler, both of Illinois. Out

of that conference grew a plan for forming a labor organization the

object of which was ostensibly peace, and actually an embargo upon the

shipment of munitions abroad, but whether Buchanan and Fowler knew of

von Rintelen's connection with the scheme remains to be proved. It can

be readily seen that such a labor organization, if it had actually

represented organized labor, could have forced such a stoppage, either

by its collective potential voting power and influence, or by fostering

a nation-wide strike of munitions workers.

The nucleus formed in Chicago, about one William F. Kramer. "Buchanan

and Fowler came to me in June here in Chicago," said Kramer, "and told

me about their plan to form a council. We opened headquarters, and we

engaged two organizers, James Short and J. J. Cundiff, who got $50

a week apiece, a secretary, L. P. Straube, who got $50 a week, and

a stenographer. I was a vice-president, but I didn't get anything.

We were known then as Labor's Peace Council of Chicago, and we were

supposed to be in it because of our convictions against the shipment of

munitions. And I'll say that organized labor was made the goat."

Buchanan had no idea of restricting the council to one city. He called

upon Samuel Gompers, head of the American Federation of Labor, at

Atlantic City on June 9 and tried to induce him to back a movement

in Washington for an embargo. Gompers refused flatly and completely

to have anything to do with the plan, especially when Buchanan made

known his associates. Those associates were busy meanwhile lobbying

in Congress, representing themselves as friends of organized labor,

and pressing the embargo question. About a week later Congressman

Buchanan inflated the Chicago organization into Labor's National Peace

Council, with headquarters at Washington, to recommend the convocation

of a special session of Congress at once to "promote universal peace,"

which meant simply "to promote the introduction and enactment of an

embargo." Its members met frequently, and annoyed the President and

other important men,--even Andrew Carnegie,--with their importunings

for attention, and got exactly what they wanted--wide publicity.

About July 10 Andrew D. Meloy, whose office in New York Rintelen was

sharing at the time, noticed that his German associate began to keep a

clipping-file of news of the Council. Meloy learned of the project, and

assured Rintelen that he was foolhardy to attempt, by bribery of labor

officials, to divert common labor from earning high wages. To which

Rintelen replied brusquely: "Thanks. You come into this business about

11:45 o'clock."

Rintelen sent a telegram to Lamar in Chicago on July 16, the text of

which follows:

"E. Ruskay, Room 700 B, Sherman Hotel, Chicago.

"Party who receives $12,500 monthly from competitors is now

interfering with business in hand. Do you know of any way and

means to check him? Wire.

"F. BROWN."

"Ruskay" was Lamar. Later in the day the German sent this message:

"Twelve thousand five hundred now at capitol. Conference here

today plans to guarantee outsiders and settlement possible within

few days. New issue urgently needed. Notify B."

The "party" mentioned in the first despatch was the code designation

for Gompers, and he was indicated in the second message as "Twelve

thousand five hundred." "B" was Buchanan, upon whose connection with

labor Rintelen told Meloy the success of the plan rested. Lamar hurried

to New York, arriving July 19, and met Rintelen in a limousine at the

100th Street entrance to Central Park; on the ride which followed the

"Wolf" told Rintelen that a strike then going on among the munitions

workers at Bridgeport was "only a beginning of his efforts," and that

within thirty days the industry would be paralyzed throughout the

country. Meloy advanced the information that Gompers had just gone to

Bridgeport to stop the strike, to which Lamar replied:

"Buchanan will settle Gompers within twenty-four hours!"

The clippings kept coming in as testimony to the vigorous work being

done by the organization's press bureau: the Council attacked the

Federal Reserve Banks as "munitions trusts," it cited on July 8 nine

ships lying in port awaiting munitions cargoes, and attacked Dudley

Field Malone, then Collector of the Port of New York, for permitting

such ships to clear; it claimed to represent a million labor votes,

and four million and a half farmers; it listened eagerly to an address

by Hannis Taylor, a disciple of the late warmhearted Secretary of

State, Mr. Bryan, in which Taylor criticized President Wilson and

was roundly cheered by the German-American element in the audience.

Semi-occasionally during the midsummer heat Charles Oberwager, attorney

for the Council (whose firm had received handsome fees from von Papen),

rose to deny any German connection with the organization. The Council

assailed Secretary Lansing as a man "whose radicalism was liable to

plunge this nation into war." The Council assailed, in fact, any

project which furthered the interests of the Allies. Rintelen began to

have his doubts of the effectiveness of Lamar's work. The bank account

in the Trans-Atlantic Trust Company had dwindled from $800,000 to

$40,000, and Rintelen admitted that his transactions with Lamar cost

him several hundred thousand dollars. Labor's National Peace Conference

died quietly, Lamar flitted away to a country estate at Pittsfield,

Mass., and Rintelen started across the Atlantic Ocean.

August wore on. The Council was getting ready for a second gaseous

session, when Milton Snelling, a representative of the Washington

Central Labor Union, who had been elected a first vice-president of the

Council, withdrew from its membership, because he "discovered persons

participating in the meetings who have been hanging on the fringe of

the labor movement for their own personal aggrandizement, men who have

been discarded ... others never having been members of any organization

of labor," and because Jacob C. Taylor, the cigar-making delegate from

East Orange, N. J., said, in answer to a query as to the Council's

purpose: "We want to stop the export of munitions to the Allies. You

see Germany can make all the munitions she wants." Then--and it may

be coincidence--about one week later the _New York World_ began its

publication of certain of the papers found in the brief case which Dr.

Heinrich Albert, of the German Embassy, allowed to escape him on a New

York elevated train; on August 19 Buchanan resigned the Council, and

Taylor was elected to succeed him.

Indictments were returned against Rintelen, as well as against Lamar,

Martin, Buchanan and their associates, on December 28, 1915. Buchanan

at once exploded with a retaliatory demand for the impeachment of

United States District Attorney Marshall, upon which Congress dared

not take action. Marshall gracefully retired from the trial in May,

1916, lest he prejudice the Government's case, and Lamar, Martin and

Rintelen were convicted of infraction of the Sherman Anti-Trust Law and

sentenced to one year each in a New Jersey prison. Thus ended Labor's

National Peace Council, thanks to David Lamar.

The project for an embargo looked attractive to the Embassy,

however--so attractive that while the Council was at the height of its

activity, Baron Kurt von Reiswitz wrote on July 22, 1915, from Chicago

to Dr. Albert:

"Everything else concerning the proposed embargo conference you

will find in the enclosed copy of the report to the Ambassador. A

change has, however, come up, as the mass meeting will have to be

postponed on account of there being insufficient time for the necessary

preparations. It will probably be held there in about two weeks.

"Among others the following have agreed to coöperate: Senator

Hitchcock, Congressman Buchanan, William Bayard Hale of New York and

the well known pulpit orator, Dr. Aked (born an Englishman), from San

Francisco.

"Hitchcock seemed to be very strong for the plan. He told our

representative at a conference in Omaha: 'If this matter is organized

in the right way you will sweep the United States.'

"For your confidential information I would further inform you that the

leadership of the movement thus far lies in the hands of two gentlemen

(one in Detroit and one in Chicago) who are firmly resolved to work

toward the end that the German community, which, of course, will be

with us without further urging, shall above all things remain in the

background, and that the movement, to all outward appearances, shall

have a purely American character. I have known both the gentlemen very

well for a long time and know that personal interest does not count

with them; the results will bring their own reward.

"For the purposes of the inner organization, to which we attribute

particular importance, we have assured ourselves of the coöperation of

the local Democratic boss, Roger C. Sullivan, as also Messrs. Sparman,

Lewis and McDonald, the latter of the _Chicago American_. Sullivan was

formerly leader of the Wilson campaign and is a deadly enemy of Wilson,

as the latter did not keep his word to make him a Senator; therefore,

principally, the sympathy of our cause."

One is inclined to wonder where Rintelen's vast credits went, during

his short visits in 1915. Lamar took a goodly sum, as we have seen;

the negotiations for the purchase of the Krag rifles cost him no small

amount; his ship bomb activities required a considerable payroll.

But as further evidence of the high cost of causing trouble, we must

consider briefly the profligate methods he employed in other attempts

to inflame and seduce labor.

A walkout by the longshoremen of the Atlantic coast would cripple the

supply of munitions to Europe, and might be successful enough to cause

a shell famine in France of which the Central Powers could readily

take advantage. There were 23,000 dock-workers in American ports; they

must be guaranteed a certain wage for five weeks of strike; the cost

in wages alone would therefore amount to about $1,635,000, besides

service fees to intermediaries. He had the money, and the first step

was taken in the otherwise placid city of Boston.

On May 7, 1915, the day the _Lusitania_ sank, William P. Dempsey, the

secretary-treasurer of the Atlantic Coast International Longshoremen's

Union, met Dennis Driscoll, a Boston labor leader and former city

office-holder, at the old Quincy House in Hanover Street. Driscoll

said that Matthew Cummings, a wealthy Boston grocer, had outlined to

him the plan for the strike, and said he was acting for parties who

were willing to pay a million dollars. Dempsey maintained his poise

when the startling information was recited, but he was frightened,

and at the conclusion of the interview he telegraphed at once to T.

V. O'Connor, the president of the union, requesting an interview. The

two union men met in Albany and discussed the affair pro and con,

arriving at the conclusion that they had best reveal the plot to the

Government. O'Connor accordingly told of the negotiations to Secretary

Wilson of the Department of Labor, and then in connivance with the

Secret Service, went on dealing with the grocer, constantly pressing

him for the identity of the principals who, he said, were prepared

to supply all the necessary money. He implicated George Sylvestor

Viereck, the editor of a subsidized German propaganda-weekly called

_The Fatherland_, and said that he had been introduced to him by Edmund

von Mach. Neither of those men figured except as intermediaries, and

Cummings suggested that Dr. Bernhard Dernburg, a loyal propagandist

then in the United States, was the director of the enterprises. Owing

to the high pitch of public feeling over the _Lusitania_, Cummings

could not receive permission from his superiors to go ahead with

O'Connor, but he did his best to keep O'Connor interested. The latter,

fearing that German agents were at work on the Pacific coast, took a

trip to the far West, and during his absence Cummings telegraphed him

twice. There the affair ended, for O'Connor ignored the message, and

on July 14 returned to New York to find that a German attempt to force

a walkout on the New York waterfront had failed, and that Cummings had

stopped playing with fire and had gone back to his grocery in Boston.

When the Government turned the story over to a newspaper to publish

on September 13, the time was not ripe to fix the responsibility for

the attempt. Dr. Dernburg was a popular scapegoat at the time, and

the implication of his authority in the attempt was allowed to stand.

Rintelen was in Donington Hall, a prison camp in England, and it was

months thereafter before the United States and British Secret Services

had fully compared notes on him. By that time there were other charges

lying against him which promised better cases than an abortive attempt

to promote a strike 'longshore.

We have witnessed the cumulative influence of newspaper reports in

surrounding Labor's National Peace Council with an almost genuine

atmosphere of national interest; we have been able to picture the

hostility which the publication of the longshoremen's strike story

aroused in legitimately organized labor; and although as a typical

instance of newspaper influence we should postpone the following

incident, it is a temptation too great to resist. It is the story of

The Story That Cost an Ambassador, and if any further plea for its

introduction be needed, let it be that it is another subtle attempt

upon labor in the summer of 1915.

[Illustration: _Copyright, International Film Service_

Dr. Constantin Dumba, Austrian ambassador to the United States,

recalled after the disclosures of the correspondence captured on the

war correspondent, Archibald]

James F. J. Archibald, an American correspondent who had seen most of

the wars of recent years, and who wanted to see more, set sail from New

York on August 21, 1915, for Amsterdam, with his wife, his campaign

clothes, and a portfolio. At Falmouth, England, the usual search party

came aboard, and inspected the papers in the portfolio. Archibald

proved to be an unofficial despatch-bearer, upon whom his German and

Austrian acquaintances in the United States placed great reliance--such

men as Papen, Bernstorff, and Dr. Constantine Dumba sent reports to

their governments in his care.

On September 5 the _New York World_ burst forth with the text of one

of the letters--one from Dr. Dumba, the Austro-Hungarian ambassador at

Washington, to his chief in the foreign office at Vienna, Baron Burian.

It is worth reproducing here intact:

"New York, August 20."

"Your Excellency:

"Yesterday evening Consul-General von Nuber received the enclosed

aide memoire from the chief editor of the local influential paper

_Szabadsag_, after a previous conversation with me in pursuance

of his verbal proposals to arrange for strikes at Bethlehem in

Schwab's steel and munitions factory and also in the middle West.

"Archibald, who is well known to your Excellency, leaves today

at 12 o'clock on board the _Rotterdam_ for Berlin and Vienna. I

take this rare and safe opportunity of warmly recommending these

proposals to your Excellency's favorable consideration. It is my

impression that we can disorganize and hold up for months, if

not entirely prevent, the manufacture of munitions in Bethlehem

and the middle West, which, in the opinion of the German

military attaché, is of great importance and amply outweighs the

comparatively small expenditure of money involved.

"But even if strikes do not occur it is probable that we should

extort under pressure more favorable conditions of labor for our

poor downtrodden fellow countrymen in Bethlehem. These white

slaves are now working twelve hours a day, seven days a week. All

weak persons succumb and become consumptive. So far as German

workmen are found among the skilled hands means of leaving will be

provided immediately for them.

"Besides this, a private German registry office has been

established which provides employment for persons who voluntarily

have given up their places. It already is working well. We shall

also join in and the widest support is assured us.

"I beg your Excellency to be so good as to inform me with

reference to this letter by wireless. Reply whether you agree. I

remain, with great haste and respect,

"DUMBA."

The aide memoire, written by the editor of a Hungarian weekly,

proposed to create unrest by a campaign in foreign language newspapers

circulated free to labor, muck-raking labor conditions in Bethlehem,

Youngstown, Cleveland, Pittsburg, and Bridgeport, where there were

great numbers of foreign workmen, Hungarians, Austrians, and Germans.

This was to be supplemented by a "horror novel" similar to the bloody

effort of Upton Sinclair to describe the Chicago stockyards. Special

agents of unrest, roll-turners, steel workers, soapbox orators,

picnic organizers, were all to be insinuated into the plants to

stir up the workmen. This editor had stirred them up a few weeks

before at Bridgeport--the strike which Lamar claimed as his own

accomplishment--and he presented to Baron Burian a really comprehensive

plan for creating unrest through his well-subsidized foreign-language

press. And in passing it on, Dr. Dumba stood sponsor for it.

The British government saw in the discovery of the letter and the cool

impudence of it, a rare chance for propaganda in America. So, as has

been said, the _World_ published the story, and at once the wrath of

the truly American people justified President Wilson in doing what he

and Secretary Lansing had already determined to do--to send Dr. Dumba

home. Perhaps Dumba's reference to the "self-willed temperament of the

President" in another note found on Archibald had something to do with

the haste with which the Ambassador's recall was demanded; it followed

on the heels of the publication of the letter:

"By reason of the admitted purpose and intent of Mr. Dumba to

conspire to cripple legitimate industries of the United States

and to interrupt their legitimate trade, and by reason of

the flagrant violation of diplomatic propriety in employing

an American citizen protected by an American passport as a

secret bearer of official despatches through the lines of the

enemy of Austria-Hungary, the President directs us to inform

your Excellency that Mr. Dumba is no longer acceptable to the

Government of the United States as the Ambassador of his Imperial

Majesty at Washington."

So went Dumba.

After his departure Baron Zwiedinek, his chargé d'affaires, and

Consul von Nuber advertised widely in Hungarian newspapers calling on

Austrians and Hungarians at work in munitions plants to leave. If they

wrote the Embassy on the subject, the reply they received read:

"It is demanded that patriotism, no less than fear of punishment,

should cause every one to quit his work immediately."

But neither threats, nor walking delegates, nor German spies could

check the output of shells and guns. An attempt made by Dr. Albert

to buy, for $50,000, a strike in Detroit motor factories failed. The

factories were making money as they had never made money before,

and labor was buying luxuries. To the American munitions-worker a

comfortable supply of money meant much more than the shrill bleat of

the Central Powers. And what was more, he was not entirely satisfied

that the right was all on Germany's side. (Our space does not

permit, nor is definite information at present available, to discuss

the anarchist, socialist, and I. W. W. elements of labor, and their

relations to Germany. These three factors, especially the last named,

effected in the years 1914-1918 a sufficient amount of industrial

unrest to qualify them as allies, if not actual servants, of the

Kaiser. Whether they were employed by Germany will be brought out in a

trial which began in Chicago in April, 1918.)

FOOTNOTE:

[3] McGarrity, Keating, and O'Leary, upon the publication of this

despatch, uttered vigorous denials of any connection with or knowledge

of the despatch or the affairs mentioned.

The German Secret Service in America 1914-1918 · 第 12 / 18 章