CHAPTER VII

CAPTAIN FRANZ VON RINTELEN, GERMAN ARCH-PLOTTER

But von Rintelen had still bigger projects afoot. While his precise,

swiftly moving mind supervised the Mexican conspiracy, and carefully

watched over shipments of supplies to the Fatherland, _he was launching

a series of concerted conspiracies designed to cut off this country

almost entirely from Europe_. His vivid imagination had led him to

picture a Utopian fantasy wherein Americans who believed so absolutely

in universal peace—despite the war raging abroad—that the labourers

would refuse to make munitions of war, the farmers would decline to sell

food to warring nations, and the Government would take over all the war

factories. _Von Rintelen, accordingly, determined to bring such a dream

into real life, not for altruistic purposes, but to help Germany conquer

the Allies._

He had made his plans before he left Germany, and he had sent ahead for

information concerning Americans as his aids, who were skilled in

finesse and underground work. _He wanted men who, while men of brains,

might be led by lust for gold or hatred of England to espouse the

criminal schemes which he had originated. He sought leaders whose logic

and oratory could sway the rank and file._ The man of whom he had heard

while in Berlin as a likely assistant was David Lamar, now serving a

term of imprisonment for having impersonated a Congressman, whose

craftiness and ingenious methods in using politicians in his stock

operations had won him the title of “The Wolf of Wall Street.” The two

men were brought together.

One can see von Rintelen, enthusiastically speaking in millions of

dollars, as he outlined his schemes to Lamar, his equal in grace of

manner and deceit, and Lamar cloaking his avarice with smiles and

sophistry.

BEFUDDLING THE PACIFISTS

_Von Rintelen’s first step_, as he outlined it to Lamar, _was to use the

horrors of the European War as an appeal for universal peace, and to

enlist the labouring men and the farmers of America in raising their

united voice against the exports of arms and ammunition. And thus a

great labour peace propaganda_ was originated by a German whose

patriotism had driven away his scruples, and an American who had gone

money-mad. The details of the organization were set forth, and soon von

Rintelen had a staff of workers at his command, though they all may not

have known he was paying their salaries. His agents, in secret

interviews with labour leaders, were soliciting their aid, flashing

rolls of gold-tinted certificates. The men who guiltily handled the

money which von Rintelen drew from the bank had only one complaint,

namely, that the denominations of the bills were entirely too large.

_Two of von Rintelen’s agents following Samuel Gompers, president of the

National Federation of Labour, to Atlantic City one day, offered him

$500,000 for his services in endorsing the peace propaganda and

participating in the work. Mr. Gompers scorned the offer. Other big

labour leaders, whose aid was solicited, began immediately to warn their

associates against the anti-American activities of German agents._

By June, 1915, von Rintelen’s schemes were moving apace. A big

advertising campaign had been started in the early spring with von

Rintelen’s cash. Newspaper propaganda picturing the glories of universal

peace began to appear.

By the aid of Lamar, who kept von Rintelen in the background, the German

soon had many persons working and talking in the interest of universal

peace. It has been stated that the services of Frank Buchanan,

Representative in Congress and former labour leader, and of H. Robert

Fowler, ex-Congressman, were obtained. Whether they were aware of von

Rintelen and his motives is a question for a jury to answer, for they

have been indicted in connection with the alleged activities of the

Labour’s National Peace Council.

Within a short time, thousands of invitations were scattering throughout

the country to labour leaders, small and large, and to heads of farmers’

granges, to attend the national convention of the peace propaganda at

the expense of the organization. All railroad fares, hotel expenses and

a liberal allowance for spending money were promised.

Under the fostering financial auspices of von Rintelen, who hovered

conveniently near the New Willard Hotel, the members of a peace movement

gathered in Washington, expenses paid. They adopted resolutions saying

they desired “to promote peace.” _The resolutions demanded the enactment

of laws that would enable the Government to take over as exclusive

government business the manufacture of all arms, instruments and

munitions of war; demanded an immediate embargo upon shipments of war

supplies to the belligerents; denounced the maintenance of military and

naval forces, and called for a special session of Congress to promote

“peace universal.”_ The executive board went immediately into executive

session.

PAYING THE HIRELINGS

“How is this movement to be financed?” one of the newly-elected

executive board asked another. He and one of the vice-presidents waited

for an answer. They got none, he says, and the question was repeated by

another. Then one of the officers answered:

“This thing is big enough, so that I do not care where the money comes

from to finance it.”

Another member asked:

“What, after all, does this council want to do?”

“We want,” was the answer, “to stop the exportation of munitions to the

Allies. Germany can manufacture all the munitions she wants.”

Von Rintelen’s deposit in the Trans-Atlantic Trust Company meantime was

growing smaller by jumps of $100,000. It was drawn by cheques payable to

cash, placed in another bank, quickly withdrawn, and on one occasion the

money in bills was taken to the headquarters of a peace organization in

a suit-case. _Bank accounts of von Rintelen’s peace propagandists began

to jump._

The executive board was busy. One of the first moves was a statement

filed with Secretary of State Lansing alleging that nine ships in

various American ports were taking on cargoes of ammunition in violation

of the neutrality laws. That charge, undoubtedly prepared with von

Rintelen’s aid upon information gathered by German spies, showed an

accurate knowledge of the merchantmen loading with supplies for the

Allies. _There was, however, no violation of law_, because the vessels

were officered and manned by ordinary seamen who had no connection with

the Allied governments.

The second step was the preparation of a complaint charging as a

violation of law the issuance of Federal Reserve notes by national banks

on the ground that the New York banks had lent money to the Allies which

was being used in payment for war supplies, and that some of those banks

had rediscounted notes with the Federal Reserve Bank. Here again was

displayed a remarkably detailed knowledge of the business of the Federal

Reserve Banks. _This charge also fell flat._

A third move was against Dudley Field Malone, Collector of the Port of

New York. Resolutions were adopted accusing him of exceeding his

authority in having granted clearance papers to the steamship

_Lusitania_ when that vessel was ladened with munitions, and authorizing

an action to be started against him. No suit, however, was begun. In

this connection, it may be mentioned that one member of the peace

committee was attorney for a woman of Chicago, who, months afterwards,

started suit for $40,000 against Collector Malone and Captain Turner, of

the _Lusitania_, on the ground that the ship illegally carried

explosives.

CONSPIRACY GROWS BOLDER

These public acts mentioned above, however, are stated by the Federal

Government to have been merely a cloak, covering a more extensive

conspiracy financed by von Rintelen. By a series of strikes in munition

factories, humming with the Allies’ war orders; on railroads carrying

the articles to the seaboard, and on steamships, von Rintelen, it is

alleged, sought to cut off commerce among the United States and the

Allied countries. Von Rintelen and several others are accused in the

Federal indictment of doing six different acts in a conspiracy in

restraint of foreign commerce. They are charged with conspiring to use

“solicitation, persuasion and exhortation” to influence the workers to

go on strike or to quit work, to bribe officers of labour unions to get

the men to strike, and “by divers other means and methods not

specifically determined upon by the defendants, but to be decided as the

occasion arose.”

Von Rintelen was busy now jumping from town to town, sending orders

under one name, then another, and paying out money. _There took place in

June and July, 1915, many strikes which, the national labour leaders of

the respective trades said, were absolutely unauthorized by the national

bodies._ The German agent was delighted to read in the newspapers of

strikes at the Standard Oil plant in Bayonne, N. J.; of strikes at the

Remington Arms Company in Bridgeport, Conn., and in the General Electric

Plant in Schenectady, N. Y. His agents would approach him gleefully with

the newspapers containing these accounts, and immediately would receive

another bundle of bills with the exhortation, “That is fine. Go out and

start some more.”

Another projected strike in connection with which Germans were mentioned

in correspondence, but in which von Rintelen is not named, is presented

here because it fits in the general scheme of the German plotting. That

is the conspiracy on part of moneyed representatives of Germany in May

and June, 1915, to start a strike simultaneously among the 23,000

‘longshoremen on the Pacific and Atlantic coasts. _Such a walkout would

absolutely have paralysed American shipping, completely stopped the

movement of explosives to the Allies at a most critical moment._ A

leader of the big ‘Longshoremen’s Union told Chief William J. Flynn, of

the United States Secret Service, that $1,035,000, or $45 for every man,

was offered to keep the men out on strike for four weeks. After the

sinking of the _Lusitania_, the man who approached the ‘longshoremen

wrote under the name of “Mike Foley,” asking if an “S.” (strike) was to

be called, that because of the “L. (_Lusitania_) affair,” his people

were not going to do anything at present, and because the “Big Man” (who

preceded von Rintelen) was going away. It will be recalled that after

the sinking of the _Lusitania_, Dernburg was dismissed from the country

because of his comments concerning the attitude of Germany towards

submarine warfare.

CRIMINALS SET TO WORK

While von Rintelen was reaching out in so many directions in his frantic

endeavour to build a barrier between the United States and the Entente

Powers, he did not hesitate to resort to criminals. Keeping his quick

eyes on the progress of the peace propaganda, he had schemes which,

while distinctly separated from that organization, were designed to work

in harmony with the developments in the strike propaganda. Von Rintelen

planned by aid of reservists and crooks to take other measures in

munition factories to stop, delay, injure the production of materials

destined for the Allies’ battle fronts.

_He sent trained German reservists to get employment in factories with

orders to collect information and do what they could to cause trouble._

Resorting again to the well-developed system of German secret agents in

New York, under new aliases, he got in touch with organized bands of

criminals in New York, and, the authorities say, hired them _to start

depredations on the ships being loaded with supplies_ for the Allies in

New York harbour. To von Rintelen or some other person associated with

him is attributed the origin of a plot for widespread attacks by thieves

on cargoes being lightered from railroad piers to merchantmen. These

thefts of sugar, automobile tyres and magnetos have amounted to millions

of dollars. For instance, one of the sugar thieves stealing bags of

sugar from a lighter said to a comrade:

“Take some more bags. The ship won’t ever reach the other side, anyway,

and nobody will know.”

To the persons who doubt these varied, reckless and extensive activities

of von Rintelen, it may be suggested that von Rintelen asserted

frequently to his associates that he had come to America to take every

step, including peaceful or violent measures, to stop the shipment of

munitions.

The doubter must not overlook the supervision which von Rintelen

exercised over the manufacturer of fire bombs which German reservists

are accused of hiding on the Allies’ merchantmen, and the fact that von

Rintelen’s aid visited a bomb man in his Hoboken laboratory frequently;

that on one occasion he scored him roughly because the fire bombs were

not proving effective. Furthermore, Fay, after his arrest, and long

before the indictment of the bomb plotters, told Captain Tunney of a

wealthy German, then a prisoner of war in England, who had paid $10,000

to a Hoboken chemist to make fire bombs.

Though von Rintelen, during the months of June and July, was exuberant

over the reports—most of them false—which were carried to him concerning

the progress of peace, the strikes and other schemes, and though he was

kept drawing money from the bank until the $800,000 in the

Trans-Atlantic Trust Company was reduced to $40,000, he began to have

doubts about Lamar and about the effectiveness of the latter’s

management of some of the projects. He knew that Lamar and his

associates were planning for a second rousing meeting in Washington,

but, becoming suspicious, he suddenly cut off the money. He had received

estimates of activities that required more money. After deliberation he

finally decided to slip away to Berlin, get away from Lamar entirely and

after making a report to the War Office return to America to broaden his

scope of work.

All told, von Rintelen had failed to perceive any falling off in the

exports to the Allies. They were, in fact, rapidly increasing, and von

Rintelen’s schemes thus far had proved ineffective, though he still was

optimistic that eventually he would have all his forces working in

unison and thus accomplish his aims.

He did not go to Washington when a second peace convention was in

session, and the word had slipped out to some of the workers that von

Rintelen was about to sail. Still, the meeting with the members claiming

a representation of 8,000,000 voters, was more denunciatory and

enthusiastic over its aims, than ever. There were attacks on President

Wilson and demands for an embargo on war munitions. There was an intense

pro-German feeling.

Differences, meantime, began to arise among the members of the executive

board. One of the vice-presidents resigned just before the second

session convened, saying emphatically that the financing of the

organization was under suspicion. Another quietly quit, not making the

fact public until weeks afterwards. Lamar flitted away to a magnificent

country home which he had bought in Pittsfield, Mass. There was no money

left. The propaganda died.

EXIT VON RINTELEN

Von Rintelen was on the high seas. He had left $40,000 in the bank in

charge of his friends, and some of the plotters tried to get that on the

strength of a promise to stop the Anglo-French bond sale of

$500,000,000. Before sailing he had applied for a passport as an

American citizen named Edward V. Gates, of Millersville, Pennsylvania.

But whisperings concerning von Rintelen’s activities had reached the

White House from society folk who had heard von Rintelen’s rash talk and

who knew of some of the unscrupulous things he had attempted. The State

Department ordered an investigation and finally sent his passport on to

New York the day before the sailing of the _Noordam_, in care of Federal

agents; but von Rintelen did not claim it. Though he had bought a ticket

on the boat under the name of Gates, and had obtained drafts payable on

that name, he did not occupy the Gates cabin but at the last minute

engaged passage under the name of Emil V. Gasche, a Swiss citizen.

On board ship, he set to work preparing for the close scrutiny of

British naval officers when the ship neared Falmouth. He handed over

many of his documents to Andrew D. Meloy, his travelling companion, and

Meloy’s secretary. He dictated a long document about financial

conditions of Mexican railways purporting to be the report of himself as

commissioner for a group of English bondholders. He sought to make it

appear that he had been sent to the United States as a representative of

the bondholders’ committee of Mexican railways. When the British

officers came on board and searched him, von Rintelen put up a skilful

bluff, but finally surrendered as a prisoner of war. Meloy, who had

aided von Rintelen in his application for the American passport, was

sent back to this country by the British authorities.

A VALUABLE PRISONER

While von Rintelen, after his strenuous days in America, was resting

comfortably in a luxurious prison camp at Donington Hall, England, the

American authorities were busily delving into his record. Mr. Sarfaty

presented witness after witness and thousands of documents to the

Federal Grand Jury. Von Rintelen and Meloy were indicted, first, for the

fraudulent passport conspiracy; and Meloy finally made a confession to

the Government authorities. Von Rintelen’s agent, called before the

Grand Jury and refusing to answer, was adjudged in contempt of court and

spent a night in the Tombs prison. Another agent, summoned before the

Grand Jury and asked about his dealings with von Rintelen, refused to

answer on the ground that it might tend to degrade and incriminate him,

but he afterwards was arrested on a firebomb charge.

Von Rintelen was indicted on the charge of forgery on the passport

application, and upon that as a basis, application was made to the

English authorities for his extradition. After months of investigation,

indictments finally were filed against von Rintelen, Lamar, and his

associates on a charge of conspiring to restrain foreign trade.

The moment a United States District-Attorney, equipped with a mass of

documentary evidence, telegrams, letters, minutes of secret meetings,

and the statements of hundreds of witnesses, laid facts before the Grand

Jury who brought an indictment against a Congressman, the House of

Representatives, without waiting for the trial of the defendant,

immediately ordered an inquiry which in substance amounted to a fishing

expedition by the sub-committee to ascertain just what evidence Mr.

Marshall and Mr. Sarfaty had dug up against one of their members.

Congress did not take any action, and finally, after a spectacular play,

decided to let the matter drop.

A COSTLY FAILURE

From the viewpoint of picturesqueness, fantastic conceptions,

recklessness, extravagance, and a remarkable mastery of detail, von

Rintelen stands forth as the most extraordinary German agent sent to

America. Boy-Ed and von Papen are now telling their friends in Berlin

that their recall was due not to what they did but to what von Rintelen

did and said.

The energetic nobleman had hoped to cause an absolute cessation of

exports from this country to the Allies and to create a political

situation where the United States would be powerless to make any protest

on Germany’s submarine warfare. To bring these conditions about _he had

not hesitated to try to foment war between the United States and Mexico,

to violate various American neutrality laws, to attack American

institutions and American ideals with the aim of causing an industrial

stagnation_. Yet how little he actually accomplished!

His Mexican plans were a failure. His schemes to influence legislation

came to naught. While a few strikes were started and quickly settled,

the activity of the Germans proved hurtful to the working men. Von

Rintelen did get a few supplies over to Germany; but many of his ships

were seized by the English. His enterprises are said to have cost many

millions of dollars, and the supplies which he shipped are about the

only thing that Germany got out of his gigantic schemes. U. S. Attorney

Marshall has a passport issued to Edward V. Gates which von Rintelen can

have any time he wishes to come and get it. Should he ever step upon

American shores, he will face charges which upon conviction furnish a

total sentence of anywhere from fifty to sixty years. _Never did Germany

aim through one man to accomplish so much yet effect so little as

through Franz von Rintelen, the Crown Prince’s friend._

The German Spy in America The Secret Plotting of German Spies in the United States and the Inside Story of the Sinking of the Lusitania · 第 7 / 12 章