760F.62/598: Telegram
The Minister in Czechoslovakia (Carr) to the Secretary of State
[Received August 25—4 p.m.]
170. The Minister for Foreign Affairs informed me yesterday that this Government continues to receive information indicating that Germany is planning a military move against this country. A recent message from Czechoslovak Minister at The Hague stating that American [Page 552] holders of stocks in German enterprises were selling them on the Amsterdam exchange on the strength of information from persons close to Schacht93 that it was wise to do so was interpreted by the Minister of Foreign Affairs as an indication that Germany is preparing some drastic action though he stated that he still held the belief that it would not involve an armed attack.
This last view is also held by Veverka94 with whom I also spoke yesterday. He believes that Germany can obtain nearly all it wants through patient and peaceful methods. He recognizes, however, that the danger always exists that sudden impulse or false information may cause Hitler to make a sudden move against this country. He does not see how the existing problem can be settled on a cantonal basis without Czechoslovakia going over into the German orbit as this development would ultimately permit the different cantons to vote for secession from the state and that this would be almost certain to occur because the majority of the Sudetens fear to express their real feelings under the terrorist methods employed by the more fanatical elements in the area and by the Reich. In Veverka’s opinion the important thing is the preservation of the territorial integrity of Czechoslovakia and hence the lesser evil might be relinquishment of present alliances and entry into German orbit with the idea of some time in the future withdrawing therefrom as has been done before in the history of the Czechs and which might be possible again especially if the Danubian States could be induced to join in such a move. He expressed some doubt, however, whether public opinion would support such a move and stressed the growing militant attitude on the part of the younger element in this country and the possible eventual difficulty of controlling it. He expressed little confidence that France, now a second rate power, would really fight for the preservation of Czechoslovakia and he places little faith in England. He together with other officials of the government are expressing their chagrin at England’s attitude which is pushing this country into greater and greater concessions which will probably not satisfy the Reich in any event and at the same time is giving no guarantee or indication of protection in case the sacrifices fail and Czechoslovakia is held accountable.
The Legation is informed by a member of the Runciman mission (Ashton-Gwatkin) that all haste is being made to find a solution prior to Nuremberg meeting so that fire may be taken out of Hitler’s pronouncements on Sudeten question. It is the purpose of the mission to have proposals for the settlement emanate from the Czech negotiators. While line of approach was not disclosed it is known that the cantonal or other district defining system is receiving serious consideration [Page 553] of the mission as supported by plans for economic collaboration in the Danubian basin with England agreeing to purchase certain amount of porcelain and glass produced in the Sudeten area.
The British Minister in a chance meeting last night said he was by no means pessimistic over the outlook but on the other hand was not warranted in expressing optimism.