362.115/138: Telegram
The Ambassador in Germany (Wilson) to the Secretary of State
[Received 10:10 a.m.]
215. Department’s 52, April 28, 7 p.m.22 Decree of April 26 as supplemented by instruction of same date embodies the following important principles.
- 1.
- Every Jew as defined in article 5 of the First Decree of the Reich Citizenship Law November 14, 1935, must declare and give the value of entire domestic and foreign fortune.
- 2.
- Jews of foreign nationality are required to declare domestic (German) property only.
- 3.
- The obligation to declare is extended to the non-Jewish marital partner of a Jew.
- 4.
- Fortune does not include movable possessions for personal use or household goods which are not luxury articles.
- 5.
- No declaration required if total value of property, without taking debts or obligations into account, does not exceed 5,000 marks.
- 6.
- Declaration must be submitted by June 30, 1938, but may be prolonged for cause provided estimate is submitted prior to this date.
- 7.
- Increase or decrease of fortune subsequent to original declaration must be notified as well as fortunes which subsequently may attain 5,000 marks.
- 8.
- Commissioner for 4 year plan authorized to direct use of fortunes so declared “in harmony with requirements of German economy.”
- 9.
- Sale or leasing of, or acquiring usufruct in an industrial, agricultural or forestry undertaking requires permission if a Jew is a contracting party in the transaction.
- 10.
- Establishment of new Jewish industrial undertakings or of a branch of a Jewish industrial undertaking requires permission.
- 11.
- Penalty for violation of the foregoing even if committed abroad may be imprisonment up to 10 years and fine; confiscation can also be ordered for undeclared property and can take effect even if no Person can be prosecuted.
The Embassy has discussed the interpretation of this decree and its application to non-German Jews with officials of the Foreign Office. However, the latter are not yet prepared to make any interpretative analysis of its provisions. The following comment on certain of the preceding numbered paragraphs may however be of some [Page 366] value in estimating the scope of this decree although it must be emphasized that it is not official information.
1. For article 5 cited see page 3 of the enclosure to despatch No. 2474 of November 18, 1935.23
The general impression here is that the decree will not be applied to corporations.
2. It is being assumed that under this section non-German Jews with German property, even though they be not resident in Germany, are obligated to declare such property.
3. As a corollary of the foregoing it is likewise believed that the obligation to declare also applies to Aryan marital partners of Jews if they possess property in Germany even if not resident therein.
Paragraph No. 8 is obviously of far reaching consequence and the Foreign Office is not prepared to indicate in any manner what disposition may eventually be made of Jewish property declared under the decree.
Comment. Brinkmann24 in talking with the press last night gave the following background information on this decree:
- 1.
- All Jews, domestic and foreign, must be eliminated from German economic life and the decree is designed to accelerate this object.
- 2.
- There will be no confiscation or expropriation per se of Jewish property.
- 3.
- Foreign Jews had to be included for the reason that they could continue to operate through straw men and thereby create the possibility of German values leaving the country.
- 4.
- German Government is entitled to know what part of the national wealth is controlled by Jews.
- 5.
- Consistent Nazi policy demands that Government no longer tolerate continued economic activity of elements not in harmony with the German outlook and racial feelings.
- 6.
- The decree was further necessary to prevent the indiscriminate taking over of Jewish property through individual and arbitrary measures of unauthorized party members.
- 7.
- Issuance of decree was precipitated by union with Austria because of relatively high concentration of Austrian wealth in Jewish hands.
- 8.
- Jewish property taken over will be placed under Aryan control and confided to qualified Nazis. The Jewish owners will be allowed to appraise their own property and this value will be passed upon by an appropriate Government authority. The value of the property will then be certified to owner. In cases of property taken over Brinkmann indicated that the owner might be compensated by Government interest bearing securities.
- 9.
- Brinkmann expects the survey resulting from this obligation to declare to be virtually complete by July 15 and estimates Jewish property in Germany including Austria at about 7,000,000,000 marks.
I am inclined to think that it would be useful to submit a note to the Foreign Office requesting interpretation of provisions of this decree [Page 367] which may be applicable to American citizens. I should like the benefit of your advice on this point. Further reports will follow as information is made available.