Hitler’s Motive

Hawke's Bay Tribune, Volume XXVI, Issue 79, 14 March 1936, Page 5

Hitler’s Motive

A SWEEPING BUDGET Diverting the Taxpayers’ Attention RUN ON BANKS STOPPED (lr T»!«*r»ph-Pr«ss Awn.. Copyri«bt) (Received 14, 10.15 a.m.) LONDON, March 13. The “Manchester Guardian’s’’ diplomatic correspondent says there is more uneasiness in Berlin than is allowed to leak out. Every symptom of discontent is hushed up. Berlin is covered with posters ordering “all responsible persons to spy out those seeking to sabotage German unity and report them to the local Nazi headquarters.’’ There has been a run on savings banks, resulting in restrictions being imposed preventing anyone withdrawing more than 50 marks. Ths “Morning Post’s” Berlin correspondent declares that if the full truth of Germany's financial and economic situation were generally known it would lead to a panic throughout the country. It is understood that the new Budget not only provides for further increases in to finance prodigious armament expenditure, but it is expected that Government servants will be obliged to contribute portion of their salaries and capitalists to surrender two per centof their capital to the War Ministry. The cost of living has increased ao sharply that these and similar measures are likely to he most unpopular. Therefore, Herr Hitler sent troops to the Rhineland to persuade taxpayers that they are getting something for their money. Financial authorities describe the situation as not immediately but potentially desperate. Dr. H. G. H. Schacht, Minister of Economic Affairs, claims that there should bo more control of the gigantic armament expenditure, but this is vigorously opposed by the

General Staff and Krupps. Dr. Schacht is reported to have told Herr Hitler in the plainest language that he must coneider a four per cent, capital levy, a 30 per cent, excess profit tax apd a five per cent, cut in wages to avert bankruptcy. It is no secret that Herr Hitler is incensed with Dr. Schacht and decided upon the Rhineland action not only in the teeth cf his advice but also against the counsels of the German General Staff and Foreign Office officials, who f.o not favour return to the League of Nations.