THE "WORLD'S" EXPOSURES.

Star (Christchurch), Issue 11504, 28 September 1915, Page 4

THE "WORLD'S" EXPOSURES.

PROPAGANDA ACTIVITIES IN THE STATES.

SOME INTERESTING LETTERS.

A few weeks ago, when mysterious fires, explosions and strikes were practically an everyday occurrence in American factories used for tho manufacture of munitions of war for the Allies, the ''New York World"' published a sensational series of letters. These showed clearly that throats were being used by German advocates, and in more than one case firms were told that they would be liable to punishment under German laws. That prominent Germans associated with the German propaganda in this country sought to substitute tho criminal laws cf Germany for those of tho United States is stated in nine documents published in "The World." These documents passed between Count von Bernstorff, German Ambassador to the United States; Prince von Hatzfeldt, Chancellor of the German Embassy; Dr George Stobbe, Imperial ConsulGeneral at. Philadelphia, representatives of Orenstein-Arthur Koppel Company, a firm operating under the laws of the United States Government, and S. Walter Kayifiuaim, lawyer, of No. <J0 S Wall Street. Dr Stobbe, according to the documents, warned the Oreustein-Arthur Koppel Company that if it accepted and filled orders for supplies of any kind for nations at war with_ Germany, each order would bo considered an offence punishable under the provisions of the " Gesete Bueh," or penal code of Germany, by from three to ten years' imprisonment in a prison, or military fortress. The warning of the German ConsulGeneral to the Orenstein-Arthur Koppel Company .said:— In my opinion it would bo hazardous for your firm to ship locomotives, oars or wheels to Russia. All these transportation means would lighten the transport of troops, ammunition and provisions for the Government and your firm would, within the moaning of Paragraph 89 of the (German) Penal Code, be rendering aid to the enemy thereby. . • • *Hat you are in position to delay the delivery of the order to tho prejudice of the hostile country ordering them will in no measure relieve you from liability. Copies of this communication were sent to the German Ambassador, Count von Bernstorff, and to Dr Albert, Privy Councillor. INQUIRY ON GERMAN LAW. Another document based upon the question of the violation of Germany's laws by a firm in business in the United States was sent by A. Lichtenstem, manager of the Orenstein-Arthur Koppel Company, to Count von Bernstorff, apparently upon the suggestion of Mr Kauffmaun. The transition follows: " Orenstein-Arthur Koppel Company, No. 80. Church Street, New Vork, March 11, 191o.—His Excellency Count von Bernstorff. Imperial German Ambassador, at present Hotel PJtz-Carl-ton.— " We respectfully refer to a conversation had with Mr H. F. Albert yesterday afternoon, and take the liberty of informing your Excellency of the following frets: — "Some months ago an American came to us who represented himself us a business friend of a local Russian firm, and offered us a large order of portable railway track, altogether 90G0 tons, con c istinr r of rails, ties and appurtenances. These rails, ties, etc., are all curre-nt nu's-eviol here* ip tho ht;uos, and cn.n inanxifiietured witlimit trouble by any steel mill, as they are not covered by any patents and trademarks and can be ordered from any other firm here. " The negotiations with our American business friend in behalr of his connections in Russia have now progressed so far that we are ready to close the contract. But before we go into this business further we woula respectfully beg to ask whether such business is not in conflict with existing German laws? " We wish to state hero that we will onlv sell the material free on board ship at New York", against payment here in New York to a first class American bank; and, further, that we ourselves will not manufacture the «oods, but will pass the order on, as soon as received, to the United States Steel Corporation for filling. In view of these facts- wo aro in a position to supervise carefully the production of the materials, and to delay the order, if that would in any way bo desirable. As stated above, we are selling the material, free on board, in New York, and, therefore, have n*othing to do with the direct shipment of tho material, also do not. know to what port the shipment is to go. but wo can also eventually get the shipment in hand, if that should be desired. " We have, further explained that, the whole order can be filled by any American steel plant, and we therefore believe that wo will not, in any way violate paragraph 89 of the Penal Code. Thxo.Uidi jj» fl ' Jilling of tho o.rdur in tho

GERMAN THREATS DESIGNED TO BLOCK WAR ORDERS.

manner stated wo will only bring profits to a German firm, as complete returns will be later made through our Berlin headquarters. "In view of the especial urgency of our decision in this matter, we beg your Excellency for as prompt a reply as possible and remain in expectation of "further advice, Very respectfully yours, "ORENSTEIN - ARTHUR KOPPEL COMPANY, per A. LICHTENSTEIN, Manager." GERMANY ENVOY'S REPLY. Count von Bernst-off, obviously impressed by tho urgency of tho request for an early reply, at once sent from the Ritz Carleton Hotel the following acknowledgment of both communications to Sir Kauffman:— (Translation.) " Imperial German Embassy, " Washington, D.C., March 11, i9lo. '"'Mr S. Walter Kauffmaun, Counsellor. "My Dear Mi* Kauffman, —To the | letter of March 11, 19'J.0, from, the firm Oreustein-Arthur Koppel Compny, as well as to your own letter of the same day, I respectfully reply that according 1 to tho statements contained i.u # both letters, as well as in view of your conversation with Mr Albert, who has informed me or the substance thereof, I have no objections to the acceptance of the order by the firm OreusteinArthur Koppel Company, and feel sure that there is no possibilty of a conflict with the German laws, in respect to paragraph 89 of the Penal Code.—Very respectfully, (Not signed) '• IMPERIAL AMBASSADOR." The first letter having reference to the possible violation of German laws by an American company, was written by Mr Kauffniann, on March 11, and addressed to Count von Bernstorff, at the Ilitz Carleton. The attention of the Ambassador was called in that communication to Jin order for 0000 tons of " portable railroad track," to be shipped to the Russian government. He asked if the fulfillment of such an order would be in violation of parapragh of the German Penal Code, and whether the German Ambassador would give his permission for the fulfillment t>f tho order. The letter follows " March 11. 1013. '•His Excellency .Count. Von Bernstorii'. 1 \Ri tz-Ca rltr.n Hotel, " .New York City. My Dear Ambassador, — " 1 beg leave to enclose you a letter of the Oronstein-Koppcl Company by A. Lichtensteii), manager of the* New York branch of said company, relative to a, proposed order of 0000 tons of portable railroad track to be shipped to Bosnia. ".! wish to i.'i you my personal assurance that you may place tho fullest reliance upon the good faith and loyalty of said corporation and of its managers and agents in this country, and you may depend upon the correctness of all of the statements made by them. ASKS GERMAN LAW RULING. '' My firm has-been representing this corporation as legal advisers for over seven years, arid we know well the manner in whirls they conduct their business in this country. The Central Office at Berlin lias notified tho various branches of the corporation that no orders should he accepted for shipment. at war with Germany, because of paragraph 89 of the Gesoty- Bueh, except with the express consent of the official representative of the German government. "The order in «'jUosiion relates to portal'?: l railway trade consisting of rails, ties, switches and other apptir-tenanws--articles not covered by any patent, and which can be and are manufactured by and all stool mills. If tlie order is not accepted by tho Oreu-stein-Artlmr Koppel ('oinpany it can and will lie taken by other concerns in this country. " Tho Oreustein-Arthur Koppel Company now respectfully a-ks whether you consider thai, under the circumstances above stated and more fully yrb forth in the enclosed letter it would be in any way conflict rug with the letter or spirit, of ihe (ionium iau, and who- | ther you would jpvy your consent to the acceptance and execution of the order in question. The, company will, of course, be prepared to nicer any condition that you may prescribe. "I should appreciate it if Ton would send your reply addressed to the Orcn-stein-'Koppel Company, care of this office. "I be! l- to re mam, verv respectfully, yours, S. W. KAfJFMANN."" The next communication relating to tho business of the Orenstein-Arthur Koppel Company, while very apparently directed to tho German Ambassador, <iit>w not tear a - signature, There is

wry indication. however, that it was ; written by I>r L.Ttidsbgrger, It- fol- J lo'-Vfi I fTvans!ati';:i.) ! ' . MnH, t.J. 1';!"). | ''J re-'pottifuHv j->»t «srts to ' ■>i s r ; V'liPy 1-hv letter oV At i' rue v S. V. ."'.trr j Jvn*ifr,::uin, tog'.'.thrr « it>• ibe IflJ-cr '■ of illo manager of tjm branch of the : Orpnstcir.-A rl bur Kopprl Ompr-uy 01 ; ?;*' II, \\ ill: 1 In.- i'ltllov/ir;; j mark:- : ; '''Both of the ;ren thins: n talked Of' matter over with mo vo'-crrday. Tj-e of 18IV :>s in how for tbr» finn j would violate tlm German de<-.r;-.> ;n making the shipment was thoroughly diseased. An opinion regarding tho ! moaning of tho law i:> respectfully <ra- ! closed. i SUGGESTS DELAY IN DKLIVKKY. ' " According to it, it dqinnds upon whether tht» firm inx-oritiosio-Uy renders , assists nee to a hostile power by tho' shipment. '] his question appear > to j mo" to lie whether tin: thipnioni- is u:i-; fioubtedSy intended for Russia, it re- 1 fers to an order, which, if it is r.oz! accepted by tho Oreiistcin firm, noij only call be filled, by another American | firm. hub without doubt, will be ulled. I On the other hand, the firm can, it it accepts the order, help the German | causa by delay in executing it, forj which purposes there are a variety of | possibilities, for instance, by sec u rang i an agreement for a longer oelivery | tern), bv delay iu shipment. etc. In j like maimer other German firms have | proeeoded .successfully. . Tim manager of the Oranstem branch is propared to employ like means, and bos civ en. roe firm assurances, which, 'trusting to the advice of the attorney, Kauunann, I thoroughly believe hi. The question was even raised as to whether it iron Id. not be possible for him to got the .shipment in to have it nir.de through the Baltic Sea, end to advise me seasonably of the departure of tho steamer. i '' Aside from that, tho great advantage-; are to fee considered wtlich the taking of this order will produce, not only for tho German firm itself, b«3 also in-dircctlv for tho German economic i condition itself, material influences of the commercial value ot the mark j through consignments of the- money to Germany, etc. Under these circumstances I am, therefore, of the opinion that because of tho special state of affairs which will be the result of the taking of this order, and in view of the verbal assurances given, not only a ill the scienter disapji-sar, hut the giving of assistance to tho enemy will not be fulfilled." "If your Excellency endorses this agreement I pledge, myself to supply a certificate, a draft of which is enclosed, which the Orenstein firm can later employ for the improbable possibility that difficulties might later arise in Germany. (Not signed). To the Imperial Ambassador. Washington, D.C .. at present Hotel liitzCarlton, New York city. From this letter it appears that the Imperial Government last fall pubj lished a decree providing that ' any person who knowingly and contrary to I any German embargo on exports ships goods to a hostile country, either directly or indirectly, will be punished by imprisonment for three years and a' fine of not exceeding 50,000 marks, or either." . , It was made clear in the opinion ' that this punishment could be imposed, as could any punishment in paragraph . 89 of the German Penal Code upon any German ii i foreign country : 'ho .supplied shipments for enemies of ' the Fatherland. The laws of other countries, apparently, do not count.