Such acquisitions made by means of funds which were obtained forcibly in the Netherlands, cannot be considered to have been in exchange of a real equivalent but only obtained by means of defective payments. The Germans, alongside a numerous number of cases of requisitions which were followed by no kind of settlement, proceeded to obtaining in a clandestine way on the black market and to make acquisitions also which were in appearance irregular. They thus obtained a quantity of things of all kinds, leaving to the population only a minimum of products and goods which were insufficient to insure their vital needs. purchases on the black market, and in a third chapter, the acquisitions that were carried out in apparently irregular ways. In the purchases on the black market, as in all the other occupied countries, the Germans in Holland seized considerable quantities of merchandise on the black market, in violation of the legislation on rationing which they themselves had imposed. to determine even approximately the quantities of objects of all kinds which the Germans seized by this dishonest method. However, the secret report of the German Colonel Veltjens, which I submitted this morning under No. 112, gives us for a period of five months from July to the end of November of the same year, some indications of the scope of the German acquisitions. beginning of the "action" against the ordinary flow of exchange in the banks.
Nonferrous metals, 6,700,744. Reichmarks.
Textiles, 55,285,000. " Wool, 753,378.
" Skins and furs, 4,723,130.
" Fuel-wood, 254,982.
" Furniture, 272,990.
" Food, 590,859.
" Chemical and food products, 152,191.
" Various rags, 543,416.
" Motor oils 52,824.
" Crude diamonds, 25,064.
Reichmarks.
Various products, 531,890. " A total for a period of five months, of 73,685,162 Reichmarks.
These purchases were regulated by manipulation of the banks. A large quantity of other merchandise which, it has been impossible to determine, was effected by cash purchases carried out with Florins coming from the so-called occupation indemnity.
THE PRESIDENT: We will adjourn now for ten minutes.
(Whereupon, at 1520 hours a ten-minute recess was called.) As to Chapter 3 which treats the economic plundering of the Netherlands, we will treat the question of acquisition of apparent regularity further as result of the requisition followed or not by an appreciative payment, or as a result of individual purchases, or by individual or official organizations, the Germans made considerable acquisitions.
Industrial production: The Germans utilized to their own profit the greater part of the industrial activity of the Netherlands. All important stocks which were in the factories were thus absorbed, and their value being not less than 8,000,000 florins. They proceeded to remove enormous machines, and in certain cases these requisitions were not even followed by fictitious settlements. It has not been possible to establish as yet a balance sheet of these spoilations which even included all the machine equipment of an industry. As for example, we may indicate that on a requisition order of 4 March 1943, coming from the Reichkommisar of the machine apparatus and technical equipment, including the drawings and blue prints, and all the work shops and accessories, of the smelting works, of an important factory, were removed without any indemnity, and transported to the vicinity of Brunswick for the benefit of the Hermann Goering Werks. This is manifest in document I submit under No. 130. organizations in charge of the pillaging of machines. They had given them the name of Bureau of Compansation for Machine Organizations, which were subordinate to the extension of armaments, which received the reports for machines of production for the German industry and up to then to satisfy these by levies in the occupied countries.
mantling and transporting the machines into Germany. The organization of these official detachments of pillagers can be learned from German documents which are being brought to your knowledge when the specific case of Belgium will be outlined to you, and before you. Military command, that the Bureau of Machine Compensation of the Hague, that there they were able to satisfy only a small proportion of the demands. Thus, under date of 1 January 1944, these demands totalled 677,000,000 Reichmarks, where as in the month of January only 61,000,000 marks worth of machines had been delivered as against new demands, amounting to 87,000,000, so that the total demand for machines amounted to 703,000,000 in Reichsmarks at the end of the month of January 1944. Before leaving the Netherlands the Germans effected large scale destructions with a strategic aim, as they said, but above all in the desire to cause damage. Then they destroyed the factories, they previously removed and transported to Germany the machinery which they could dismantle, as well as the raw materials. Thus, they acted in this manner, notably with respect to Phillips Factory, Eindhoven, Hilversum, Bussum, and all the oil dumps of Amsterdam and Pernes, at the armament factories of Breda, Tilburg, Bergen-op-Zoom, and Dordrecht. These facts are treated in the report of the economic officer attached to the Military Commander in Holland, under date 9 October 1944 which I submit under No. 132. The same report gives some confirmation of the organization of the specialized German looters far the removal of machines of which I give here an extract. The military interest attacked in spite of great difficulties lacked the explanation of specialized manpower, for theexploitation, or threat of the enemy tanks and absence of any direction in the exploitation resulting from the military situation, that it was possible to carry out the necessary preparations for the execution of the Zee measures before the arrival of the enemy, and to destroy this factory, one of the most important of the continent in the manufacturing of radios, tubes, electric lamps, and the production of telegraph supplies.
This destruction was carried out under the members of the FWI Kdo-7 that had proceeded to transfer of the most precious metals of the special machines. Aside from destruction carried out in the Phillips Factories, on the indication of FWI-O-, and with the authorization of the O-QU-WBM, the destruction of forty oil reservoirs were carried out on the Amsterdam Oil dumps, as well as the destruction of 800 Oil reservoirs of the dumps of Parnes near Rotterdam. This destruction by explosives were carried out by elements of the 18th German Battalion. towns of Breda, Tilburg, Bussum, Bergen-op-Zoom and Dordrecht, all preparations for the carrying out of the Zee measures were entirely completed, and thus, in the case of enemy attack, the destruction of these towns as the objectives of military interest could be destroyed as soon as the orders were given. needs of the troops. Inspector Tetar of the FWI Bureau, who was in charge of the A.O.K. 15, of these matters received the necessary assistance in providing these assistance. On 7 December a commando detachment transferred to the Reich by trucks important non-ferous metal, manganese copper, and relatively of very great value that were all found at the Phillips Factories. Moreover at the Phillips factory the FWI KDO-7 participated in the transfer of official products and half finished products as well as the machines after the occupation of Eindhoven by the enemy, and the transfer had to be interrupted. Bussum was undertaken. There it was possible to transfer wholly all the reserve in on-ferous metals, finished and half finished products, machines, and manufactured parts, and castings. At the same time commando gangs were organized in conjunction with each chief of the service attached to the general delegate of the Reichminister for armaments and war production in the Netherlands as instituted in each province. These commando units were organized to carry out the transfer of raw material, and valuable products, as well as the machines in conjunction with the aforementioned services, and the related civil service, and with the total and necessary recruiting of officers, and officials of the Sonderfuehrer, and number of crews, it was possible to transfer to the Reich a very considerable quantity of non-ferous metals or raw materials, and in a given number of cases the material available was placed at the disposal of the Army.
region of Netherland. The FWI Kdo-7 entrusted elements of the Army under the command of Captain Raeder to proceed to the removals and to the preparations dictated by the Arlz measures in the command contained in A.O.K.15, in collaboration with the: civilian services, and Section 4 of the A.O.K.15, and it was possible to carry out a successful piece of work on the transfer of raw materials, or rare products, as well as the machines. These operations began only at the end of the month of September 1944.
Section 2: Aside from the stocks located in the factories, the Germans acquired considerable quantities of raw materials in stock and manufactured goods, which economic total amounts to not less than one billion Florins, and these evaluation does not include the destruction through acts of war, which amounted to 300,000,000 Florins.
AGRICULTURE: The Germans proceeded to make requisitions and wholesale purchases of agriculture produce, and of livestock. These levies amounted to a minimum of 300,000,000 Florins, and it has not as yet been possible to make a final estimate. To give an idea of the magnitude of these levies, let's point out that at the end of the year of 1943 the Germans had seized 500,000 hogs, 275,000 cows, heads of cattle, 30,000 tons of preserved meats. The data does not include individual purchases, and shows up in the statistics given us by a representative of the Netherland Government, and which I submit under No.133.
Let's point out, although this question will be taken up again by my colleague, who will present for you the war crimes against persons, but on 12 April 1944 without any apparent strategic reason twenty hectar of cultivated lands were flooded at Berrige Mer.
4. Transports and Communications: The Germans made enormous levies, and it is not yet possible to draw up an exact inventory of them, and nevertheless the information given by the Netherland Government makes it possible to form an idea of the order of magnitude in these spoliations. I submit this document under No. 134. Information given by a representative of the Netherland Government as concerns transport and communication, here is a summary.
(A): Railways, 490 locomotives were levied out of a total of 890, they were levied out. 890 coaches were levied out of a total of 30,000. 1456 passenger coaches were levied out of a total of 1750. 215 electric trains out of a total of 300. Deisel electric trains, 36 out of 37. In general the little material that was left by the Germans was damaged, either by wear, or either in the regular act of sabotage. considerable quantities of rails, signals, cranes, turntables, and repair cars, etc.
(B): TRAMWAYS. The material of the towns of Hague and Rotterdam were removed to German towns. Thus, for example, some 50 carriages and 42 trailer were sent to Bremen and Hamburg. Considerable amount of rails, cables and other accessories were removed and transported to Germany.
The motor buses of the streetcar companies were likewise taken by the occupying power.
(C): Automobiles, motorcycles, bicycles, the Germans seized the greater part of the automobiles, motorcycles, and bicycles, for instance, a million, and they left the population only machines which were not in running condition.
(D): Navigation: The Germans seized a considerable number of bridges, and all river vessels, as well as a considerable proportion of the important part of the merchant navy, totalling about one million and a half tons.
(E): Post Office supplies: The Germans seized a great number of telephor and telegraph apparatus, the amount of which has not yet been possible to compute, but that it is in exactness 600,000 apparatuses were confiscated. the occupant, following that information given by the Netherlands Government, which I submit under No. 135, a great number of Netherland workers were obliged to work either in Holland, orin Germany. About 450,000 were deported into the Reich. This was to represent a considerable number of manhours of loss to the Netherland material productivity.
Plunder of the Royal Palaces: The furniture, private archives, stable carriages, and tools were stolen by the Germans. In particular the products, or tools of Morredinde were entirely looted, as well as the movable contents, including the furniture, linen, silverware, paintings, tapestries, art objects, and household utensils from the place. A great number of these things were removed, and were used for clinic for the attorney general. The archives of the Royal family were likewise stolen. This is manifest by a report given by the representative of the NetherlandGovernment, and which I submit under No. 136. mentioning in this present statement, there were many cases where entire towns were systematically plundered. In this manner the town of Arnhen was looted in October or November, 1944. The Germans had had minors come in from Essen and under military leadership they proceeded in specialized gangs to remove all the removable furniture as well as to remove very valuable objects to send to Germany. This is manifest in the attestation given by the representative of the Netherland Government, and which I submit under the number 137.
considerable. We shall just mention that the enormous decrees of the national capital will have as corollary a production very inferior to the needs of the country through many years to come yet. But the gravest consequence of rule is that which effects public health, seeing that it is not to be impaired. The excessive rationing for many years of food stuffs and fuel, which was ordered by the occupant so as to increase the extent of its spoliation has brought about a weakening of the population. The average of the calories consumed by the inhabitants, which varied between 2,800 and 3,000 went down in strong proportions, reaching about 1,800 calories to finally 400 calories in April, 1945. more precarious. The Kommissar of the Reich, Seyss-Inquart, forbade the transport of food stuffs between the southern and northern zones of the country. This measure, which was not justified by any military operation, seems only to have been dictated by hatred of the population so as to oppress them, intimidate them, weaken them, terrorize them. It is only around the end of March, 1944, that this inhuman measure was done away with, but it was too late. The famine had become general. The death rate in the towns of Amsterdam, The Hague, Leiden, Delft, and Gouda increased very considerably, passing from 198 to 60 per cent. Illnesses which had almost disappeared from these regions reappeared again. This situation will have an irreparable consequence on the future of the population. These facts are manifest in two reports which I submit under the numbers 139 and 140. By ordering such severe rationing measures to get for themselves products which were indispensable to the existence of the Netherlanders, which were contrary to all principles of International Law, I may say that the German loaders have committed one of their greatest crimes.
My explanations concerning Holland are finished. My colleague, Mr. Delpech, will now state the case for Belgium.
M. DELPECH: Mr. President, gentlemen, I have the honor of presenting to the Tribunal a statement on the economic plundering of Belgium. invading Belgium and Holland on the Northern fronts. They knew full well that they should find there the raw materials, equipment, and concerns which would enable them to increase their war potency. As soon as Belgium had been occupied, the German military administration did its best to get the maximum benefit from its occupation. To this aim the German loaders took a series of measures to block all the existing bridges and to seize all the means of payments. The important stocks which had been constituted in 1936 to 1938 became the object of requisition. The machines and equipment of numerous enterprises were moved and sent to Germany, bringing about the closing down of numerous factories and a close concentration in many sectors. authorities imposed a very heavy tribute upon the Belgian industries, but the agriculture was not spared either.
Chapter 3 treats with these measures. This will be sub- divided into four chapters. Chapter I treats with the German seizure on the means of payment. The second chapter will treat the secret purchases on the black market. Chapter 3 mil treat the acquisitions of regular appliances. The fourth chapter will concern the leaders of services. In the fifth chapter we will treat the acquisition of Belgian investments in foreign concerns and shall be presented to the Tribunal before we'll pass on to the conclusion attaching on the public health. Finally, a few observations will be presented concerning the conduct of the Germans after they had annexed the Grand Duchy of Luxembourg.
Chapter 1: German seizure on the means of payment. To enslave the country from an economic point of view, the most simple method was to secure the possession of the majority of the means of payment and to make impossible the export of currency and the values of all kinds. There is an order of the 17th of June, 1940, which forbids the export of currency and the values of all kinds.
This order was published in the special Verordnungsblatt for Belgium and for Northern France and will hereafter be called "V.O.B.E.L.". This order was published as "V.O.B.E.L. NO.2" and is submitted under the number 98. In the V.O.B.E.L. of the same date appeared a notice dated the 9th of May, 1940. It regulated the issuing of notes of the Reichskreditkasse for supplying the troops of occupation with means of payment.
furnishing any compensating consideration all they desired in a country which had products of any kind, and inhabitants did not have the possibility of denying the invader their property. of the means of payment. These three methods were the creation of an issuing bank; the imposition of attributive war and a pretext of the maintenance of the troops of occupation; the functioning of a system of clearing was some profit. These measures will be treated in three parts, which I will hereafter develop.
Section 1: Creation of an issuing bank. As soon as they arrived in Belgium the Germans created an office for supervising banks, entrusted at the same time with the control of the National Belgian Bank, the creation which was ordered on the 14th of June 1940.
V.O.B.E.L. No. 2, which I submit under the number 141. At this time the direction of the National Belgian Bank was outside of the occupied territories. On the other hand, the total sum of notes on hand would be insufficient to insure a normal circulation, as a great number of Belgians had fled the invasion, taking with them an important quantity of paper money. At least these are the reasons that the Germans invoked to create an issuing bank by order of the 29th of June, 1940.
V.O.B.E.L. No. 4 and 5, which I submit under number 142. By virtue of this last order the new issuing bank had a capital of 150,000,000 Belgian francs, 20% of which had been issued in cash, and a new issuing bank received the monopoly for issuing paper money in Belgian francs. As a matter of fact, the National Bank of Belgium did no more have the right of issuing money. The cover of the issuing bank was not in gold but by, first of all, credits 2. The circular was represented by the credits on the Thirdly:
the third element was a decisive falling in German and of the Reichskreditkasse.
The German Kommissar, who had been the issuing bank.
The decree of the 26th of June, 1940, was published, in V.O.B.E.L., No. 3, page 88, and is submitted under this bank and the new issuing bank.
The director of the National Bank of Belgium was appointed director of the issuing bank.
The issuing bank proceeded to issue a great number of notes.
On the 29,800,000,000 Belgian francs.
On the 29th of December, 1943, it an increase of 236%.National Belgian Bank.
Besides its role of issuing institute, the new bank had the following attributes:
the operations relating occupation, the clearing.
The National Belgian Bank lost its right and finances.
This report was discovered by the U.S. Army and we shall refer to the document many times.
It is No. DH-5, and is submitted to the 'Tribunal under the number 144.
a loss of 3,567,000,000 francs. This number is given by Wetter in Government.
The issuing bank had in hand at the moment of liberation the Reichskreditkasse.
That is to say, the total loss came to 656,000,000 francs.
This number is given in a report of the Belgian No. 146.
Let us now treat the expenses of occupation. Article 49 of the occupation or for the administration of the territory.
The occupant but this must not exceed a strictly limited sum.
On the other hand, the words "needs of the army of occupation" do not mean the expenses for armament and equipment, but solely billeting expenses; expenses
THE PRESIDENT: Don't you think you might omit further references colleague?
M. DELPECH: Consequently the Germans exacted a monthly indemnity of 1,000,000,000 up to August 1941.
At that date the indemnity was increased to 1,500,000,000 per month.
By the end of French francs.
This number cannot be contested by the Defense, occupation was 64, 181,000,000.
This is deposed under No. 147.
with the needs of the occupying army. This is notably manifest in the report of Wetter, in a passage that I depose under No. 148.
On page 245 of this report it is said that on the 17th of January 1941 the general who was commanding officer in Belgium had requested the superior command of the Army that -- rather, the indemnity did not have to cover only the expenses of occupation.
This point of view was not accepted by the High Command, who, by decree of the 21st of October 1941 specified that the indemnity of occupation was to be used not only for the needs of the occupying army, but also those of the operating armies. says -- and I will quote an excerpt which will be found in the book of documents under No. 149, the second paragraph:
"The increase of expenses of the Wehrmacht made it clear that it would be impossible to meet these expenses with these sums. The administration demanded an expiration of account of all occupation expenses in detracting from this account all expenses which were foreign to the occupation itself. This concerns important expenses which the military services went into for buying horses, motor cars, equipment, things which were destined for other countries, and which were put down to the account of occupation expenses.
"By decision of the administrative chief, dated the 11th of June 1941, the financing of the expenses other than those for the occupation were passed on to the clearing. In carrying out of this decision the military command demanded, from the month of June, 1941, a monthly report on all expenses other than those destined to the occupation, but which were paid under account of expenses of occupation and transfers to the clearing. That is, important sums were recuperated and were to the benefit of the expenses of occupation." already exacted, by order of the 17th of December 1940, No. 150, that all expenses of billeting of their troops should be put to the charge of Belgium. Owing to this, this country had to meet expenses totaling 5,900,000,000 francs, which went for the billeting of the German troops, expenses for the establishment, furniture, and so forth. the end of June, 1944, the Belgian payments relating to the billeting of troops totaled 423 million francs.
called indemnity of occupation, was not sufficient for Germany. Her leaders created a system of clearing which enabled them to procure means of payment totalling 62,200,000,000 Belgian francs. 7th of August and 7th of December, 1940, Number 151, 152 and 153 of the Book of Documents, the Germans decided: would be paid into an account called the "Deutche Verrechnungskasse", which was opened in the bocks of the National Belgian Bank in Brussels. This was in belgas in spite of the advice concerning currency as of 17 June, 1940, and to which I made allusion inn connection with the blocking of the means of payment in Belgium. carrying out of the clearing would be entrusted from there on no longer to the National Belgian Bank but to the issuing bank of Brussels, which as I have already had the honor of saying, had been created by the occupant and was under his absolute control. would pay their Belgian creditors by means of the open account at the Belgian bank at the following rate of exchange, one hundred belgas equal forty marks, that is to say one mark for 12.50 Belgian francs. with a view to favoring the operations in this country and even were extended to certain neutral countries by divers similar decisions, which were published in the V.O.B.E.L. The mission of the issuing bank at Brussels consisted, therefore, in receiving payments from all persons or organizations established in Belgium and to whom foreign countries owed something. In other words, every time that an exporter delivered goods to the importer of another country and members of the clearing, it was the issuing bank which paid his bill and which wrote down in his book an equivalent amount as on the "Deutsche Reichskasse" in Berlin.
In case of imports, the opposite operation took place. In fact, under the German leadership, this system functioned to the detriment of the Belgians collectively, which at the moment of the liberation was creditor in the clearing of 62,665,000,000 francs.
It was the National Belgian Bank which had been forced to make advances to the issuing bank so as to counter-balance the account of the "Deutsche Reichskasse." the clearing had no commercial character but were purely military or political expenses. The following information comes from the Belgian government. The clearing operations could be resumed in the following manner, and I draw my conclusions from this document, under Number 156. In the opposite of the movement, 93 per cent corresponded to the compensating Franco-German operation; for goods 93 per cent, for services, 91 per cent. vices or the capital, one comes to the two following tables: the ensemble of the movements, clearings of Belgium with foreign countries, total on the second of September, 1944, the sum of 61,636,000,000 Belgian francs, of which 57,298,000,000 were for operations with Germany, four billion only with France, one billion with the Netherlands and 929,000,000 with other countries. manifest. This was due, in greater part, to requisitions of property and services, which Germany did for her own benefit. metals and things wrought in metal, machines, textile products, ninetenths of which were seized by the Reich, who made themselves, therefore, guilty of spoliation. the occupation were particularly intense, they concerned the forced realization of the participation of Belgian capital in foreign countries as well as the enforced cession to German groups of Belgian assets blocked in Germany. No effective compensation was given in exchange; the transfer pertaining to services belonging primarily to the payments made for the use of the Belgian labor in foreign countries.
The creditors' balance of these services on the second of September, 1944 is as follows, in millions of Belgian francs: Ensemble of the clearing concerned services -- 20,116,000,000, that is to say for paying labor, 73 per cent of the total: for Germany alone, 18,272,000,000, that is to say, 72 per cent of the total amount: for France only 1,600,000 Belgian francs, of which -- well, that is to say a very small part. work in Germany or in the occupied territories. The occupant forced Belgium to the following: She forced her to liquidate, in clearing, all the transferred sums and to send Belgian notes to the ReichsbankDirektorium in Berlin for the paying of the workers in national currency.
THE PRESIDENT: Do you think it is necessary to go into these clearing operations again? In each case of the various countries which have been dealt with the same clearing operations have taken place, havy they not? Then perhaps it is really unnecessary to do it over again for Belgium.
M. DELBECH: Very well, I will continue without insisting on this. come out of the aforesaid reports can only strengthen the conclusions of our statement.
means of payment, I think we may signify that by an order under date of the 22 July 1940, the Germans had fixed the rate of the Belgian franc to 8 Reich pfennig, that is to say, 12.50 francs per one mark, and in the aforementioned report, Hitler writes in connection with this, page 37 and 38, a passage which I ask the Tribunal to allow me to read that this passage is in the Document Book, Number 158:
"The maintenance of the facto of the pre-war parity was of political importance because numerous people would hare had the impression that a strong devaluation or a new modification was a maneuver of plundering. be made. The occupants had no need in Belgium of decreeing, with the view of favoring their undertaking of economic plundering, that the Belgian franc should have a lesser value. As a matter of fact, contrary to that which had passed in France, they had at the moment they entered Belgium instituted new currency of which they had the control. Government 221.730 Kilos of gold of value in 1939 of 9,500,000,000 francs, but as France had restituted this gold to Belgium, this question shall be treated when we discuss the economic plundering of France. army. A few numbers, notes of the Reichskreditkasse, 3,567,000,000; to various notes and accounts in the books of the Reichskreditkasse; 656.000.000; tribute of war under the pretext of indemnity of occupation, 67.000.000, to which we must also add the credit of balance of the clearing; 62.656.000.000. That is to say, a total sum of 133,888,000,000 Belgian francs, the Germans therefore seized as a minimum for over 130,000,000,000 Belgian francs, which they used for purchases of regular appearances, for the paying of requisitions, and to make secret purchases on the black market. These pretended purchases and requisitions will be treated in the following chapters.
Chapter 2, secret purchases, black market. As in all of the other occupied territories, the Germans organized a black market in Belgium as early as October 1941, according to a secret report on the black market, called "Final Report of the Office of the Supervisor of the Military Commander in Belgium and in the North of France, concerning the legal abolishment of the black market in Belgium and in the North of France." of May 1943, Document Number 159 of the book of documents. The reasons given by the Germans for this organization of the black market total three.
First reason: To abolish the competition on the black market between the various German buyers. In the second place, to use as well as they could the Belgian resources for their war effort. Thirdly, to do away with the pressure exercised on the general standard of prices and to avoid all danger of inflation which would end up by endangering the German currency. actual administration and organization was set up by the Germans for the carrying out of this policy. centralized in its books all the operations. The direction of the purchases was assured by a central organization, the name of which changed in the course of the years and which had a certain number of organizations subordinate to it, notably a whole series of purchasing offices. military command in Belgium of the 20th of February 1942. It was created the 13th of the following March, and as soon as it was created it received directives which came from the delegate of the defendant Goering, Marshal of the State. This delegate was Lt. Col. Veltjens, of which we spoke this morning. legalization and of direction of the black market, such as had been decided upon and foreseen following conferences between the General Intendant, the military command of Belgium on the one hand, and the command of the Inspector for Armaments on the other hand.