Shocking but interesting information.
http://autarchic.tripod.com/files/alliance.html
The COMMUNIST-CAPITALIST ALLIANCE
By Dr. Harold Pease, Ph.D.
Professor of History at Palo Verde College
Those of us who teach political science on the college and university level find ourselves seriously handicapped by the lack of textbooks and carefully prepared historical research on one of the most important phenomena of our time, namely, the amazing alliance which has been growing for more than half a century between the leaders of the world-wide Communist movement and the leaders of some of the most powerful banks and industries of Europe and America.
That such an alliance should even exist, came as an intellectual shock to this writer. It seemed irrational, an ideological contraction, a conflict of interests. Nevertheless, the more I have researched the matter, the more convinced I have become that the alliance is not only a reality, but that also herein might be found the Gordian knot which must be cut before we can solve some of the world's most critical problems.
A recent announcement calling the West's attention to the existence of this alliance came unexpectedly from the heart of the Communist world itself.
FAMED RUSSIAN REFUGEE DESCRIBES THE ALLIANCE
On June 30, 1975, Aleksandr I. Solzhenitsyn, the famed Russian author, lecturer, historian, intellectual, and recipient of a Nobel Prize, gave one of the most important addresses delivered in this country during the Twentieth Century. To a select and packed audience in the ballroom of the Washington Hilton, Solzhenitsyn advised his listeners of the existence of an amazing and mysterious alliance, "at first glance a strange one, a surprising one - but if you think about it, one which is well grounded and easy to understand. This is the alliance between our Communist leaders and your Capitalists." Solzhenitsyn explained that the alliance of which he spoke was not new. He said the great Capitalists of the United States assisted Lenin "in the first years of the Revolution," and that since then "we observe continuous and steady support by the businessmen of the West of the Soviet Communist leaders." (Congressional Record, 8, July, 1975, pp. 11951-11956).
FIRST FIVE-YEAR PLAN BUILT WITH AMERICAN TECHNOLOGY
The Russian told those assembled that the Soviet economy is so clumsy and awkward that it will never overcome its own difficulties by itself. He charged that the enslaved Russian masses could have thrown off Communism several times had not Western assistance been poured into the USSR to sustain the Communist leadership. He pointed out that "the major construction projects in the initial five-year plan were built exclusively with American technology and materials. Even Stalin recognized that two- thirds of what was needed was obtained from the West. And if today the Soviet Union has powerful military and police forces ... used to crush our movement for freedom in the Soviet Union ... we have Western capital to thank for this also." (Ibid.)
The movement for freedom behind the Iron Curtain is very real, according to this famed Russian author, because Marxism is viewed with disdain by the people; "In the Soviet Union today, Marxism has fallen so low it's simply an object of contempt. No serious person in our-country today, even students in schools, can talk about Marxism without smiling. (Ibid.)
The speech in Washington, D.C., was followed ten days later by another address in New York. Again Solzhenitsyn emphasized that the "whole existence of our slave owners from beginning to end, has depended on Western economic assistance." He emphasized the plight of the Russian people by telling those assembled:
"We are slaves there from birth. We are born slaves. I'm not young anymore, and I myself was born a slave; this is even more true for those who are younger. We are slaves, but we are striving for freedom. You, however, were born free. If so, then why do you help our slave owners?
"In my last address I only requested one thing and I make the same request now: When they bury us in the ground alive ... please do not send them shovels. Please do not send them the most modern earth-moving equipment." ("The Strangled Cry of Solzhenitsyn," National Review, 29 Aug. 1975, p. 937).
DETENTE IS TOTALLY ONE-SIDED
Solzhenitsyn explained that the Russian people are not told that the assistance comes from the West. Instead, they are continually taught a hatred for the West, Detente, then, is totally one-sided.
"Our country is taking your assistance but in the schools they are teaching and in newspapers they are writing and in the lectures they are saying, `Look at the Western world, it's beginning to rot. Look at the economy of the Western world, it's coming to an end. The great predictions of Marx, Engels, and Lenin are coming true. Capitalism is breathing its last. It's already dead. It has demonstrated once and for all the triumph of Communism.'" (Ibid., p. 93
What about these charges? Are they found in fact? Is the West, notably the United States, responsible for building and sustaining the Communist enemy, which has now consumed nearly one-half of the world, or has the famed Russian scholar over-extended his claim? Article III, Section 3, of the United States Constitution defines treason as "giving aid and comfort to the enemy." Certainly if Solzhenitsyn's view of history is correct our leadership has a lot of explaining to do.
CONGRESSMAN JOHN M. ASHBROOK
Let us begin by examining statements made by prominent members of Congress which appear to give credibility to the Solzhenitsyn claim. On March 6, 1974, Congressman John M. Ashbrook informed his colleagues of the irony of trade with the USSR
"... U.S. technical trade with the Soviet Union and other East European countries has `gained significant momentum' since the May, 1972 Moscow summit conference and will undoubtedly continue to increase at a gradual rate. The American share of Soviet imports of plants and equipment from the West is now running about 20 percent of the total. It is ironic that while American businessmen are trading hundreds of millions of dollars for plants and equipment to the Soviet Union, the Administration is asking for an increased defense budget to meet the Soviet military threat-a threat which, in part, is being built with American technology." (Cong. Rec., March 6, 1974, p. E1176).
CONGRESSMAN STEVE SYMMS
Congressman Steve Symms, equally alarmed, minced no words in verbalizing dissatisfaction with present trade arrangements. He began:
"Few Americans fully appreciate the extent to which their tax dollars are being used to finance their own destruction. The dealings of the Export-Import Bank are a good example. U.S. `loans' to the Soviet Union through the bank now total over 760 million dollars to finance projects like constructing the world's largest truck plant on the Kama River. Only two weeks ago an additional $67.5 million of your money was provided for this project, along with a 20 million dollar loan for a Russian acetic acid plant.
"Another $180 million is now being earmarked for a chemical complex in the USSR and $49.5 million for a gas exploration project in Eastern Siberia."
The basic problem, according to Symms, is that we are arming the very enemy who intends to destroy us. Symms summarized this situation:
"... U.S. tax dollars are not only propping up a ruthless dictatorship but they are helping to arm our enemy to the teeth. While America is bust building factories and other valuable strategic facilities on Russian soil, the Kremlin is diverting proportionally more of its own resources toward sophisticated offensive weaponry. It makes one wonder whose side the Export-Import Bank officials are really on. Modern-day liberals often refer to these kinds of suicidal give-aways as `meaningful cooperation in the spirit of detente.' It used to be called treason." (American Security Council, Washington Report, 11-15 Mar. 1974).
CONGRESSMAN RICHARD H. ICHORD
Congressman Richard H. Ichord, former Chairman of the House Committee on Internal Security (abolished January 1975) and ranking member of the House Armed Services Committee, responded similarly:
"We are especially alarmed by the report that the Bank (Export-Import Bank) is on the verge of granting $49 million in credit to the Soviet Union for exploration of Eastern Siberian gas fields. We believe that American financing of Soviet gas exploration at this particular time in history, especially at an interest rate of 6% (which is in effect to be subsidised by the American taxpayer), smacks not only of poor business judgment but suggests a disregard for our national security. Every nation's defense capacity is directly related to its energy resources. The real question is why do we spend some $80 billion a year to maintain such a large military establishment.... This has enabled the Soviet Union to engage in the largest peacetime military buildup in the history of man. We cannot afford to adopt any trade or credit policies that will allow the Soviets to further expand their military machine." (American Security Council, Washington Report, Feb. 1974, pp. 1-3).
SENATOR RICHARD SCHWEIKER
Senator Richard Schweiker also viewed such trade concessions as a "$6.1 billion gas exploration project in Western Siberia and a $49.5 million oil exploration project in the Yakutsk area of Eastern Siberia" as being against the national interest. As with Ichord, Schweiker contended that "lending American capital at low (6%) interest for such projects when there is an energy crisis in the United States" is an illogical concession. (L.A. Times, March 9, 1974, part 3, p. . Why is the Export-Import Bank charging 6% interest when the prime rate is up to 10%? The problem of the Russian exchange is greater amplified when one realizes that "when Congress is depreciating the dollar at 5% per year, you have to charge 10% to make even five. If a buyer borrows dollars at 6% for five years, and in that period the dollar has depreciated 25%, the buyer has only paid 1% per year for his loan." We must not forget that the taxpayer pays the interest subsidy. Should the buyer default, the U.S. taxpayer once again takes the loss. (Congressional Record, Feb. 19, 1974, p. E694).
CONGRESSMAN PHILIP CRANE
Even if America could forget the rise in the cost of bread to the American consumer as a result of the recent Russian wheat deal, estimated at approximately $290 million, and the extra cost to the beef industry for feed grains which inevitably is reflected in increased beef prices, also passed to the consumer, there are other objections. Congressman Philip Crane mentioned one in particular before commenting on the dangers of increased technological trade with the enemy.
"What happened in the wheat deal, of course, was that the United States sold the Soviet Union and Communist China wheat at a low, subsidised price, with the difference being made up by American taxpayers. As a result, the Soviet Union was saved from famine, and was saved from having to reform its system of forced collectivization.... "The kind of trade the Soviets want, and which we have been willing to participate in, is not trade for consumer goods, such as refrigerators, radios, television sets, and automobiles. They want heavy-industry help, such as machine tools, ball bearings, and precision calibrators. These have military potential, and will hardly improve the living standards of the Russian people....
"To provide the Soviet Union with the sophisticated technology it needs to surpass us, while not demanding any concessions in return, and subsidizing the transaction in addition, is a one- sided policy designed solely to our own detriment." (Congressional Record, July 10, 1973, p. H5896).
CONGRESSMAN EARL F. LANDGREBE
On July 10, 1973 Representative Earl F. Landgrebe told colleagues assembled in the House of Representatives:
"... We are playing into the hands of the Communist rules when we come to their rescue with food and other products of this great free nation, when their whole problem is the fact that the people are trying to lift the Communist domination and pressure from their shoulders by refusing to produce.
"I would say that America is walking right into this situation and actually prolonging the control of the good people of Russia, and the Russian people are good people. But, as I say, they are under slavery by their Communist rulers. And when we make these deals with the Communist rulers we are perpetuating the slavery of the Russian people." (Ibid., p. H5894)
STRATEGICALLY DANGEROUS TRADE ITEMS
But what, more precisely, are these trade items that are supposed to be so dangerous to our national security? Such information is not readily accessible. The Congressional Record of February 7, 1974, gives us a chart showing some of the more strategically dangerous trade items transferred through the U.S. Export-Import Bank.
REPORT OF EXPORT-IMPORT BANK
ON APPROVED ITEMS FOR SOVIETS:
Loan in Millions U.S. Value
Submersible electric pumps. . . . . . . . . . . . 11.6 . . . . 25.9
Plant to produce tableware and dishware . . . . . 3.1 . . . . 6.8
Kama River Truck plant. . . . . . . . . . . . . . 86.4 . . . . 192.1
250 circular knitting machines. . . . . . . . . . 2.5 . . . . 5.6
Second tableware plant. . . . . . . . . . . . . . 9.8 . . . . 21.8
2 assembly lines for manufacturing pistons. . . . 6.4 . . . . 14.3
38 gas reinjection compressors. . . . . . . . . . 11.8 . . . . 26.1
Iron ore pellet plant . . . . . . . . . . . . . . 16.2 . . . . 36.0
Machining friction drums. . . . . . . . . . . . . 2.7 . . . . 6.0
Transfer line for manufacturing pistons . . . . . 7.0 . . . . 15.7
Loan in Millions U.S. Value
Projects:
Automotive component manufacturing processes. . . 20.7 . . . . 46.0
Acetic acid plant . . . . . . . . . . . . . . . . 18.0 . . . . 40.0
Canal building machinery. . . . . . . . . . . . . 2.9 . . . . 6.6
Valve making machinery. . . . . . . . . . . . . . 2.1 . . . . 4.7
International Trade Center. . . . . . . . . . . . 36.0 . . . . 80.0
Loan in Millions U.S. Value
Pending:
Chemical complex. . . . . . . . . . . . . . . . . 180.0 . . . . 400.0
Additional equipment for Kama River
truck project. . . . . . . . . . . . . . . . . . 67.5 . . . . 150.0
Minister of Geology, Vakutsk gas
exploration plant. . . . . . . . . . . . . . . . 49.5 . . . . 110.0
Oil pipeline pressure regulators. . . . . . . . . 4.5 . . . . 10.0
(Congressional Record, Feb. 7, 1974, p. S1497).
LOANING MONEY TO USSR TO BUILD WAR MACHINE
Can the problem be described in terms of capital outlay? This information is not easily obtainable from government agencies, but Congressman Steve Symms was able to give us some idea of the problem as of October 16, 1973.
"So far in 1973, credits and credit guarantees from the U.S. Export-Import Bank in the amount of $202.6 million have been made available to the Soviet Union. The credits carried an interest rate of 6 percent, and grace periods, before repayment begins, of up to 10 years. These transactions supplement the $750 million line of credit for grain purchases made available in 1972 by the Commodity Credit Corporation. In addition to these actual credits, major transactions involving the Soviets and American firms that have been announced this year envision U.S. Export-Import Bank credits of approximately $3 billion." (Quoted by the Freemen Report, Feb. 15, 1974, p.1).
If Symms' records are complete, the United States granted the soviets extended loans worth nearly one billion dollars during the months in question.
MILITARY SUPERIORITY: SOVIET GOAL
The information presented is especially disturbing in view of the comments made by Senator Henry Jackson to colleagues on the Senate floor:
"And just this past week, reliable reports have reached the West that Secretary Brezhnev has told Eastern European Communist leaders that improved relations with the West are, in fact, a tactic to permit the Soviet bloc to establish its superiority in the next 12 to 15 years. Tactical flexibility is, of course, a prime component of Leninist political doctrine. Will we find that, in 15 years, the Soviet Union has established a position of superiority which will allow it to disregard detente altogether?" (Congressional Record, Sept. 20, 1973, p. S17053).
But according to Solzhenitsyn, the free world built and maintained the Communist slave world almost from the beginning. Several of the congressmen gave substance, in part, to his claim. Perhaps the most pointed comment came from Congressman Steve Symms who said, "... History has proven that the Soviet Union's planned industry feeds on the industrial freedom of the West. It would long ago have died a natural death, had it not been for the repeated injections of lifeblood that are still being pumped into it today." (Congressional Record, Oct. 16, 1973, as quoted by the Freeman Report, 15 Feb. 1974, p. 1).
SOVIET UNION FOREMOST BENEFICIARY OF U.S. AID
Dr. Larry McDonald (Missing since he was aboard the flight of KLM 007, while Richard Nixon was ordered to get off that same flight in Nome, Alaska) has probably been the most outspoken Congressman opposing "aid and comfort to the enemy." Quoting from the report of the Committee on Appropriations (House Report 94-53, to accompany H.R. 4592, March 10, 1975) McDonald informed his colleagues that:
"... the United States has provided $1,033,400,000 in foreign aid and assistance to the Soviet Union from 1946 through 1974. Presumably this was done under authority other than the Foreign Assistance Act, which prohibits such aid.
"When you also consider the so-called lend-lease program - so- called because as things turned out it was neither lend nor lease but outright charity to the tune of $11 to $12 billion - and the passing over our post-World War II occupational currency production capability, the true figure of aid to the heartland of totalitarian communism would be somewhere between $30 to $40 billion. Most Americans are staggered upon learning that the USSR has been the No. 1 beneficiary of U.S. aid in this century....
"All of this certainly destroys the accepted view that the United States has an anti-communist foreign policy." (Congressional Record, Oct. 3, 1975, p. E5215).
HOW U.S. AID REPEATEDLY SAVED SOVIET LEADERS
McDonald, quoting from a review of the book National Suicide, by Dr. Antony Sutton (the leading authority on East-West trade), continues:
"... It was primarily U.S. technology that kept the Bolsheviks on their feet after their 1917 coup d' etat, that maintained them through the Depression, and that has kept them alive to this date....
"The major areas of technical assistance to the Soviet Union, which have been directly or indirectly used in military applications are: (1) weapons, including explosives, ammunition and guns; (2) tanks, trucks and armored cars; (3) ships; (4) airplanes; (5) space technology; (6) missiles; and (7) computers.
"In the area of weapons, aid was forthcoming from the United States even before the Bolsheviks had consolidated their hold on Russia after the coup." (Ibid.).
Solzhenitsyn could not have said it more clearly.
AMERICANS LEFT IN THE DARK
Apparently there is substance to the Solzhenitsyn claim, but how much? Obviously, trade with the enemy is another one of those obscure areas where Americans have been poorly briefed. Most find it difficult to accept our wheat give-aways, but how will they react when they are told that this trade with Communism includes much more? We may never know, since the major media - press, radio and TV - have played down or completely ignored the dark implications of this enemy-building business.
RUSSIAN INDUSTRIAL DEVELOPMENT UNDER THE TSAR
An examination of our trade history with the Communists gives strong evidence that the Solzhenitsyn claim is not in the least exaggerated. Returning to the Bolshevik revolution, the reader might be surprised to find that the Russians under the Tsar were far more advanced, prior to 1917, than we had thought. "Airplanes and automobiles of indigenous Russian design were produced in quantity before the Bolshevik revolution. Although industrialization was restricted to a few population centers, it utilized modern, efficient plants operating on scales comparable to those elsewhere in the world. Further, there were obvious signs of indigenous Russian technology in chemicals, aircraft, automobiles, turbines, and railroad equipment. "Not only did such technology exist, but it was left almost totally undisturbed by the Bolshevik revolution of 1917. What then caused the economic calamity which followed 1921? One thing is certain. It was not brought about by absence of operable productive facilities." (Antony C. Sutton, Western Technology and Soviet Economic Development, 1917-1930. Hoover Institution on War, Revolution and Peace, Stanford University, p. 344).
WHO FINANCED THE BOLSHEVIK REVOLUTION IN 1917?
Before we speak of the economic calamity brought on almost solely by the disastrous programs of the Bolsheviks, let us first trace their rise to power. Revolutions are expensive. There is considerable evidence that the Bolsheviks received enormous grants from private individuals in Germany and the United States.
"One of the chief German financiers of the Russian Revolution was M. M. Warburg, who made millions available to the Russian Communists through a bank in Sweden. In America, Jacob Schiff, a partner and brother-in-law of Warburg, contributed $20 million to the Russian Revolution." (Paper Relating to the Foreign Relations of the U.S.-Russia, 1918. House Document no. 1868, U.S. Government Printing Office. See also extensive treatment of this question in Wall Street and the Bolshevik Revolution, by Antony C. Sutton, Arlington House, New York, 1974).
COMMUNISM BROUGHT ECONOMIC CHAOS TO RUSSIA
Economic chaos followed the advent of the Communists to power. Within months fields lay untilled, and factories stood idle. Production sank to one-seventh of what it had been before the war when the Tsar was in power.
(Werner Keller, East Minus West Equals Zero, G. P. Putnam's Sons, New York, 1961, p. 195). "By August 1922 the Soviet economy was at the point of collapse." Lenin, Bogdanov, Arsky and Krassin each, according to Antony Sutton, acknowledged that their system had failed. (Western Technology and Soviet Economic Development, 1917-1930, p. 345). 1921-22 is remembered by the Russian people as the worst famine in Russian history up to that date. "The famine that struck large areas, particularly on the Volga and in the Ukraine, in 1921-1922, was caused only to a small degree by drought and other natural phenomena. In the main it was the consequence of the political developments of the preceding few years.... It was a man-made famine. By the summer of 1921 the disaster had reached such proportions, and the prospects for the future appeared so bleak, that the government was forced to deviate from the accepted methods of propaganda and admit the facts." (Facts on Communism: The Soviet Union from Lenin to Khrushchev, Committee on Un-American Activities, House of Representatives, 87th Congress, 1st Session, Dec. 1960, p. 130).
LENIN PLEADS WITH WESTERN CAPITALISTS FOR HELP
It was apparent that the people could not have with stood much more. Revolt was probable. In order to save Communism, Lenin was forced to slow down his radical socialization of Russia. Reluctantly Lenin called upon the mighty industrial powers of the West for help. They responded by sending engineers, research scientists, and technologists. According to Werner Keller, one of the leading authorities on East-West trade, Lenin hated the capitalists but found it advantageous to use them. (Keller, East Minus West Equals Zero, p. 195). The Russian leader is credited with having said:
"They will furnish credits which will serve as a means to support the Communists parties, and by supplying us with materials and techniques which are not available to us, they will rebuild our war industry which is essential to our future attacks on our own suppliers. In other words, they will be laboring to prepare their own suicide." (Ibid., p. 201).
GERMAN CAPITALISTS ASSUME LEADERSHIP
The Germans were the most responsible for rebuilding the Russian industry. Plants unmanned since the Communists seized power began to function. Much of the assistance came as a result of the German Trade Agreement of 1921, and the Papallo economic, military, and trade protocols. Germans assumed leadership in most large industrial and mining enterprises. "As late as 1928, Soviet industry was run by a partnership of German and prerevolutionary engineers independent of nominal Party control." (Sutton, Western Technology and Soviet Economic Development, 1917-1930, p. 346).
The assistance of the Germans was tremendous and without question saved Lenin and the Communist system.
"The first modern aircraft factory in Russia was built by the German Junkers concern. Thus, Soviet air power was born. Large numbers of Soviet engineers and workers were trained; many hundreds of Russian pilots were thoroughly instructed by German pilots; and the first Russian airline network was created." (Keller, East Minus West Equals Zero, p. 202).
MILLIONS IN AMERICAN RELIEF FUNDS HELP SAVE LENIN
Meanwhile, the American Relief Administration (A.R.A.) headed by Herbert Hoover, poured 700,000 tons of food and supplies worth $60 million into Russia. (Facts on communism, pp. 133-134). What America did was merciful, magnanimous, and in good faith, but it relieved Lenin and his followers from their greatest fear - a successful counter-revolution because of the famine. A much better program for the United States would have been to await the counter-revolution and assist a free Russian populace with food and supplies rather than to insure Lenin's retention of power. As it turned out, the Russian people were denied the opportunity to free themselves, and the West now fears an enemy which it helped to build. Ironically, the memory of this great and merciful American deed has been stamped out of Russian literature. Equally ironic is the fact that half of Germany is now held captive by the Soviet government which the Germans insisted upon preserving.
AMERICAN CAPITALISTS REPLACE MOST EUROPEANS BY 1929
American technical leadership began to replace German leadership in rebuilding the Soviet Union.
"Of the agreements in force in mid-1929, 27 were with German companies, 15 were with United States firms and the remaining ones were primarily with British and French firms. In the last six months of 1929, the number of technical agreements with U.S. firms jumped to more than 40." (Sutton, Western Technology and Soviet Economic Development, 1917-1930, pp. 346-347).
The new program was announced, however, only "after a sequence of construction and technical-assistance contracts with Western companies had been let. The Freyn-Gipromez technical agreement for design and construction of giant metallurgical plants is economically and technically the most important." (Ibid., p. 347).
EXTENT OF AID "ALMOST UNBELIEVABLE"
During the early thirties, the amount and type of "aid and comfort" to the Soviet Union was almost unbelievable. In 1930 the Ford Motor Company established the Russian motor car industry by constructing a factory "capable of turning out 140,000 cars a year." By the end of the decade the factory, at Gorki, was one of the largest in the world. Ford also provided training for the Russians in assembling automobiles "plus patent licenses, technical assistance, and advice," and "an inventory of spare parts." (Keller, East Minus West Equals Zero, pp. 208-209, 215-216). Americans also built, in the Soviet Union, the largest iron and steel works in the world; patterned after the city of Gary, Indiana. The huge steel complex, built at Maginitogorsk, was constructed by a Cleveland firm. (Ibid., pp. 209-210).
LARGEST TRACTOR FACTORY IN THE WORLD
The largest tractor factory in the world was another American contribution to Soviet technology.
"Tractors were a necessity to modernize Soviet agriculture. A Detroit engineer designed and constructed a tractor factory without parallel in any other country. The assembly works were 2,000 feet long and 650 feet wide, covering an area of thirty acres. Twenty-one American football fields would fit into just one building, with locker rooms for the players. The tractors produced were copies of the American Caterpillar Company, but there were no arrangements made for payment for use of the patent. Russia merely bought one sample and copied it. The factory was so designed that production could be adopted almost overnight to the production of another less innocuous commodity - tanks." (Ibid., p. 213).
LARGEST HYDROELECTRIC DAM IN THE WORLD
The largest hydroelectric installation and dam in the world was built at Dnieproges, Soviet Union, by Col. Hugh Cooper, famed for having built the dam at Muscle Shoals, Tennessee. "The power plant increased Russia's hydroelectric system output by six times, and produced more power than Niagara Falls." (Ibid., pp. 216-217). According to Antony Sutton:
"Two agreement with Orgametal by other American companies completed assistance in the heavy engineering field. The electrical industry had the services of International General Electric (in two agreements), the Cooper Engineering Company and RCA for the construction of long range powerful radio stations. The stuart, James and Cooke, Inc. contracts with various coal and mining trusts were supplemented by specialized assistance contracts, such as the Oglebay, Norton Company aid agreement for the iron ore mines and the Southwestern Engineering agreement in the non-ferrous industries. The chemical industry turned to Du Pont and Nitrogen Engineering for synthetic nitrogen, ammonia and nitric acid technology; to Westvaco for chlorine; and to H. Gibbs to supplement I.G. Ferben aid in the Aniline Dye Trust. This was supplemented by more specialized agreements from other countries; ball bearings from Sweden and Italy; plastics, artificial silk, and aircraft from France; and turbines and electrical industry technology from the United Kingdom.
"The penetration of this technology was complete. At least 95 percent of the industrial structure received this assistance." (Sutton, Western Technology and Soviet Economic Development, 1917-1930, pp. 347-34.
UNASSEMBLED U.S. BATTLESHIPS GIVEN TO SOVIETS
It is difficult to over-estimate the damage to the free world by this type of trade. It was also during the thirties that the Soviet Union was "allowed to purchase unassembled U.S. battleships. Carbon copies of American battleships were assembled in the Soviet Union, according to plans drawn up by American naval architects." The latest industrial equipment used in producing ammonia was shipped by such companies as Nortrogen Engineering and Du Pont. The State Department which authorized this "peaceful trade," over-looked the factor that one of the by-products in the process of producing ammonia was "nitric acid, which is an essential ingredient in explosives." (Congressional Record, Oct. 3, 1975, pp. E5215-E5216).
LARGEST STEEL PLANT IN THE WORLD
The industrial plants built in Russia by the United States between 1929- 1932 were
"... far larger than units designed and built by the same construction firms in the rest of the world and, in addition, combining separate shops or plants for the manufacture of inputs and spare parts. The Urals-Emash combination multiplied Soviet electrical equipment manufacturing capacity by a factor of seven; the KHEMZ at Kharkov, designed by the General Electric Company, had a turbine-manufacturing capacity two and one-half greater than the main G.E. Schenectady plant; and Magnitogorsk, a replica of the U.S. Steel plant at Gary, Indiana, was the largest iron and steel plant in the world. When the Soviet claim these units are the `largest in the world' they do not exaggerate; it would of course be impolitic of them to emphasize their Western origins." (Anthony C. Sutton, Western Technology and Soviet Economic Development, 1930-1945, Hoover Institute Press, Stanford University, 1971, p. 343).
Even if American firms were responsible for much of the design and layout of these and other enormous industrial complexes "probably one-half of the equipment installed was German." Even so, much of what was manufactured by the Germans was according to "American design on Soviet account. In quantity, American-built equipment was probably second and British third." (Ibid.).
The thirties was a time of adjustment to this massive infusion of Western Industrial might. Becoming accustomed to this tremendous windfall was not an easy task for the bulky, awkward economic programs of the communists. The challenge was to become familiar with this industrial overload and convert it, as quickly as possible, to military strength. Unashlicht, Vice President of the Revolutionary Military Soviet, stated:
"We must try to ensure that industry can as quickly as possible be adapted to serving military needs...; [therefore] it is necessary to carefully structure the Five-Year Plan for maximum co-operation and interrelationship between military and civilian industry. It is necessary to plan for duplications of technological processes and absorb foreign assistance...; such are the fundamental objectives." (Provado, no. 98, 28 Apr. 1929, as cited by Sutton, Western Technology and Soviet Economic Development, 1930-1945, p. 344).
After 1925 the Soviets began squeezing the Germans out by "withdrawing one concession after another and breaking the agreements made in the original contracts."
No country had any meaningful guarantees that Lenin would not do the same thing to them. Them most sophisticated gold mining equipment in the world was placed in the USSR by the English. After the goldfields began to produce, the English were ousted. Money from the Lena Field Gold Mine provided much of the capital to pay the Great Capitalists for building the industrial capacity of the USSR.
AMERICAN FIRMS TRADE FAVORS WITH COMMUNIST LEADERS
The Russians preferred the most advanced technology in the world and favored the country that could provide it, usually the United States. Between 1921 and 1925 "$37 million of machinery and equipment were pumped into the Soviet economy by American industry." Of course, at the time there were no diplomatic relations between the two countries. Some of the trade agreements made between the Soviet government and American industrialists are very interesting. "U.S. firms acquired gold-prospecting rights, the Standard Oil Company won an oil-bearing concession, Averell Harriman built mines to work manganese ore deposits, General Electric sold Moscow electric equipment to the valve of over $20 million, and other American firms set about reequipping Russian industry." (Keller, East Minus West Equals Zero, pp. 198-199).
Communism was saved. Now Stalin was ready to resume the social and economic revolution in Russia. A "Five-Year Plan" was announced in 1928 to replace the program which had so completely crippled Russia seven years earlier.
WESTERN TECHNOLOGY USED TO BUILD SOVIET WAR MACHINE
The primary objective of each plant was to satisfy military requirements. "It is ironic, from the Western viewpoint, that contracts viewed as serving the cause of world peace (Henry Ford, for example, elected to build the Gorki plant to advance peace) should have been utilized immediately for military purposes." (Ibid.).
The seriousness of the influence of this industrial giveaway upon our national security again cannot be overstated. Western assistance between 1917 and 1930 "was the single most important factor first in the sheer survival of the Soviet regime, and secondly in industrial progress to prerevolutnionary levels." (Anthony C. Sutton, Western Technology and Soviet Economic Development, 1945-1965, p. 412).
Perhaps Congressman John Rarick best summarized the extent of the damage to U.S. national security when he said: "The factories and steel mills that U.S. aid built in Russia during the 1930s were used later to create the munitions that killed American GIs in Korea and Vietnam." (Congressional Record, 27 June, 1973, p. E4409).
COLLAPSE OF FIRST FIVE-YEAR PLAN
Yet, even with the greatest economic blood transfusion in recorded history, the Communist polices stifled the program so that by 1933, Russia was on the verge of financial collapse again. Once more the people might have revolted, but at this most inappropriate time the United States, rather than awaiting the overthrow of Communism and assisting insurgents, crushed any such freedom movement by extending diplomatic recognition to the USSR. This gave the Communist government legitimacy, prestige, and an improved credit among nations. (W. Cleon Skousen, The Naked Communist, The Reviewer, Salt Lake City, Utah, 1959, p. 125). The Communist grip on Russia was preserved and the West forfeited her second opportunity to assist in the removal of the Soviet yoke from the oppressed Russian people.
ECONOMIC COLLAPSE PRODUCED SECOND FAMINE
The House Committee on Un-American Activities, in a two-volume study entitled Facts on Communism, described the economic crisis in Russia and the famine of 1933 which resulted from it:
"The first phase of the famine, which embraces more particularly the first seven months of 1933, was undoubtedly a human tragedy of far greater magnitude even than the famine of the years 1921- 22.
"... under such slogans as the pursuit of `saboteurs,' `counter- revolutionists,' `enemies of the State' and so on, stronger pressure was exercised to extract from the peasants the grain they still possessed." (Facts on Communism: The Soviet Union from Lenin to Khrushchev, Committee on Un-American Activities, House of Representatives, 86th Congress, Second Session, p. 165).
Both Russian famines were caused by the clumsy Communist economic system which robbed the people of any incentive to work. The best example of this comes from the laboring masses. The peasants, "discouraged and in many cases already suffering from undernourishment, showed little interest in reaping the crops which, as they felt, would be taken away from them anyway." (Ibid., p. 165).
RUSSIAN PEOPLE BETRAYED BY SOVIET LEADERS
This famine differed in one important respect from the famine of 1921-22. This time the hardened Soviet government would rather see their own people die, in some areas like flies, rather than admit the folly of their system and allow the West to save their people. They used the famine as an excuse to set up agriculture communes by waging an extermination war against the Kulaks, the peasants who owned their farms, and then ordered troops into the Ukraine to confiscate the recent grain harvest. To increase their bargaining power, the Soviet leaders sold this grain in foreign markets with the results that 5 to 10 million Russians dies of starvation.
This tragic story is one of the most unbelievable in world history. No tyrant has ever thought so little of his own people. Ironically, it "would have been possible to save the starving people with the cereals the [Soviet] government has shipped abroad." (Ibid., p. 167).
FAMINE DEPOPULATES MANY RURAL AREAS
Foreigners were not allowed to "visit hunger-stricken areas," but notwithstanding, the famine was so severe that "the government's efforts to conceal it from foreign eyes or minimize it could not succeed," a former commander of the Communist Army and an eyewitness wrote to a relative in France.
"... Horrible things are happening. Entire villages are being completely depopulated by famine. One such is U____. Bodies of the dead lie for days in the houses because there is no one to remove them. They are buried coffinless in a common grave. In dark corners of back streets one finds bodies partly devoured by dogs. Dogs and cats are used for human food. Horse meat is considered a delicacy, and is sold openly.
"Human flesh has also been eaten. There have been cases where mothers killed their children. These are not tales." (Ibid., 167-16.
Dr. Schiller, German agricultural attache in Moscow, wrote of the plight of those in the more heavily stricken areas:
"... Villages have been depopulated. Politically the Cossacks have been exterminated. Cases of cannibalism were frequent. The inhabitants of Termichbek have fallen in numbers from 15,00 to 7,000. In many places the population has declined 15 per cent. The villages of Kamennobrodskaia, Lagovskaia and Sredne- Egorlytskaia are completely depopulated." (Ibid.).
PEASANTS FLOCK TO THE CITIES
Instead of remaining on the farm as ordered, the people migrated in droves to the cities hoping for food, only to find relief in death in back alleys and gutters of the streets. An eye-witness described it this way:
"... As time went on the number of starving persons lying in the streets and squares of Kharkov, Kiev, Rostov and other cities increased. Most of them were peasants who had summoned up the little strength left to them in order to reach the town. In the streets and the courtyards scenes were often witnessed which are hardly credible by European standards. While at first passers-by would take some notice of these appalling pictures of misery, this soon changed, and it was particularly shocking to see people carelessly passing the corpses of those who had died of starvation. The number of corpses was so great that they could only be removed once a day. Often no distinction was made between the corpses and those not yet dead; all were loaded on the lorries [trucks], to be flung indiscriminately into a common grave.
"This burial work was done by convicts from the local prison. From morning until evening they were busy digging the graves. Fifteen bodies were usually buried in one grave, and the number of graves is so great that these famine cemeteries often recall a stretch of sandhills." (Ibid., p. 16.
INTENSE SUFFERING OF STARVING CHILDREN
According to the House committee Report, children homeless, hungry, and sick suffered the most. Sometimes parents left their children in the cities in hope that, out of pity, someone might save them. Another witness told this story:
"It was beyond my comprehension. I would not at first believe my own eyes. Some of the children dragged themselves to their feet for the last time and gathered their remaining forces to look for something eatable in the streets. But they were so weak that they fell down and remained lying where they fell.... At Kharkov I saw a boy wasted to a skeleton lying in the middle of the street. A second boy was sitting near a heap of garbage picking egg-shells out of it. They were looking for eatable remnants of food or fruit. They perished like wild beasts.... When the famine began to haunt the villages, parents used to take their children into towns, where they left them in hope that someone would have pity on them.... Their lot was better in the towns than in the country villages, because child murder in the towns is obviously more difficult than in the country." (Ibid., pp. 168-169).
A famine of death brought on by cruel, self-negating Communist economic system could have been a voided. Instead it was intensified by Stalin, who preferred to sacrifice perhaps 10 million of his own people rather than admit folly by inviting the West to save the defective system a second time. The tragedy placed Stalin far above Hitler as a mass murderer. Not even Hitler turned on his own people in like manner and degree.
U.S. RECOGNITION ABORTS COUNTER-REVOLUTION IN 1933
The billions of dollars worth of Western technology, indeed some of the most advanced technology in the world, had not prevented what may very well be the single most devastating famine in world history. Understandably, the Russian people were unable to endure much more and Communist leaders were planning to save the Party by overthrowing Stalin and blaming the Soviet economic fiasco on him alone. Stalin knew this and needed a way out. It was at this critical moment when, to the surprise of the rest of the world, the United States chose to recognize the USSR. As soon as Communist legitimacy was recognized by the world's greatest capitalized nation, Stalin's prestige immediately rose. The financial credit of the Communists skyrocketed overnight. In return, Maxim Litvinov assured Franklin Roosevelt that American Communists would no longer seek to overthrow the United States government! (Skousen, The Naked Communist, p. 125).
AID FROM THE WEST INCREASED
By the mid 1930s conditions began to improve significantly in Communist Russia. Recognition of the Communist government was a boost of enormous magnitude as were the hugh industrial complexes left by the Capitalists of the West. The Soviet leaders felt an entire decade would be necessary "to master the new processes, install all the equipment, train workers, bring the subsidiary plants into phase with the main plants (a major headache), and expand operations." When the Russian brag of the great gains toward industrialization made in the Five-Year Plans, they fail to mention that nearly all of it came from the West." (Anthony C. Sutton, Western Technology and Soviet Economic Development, 1930-1945, p. 344).
The story of "aid and comfort" to the West's avowed enemy between 1936 and 19400 continued to follow the same pattern. Much of it continued to come from the United States:
"... All refineries in the Second Baku and elsewhere were built by Universal Oil Products, Badger Corporation, Lummus Company, Petroleum Engineering Corporation, Alco Products, McKee Corporation, and Kellogg Company. Advanced steel-rolling mills were supplied under the United Engineering agreement, and in 1938-39 the Tube Reducing Company installed a modern tube mill at Nikopol and supplied equipment for another. In 1937 the Vultee Corporation built an aircraft plant outside Moscow." (Ibid., p. 345).
STALIN SHIFTS TO AN ALLIANCE WITH HITLER IN 1939
When the Soviets became friendly with the Nazi's in 1939 and thereafter attacked Finland, technological trade from the Nazi invasion of the soviet Union in 1941 Germany machinery and technology flowed non-stop into the motherland of Communism. (Ibid.).
STALIN IS BETRAYED BY HITLER
Stalin betrayed the United States and Great Britain when he entered into his alliance with Nazi Germany on August 23, 1939. However, it was learned after the war, from Stalin's director of espionage in Europe, General W.G. Krivitsky, that Stalin had also intended to betray Hitler when it would be advantageous to Russia to do so. (Skousen, The Naked Communist, p. 159). In fact, the most glaring example of the deceptive mentality of the Soviet leaders has been their consistent betrayal of any nation which has been foolish enough to become a Soviet ally. In this one instance, however, Hitler betrayed Stalin before Stalin could betray Hitler.
The Nazi attack swept over Eastern Russia on June 22, 1941, and caught Stalin completely by surprise. Within six months the Germans had occupied 580,000 square miles of the richest land of the Soviet Union and Nazi Panzers were within sixty miles of Moscow. (Ibid., p. 161).
U.S. TO THE RESCUE FOR THE THIRD TIME
Many Americans preferred to have the U.S. remain neutral and allow the two greatest enemies of human freedom to debilitate themselves in mutual combat. Such a program had both its possibilities and its limitations but taken as a whole, with the benefit of hindsight, today's world situation could not have been much worse. In any case, America came to the aid of Russia, saving her for the third time. As an ally, military trade was, perhaps, justified as it was to our advantage to assist our friends in the destruction of the common enemy, but the amount and types of Lend-Lease trade raises some serious questions. About "one-half the equipment supplied under the master agreements had reconstruction potential. The amount equalled one-third of Soviet pre-war industrial output." What is not generally known, however, is that "Lend-Lease supplies actually continued through 1947," nearly two years following the war. The Communists "ended World War II with greater industrial capacity than in 1940 - in spite of the war damage - and on a technical parity with the United States." (Anthony C. Sutton, Western Technology and Soviet Economic Development, 1930-1945, p. 345). As a results the Soviets ended the war as the number-two power in the world.
U.S. LEND-LEASE POLICES SHOCK MAJOR GEORGE RACEY JORDAN
Major George Racey Jordan, the commanding officer at Great Falls, Montana, responsible for clearing all goods leaving the country for the USSR during World War II, describes some of the items of Lend-Lease he personally handled. He first observed only 49% of the total was for munitions. Considering all the exigencies of war, the items listed in the remaining 51% are almost unbelievable. (From Major Jordan's Diaries, Harcourt, Brace and Co., New York, 1952, p. 125).
Under munitions, or the first category, we gave Russia the following: aircraft and parts, motor vehicles and parts, ordnance and ammunition, tanks and parts, and water craft. Included in the water craft were "77 minesweepers, 105 landing craft, 103 subchasers, 28 frigates, 202 torpedo boats, 4 floating dry-docks, 4 250-ton pontoon barges, 3 icebreakers, 15 river tugs, and a light cruiser." (Ibid., p. 126).
Non-munitions items can be divided into three general areas: petroleum products, agricultural products, and industrial materials and products. Almost $2 billion was spent to feed the Russian people in the category of agricultural products. But the most interesting category is the last where over $3 billion or over one-third of U.S. Lend-Lease to Russia was expended. Jordan writes, "It is this category which conceals a multitude of sins, running the gambit from such military secrets as uranium and other atomic bomb ingredients, down to the Moscow amusement park which I will show you was paid for by Lend-Lease." The following items are among the more unusual non-munitions gifts to the Soviet Union: "Cigarette cases, phonograph records, household furnishings, lipsticks, perfumes, fishing tackle, dolls, bank vaults, ladies' compacts, sheet music, and play-ground equipment." Also listed for transfer to russia under Lend-Lease were "pianos and other musical instruments; antique furniture; calendars; 13,328 sets of teeth; toothbrushes of course; women's jewelry, etc., etc." (Ibid., pp. 127-12.
Between 1942 and 1944 the Russians received "dress goods costing more than $152 millions, plus $24 millions of satin twill, and ribbons, braids and trimmings, costing millions more - a grand total of $181 million for women's apparel." In the same period the Russian Army got only $21 millions of uniform material. (Ibid., p. 135).
AMERICAN NEEDS SACRIFICED TO MEET SOVIET DEMANDS
At a time when wartime shortages forced Americans to seek and use many substitutes, the Communists seem to have had no such limitations on similar items. Jordan gives some examples:
"Small businesses that found wartime shortages severe, to the point of stopping production, will be amazed to learn how many `scarce' items were lavishly supplied to russia. Housewives will be aghast at the quantities of butter we denied ourselves and sent to a people which used it for greasing purposes....
"American copper resources became so critical during the war that bus bars of the metal, on electric panel boards, were replaced with conductors of silver, borrowed from the Treasury's vaults at West Point. Brass, an alloy of copper and zinc, was scarce enough to warrant serious debate over substituting steel in shell cases. With such facts in mind, Lend-Lease shipments of copper, brass and bronze to The Soviet Union, divulged in Russian lists, seem terrifying. They aggregated 642,503 tons, valued at $283,609,967.
"Seven-tenths of all our copper donations to Russia consisted of wire and cable.... What they obtained was enough telephone wire to circle the globe 50 times." (Ibid., pp. 130-132).
Much of the wire was stored at Westchester County, New York, where it remained until the war was nearly over before being shipped to Russia. (Ibid., p. 132).
BUILDING THE SOVIET UNION INTO A MAJOR INDUSTRIAL POWER
Lend-Lease also included tools, machines, and heavy industry, presses, furnaces, lathes, coal cutters, air compressors, rock drills, cranes, hoists, derricks, typesetting and printing equipment, elevators, precision tools of every kind. Heavy industry included "one repair plant for precision instruments, $550,000; "two factories for food products, $69,240,000; three gas generating units, $21,390,000; one petroleum refinery, with machinery and equipment, $29,050,000; 17 stationary steam and three hydro-electric plants, $263,289,000." (Ibid., p. 135).
U.S. PATENT OFFICE THROWN OPEN TO SOVIETS
One thing that particularly bothered the Major was the number of black suitcases being shipped under diplomatic immunity. "To my surprise," wrote Jordan, they "contained reprints of the patents in the U.S. Patent Office." The U.S. Patent Office "was thrown open to a crew of technical experts from the Amtorg Trading Corporation. They were on full time duty, and spent every day going over the files to pick out what they wanted. The documents were provided by the Patent Office itself." The sack of American technology did not end until December 13, 1949.
Reportedly, the House Committee on Un-American Activities stated in 1949 that the number of patents acquired "run into the hundreds of thousands," that "Russian officials have been able to collect a lot of our industrial and military inventions from our Government Patent Office. This is done right out in the open with our permission." (Ibid., pp. 136-137). This clearly violated the rights of Americans who owned these patents since the Soviets made no pretense at compensating the patent owners for the use of their inventions.
U.S. LEND-LEASE TO RUSSIA TOTALS 11 BILLION
Eleven billion dollars of Lend-Lease goods went to aid the Soviet Union in its struggle with Germany on the eastern front. As a result, the Communists ended the war in far greater strength than when the war began. The magnitude of the problems was probably best expressed by Vice President Henry Wallace, who made no secret of his pro-Soviet bias. On July 9, 1944, he returned from Russia to announce:
"I found American flour in the Soviet Far East, American aluminum in Soviet airplane factories, American steel in trucks and railway repair shops, American machine tools in shipbuilding yards, American compressors and electrical equipment on Soviet naval vessels, American core drills in the copper mines of Central Asia, and American trucks and planes performing strategic transportation functions...." (Keller, East Minus West Equals Zero, p. 241).
U.S. LEND-LEASE INCLUDED ATOMIC BOMB INGREDIENTS
But the most shocking revelations from Jordan's Diaries was the type and quantity of "materials - chemicals, metals, minerals - suitable for use in an atomic pile." The list of these materials is as follows:
ATOMIC MATERIALS
Item Quantity Cost in Dollars
Beryllium metals. . . . . . . . . . . . . 9,681 lbs. . . . 10,874.
Cadmium alloys. . . . . . . . . . . . . .72,535 lbs. . . . 70,029.
Cadmium metals. . . . . . . . . . . . . 834,989 lbs. . . .781,466.
Cobalt ore & concentrate. . . . . . . . .33,600 LBS. . . . 49,782.
Cobalt metal & cobalt-bearing scrap . . 806,941 lbs. . .1,190,774.
Uranium metal . . . . . . . . . . . . . . . 2.2 lbs. . . . . . ___
Aluminum tubes. . . . . . . . . . . .13,766,472 lbs. . 13,041,152.
Graphite, natural, flake,
lump, or chip . . . . . . . . . . . 7,384,282 lbs. . . .812,437.
Beryllium salts & compounds . . . . . . . . 228 lbs. . . . . .775.
Cadmium oxide . . . . . . . . . . . . . . 2,100 lbs. . . . .3,080.
Cadmium slats & compounds, n.e.s.*. . . . . . 2 lbs. . . . . . 19.
Cadmium sulfate . . . . . . . . . . . . . 2,170 lbs. . . . .1,374.
Cadmium sulfide . . . . . . . . . . . . .16,823 lbs. . . . 17,380.
Cobalt nitrate. . . . . . . . . . . . . . . .51 lbs. . . . . . 48.
Cobalt oxide. . . . . . . . . . . . . . .17,800 lbs. . . . 34,832.
Cobalt salts & compounds, n.e.s.* . . . .11,475 lbs. . . . .7,112.
Cobaltic & cobaltous sulfate. . . . . . . . .22 lbs. . . . . . 25.
Deuterium oxide (heavy water) . . . . . . 1,100 grs. . . . . . ___
Thorium salts & compounds . . . . . . . .25,352 lbs. . . . 32,580.
Uranium nitrate . . . . . . . . . . . . . . 500 lbs. . . . . . ___
Uranium nitrate (U02) . . . . . . . . . . . 220 lbs. . . . . . ___
Uranium oxide . . . . . . . . . . . . . . . 500 lbs. . . . . . ___
Uranium urano uranic oxide (U30 . . . . . 200 lbs. . . . . . ___
__________
*"n.e.s." stands for "not especially specified," throughout.
(Jordan, From Major Jordan's Diaries, p. 142)
At the time these items meant little to the Major since the development of an atomic bomb was still the best-kept secret of the war as far as Americans were concerned.
TOP U.S. OFFICIALS BETRAY SECURITY SECRETS TO COMMUNIST LEADERS
One night Jordan decided to inspect a particular shipment of black suitcases over strong and determined Russian opposition. The two Russian guards resisted the attempt to such a degree that the Major felt it necessary to order an American guard to shoot should the Russians pull a weapon. What he found were copies of classified top secret information which the Communists had assembled from Washington, New York and elsewhere throughout the United States. One of the black suitcases was full of road maps which, taken together, "furnished a country-wide chart, with names and places, of American industrial plants." Another was "crammed with material assembled in America by the official Soviet news organ, The Tass Telegraph Agency." A third was devoted to Russia's government-owned Amtorg Trading Corporation of New York." A fourth "yielded a collection of maps of the Panama Canal Commission, with markings to show strategic spots in the Canal zone and distances to islands and ports within a 1,000 miles radius." Yet another "was filled with documents relating to the Aberdeen Proving Ground, one of the most sensitive' areas in the war effort." Some folders were "stuffed with naval and shipping intelligence." Others contained information extracted from Mexico, Argentina and Cuba. Some of the folders were marked "From Hiss" (probably Alger Hiss) or "H.H." (presumably Harry Hopkins) - two of the most important State Department figures. (Ibid., pp. 75-80). The Russians and their spies had completely canvassed America and extracted every piece of information considered to be of technological or military value to the USSR. All of this they did while serving as professed ally of the U.S. in the war with Germany.
...EVEN ATOMIC BOMB SECRETS
Jordan made notes of everything he saw. The notes of one particular suitcase were to prove significant in the future. Among other things it contained a thick map. "When unfolded it proved to be as wide as the span of my extended arms. In large letters it bore a legend which I recorded: Oak Ridge, manhattan Engineering District." The report labeled Oak Ridge which accompanied the map is even more surprising, Jordan wrote:
"In the text of the report was encountered a series of vocables so outlandish that I made a memo to look up their meaning. Among them were `cycletron,' `energy produced by fission' and `walls five feet thick, of lead and water, to control flying neutrons.'
"For the first time in my life, I met the word `uranium,' the exact phrase was `Uranium 92.' From a book of reference I learned afterward that uranium is the 92nd element in atomic weight." (Ibid., p. 81).
One of the folders from Harry Hopkins bore the notation "... had a hell of a time getting these away from Groves." General Groves was the chief of the atomic bomb Manhattan Project. Jordan had no way of knowing that he witnessed the transfer of top secret atomic information to the Communists, and that the materials for building such a weapon were a part of Lend- Lease. In March 1943, when Jordan made his inspection of the suitcases, the development of an atomic bomb was supposed to be the most closely guarded secret in the world. "It was superlatively hush-hush, to the extreme that army officers in the `know' were forbidden to mention it over their private telephones inside the Pentagon." Yet the Russians knew it. Jordan writes, "In common with almost all Americans, I got the first hint of the existence of the atom bomb from the news of Hiroshima, which was revealed on August 6, 1945, by President Truman." Not realizing the significance of his discovery, Jordan did not see the need to make his findings public until September 1949, when the Soviets exploded their first atom bomb years ahead of the most optimistic U.S. prediction. (Ibid., pp. 84-86).
RUSSIANS ALLOWED TO KNOW MORE THAN AMERICAN CITIZENS
The noted war correspondent and author of Report on the Russians, W.L. White, confirms the fact that the Russians had access to our atomic secrets. White tells the following story:
"Just what do they know in the Soviet Union about our atomic secret? When I visited Russia in 1944 they knew more than I did. A Soviet guide took our party on a tour of Leningrad. At the badly bombed Kirov electric plant, a curious contraption of rusty steel caught my attention.
"`What is that?' I asked Kirilov, our guide.
"`Oh, that,' said Kirilov, `is cyclotron. Is used by our great Soviet physicist, Professor Joffe, when he makes, how you say, splitting of atom. But this is old,' continued Kirilov. `The new ones we move them behind Ural mountains. Behind Urals Professor Joffe has much newer, much better.'
"`Of course.' I was humoring him. I could see he was trying to make the point that, even with the enemy at its gates, in the Soviet Union this research in theoretical science still continued.
"But Kirilov doggedly went on. `Behind Urals we have many big things. We have like you call in American, Manhattan Project. You know this, yes?'
"`Oh, of course,' I said. "We have lots of war projects in New York.' `Not in New York,' said Kirilov, looking at me intently, `Manhattan Project. You know of this?'
"It was not until an entire year had passed - and the atom bomb went off at Hiroshima - that I understood, at last, exactly what it was that poor, stammering Kirilov had been trying to ask me." (Ibid., pp. 120-121).
Apparently Lend-Lease included everything from pineapples to lipstick to atom materials. Although espionage and classified military information were not authorized Lend-Lease items, the program as designed and loosely ran by Harry Hopkins, left hugh gaps in security. These gaps were sufficient to send through the air base in Great Falls, Montana, a flood of goods not specifically designed to destroy Hitler, but instead to rebuild Communist Russia - gaps sufficiently large to allow mountains of top secret materials to go unchecked and remain under diplomatic immunity to the greatest U.S. enemy of the post-war period. The subsequent discovery of Hopkins' close association with the Communist hierarchy is not surprising, considering the enormity of the assistance he gave them. What the Rosenburgs did was no worse, and they went to the electric chair.
PRODUCTS OF WESTERN CAPITALISM EQUIP COMMUNIST INDUSTRY
No large unit of the construction program in the Soviet Union between 1929 and 1933 "was without foreign technical assistance, and because Soviet machine tool production then was limited to the most elementary types, all production equipment in these plants was foreign." (Anthony C. Sutton, Western Technology and Soviet Economic Development, 1945-1965, p. 412). Nor was there any "major technology or major plant under construction between 1930 and 1945" that can be "identified as purely a Soviet effort. No usable technology originated in Soviet laboratories except in the case of synthetic rubber, and this was not up to U.S. standards in 1941." Most of the period was used in adjusting to windfall Western technology coming mainly in 1939-1933 and 1943-1945. (Anthony C. Sutton, Western Technology and Soviet Eco