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Arthur R. Butz – The Hoax Of The Twentieth Century

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<strong>Arthur</strong> R. <strong>Butz</strong>, <strong>The</strong> <strong>Hoax</strong> of the <strong>Twentieth</strong> <strong>Century</strong><br />

to insist on) revealed that, in response to a request by Wise, Welles had cabled<br />

Harrison in April to meet with Riegner and transmit new information that Riegner<br />

was supposed to have obtained. <strong>The</strong> confused Harrison did as requested<br />

(Riegner’s information had to do with proposals to assist Jewish refugees in<br />

France and Romania) and also remarked to Welles that such material should not<br />

be subjected to the restriction imposed by the February 10 message.<br />

Morgenthau was victorious in the State-Treasury collision; Roosevelt, drawn<br />

into the issue, sided with him by establishing in January 1944 the so-called War<br />

Refugee Board consisting of Morgenthau, Hull, and Secretary of War Stimson.<br />

However, the executive director was “Morgenthau’s fair haired boy,” John Pehle,<br />

and Josiah DuBois was the general counsel. It was thus Morgenthau’s Board. <strong>The</strong><br />

WRB naturally acquired the powers that had been held by the three Government<br />

Departments that were involved in the proposed projects for taking Jews out of<br />

Europe. Thus, the State Department became committed to appointing special attachés<br />

with diplomatic status on the recommendation of the Board (the UNRRA –<br />

United Nations Relief and Rehabilitation Administration – set up the previous<br />

November, was to have a similar function but only after the war ended). 133<br />

In order to completely grasp the nature of its development and its import in<br />

terms of our subject, we should go beyond noting the obvious fact that the WRB<br />

was to serve, to a great extent, simply as an instrument of the World Jewish Congress<br />

and other Zionist organizations. <strong>The</strong> Communist apparatus was also through<br />

one of the directors involved, for the person to whom Morgenthau had delegated<br />

all of the Treasury’s powers in the areas relevant to the WRB was Harry Dexter<br />

White, later exposed as a Soviet agent. White became a member of Morgenthau’s<br />

inner circle in the spring of 1938. A week after Pearl Harbor, Morgenthau announced<br />

that “on and after this date, Mr. Harry D. White, Assistant to the Secretary,<br />

will assume full responsibility for all matters with which the Treasury Department<br />

has to deal having a bearing on foreign relations […].” <strong>The</strong> extreme<br />

generality of the wording of this order, especially the phrase “having a bearing<br />

on,” were to create grand opportunities for White in the years ahead. In early<br />

1943, Morgenthau amplified White’s responsibilities:<br />

“Effective this date, I would like you to take supervision over and assume<br />

full responsibility for Treasury’s participation in all economic and financial<br />

matters […] in connection with the operations of the Army and Navy and the<br />

civilian affairs in the foreign areas in which our Armed Forces are operating<br />

or are likely to operate. This will, of course, include general liaison with the<br />

State Department, Army and Navy, and other departments or agencies and<br />

representatives of foreign governments on these matters.”<br />

White, who became an Assistant Secretary of the Treasury in early 1945, took<br />

full advantage of these powers, especially in connection with occupation policy in<br />

Germany. It is also evident that, because the WRB was to a large degree an arm of<br />

the Treasury, its operations fell into White’s domain. It is also worth remarking<br />

that the general counsel of the WRB, DuBois, was “closely associated” with the<br />

133<br />

88<br />

New York Times (Jan. 22, 1943), 6; (May 13, 1943), 8; (Sep. 5, 1943), 7; (Sep. 6, 1943), 7.23,<br />

1944), 11.

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