Eden was a passionate supporter of the Conservative Party and a patriot. He was convinced that a Labour Party victory in the General Election would be a costly mistake for Great Britain. This spy dossier could not be acted on until the election was over.
He offered his sincere thanks to the General and the Baron for bringing this matter to his attention, and for keeping it confidential. It would be looked into immediately.
Brauchitsch spoke again. “There is one more thing, Sir Anthony. Our agent has also discovered that there are several of your Labour Members of Parliament acting under Moscow’s control. They are committed communists dancing to the Kremlin’s tune. Unfortunately we have no names or actual numbers.”
This was not exactly news to Eden, but he loathed the thought of other nations knowing this. The Socialists in Britain had always been prone to communist penetration and propaganda. Again he thanked the two Germans for the information they had imparted. He made his exit as fast as he politely could.
The following day the Germans flew back to Berlin with Lufthansa, the German national airline.
BERLIN - 19 MAY
The King of Italy and his Prime Minister were in conference with General von Brauchitsch, Baron von Altendorf and Hjalmar Schacht. The former had asked for a meeting to discuss ‘mutual concerns’, a euphemism for Italy needing financial assistance and wanting to join the European Alliance.
The Germans listened politely to everything told them, before launching a well prepared and comprehensive list of comments and questions at the Italians. Even though the Alliance leadership would dearly like to see Italy within the fold, they were not convinced that that country would be a suitable member of the alliance as things stood at this particular moment in time.
Over a two hour session they bluntly told the Italians they had to get their house in order. The main problem areas were seen to be poor economic and financial planning, and overall management of the country. There was an urgent need for social reform. Too much money was being spent on their ineffective military forces, and there was a lack of economic justification for having an African empire. Their sole motivation for an empire in Africa had been a desire for imperial glory, not for economic assets. This was Mussolini’s legacy.
A further problem was that their subject country of Albania was a hotbed of communism backed by neighbouring Yugoslavia’s own underground communist movement.
Lastly, Italy’s armed forces were ill equipped, poorly trained, badly led and suffered from low morale.
In the end a reluctant King Victor Emmanuel recognised the truth in everything he had been told. Enthusiastically backed by Marshall Badoglio, he gave a firm undertaking, as a first step, that his country would withdraw from Ethiopia, Eritrea and Somalia. These territories were known to be a drain on Italy’s economy. In the case of Libya, with which Italy had a longer standing relationship, a Royal Commission would be appointed to conduct an in-depth study to ascertain if there was any benefit to Italy in retaining it as a colony.
A military commission would initiate a complete review of the three branches of the armed forces. The aim would be for a smaller but more powerful and streamlined military. A military that would fit comfortably into the European Alliance.
The Grand Council of Fascist Government would be dissolved immediately upon his return to Italy. The King, together with Marshall Badoglio, would govern directly for the immediate future. New, non-fascist, competent ministers would be appointed to breathe life into the economy and accelerate social reforms.
The police, aided by the armed forces would conduct a purge of communists in Albania. Simultaneously, new investment and practices would be introduced there to expand agricultural and industrial production, thus improving the economy.
In return for these commitments from the Italian King, Germany pledged to favourably consider financial assistance, but only when they saw signs that the promised steps were being introduced. The Italians were known to be a people prone to procrastination, and the Germans would not tolerate it if it was their money that was on the table. They also offered help in the form of economists, agricultural, industrial and other experts who could be seconded to Italy during its transitional period.
Germany would also assist them by threatening Yugoslavia with economic retaliation if they did not put a stop to their banned communist agitators interfering in Albania.
Von Altendorf asked the Italians if the fact that nearly seventy percent of Albanians were Muslims bothered them in any way? Would this be a future problem?
The King replied that he believed the majority of Albania’s population would be loyal to the crown once the communist influence was eliminated and the benefits of an investment programme and improved economy started to be seen and felt.
The Germans could not, or would not, offer more. It was now up to the Italians to prove that they had what it takes to reform or restructure their dysfunctional state.
The King and Prime Minister were both disappointed and relieved at the same time. They were leaving without a cheque in their hands, but they had the incentives to start cleaning up the mess that Mussolini had left them with. They could present everything as good news for Italy! They cheered up a little.
LONDON
The General Election was over and the results counted. The new Prime Minister had been sworn in. The final tally of votes was unexpected. In the last election in 1935 the Conservative Party had gained the most seats in Parliament with forty seven percent of the votes cast in their favour. They had had a large majority to work with.
In this election there was a swing towards the Labour Party which had surprised and stunned Churchill. There were several reasons advanced for the swing. There was widespread fear among the electorate of a return to the remembered high unemployment of the 1930s, and Labour had successfully implanted the idea that socialist planning would be a more efficient way to run the economy. Labour also ran on the false promise to create full employment. They also undertook to establish a ‘free’ National Health Service and a cradle–to–grave welfare state. Impossible promises! A typical example of politicians placing more emphasis on winning votes than on good governance!
A further blow to the Conservative Party was the memory of their 1930s policy of appeasement to Adolf Hitler which had been practiced by Winston Churchill’s predecessors, and which had eventually led to war.
The net result was that the previous large Conservative majority in the House of Commons was greatly reduced to a majority of just six.
One of the MPs who lost his seat was James Blackstone.
ROME - 18 JUNE
The first sitting of the Italian Senate was over. Four weeks earlier the Grand Council had been dissolved. Nobody would miss them. While the fascist elements within the country still retained some support, nearly ninety percent of the new Senators had no proven links with fascism, and the other ten percent had never been committed fascists. The new government was untainted.
There was a preponderance of technocrats rather than politicians among the Senators. The Prime Minister and the King retained the power to approve or reject all proposed laws and policies. Each and every Senate applicant had been personally interviewed by these two, who had satisfied themselves as to their abilities and motivation. All understood the urgent priorities that faced them.
A lot had been accomplished in their first session. The withdrawal of Italian forces from the African territories other than Libya had been approved. A committee was already established and had drawn up plans for an orderly handover of power in the territories. Great Britain had reluctantly agreed to merge Italian Somaliland and Eritrea with British Somaliland. The deposed Emperor of Ethiopia, Haile Selassie, was invited back from Britain where he had been in exile since his country’s occupation by Italy. He would resume his dictatorial rule in that country. A core of Italian administrators and advisors would remain behind to assist him in modernising his feudal country. Troop withdrawals had already started and would be com
pleted within six months. A Royal Commission on the future of Libya had been appointed and instructed to submit recommendations by no later than October.
The King had honoured his undertakings to Germany with regards to the Italian African Empire.
The small group of Dodecanese Islands in the Aegean Sea, which had been occupied by Italy since 1912 following their war with Turkey, were to be ceded to Greece.
In Albania the police, army and civil administration had been reinforced and the jails were already full of convicted or suspected communists. The Communist Party of Albania had been greatly weakened, perhaps irretrievably so. At the same time an improved agricultural regime was announced, as well as plans for industrial expansion.
The Ministry of Defence would be finished with their comprehensive review of the Italian armed forces by the following month. As expected they had tried to procrastinate, only to be told by the King to resign immediately if they thought they were not up to the task. This threat had the desired effect.
The greatest problems of all; economic, judicial, and social reforms, were now being addressed, and certain measures could be introduced quickly. However nobody was under any illusion that the country could be transformed overnight.
The following week Germany released the first tranche of the loan requested by Italy.
The German Foreign Minister had also called in the Yugoslavia Ambassador. His message was simple. Curb the communists in your country, especially where they interfere with Albania. Or face the consequences.
Interestingly, the Ambassador broached the subject of Yugoslavia joining the European Alliance. In a frank discussion von Altendorf informed the Ambassador that the only three countries in southern Europe outside of the Alliance were Italy, Greece and Yugoslavia. Italy was now making a serious attempt to reform its economy and society, after which they could apply to join the Alliance. Greece was at this time, not considered eligible for membership.
Germany would very much like to see Yugoslavia in a similar position to Italy. However, in their case, the diverse ethnicity of its peoples and the animosity between them, raised serious doubts about the country’s long-term stability. He could only repeat what had been told to the Italians. Put your house in order and we can talk.
The Ambassador knew only too well what his country’s problems were. He could only relay the German’s comments to his government.
LONDON - JUNE
Sir Anthony Eden had been reappointed Foreign Secretary by the re-elected Prime Minister, Winston Churchill. After von Altendorf’s investiture, Eden had lost no time in letting Churchill into the secrets that the Germans had uncovered and disclosed to him. Churchill was in a cold fury that such trusted men could betray their country. They would be dealt with after the election!
Now that they remained in government, they could make their plans. Absolute secrecy was paramount. Trusted men at MI6, MI5 and the Foreign Office were newly appointed, apparently as part of a staff restructure following the appointment of a new government. Their brief was to look for evidence of foul play and spy on the alleged traitors.
The disclosures from the Germans helped to guide them in their search for incriminating evidence. Their methods were unobtrusive but diligent. It took only three weeks before they had confirmation of the treachery of the named officials. There were indications that a fifth highly placed person may be involved, but nothing concrete was found. Somebody had been very successful at covering their tracks!
Churchill and Eden discussed the matter with the Attorney-general, and a course of action was decided on. It was deemed in the national interest that there would be no public trial.
Three of the spies, Burgess, Philby and Blunt, were known to be homosexuals and lived alone. They would be abducted quietly during the night and they would leave notes to a friend or two that would explain their sudden ‘holidays’. The fourth spy, MacLean was married. It was, however, suspected that his wife was aware of her husband’s activities, even if she was not directly a spy herself. They would both be arrested.
The police Special Branch duly carried out their instructions and the five people simply ‘disappeared’ one night.
The morning after the arrests, the now thoroughly miserable and frightened spies were awakened early by their guards in the safe house where they were incarcerated. It was an old country mansion on the outskirts of London. The cellars had been converted into secure and soundproof cells. None of them knew that their fellow traitors were their cell neighbours.
There was no cruelty. But their lives were now extremely dreary and uncomfortable. The cells were not excessively cold, but they were definitely cool. The basic steel furniture allowed no relaxation, even in bed. Lighting was subdued, but reading material was banned anyway. Food was adequate but bland, and no tea or coffee, only water.
Every day, sometimes twice a day, they would be taken from their cell for questioning by interrogators. Their job was to ascertain what damage they had done, and if they had any useful intelligence they could give up. The traitors were individually assured in no uncertain terms, that unless they became very valuable, very quickly, to His Majesty’s Government, they would be living as troglodytes for the rest of their lives. They had chosen to turn their back on their country. They could not complain about their current circumstances.
Maclean and his wife Melinda, were in separate cells but allowed to meet for fifteen minutes each day under the supervision of a guard. It was thought that Melinda would break first. She came from a wealthy family and was used to luxury and comfort. But it was her husband who offered a deal after only five days. He was motivated, he claimed, by wanting to protect his wife from further suffering.
In exchange for the promise that he and his wife would be allowed to flee to Russia, he would tell all he knew. The offered deal was accepted. Over the next sixty days he was mercilessly grilled until his interrogators were finally convinced he was hiding nothing. They had sucked him dry of all useful information.
Based on some of the information obtained from Maclean, they were able trick Blunt into believing they now knew everything. He was in tears when he asked what sort of deal he could expect if he spilled the beans. All he wanted was to be allowed to live quietly on his own, in his London apartment. He had nothing further to hide and had no objection to them monitoring his every waking moment. He was a broken man.
It took another month before Philby gave in and co-operated in exchange for the promise of repatriation to Russia. And into Stalin’s steely, welcoming embrace.
Burgess didn’t break. He went slowly mad, and was eventually declared insane and locked away in an asylum for the rest of his life.
Churchill and Eden thought the traitors were treated lightly. They deserved to be hung!
BERLIN - 1 JULY
The Foreign Minister had little of importance to tell the Council. The only thing of note was that the Americans were still proceeding, albeit slowly, with their idea of a ‘United Nations’. Support around the world ranged from enthusiasm to outright hostility. Most of the enthusiasm coming from world’s least important, prosperous or progressive nations. Germany’s position remained unchanged – disinterest. Within the European Alliance there was little support for the idea.
Great Britain had developed much the same attitude. From their perspective, the League of Nations’ attempts to be a global peacemaker had failed lamentably when faced with the rise of fascism and communism. Far better to forge a strong alliance within Europe in partnership with a powerful Germany, and maintain their influence across the rest of the globe through their Empire. It was not in British interests to help create a world pulpit for the United States to use.
Italy now had a reformist government which so far appeared to be making a genuine attempt to address the country’s problems. Success was limited so far but it was early days and prospects were good. Germany watched with interest.
The Economics Minister confirmed that the German economy was sound, the balance of tra
de was positive, and the country’s reserves were steadily improving. He also advised that he would soon be sixty six years old and would like to retire at the end of the following year. He had a protégé in his ministry whom he was grooming as his successor.
The Council were not happy to hear this but understood that it was inevitable. The old man had come out of retirement and done a brilliant job in restoring the country’s finances. He would be sadly missed but his retirement was well deserved.
Albert Speer’s main contribution to the meeting was to inform them that trade continued to expand with the Soviet Union. “Our ship builders have full order books thanks to the Soviets and our own rapidly expanding merchant fleet. Deliveries due to us in terms of the barter trade agreements are up to date. Some scheduled deliveries to us never arrived a couple of months ago. The Soviets probably assumed we would not make a big issue out of it. In response to their games, we simply delayed shipment of some critical engineering products they were waiting for. They soon rectified the situation.
The German Peace Page 20
