Waldenegg, furnished me a document which I considered accurate in all respects, and which stated:

"'The German Minister here, Von Papen, on the occasion of his last visit to Berlin, was received three times by Chancellor Hitler for fairly long conversations and he also took this opportunity to call on Schacht and Von Neurath. In these conversations the following instructions were given to him:

" 'During the next 2 years nothing can be undertaken which will give Germany external political difficulties. On this ground, everything must be avoided which could awaken the appearance of Germany interfering in the internal affairs of Austria. Chancellor Hitler will, therefore, also for this reason, not endeavor to intervene in the present prevailing difficult crisis in the National Socialist Party in Austria, although he is convinced that order could be brought into the Party at once through a word from him. This word. however, he will not give for foreign political reasons, being convinced that ends desired by him may be reached also in another way. Naturally, Chancellor Hitler declared to the German Minister here, this does not indicate any disinterestedness in Austria's independence. Also, before everything, Germany cannot for the present withdraw Party members in Austria, and must therefore, in spite of the very real exchange difficulties, make every effort to bring help to the persecuted National Socialist sufferers in Austria.

" 'As a result, Minister of Commerce Schacht finally gave the authorization that from then on, 200,000 marks a month were to be set aside for this end (support of National Socialists in Austria). The control and supervision of this monthly sum was to be entrusted to Engineer Reinthaler, who, through the fact that he alone had control over the money, would have a definite influence on the Party followers. In this way it would be possible to end most quickly and most easily the prevailing difficulties and divisions in the Austrian National Socialist Party.

" 'The hope was also expressed to Herr Von Papen that the recently authorized foundation of German Ortsgruppen of the National Socialist Party in Austria, made up of German citizens in Austria, would be so arranged as not to give the appearance that Germany is planning to interfere in Austrian internal affairs.' "

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