Spitfire List Web site and blog of anti-fascist researcher and radio personality Dave Emory.

For The Record  

FTR #195 Update on Corporate Germany

Listen now: Side 1 | Side 2

Highlighting the German nationalistic approach to economics, this program underscores the use of “corporatism” as an instrument of political aggression.

Beginning with analysis of the takeover struggle between Vodaphone (a British mobile phone company) and Mannesmann (a German heavy industrial firm which has branched out into communications), the broadcast discusses why “fortress Germany” is unlikely to revise its approach to corporate takeovers any time soon. In addition to German regulations that make hostile takeovers extremely difficult, many major German firms are in the hands of foundations and families. This places many of them beyond the reach of corporate raiders.

Behind the facade of the “foundations” and families is the Bormann flight capital organization, an element Mr. Emory feels will prove to be the decisive element in human affairs (barring a significant change in the tide of political events).

The program sets forth the system of clandestine control which the Bormann group used to mask control of 750 corporate fronts. These corporate fronts were the repositories for the liquid wealth of the Third Reich, and their ownership is determined by bearer bonds. After discussing the various maneuvers utilized by Bormann to hide the true nature of these corporations, the program highlights the Bormann group’s behind the-scenes control of the German corporate economy. Next, the program recapitulates the Mannesmann firm’s participation in the Bormann flight capital program. (This was discussed in FTR-187.) The program focuses on the German political leadership’s defense of Mannesmann against Vodaphone. (This also was discussed in FTR-187.) Both Chancellor Gerhard Schroder and Finance Minister Hans Eichel defended Mannesmann.

More importantly, German banks united to support Mannesmann, illustrating the cohesive nature of corporate Germany. Unlike American and British corporations (which act as independent entities with no cohesive national agenda), German corporations act as a coordinated front, with an agenda of German national supremacy. Next, the program analyzes a series of maneuvers that Mannesmann undertook to increase its value, thereby making it more difficult for Vodaphone to effect the takeover. These maneuvers involved companies involved with corporate Germany, such as AOL (with joint ventures with the aforementioned Bertelsmann) and Deutsche Bank. Ultimately, this maneuvering was successful, leading to an arrangement in which Mannesmann got a 49.9 percent deal.

The second half of the program deals with the German maneuvering (apparently successful) to get Caio Koch-Weser appointed as head of the IMF. Holding joint Brazilian and German citizenship, Koch-Weser is more than likely affiliated with the Bormann organization. The German government (Chancellor Schroder in particular) has been lobbying intensely to get Koch-Weser named to head the IMF. The European Union has closed ranks behind Koch-Weser, who (if appointed) will be in a position to wield a profound influence in much of the capitalist-oriented world. (The near financial meltdown of the fall of 1998 illustrated the major influence that IMF-funded countries can wield on world capital markets.)

After briefly reviewing German corporate control over the European economy, the broadcast concludes with a look at Polish resistance to a hostile takeover of a major Polish commercial bank by Deutsche Bank, as well as German resistance to EU reform of German banking procedures. It should be noted that the Polish resistance to the Deutsche Bank takeover is unusual. Whereas German leaders have behaved nationalistically to takeover bids, the leaders of countries whose companies have been bought out by German firms have remained silent. (Recorded on 2/20/2000.)

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