The Politics of Espionage: Nazi Diplomats and Spies in Argentina, 1933-1945 A dissertation ...

415 Pages·2009·1.18 MB·English

The Politics of Espionage: Nazi Diplomats and Spies in Argentina, 1933-1945

A dissertation presented to
the faculty of
the College of Arts and Sciences of Ohio University

In partial fulfillment
of the requirements for the degree
Doctor of Philosophy

Richard L. McGaha
November 2009
© 2009 Richard L. McGaha. All Rights Reserved.
2

This dissertation titled
The Politics of Espionage: Nazi Diplomats and Spies in Argentina, 1933-1945

by
RICHARD L. MCGAHA

has been approved for
the History Department
and the College of Arts and Sciences by

Norman J.W. Goda
Professor of History

Benjamin M. Ogles

Dean, College of Arts and Sciences
3

ABSTRACT
MCGAHA, RICHARD L., Ph.D, November 2009, History
The Politics of Espionage: Nazi Diplomats and Spies in Argentina, 1933-1945 (415 pp.)
Director of Dissertation: Norman J.W. Goda
This dissertation investigates Nazi Germany’s diplomacy and intelligence-
gathering in Argentina from 1933-1945. It does so from three perspectives. This study
first explores the rivalries that characterized the bureaucracy in the Third Reich. It argues
that those rivalries negatively affected Germany’s diplomatic position in Argentina. The
actions of the AO in Argentina in the 1930s were indicative of this trend. This created a
fear of fifth-column activity among Latin American governments with large German
populations.
Second, this study explores the rivalry between the Sicherheitsdienst (Security
Service, SD) of the Reichssicherheitshauptamt (Reich Security Main Office, RSHA) and
Auswärtiges Amt (Foreign Ministry, AA). It argues that the rivalry between these two
organizations in Argentina was part of a larger plan on the part of Amt VI, SS Foreign
Intelligence to usurp the functions of the AA. Intelligence operations were not
necessarily undertaken to further the foreign policy goals of Nazi Germany, but to further
the ambitions of the head of Amt VI, Walter Schellenberg.
Third, this dissertation looks at the issue of ideology. Argentina was one of the
last countries to break relations with Nazi Germany. This dissertation attempts to answer
the question of how much ideology permeated individuals who were not exposed to Nazi
4

ideology on a daily basis. This section attempts to add to recent studies that have argued
the importance of ideology in Nazi Germany.
In answering these questions, this study mainly relies on the German-language
records of the AA held in College Park, MD. It also utilizes interrogation reports of
individuals involved in diplomacy and espionage in Argentina, as well as messages
decrypted by the British between German spies in Argentina and their superiors in Berlin.
This study fits into new examinations of the nexus between intelligence and diplomacy
and the role of ideology in the Third Reich.

Approved: _____________________________________________________________
Norman J.W. Goda
Professor of History
5

ACKNOWLEDGMENTS
No dissertation writes itself, this one included. I would like to thank the
following people and institutions who helped in the research and writing. First, my very
long-suffering supervisor, Norman J.W. Goda, who suggested the Nazis and Argentina as
a topic of study. Thanks to some timely encouragement on his part this dissertation was
finished. His comments and criticisms have made this better than it would have been in
anyone else’s hands. Second, my friend and mentor Tom Taylor of Seattle University.
He has had to listen to more about Nazis in Argentina than any person should. He has
been a good friend and I thank him for listening patiently.
Next, I would like to thank the staff of the National Archives and Records
Administration, College Park, MD. I would especially like to thank Larry Macdonald
and Mary Tomic who helped me navigate my way through the myriad record groups that
formed the bulk of my research. The staff at The National Archives, Kew went above
and beyond the call of duty. The friendliness and efficiency of The National Archives
should be a model for archives worldwide. At Ohio University I would like to thank the
members of my dissertation committee along with my graduate coordinators, Katherine
Jellison and Chester Pach.
Finally, I would like to thank my family for their love and support. First, my
aunts, Diane McGaha and Shirley Morgan, who always gave me a place to stay when I
was doing research. Second, my father, Richard McGaha, who though he has no idea of
what I am doing, continues to be supportive knowing only that I am happy doing what I
am doing. Next, my wife Kristina who supported me in more ways than I can count. I
6

hope this makes her proud. Finally, my son Ian Gabriel, the light of my life. Throughout
the trials and tribulations of writing this dissertation he always reminded me that
discussing the merits of different vacuums was far more important than what is in here
despite my silly notion to think otherwise. All that is good in here belongs to them; the
errors are, of course, my own.
7

To my son Ian Gabriel, may he see better times than these
8

TABLE OF CONTENTS
Page

Abstract………………………………………………………………………………… 3

Acknowledgements…………………………………………………………………….. 4

Introduction…………………………………………………………………………….. 9

Chapter 1: Thermann’s Arrival and the Crisis of the ‘New’ Diplomacy……………… 25

Chapter 2: The Patagonia Affair and the Fear of Nazi Fifth Column Activity, 1939…..76

Chapter 3: Ad-hoc Diplomacy, 1939-1942……………………………………………113

Chapter 4: The Rise and Fall of the Abwehr in South America, 1941-1943………….169

Chapter 5: “Sargo” and the Creation of an SD Intelligence Network…………………210

Chapter 6: The Illusion of Control…………………………………………………….257

Chapter 7: The Case of Osmar Hellmuth……………………………………………...296

Chapter 8: The Jewish Question………………………………………………………339

Chapter 9: Aftermath …………………………………………………………….……370

Conclusion…………………………………………………………………………….391

References…………………………………………………………………………….402
9

Introduction

“[This] is a tale told by an idiot, full of sound and fury...”

—William Shakespeare, Macbeth, V, v, 261

In February 1946 the U.S. government published a document titled Consultation
among the American Republics with Respect to the Argentine Situation more commonly
known as the ‘Blue Book’ from the color of its cover.2 It alleged that Argentina
collaborated closely with Nazi intelligence agents during the war and that the government
of Argentina and Colonel Juan Domingo Perón were fascist sympathizers. The ostensible
reason for publishing the ‘Blue Book’ was to expose Argentina’s lack of cooperation in
the defense of the Western Hemisphere and the reasons behind it. The real reason was to
thwart Perón’s presidential ambitions and hopefully replace him with someone more
amenable to the U.S.3 These questionable motives have led historians to discount the
revelations in the ‘Blue Book.’ As a result of the ‘Blue Book’ and news coverage the post-
war public viewed Argentina and Latin America as full of fascist sympathizers who gave
succor to fleeing Nazis. This perception was underscored by individuals, such as
Undersecretaries of State Spruille Braden and Sumner Welles. In 1946 Braden
characterized Argentina as a hotbed of Nazi and fascist sympathizers.4 Braden’s charges
were similar to those made by Welles in 1942. The prominence of Braden and Welles

1 William Shakespeare, “Macbeth,” in Jessie M. Lander ed. Macbeth (New York: Barnes and Noble
Shakespeare, 2007), p. 265.
2 U.S. Department of State, Consultation among the American Republics with Respect to the Argentine
Situation (Washington D.C.: U.S. Government Printing Office, 1946).
3 See especially Gary Frank, Juan Perón versus Spruille Braden (New York: Rowan & Littlefield, 1982).
4 Ronald C. Newton, The ‘Nazi Menace’ in Argentina, 1931-1947 (Stanford: Stanford University Press,
1992), pp. xiii-xiv. Braden’s view was colored by the fact that he and Perón loathed each other. For this
see Frank, Juan Perón versus Spruille Braden.
10

added gravitas to the charges and influenced public opinion regarding the Nazis and
Latin America.
This perception continued through the 1980s and was buttressed by fact and
fiction. The arrest of Adolf Eichmann by Israeli agents in Argentina in 1960 and his
subsequent trial captivated the world.5 This incident seemed to confirm that Argentina
and other countries willingly gave asylum to major Nazi war-criminals.6 Popular culture
also contributed to the idea of a Nazi resurgence in South America. Novels and movies
from the 1960s and 1970s reinforced fears that a secret cabal of Nazi war-criminals were
planning for a “Fourth Reich.” Frederick Forsyth’s novel The Odessa File mixed fact and
fiction in its description of Nazis aiding their brethren in escaping justice. The fact that
Eduard Roschmann, one of the main characters was real made the novel more chilling.7
Ira Levin’s novel The Boys from Brazil also mixed fact and fiction.8 It related how Dr.
Josef Mengele, the so-called “Angel of Death” at Auschwitz, planned to bring about a
“Fourth Reich” through the cloning of a new Hitler. Nazis bent on creating a “Fourth
Reich” were popular topics for movies and books. These included, The Quiller
Memorandum, Marathon Man, The Holcroft Covenant and The Rhinemann Exchange to

5 Eichmann’s arrest and his trial has been the subject of numerous studies. See especially, Hannah Arendt,
Eichmann in Jerusalem: A Report on the Banality of Evil (New York: Penguin Classics, 2006), David
Cesarani, Becoming Eichmann: Rethinking the Life, Crimes, and Trial of a "Desk Murderer" (Cambridge,
MA: Da Capo Press, 2006) and Hans Safrian, Die Eichmann-Männer (Vienna: Europaverlag, 1993).
6 War criminals found asylum in numerous countries including Canada, Great Britain, and the U.S. to name
a few. See Michael Neufeld, Von Braun: Dreamer of Space, Engineer of War (New York: Alfred A.
Knopf, 2007). Neufeld explores the issue of Von Braun’s complicity in the deaths of prisoners who built
the V-1 and V-2 rockets. Also, Richard Breitman et. al., U.S. Intelligence and the Nazis (New York:
Cambridge University Press, 2005).
7 Fredrick Forsyth, The Odessa File (New York: Viking Press, 1972). The antagonist of the novel was
Eduard Roschmann the “Butcher of Riga” who obtained refuge in Argentina in 1948 until he was forced to
move to Paraguay in 1977 after West Germany demanded his extradition.
8 Ira Levin, The Boys from Brazil (New York: Random House, 1976).