The news scimitar. (Memphis, Tenn.) 1907-1926, 1918-11-02
AND TEUTON
Ambassador Morgenthaus Story of Great War Plots
By HENRY MORGENTHAU.

a willing tool Of Germany. An epi-
scde that involved myself bears out
this view. In describing the relations
Of the great powers to Turkey l have
said nothing about the United States.
IN Iact, We had no important business
relations at that time. The Turks re-
garded US as n country Of idealists
and altruists, and the fact that we
spent millions building wonderful edu-
cational institutions in their country
purely from ph~ilanthropicl motives
afoused their aStonishment and posi-
bly, their admiration. They liked Amer
leans n regarded us as about the
only dislnterested friend whom they
mad among the nations. But u in
~terests in Turkey were small; the
Standard OIL company did a growing
business, the Singer company sold sew
ing machines to the Armenians and
creeks; we bought a good deal of their
tobacco figs and rugs and gathered
their Hcorice root. In addition to these
activities, missionaries and educational
experts formed about our only contacts
with tho Turkish empire. The Turks
knew that we had no desire to dis
MEMBER their country or to mingle in
Balkan politics. The very fact that
my country was so DISTINGUISHED was
perhaps the reason why Talaat dis
cuSsed Turkish affairs so freely with
me. In the course of these converse
tlons frequently expressed my desire
10 serve them, and Talaat and some
or the other members Of the cabinet
got into the habit Of consulting me on
business matters. Soon after my ar
rival l made a speech at the Ameri-
can chamber of commerce In Constan-
unople; Talaat. Djemal and other i'm
portant leaders were present. l talked
abou the backward economic state of
turkey and admonished them not to
be discouraged. l described the con-
dition of the United States after the
Slvll war and made the point that our
devastated southern states presented a
spectacle not unlike that of Turkey
at. that present moment.
L then related how we had zone to
work, developed our resources and built
up the present thriving nation. My re-
marks apparently made a deep impress
sion, especially my statement that after
the Civil war the United States had be-
come a large borrower In foreign money
markets and had invited immigration
from all parts of the world.
n speech apparently gave Talaat
a new idea. It was not impossible that
the United States might furnish him
the material support which he had been
seeking IN Europe. Already / had sug-
gested that an American financial OK
pert hould be sent to study Turkish
finance and in this connection l had
mentioned Mr.. Henry Bruere, of New
Iork-a suggestion which the Turks had
received favorably. AT that time Tur-
keys greatest need was money. France
had financed Turkey for many years,
and French bankers, in the spring OF
i9l4' were negotiating for another large
loan. Though Germany had made some
loans, the condition of the Berlin none
market at that time did not encourage
the Turks to expect much assistance
from that source.
In late December, 1918, Bustany Eff
fendi, a'Christian Arab, and minister of
and agriculture, who spoke
English tluently-he had been Turkish
commissioner to the Chicago Worlds
fair In 1S93-called and approached me
on the question of an American loan.
bustany asked If there we're not Amer
lean ~financiers who would take entire
charge or the reorganization of Turkish
finance. His plea was really a cry of
despair, and 1t touched me deeply. AS
l wrote in my diary at the time, "They
but l had been in Turkey only six
weeks, and obviously l had no informa-
ton on which I could recommend a
large contract to American bankers. l
Bustany that my advice would
not carry. much weight in the United
states unless it was based on a COM
plete knowledge of economic conditions
In Turkey. Talaat came to me a few
days later, suggesting that l make a
prolonged tour over the empire and
study the situation at first hand. He
asked II | could not arrange meanwhile
q small temporary loan to tide them
over the interim. He said there was no
money In the Turkish treasury; IL ]
could get them only $5, 900, 900, that
would satisfy them. / told Talaat that
| would try to raise this amount for
them, and that would adopt his sug-
gestion and inspect his empire with
the possible idea of interesting Ameri-
can investors. After obtaining the con-
of the state department, l wrote
to my nephew and business associate,
Mr.. Robert e. Simon, asking him to
sound certain New York institutions and
bankers on making n small short-time
collateral loan to Turkey. Mr.. Simon's
investigations boon disclosed that a
Turkish loan did not seem to be regard
ed as an attractive business undertake
ing In Mex York. Mr.. Simon wrote,
however. that Mr.. C. X. G. Billings had
shown much interest in the idea, and
that, If l desired, Mr.. Billings would
mater with the Turkish cabinet and
with me. In a few days Mr.. Billings
had started for Constantinople.
The news of Mr.. Billings approach
spread with great rapidIty all over the
Turkish capital; the fact that he was
to magnify the Importance and the
glamor Of the event. That a great
American millionaire was prepared to
reinforce the depleted Turkish treasury
and that his support was merely the
preliminary step In the reorganization
OF Turkish finances by American capt.
talists, produced a tremendous flutter
in the foreign embassies. So rapidly
did the information spread, indeed, tina
! rather suspected that the Turkish cab
met had taken no particular pains to
keep It secret. This suspicion was
strengthened by q visit which re-
ceived from the Chief Rabbi Nahoum,
who informed me that he had come at
the request of Talaat.
There is a rumor," said the chief
rabbi. that Americans are about to
make a loan to Turkey. Talaat would
be greatly pleased If you would not con-
Wangenheim displayed an almost hys-
terical interest; the idea of America
coming to the financial assistance of
Turkey did not fall in with his plans
at all, for in his eyes Turkeys poverty
was chiefly valuable as n means OF
SaSda' 5 5hs G swp I s0ow i9tp v6 Gsr%anyYrs
a book containing etchings of Mr.. Bill
lings' homes. pictures and horses: he
showed a great Interest, not only in the
horses-Wangenheim was something of
a horseman hlmSelf-but in the tangible
evidence Of great wealth. For the next
few days several ambassadors and min
listers filed into my office, each solemnly
asking for a glimpse at this book! As
the time approached for Mr.. Billings
arrival, Talaat began making elaborate
plans for his entertainment; he con-
suited me as to whom we should invite
to the proposed dinners, lunches and
receptions. AS usual Wangenheim got
in ahead of the rest. He could not
come to the dinner which We had
planned and asked me TO have him for
lunch. and In this way he met Mr..
Billings several hours before the other
diplomats, Mr.. Billings frankly told
him that he was interested In Turkey
and that 1t was not unlikely that he
would make the loan.
In the evening we gave the Billings
party a dinner. all the important mem
bers of the Turkish cabinet being pres
ent, Before this dinner, Talaat, Mr.,
Billings and myself had a long talk
about the loan. Talaat informed us
that the French bankers had accepted