Dr. Dernburg returned to Germany in the middle of June, having been provided, by request of the American Government, with a safe conduct from the Entente. I went to New York to take leave of Dr. Dernburg and invited a few friends to dinner in the roof-garden of the Ritz-Carlton Hotel on the eve of his departure. One incident of our gathering may be regarded as typical of the atmosphere of these Lusitania days: a party of people for whom the next table to ours had been reserved refused to take it, as they declined to sit down in the neighborhood of Germans.

After Dr. Dernburg's departure I deemed it advisable, in view of the popular hostility towards us, to redistribute the greater part of Dr. Dernburg's duties. I did so, therefore, in agreement with the Foreign Office, and with the assistance of Dernburg's former colleague, Councillor Albert took over, in addition to his former business with the Central Purchasing Company, all financial and economic affairs, and was attached to the Embassy as commercial adviser. Dr. Alexander Fuehr became Chief of the Press Bureau and Captain Hecker took over the duties connected with the German Red Cross. Unfortunately the generosity of many in America, and particularly those of German descent, has not been fully recognized or appreciated by the people of Germany. The total sum remitted to Germany for our Red Cross and other similar societies amounts to over 20,000,000 marks. The disillusion of our people at home when they realized the slight political influence exercised by the German-American element in the United States has led them to overlook their great achievements in the cause of charity, which were inspired by a heartfelt sympathy with the sufferings of the German nation.

CHAPTER VII

THE "ARABIC" INCIDENT

A few days after the dispatch of the last American Note concerning the Lusitania incident, on July 21st, 1915, Mr. Lansing asked me to call on him. He then told me that the American Government had come to the end of its resources, and if any further cases occurred of loss of American lives by the torpedoing of merchant ships, war must inevitably result. The United States Government intended to write no more Notes, which had been proved useless, but would request me to undertake further negotiations in person. My action in the Lusitania incident had given proof of my earnest desire to avoid war, and the American Government were confident that I should succeed, even under such difficult conditions in finding some way out of the present impasse.

From this time onwards, Mr. Lansing agreed with me that, as a regular thing, I should be permitted, whatever negotiations were going on, to send cipher dispatches to my Government through the channels of the State Department and the American Embassy in Berlin. It will be remembered that a similar privilege had been granted me at the time of the Lusitania incident.

My sole ground of hope for success lay in one passage of the American Note of July 21st, which read as follows:

"The Government of the United States and the Imperial German Government, contending for the same great object, long stood together in urging the very principles on which the Government of the United States now so solemnly insists. They are both contending for the freedom of the seas. The Government of the United States will continue to contend for that freedom from whatever quarter it is violated, without compromise and at any cost. It invites the practical co-operation of the Imperial German Government at this time, when co-operation may accomplish most, and this great common object can be most strikingly and effectively achieved. The Imperial German Government expresses the hope that this object may in some measure be accomplished even before the present war ends. It can be.

"The Government of the United States not only feels obliged to insist upon it, by whomsoever it is violated or ignored, in the protection of its own citizens, but it is also deeply interested in seeing it made practicable between the belligerents themselves. It holds itself ready at any time to act as a common friend who may be privileged to suggest a way."

It seemed possible to reach some sort of agreement on the basis of the above request from America that we should co-operate in endeavoring to restore the freedom of the seas; but there remained the question of finding a formula which should serve as a basis for the settlement of the Lusitania question and prevent any repetition of such incidents.