There is a faction here led by deputy Bassermann, Stresemann, Fahrmann, etc., who are attacking the Chancellor. They represent great industrials who want to annex Belgium, Northern France, Poland and anything else that can be had, for their own ultimate advantage. A man named Hirsch is hired by the Krupp firm to "accelerate" this work. Krupps also pay the expenses of the "Oversea Service" which is feeding news to America.
A paper against annexation of Belgium has been signed, I am told, by Dernburg, Prince Hatzfeld and others, and will be presented to the Chancellor to-day. I believe many are to sign it; but of those who have signed are Hatzfeld, who is one of the three big Dukes of Prussia; Prince Henckel-Donnersmarck, who is the second richest subject in Germany—(85 years old, he was in 1870 first Governor of Lorraine)—von Harrach, who is a man of great ability, highly respected, as is also Professor Delbrück.
The Reichstag meets in a few days. The Socialists are holding daily caucuses, but have not yet decided on any party action. Undoubtedly they will vote for the new ten milliard loan, with Liebknecht and a few others dissenting. Probably a split will also develop in the National Liberal Party; Bassermann and others have been attacking the Chancellor, but I think other members will dissent. It is quite probable that there will be a discussion about the object of the war, and permission will be asked for public discussion, the Socialists perhaps claiming that they have consented to a defensive war only, and that now that the war is on enemy territory peace should be at least discussed. There may also be talk about the annexation of Belgium and food prices. The Socialists are greatly incensed at those who are holding food for high prices.
Personally, I think that Germany now wants peace but does not want to say so openly.
A relative of a Field Marshal told me to-day that Germany's killed to date were 600,000 and 200,000 crippled for life.
I must say that the plain people still seem perfectly tame and ready to continue the war. However, there may also be a protest in the Reichstag about the treatment by non-commissioned officers of Landsturm men who have never served but who now, in the process of scraping the box, are called to the colors.
The Germans hope by a great movement to capture a great part of the Russian army; probably they will fail. They also entertain hopes that in such case Sweden will enter Finland and two Balkan States declare for them. Balkan Ministers here tell me the defeat of Russia makes it impossible for Roumania to enter, but they fear an invasion by the Germans. All diplomatic work is now centred in the Balkans.
Successes in Russia have made the people here very cocky. Hence, probably, the torpedoing of the Arabic. Also great hope of Bulgaria coming in with Germany; there is no more dissatisfaction heard over the war. I have as yet received nothing from Washington regarding the Arabic.
I have just spent four half days at Ruhleben, where civilian Britishers are interned, so as to give every prisoner a chance to speak to me personally.
There is much talk of creating an independent Poland. The Reichstag session has developed no opposition.