Above all, however, it was possible to get the consent of the president of the bank of the Netherlands, Trip, to a measure suggested by Commissioner General Fischboeck and approved by the General Field Marshal, namely the unrestricted mutual obligation of accepting each other's currencies, that means that the Bank of the Netherlands is bound to take over any amount of Marks offered to it by the Reich Bank and in return to make available Dutch guilders at the rate of 1.33, that is, 1 RM is 75 cents. Only the Reich bank has control over this, not the Bank of the Netherlands, which will be notified only about the individual transactions. This ruling goes far beyond all pertinent rulings made hitherto with the political economies of neighboring countries, including the Protectorate, and actually represents the first step toward a currency union.
In consideration of this significance of the agreements, which already touches the independence of the Dutch State, it is of special weight that the [page 13] president of the Bank, Trip, who is unusually well-known in western banking and financial circles, signed this agreement of his own free will in the above sense.
Furthermore, military jurisdiction was introduced, and at present German criminal jurisdiction is being set up; for special cases not only the Special Court but also SS and Police jurisdiction have been provided for as substitutes for court-martial jurisdiction, which was not introduced. Subject to German criminal jurisdiction are: all citizens of the Reich or the Protectorate without restriction and all Dutch citizens and aliens in cases of crimes against the honor and security of the Reich, the Armed Forces, etc.
The experiences with the Dutch officials show that these people, like all Dutchmen, are basically difficult. One has to negotiate with them very much; if they say no, it does not mean definitely no, if they say yes they still think the matter over for a long time, but in the end they will do as one wants them to. Besides, they want someone else to carry the responsibility; since the Dutch still do not really believe that England, which for centuries was the overwhelming power in Europe, is finally eliminated from the continent, in many cases they want a direct order which they then obey, so that one day they will be able to refer to this pressure. In general, however, one cannot complain about the behavior of the officials in the execution of the administration. One cannot say that the officials are delaying any vital work. For instance, in restoring traffic routes, especially in clearing canals, the respective ministry worked extremely to the purpose and fast. In the fields, however, entirely liberal methods and principles prevail.
The Police itself is much split and is subordinated in the most important parts to the ministry of justice and not to the ministry of the Interior. The special troops, the motorized and mounted units, are relatively good, the Marechaussee, a sort of troop gendarmerie, is very good. Among the latter we have already won some agents in the higher ranks which makes probable a further extension in a sense favorable to us.
The Marechaussee will therefore be brought to a correspondingly high standard by selected non-commissioned officers of the army and will be the backbone of the executive.
The dismissal of two mayors (in the Hague and in the provincial capital of Zwolle) had an extraordinary effect. The moment will come when it will be possible to exchange some of the Secretaries General and possibly also other officials, but in any case mayors.
Concerning the right of assembly and association, we introduced the obligation of giving notice. The interdiction comes from the public prosecutors of the court of appeals (Subordination of the Police to the Justice) who are working almost without complaint under the Higher SS and Police Fuehrer. The states-general were eliminated from public representative bodies; the provincial states and the town councils were kept for the time being, but they are under the supervision of the provincial commissioner. Politics in these is not tolerated for the present. The reconstruction of the country—except in Rotterdam, Middelburg, and Rehnen the devastation is not very extensive—was placed in the foreground of a visit to Middelburg the importance of the preservation of historic monuments as an expression of the will for formation of a people has been emphasized, and the social side of such action stressed by raising a fund for reconstruction. In the handling of this reconstruction fund the reactionary spirit of the Dutch administration is especially evident.
It is necessary to give special attention to the reconstruction of Rotterdam. Rotterdam, thanks to its position at the mouth of the Rhine, the possibility for sea-going vessels to sail far inland, and the harbor conditions, which are in every respect favorable, is doubtless a place which disposes of the best natural port facilities in Central Europe, which can even be increased by the completion of the Rhine-Main-Danube Canal, as its sphere of action will reach from Rotterdam to Constanta. With regard to developments in the more distant future one must consider whether one should not exercise influence on the reconstruction of Rotterdam in such a way that the city with this unique opportunity for construction should receive the imprint of a big sea-port of the Germanic area. The demobilization of the Dutch Army, which has now finally been accomplished, was carried out without complaints. The officers and men not taken over into other occupations were transferred, with the exception of the higher ranks, to construction service. This is to be the basis for a future Labor Service. It is led by the Dutch Major Breunesse, who has long been in contact with the men of the Reich Labor Service in the Reich (Mueller-Brandenburg) and has always taken the part of the Reich. The impression this man makes is an excellent one, at present decidedly non-political, as is usual among officers, [page 16] ideologically all right. It is assumed that within three to six months the present construction service can be liquidated, that is, the men will be inducted into economic operations and there will be a basis for a real Labor Service. The organization is already being built up with the co-operation of the head of the Reich Labor Service, Hierl.
The extremely ramified and numerous Dutch press has not been submitted to a preliminary censorship, as that would have destroyed all press life immediately. By holding press conferences under the supervision of Schmidt the big press is managed well and successfully. The danger of some slips, becoming more and more rare, was accepted in view of the necessity of keeping the press alive. Circulation is falling off, however—a not unusual phenomenon, which has the advantage, though, that the newspapers get into difficulties and can therefore be folded up or taken out of the hands of the present owners. The NSB press is already completely available, there is a personal influence at the Telegraph and within the next few days the entire S.D.P. Press is going to be taken over in connection with a corresponding political action which is already underway. The German newspaper has reached a circulation of 30,000. About half of the subscribers are Dutch. A quite extensive press front is therefore available.