SCHMIDT: Of course, it was the task of the Government to ease inner political tension. The Federal Chancellor had to try to find a way out of the difficult situation which he had inherited from Dollfuss by liquidating the inner political fronts.
DR. KUBUSCHOK: Do you believe that Herr Von Papen concluded the July 1936 Agreement with treacherous intent?
SCHMIDT: No, I have no reason to disbelieve that he considered this agreement a serious endeavor to create a modus vivendi between Austria and the Reich. The fact that it resulted in a modus male vivendi does not alter this.
DR. KUBUSCHOK: Did the Germans complain that after the Agreement of 11 July 1936 there was no essential change in the inner political course of the Austrian Government?
SCHMIDT: Yes, many reproaches were made; and thus we come to the last and the real cause of the conflict with the Reich. The struggle against National Socialism within the country in the interests of maintaining the independence of the country and, on the basis of the Agreement of 11 July, insuring co-operation with the German Reich, whose leaders were National Socialists—these were the two imperative demands which, after a time, the Austrian Government found to be irreconcilable. This also explains the difficulties encountered by all persons entrusted with carrying out this agreement in Vienna, including the German Minister.
DR. KUBUSCHOK: As a result of these conditions, particularly those arising out of the July Agreement, were questions of internal policy, such as questions of policy and personnel of the so-called National Opposition, the subject of discussions between the Federal Chancellor and Herr Von Papen?
SCHMIDT: The situation as just described shows that such discussions were unavoidable; and talks on the inner political situation also took place between the Chancellor and the German Minister, as well as with the Italian Minister, in a general way that is not unusual. I know of no diplomatic memoirs which do not contain such entries. The Chancellor would never have tolerated interference of any kind. In questions of personnel Schuschnigg was especially reticent, because, if I may say so, he was afraid of “Trojan Horses.”
That, more or less, represents the situation which was discussed in talks between the Chancellor and the German Minister.
DR. KUBUSCHOK: Did Herr Von Papen make it clear that he was opposed to the methods of the illegal Party?
SCHMIDT: Yes. According to the information received by the Government, Papen opposed the leaders of the illegal Party, that is, Leopold in particular. This was doubtless due to fundamental differences, differing political ideas and differing political methods, which Von Papen on the one hand and the leaders of the illegal Party on the other were determined to pursue.