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Military government weekly information bulletin
Number 101 (July 1947)

Decartelizing IG Farben,   pp. [6]-[8] PDF (2.3 MB)

Page [8]

atives of the Reparations Directorate;
with the agency responsible for the
destruction of the war potential; with
the group responsible for control of
research; and with the Industry
Branch of the Economics Division res-
ponsible for the control of production
in the US Zone. In each instance, the
Farben properties are considered as
part of the over-all problem, subject
to the fact that Farben, to a substan-
tial degree, is treated as an individual
problem in accordance with Control
Council Law No. 9.
Many Farben plants or elements of
plants have been designated for re-
parations; many having an intrinsic
war potential have been destroyed.
CERTAIN plants and properties are
J necessary for the German economy,
and these are being retained but are
being established as independent eco-
nomic units. In the US Zone approxi-
mately 50 of such economic units
have, in fact, been established, and
throughout the four zones it is ex-
pected that approximately 200 of the
former Farben properties will be estab-
lished as independent units.
In the US Zone, the approximately
50 properties which US Military Gov-
ernment has considered necessary
for retention and for operation are
now separate independent economic
units under the control of a separate
trustee for each appointed by the US
IG Farben Control Officer, following
nominations made by the Minister-
President of the Land in which each
plant is located. For the last year and
a half, all of the properties were under
the control of Property Control Branch
of Finance Division, but now have
swung back for their administration
and control to the IG Farben Control
Office. In order to keep the appoint-
ment of the trustees from becoming
political selections, all nominations for
trustees are of men who were for-
merly connected with the plant. The
trustee cannot have been a key Far-
ben man nor can he have had an
objectionable political background.
As the plants are set up, new names
have been adopted for most of them
as a psychological program to destroy
Dr. Max Ilgner talking to a friend on board a plane. Dr. ligner built up
a world-
wide spy ring for IG Farvn's economic espionage. Today he is behind bars
Nuremberg awaiting trial.                         (Photo from DEUTSCHER VERLAG)
the Farben idea and the Farben com-
plex, and actually to establish an exist-
ence independent of the Farben back-
ground. The only exceptions provided
for to, date are uses of the former
names when they are sufficiently apart
from the Farben background and
history that they are considered
The trustee runs the plant and en-
gages in normal manufacture; but no
article may "constitute an intrinsic
war potential." If the trustee decides
he wants to extend the business, he
can't do it without MG approval. The
trustee uses Farben patents; can ob-
tain credits on commercial loans, pro-
vided the term of the loan doesn't
exceed a year. He can enter into
trade  agreements-for  one   year
only. With the consent of the IG
Farben Control Officer he can dis-
charge a mortgage, open and close a
bank account, acquire fixed assets,
and delegate part of his duties to a
third party. He can even use certain
trade mark or trade names formerly
belonging to Farben, but this requires
express approval of the Control Of-
ficer. He can conduct litigation in his
own name as trustee.
MONG    the things the trustee
A   can't do are: lease any property of
the enterprise for a period of more than
a year, give a mortgage on any of
the real estate of the enterprise, or
place a charge on any of its fixed
assets, such as machinery or equip-
Research by IG scientists is re-
garded with great wariness by the IG
Farben Control Offices. No one wants
to muzzle legitimate scientific experi-
mentation which might result in great
peacetime benefits to Germany and
the rest of the world. On the other
hand, the lurking suspicion persists
that skilled men of fanatic national-
istic loyalties might secretly carry
on research which could menace the
structure MG is trying to rebuild in
Germany. Therefore rigid controls of
research in IG establishments in the
US Zone have been put into effect.
One of the main difficulties faced
by Farben Control Officers who are
charged with destroying this great
combine is the deep loyalty IG em-
ployees felt for the Corporation. Far-
(Continued to page 16J
14 JULY 1941

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