Copy of a Copy
Enclosure No.1 to despatch  No. 1435              
dated September 27, 1939, from the 
American Embassy, Berlin, Germany
 
Memo: To Mr. Kirk.             September 27, 1939.
 
     I had a long talk with Schacht at his home this morning.  
He began by reviewing his present position in the Government; 
i.e., he had retained his position as Minister without 
portfolio in the thought that a situation might eventually 
arise in which he could, without compromising his own views, 
be of  assistance to the Government. This position was 
entirely nominal. He had seen no member of the Government 
since his return from India with the exception of Funk, 
with whom he had had one conversation. He had not attended 
the Reichstag meeting on September 1, nor had he been 
present at the von Fritsch funeral. He said his position 
was very similar to that of General Beck, former Chief 
of Staff, who was living in complete retirement in 
Lichterfelde. Like himself, Beck had maintained his 
independence and had refused to compromise on questions 
of principle and fundamental policy.
 
     While he had maintained his ministerial position in 
the hope that a situation might develop where his services 
could be utilized, he saw little early likelihood of 
such an occurrence.  His personal relations with Hitler 
were by no means unfriendly, however, and his farewell 
 
                                                 interview
last January had been in an atmosphere of respect, although not one of cordiality.