BRITONS UNDER GERMAN ADMINISTRATION
Notorious Publisher of Nazi
Propaganda takes over administration of 350,000 Britons in Yorkshire
Dateline 14th April 2005
Translation by Edward Spalton from german-foreign-policy.com
INTRODUCTION by Rodney Atkinson. Bertelsmann, both a loyal
propagandist for the Nazis in their rampage across Europe in the 1940s
and a loyal propagandist for the European Union, the European Constitution
and the Euro today. In the 1940s they published propaganda for the German
armed services. An introduction to one book reads: "In these personal
reports of our fighters in Norway the immortal Viking raid of German
destroyers on Narvik is told in exciting pictures. After a reckless
stormy journey the mountain troops struggle in self sacrifice against
English superiority. The survivors cling on after the death of their
Commander Bonte until German ships force the withdrawal of the enemy
from Narvik". Today, as this translation by Edward Spalton from
our German friends at german-foreign-policy.com relates,they are taking
over the administration of a large part of Britain. Has anyone told
anyone about the implications?
GUETERSLOH / EAST RIDING OF YORKSHIRE. Europe's largest media
company, the German firm Bertelsmann AG, is taking over official tasks
normally performed by public authority in Great Britain. From July 2005
a Bertelsmann subsidiary will undertake the majority of public administration
in a British local authority. The plan is regarded by the German firm
as a "pilot project of strategic importance" for its expansion
into a multi billion market. Across Europe, Bertelsmann aims to expand
within the framework of the so-called "Public/Private Partnership"
into areas which are presently under the control of nation states and
to carry out activities which are normally reserved to publicly responsible
local authorities. Great Britain is also a target of Bertelsmann's expansion
in print media. By a joint venture enterprise with two other German
media firms in the construction of new large-scale printing facilities
abroad, Bertelsmann is aiming to gain market leadership in European
newspaper printing.
From July the German firm Arvato AG, a totally owned subsidiary
of Bertelsmann AG, will take over the majority of the administration
of the British local authority, the East Riding of Yorkshire, which
has around 350,000 inhabitants. About five hundred local authority
employees will switch to Bertelsmann. So a German firm will be entrusted
with carrying out duties which were previously under the authority of
the British state. These include public and statutory duties (such as
are carried out by a state, local authority or public corporation) to
fulfil requirements under public law. The exercise of these powers of
government is normally the preserve of responsible local government
officials who have a special duty to the local authority and bear allegiance
to the state. In a few months Arvato will become responsible for paying
wages and social benefits as well as collecting council tax, fees and
charges. It will provide a citizens' bureau and the Council's total
information technology requirement . (*1)
A STRATEGIC PILOT PROJECT
The German conglomerate sees the takeover of administration in the
East Riding as "a pilot project of strategic importance" for
expansion into a multi-billion pound market. Arvato AG believes that,
in Great Britain alone, the potential market is about 8.7 billion euros
(£6 billion) (*2) and has already announced the expansion of its
activities in public administration in Great Britain. The Arvato board
states that it is already in substantive discussions for the takeover
of more local administrations (*3). The firm is also planning entry
into the public administration market in other European states. The
Bertelsmann Foundation, which holds 57.6% of the shares in Bertelsmann
AG and is principally financed out of the profits, has been involved
for years in advising local government authorities(*4). According
to German law, the Foundation counts as "of public utility"
and therefore receives favourable tax treatment. Its articles of
association explicitly provide for activities abroad.
WORLD-WIDE EXPANSION
Arvato AG is one of the most important components of Bertelsmann AG
's world-wide activities. After the RTL Group, it is the most important
subsidiary in turnover and profitability of the conglomerate.. In 2004
Arvato increased its turnover and profits before tax and dividends to
3.756 billion euros and 310 million euros respectively.(*5) The firm
controls enterprises from printing works to call centres and is increasingly
targeting service provision in finance, logistics and out-sourcing.
Through a joint venture with the large German printers Gruner &
Jahr and Axel Springer, Arvato plans to become the market leader in
European newspaper printing this year. This cooperative venture, to
be vetted by the the EU Commission at the end of May, would control
about 25% of the market.(*6) . Within the framework of a world-wide
print media offensive ("Growth and Innovation"), Bertelsmann
is building a 110 million euro plant in Treviglio in Italy and a 170
million Euro printing works in Great Britain (Liverpool).(*7) . Here
Arvato is attacking the British firm Polestar. A print order from News
Corporation (Rupert Murdoch) with an estimated value of 1 billion euros
over ten years will not go to Polestar but to its German competitor
(*8)
"HITLER'S BEST SUPPLIER"
The economic rise of Arvato's owner, Bertelsmann, was based on close
involvement with Nazism. From 1933 Bertelsmann produced Nazi propaganda.
The firm grew quickly, becoming the largest producer of books for the
Nazi Wehrmacht, printing over 19 million copies. Bertelsmann could be
called "Hitler's best supplier". A TV report on the publisher
stated that its literature " imparted strongly anti semitic, racist,
militarist content and National Socialist propaganda". Bertelsmann
was from 1933 "an outstanding representative of those who produced
such literature" .
Through the production of popular Nazi literature Bertelsmann experienced
a "profit explosion". The historian Norbert Frei attested
to Bertelsmann's "affinity in World-View" (Weltanschauung)
and "high readiness to adapt to the economic calculus".
The former Managing Director, Heinrich Mohn, supported the SS financially
from 1921 as a "subscribing patron member". He gave around
15,000 Reichsmarks. For some few years the firm strove to work up its
acquaintance with the Nazi leadership and gain attention.. This must
be seen in connection with its attempts then to expand into the American
market, where Bertelsmann attracted unfavourable reports in the US media.
A press report of 2000(*9) commented "Bertelsmann's expansion in
the USA, which presently accounts for one third of its turnover, compels
the firm to acknowledge unpleasant facts from the past".
Bertelsmann expects strong growth in all areas of activity during 2005.
Group turnover rose by 17 billion Euros during 2004 and the year's surplus
rose by more than 1 billion Euros. For the current year the firm has
announced several takeovers for which some 1.5 billion Euros are allocated.
It is also said that Bertelsmann plans to buy several TV stations in
southern and eastern Europe. (10)
(*1) How Bill helped Bertelsmann: The Guardian 18.03.2005 . Wachstumsinitiative
GAIN laeuft bei Bertelsmann auf Hochtouren; Finanznachrichten.de 17.03.2005.
Arvato will's besser machen - Outsourcing der Verwaltung; n-tv online
23.02.2005
(*2) Bertelsmann: Telefon statt Television; Die Tageszeitung 18.03.2005
(*3) OWL-Firma treibt UK Knoellchen ein; die Tageszeitung 24.02.2005
(*4) s.dazu Berliner Wirtschaftshegemonie und Divide et impera sowie
Umsturz, neue Folge
(*5) Bertelsmann AG: Konzernentwicklung & - strategie- Bilanzpressekonferenz
17.03.2005
(*6) Arvato wieter auf Wachstumskurs; Financial Times Deutschland 22.03.2005
(*7) Wachstumsinitiative GAIN laeuft bei Bertelsmann auf Hochtouren.
Finanzrichten.de 17.03.2005
(*8) Arvato AG; Umsatz, operatives Ergebnis und Mitarbeiterzahl erneut
gesteigert; Pressemitteilung 22.03.2005. Bertelsmann aergert Middelhoff;
Frankfurter Allgemeine Zeitung 23.03.05
(*9) Frankfurter Rundschau 08.10.2002; TV-Bericht Monitor 20.05.1999
Neues von der Front - Bertelsmann laesst seine Rolle in der Nazizeit
klaeren. Die Zeit 4/2000. Unabhaengige Historische Kommission zur Erforschung
der Geschichte des Hauses Bertelsmann im dritten Reich: Die Vergangenheit
des Verlags C. Bertelsmann in Guettersloh 7.Oktober 2002
(*10) Bertelsmann prueft Einstieg ins Mobilfunkgeschaeft; Sueddeutsche
Zeitung 18.03.2005 . Bertelsmann: Telefon statt Television: die tageszeitung
18.03..2005 . arvato-AG: Umsatz, operatives Ergebnis und Mitarbeiterzahl
erneut gesteigert. Pressemitteilung 22.03.2005
