Escape from ‘Safehaven’: The case of Christiani & Nielsen's blacklisting in 1944

Abstract

The case of the Danish construction company Christiani & Nielsen in the period 1941–1945 shows that Scandinavian companies were not just pawns in a bigger political game but were to a certain degree capable of promoting their own interests. This paper reveals that the political imperative is not only a matter of political risk but also of political opportunity. The history of Christiani & Nielsen offers a useful case of the political risks and fiscal opportunities faced by multinationals working in dictatorial settings. The paper concludes that, in a choice between a forestalling strategy and an absorption strategy, the latter offers a better way of managing such risks and to minimise exposure.

Keywords:

• blacklisting
• Safehaven
• political risk
• Christiani & Nielsen
• construction industry

Notes

1. Public Record Office (hereafter PRO) Statement of action taken for the period 1 to 30 November 1940. Ministry of Economic Warfare; Brief report for War Cabinet upon action taken against business firms, 26 December 1940, FO 837/12; MEW ‘G’ LIST No. 1, Ministry of Economic Warfare, September 1940, FO 837/39; MEW ‘G’ LIST No. 2, Ministry of Economic Warfare, November 1940, FO 837/39. In November 1940 Christiani & Nielsen's departments in Great Britain, USA, Brazil, Argentina, Mexico, Venezuela and Thailand had signed the undertaking with the British government.

2. National Archive in Oslo, Riksarkivet (Hereafter RAO), Letter from the Kristiani Hypotek- and Realkreditbank Ltd. to Christiani & Nielsen, 30 November 1940. Case No. 9309, Oslo Police Chamber's investigation of Norsk Christiani & Nielsen Ltd.

3. National Archive in Copenhagen, Rigsarkivet (Hereafter RA), Christiani & Nielsen, summary of management board meeting, 30 November 1940, Archive No. 10.557.

4. RA, Christiani & Nielsen, summary of management board meeting, 30 November 1940, Archive No. 10.557.

5. RA, Interrogation of vice president O.C. Larsen by the Commission of Inquiry founded by the Danish Engineers' Association, 17 March 1947. Case No. 27 concerning Dr Ing. Rud. Christiani, Archive No. 10.557.

6. RAO, Memo pertaining to the Neyer case, Rudolf Christiani (sign.), 29 April 1948. Case No. 9309, Oslo Police Chamber's investigation of Norsk Christiani & Nielsen Ltd.

7. RA, Rudolf Christiani's summary to the company management, 29 November 1940, Archive No. 10.557.

8. RA, Christiani & Nielsen, summary of management board meeting, 7 May 1943, 2 July and 13. July 1943, Archive No. 10.557.

9. PRO, Director of Naval Intelligence: France: St. Nazaire and La Pallice: U-Boat bases; operational orders and bomb damage including location of wreck of HMS Campbeltown, 1942–1945. ADM 199/2469; Report on details of U-Boat Shelters, 25 June 1943, Naval Intelligence Department. U-Boat Bases in Occupied France April 1942-April 1943 Air 15/199; Bombing of St. Nazaire, NID UC Report, 3 April 1943; Bombing Attacks on La Pallice and St. Nazaire, 7 June 1943. ADM 199/2470.

10. RA, Christiani & Nielsen, summary of management board meeting, 18 December 1941. Archive No. 10.557.

11. Den Norske Sakf⊘rerforening, Medlemmer Av Den Norske Sakf⊘rerforening 1 July 1950 (Oslo) 1951, p. 103. One of Cornelliussen's partners, Jens P. Heyerdahl, was working as lawyer for IG Farben and Orkla and was himself an investor in the so-called Oslo Group buying shares after the emission of Norsk Hydro that led to German control of the company (see Andersen, 2005, p. 370).

12. RAO, Crime squad superintendent Lars Abée-Lund to the Damages Directorate, the Executive Department, 3 April 1946. Case No. 9309, the Oslo Police Chamber's investigation of Norsk Christiani & Nielsen Ltd.

13. RAO, Letter from Rudolf Christiani to the supreme court lawyer Corneliussen, dated 18 April 1946. Case No. 9309, Oslo Police Chamber's investigation of Norsk Christiani & Nielsen Ltd.

14. RAO, Engineer Henschien's enclosure in Norwegian Christiani & Nielsen's annual report, January 1942; Report by engineer Henschien to the Section for Crimes against the Nation, 14 February 1947. Case No. 9309, the Oslo Police Chamber's investigation of Norsk Christiani & Nielsen Ltd.

15. RA, Christiani & Nielsen, summary of management board meeting, 5 February 1942, Archive No. 10.557.

16. RA, Christiani & Nielsen, summary of management board meeting, 5 March 1943, Archive No. 10.557.

17. RA, Letter from N⊘rgaard to the Hon. Colonel A. McDonnell, 15 November 1946, Archive No. 10.557.

18. Dr Arnold Agatz from Charlottenburgs Technische Schule was one of the company's technical advisors on harbour construction. Agatz was responsible for the construction of several of the German submarine bunkers in occupied France and he played the role as link between Organisation Todt and Christiani & Nielsen in 1941 when the company became involved in the large construction project for German Navy.

19. In addition to Werner Best, Rudolf Christiani also invited the diplomatic representative Barandon, SS-Brigadenführer Kanstein, and Ministerialrat Ebner from the German legation. Denmark was represented by among others the Prime Minister and Minister of Foreign Affairs Erik Scavenius, Minister of Traffic Gunnar Larsen, Director Nils Svenningsen, and Head of Department Franz Hvass from the Ministry of Foreign Affairs in an arrangement honouring the structural engineer of Hitler's submarine bases.

20. Questioning (by police officer Henning Christensen) of Dr Werner Best at the Copenhagen Central Police Station 19 March 1947, Archive No. 10.557. DIF. During the court case Best was described as ‘Konstitutioneller Psychopath’ by the prison doctor (see Herbert, 1996, pp. 408–416).

21. RA, Summary of a conversation with Bramsnæs, the Director of the Danish National Bank 29 November 1943 and conversations in the years 1943-1955 on the subject of the Nordic co-operation, Archive No. 10.557. The Swedish politicians and business leaders consulted in the context of the plan were, among others: Minister of Foreign Affairs Günther, Professor Dr Bertil Ohlin, Member of Parliament's first chamber, Governor of a Province Sandler, Member of Parliament's first chamber, the Editor-in-chief (Svenska Dagbladet) Ivar Andersson, Member of Parliament's second chamber, Political Spokesman in the National Association August Lindberg, Director Söderbäck in the Employers' Association, and Director Albin Johansson.

22. RA, Letter from Rudolf Christiani to Minister Bull, Royal Norwegian envoy, 17 December 1943 and 10 January 1944; Letter from Minister Bull to Rudolf Christiani 18 January 1944, Archive No. 10.557.

23. Christiani's political activities had already after the dinner in honour of Werner Best become the subject of discussion in the underground magazines. See Frit Danmark No. 4, February 1943, Information No. 321, 31 October 1944 and De frie Danske, No. 4, February 1943. One of the underground magazines was Vejen Frem, which in February 1944 discussed ‘the Scandinavian Plan’ under the heading ‘Dr. Christiani tackles the Global Problems’.

24. RAO, Report from engineer Henschien to the Landssviksavdelingen, forwarded 14 February 1947. Case No. 9309, the Oslo Police Chamber's investigation of Norsk A/S Christiani & Nielsen.

25. PRO, Telegram from the Ministry of Economic Warfare to Washington, 2 June 1943. The Brazil File No. 201, FO 371/33652.

26. RA, Questioning of civil engineer Knud Larsen from Christiani & Nielsen's Rio de Janeiro branch, 10 September 1946. Case No. 25 concerning Civil Engineer Harald Broe, Archive No. 10.557

27. RA, Financial statement of the C&N Corporation prepared by Director Koefoed in June 1945, Archive No. 10.557.

28. PRO, Telegram from the British Legation in Copenhagen to the Ministry of Economic warfare 28 May 1945. Control of enemy property in Denmark: punishment of collaborators, FO 371/47307.

29. Nationals Archive, Washington (hereafter NA), Telegram to the Minister, Subject: Proclaimed List for Denmark, 6 June 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

30. PRO, Telegram from the diplomatic corps in Copenhagen to the Ministry of Economic warfare 28 May 1945. Control of enemy property in Denmark: punishment of collaborators, FO 371/47307.

31. NA, Circular Airgram. To all American Diplomatic Missions and to Certain Consular Offices, Subject: Removal of Certain European Countries From General Ruling No. 1, June 22, 1., RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

32. PRO, Telegram from the Ministry of Economic Warfare to the diplomatic corps in Copenhagen, 5 June 1945. Control of enemy property in Denmark: punishment of collaborators, FO 371/47307. Companies on the blacklist were still excluded from entering into contracts with allied countries and their means were still frozen. The Foreign Office was increasingly dissatisfied with the Ministry of Economic Warfare's hard line, which made it difficult to normalise conditions. This was especially true with regard to the companies from neutral countries or occupied countries, which did not belong to the hard core of blacklisted companies. See Trading with Firms on Statutory and Proclaimed Lists 1945. Memorandum from the Foreign Office, 5 March 1946, FO 942/441.

33. RA, Letter from American Legation to His Excellency Christmas M⊘ller, Royal Minister of Foreign Affairs, Copenhagen, 30 June 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

34. RA, Letter from former Minister of Foreign Affairs Christmas M⊘ller to Rudolf Christiani (the company Christiani & Nielsen), 23 April 1946. Christmas M⊘ller's Archive; PRO, Telegram from the Foreign Office to the British Legation, Copenhagen and Stockholm, 20 November 1945. Danish registered loans: case of Rudolf Christiani of Messrs. Christiani and Nielsen, FO 371/47328.

35. PRO, Telegram from the British Legation, Copenhagen to the Foreign Office, 20 November 1945. Danish registered loans: case of Rudolf Christiani of Messrs. Christiani and Nielsen, FO 371/47328.

36. Ibid.

37. PRO, Telegram from the British Legation, Copenhagen to the Economic Warfare Department, the Foreign Office, 23 November 1945. Case of T.K. Thomsen, Danish Contractor, FO 371/47298.

38. PRO, Telegram from the Foreign Office to the British Legation, Copenhagen, 22 November 1945. Danish registered loans: case of Rudolf Christiani of Messrs. Christiani and Nielsen, FO 371/47328.

39. NA, Memorandum (confidential) US Legation, Copenhagen, 29 March 1946, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

40. NA, Memorandum for the Files. From: G.G. Ackerson, Jr., 4 September 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

41. NA, Report on German Infiltration in Denmark - SAFEHAVEN - from American Legation, Stockholm, 14 August 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

42. NA, Danish Black List (Confidential), RG 226, Records of the Office of Strategic Services, Entry 125A.

43. NA, Memorandum for the Files. Subject: Safehaven work in American Legation, Copenhagen, 9 October 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

44. NA, Memorandum for the Minister. From G.G. Ackerson, Jr., 15 November 1945; Telegram from American Legation to State Department, 21 November 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

45. NA, Telegram from US Legation, Copenhagen to The Honorable, The Secretary of State, Washington. Subject: Safehaven Program in Denmark, 14 December 1945, RG 84, Foreign Service Posts of the Department of State, Copenhagen Legation, Confidential File. 1945: Vol. IV, 851 Safehaven.

46. RAO, Letter from Avd. Øk, Gruppe 1 to the chief of police in Oslo, 10 December 1945. Ad: Sak No. 9309, Norsk A/S Christiani & Nielsen. Oversikt over de forskellige styremedlemmers ansvar i ovennevnte firma. Pfm. Meinich. Ad sak nr. 9309, Norsk A/S Christiani & Nielsen.

47. RA, the attorney general's recommendation in the case against Fritz Rudolf Christiani, 12 November 1946. The attorney general's P-cases. Jno. P.16.457.