HL Deb 11 December 1957 vol 206 cc1021-3

2.35 p.m.

VISCOUNT ELIBANK

My Lords, I beg to ask the Question which stands in my name on the Order Paper.

[The Question was as follows:

To ask Her Majesty's Government (1) Whether Herr Alfred Krupp von Bohlen und Halbach was sentenced at Nuremberg as a war criminal to the confiscation of the whole of the Krupp fortune; (2) Whether the order of confiscation was cancelled in 1951 when Mr. McCloy was the United States High Commissioner in Germany; (3) Whether, under an agreement with the Governments of the United Kingdom, France and the United States signed in Bonn on 4th March, 1953, Herr Krupp undertook to sell his interests, amounting to approximately 75 per cent. of his properties, in his steel works, coal mines and coalfields within five years; and (4) What sales, if any, have already taken place.]

2.36 p.m.

THE JOINT PARLIAMENTARY UNDER-SECRETARY OF STATE FOR FORELGN AFFAIRS (THE EARL OF GOSFORD)

My Lords, Herr Alfred Krupp was sentenced by a United States Military Court in 1948, and the sentence included the confiscation of all his personal property and all assets of the firm of Krupp. The United States High Commissioner in Germany, Mr. McCloy, cancelled the confiscation order in 1951.

Under a plan agreed with the Allied authorities in Germany and promulgated on March 4, 1953, Herr Krupp agreed to dispose of an estimated 74 per cent. of his property—steel, iron and coal producing assets—through disposition trustees. For a period of five years from the dates on which the disposition procedures came into effect, the terms of sale are subject to Herr Krupp's concurrence. As things stand at present, the five-year periods are due to end early in 1959. At the end of the five years the trustees are to sell the interests for the best terms obtainable, unless an extension of time is granted.

The Emscher-Lippe mine was sold to a German state-owned company in 1954 for some £2.3 million. Herr Krupp's controlling interest in the Constantin der Grosse mine was sold for some £3 million in 1956. Furthermore, the stock owned by Krupp in two subsidiaries—the West-fälische Drahtindustrie (steel wire rolling works) and Capito und. Klein (tin plate rolling mills) were disposed of in 1953, in accordance with provisions in the agreed plan.

VISCOUNT ELIBANK

My Lords, I beg to thank the noble Earl for his reply. Arising out of it, I should like to ask one or two questions. Is it not the case that the common stock of the holding company, HÜitten und Bergwerke Rheinhausen, which took over the Krupp properties in steel and coal, as the noble Earl told us, has to be sold within five years or at the end of any extended period—though I very much hope that there is not to be an extended period—for whatever price it will fetch in the market, and that the stock must not be sold to members of Herr Krupp's immediate family or to persons acting on his behalf? May I further ask the noble Earl whether Her Majesty's Government will give an assurance to the House that they will not be a party to the release of Herr Krupp from any of his undertakings under the 1953 agreement and that the Krupp organisation, which is Germany's most powerful economic unit to-day, will be broken up, as was originally intended by the Military Court?

THE EARL OF 'GOSFORD

My Lords, the answers to the noble Viscount's first two questions are that they are generally correct. With regard to the last question, Her Majesty's Government are fully aware of the importance of these deconcentration questions. However, these questions, including those of Herr Krupp, concern other Governments and would have to be considered and concerted with them.

LORD REA

My Lords, I apologise for not having given the noble Earl notice of this question, but can be give any indication of the amount still outstanding to be disposed of at the end of the five years?

THE EARL OF GOSFORD

My Lords, in round figures, approximately £20 million.

VISCOUNT ELIBANK

My Lords, may I ask the noble Earl whether the Government will consider publishing a list of the names of persons and firms to which sales are made by the holding company?

THE EARL OF GOSFORD

My Lords, I will certainly consider the noble Viscount's question.

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