The Naked Capitalist

by W. Cleon Skousen

  Dr. Quigley Admits the Facts But Tries to Obscure the Devastating Consequences of Outright Betrayal

  “There can be little doubt that the more active academic members of the IPR, the professors and publicists who became members of its governing board (such as Owen Lattimore, Joseph P. Chamberlain, and Philip C. Jessup of Columbia, William W. Lockwood of Princeton, John K. Fairbanks of Harvard, and others) and the administrative staff (which became, in time, the most significant influence in its policies) developed an IPR party line. It is, furthermore, fairly clear that this IPR line had many points in common both with the Kremlin’s party line on the Far East and with the State Department’s policy line in the same area.

  “The interrelations among these, or the influence of one on another, is highly disputed. Certainly no conclusions can be drawn. Clearly there were some Communists, even party members, involved (such as Frederick Vanderbilt Field), but it is much less clear that there was any disloyalty to the United States. Furthermore, there was a great deal of intrigue both to help those who agreed with the IPR line and to influence United States government policy in this direction.

  “But there is no evidence of which I am aware of any explicit plot or conspiracy to direct American policy in a direction favorable either to the Soviet Union or to international communism. Efforts of the radical Right to support their convictions about these last points undoubtedly did great, lasting, and unfair damage to the reputations and interests of many people.”14

  What Did Government Investigations Reveal Concerning IPR?

  Dr. Quigley’s shift of hats from historian to apologist pops up frequently throughout his 1,300-page volume, but nowhere is it more vividly evident than in the passage just quoted.

  In this passage Dr. Quigley has tried to present the IPR party line, the State Department party line and the Soviet party line as three separate entities which just happened to coincide on the China issue. But barely ten pages earlier Dr. Quigley had been boasting how the IPR, a Soviet agent like Alger Hiss and top managers of the U.S. State Department were all interlocked through the London-Wall Street global control groups. He wrote: “Dean Rusk, Secretary of State after 1961, formerly president of the Rockefeller Foundation and Rhodes Scholar at Oxford (1931-1933), is as much a member of this nexus as Alger Hiss, the Dulles brothers, Jerome Greene, James T. Shotwell, John W. Davis, Elihu Root, or Philip Jessup.”15

  And what was the “party line” the members of this “nexus” had evolved which just happened to coincide with that of the Soviet Union? It was simply that 600,000,000 Chinese should be turned over to the Communist bloc after the U.S. had fought the Japanese to keep them free. It was not the “radical right” who damaged the reputation of these particular gentlemen by exposing their “nexus” of IPR-State Department-Soviet intrigue, but the findings of the United States Congress and the investigations of IPR by the FBI.

  For example, toward the close of World War II, the office of the Amerasia magazine published by IPR was ordered investigated by the Attorney General. June 6, 1945, FBI agents searched the Amerasia headquarters and found over 1,800 top-secret documents which had been stolen from government files. Dr. Quigley claimed that he could find no evidence that IPR had engaged in any “plot or conspiracy to direct American policy in a direction favorable either to the Soviet Union or to International Communism.” To reach such a conclusion he had to completely ignore the findings of fact by the bi-partisan Congressional committee which were as follows:

  “During the period 1945-1949, persons associated with the Institute of Pacific Relations were instrumental in keeping United States policy on a course favorable to Communist objectives in China. Persons associated with the IPR were influential in 1949 in giving United States far eastern policy a direction that furthered Communist purposes.”16

  The Reece report listed whole columns of IPR members involved in Soviet intrigue, many of them officers of the U.S. State Department.

  Dr. Quigley asks us to believe that even though there were “some Communists, even party members involved” in IPR, “it is much less dear that there was any disloyalty to the United States.”17

  Here is what the Reece Committee found:

  “The IPR has been considered by the American Communist Party and by Soviet officials as an instrument of Communist policy, propaganda and military intelligence. The IPR disseminated and sought to popularize false information including information originating from Soviet and Communist sources....

  “Owen Lattimore was, from some time beginning in the 1930’s, a conscious articulate instrument of the Soviet conspiracy. Effective leadership by the end of 1934 established and implemented an official connection with G.N. Voitinski, Chief of the Far Eastern Division of the Communist International....

  “The net effect of IPR activities on United States public opinion has been such as to serve internal Communist interests and to affect adversely the interests of the United States.”

  Not to mention the interests of 600,000,000 Chinese!

  One of the singular and amazing things about Dr. Quigley’s book is his willingness to frankly and unashamedly confess some of the most serious acts of subversion by his comrades-in-arms and then think nothing of turning around and flatly denying that they would have had a hand in such a foul and dirty business as betraying people like the Chinese to Communism.

  We have observed above how shrewdly Dr. Quigley tried to obscure the catastrophic consequences of the betrayal of the Chinese, and yet, just over twenty pages earlier he had admitted:

  “There is considerable truth in the [Nationalist] China Lobby’s contention that the American experts on China were organized into a single interlocking group which had a general consensus of a Leftish character. It is also true that this group, from its control of funds, academic recommendations, and research or publication opportunities, could favor persons who accepted the established consensus and could injure, financially or in professional advancement, persons who did not accept it.

  “It is also true that the established group, by its influence on book reviewing in The New York Times, the Herald Tribune, the Saturday Review, a few magazines, including the ‘liberal weeklies,’ and in the professional journals, could advance or hamper any specialist’s career. It is also true that these things were done in the United States in regard to the Far East by the Institute of Pacific Relations, that this organization had been infiltrated by Communists, and by Communist sympathizers, and that much of this group’s influence arose from its access to and control over the flow of funds from financial foundations to scholarly activities.”18

  In just a moment we will take a look at some of these secret, behind-the-scenes manipulators who poured millions of dollars into pro-Communist, pro-Socialist subversion of the United States and her allies.

  Dr. Quigley Says Anti-Communists Shoot Below the Real Target

  Throughout his book, Dr. Quigley ridicules the stupid “Radical Right” (his favorite epithet for ordinary Americans trying to preserve their Constitutional prerogatives) and says they are missing the real target when they blame all the subversion and chicanery on the Communists.19 One would expect him to go ahead and flatly deny that any genuine conspiracy exists, but not Dr. Quigley.

  His attack on the “Radical Right” is primarily because of their “ignorance” in failing to recognize the vast, secret network of master planners for whom the Communists are working, particularly in Europe and the United States. in this connection and as part of his “confessional,” Dr. Quigley describes with obvious satisfaction the antics of a notorious behind-the-scenes operator named Jerome D. Greene.

  How Jerome Greene Rose to Power in the London-New York Axis

  “One of the most interesting members of this Anglo-American power structure was Jerome D. Greene (1874-1959). Born in Japan of missionary parents, Greene graduated from Harvard’s college and law school by 1899 and became secretary to Harvard’s president and corporation in 1901-1910. This gave him contacts with Wall Street
which made him general manager of the Rockefeller Institute (1910-1912), assistant to John D. Rockefeller in philanthropic work for two years, then trustee to the Rockefeller Institute, to the Rockefeller Foundation, and to the Rockefeller General Education Board until 1939.

  “For fifteen years (1917-1932) he was with the Boston investment banking firm of Lee, Higginson, and Company, most of the period as its chief officer, as well as with its London branch. As executive secretary of the American section of the Allied Maritime Transport Council, stationed in London in 1918, he lived in Toynbee Hall, the world’s first settlement house, which had been founded by Alfred Milner and his friends in 1884. This brought him in contact with the Round Table Group in England, a contact which was strengthened in 1919 when he was secretary to the Reparations Commission at the Paris Peace Conference. Accordingly, on his return to the United States he was one of the early figures in the establishment of the Council on Foreign Relations, which served as the New York branch of Lionel Curtis’s Institute of International Affairs.”20

  Jerome Greene Is Identified As the Spider In the IPR Web

  “Greene is of much greater significance in indicating the real influence within the Institute of Pacific Relations than any Communists or fellow travelers. He wrote the constitution for the IPR in 1926, was for years the chief conduit for Wall Street funds and influence into the organization, was treasurer of the American Council for three years, and chairman for three more, as well as chairman of the International Council for four years.

  “Jerome Greene is a symbol of much more than the Wall Street influence in the IPR. He is also a symbol of the relationship between the financial circles of London and those of the eastern United States which reflects one of the most powerful influences in twentieth-century American and world history. The two ends of this English-speaking axis have sometimes been called, perhaps facetiously, the English and American establishments.

  “There is, however, a considerable degree of truth behind the joke, a truth which reflects a very real power structure. It is this power structure which the radical right in the United States has been attacking for years in the belief that they were attacking the Communists. This is particularly true when these attacks are directed, as they so frequently are, at ‘Harvard Socialism,’ or at ‘Left-wing newspapers’ like The New York Times, and the Washington Post, or at foundations and their dependent establishments, such as the Institute of International Education.”21

  There Is a Conspiracy Bigger Than the Communist Conspiracy

  “There does exist, and has existed for a generation, an international Anglophile network which operates, to some extent, in the way the radical right believes the Communists act. In fact, this network which we may identify as the Round Table groups, has no aversion to cooperating with the Communists, or any other groups, and frequently does so. I know of the operations of this network because I have studied it for twenty years and was permitted for two years, in the early 1960’s, to examine its papers and secret records. I have no aversion to it or to most of its aims and have, for much of my life, been close to it and to many of its instruments.“22 (We have quoted this passage earlier, but repeat it here because it pertains most significantly to the subject we are discussing.)

  Chapter Footnotes

  << 1. Quigley, Tragedy And Hope, p. 954.

  << 2. Quigley, Tragedy And Hope, p. 954.

  << 3. Quigley, Tragedy And Hope, p. 954, emphasis added.

  << 4. The figure of twenty million dollars is cited by his grandson, Jacob Schiff, in the New York Journal-American for February 3, 1949.

  << 5. For additional details see Czarism and the Revolution by Arsene de Goulevitch and also Western Technology and Soviet Economic Development—1917-1930 by Anthony C. Sutton, Hoover Institute, Stanford University, 1968.

  << 6. Quigley, Tragedy And Hope, pp. 954-955.

  << 7. Quigley, Tragedy And Hope, p. 938.

  << 8. Quigley, Tragedy And Hope, p. 945.

  << 9. Quigley, Tragedy And Hope, p. 945.

  << 10. Quigley, Tragedy And Hope, pp. 945-946.

  << 11. Quigley, Tragedy And Hope, p. 946.

  << 12. Quigley, Tragedy And Hope, pp. 946-947, emphasis added.

  << 13. Quigley, Tragedy And Hope, p. 947.

  << 14. Quigley, Tragedy And Hope, pp. 947-948, emphasis added.

  << 15. Quigley, Tragedy And Hope, p. 938.

  << 16. Reece Committee Report, Summary of Findings.

  << 17. Quigley, Tragedy And Hope, p. 948.

  << 18. Quigley, Tragedy And Hope, p. 935, emphasis added.

  << 19. See, for example, Quigley, Tragedy And Hope, p. 949.

  << 20. Quigley, Tragedy And Hope, p. 955, emphasis added.

  << 21. Quigley, Tragedy And Hope, p. 956, emphasis added.

  << 22. Quigley, Tragedy And Hope, p. 950, emphasis added.

  Chapter Six

  The Council on Foreign Relations

  Now it is time to take a closer look at the actual conspiratorial machinery of the global network of secret power, particularly as it relates to the domestic and foreign policy of the United States. As we have already discovered, the Secret Society set up by Cecil Rhodes in conjunction with Rothschild, Morgan, Carnegie, Rockefeller, et al., was directed by a small highly secret Round Table Group. This secret group then set up fronts for the purposes of carrying forward its conspiratorial schemes. The United States front was called the Council on Foreign Relations. As we pointed out earlier, this is the way Dr. Quigley says it came into being:

  “At the end of the war of 1914, it became clear that the organization of this system [the Round Table Group] had to be greatly extended. Once again the task was entrusted to Lionel Curtis who established, in England and each dominion, a front organization to the existing local Round Table Group. This front organization, called the Royal Institute of International Affairs, had as its nucleus in each area the existing submerged Round Table Group. In New York it was known as the Council on Foreign Relations, and was a front for J.P. Morgan and company in association with the very small American Round Table Group.

  “The American organizers were dominated by the large number of Morgan ‘experts’ including Lamont and Beer, who had gone to the Paris Peace Conference and there became close friends with the similar group of English ‘experts’ which had been recruited by the Milner group. In fact, the original plans for the Royal Institute of International Affairs and the Council on Foreign Relations were drawn up in Paris.”1

  Although the Council on Foreign Relations is not the secret inner circle, its front activities are kept as mysterious as they are powerful. Practically no publicity is tolerated. If the student searches the recent periodicals for articles on the CFR, he is likely to find nothing. However, a more or less “official” account of what the Council wanted on the record was published by the Christian Science Monitor, September 1, 1961. This paper, according to Dr. Quigley, is part of the CFR-related press and therefore the article might be considered an official presentation. Here is the way the article opens up:

  “On the west side of fashionable Park Avenue at 68th Street [New York City] sit two handsome buildings across the way from each other. One is the Soviet embassy to the United Nations.... Directly opposite on the southwest corner is the Council on Foreign Relations—probably one of the most influential semi-public organizations in the field of foreign policy.” (emphasis added)

  The CFR headquarters building was a gift of the Rockefellers.

  The article states that “Its roster ... contains names distinguished in the field of diplomacy, government, business, finance, science, labor, journalism, law and education. What united so wide-ranging and disparate a membership is a passionate concern for the direction of American foreign policy.”

  The CFR roster has a formal membership of 1,400 elite personalities carefully selected for their usefulness from all of the nation’s key professions. These are screened and trained for decision-making positions in the Federal Government. The ar
ticle states, “Almost half of the Council members have been invited to assume official government positions or to act as consultants at one time or another.”

  One other article may be found in one of the older magazines concerning the CFR. In Harper’s of July, 1958, will be found an article entitled, “School For Statesmen,” by CFR member, Joseph Kraft. He describes the CFR in these terms: “It has been the seat of ... basic government decisions, has set the context for many more, and has repeatedly served as a recruiting ground for ranking officials.” In this article, Kraft makes the point that CFR trains its members in a specific line of strategy to be carried out as part of the team in Washington.

  What is this strategy?

  Kraft points out that the chief architect for the formal creation of CFR was the network’s White House aid to President Wilson, “Colonel” Edward Mandell House, who worked hand in glove with Jerome Greene. House admitted writing Philip Dru, Administrator which described the creation of an international grouping of powers and establishing “Socialism as dreamed by Karl Marx.” Kraft states that the carefully selected cadre of CFR supporters brought in to help House were Walter Lippmann, John Foster Dulles, Allen Dulles and Christian Herter. These were all with House at the Paris Peace Conference and House was the host for the Round Table Groups, both English and American, when they met on May 19, 1919, in the Majestic Hotel, Paris, to organize the front organizations for various parts of the world, the CFR in the United States being one of the most important.

  CHARTER MEMBERS OF THE C.F.R.

  Christian Herter who became Secretary of State.

  John Foster Dulles who became Secretary of State.