The Dark Side of Shell Shell, Deterding, and Nazi Germany

Chapter 3: Ardent Supporter and Financier of the Third Reich

This chapter examines the role of Royal Dutch Shell and its long-time leader, Sir Henri Deterding, as a supporter and financier of the Third Reich. The point is not to inflate every allegation to its most dramatic form, but to establish that Shell money, Shell influence, and Deterding’s political commitments mattered at a crucial stage in Hitler’s rise. The evidence assembled here suggests that Royal Dutch Shell Group funds directed by its Director-General and one of its founders, Sir Henri Deterding, helped sustain the Nazi movement at a moment when it was vulnerable. Declassified U.S. intelligence records later described Royal Dutch Shell as “a Nazi collaborator that used Hitler’s slave laborers”.62 Deterding won his knighthood in 1920.63 for Shell’s help to the British Admiralty, cleverly fooling German submarines in World War 1 by transporting oil not in tankers, but as ballast instead of water in ordinary ships.64 This was before Sir Henri became politically aligned with Adolf Hitler.65 He was later described as a fervent admirer of Hitler66 and “among the most notorious pro-Nazi…”.67

A New York Times article (published in 1946)68 reported that as early as 1929, the Nazis had begun to try and make friends in Britain and that a firm bond had been established with “Sir Henri Deterding, the oil magnate, and his associates.” In 1933, Sir Henri was said to be “currying favor with Adolf Hitler in the hope of winning oil contracts for Royal Dutch Shell.”69 In 1938 Sir Henri was openly described as being “pro-Nazi”70 and he was later referred to in The New York Times as “a Nazi supporter.”71 His support for Hitler stemmed in part from anti-communism, geopolitical ambition, and the search for oil advantage. Sir Henri, who was at the helm of the oil giant for over 30 years, was himself described at one time as “The Most Powerful Man in the World” – the title of a book by his biographer Glyn Roberts. According to Roberts, Deterding was able, at the height of his powers, to bind the Board of Shell without their knowledge and consent.72 Deterding was also known as an oil Napoleon.73 In practical terms, Deterding and Royal Dutch Shell were almost inseparable.

Deterding has also been described as a “despot.”74 A Time Magazine review75 about the launch of the Glyn Roberts book “THE MOST POWERFUL MAN IN THE WORLD: THE LIFE OF SIR HENRI DETERDING” states:“Roberts thinks his backing for Hitler and his admiration for Mussolini are based on his hatred of communism…” Deterding admired dictators and acted like one himself. “Deterding clearly liked the New Order represented by the Nazis. He considered the notorious Night of the Long Knives in June 1934, when Hitler had a large number of his suspected party opponents brutally murdered, as a necessary step, confessing that it had increased his respect and veneration for the Nazi leader, if such were possible.”76 Shell has itself recognised the potential danger of having a dominant leader. The following is an extract from an article published by Fortune magazine on 4 August, 1997 reporting on some “New Age” self-analysis therapy at Shell: What kind of company chooses a Herkstroter? One with a long history in Europe, where men with too much power have caused world wars. Shell executives say that archive films showing the birthday celebrations of Henri Deterding, Shell’s last strong, single master, are eerily reminiscent of Hitler’s rallies. Indeed, Deterding harbored Nazi sympathies; had he not retired from Shell in 1936, the company’s subsequent history might have been different. “We in Europe have always had a fear of the strong man,” says Shell managing director van den Bergh.77 As we will see, Sir Henri did not retire from Shell in 1936. He remained a director of multiple companies within the “Group” until the day of the death. “Sir Henri was a short, stocky man with an ambitious, energetic, and effervescent personality. His rather large head seemed closely set on his body. Despite a headful of white hair and a bristly, trimmed white mustache, he seemed younger due to his ruddy complexion and black flashing eyes.”78 Deterding had a gift for “financial manipulations”.79 He was also described as a “consummate schemer.”80 Deterding was an honoured friend and supporter of Hitler. He was a personal friend of Field Marshall Göring. They lived near each other in Germany and went shooting together. Deterding also had direct dealings with Dr. Alfred Rosenberg, the chief Nazi ideologue and leader of the Nazi party department for foreign affairs. A New York Times article81 published on 4 November 1934 reported a conversation between Deterding and Rosenberg, described in the article as “Chancellor Hitler’s mouthpiece.” Russia was a subject discussed. In a book published in 1934, “Nazism: An Assault on Civilization,”82 Rosenberg was described on page 223 as “Hitler’s chief of intrigue.” In September 1935, the German Foreign Office seconded one of its staff to Deterding as a personal assistant for political matters.83

In October 1940, The Glasgow Herald announced in its War Casualties column84 that the son of Sir Henri, Lieutenant Henry Deterding, had been reported missing while on active service with the Fleet Air Arm. It said he was the son of the oil king whom Hitler had described as the “great friend of the Germans.” The syndicated article also mentioned that Hitler had sent a wreath to the funeral of Sir Henri. The headline stated: ‘SON OF “NAZIS FRIEND” MISSING.’ The same article, but with a different headline, was published the same day in the Daily Express.85 Because of the volume of evidence assembled here, Shell’s close association with the Nazis is no longer confined to scattered archive articles and out-of-print books. It can be examined in one place. On Shell’s main website shell.com86 there is a “Our history” section and within that, a feature appearing under the headline: “The early 20th century.”87 There is no reference in this material to Shell’s financing of the Nazis, the close relationship between Shell’s supreme leader and the leaders of the Nazis, or Shell’s collaboration with the regime, including anti-Semitic policies against Shell’s employees in Germany. The effect is to leave one of the darkest chapters in the company’s history largely absent from its public self-presentation. Ironically, the driven ruthless man most responsible for the enterprise that later became Royal Dutch Shell Plc was also largely, though not completely, responsible for one of the darkest chapters in its long history.

Notes

62. Link to shellnews.net webpage containing Boston Globe boston.com article published 19 November 2001 under the headline: “CLOAKED BUSINESS” ↩

63. Link to Time Magazine article published 11 January 1937 under the headline: “GERMANY: Petticoat Philanthropy” ↩

64. Link to shellnews.net webpage containing the book “THE SHELL THAT HIT GERMANY HARDEST” by P.G.A. Smith published by “SHELL” Marketing Co. LTD (believed to be in 1920). Nearly 100 pages, with many graphics, so takes some time to load. ↩

65. royaldutchshellplc.com webpage containing an Andrew Rowell article by The Guardian newspaper published 15 November, 1997, under the headline: “Unloveable Shell, the Goddess of oil” Source 1 ↩

66. Extract from an article published by The Times on 23 April 2003 under the headline: “A very British kind of scandal: why Shell is no Enron”: “When the British Shell company merged with Royal Dutch in 1906 it was soon dominated by a single despot, Henri Deterding, a brilliant trader who became increasingly autocratic and ended up a fervent admirer of Hitler.” ↩

67. Extract from notes on page 61 of the book by Webster G. Tarpley and Anton Chaitkin “George Bush: The Unauthorised Biography” original edition 1992: Extract: “Confidential memorandum from U.S. embassy, Berlin, op. cit., chapter 2. Sir Henri Deterding was among the most notorious proNazis of the early war period.”: ISBN:0-943235-05-7 ↩

68. Link to shellnews.net webpage containing New York Times article published 10 January 1946 under the headline: “Propaganda Success in Britain Vaunted by Rosenberg to Hitler” ↩

69. Extract from Time Magazine article published 17 April 1933 under the headline: “GERMANY: Co-ordination”: “While still in Nazi good graces he went to London" called according to rumor by Sir Henri Deterding who was currying favor with Adolf Hitler in the hope of winning oil contracts for Royal Dutch-Shell.” ↩

70. Link to shellnews.net webpage containing New York Times book review by P. W. Wilson published 12 June 1938 under the headline: “Powerful Henri Deterding Who Rivals Standard Oil” He was described at the foot of the second column of the review as being: “pro-Nazi.” ↩

71. Link to shellnews.net webpage containing a New York Times review of a televised mini-series version of “The Prize,” a book by Daniel Yergin broadcast under the title ”The Epic of Oil, Catalyst Of Con ict.” The last sentence of paragraph 9 of the review: “It concentrates especially on the unlikely partnership, out of which was born Royal Dutch Shell, between Marcus Samuel, the Jew from the East End of London who became the Lord Mayor of London, and Henri Deterding, the dashing Dutch oil man who turned into a Nazi supporter in his old age.” ↩

72. Extract from page 369 of the 1991 book “The Prize” by Daniel Yergin: "Sir Henri's word is law,"observed a British official in 1927. "He can bind the Board of the Shell without their knowledge and consent." : ISBN 0-671-79932-0 ↩

73. Link to google news webpage containing an article published by the Meriden Record newspaper on 13 September 1935 under the headline: “Europe’s Oil Napoleon Seen Winner Over U.S. Rivals For World Trade As Ethiopian Concession Fades.” ↩

74. Extract from an article published by The Times on 23 April 2003 under the headline: “A very British kind of scandal: why Shell is no Enron”: “When the British Shell company merged with Royal Dutch in 1906 it was soon dominated by a single despot, Henri Deterding, a brilliant trader who became increasingly autocratic and ended up a fervent admirer of Hitler.” ↩

75. Extract from a Time Magazine review published 27 June 1938 under the headline: “Ruddy Old Gent: THE MOST POWERFUL MAN IN THE WORLD: THE LIFE OF SIR HENRI DETERDING— Glyn Roberts—Covici-Friede ($3).”: "Author Roberts thinks his backing of Hitler and his admiration for Mussolini are based on his hatred of Communism, which was born of frustration when he lost the oil of the Caucasus. And his second wife was a White Russian, his third a German." ↩

76. Extract from page 478 of “A History of Royal Dutch Shell: Volume 1:” “From Challenger to Joint Industry Leader 1890 -1939” by Joost Jonker & Luiten van Zanden published in the UK in 2007 by Oxford University Press. ↩

77. Extract from a Fortune Magazine article published 4 August 1997 under the headline: “WHY IS THE WORLD'S MOST PROFITABLE COMPANY TURNING ITSELF INSIDE OUT? ROYAL DUTCH/SHELL LOOKED AT THE FUTURE AND DIDN'T LIKE THE VIEW. NOW IT IS CHANGING EVERYTHING FROM THE WAY ITS MANAGERS ACT TO THE WAY IT DOES BUSINESS.” ↩

78. Extract from page 320 of “Who Financed Hitler,” a book authored by James and Suzanne Pool first published in Great Britain in 1979 by Macdonald and Jane’s Publishers Limited: ISBN 0 354 04395 1 ↩

79. Extract from page 475 of “A History of Royal Dutch Shell: Volume 1” ↩

80. Extract from page 476 “A History of Royal Dutch Shell: Volume 1” ↩

81. Link to shellnews.net webpage containing a New York Times article published 4 November 1934 under the headline: “PARIS PUSHES PLAN FOR STABLE EUROPE” ↩

82. Extract from page 223 of a book by multiple authors: “Nazism: An Assault on Civilization”: Published by Harrison Smith and Robert Haas. New York. Full extract: “Then there is the League for Ukrainian Independence, of which Hetman Skoropadski, the successor of Simon Petlura, is the chief, Alfred Rosenberg, Hitler's chief of intrigue the patron, and Messrs. Coty, Deterding and Rothermere the nanciers.” ↩

83. From page 478 “A History of Royal Dutch Shell: Volume 1”: Full extract: “From September 1935, the German Foreign Of ce seconded one of its staff to Deterding as a personal assistant for political matters.” A description of Sir Henri Deterding: ↩

84. Link to a royaldutchshellplc.com webpage containing an article published on page 3 of the The Glasgow Herald on 1 October 1940 under the headline:’ SON OF “NAZIS FRIEND” MISSING. ↩

85. Link to a royaldutchshellplc.com webpage containing a Daily Express page 3 article published 1 October 1940 under the headline: “Naval officer son of oil king missing” Source 1 ↩

86. Home page of shell.com ↩

87. Link to shellnews.net webpage containing copy of a webpage - “The early 20th century” from shell.com as of 15 September 2010. ↩