*** From [EMAIL PROTECTED] (Miroslaw J. Wiechowski)

And that's How the Trains Ran on Time 
By Edwin Black 

Mr. Black is the author of the Pulitzer Prize-nominated international
best-seller IBM and the Holocaust: the Strategic Alliance Between Nazi
Germany and America's Most Powerful Corporation (Crown Books 2001 and
Three Rivers Press 2002), just out in paperback. 


When Hitler came to power, the world saw a menace to humanity. But IBM
saw Nazi Germany as a lucrative trading partner. Quickly, its president
Thomas J. Watson engineered a strategic business alliance between IBM
and the Reich, beginning in the first days of the Hitler regime and
continuing right through WWII. This alliance instantly catapulted Nazi
Germany to become IBM's most important customer outside the US. As part
of that strategic alliance, IBM and the Nazis jointly designed, and IBM
exclusively produced, technological solutions that enabled Hitler to
accelerate and in many ways automate key aspects of his persecution of
the Jews--from the initial identification and social expulsion, to the
confiscation and ghettoization, to the deportation and ultimately
extermination. 

Recently discovered Nazi documents and Polish eyewitness testimony make
clear that IBM's alliance with the Third Reich went far beyond its
German subsidiary. During the Rape of Poland and the Polish Holocaust,
which killed millions and plundered a nation, IBM technology was a key
factor. That custom-tailored technology was provided not through the
German subsidiary, but directly through a new special Polish subsidiary
reporting to IBM New York, mainly at its headquarters at 590 N. Madison
in Manhattan.

And that's how the trains ran on time to Auschwitz.

GOOD NEWS FOR IBM 

Watson learned early on that a government in reorganization, and indeed
a government tightly monitoring its society, was good news for IBM. More
forms, more reports, more registrations, more statistics-IBM thrived on
red tape. 

In 1933, the Third Reich offered Watson the opportunity to cater to
intense Nazi government control, supervision, surveillance, and
regimentation on a plane never before known. The fact that Hitler
planned to extend his Reich to other nations only magnified the
prospective profits. The technology was almost exclusively IBM's to
purvey because the firm controlled about 90 percent of the world market
in punch cards and sorters. 

As for the moral dilemma, it simply did not exist for IBM. Supplying the
Nazis with the customized technology and joint-planning they needed was
not even debated. In thousands of IBM-related documents that have been
reviewed, there were vigorous and on-going efforts to preserve IBM's
monopoly in the Nazi market, exclude competitors and increase contracts
to meet sales quotas. But not a single sentence has been uncovered
questioning the morality of automating the Third Reich or pausing the
relationship even as headlines proclaimed the mass murder of Jews.

Just after Hitler assumed power, Nazi Germany quickly became IBM's most
valuable client outside the U.S. IBM's German subsidiary was Deutsche
Hollerith Maschinen Gesellschaft, known by the acronym, Dehomag. Watson
tightly managed the lucrative German operations. Watson traveled to
Berlin at least twice annually from 1933 until 1939 to personally
supervise Dehomag. When German managers wanted to paint a corridor, they
awaited his specific permission. All major German correspondence was
translated for review by the New York Office, Watson himself often
personally reading the material. Before major new accounts were
accepted, Watson had to assent. He insisted on making direct verbal
instructions to his German managers the rule rather than exception--even
in place of major agreements. Not infrequently Dehomag managers objected
to his "domination," especially since the branch's by-laws gave him a
personal veto over any action by the German subsidiary. Watson's
auditors continuously tracked the source and status of every mark and
pfennig--in one typical case exchanging numerous trans-Atlantic letters
over the disposition of just a few dollars. Understandably, IBM's
lawyers and managers in Berlin personally updated Watson constantly, and
generally signed their reports, "Awaiting your further instructions." 

No machines were sold--only leased. IBM was the sole source of all punch
cards, and spare parts, and serviced the machines on site either
directly or through its authorized dealer network or other field
trainees. There were no universal punch cards. Each series was
custom-designed by IBM engineers not only to capture the information
going in, but also to tabulate the information the Nazis wanted to come
out. For example, one series of punch cards was designed not only to
record religion, national origin and mother tongue, but also special
categories including: Jew, Polish language, Polish nationality, the fur
trade as an occupation, and Berlin. Nazis could quickly cross-tabulate
exactly how many Berlin furriers were Jews of Polish extraction.
Railroad cars, which could take two weeks to locate and route, could be
swiftly dispatched in just 48 hours by means of a vast network of punch
card machines. IBM services coursed through the entire German
infrastructure throughout Europe. 

World War II broke out on September 1, 1939 when Germany invaded Poland.
Germany annexed northwestern Poland. The remaining Polish territory was
treated as "occupied" and called the "General Government." That
northwestern quadrant was serviced by IBM's German subsidiary, Dehomag.
In annexed Poland, Dehomag mainly serviced the payroll of Silesian coal
mines and heavy industry. 

WATSON BUSINESS MACHINES

At about that time, IBM NY established a special new subsidiary, totally
separate and apart from its German subsidiary. IBM's new Polish company
was called Watson Business Machines. Its sole purpose was to service the
Nazi occupation during the rape of Poland. The Polish subsidiary was
also known to the Nazis as Watson B.romaschinen, the German equivalent
of Watson Business Machines. The enterprise would require dozens of
custom-wired punch card machines, and millions of proprietary punch
cards especially designed and printed for each application. At the time,
it was still completely legal for IBM to service the Third Reich--and it
remained legal until just before America entered the war in December
1941.

The rape of Poland was no secret to IBM executives. From the outset,
worldwide headlines reported barbarous massacres, rapes, inflicted
starvation, systematic deportations, and the resulting unchecked
epidemics. As early as September 13, 1939, the New York Times reported
the Reich's determination to make Polish Jewry disappear with a headline
declaring, "Nazis Hint Purge of Jews in Poland." A subhead declared:
"3,000,000 Population Involved." The article quoted the German
government's plan for the "removal of the Polish Jewish population from
the European domain." The Times then added, "How ... the 'removal' of Jews
from Poland [can be achieved] without their extermination ... is not
explained." 

But Germany had plans. Polish Jews, during a sequence of sudden
relocations, were to be catalogued for further action in a massive
cascade of repetitive censuses and registrations with up-to-date
information being instantly available to various Nazi planning agencies
and occupation offices. How much usable forced labor for armament
factories and useful skills could they generate? How many thousands
would die from month to month under the new starvation regimen? A
spectrum of Nazi census, registration and statistical tabulation was
performed on custom-made IBM punch card programs and machinery.

At first, IBM's involvement with the rape of Poland was managed through
its German subsidiary, Dehomag. On September 9, 1939, Dehomag general
manager Hermann Rottke wrote directly to Watson in New York asking for
advanced alphabetizers. He reminded him, 

During your last visit in Berlin at the beginning of July, you made the
kind offer to me that you might be willing to furnish the German company
machines from Endicott [New York] in order to shorten our long delivery
terms . . .You have complied with this request, for which I thank you
very much, and have added that in cases of urgent need, I may make use
of other American machines . . . 

You will understand that under today's conditions, a certain need has
arisen for such machines, which we do not build as yet in Germany.
Therefore, I should like to make use of your kind offer and ask you to
leave with the German company . . . the alphabetic tabulating machines ...

On September 28, 1939, the day after a vanquished Warsaw formally
capitulated, IBM's European general manager in Geneva, J. W. Schotte,
telephoned Berlin to confirm Watson's permission. Company notes record
the "friendly spirit" of the call. 

Meanwhile, Reinhard Heydrich, Chief of Himmler's Security Service, the
SD, circulated a top secret Express Letter to the chiefs of his
murderous Einsatzgruppen, operating in the occupied territories.
Heydrich's September 21, 1939 memo was captioned: "The Jewish Question
in the Occupied Territory." It began, "I would like to point out once
more that the total measures planned, (i.e., the final aim) are to be
kept strictly secret." 

The first step, the memo explained, was population control through a
sequence of strategic censuses and registrations. First, Jews were to be
relocated to so-called concentration towns which are "either at railroad
junctions or at least lie on a railway." Addressing the zone covered by
Einsatzgruppe I, from east of Krakow to the former Slovak-Polish border,
Heydrich directed, "Within this territory, only a temporary census of
Jews need be taken." 

Heydrich demanded that "the chiefs of the Einsatzgruppen report to me
continually regarding ... the census of Jews in their districts...." 

Shortly thereafter, Heydrich sent a follow-up cable to his occupying
forces in Poland, Upper Silesia, and Czechoslovakia. This cable outlined
how a new census scheduled for December 17, 1939 would escalate the
process from mere identification and cataloging to deportation and
execution as people were rapidly moved into Polish ghettos to await the
next step. 

Heydrich's memo, entitled, "Evacuation of the New Eastern Provinces,"
decreed: 

"The evacuation of Poles and Jews in the new Eastern Provinces will be
conducted by the Security Police ... The census documents provide the
basis for the evacuation. All persons in the new provinces possess a
copy. The census form is the temporary identification card giving
permission to stay. Therefore, all persons have to hand over the card
before deportation. . . . anyone caught without this card is subject to
possible execution.... It is projected that the census will take place on
December 17, 1939." 

How long would it take to quantify and organize the deportation of
millions from various regions across Eastern Europe? Using paper and
pencil could take years. Relying upon the lightning speed of Hollerith
machines, it took just days. Nazi Germany employed only one method for
conducting a census: IBM punch cards processes, each one custom-designed
to the specific census.

NEW YORK'S CONTROL OF THE MACHINES 

IBM's involvement in Nazi-occupied Poland continued, but now through a
special New York-controlled subsidiary known as Watson Business
Machines, newly headquartered at Kreuz 23 in Warsaw. 

An important Watson Business Machines customer site, newly discovered,
was the Hollerith Department of Polish Railways, located at 22 Pawia
Street in Krakow. This office kept tabs on all trains in the General
Government, including those which sent Jews to their death in Treblinka
and Auschwitz. Leon Krzemieniecki is probably the only man still living
who worked in that Hollerith Department. It must be emphasized that
Krzemieniecki did not understand any of the details of the genocidal
train destinations. Indeed his duties required tabulating information on
all trains, from ordinary passenger to freight trains. The high-security
five-room office, guarded by armed railway police, was equipped with
fifteen punchers, two sorters, and a tabulator "bigger than a sofa." 

Fifteen Polish women punched the cards and loaded the sorters. Three
German nationals supervised the office, overseeing the final tabulations
and summary statistics in great secrecy. Handfuls of print-outs were
reduced to a small envelope of summary data, which was then delivered to
a secret destination. Truckloads of the preliminary printouts were then
regularly burned, along with the spent cards, Krzemieniecki recalls. 

As a forced laborer, Krzemieniecki was compelled to work as a "sorter
and tabulator" ten hours per day for two years. He never realized in any
way that his work involved the transportation of Jews to gas chambers.
"I only know that this very modern equipment made possible the control
of all the railway traffic in the General Government," he has said. 

Krzemieniecki recounts that an "outside technician," who spoke German
and Polish and "did not work for the railroad," was almost constantly on
site to keep the machines running. The technician generally undertook
major maintenance on the machines approximately once each month. 

IBM spokesman Carol Makovich in New York repeated the same official
statement she issued more than a year ago: "IBM does not have much
information about this period."

IBM's tailored railroad management programs, several million
custom-designed punch cards printed at IBM's 6 Rymarska print shop
across from the Warsaw Ghetto, and the railway's leased machines were
not under the German subsidiary, but the New York-controlled subsidiary
in Warsaw. The distinction is important. Since the disclosures about
IBM's involvement in the Holocaust first surfaced in February 2001, the
company has continually pointed to supposed lack of control of its
German subsidiary. But Watson Business Machines was established in
Poland by IBM New York after the Nazi invasion to profitably service the
Reich's plunder and ethnic cleansing programs.

"I knew they were not German machines," recalled Krzemieniecki. "The
labels were in English... The person maintaining and repairing the
machines spread the diagrams out sometimes. The language of the diagrams
of those machines was only in English." 

I asked Krzemieniecki if the machine logo plates were in German, Polish,
or English. He answered "English. It said 'Business Machines.'" I asked,
"Do you mean, 'International Business Machines?'" Krzemieniecki replied,
"No, 'Watson Business Machines.'" That was the correct answer. In
Poland, IBM NY's new subsidiary operated under the German legal name:
Watson B.romaschinen. But the Polish machines proudly bore logo tags
with the subsidiary's name in English: Watson Business Machines. Watson
created several IBM subsidiaries named after himself, each one strictly
confined to one national territory. Watson Belge was the Belgian
subsidiary. Watson Italiana served as the Italian company. In Sweden, it
was Svenska Watson. In many places, the business names Watson and IBM
were synonymous and inseparable. 

Dwarfing the railroad operation in Poland was the massive Hollerith
statistical center at 24 Murnerstrasse in Krakow, staffed by more than
500 punching and tabulating employees and dozens of machines. New
research has discovered a previously unknown Berlin agency, the Central
Office for Foreign Statistics and Foreign Country Research, which
continuously received detailed data from the Statistics Office in
Krakow. New discoveries about this office answer questions about where
much of the data for all of Poland was processed.

Hollerith-equipped Nazi offices had been operating across occupied
Poland from the day of invasion on September 1, 1939. America was not in
the war. Hence, IBM maintained its complete commercial support for the
Hitler regime throughout the initial rape of Poland. As part of this
strategic commercial support, IBM NY agreed to an installation of Nazi
statistical machines so massive it was not called a Hollerith
Department, but a Hollerith Gruppe. This vital installation would permit
the Nazis to organize the systematic looting and subjugation of Poland,
as well as implement other plans for Polish citizens.

THE WIZARD OF STATISTICS 

By November 2, 1939, the Reich's Jewish-population statistics wizard,
Fritz Arlt, had been appointed head of the Population and Welfare
Administration of the "General Government." Arlt, a Hollerith expert and
a colleague of Eichmann, edited his own statistical publication,
Political Information Service of the General Government. The publication
featured such detailed data as Jewish population per square meter with
sliding projections of decrease resulting from such imposed conditions
as forced labor and starvation. One Arlt article asserted, "We can count
on the mortality of some subjugated groups. These include babies and
those over the age of 65, as well as those who are basically weak and
ill in all other age groups." 

Quickly, the data-hungry Nazis ordered a Central Statistics Office
established in Krakow. By April 1940, the Nazis formed a working group
comprised of a single German statistics expert assisted by former
employees of the Polish Statistical Service. This group, along with all
previously supplied Hollerith machines and staff, were relocated from
Warsaw to the new Nazi agency in Krakow. 

By September 1940, the Reich issued a Decree for Statistics in Poland,
creating the new expanded "Statistics Office." Within a few months, the
Krakow Statistics Office at 24 Murnerstrasse subsumed most other
statistical operations in Poland. The Statistics Office was divided into
six distinct groups-Group I: Administration; Group II: Population and
Culture; Group III: Food and Agriculture; Group IV: Economic Trade and
Transportation; Group V: Social Statistics; and Group VI: Finance and
Tax. A November 30, 1941, Statistics Office report explains: "The
Hollerith Gruppe area of operation stretches across all subject areas,"
adding that a major expansion plan would see staffing rise to 500
persons within a month. 

The expansion was dependent on more leased machines, spare parts,
company technicians, and a continued, guaranteed supply of millions of
additional IBM cards. Because backlogged orders for Hollerith machines
required a year or more to deliver, IBM's long-term supply commitment
almost certainly dated to the first days of World War II. Indeed, that
November 30, 1941 Statistics Office report was written just weeks after
IBM's European general manager, Werner Lier, visited Berlin in early
October 1941 to oversee IBM NY's deployment of machines in Poland and
other countries. In two detailed reports about European operations,
written from Berlin and sent to Watson personally as well as the senior
staff in New York, Lier reported moving a small group of Polish machines
into Romania for the Jewish census there. But other Holleriths took
their place.

That Krakow Statistics Office's November 30, 1941 report assured Berlin:
"the installation of the equipment necessary for the work of the
Hollerith Gruppe has commenced. It is estimated that the equipment will
be ready for use by the end of the year, and that training of the
prospective employees can begin." 

The Statistics Office also assured Berlin that its Hollerith Gruppe
would employ equipment more modern than the old IBM machinery found in
most pre-war Polish data agencies, thus allowing the Nazi office to
launch a plethora of "large-scale censuses." Everything would be
counted--and often. "The most important and complex census, the
population and occupational census, has been in preparation since the
beginning of the year," the report specified. 

In addition to special censuses, the report enumerated a long list of
"continuous statistical surveys," including those for population,
domestic migration, infectious disease, and causes of death. Moreover,
regular food and agriculture surveys were "coupled with summary surveys
of the population and ethnic groups." Tabulating food supplies against
ethnic numbers allowed the Nazis to ration caloric intake as they
subjected the Jewish community to progressive starvation. 

The Statistics Office's November 30, 1941 report concluded with the
statement, "Our work is just beginning to bear fruit." 

HOW IBM CONTINUED EARNING PROFITS AFTER PEARL HARBOR 

Once the U.S. entered the war after December 10, 1941, the Reich
appointed Hermann Fellinger, a Nazi devoted to IBM, as enemy property
custodian. He maintained the original staff and managers, keeping Watson
Business Machines productive for the Reich, and profitable for IBM NY.
The Polish subsidiary continued to operate efficiently, but now reported
to IBM's Geneva office, and from there to New York. The company was not
looted, its leased machines were not seized. So-called "royalties" were
remitted to IBM through Geneva. Lease payments and profits were
preserved in special accounts. After the war, IBM recovered all its
Polish profits and machines. 

Contacted about IBM's Polish subsidiary's involvement in the Polish
Holocaust, IBM spokesman Carol Makovich in New York repeated the same
official statement she issued more than a year ago: "IBM does not have
much information about this period." No matter how many times asked,
Makovich simply repeated the phrase. That phrase is the key assertion of
IBM's six-paragraph sole statement on the topic, asserting total lack of
information, issued more than a year ago and still on its website.
Makovich's obfuscation is in line with IBM's long history since World
War II of obstructing or otherwise not cooperating with virtually every
major independent author writing about its history, according to
numerous published introductions, prefaces and acknowledgements. 

But 21st century silence cannot alter the historical documentation. A
tangle of subsidiaries throughout Europe helped IBM reap the benefits of
its partnership with Nazi Germany. It was never about the anti-Semitism,
never about Nazism. It was always about the money. As far as IBM was
concerned, "business" was its middle name. 

Copyright Edwin Black 2002 
 


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