Eastern Aid (Osthilfe)
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Eastern Aid (German: ) was a program of the government of the
Weimar Republic The Weimar Republic, officially known as the German Reich, was the German Reich, German state from 1918 to 1933, during which it was a constitutional republic for the first time in history; hence it is also referred to, and unofficially proclai ...
beginning in 1926 to give financial support to agriculture in Germany's easternmost regions, primarily the eastern provinces of
Prussia Prussia (; ; Old Prussian: ''Prūsija'') was a Germans, German state centred on the North European Plain that originated from the 1525 secularization of the Prussia (region), Prussian part of the State of the Teutonic Order. For centuries, ...
. The intention was that the agricultural estates there, which were suffering financially for a number of reasons, would be able to restructure and reduce their heavy debt loads. The political power of the large estate owners (
Junkers Junkers Flugzeug- und Motorenwerke AG (JFM, earlier JCO or JKO in World War I, English language, English: Junkers Aircraft and Motor Works) more commonly Junkers , was a major German aircraft manufacturer, aircraft and aircraft engine manufactu ...
) led to them reaping the greatest benefits from the program. This policy produced a major scandal in Germany in December 1932 and January 1933, the ''Osthilfeskandal''. A considerable number of Junkers were found out to have wasted the money on what were considered to be luxury items, such as cars and vacations. The ensuing investigations into the scandal also implicated the President of the Republic, General
Paul von Hindenburg Paul Ludwig Hans Anton von Beneckendorff und von Hindenburg (2 October 1847 – 2 August 1934) was a German military and political leader who led the Imperial German Army during the First World War and later became President of Germany (1919†...
. It came to light that the Hindenburg family's highly indebted estate in East Prussia at Neudeck (owned by the president's brother) had been clandestinely bought in 1927 by a number of industrialists and given to the president as a gift, seemingly in exchange for political influence, and that the property had been registered in Hindenburg's son's name, apparently to evade estate taxes. The recipients of the aid, including some of Hindenburg's close friends, were upset by the government's failure to cover up the scandal, as was Hindenburg himself, so that Chancellor
Kurt von Schleicher Kurt Ferdinand Friedrich Hermann von Schleicher (; 7 April 1882 – 30 June 1934) was a German military officer and the penultimate Chancellor of Germany#First German Republic (Weimar Republic, 1919–1933), chancellor of Germany during the Weim ...
lost influence on Hindenburg as a result. After the donation of a further to this property, and after the
Nazi Nazism (), formally named National Socialism (NS; , ), is the far-right politics, far-right Totalitarianism, totalitarian socio-political ideology and practices associated with Adolf Hitler and the Nazi Party (NSDAP) in Germany. During H ...
s came to power, the matter ceased to command attention in the censored press of the
Third Reich Nazi Germany, officially known as the German Reich and later the Greater German Reich, was the German state between 1933 and 1945, when Adolf Hitler and the Nazi Party controlled the country, transforming it into a totalitarian dictat ...
.Otto Meissner, Nuremberg testimony.


References

Politics of the Weimar Republic Economy of the Weimar Republic 1929 in Germany 1930 in Germany Free State of Prussia {{Germany-hist-stub