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Red Plunder - Sean McMeekin details the staggering thievery of Lenin and the Bolsheviks.

City Journal ^ | 24 December 2008 | Adam Kirsch

Posted on by neverdem

Historys Greatest Heist: The Looting of Russia by the Bolsheviks, by Sean McMeekin (Yale University Press, 336 pp., $38)

Since 2006, visitors to the NeueGalerie, the boutique museum of German and Austrian art in New York City, have had the chance to view one of Gustav Klimts most celebrated paintingshis seductive, gold-spangled portrait of Adele Bloch-Bauer. For the 70 years before that, however, you would have had to go to Viennas Austrian Gallery to see Klimts masterpiece. Thats because the painting, along with four other Klimts the Bloch-Bauer family owns, was stolen by the Nazis after the Anschluss, and retained by the Republic of Austria after World War II ended. It took another six decades for the Austrian courts to rule that the Klimt had to be returned to Adele Bloch-Bauers rightful heir, who was 90 years old when she finally reclaimed her familys property and sold it to the NeueGalerie. The wheels of justice ground very slowly in that famous case, but in the endthanks in part to increased public awareness of Nazi lootingjustice was done.

At the National Gallery in Washington, DC, however, the masterpieces on the wall have a different story to tell. When visitors marvel at the jewels of that collectionJan van Eycks Annunciation, Botticellis Adoration of the Magi, the five Rembrandtsthey are benefiting, unwittingly in most cases, from a historical crime that puts even the Nazis looting to shame. The core of the National Gallerys collection was bequeathed to the nation by Andrew Mellon, the industrialist and Treasury secretary who helped to start the museum. But Mellons masterpieces started out on the walls of the Hermitage in St. Petersburg. They were stolen, along with an incalculable quantity of other art objects, religious icons, jewels, silver plate, bonds, and cash, by the Bolsheviks who seized power in Russia in November 1917. And they made their way to the West, along with the rest of the nations accumulated treasures, thanks to European middlemen, who laundered Soviet loot as surely as the Swiss banks laundered Nazi gold.

Thats the powerful and surprising argument that Sean McMeekin makes in Historys Greatest Heist, his careful tally of the world-historical theft that Lenin and his followers carried out between 1917 and 1922. The surprise consists in McMeekins relentless insistence on a historical truth still not automatically accepted: the moral equivalence of the Nazi Party and the Soviet Communist Party. Yes, in the abstract, most thoughtful people would acknowledge that Lenins and Stalins crimes rivaled Hitlers, that the Gulag was as evil as the concentration camp. But while Nazism is treated as a crime whose effects ought to be reversed, Communism is granted the grudging respect we give a historical fait accompli. In other words, no one is about to sue the National Gallery to demand that the Rembrandts go back to Russia.

As McMeekin shows in his formidably documented, morally impassioned book, the Russian Revolution benefited from the beginning from such Western acquiescence. The Bolsheviks could never have survived their first years in power without the connivance of Western European governments, industrialists, and financiers. Thats because their first act on seizing power, in a coup widely opposed by the Russian people, was deliberately to destroy Russias economy, leaving the regime wholly dependent on foreign financing. McMeekin shows that, for all their expertise in dialectical materialism, the Bolsheviks had not the slightest idea how a modern economy or financial system worked. With the decree of December 27, 1917, abolishing private banks and repudiating government bonds, they effectively destroyed the nations wealth, along with any incentive for investors to invest or workers to work. We find ourselves in a lunatic asylum, wrote the manager of the Russian and English Bank.

The result was wholly predictable: Russia went from being the worlds largest exporter of grain to the brink of mass starvation, a crisis averted only thanks to the American Relief Administration of Herbert Hoover. The population of Petersburg fell by 80 percent; the streets of Moscow were not cleaned for three years. If the principal function of most governments is to cultivate law and public order, McMeekin writes, that of Lenins was precisely the opposite: to eradicate all existing law and institutions and to encourage class war.

With the nations economy wrecked and its banking system abolished, however, the Bolsheviks had no way to raise funds except by selling whatever they could confiscate to foreign buyers. Accordingly, they acted less like a government than like a gang of thieves, but not especially competent ones. They could not, for instance, manage to open the safe-deposit boxes in most Russian banks; they were reduced to issuing a decree commanding box owners to turn over their keysthat is, to help the government rob them.

What they did manage to confiscatefrom banks, churches, and private owners, most notably the Romanovsthey could sell only in the way thieves fence their loot: surreptitiously and at a huge discount. McMeekins book bristles with the names of Soviet emissaries who sneaked into Sweden and Switzerland with suitcases full of cash and jewels. The Swedish mint worked overtime melting down Russian gold and restamping it so that it could be sold in London and New York. And while the Entente powers officially banned such sales, they effectively did little to prevent them; there was too much money to be made. If Swiss banks are now held in contempt for their role in World War II, McMeekin argues, many Swedish banks ought to be just as ashamed of their role in the post-Versailles period.

McMeekins chief Western villain, however, is David Lloyd George, the English prime minister, who decided to lift the Royal Navys blockade of Russia just as the Civil War seemed to be turning against the Reds. (During the same period, Lloyd Georges impetuous decision first to back, then to abandon, Greek aggression in Turkey led to a near-genocide there.) Even the Conservative leader, Andrew Bonar Law, asked, What is the use of our saying that we wont do trade with the USSR? Only Winston Churchill remained steadfast, refusing to meet with the Soviet trade delegate when the rest of the Cabinet welcomed him.

It was the logic of capitalism at its worst, and an excellent demonstration of how capitalist priorities can undermine democratic ethics. Someone was going to make money selling weapons and supplies to the Soviets, European statesmen reasoned, so it might as well be us. The Germans reached the same conclusion, signing the Treaty of Rapallo with the USSR in 1922, just a year after the German Communist Party had tried to overthrow the Weimar government. Historys Greatest Heist is filled with vivid images of theft and spoliation, of warehouses full of jewels and briefcases stuffed with rubles. But the real value of the book is that it shows just how well the West lived up to Lenins cynical prophecy: The capitalists will sell us the rope with which to hang them.

Adam Kirsch is a senior editor at The New Republic and the author of Benjamin Disraeli.



TOPICS:

Crime/Corruption

Editorial

Foreign Affairs

Politics/Elections

KEYWORDS:

bolsheviks

communism

lenin





To: neverdem; informavoracious; larose; RJR_fan; Prospero; Conservative Vermont Vet; ...

To: neverdem

The Bolsheviks could never have survived their first years in power without the connivance of Western European governments, industrialists, and financiers. Thats because their first act on seizing power, in a coup widely opposed by the Russian people, was deliberately to destroy Russias economy, leaving the regime wholly dependent on foreign financing. Pretty much what has so many people scared today.



To: neverdem

To: decimon

That is what Socialism/Communism is all about: theft. Stealing other people’s property and giving it to your friends. That is all is ever has been. Think of it as Organized Crime on a massive level.



To: neverdem

The Communists confiscated all the gold and silver plate, jeweled icons and furniture from every church, convent and monastery in Russia and turned the siezed property into stables and warehouses to humiliate the believers. Most of the priests and nuns were sent to gulags where almost all died or were murdered. One of the reasons the Germans were greeted with open arms in the early part of World War 2 by a large portion of the Russian, Ukrainian and White Russian populations was because as soon as they reached a major population center they reopened the churches. This changed in the later years after Nazi party fanatics replaced the Wehrmacht.



To: neverdem

Thanks for a great post, which is "must" reading. For example, the following also describes today's free-market extremists' rationale for trading with China, or the justification for selling wheat to the Soviet Union in the 1960s and 70s: It was the logic of capitalism at its worst, and an excellent demonstration of how capitalist priorities can undermine democratic ethics. Someone was going to make money selling weapons and supplies to the Soviets, European statesmen reasoned, so it might as well be us. And this is true of today's American socialists (Demonrats) as well: their first act on seizing power...was deliberately to destroy Russias economy, leaving the regime wholly dependent on foreign financing... the Bolsheviks had not the slightest idea how a modern economy or financial system worked.



To: neverdem

No surprise here, just specifics. Russia was the wealthiest nation in the world in 1917. It is a crime, and articles that can be identified ought to be returned either to the heirs or barring that, the Russian people. They will never get back their plundered gold. You just wonder which banks it's sitting in now. And some other little facts about the revolution early on aren't in the history books and shouldn't be discussed. All is not fair in love of war (pun intended). Maybe there is a method to the madness behind what seems to be starting here.



To: neverdem

When you get right down to it from the Elgin Marbles at the British Museum, the Durers in the Louvre, the Jewels at Topkapi... The German Museums are the only ones who have ever given their stolen treasures back.



To: neverdem

Great summary article. The quotation by Lenin about the capitalists selling rope is, I believe, mythical. It has never been adequately traced to a reliable source. However, it is apt. It is also just to clever a saying for Lenin, who (judging from his writings) was a particularly boring fellow.



To: Aliska

Russia was the wealthiest nation in the world in 1917. Please elaborate.



by 11 posted onby Jacquerie (Detroit - Civilization in reverse.)

To: neverdem

What is sinful for individual men is also sinful for nations.



by 12 posted onby EternalVigilance (We are partisans only of what is right: America's Independent Party, www.AIPNEWS.com)

To: Aliska

Sorry to call you out Aliska, but I don’t think Russia was the wealthiest country in the world in 1917. My understanding is that the USA, Germany, China, and Great Britain were all wealthier, with the USA, Germany and Great Britain wealthier per capita as well as in gross national product and China with a lower per capita income and wealth.



To: Jacquerie

Please elaborate. I must be mistaken about that because I can't find it on google, thought I'd read it somewhere. Since I cannot find a source, I'll retract that.



To: Aliska

It is a crime, and articles that can be identified ought to be returned either to the heirs or barring that, the Russian people. They will never get back their plundered gold. Tell it to the Spanish The term Moscow Gold (Spanish: Oro de Moscú), or alternatively, Gold of the Republic (Spanish: Oro de la República), refers to the operation by which 510 tonnes of gold, corresponding to approximately three-fourths of the total gold reserves of the Bank of Spain, were transferred from their original location in Madrid to the Soviet Union a few months after the outbreak of the Spanish Civil War; the term also encompasses the subsequent issues relating with its sale to the USSR and the usage of the funds obtained. The term also refers to the sending of other similar goods confiscated during the ongoing conflict by order of the government of the Second Spanish Republic, presided by Francisco Largo Caballero, through the initiative of his Minister of Finance, Juan Negrín. The remaining fourth of the Bank's gold reserves, 193 tonnes, was transported and exchanged into currency in France, operation which is also known by analogy as the "Paris Gold". * * * 15,571 sacks of gold were opened, and 16 different types of gold coins were found inside: sterling pounds (70% of the total), Spanish pesetas, French francs, Louis, German marks, Belgian francs, Italian liras, Portuguese escudos, Russian rubles, Austrian schillings, Dutch guilders, Swiss francs, Mexican pesos, Argentine pesos, Chilean pesos, and an extraordinary amount of U.S. dollars. The total deposit was constituted of 509,287.183 kilograms of gold coins and 792.346 kilograms of gold in the form of ingots: thus, a total of 510,079,529.30 grams of alloyed gold, which at an average of .900 millesimal fineness, was equivalent to 460,568,245.59 grams of fine gold (approximately 14,807,363.8 troy ounces). This amount of gold was valued at 1,592,851,910 gold-pesetas (518 millions of U.S dollars). Additionally, the numismatic value of the coins was much higher than the amount of gold they contained, but the Soviets disregarded this when calculating its value.



To: Cacique

bump for later



by 16 posted onby Cacique (quos Deus vult perdere, prius dementat ( Islamia Delenda Est ))

To: DeaconBenjamin

“Tell it to the Spanish”..

and the Finns and the Hugarians and the Czechs and the Estonians and the Poles, and the Ukranians and the Germans and the Romanians and the Lithuanians and and and and.....



To: neverdem

Communists just as bad as Nazis? Yup.



To: neverdem

bump



by 19 posted onby dennisw (On the 31st floor a gold plated door won't keep out the Lord's burning rage ---FBB)

To: whitedog57

I read somewhere that the top 500 officers in the Bolshevik army were Jews.....the Jews were made the scapegoats in Nazi Germany for many reasons.....one of them could have been that the Germans and probably a lot of Europeans were resentful and afraid of the Jews and in what they did in Russia.... the least of that was stealing artwork... IMHO......correct me if its otherwise....



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