Word: prussians
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...King of Prussia the two cabinets were of course interlocked. Therefore the Fatherland seethed with monarchist rumors as Chancellor von Papen put the screws on Prussia. This he did by abruptly forbidding a payment of 100,000,000 marks ($23,700,000) from the German Treasury to the Prussian Treasury, a payment on which Prussia had counted as indispensable to balancing her budget. Particularly excited by the Chancellor's drastic move were the South German states, fiercely jealous of their rights in the German family...
...states' rights: Premier Dr. Heinrich Held of Bavaria; Premier Dr. Eugen Bolz of Wurttemberg, Premier Dr. Christian Schmitt of Baden. Bending over a small table, so that their heads nearly touched, South Germany's spokesmen drafted a long, tart telegram to President von Hindenburg, himself a Prussian. Whatever its ultimate effect, the immediate result of this wire was to make the von Papen Cabinet shorten their reactionary sails and steer a more cautious course...
...immediate crisis was expected, since Chancellor von Papen and the leading members of his Cabinet had to depart for the Lausanne Conference. Meanwhile the Prussian Free State struggled heroically to balance its budget, raised a forced loan by levying on the salaries of State employes, succeeded in obtaining credits from certain friendly Berlin banks. Correspondents agreed that intra-German relations have never been more strained since the founding of the Republic...
Next to General von Schleicher, the most prominent new Cabinet figure is Baron Wilhelm von Gayl, Minister of Interior. Charged with the federal policing of all Germany, this typical Prussian junker (landed aristocrat) can wield much power in the coming Reichstag election. During the War as Chief Political Officer of the Eastern Army Command and afterward as Governor of Northern Lithuania in 1918 he showed both velvet tact and an iron hand...
...face of things the Hitlerites should win the coming Reichstag election as they won the election for the Prussian Diet (TIME, May 2), but last week an astonishing prediction was made from a source close to General von Schleicher and Baron von Gayl. Prediction: "The von Papen Cabinet will last from three to four years...