Nazi negotiations with Chancellor Engelbert Dollfuss during the last few weeks, with a view to forming a Nazi coalition government for Austria, were disclosed today, startling Democratic and particularly Jewish circles which fear that the danger of sudden assumption of power by the Nazis is not passed.
Chancellor Dollfuss, in an official communique confirmed reports of the negotiations but denied that any coalition had been effected.
It is interesting, however, that the Christian Socialist leader, Minister of War Vaugoin, issued a complete denial. This is believed due to the fact that the most influential Christian Socialists favor a coalition with the brown shirts.
The revelations explain the evident reluctance of Chancellor Dollfuss to prohibit the Nazi party in Austria. The Nazis have threatened to make further revelations substantiated by documents of government ministers. The authorities, therefore, have undertaken diligent searches of Nazi quarters and offices and the homes of Nazi leaders with the purpose of confiscating incriminating documents.
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