Plan No. 4 adds both financial and political concessions such as "states rights to minorities in Sudeten. President Beneš offered to lend a billion Czechoslovak koruny ($35,000,000) "on the most favorable terms" to stimulate industry in Czechoslovak districts now suffering from unemployment, with 700,000,000 koruny earmarked for Sudeten districts. Britain and France stood ready to lend this money to Czechoslovakia, it was understood in Prague, and Dr. Beneš clearly hoped many observers of the Sudeten Germans had been right in reporting recently that what they want is a return to prosperity, not Germany.
Plan No. 4 went further than Plan No. 3 in offering Sudeten Germans and other minority peoples State jobs (including "irremovable judgeships") in the same proportion as their numbers bear to the total population of Czechoslovakia. Moreover, each ministry of the Czechoslovak Cabinet would have a separate "section" corresponding to each minority, and each section would be headed by a member of that minority to guard its interests. As the most fateful concession of Plan No. 4, Dr. Beneš offered that in each minority canton the preservation of order should be "divided" between Federal gendarmerie in the countryside and town police of the Sudeten German or other minority faction.
In Germany, every paper printed atrocity stories describing how a Sudeten German Nazi Deputy had been "horsewhipped" by a Czech mounted policeman at the industrial town of Moravská Ostrava. Mounted police had tried to disperse a Sudeten German crowd which had gathered to demand immediate release from jail of 82 persons arrested for possessing arms smuggled from Germany. The prisoners were charged with preparing to organize an attack from the rear upon troops defending the Czechoslovak frontier in case of war. One blow from a riding crop was afterward proved to have struck, without injuring, a man who turned out to be a Sudeten Deputy. Next day the Czech mounted policeman responsible and two others were withheld from duty by Police Chief Baca, who then suspended himself for good measure. But by this time, German papers were well started on a flood of stories under such scareheads as SAVAGE HORSEWHIPPING OF SUDETEN DEPUTY BY BESTIAL CZECH OFFICER.
The No. 1 Sudeten, Konrad Henlein, was at Nürnberg with Hitler, but in Prague the No. 2 Sudeten, Ernst Kundt, tersely announced that "satisfactory amends" had been made at Moravská Ostrava and he then withdrew the Sudeten Party's previous refusal to negotiate on the basis of Plan No. 4. Obviously they were tempted by the 700,000,000 koruny—for there are only 3,500,000 Sudeten Germans.
Smart Dr. Beneš, although relying on money to do some talking in a situation basically desperate, fully realized that Plan No. 4 impressed millions of Czechoslovaks, apart from the Sudeten Germans, as offering such extreme concessions that it imperiled the State. If accepted, Plan No. 4 risks turning every Cabinet ministry into a debating club of minority groups. How democratic Czech gendarmes and totalitarian Nazi police can "divide" responsibility for keeping of order in Sudeten cantons was an unanswered question. In an impossible situation, under crushing British pressure to concede without limit, President Beneš had conceded so much that he realized some of his own people were becoming scared. To reassure the nation, Dr. Beneš went on the air with a calm, firm and tactful broadcast, only a few minutes after he learned that in a speech at Nuremberg General Göring had just gone out of his way to abuse the culture and traditions of the Czechoslovak Republic.
