The Pit

War

WAR: Haiti -- 1915-1934

by Travis Ruhland - April 19, 2021

The US Military had a consistent presence in Haiti in the late-1800s and into the early-1900s, as the Navy often intervened in local conflict.  However, it wasn’t until 1915 when US diplomats sent Marines down to the small country that they had a more permanent presence.  Leading up to the initial invasion of Haiti, Admiral William Deville Bundy was told the reason was to “protect American and foreign” business interests; however, the American public was led to believe that noble US leaders were intent on bringing peace and order back to a country in chaos.  So, what led to the US occupation of Haiti?  Well, there were three main factors.

First, Haiti wasn’t the most stable country at the turn of the century.  The tiny nation was fraught with civil clashes, poverty, and a revolving door of leaders who usually had their careers cut short by a bloody death – much of this tumult, however, was blamed on foreign interference.  Second, World War I was underway, and Woodrow Wilson and United States leaders feared Germany would invade Haiti with the intent of setting up a military base.1

Third, and arguably most important, the United States had private businesses established in Haiti, like the Haitian-American Sugar Company and National City Bank, and it was imperative those interests were adequately protected.2,3  By 1911, National City Bank, controlled by the likes of Percy Avery Rockefeller and Frank Vanderlip of Federal Reserve lore, acquired control of Banque National d’Haiti, the small country’s treasury and only commercial bank.4,5  Through this maneuver, the Haitian national bank simply became another branch of National City Bank, and the giant New York firm slid in as the nation’s new treasurer.

Also, in the early-20th century the Haitian government had been taking out many loans from American, and French, interests, consequently creating a debt that became difficult for the Haitians to manage, and they began struggling to make their payments.  Thus, much of the country’s national income was diverted away from building infrastructure and was instead filtered toward paying off foreign creditors, leading to resentment and unrest amongst the population.  With frustrations growing in Haiti, American interests feared that if an anti-American leader were installed as President of the Caribbean nation, the banks would stop seeing payments on their loans and Haiti would halt American investments.

So, in 1915 Woodrow Wilson ordered US Marines to invade Haiti.  Meeting little resistance, the Marines swiftly took hold of the National Palace and the nation’s bank, where they seized $500,000 and sent it to New York.6  For the next 20 years, American forces occupied the tiny nation, and while many Haitians lost their lives, the path was paved for National City Bank to control Haitian finances and multiple arms of its economy.  The American banking firm subsequently took 40% of Haiti’s wealth and channeled it toward paying off the country’s debts.7  Though the Haitian people were in gross disapproval of their country’s wealth being diverted to foreign interests rather than toward developing their local economy, they were virtually powerless as US Marines squashed any sort of protests or revolts.  Many Haitian dissenters were killed or abused.  The American presence might have caused much anger and strife in Haiti, but it certainly made a few boys at National City Bank and other firms quite happy.  Oh, and how could I forget – American citizens got to pay for their military to occupy Haiti while also receiving little to no direct benefit.  Seems like an even trade.  You cover the expenses, P.A. Rockefeller receives the revenues.  Of course, I guess we do enjoy the benefits of lower prices at the expense of others’ prosperity.

In his 1920 essay titled Self-Determining Haiti, published in The Nation, James Weldon Johnson would say in part, “To know the reasons for the present political situation in Haiti, to understand why the United States landed and has for five years maintained military forces in that country, why some three thousand Haitian men, women, and children have been shot down by American rifles and machine guns, it is necessary, among other things, to know that the National City Bank of New York is very much interested in Haiti.  It is necessary to know that the National City Bank controls the National Bank of Haiti and is the depository for all of the Haitian national funds that are being collected by American officials…”8

As usual, a few people benefited financially while the majority were left to struggle.  It wasn’t until 1934 that Franklin D. Roosevelt ordered the removal of US Marines from Haiti, however, America controlled the country’s finances until 1947.  Not to make any excuses for any group’s hardships, and I know other factors play a role, but I would imagine it might be somewhat difficult to pull oneself out of being a “shit hole” country if more powerful forces have continually impeded your attempts at operating autonomously.

Sources

  1. “U.S. Invasion and Occupation of Haiti, 1915-34,” US Department of State, The Office of Electronic Information, Bureau of Public Affairs, Accessed March 8, 2021, https://2001-2009.state.gov/r/pa/ho/time/wwi/88275.htm.
  2. J. Hudson, “The National City Bank of New York and Haiti, 1909 – 1922,” Radical History Review 2013, no. 115 (January 1, 2013): pp. 91-114, https://doi.org/10.1215/01636545-1724733.
  3. Westenley Alcenat, “The Case for Haitian Reparations,” Jacobin Magazine, January 14, 2017, https://www.jacobinmag.com/2017/01/haiti-reparations-france-slavery-colonialism-debt/.
  4. Peter James Hudson, “Where Does Haiti Fit in Citigroup’s Corporate History,” Bloomberg, June 13, 2012, https://www.bloomberg.com/opinion/articles/2012-06-13/on-citigroup-s-anniversary-don-t-forget-its-brutal-past.
  5. Michael L. Krenn, Ph.D., “National City Bank in Haiti,” Florida International University, Accessed March 7, 2021, http://islandluminous.fiu.edu/part07-slide12.html.
  6. “U.S. Invasion and Occupation of Haiti, 1915-34,” US Department of State, The Office of Electronic Information, Bureau of Public Affairs, Accessed March 8, 2021, https://2001-2009.state.gov/r/pa/ho/time/wwi/88275.htm.
  7. Brian Weinstein and Aaron Segal, Haiti: Political Failures, Cultural Successes(Praeger Publishers, February 15, 1984), p. 29.
  8. James Weldon Johnson, “Self-Determining Haiti,” The Nation, August 28, 1920, https://www.thenation.com/article/self-determining-haiti/.