Foreign News: The People & the Spies

In the great hall of Luna Park, Buenos Aires' Madison Square Garden, 30,000 Argentines gathered this week to voice friendship for the U.S. on the first anniversary of Pearl Harbor.

This sentiment might well have been heeded long since by President Ramon S. Castillo. He had had concrete evidence of Nazi espionage within his country when a Gestapo agent and "diplomat," Gottfried Sandstede escaped (TIME, Sept. 8, 1941). As Argentines gathered on Pearl Harbor Day, he had more evidence, again pointing directly to Buenos Aires' German Embassy.

Federal police, acting at last on information documented in a U.S. State Department memorandum, grabbed 38...

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