Allies in the Shadows
The spring of 1945 was not a gentle one for Europe. As the snows melted from the Austrian Alps, the Third Reich was in its death throes. Hitler was dead. Allied armies pressed from the west while the Soviets advanced relentlessly from the east. Amid the chaos and collapse, in the picturesque Tyrol region of Austria, a medieval stone fortress—Castle Itter—became the unlikely setting for one of the most bizarre and heroic last stands of the war.
Castle Itter was no ordinary outpost. As the Nazis grew paranoid, they converted the ancient stronghold into a prison for what they deemed "high value" French prisoners. The castle held an unlikely collection: former French prime ministers Édouard Daladier and Paul Reynaud, former army commander-in-chief General Maurice Gamelin, and even the celebrated tennis champion Jean Borotra. Political rivals, generals, and national heroes—all trapped together behind stone walls.
By early May, as SS guards began deserting, the prisoners sensed the danger wasn’t over. Rogue SS units roamed the countryside, determined to execute the castle’s prominent captives before they could be liberated. The prisoners were effectively alone, cut off from the outside world and awaiting slaughter.
But they were not entirely helpless.
One of the prisoners, a brave Austrian resistance courier, slipped past the SS and made contact with American forces. The message was simple and urgent: Save us, or we all die.
Enter Captain John C. “Jack” Lee Jr., a tank commander in the U.S. 12th Armored Division. Lee was a man of action, known for his unconventional problem-solving and a fearless streak. Upon receiving the plea, he didn’t wait for orders or reinforcements. He gathered a ragtag force—a single Sherman tank (nicknamed “Besotten Jenny”), a small group of American soldiers, and an unexpected ally: Major Josef “Sepp” Gangl, a Wehrmacht officer.
Gangl’s journey to this moment was as remarkable as the battle itself. Once a loyal officer of the German army, Gangl had grown disillusioned by Nazi atrocities. He secretly aligned with the Austrian resistance and now saw protecting the French prisoners as both a moral duty and a chance to resist the SS directly. He offered Lee the support of a few German soldiers who shared his views.
So began one of the most unusual coalitions of World War II: American GIs, defecting German soldiers, and French VIP prisoners, united by desperation and principle.
On May 4, 1945, Lee’s makeshift force entered Castle Itter. They reinforced the walls, mounted machine guns, and prepared for the inevitable assault. The French prisoners—once dignitaries and athletes—armed themselves with rifles and pistols. Borotra, the tennis star, volunteered for a particularly daring role: if the defenders were overwhelmed, he would leap the castle walls and sprint through enemy lines to summon help.
At dawn on May 5, the SS attack began. Roughly 100 to 150 SS troops, bitter diehards unwilling to surrender, encircled the castle and opened fire. Bullets raked the stone walls. Mortar shells exploded in the courtyard. The defenders were badly outnumbered and dangerously low on ammunition.
Inside the castle, fear and resolve mingled. The French prisoners, some in their 60s and 70s, took up firing positions alongside the Americans and Germans. For hours, the defenders returned fire, repelling wave after wave of SS assaults. “Besotten Jenny,” the Sherman tank, played a crucial role until it was disabled by enemy fire.
As the battle raged and casualties mounted, Borotra realized reinforcements were essential. True to his word, he vaulted over the wall and sprinted down the forested slopes, dodging sniper fire. Against all odds, he reached the American 142nd Infantry Regiment and delivered his urgent plea for help.
Back at Castle Itter, the defenders braced for a final SS push. Captain Lee was wounded but refused to leave his post. Major Gangl, while aiding a French prisoner under fire, was fatally shot—a tragic end for the German officer who had defied his own army to protect innocents.
Just as the defenders’ ammunition ran critically low, the rumble of American reinforcements echoed through the valley. Soldiers from the 142nd Infantry arrived in force, routing the remaining SS attackers. Castle Itter was saved.
The Battle for Castle Itter was over. Against all odds, an improbable coalition had held the fortress. The surviving French prisoners would soon return home as free men. Captain Lee and his men were celebrated for their bravery. Major Gangl was honored posthumously as a hero of the Austrian resistance.
The battle remains a singular event in military history—perhaps the only time Americans and Germans fought side by side against the Waffen-SS.
Yet the story resonates beyond its military uniqueness. It is a powerful reminder that, in moments of crisis, rigid divisions can dissolve. Ideological enemies can become allies when united by shared values. Courage can come from the most unexpected quarters.
In personal finance—as in life—volatility often arrives as the feared enemy. Investors dread sharp market swings, unpredictable economic turns, and sudden disruptions. But what if volatility, like the defecting German soldiers or the prisoners who took up arms, could become an unlikely ally?
Volatility creates opportunities. It forces reassessment, spurs innovation, and rewards adaptability. For disciplined investors, market turbulence can offer buying opportunities and a chance to rebalance portfolios in favor of long-term growth. Like Captain Lee recognizing the value of an unexpected alliance, savvy financial planners and investors know how to harness volatility rather than fear it.
The defenders of Castle Itter did not seek volatility—but they adapted to it. They forged new alliances, changed their tactics, and embraced unconventional solutions. In the same way, those who embrace market fluctuations with strategy and courage can turn financial uncertainty into an advantage.
Their stand in the shadow of the Alps was more than a last battle—it was a testament to resilience, adaptability, and the surprising power of making volatility work for you rather than against you.