The Office of Strategic Services (OSS) was established in 1942 as the United States’ first centralised intelligence and special operations agency during World War II. Created under the directive of President Franklin D. Roosevelt and led by General William J. Donovan, the OSS played a critical role in collecting intelligence, supporting resistance movements, conducting sabotage, and launching covert influence campaigns across Europe, Asia, and North Africa. Operating under the philosophy that winning wars required more than conventional military force, the OSS introduced a new form of warfare—psychological warfare—aimed at shaping enemy perception, eroding morale, and influencing behaviour from behind enemy lines and thus the OSS Morale Operations Branch was created.
One of its most significant and unconventional branches was the aforementioned Morale Operations (MO) Branch, responsible for executing covert propaganda, disinformation campaigns, and psychological operations (psyops). Drawing inspiration from the British Political Warfare Executive (PWE), the MO Branch specialised in what was known as “black propaganda”—operations that used forged documents, fake radio stations, rumours, and subversive leaflets to mislead Axis forces and manipulate civilian sentiment. By mimicking authentic sources and infiltrating enemy information networks, the MO Branch sought to create confusion, distrust, and ultimately, internal collapse.
Though disbanded in 1945, the OSS—and particularly its Morale Operations Branch—laid the foundation for modern U.S. intelligence and influence operations. Its methods, personnel, and strategic thinking would later shape institutions such as the Central Intelligence Agency (CIA) and the U.S. military’s Psychological Operations (PSYOP) units. The legacy of the OSS remains central to understanding the evolution of information warfare and the role of covert influence in contemporary conflicts.
Images Sourced From: PsyWar.Org
1 Historical Background of the OSS Morale Operations Branch
The Morale Operations Branch (MO) was established within the Office of Strategic Services (OSS) on 03 March 1943, during World War II. OSS Director William “Wild Bill” Donovan founded the MO branch after observing the formidable impact of Nazi propaganda and noting the United States’ lack of a comparable capability. He believed the Allied war effort needed its own psychological warfare wing to attack enemy morale.
Donovan had long argued that warfare should target the enemy’s mind as much as its troops and territory. In a 1942 speech, he asserted that striking at an enemy’s morale is “striking at the deciding factor, because it is the strength of their will that determines the length of wars… and the day of final collapse.” This philosophy guided the creation of MO: a branch dedicated to conducting “black” propaganda – covert influence operations masked as originating from within enemy ranks – to sap the will of Axis soldiers and citizens.
Donovan drew inspiration from Britain’s success in psychological warfare. The OSS had a close British counterpart in the Political Warfare Executive (PWE), which specialised in clandestine propaganda. The OSS loosely modelled the new Morale Operations Branch on the PWE’s methods. From the start, MO’s charter was to use “any measures of subversion other than physical force” to confuse, mislead, and demoralise the Axis. In Donovan’s view, these tactics of persuasion and deception were the modern equivalent of siege warfare, aiming to undermine the enemy from within. The formation of MO filled a critical gap in U.S. capabilities. It complemented the OSS’s other branches, such as Special Operations for sabotage and Secret Intelligence for spying, by creating a unit focused specifically on psychological warfare. [source, source, source, source]
The Symbol of OSS Morale Operations Branch [source]
2 Structure of the OSS Morale Operations Branch
The OSS divided the Morale Operations (MO) Branch into five specialised sections, each responsible for executing specific facets of covert psychological warfare.
The Special Communications Detachment managed combat propaganda operations in direct coordination with U.S. Army units in Europe, ensuring that battlefield movements were reinforced with tailored psychological tactics. The Radio Division oversaw black and clandestine radio broadcasts, transmitting subversive content that mimicked enemy sources to undermine Axis morale. The Special Contacts Division played a liaison role, distributing propaganda to resistance and partisan groups across occupied territories. Meanwhile, the Publications and Campaigns Division produced a wide array of leaflets, pamphlets, and whispering campaign materials intended to circulate false or demoralising narratives. Finally, the Foreign Division conducted miscellaneous operations abroad, often adapting psychological strategies to local cultural and linguistic contexts. These five divisions worked in tandem to deliver comprehensive psychological support to U.S. Army operations worldwide.
By 1945, the Morale Operations Branch had established a global network of field stations, typically co-located with U.S. Army combat or intelligence outposts. These included stations in Algeria, Egypt, France, Britain, Sweden (two locations), and six separate sites in Italy, reflecting the geographic breadth of MO’s operations. Of these, the London station was the most strategically important. Serving as the primary hub for planning and coordinating operations in the European region. Through this decentralised yet highly coordinated structure, the MO Branch carried out extensive psychological campaigns designed to mislead the Axis. Also, embolden resistance movements and hasten the enemy’s collapse from within. [source]
Picture of an internal memo showing coordination between the US Office of War Information and the OSS Morale Operations Branch to insert covert propaganda into public broadcasts. [source]
3 Key Figures of the OSS Morale Operations Branch
3.1 William J. Donovan
Picture of William J. Donovan [source]
The Architect of American Centralised Intelligence
William “Wild Bill” Donovan is known as the father of American centralised intelligence. A decorated war hero and lawyer. He led the Office of Strategic Services (OSS) from 1942 to 1945. An organisation that became the forerunner of the Central Intelligence Agency (CIA). Donovan was the first American to receive all four of the nation’s highest awards: the Medal of Honour, Distinguished Service Cross, Distinguished Service Medal, and National Security Medal.
Born in Buffalo, New York, Donovan initially studied to become a Catholic priest before turning to law and military service. He gained recognition for his bravery in World War I, earning the nickname “Wild Bill.” His intelligence career began during WWI and continued through the 1920s and 1930s via fact-finding missions in Europe. In 1941, President Franklin D. Roosevelt appointed him to head the Office of Coordination of Information (COI), which later became the OSS. Under Donovan, the OSS engaged in espionage, sabotage, and psychological warfare across Europe and Asia. It played a key role in supporting the French Resistance and operations in Burma.
Despite his achievements, Donovan and the OSS had critics, including J. Edgar Hoover, General MacArthur, and President Truman. After the war, Donovan returned to law, participated in the Nuremberg Trials, and later served as U.S. Ambassador to Thailand.
Donovan’s Role in Shaping the OSS Morale Operations Branch
William J. Donovan, as head of the OSS, was the chief architect and champion of the Morale Operations Branch. He personally valued psychological tactics and ensured MO had resources and high-level support. Donovan also recruited some of America’s leading creative minds to shape and lead the OSS propaganda effort. Notably, Pulitzer-winning playwright Robert E. Sherwood was a key figure in MO’s establishment. Sherwood had been director of overseas propaganda for the Office of War Information (OWI) (the U.S. government’s overt propaganda arm). Also served as a close advisor to Donovan. He helped design MO’s mission and coordinated strategy between OSS and OWI. Another influential figure was poet and Librarian of Congress Archibald MacLeish, who advised Donovan on psychological warfare policy. MacLeish directed OWI’s Office of Facts and Figures and consulted with OSS’s analysis units to ensure that propaganda messages were based on solid research. [source, source, source]
3.2 Elisabeth “Betty” McIntosh
Picture of Elisabeth Mclntosh [source]
While Donovan set MO’s direction from Washington, day-to-day operations were run by OSS staff specialists. Many were drawn from journalism, advertising, and academia. For example, Elisabeth “Betty” McIntosh was one of the few women in MO, as a former reporter. She was recruited to the branch’s Far East Asia section for her writing skills and Japanese language ability. MO teams included writers, editors, artists, cartoonists, and radio producers – “mostly media people,” as McIntosh later described. They operated under the OSS Deputy Director for Psychological Warfare, alongside the OSS Special Operations branch. MO’s structure often paired its propaganda plans with guerrilla operations for support. [source, source]
4 Notable Operations
4.1 Operation Cornflakes
Picture of OSS Hitler Stamp forgeries [source]
Launching a Covert Psychological Warfare Campaign
The Office of Strategic Services (OSS) launched Operation Cornflakes in early 1945 as a covert psychological warfare initiative. It was part of its broader campaign to undermine German morale from within. The operation aimed to exploit the German postal system by inserting forged mail containing anti-Nazi propaganda directly into civilian households across the Third Reich.
The idea was first executed on 5 February 1945, when American P-38 fighter-bombers attacked a German mail train bound for Linz, Austria. Following the initial strike, OSS personnel dropped eight mailbags filled with counterfeit letters and newspapers among the wreckage. OSS agents carefully crafted these bags to resemble official postal items, using authentic German addresses, real business return addresses, and postage stamps that mimicked official versions—some subtly altered to depict Adolf Hitler’s face as a skull.
Strategy and Execution
The strategic goal was to have the German postal service unknowingly retrieve and distribute the fake mail alongside legitimate mail, thereby delivering Allied propaganda directly into German homes. This method was considered safer and more effective than public leaflet drops, as civilians were more likely to read subversive content in private, away from Gestapo surveillance. The operation was nicknamed “Cornflakes,” evoking the image of German citizens reading Das Neue Deutschland—a forged anti-Nazi newspaper produced by the OSS—over their morning breakfast.
Between February and April 1945, the OSS executed 20 missions. They dropped 320 mailbags containing approximately 96,000 fake letters and newspapers across southern Germany and Austria. OSS agents carefully matched the forged mail to the routes and dates of actual postal deliveries. This increased the chances of successfully infiltrating the German mail system.
Impact and Expansion Challenges for the OSS
Despite logistical challenges, including widespread infrastructure destruction and civilian displacement from Allied bombing, some forged materials reached their intended recipients. Post-war interrogations of German prisoners confirmed that soldiers had received copies of Das Neue Deutschland through these drops. This led to a wave of Gestapo investigations and arrests. The OSS considered the operation a success. They credited it with lowering morale, fueling distrust within the Nazi ranks, and reinforcing the perception of a growing internal resistance.
As the war neared its end, the OSS tried to expand the operation by airdropping millions of additional copies of Das Neue Deutschland using heavy bombers. This move went beyond the standard 75,000 copies previously distributed through agents. However, the expansion sparked tensions with the Allied Forces Headquarters’ Psychological Warfare Branch. They feared that placing OSS “black” propaganda near their own “white” materials could undermine both campaigns. To address this, the OSS created a reduced-size version of Das Neue Deutschland, labelled as a “captured reprint.” They began dispersing up to one million copies per week, eventually distributing over 10 million by the war’s end.
Forgery and Psychological Sabotage Tools
Forgery was central to Morale Operations’ strategy. In collaboration with the British Political Warfare Executive, the OSS produced a range of counterfeit items beyond newspapers and letters, including:
- Postage stamps featuring Heinrich Himmler in place of Hitler, suggesting an internal power shift.
- Ration cards, civil documents, military travel orders, and leave passes.
- Fake currency, sometimes with propaganda printed on the reverse, promising rations or privileges for troops who surrendered with it.
To further demoralise enemy forces, the OSS and its research and development branch, working with British counterparts, also designed morale-sabotaging gadgets. These included exploding ink pens and booby-trapped ammunition—produced in German calibres and filled with high explosives—intended to destroy weapons and fatally injure soldiers using them.
Though Operation Cornflakes faced logistical obstacles and operational risks, it marked one of the most innovative and direct psychological operations conducted during the war, blending forgery, deception, and strategic delivery to strike at the very core of the enemy’s domestic information sphere. [source, source, source, source, source]
5 Conclusion
The Morale Operations Branch of the OSS played a vital role in the Allied psychological warfare campaign during World War II. Through innovative tactics such as black propaganda, forged documents, covert radio broadcasts, and operations like Cornflakes, it successfully targeted enemy morale, sowed confusion, and exploited internal divisions within the Axis powers. Although often overshadowed by traditional military operations, MO’s efforts proved that information, deception, and psychological manipulation could be powerful tools of war, laying the foundation for modern psychological operations and influence campaigns used by intelligence agencies today.
