The independent state of Croatia was formed on 10 April 1941, ten days after the Axis invasion of Yugoslavia. Croatia being the chief beneficiary annexed Bosnia and Herzegovina, which is a Muslim state. Its founder was Ante Pavelic, political leader of the Ustasha party, which had nationalistic, catholic and anti-Serb policies. During the Russian campaign, Croatians volunteered to fight alongside Germany. A Croatian Legion composed of three infantry battalions was formed, two raised at Varazdin, and the other one formed of Bosnian Croats from Sarajevo, Bosnia-Herzegovina.
In addition the legion had a staff company, an anti-tank company and a heavy weapons company, later an artillery group, with three batteries of 105mm guns, was added. The legion was designated as the "Verstarken Kroatischen Infanterie Regiment 369" (369th Croatian Reinforced Infantry Regiment). Reinforced because the regiment had its own artillery, beyond the regular issue infantry guns.

The Croatians wore German Uniforms with a Chessboard shoulder badge with the word "HRVASKA" (CROATIA).

After training at Doellersheim camp near Vienna, Austria, the 5000 troop regiment was attached to the German "100. Jager Division" (100th Light Division) on the southern sector of the Eastern Front.
The Legion was commanded by a Croatian Colonel Viktor Vitez Pavicic eventhough it subordinated to the Germans. By September 1941, the legion moved to Kharkov and fought effectively against partisans in the Stalino sector during the Russian winter counter-offensive of 1941/42. It took part in the advance of the German 6th Army from Voronezh to Stalingrad. About 1000 Croats wounded were flown out to safety.
On 31 May 1942, a German communique congratulated the Croatians on taking 5000 Russian prisoners.

On 25 September 1942, the 6th Army enters Stalingrad. These Croatian volunteers fought on several of the hardest sectors inside the surrounded perimeter at Stalingrad, especially fought with extreme courage in the "Red October" factory. Very few Croatians survived after the Russians overran their positions. By January 1943, German 6th Army surrendered to the Russians, who captured the last remnants of the 369th Croatian Regiment.

About a thousand men were evacuated from Stalingrad via air and were used to form the core of a new Croatian volunteer units of the Wehrmacht. These veterans were awarded a commemorative badge shown below, the "Croatian Legion 1941" Linden Leaf in silver.

Not much information is available on this Croatian decoration. The only thing known so far is that former veterans of the Croatian 369th Infantry Regiment who survived the battle of Stalingrad were awarded with the Army Legion Badge for the Eastern Front. The badge shown above was awarded probably in early February 1943. The Legion badge was manufactured in the form of a linden leaf with the national coat of arms shown in the center and in bold relief the words "HRVATSKA LEGIJA" (Croat Legion) with the date "1941." The reverse shows a safety style pin attached in the center by a small bronze plate. I have seen it with a German style hinge, needle pin and "C" catch going across the badge horizontally. These badges were made by the firms: "BRACA KNAUS-Zagreb" and "Me-Ba" Zagreb. These badges were made of aluminum and in silver color only. Veterans wore this badge on the left breast pocket of their German or Croatian uniform and on the side of their M-43 style German Cap.

The "Kroaten-Staffeln" Croatian Air Force was formed on 2 June 1941. It was composed of a fighter squadron and a bomber squadron. The squadrons were equipped respectively with Me109bf's and the Do17's. They were attached to the German fighter groups JG52 and JG53. The fighter group was commanded by Oberst Franjo Dzal. The Air Force saw action from 6 October 1941 to July 1944 over many sectors; the bombers raiding Moscow at one point while the fighters saw action in the Caucasus. In July 1944 the Croatian airmen returned to their own country to help stop the partisan threat.

Not much is known about the " Znachka Hrvatske Zrakoplorne Legije" (Croatian Airforce Legion badge), except that is was worn by members of the Legion while on the Eastern Front. The badge is made of solid stroke silver metal with the Croatian National shield soldered in the center of the wings. Surmounted above the enameled checkerboard shield is the "Ustase" emblem. The reverse shows a long thick pin held by a hinge and a "C" style catch. A Croatian Pilot cloth embroidered version was also produced. The pilots were allowed to continue wearing these badges even when the Legion was disbanded, and assigned to the Croatian military units. The Pilot badge was probably instituted as soon as the Croatian Airforce Legion unit was formed in early June 1941. The Pilot Wings was worn on the right breast pocket. Littlejohn's book volume 2 (Foreign Legions of the Third Reich) show two versions of the badge, however, there is no photographic evidence that the other style Pilot Wings was ever worn.