Released under the John F. Kennedy Assassination Records Collection Act of 1997 (44 USC 3107 Hotey> DATE: 11-14-2017 . . - . ° a y . : ran . She returned to Washington, D.C. in July, 1950, ‘ and Morgan told her he was glad National Management did not approve her plans as she could form her own corporation and represent the Butler Corporation of Minneapolis, Minnesota, -headed by Robert Butler, the Ambassador to Cuba, which company was interested in securing atomic energy contracts. Morgan told her not to worry about financing as that could be arranged through the Reconstruction Finance Corporation, which arrangement was later confirmed to her by the Chairman of the R.F.C., in the presence of!Morgan. In Morgan's office, in-the presence of Dick Paxson, she then called the Chicago firms affiliated with National Management, and obtained their consent to forming her own corpora= tion, such conversations being preserved on a tape re= corder. x Morgan and a former Bureau. .agent.took_her..to Senator Tydings! office around.August..A,..1950; the Senator was told of her interest in getting contracts <3 eae Rete aaa S = oT Sais com for atomic energy.con tion and. said that he would petantatere Aen create tore aa re tes ie are i ‘ ae, . be happy to be of any assistance he could, aw office made an appointment for her to see a MreWililiams, © head of construction for the Atomic Energy Commission.. Around August 1k,1950 gaéfSreen_ and. Senaton. Brien a op McMahon took subject..to,.lunch, at..the Occidental Restau- a rant».anWashington,DsCe, where they discussed the award of atomic. energy construction..contracts..to..the Butler..Corporation. - Senator McMahon stated he could be helpful’ because he was on the Senate Atomic Energy - 1 Committee and his former law partner, Gordon Dean, was chairman of the Atomic Energy Commission, who he felt would look favorably on the Butler Corporation. ‘ The necessary papers were then prepared and Christensen Corporation was organized under the laws of Delaware on August 18, 1950. Shortly thereafter she telephoned the Butler Corporation in Minneapolis, but > Robert Butler was not in; thirty minutes later Robert — fo. Butler called her from Cuba and said he would immediately send a representative from Minneapélis to Washington to see her. That evening "andy 3 ongbothem), chief engineer of Butler Corporation, met hér in the offices of Welch, Mott and Morgan, at which time Paxson, and Welch were also presente ; Docld: 32336433 Page 9
“Released under the John F. ' Kennedy Assassination Records Collection Act of 1992 (44 SC 23107 Ho tey> DATE: 11- 14-7017 _ : instrumental in getting Government contracts for Butler, Corporation and indicated that “because of -his dealings with Senators McMahon, Tydings and Connally;-no diffi- culty would be experienced. That evening a further conference was held between the same parties, attended also by a Butler Corporation attorney from Virginia near Washington, D.C., who was also a newspaper publisher and bank president. The Butler attorney remarked that subject would have to make large campaign contributions to the Senators involved, and also discussed the fee to be paid hime Shortly thereafter he subject went to the Butler Corporation offices Minneapolis and dis- Sed the matter with Rober snd Eesha son Walter tler, "Andy" (Longbothem) and EeKEriksen, treasurer of the Butler Corporation, as a reSult of which a contract was entered into between Christensen Corporation and Butler Corporation under which Christensen was to act as Washington representative for Butler in consideration of 10% of Butler's net profits on Government contracts oe procured, plus an additional 5% for expenses, Robert pp Butler told her, "how you buy your groceries, I don't ons care at all; that is your pusinesss you are there to represent me and to do it." / / On August 18, 1950 the subject drew a draft on the Merchandise National Bank of Chicago in the amount of . $20,000, payable to Welch, Mott and Morgan for legal of fees. While she did not have sufficient funds on de- posit at that time to cover the draft, the bank had been advised that a $30,000 deposit was on its way, which amount had been loaned to her by a friend. The draft ‘was not put through for collection and she later cancelled it. Around this same time she also entered into negotiations , for a lease of office space in the World Center Building, - Washington, D.Ce, at an annual rental of $6,600, for which she gave a check but later recalled it when the proposed deal fell throughs 5 Morgan told "Andy" tnplefnistensen Conporation could be n the latter part of August, 1950 she metRobert..Butler and Ed Morgan. in_her..sui te..at,.the,Mayflower-Hotel,..at.which f time Morgan informed her that,she was to be the pay-off.man. ret gas else The pay-off to Senators Connally, “Tydings a and Lucas was to - | Docld: 32336433 Page 10
; Released under the John F. Kennedy Assassination Records Collection Act of 1997 (44 sc 2107 Wotey> Ail- 14-7017 . ; . an) \N/ < be made by the Butler Corporation through Christensen Corporation to Welch, Mott and Morgan, and the law firm in turn was to issue stock in a gas well corporation controlled by Morgan to the Senators. This arrange= ment was confirmed by Vincent Welch to Dick Paxson, general manager of Christensen Gorporatione On August 31 1950, Subject gave a a cocktail, party in her suite at the Mayflower tiotel, attended by Senators Brien McMahon and Tom Connally, together with epee Welch; Mott anc “and “Mor ge an, and their Wives,, Stuarts yn sinopKaplah, Jéi Bares cammivemeten estat lec CATERER ETNIES SETAE afte EEE AON IROL, Around September 1, 1950 the subject met with Robert Butler, Butler's secretary, Morgan and Mott in her suite at the Mayflower Hotel for the purpose of confirming the fee to be paid to the Christensen Corporation, at which time Morgan said he had started the ball rolling and that it would be just a matter of a couple of weeks until the contracts could be signede Between September 1 and 11, 1950, Senator McMahon mailed to subject a memorandum at her hotel suite, in which he summarized the procedure to be followed by Butler Corporation ¥ 4 in securing Government contracts on the hydrogen plant : project (included as an exhibit to the transcript. of subject's , testimony) o On September 10 or 11, 1950, subject met Robert Butler in his suite: at the Mayflower Hotel for the purpose of securing brochures to substantiate the construction responsibility of Butler Corporation, at which ‘time she gave him a memorandum, . dated September 11, 1950, setting out information to be supplied ~ to her by. Butler Corporation (included with the transcript of testimony as an exhibit). Butler, ;his secretary, oAgdfeyer, supgzintendent of Butler Corporation, and subject's secretary, nesfbew, were present. x Between September 11 and 13, 1950, subject was told by Morgan that it would be necessary for her to make campaign. contributions to the Senators involved, and she decided not to go through with the transaction. Paxson tried to’ persuade ' Docld: 32336433 Page i1
Released under the John F. Kennedy Asfaseination Records Collection Act of 1992 (44 USC 2107 Hote; DATE: 11-14-2017 | 4 a ee her to continue in the deal, but on September 13 she telephoned the Butler office in Minneapolis that she was withdrawing. The following day she received a telegram from Butler Corporation stating that all connections between it and Christensen Corporation were severed. Subject was later informed by Paxson and Dee Dew that the deal was ultimately consummated and the pay-off made through the Virginia attorney for Butler Yporation, mentioned above. She stated that Heach, a newspaper reporter in Washington, told her that he knew there was a tie-up between Senators Brien McMahon and Tydings with _Le yPiffle, Stuart Symington,’ Robert Butler, and the law firm of Welch, Mott and Morgane Z ~ The investigation heretofore conducted by the Bureau in 1950, in=- dicates 5 thal thé allegations by the subject. are. ‘Gompletely unfounded} that 8.G. Paxson, the law firm of Welch, Mott and Morgan, and officials of Butler Corporation, were led to believe the subject was the head -of a responsible engineering company and that. ‘they promptly severed connections with her when, after a brief association, they found ‘ she was a "phony"; that she never met or had any transaction with / any of the Members of Congress involved in her allegations; that ~ vi according to reports the subject was a "blackmailer" intent upon selling her story to the Republican Party, press columnists, radio commentators, i or anyone else who would buy ite . yee “ i In the light of the background of the subject as summarized above, che SU Sata TAREE IN EE SHE UA ND Hn and the investigation, already ‘Conducted by the Bureau, it is apparent™~~ Browne ox EG..OY. ay ats pc eens that the allegations in cher Statements to the officials of Mar County, DR NCTA rH ALA SEE ERENT 0 YN PLP HAE OLB NIACIN ERSTE MS OORT ERD at oe alifornia” are “entitied to no. “credence unless supported by credible Pemereree ruane SERRE PERERA EI ANSE SCE ER BRB So OSMAN aa tu ptt, orroborative evidence. Because of the, Serious and. detailed. charges REESE aR RAPS LS NP AEP EN ade by “the ® e Subject, However, 11 it is d desired. d that a ful ail. inve estigation ! into her” accusations be made as expeditiously as possiblee The persons he “Subject. in her statements to the Marin County, California By the su Sey CREF SN RE SET EARLE S TEA ES OS EE EE RM og PRI impliéated™ "by peiancat ts y,.ube § officials should be “interviewed. In view of the previous investigation ~- conducted, it is believed the present inquiry may be initially limited. to | sR DEE, Uy AN PI Tio Ss ascertaining vuhe_existence,.of, corroborative. “eV ence.,.in..support of’ the od An it ec IN el SELON chad INT SRA PT esd Ss RS ee NLS a aT me De x. Woe Ry eee? ‘ieee subject's ch. arge So It is suggested that- the Members..of Congress 4 SDL Ih feel ee aCe ery nj em ere should be initially questioned only. as. ; to whether, Or., r_not.they. Knew the subject, and whether or not they’ were ever asked to intercede in any way on behalf of her or the Christensen Company with any Government agencye Where any corroboration of subject's charges appears, of course, the ~ investigation of such phase should be pursued without limitation to its logical conclusione il » Docld: 32336433 Page 12
Released under the John F. Kennedy Assassination Records Collection Act of 1997 (44 TS DATE: 11-14-2917 . ‘ ~ On wo . oan « . ; Although it is not requested at this time, the Bureau Mays if deemed advisable, interview the subject at any stage of the (requested investigation. nm | pocta: 32336433 Page 13